positioning plc

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  • 8/8/2019 Positioning Plc

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    Crafting

    the Brand Positioning

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    Chapter Questions

    How can a firm choose andcommunicate an effective positioning inthe market?

    How are brands differentiated? What marketing strategies are

    appropriate at each stage of theproduct life cycle?

    What are the implications of marketevolution for marketing strategies?

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    Defining Associations

    Points-of-difference

    (PODs)

    Attributes or benefits

    consumers strongly

    associate with a

    brand, positively

    evaluate, andbelieve they could

    not find to the same

    extent with a

    competitive brand

    Points-of-parity

    (POPs)

    Associations thatare not necessarily

    unique to the brand

    but may be shared

    with other brands

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    Conveying Category

    Membership

    Announcing category benefits

    Comparing to exemplars

    Relying on the productdescriptor

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    ConsumerDesirability Criteria for PODs

    Relevance

    Distinctiveness

    Believability

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    Deliverability Criteria for PODs

    Feasibility

    Communicability

    Sustainability

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    Differentiation Strategies

    Product

    Channel Image

    Personnel

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    Product Differentiation

    Product form

    Features

    Performance

    Conformance

    Durability

    Reliability

    Reparability

    Style

    Design

    Ordering ease Delivery

    Installation

    Customer training

    Customer

    consulting

    Maintenance

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    Claims of Product Life

    Cycles Products have a limited life

    Product sales pass through distinct

    stages each with different challengesand opportunities

    Profits rise and fall at different stages

    Products require different strategies ineach life cycle stage

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    Figure 10.1 Sales and

    Product Life Cycle

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    Figure 10.2 Common

    Product Life-Cycle Patterns

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    Figure 10.3 Style, Fashion,

    andF

    ad Life Cycles

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    Figure 10.4 Long-Range Product

    Market Expansion Strategy

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    Strategies for Sustaining

    Rapid Market Growth

    Improve product quality, add new features,

    and improve styling

    Add new models and flanker products

    Enter new market segments

    Increase distribution coverage

    Shift from product-awareness advertising to

    product-preference advertising

    Lower prices to attract the next layer of

    price-sensitive buyers

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    Stages in the Maturity Stage

    Growth StableDecaying

    maturity

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    Marketing Program

    ModificationsPrices

    Distribution

    Advertising

    Sales promotion

    Services

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    Ways to Increase Sales

    Volume Convert nonusers

    Enter new market segments

    Attract competitors customers

    Have consumers use the product onmore occasions

    Have consumers use more of the

    product on each occasion Have consumers use the product in

    new ways

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    Market Evolution Stages

    Emergence Growth

    Maturity Decline

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    Emerging Markets

    Latent

    Single-niche

    Multiple-niche

    Mass-marketZibbie Zone is one of several

    virtual worlds tied to toys

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    Figure 10.5 Maturity Strategies