In this hypercompetitive world, where thousands of brands are trying to outdo each other to capture people's attention and interest, brand positioning is crucial for making a lasting impression in your customers' minds. Here, I'll discuss what brand positioning means, why it's important, and how to come up with an effective positioning strategy.

Brand Positioning Defined

What is brand positioning?

The idea behind brand positioning is to identify a market niche that a brand can then attempt to own, explains The Cult Branding Company. That is accomplished through a process (which can include determining, among other things, pricing, promotions, distribution, packaging, etc.) that creates a position in the minds of prospective customers—an impression that associates specific desirable attributes with your brand, distinguishing it in the marketplace.

Essentially, brand positioning is an internal tool that defines what you want customers to think of when they think of your brand, and why they should choose you. In turn, it guides all marketing efforts across all points of contact with the customer.

Why is it important?

Brand positioning is integral to shaping consumer preferences, and it is also "directly linked to developing customer loyalty, consumer-based brand equity, and the willingness to purchase the brand," according to The Branding Journal. It has been used as a powerful tool for giving brands an edge over the competition.

A brand positioning statement is not a tagline

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image of Naida Alabata

Naida Alabata is an entrepreneur and a junior content marketing specialist for various online brands. She writes about branding, entrepreneurship, small business development, and marketing.

Twitter: @alabatanaida

LinkedIn: Naida Alabata