Product Positioning and Brand Repositioning Strategies

This report explains the concept of product positioning and its benefits, along with the different types of benefit positioning strategies. It also discusses the need for brand repositioning in the face of increasing competition and changing market trends. The report cites examples from the pharmaceutical and design industries to illustrate the importance of strategic responses for organizational performance.

Question
1

INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
CONCLUSION................................................................................................................................7
REFRENCES...................................................................................................................................8
Books and Journal..................................................................................................................8
2

INTRODUCTION
The essential and difficult aspect of an industry's marketing initiatives is promotional
strategy, Advertisement, online sales, branding, packaging, company web presence, publications,
public relations efforts, marketing materials, endorsements, corporate event appearances, and
more are all examples of marketing communication (Mogaji, 2021). This report is going to
explain about the strategic decision which Centre on the product positioning and how the product
positioning create an image of the organization product in the market place. This report is also
going to provide some important benefits of the positioning statement as well as strategy so that
the organization can get appropriate advantages.
MAIN BODY
Positioning: A positioning statement is a simple summary of how a company, service, or
product outperforms the competition in meeting a consumer need. Differentiate statements or
unique value proposition are other terms for positioning remarks. A vision strategy, in other
words, is an articulation of how a product, service, or brand meets a specific consumer demand
in a way that its competitors do not. The method involves identifying a suitable market niche for
an item (or service or brand) and establishing it in that sector is known as placement. The goal of
positioning is to generate an image that highlights a brand's distinct advantages. Positioning
phrases for corporations and specific items can also be created by marketers. There are mainly 4
elements of positioning statement that is target market, Category, Differentiation, and the Payoff.
AfeitadoBaratos is considering launching three new Spanish-made goods (Ribeiro and
Providência, 2022). The first is a reprocessed shaver, the next is a moustache and beard style gel,
and the third is a charcoal textured comb created from recyclable plastic. These products will be
included in a third client package dubbed The Antonio Afeitado, which is named after Santiago
and Alejandro's grandfather. Antonio Hernández had a distinct sense of style, according to his
family and friends. After formulating the goals in context of product positioning it is very
important for time to work on the four elements of the positioning statement and that is category
target market differentiation and the payoff. The target market are required to be based on the
particular criteria which are available light geography demographic the expense requirement of
everyone. Category helps them to achieve by stating or providing a common category in the
Marketplace so that the customer can purchase the things in easy manner. Differentiation helps
3

the organization to provide unique features and benefits in the Marketplace that will help them to
become effective in the Marketplace and achieve their goals and objective. The payoff is the kind
of strategy your element that ties with the differentiation with the requirement or objectives of
the target market. It is very important for them to tell the target audience that how they are
differentiating their products that will help them to achieve what they want to achieve in their
company.
A) The three types of benefit positioning: There are three types of benefit positioning
strategy. Consumers' attention is the focus of product positioning tactics. While there are
many alternatives for businesses to consider when it comes to product placement, the
majority of them fall into one of three groups.
Comparative positioning strategies operate by presenting items next to other brands in
order to emphasize their competitive advantage.
Differentiation: Because a product's originality can't always be replicated, it's a good
candidate for a competitive edge.
Segmentation: Sometimes, in order to help a brand stand out, it's necessary to focus on
various audiences with varied needs, yet all of whom are interested in the same item.
Benefit Positioning
Benefit positioning mainly focussed about the specific benefits which provide the unique
solutions as per the specific brand. The approach of benefit positioning provides various
advantages to the products positioning and this approach is very less beneficial as compared to
the brand positioning. This approach is imposes the tight restriction as per the brand. A
company's competitive strength is improved by product positioning. Consumers usually think
about the benefits of an online before purchasing it. As a result, product positioning establishes
the superiority of a business and its products above those of competitors. It may also assist
customers in selecting the appropriate item. Some specific benefits of positioning are as follows -
 Make a solid competitive position - The way your product or service is positioned in
relation to the competition has an impact on how buyers perceive it. You're more
motivated to keep a market edge if you develop a positive image of your product/service
4

