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Module 3

Discuss the branding strategic initiatives of companies

Apply the marketing mix for product and service in

unique way to differentiate.

Apply different concepts of pricing strategy for product

and service

Analyze the role and impact of different marketing

channels of the companies on the consumer/ customer.

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

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9
Crafting the Brand
Positioning

What Is Positioning?

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the United States edition of Marketing Management, 14e.

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Positioning is the act of designing a companys offering and

image to occupy a distinctive place in the minds of the target
market.

The goal is to locate the brand in the minds of consumers to

maximize the potential benefit to the firm.

A good brand positioning helps guide marketing strategy by

clarifying the brands essence, identifying the goals it helps the
consumer achieve, and showing how it does so in a unique
way.

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

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Moov, the pain relieving ointment from Paras

Pharmaceuticals, succeeded in a market dominated by
established brands that promised relief from headache,
body ache and sprains by positioning itself as the
backache specialist

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

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Determining Competitive Frame of

Reference

The competitive frame of reference defines which other

brands, our brand competes with in a market.

Here marketer
analysis.

Decision about the competitive frame of reference are

closely linked to target market decisions.

Marketer decides to target a certain type of consumer or

segment by analyzing the present level of competition.

needs

to

develop

the

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

competitive

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Value Propositions

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

9-7

Competitive Frame of Reference

Identifying Competitors
Analyzing Competitors

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

9-8

Identify Competitors

A good starting point in defining a competitive frame of

reference for brand positioning is to determine category
membership.

Category membership is product or set of products with

a brand competes and which functions as close
substitutes

We can examine competition from both an industry and

market point of view.

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

9-9

Industry is group of firms offering a product or class

of products that are close substitutes for one another.

Marketers classify industries according to number of

sellers; degree of product differentiation; entry and exit
barriers; etc.

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

9-10

In Market approach, we define competitors

companies that satisfy the same customer needs.

The market concept of competition revels a broader set

of actual and potential competitors.

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

as

9-11

Analyzing competitors

In previous topics we have studied a SWOT and Michel

Porter 5 force model to analyze the prevailing
competition in market.

A company need to gather information about each

competitors
real and perceived strengths and
weakness.

Once a company has identified its main competitors and

their strategies, it must try to answer the questions like
what drives the competitor towards this market? 2)
What the competitor is looking in the market?

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

9-12

Table 9.2 Customer Ratings

of Competitors

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

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Defining Associations
Points-of-difference

Points-of-parity

Attributes or benefits
consumers strongly
associate with a brand,
positively evaluate, and
believe they could not
find to the same extent
with a competitive brand

Associations that are not

necessarily unique to the
brand but may be shared
with other brands

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

9-14

Point-of-Difference Criteria
Desirable to consumer
Deliverable by company
Differentiating from competitors

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

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POP versus POD

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

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Means of Differentiation
Employee
Channel
Image
Services

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

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Emotional Branding

Strong culture
Communication style
Emotional hook

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

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For Review

How can a firm develop and establish an effective

positioning in the market?

How do marketers identify and analyze competition?

How are brands successfully differentiated?

What are the differences in positioning and branding with

a small business?

Copyright 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from
the United States edition of Marketing Management, 14e.

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