Product Positioning Product Positioning The efforts a business

Product Positioning

Product Positioning �The efforts a business makes to identify, place, and sell its products in the marketplace �The goal is to set the product apart from the competition

Product Positioning Strategies A number of strategies can be used to position products in the marketplace �Positioning by price and quality �Positioning by features and benefits �Positioning in relation to the competition �Positioning in relation to other products in the line

Positioning by Price and Quality �A company may offer an economy line, a mid-priced line, and a luxury line �Stresses high price as a symbol of quality or low price as an indication of value Economy Line Mid-priced Line Luxury Line

Positioning by Features and Benefits �Products are often associated with a feature, attribute, or consumer benefit Cleans without harming the environment Helps people lose weight

Positioning in Relation to Competition �Some businesses position their products to compete directly with the products of other companies VS VS

Positioning in Relation to Other Products in a Line �Individual products may be positioned in relation to other products in the same line

Review 1. What are the focus and goal of product positioning? 2. How is positioning a product in relation to competition different from positioning it in relation to other products in a line?

Repositioning �When a product reaches the decline stage of the product life cycle it must be changed – or repositioned �Repositioning – changing the identity or image of a product to redirect or expand the target market

Examples: Pledge Commercial

Examples: Cheerios Commercial

Planograms �A computer developed diagram that shows retailers how and where products should be displayed on the shelf…maximizing the products potential

Assignment �Get the Orange Textbooks �Complete the questions from Chapter 30. 2 �Questions 1 -3 on page 647 �Questions 7, 8, 9, 10, 11 on page 649