Positioning has long been described as an action that a company does, but this is a flawed premise as it presumes that an organization can fully control the position it holds.
Before elaborating on this inherent defect, I’ll offer a basic definition of a position from a marketer’s perspective. A position held by a company or brand is the place it holds in the minds of its target customers. Essentially, a position is whatever adjectives are used by customers or potential customers to describe the product, company or brand.
The mistake in stating that we, as marketers, position our brands lies in failing to appreciate that customers ultimately come to their own conclusions. If a position is a mental association held by the customer, a degree of success or failure will always be outside of our control – especially when the concept is considered on an individual basis. John Smith has one opinion or association with a product but Janet Jones has another. The seller is not able to guarantee reconciliation between their opinions or even guarantee that either person’s views are exactly what is desired by the company.
A better way to approach positioning is to pay heed to the proposition part of the term “value proposition.” Note that this simple phrase acknowledges that companies are proposing a way of offering something of worth. They are not dictating that value will be realized. It’s a suggestion or, better yet, a request for acknowledgment from the marketplace. The company would not make this proposition if it did not believe it to be true, but that does not mean others will feel that the value exists.
Companies do not position themselves, their products or their brands. They merely ask for a position. This request will either be granted or denied by their customers.
This is not to suggest that companies are weak in this process. Their influence in creating an effective and desired position is tremendous as the likelihood of success in requesting a position is amplified by consistency in communications and actions.
Looking at one of the most cited examples of successful brand positions, we know that Wal-Mart might tout its everyday low pricing strategy in its advertisements, but the discount retailer would not be successful in its request for this position if it did not follow through with consistently lower prices. The fact that it might not be the lowest price on every item in the store is inconsequential when it is true often enough for its loyal customers to believe that they’re saving money. Other potentially less obvious ways by which the retailer reinforces its positioning request are through layouts, store design, color schemes, etc. All visible cues tell its customers that this is a no-frills experience, thereby enabling them to save money.
Another common example of a successful brand is Apple, a company which is most commonly associated with innovation. Nonetheless, simply saying that the company is innovative or telling customers to “think different” is not enough to guarantee the loyal following of Apple enthusiasts. Instead, the company seeks to make its request through regular product launches and seemingly customer friendly advances in technology. If we reflect on the introduction of Apple stores and their layouts, there is little room for suggesting the company was anything less than innovative when it came to its retail format. Like with the previous example, there are clearly limits to this company’s success in truly being innovative. Even its most loyal customers will acknowledge that one phone or another lacks in being much of a breakthrough compared to its predecessor model. Nonetheless, this suggests that a tipping point exists for customers to be willing to accept a request for a position if the request is made consistently.
Both of these examples are brands with strong contingencies of loyalists as well as their many critics. The existence of critics only reinforces the concept of positioning is a request and not a verb. The question becomes whether those critics would ever consider becoming customers. If not, the success of these and others companies’ requests is best measured by the acceptance of their target markets and not by the marketplace at large.
While it might sound like grammatical semantics, appreciating that positioning is not a verb, and therefore not an action that a company controls, underscores an appreciation for your customers. In the world of positioning, there are two verbs at play: the company requests and the customer grants – at least if all goes according to plan.
Lewis Greenberg, M.B.A., P.C.M., is an Adjunct Professor in the H. Wayne Huizenga College of Business and Entrepreneurship, Nova Southeastern University, and a Marketing Manager at Marcum LLP. He can be reached at lewis.greenberg@marcumllp.com
#1 by Juan Mosquera on 3/20/17 - 10:07 PM
Customers are measuring products and services based on their own expectations and will continue to use products and services according to their previous experiences.
Customers will position the company based on their positive or negative interaction with the company, so this is not a simple rating that the company has full control of without the customer's interaction.
When the company provides a positive experience, they are merely requesting the customer to continue using their services or products and to continue sharing their positive experience with others.
I also agree that it is essential for a company to follow through with their marketing promises to be able to attract new customers but also to keep their loyal customers.
I can also say that Marketing departments for Apple and Walmart used very convincing methods to attract customers that are loyal to the brand and the culture of the company that they will continue promoting the brand even if their own experience is not always the best.
