Relevance and Importance of Positioning and Repositioning for Marketers

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Added on  2023/01/18

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This case study explores the relevance and importance of positioning and repositioning for marketers. It discusses the implications for business performance and the methods of repositioning. The case study focuses on Mulberry, a UK-based luxury fashion company.
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Case Study
Mulberry
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Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1. Explain the relevance or importance of positioning and repositioning for marketers.............1
2. Explain the implications for the performance of the business if move is successful..............2
TASK 2............................................................................................................................................2
1. Positioning map and how positioning of the brand change the result of this process.............2
TASK 3............................................................................................................................................3
1. Method of repositioning...........................................................................................................3
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5
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INTRODUCTION
Positioning refer to the spot where brand filled in the consumer's mind and it is totally
different from their competitors. If they achieve the strong position in the consumers mind then it
is very difficult to change. It is the most effective marketing concept which every organization
follow for impressive results (Bao and et.al., 2016). Repositioning is the process of change in the
brand or product positioning. In order to reposition, management have to change their target
market in order to understand the products. This report based on the case study of Mulberry
which is UK based luxury fashion company founded in 1971 by Roger Saul.
TASK 1
1. Explain the relevance or importance of positioning and repositioning for marketers
Positioning and repositioning both are major strategies which by the companies in order
to make their place in the consumer's mind. Accoutring to MINTEL fashion Accessories report
of UK reported that many luxury brands that posted results in 2016 and first quarter of 2017. it
increases in the tourist sector of the UK due to weak sterling referendum. Burberry reported the
double digit sales growth after 30th Sep 2017. But in Q2, it was reduces because of Sterling's
weakness. Along with this company reported 10% decline in global revenue around £ 2.8 billion
in 2017. on the other side, turnover of Mulberry company of UK increases around 8.6% for the
year ended 31st march 2017. Around 60% of UK sales reported in the domestic market which is
very impressive and all are possible with the help of marketing strategy of positioning or
repositioning. It's important or relevancy mentioned below:
Poisoning is very essential for the organization which helps them to understand the needs
of consumers (Gokdogan, Oguz and Baran, 2017). So management make their strategies
accordingly which maximise their demand as well as revenue.
With the help of positioning marketers able to communicate all the attributes to the
marketers which make them capable to target their customers accordingly.
Repositioning help the marketers to provide strong competitive position in the market
which make them able to achieve their business goals & objectives.
It also helps in improving sales because they use various communication or promotional
strategy in order to make people aware about repositioning of products.
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2. Explain the implications for the performance of the business if move is successful
In context of Burberry company, it is reported that revenue of the company reduces after
September 2017. In order to face this issue, marketers find various solutions such as they
reposition their brand in the premium market. To improve their sales as well as revenue,
Burberry company follow reposition method where they reposition their product in the new
market or target suitable customer for products. According to survey, 16-24s customers are the
luxury shoppers and they are the frequent buyers. In the highly competitive market, Mulberry
made a mistake where they increases the price of their products so Burberry does not wanted to
repeat the same mistake (Huntley and et.al., 2015)). Burberry repositioning their brand where
they planning for the digitalization or offer products online which is beneficial for customers to
order goods directly from stores to home. It is the most beneficial move which taken by the
company in order to maximise their sales as well as revenue which further helps in achieving
business goals & objectives.
TASK 2
1. Positioning map and how positioning of the brand change the result of this process
Positioning map is the procedure of analysing company's success after implementing all
the strategies which business used to maximise sales as well as revenue. With the help
positioning business able to expand their market shares. In context of Burberry, they use digital
media platform for this purpose and below mention positioning map shows the positing of three
different companies such as Burberry, Gucci and Primark.
2
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Above mention positioning map shows that Burberry is in good position because it is not
so expensive and provide high quality products (Positioning of Burberry, 2018). Primark has low
quality goods which is also very cheap ion comparison to other brands (Positioning of Primark,
2018). In addition, Gucci has low working capability in relation to Burberry and it is also very
cheap in prices (Positioning of Gucci, 2018). Burberry company achieve high position in the
market because of their attractive strategy.
TASK 3
1. Method of repositioning
Repositioning is the method which used by the organization in order to increase their
sales as well as revenue. It further helps the organization to maximise their market shares as well
achieve the desired goals. There are various repositioning method such as perceptual mapping,
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communication process, repositioning the goods etc. But, only two methods required to
discussed which mentioned below:
Perceptual mapping: It is the visual representation of the customers and regarding their
attributes of an organization. This techniques used by the researchers as well as marker analysis
in order to measure the behaviour of individual regarding their products. Burberry company use
this method where they analyse the attributes of customers. Management formulate strategies for
the betterment of the business operations (Wan and et.al., 2017). If organization stuck in the
situation such as poor brand image or decline in market share. So repositioning method helps to
capture market share as well as improve brand image as well as product image.
Reposition product for the specific market: this method used to target specific market
such as Burberry follow this methods. At the time of using this strategy, Burberry have to live
their existing market because they are unable to fulfil demand of every types of customers. By
using this method, business target the specific market for the repositioning.
CONCLUSION
From the above discussion it has been concluded that positioning or repositioning of
product or brand help the businesses to increase their market share along with sales or revenue.
There are various methods which organizations already follow or in order to repositioning they
have to change their strategy which make them able to achieve desired goals or objectives.
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REFERENCES
Books & Journals
Bao, T. and et.al., 2016. Systematic study on phytochemicals and antioxidant activity of some
new and common mulberry cultivars in China. Journal of Functional Foods. 25.
pp.537-547.
Gokdogan, O., Oguz, H. I. and Baran, M. F., 2017. Energy input-output analysis in organic
mulberry (Morus spp.) production in Turkey: a case study Adiyaman-Tut
Region. Erwerbs-obstbau. 59(4). pp.325-330.
Huntley, J. and et.al., 2015. One colour,(at least) two minerals: a study of mulberry rock art
pigment and a mulberry pigment ‘quarry’from the Kimberley, northern
Australia. Archaeometry. 57(1). pp.77-99.
Wan, X. and et.al., 2017. Safe utilization of heavy-metal-contaminated farmland by mulberry
tree cultivation and silk production. Science of the Total Environment. 599. pp.1867-
1873.
Online
Positioning of Gucci. 2018. [Online]. Available through:
<https://saintlaurentparisculc.wordpress.com/2015/05/18/saint-laurent-analysis-swot-
architecture-positioning/>
Positioning of Burberry. 2018. [Online]. Available through:
<https://sites.google.com/site/jacobmontagportfolio/burberry-brand-perception-
analysis>
Positioning of Primark. 2018. [Online]. Available through:
<https://andrewgolden.wordpress.com/2012/09/21/ugh-a-post-about-primark/>
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