Describe product positioning. List and explain the bases for positioning.

Question

What will be an ideal response?

Answer 1

Product positioning refers to the decisions and activities intended to create and maintain a certain concept of a firm's product (relative to competitive brands) in customers' minds. When marketers introduce a product, they try to position it so that it appears to have the characteristics that the target market most desires. Marketers can use several bases for product positioning. A common basis for positioning products is to use competitors. A firm can position a product to compete head-on with another brand. Head-to-head competition may be a marketer's positioning objective if the product's performance characteristics are at least equal to those of competitive brands and if the product is priced lower. Head-to-head positioning may be appropriate even when the price is higher if the product's performance characteristics are superior. A product's position can be based on specific product attributes or features. If a product has been planned properly, its features will give it the distinct appeal needed. The target market can also be a positioning basis caused by marketing. This type of positioning relies heavily on promoting to the types of people who use the product. Other bases for product positioning include price, quality level, and benefits provided by the product.