#2 by Jenna Guzman on 3/21/17 - 4:44 PM
Ultimately, the company presents what it believes to be of value and why, but the customer must decide if they agree with that stance. An example from my personal experience would be Spirit Airlines. The company totes that they have the lowest fares on airline tickets, and while that may be technically true, they also offer much less for the ticket price. If I wanted to carry on a bag, check a bag, choose my seat, have a soda on the plane, I would need to pay extra for each one of those services which may be included in another company’s fare, albeit a higher fare. However, the point is that I don’t see the value in being nickel and dimed for services that I want, so I choose to put my business elsewhere. My opinion of their business is out of their control, even if they do offer low priced flights.
#3 by Krishawn Wiggins on 3/21/17 - 10:50 PM
#4 by Brooke McLaughlin on 3/22/17 - 12:57 PM
#5 by Jennybel Herrera on 3/22/17 - 6:19 PM
For example, Walmart claims lowest prices and they do have low prices but do they always really? I'm sure for some items or food products you can find at a lower price elsewhere but since Walmart constantly claims and has positioned themselves as a company for lowest prices customers believe it as such and even though most prices might be low not all of them might be at their lowest. The ones that aren't at their lowest might usually be overlooked because the customers are shaped mentally to believe they have the lowest prices and will usually not bother looking elsewhere. I don't particularly believe the company should position themselves but I do see the logic in it. I see it as a way to put the company and brand out there in a positive light and gain loyal customers but it is important to maintain and follow through with the position the company or brand may hold in order to keep the loyalty of their customers.
#6 by Hele Barnes on 3/22/17 - 10:15 PM
#7 by Victoria Vilsaint on 3/22/17 - 10:56 PM
#8 by Sareilys Perdomo on 3/23/17 - 8:08 AM
In the Walmart example, yes, they are a discount retailer with very great prices; however, everyone has their own experiences shopping at Walmart and many may not like it there at all. Personally, I have never had an issue with Walmart but I know many friends and family that do not shop there because they have experienced terrible customer service. A company must not only sell their product, but also their services. Publix is a great example of a company that markets their products and great customer service. Overall, this article was very informative and I enjoyed reading it.
#9 by Amanda Williams on 3/23/17 - 8:30 AM
With all of the available information exchange systems it is easier than ever for customers to share their experiences with a company/product which heavily influences positioning. This availability of opinions and experiences can be positive or negative for marketing. Social media stories frequently surface that shine a very poor light on a company or product which spreads like wild fire. Likewise, I have seen instances where the same company uses these platforms to reestablish their positioning and change consumer perceptions in a positive way.
#10 by Ana Roque on 3/23/17 - 9:15 AM
Corporations strive for market position, but it is not a perfect science. I work for a corporation the broker’s candy and on the eye of the spectator it seems that we can hold a strong market share due to the nature and niche of the business. When you dive in and evaluate the competition, technology, knowledge of business and ultimately the value that we bring to the market; we find that there are other sharks roaming to steal your thunder.
Our brand and our success come from the value we can offer our clients. In this industry we have to go way and beyond in service. We offer in-house employees to perform valued activities for clients. They can save in personnel cost and transfer budgeting, promotion planning and tracking. It is a strategy to save them money and we gain loyalty and trust. Bottom-line, corporations need to build a partnership and relationships to have a strong stake positioning in the market.
Ana Roque
#11 by Reachel McWhorter on 3/23/17 - 10:07 AM
#12 by Nikesh Patel on 3/23/17 - 12:34 PM
#13 by Verushka Alvarez on 3/23/17 - 12:54 PM
I agree with Mr. Greenberg’s assessment of positioning because I do believe that a company’s position is a well thought out request to its customers. A company cannot position itself in the market without taking into consideration the customer’s thoughts about the product or service. The customer has to genuinely accept or reject the position request from the company. A company may exemplify a desired position by demonstrating consistency in their communications and behaviors. This is why it is important for companies to follow through with their marketing promises.
From my personal experience, a company that has communicated its marketing efforts efficiently has been Nordstrom. I am a loyal customer of Nordstrom because they always have the good service and products/services that they advertise for. Through out the years I have had only one mishap, yet the company immediately fixed the situation and reimbursed me as necessary.
