Positioning is the act of designing the product’s image to occupy a distinctive place in the minds of the target customer. The goal is to place the product in the minds of consumer to maximize the benefit to the firm.
The result of positioning is the successful creation of a customer focused value proposition, a reason why the target market should buy the product.
Positioning is differentiating a product on the basis of attributes like price, use of applications, product user, product class, and the competitor without actual change in product. Positioning is more to do with psychology of customer than to attribute of product. Positioning requires that similarities and differences between products be defined and communicated to the customer. Positioning decision is the strategic decision for a company or a brand because the position can be central to the customers’ perception and choice decision.
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