Brand Differentiation and Positioning: IKEA, Samsung, TAG Heuer

This essay examines the brand differentiation and positioning strategies of IKEA, Samsung, and TAG Heuer. IKEA differentiates itself by offering affordable, stylish, and eco-friendly home furniture, targeting a broad demographic through various segmentation strategies and collaborating with designers worldwide. Samsung, on the other hand, focuses on high-quality smartphones and electronics, employing a price skimming strategy and extensive marketing campaigns. TAG Heuer specializes in watches and accessories, utilizing demographic positioning and social media marketing to reach a global audience. The analysis highlights how each company leverages unique approaches to stand out in competitive markets, emphasizing the importance of understanding customer needs and market dynamics. Desklib provides access to similar solved assignments and study resources for students.

BRAND DIFFERENTIATION AND POSITIONING: IKEA, SAMSUNG AND TAG HEUER. 1
Brand Differentiation and Positioning: IKEA, Samsung, and TAG Heuer.
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BRAND DIFFERENTIATION AND POSITIONING: IKEA, SAMSUNG AND TAG HEUER. 2
With the increasing competition between industries, companies are forced to devise
right, competitive strategies. One of these strategies is brand differentiation (Carter, 2014).
Brand differentiation is where a brand set itself apart from the competition by performing
well in the market with multiple customer benefits.
IKEA, the world’s largest retailer of home furniture, produces affordable and stylish
kitchenware and appliances. IKEA is well established in the world market due to: An
exclusive museum used for showcasing its products from its creativity. Targeting strategies
like demographics, geographic segmentation and psychographic used by the company to cater
to the ever-changing and dynamic market of home requirements. According to Cooper
(2015), IKEA coordinates with various designers across the world and test their preferences.
This enables it to produce the latest furniture designs that are admired by the customers.
Furthermore, its products are artistically designed, affordable at low costs and eco-friendly.
Ikea, therefore, positions itself as a provider of quality furniture at low costs to its customers.
Conversely, Samsung deals in smartphones, laptops, and refrigerators among other
electronics. Its marketing strategy involves direct marketing and personal selling, various
forms of advertising, events, and experiences. It uses a price skimming strategy whereby it
offers products at higher prices then lowers their prices over time. This enables it to
adequately sell its newly-launched products before a competitor launches a similar product
and drops the price and then drops the prices to pose barriers to potential competitors.
Samsung, therefore, positions itself as a provider of high-quality smartphones and electronics
at high prices to its customers.
Furthermore, TAG Heuer deals in the production of watches and other accessories. It
has globally spread its products to over a hundred and twenty countries. Also, the enterprise
conducts intensive marketing campaigns and launches ads via electronic and print media as
basic marketing strategies. Besides, it uses Social media like Twitter, Facebook, and

BRAND DIFFERENTIATION AND POSITIONING: IKEA, SAMSUNG AND TAG HEUER. 3
YouTube for advertising its products. The company has established a demographic
positioning strategy whereby it sells 70% of its watches to men.

BRAND DIFFERENTIATION AND POSITIONING: IKEA, SAMSUNG AND TAG HEUER. 4
References
Carter, L., 2014. Persona Design. [Online]
Available at: https://www.personadesign.ie/brand-differentiation-30-ways-to-differentiate-
your-brand/
[Accessed 19 April 2018].
Cooper, H. M. B., 2015. Cand. Soc., Management of Creative Business Processes. [Online]
Available at:
http://studenttheses.cbs.dk/bitstream/handle/10417/5284/hannah_morgan_bahnsen_cooper.pd
f?sequence=1
[Accessed 19 April 2018].