#14 by Stephanie Ramcharran on 3/23/17 - 2:08 PM
This take on positioning is quite interesting and should really be considered with all companies. It is true that a company can not control the action of their position, that is overall in turn the customers way of portraying the business. Yes the company can definitely make tweaks and changes to the company to help portray a certain position but it is not always going to be viewed the same way the company thinks that they are being portrayed by all customers. A company must have a goal and a culture that they would like to be portrayed and it is the companies responsibility to keep up to their culture and their brand. It does not necessarily mean that everyone is going to agree that the company is abiding by their brand and culture but that is how people are. Not everyone is going to be satisfied, and all that the company must do is to try their best to keep up with their position.
#15 by Loren Looney on 3/23/17 - 3:08 PM
Greenberg states, “Nonetheless, this suggest that a tipping point exist for customers to be willing to accept a request for a position if the request is made consistently.” These two companies own their markets due to the way they have structured products and services to meet demands for their target customer’s needs. This is how they are able to continuously capture their customers and own their brand positions in the economy.
All in all, the viewpoint and the experience that the customers have with the company, good or bad is extremely important. Whether or not the company will create sustainability in the market by utilizing it’s ‘Value Proposition,’ is based on the good or bad experiences customers will face with the particular product or service being offered. Another reason why I relate to the author in not believing any establishment can just position themselves in the market.
#16 by Thomas Rivera on 3/23/17 - 5:51 PM
Walmart for example is great at displaying signs for their sales and price rollbacks all over the store. The visual cues overwhelm much of the customers that shop at their stores, and lead them to believe that they are saving on all their products. I usually price compare as I walk through stores and visit the large warehouse stores as well to get the most for my dollar. Agree that some of their products are priced less than their competitors, but I end up buying half of my list at the big warehouses where I can get it in bulk and usually save more. I agree with their position that they are suggesting on their sale items but disagree with it on the rest of the items that are usually priced higher.
Apple is a company that I completely disagree with their suggested position of being innovative. They have nice products that last long, but they are always presenting a new item every year that is slightly different. It is great for business because the large following that they have purchase more often, but the portion of the market that sees the business plan for what it is will purchase from their competitors. I can get an item that is comparable for a greater savings. I see the yearly releases as a gimmick to get people to spend their money on an item maybe had one change from it predecessors, and that is not enough for me to jump on the bandwagon.
A large portion of society agrees with their position that they are portraying so it makes financial sense for the company to continue marketing in this fashion. They can merely suggest an idea and it is up to the consumer to decide their position. Your insight on this subject has made me consider other places that I shop and see how they are trying to convince me to side with their marketing plan.
#17 by Miranda Underwood on 3/23/17 - 6:28 PM
#18 by Jason Brett on 3/23/17 - 6:56 PM
I can recall going grocery shopping and having to decide between a name brand and store brand product. Both products have the exact same ingredients and I assume are manufactured in an identical manner. However, I choose the more expensive name brand item because the company has taken the time to influence me and allow me to believe that it is of a higher quality. Positioning is a very real thing to me and is important to remain relevant especially in very competitive markets.
#19 by Ricardo Puyana on 3/23/17 - 6:57 PM
In Venezuela, there are few segments where there is a lot of completion and usually it varies regionally. Having brand recognition translates into having a better probability of producing a sale in a market with imperfect information and customer not accustom to online research of product quality and comparison as in other countries such as the US. Greenberg (2017) writes “Their influence in creating an effective and desired position is tremendous as the likelihood of success in requesting a position is amplified by consistency in communications and actions” (parra. 6). I believe this is the key point for asking customers to have a brand in their mind. Credibility and emotional attachment does not happen overnight, it’s the direct result of consistently communicating and executing such words into actions. For example, Apple consistently speaks of why the make great innovative product but they also make them.
In conclusion, I agree with Lewis Greenberg’s view in the article. Brands must request their customers for their attention as in why the brand is different than others and therefore why it should be its first option when buying, and this comes with time and consistency. The more this two factors are aligned the greater the chance of success.
Sources:
Greenberg, L. (2017, February 15). Positioning is Best Viewed as a Request, Not a Verb. Retrieved from https://secure.business.nova.edu/marketing-blog/in...
