Products positioning and re-positioning

Product positioning involves a series of decisions and operations that target the generation and maintaining of a certain image of the product in consumer's mind, related to the competitor brands.
A product's position includes the perceptions, opinions and feelings the customers have regarding the product, comparing it to the similar products on the market. Therefore, from different points of view, a product can have a lower or higher position compared to other competitor products.

Positioning stages: The positioning factors are considered for differentiation criteria roles as well as for positioning and they have to meet the following requirements: Depending on the product's features and company's objectives, there are various positioning strategies along with appropriate promotion techniques:
  1. Positioning related to the competition
  1. Positioning related to product's features
  2. Positioning related to value-for-money - this method is suitable for products that don't have many features, launders for example, that promote high quality cleansing at a low price.
  3. Positioning related to usage method
  1. Positioning by associating the product to a certain user group – suitable for cosmetics, drinks, tobacco. In this case, the message is delivered by actors, tv stars, sports people, musicians.
  2. Positioning by product class – the advertising messages are comparing the product with substitutable products( shower gel and soap).
  3. Positioning related to origin place – for example, French wine and fragrances, Belgian chocolate, German beer, Scotch whiskey. The messages are focused on the good reputation of some products originating from certain areas.
Product re-positioning
Sometimes during its existence, a company may notice that its products' image is outdated, or can be improved. Then the company starts re-positioning its products in customer's perception.
Re-positioning consists in identifying a new, unoccupied market position and promoting the product based on the new criteria.
Re-positioning is suitable for minimizing company's own products' competition. The business is trying to make a difference in the way the consumers perceive the similar products they furnish.
Re-positioning requires a sustained promotional campaign and bring forward many risks.