in the eyes of the clients. This allows you to assert your place in the competitive
landscape, which greatly aids your ability to keep up with the competition.
 Increase the sales - Improving sales and revenue is one of any company's major
objectives. Your organisation may be able to reach a market opportunity by providing a
more relevant offering and communicating it more successfully, that can result in new
customers and revenues.
 Define a more specific target market - In advertising, positioning helps to pay a
special functionality or benefit and target your products/services properly, giving them
the appearance of being an expert in the field. As a consequence, your perceived value to
prospects will skyrocket.
Benefits of brand Positioning
To Make the Whole Company Market-Oriented:Product positioning is a component
of a larger marketing strategy. It is concerned with recognizing exceptional characteristics of a
product and more successfully matching them with customers than competitors. This attitude
orients the entire company toward the market.
To Deal with Market Shifts:The manager's job isn't done after the product is properly
placed. He has to keep an eye on the market at all times. New competitive advantages should be
discovered, discovered, or produced in response to new economic trends to meet changing sales
expectations. It keeps the manager awake, active, and creative.
To Increase Customer Satisfaction and Loyalty:The property, product, and branding
are all reinforced through methodical product positioning. It raises awareness of the brand. The
company has the ability to build goodwill and gain client loyalty.
As per the analysis it has been evaluated that the most appropriate form of benefit for the
Antonio Kit is to deal with the market shift. As in order to keep up with technological and
advertisement changes Antonio Kit will have benefit in term of effective dealing of market shift.
5

B) In order to ensure profitability marketing practitioners, reposition a brand in order to
capture a new market segment.Brand positioning provide a new forward path to an
organisation when there is higher competition prevailing in market. Furthermore, another
most important reason for which marketing practitioner reposition a brand is to keep up
with the evolving needs and demands of consumers.It is essential for respective
organisation to avoid losing competition due to increasing market and negligence of
digital marketing and innovation.It has been identified that due to these factors company
measures significant decline in their sales.Here,marketing practitionerswhile
repositioning brand introduce a new service or product through which they can ensure
sustainability in market (Kiplagat and Odollo, 2021).Due to significant increase in
business environment organisation face number of losses in terms of sales and losing of
consumer based.In this repositioning strategy facilitate company to keep up with the
changing market perception and have opportunity to make improvement in organisation
offerings:
Increased competition
Increase in competition in market segment effect to growth opportunities of
organisation.In this marketing practitionerswith the help of brand repositioning can and assure
number of advantages in terms of satisfying consumer needs and keep up with the evolving
needs of business environment.
Changes in Macro Environment
Macro environment of business is inclusive of factors like industry level changes,
technological advances, economic conditions, changes in government policy etc which is not in
the hands of company (Mogaji, 2021).In this market practitioner with the help of repositioning of
brand can align organisation with technological advancements and can gain more
competitiveness in market.
From the analysis of above case scenario, it has been identified that “Yes” repositioning of
brand is required as AfeitadoBaratosfaces increasing competition.Along with this company also
affected due to not having strong digital media presence comparatively to other competitors in
industry and lack of innovation from last few decades.In this to remain competitive in respective
industrial sector it is essential for company to take use of brand repositioning, as this will help
6

them to overcome the current competitive situation and ensure profitability and long-term
sustainability in industry.
CONCLUSION
As per the above-mentioned case analysis it has been identified that in order to remain
competitive in any industrial sector it is essential for an organisation to keep up with the
technological advancements, marketing changes and other factors in business environment.By
performing business operations with the help of taking advantage of strategies according to the
trend prevailing in market business organisation can ensure competitiveness in industry and can
also be sure profitability on simultaneous basis.
7

REFRENCES
Books and Journal
Kiplagat, C.V. and Odollo, L., 2021. EFFECT OF STRATEGIC RESPONSES ON
ORGANIZATIONAL PERFORMANCE OF PHARMACEUTICAL FIRMS IN
NAIROBI CITY COUNTY, KENYA. International Research Journal of Business and
Strategic Management, 2(3).
Mogaji, E., 2021. Brand in the Digital Era. In Brand Management (pp. 145-158). Palgrave
Macmillan, Cham.
Mogaji, E., 2021. Brand Positioning. In Brand Management (pp. 63-84). Palgrave Macmillan,
Cham.
Ribeiro, M. and Providência, F., 2022. The Brand as Mediation Through Design. In Perspectives
on Design II (pp. 245-256). Springer, Cham.
Stackmann, T., 2021. Circular PSS: IncreasingConsumer Acceptance through a Rewarding
Digital Brand Experience: A rewarding digital brand experience & strategy to help
increase consumer acceptance and engagement towards the circular product service
system of washing machines from ASKO.
8