#20 by Monique Hunter on 3/23/17 - 7:08 PM
#21 by Alissa Fudge on 3/23/17 - 9:10 PM
I also feel that people unfortunately have a herd type mindset. I am not saying that people do not differ from each other, because there might be someone that likes a Samsung over an iPhone; however, people are impressionable. I loved my Samsung phone, loved everything about it and I now have an iPhone because everyone else in my family has one. The iPhone was more interesting to my family members with its neat designs where I liked the practicality of the Samsung. Companies evaluate the position of other similar products and see what other dimensions can be added to position them within a larger market (Finch & Geiger, 2010). Positioning may not be a simple thing to understand, but I do not feel that companies are necessarily asking for a position instead of creating it.
-Alissa Fudge
References
Finch, J. & Geiger, S. (2010). Positioning and relating: Market boundaries and the slippery identity of the marketing object. Marketing Theory, 10(3), 237-251. doi:10.1177/1470593110373188
#22 by Lindsay Aughton on 3/23/17 - 9:27 PM
"In the world of positioning, there are two verbs at play: the company requests and the customer grants – at least if all goes according to plan" (Greenberg, 2017). Humans were given free will and as such may one day be loyal to a certain store or brand and the next they may be a critic. It is impossible to predict a stores position but as the article suggested stores can do things to attract customers.
I appreciate how the article looked at the positioning strategies of two very different companies. In the world of marketing there is no one size fits all, it's all about customization. The success and approval of your company is determined by your target market.
I encountered this in my own career when I managed an Enterprise Rent-A-Car location in Winter Park, FL. Enterprise has been positioned as more of a neighborhood car rental company, the company you think of when you need to rent a car locally, the company you call when your car is in the shop, and unfortunately, the company you call when you've been involved in an auto accident. I would see some people on the worst day of their life and somehow, they would still leave with a smile on their face. I had customers' who rented from me on a weekly basis, and I even had customers' who were so loyal that they followed me from store to store. Enterprise Rent-A-Car has an excellent marketing platform in my opinion.
#23 by Valentina Serna on 3/23/17 - 9:50 PM
Now a day, if a company provides a product that appeals to their target market, it can help in better positioning them in the market. Unfortunately, with the constant changes in trends, companies must continue to appeal to customer’s attitudes in order to remain on top. Just because are positioned a certain way today, does not mean that it will always stay the same.
#24 by Vashronda Sellers on 3/23/17 - 10:35 PM
In your article you mentioned Wal-mart as a successful brand position company known for offering items at an everyday low price. I agree that they are successful in that respect; however, they fall short when it comes to online ordering.
As an avid online shopper, sometimes receiving the lowest price is not always the best option. Recently, I found an item on Amazon’s website that I needed quickly; however, according to Amazon the item would be delivered the day I needed the item with 2-day prime shipping. I wanted the item sooner so I could make sure it would work properly, but I didn’t want to pay for overnight shipping. I decided to check Wal-Mart’s website for the item. The item was available on Wal-Mart’s website at a lower price with same day in-store pickup. I ordered the item from Wal-mart.com and waited patiently for my text message telling me my item was ready for pickup. The information provided to me on Wal-Mart’s website was incorrect. I received an email from Wal-mart.com informing me that the item was not available for same day in-store pickup. The email also provided me with two options, cancel my order or wait five days for delivery. I was disappointed and had to return to Amazon’s website and select the overnight shipping method, because the original “order within” timeframe had passed for the original delivery date. I had to pay a higher price for the item and additional money for shipping.
I’ve ordered from other online retailers (Amazon, Target, Brookstone), and I’ve always received my shipments on or before the dated provided. As a consumer, Amazon provides strong points-of-difference for me when it comes to reliability. Although Wal-Mart now offers delivery similar to Amazon Prime, I will not be purchasing anything I need quickly from Wal-Mart.com.
#25 by Stephen Blumenthal on 3/23/17 - 10:42 PM
#26 by Juan Silva on 3/23/17 - 11:01 PM
An organization or a company does not have the power to position themselves and their products in the market, they rely on how its customers or potential customers perceive them. Customers are the ones who ultimately position the company in the market based on their personal experience with the company and with the products/services that the company offer.
Customer who have a good experience when buying a product/service from a certain company will continue to use them and based on their personal perspective, this customer will position this company on top of the market, but If the experience goes the other way around, I can bet that the customer will position the company at the bottom of the market. I’m providing my feedback on personal experience, for example, all the shopping I do online is with Amazon, on my perspective they offer great customer service, great products and ultimately good prices. I personally position them on top of the market, but for someone who may have had bad experience with Amazon, they will position them on bottom of the market and use another e-commerce site.
#27 by Amanda Chavez on 3/23/17 - 11:18 PM
#28 by Terri-Ann Bethune on 3/23/17 - 11:24 PM
In the context of the entire article, I did not have an opinion one way or the other. However, this particular citation invoked a response that I would like to discuss further. If the market place is not saturated with products (meaning if there is limited availability of alternative products) the customer, regardless of their experience with that product, will likely return to use the same product even if that initial experience is negative.
An example of this would be Microsoft Windows operating software. Microsoft issued Windows 7; went through their typical time between reading a new version and then released Windows 8. The market place appeared to negatively embrace windows 8; however, this negative view of the product did not facilitate a reduction in the number of consumers purchasing a Windows PC. A number of customer did however choose to continue to run Windows 7 on their personal and professional devices.
After noticing the public discourse and attempting to patch a number of bugs, Microsoft opted to release Windows 10, a new version of the Windows operating system. Many consumers using a Windows device (mobile phone, tablet, laptop and desktop) received the new operating system as a free upgrade. At no other time had Windows offered such an upgrade for free. All previous versions of Window Operating systems were available for purchase if it wasn't preinstalled on purchased devices. This action was largely received as Microsoft extending the proverbial olive branch to loyal customers. (Noted was the fact that Apple (a Windows PC competitor) routinely disseminates updates to their operating system for free to all customers running devices that can handle the upgrade.) Many consumers saw this gesture, on behalf of Microsoft, as a redeemable action.
Windows 10 was Microsoft's opportunity to offer a universal operating system platform. It is reminiscent of the user experience after Microsoft attempted to upgrade with Windows NT (an earlier version of the Windows operating system).
The other thing to note is that despite variable success across products, there continues to be numerous customers. Apple users continue to use the Apple products with no great rate variance. Windows PC users often contend that they do not understand the Apple OS system and justify why they do not move or take the leap from a Windows PC device to an Apple device. Whereas with the die hard Apple subscribers, they not only prefer to use the Apple devices, but when when faced with using a PC (when in a non-Apple influenced environment) they often return to using their Apple products when in their personal environment. In essence, Apple users tend to be more versatile in their use of varied operating systems whereas the Windows consumer is limited to the Windows PC experience regardless of their value for the product.
#29 by Engers Duran on 3/24/17 - 5:16 PM
#30 by Marianne De Armas on 3/24/17 - 11:50 PM
#31 by Camila Mangieri on 3/25/17 - 8:15 PM
I work for Adidas Originals, and the brand first marketed itself as a lifestyle casual brand inspired by sports and targeted consumers who were into sports with an active and healthy lifestyle.
However after attracting a different target market Adidas Originals shifted it’s branding completely and started to collaborate with celebrities. After Kanye West was caught wearing BOOSTs, Adidas acknowledge an incredible increase in sales for that specific line of product. Now Adidas Orginals has a line of apparel and shoes in collaboration with the celebrity Kanye West. The new CEO Kasper Rorsted was questioned in regards to Adidas originals brand positioning, and why the brand was collaborating with celebrities that are known by not having a healthy lifestyle.
Adidas Originals has an unclear positioning in the market at the moment, but the brand is clearly enjoying the momentum with 45% growth in revenue. Even though the CEO wants to reinforce that Adidas Originals is a brand inspired by sports and target to consumers who love sports, the brand seems to be attracting a whole different demographic.
#32 by Karla Ortiz on 3/26/17 - 9:04 PM
#33 by Alesha Washington on 3/26/17 - 11:59 PM
#34 by James Henson on 8/30/17 - 9:46 AM
#35 by ahmad nawwaf altarefi on 9/24/17 - 5:29 AM