Positioning is the process by which marketers try to create an image or identity in the minds of the target market for its product, brand, or organization. The image/perception could be created by highlighting

  • Physical attribute of the product – BOSE - “Better sound through research”
  • Extended attribute of the product/service -  Coca Cola - “Coca-Cola refreshes you best”
  • Generic attribute of the product/service – “A diamond is forever”
  • Sometimes combined with

Quality – Ford - “Quality is job one”

Time – Dominos – “Fast home delivery of pizza under 30 minutes” so as to meet the needs, benefits expected, purchasing habits and occasions of the targeted segment


Some examples of positioning:

  • Dominoes Pizza have positioned themselves as a company which provides “fast home delivery of pizza under 30 minutes” resulting into “Pizza Hut” being the place to go and eat pizza but “Dominos” is what you think of when you think home delivery of pizza. Positioning is all about creating an image/perception in the minds of the consumer.


  • In the case of fairness creams the first thing that comes to the consumers mind is generally “Fair and Lovely”. It was fairly well positioned in the minds of the customers. So what do other fairness cream manufacturers do to create differentiation? They came up with “fair and handsome”, a product especially designed for men! It is noticeable that both products are similar in formulation and usage and both can be used by either gender. It is only because of differentiated positioning that one is heavily used by women and the other by men.


Steps to Position a Product


  • Define the segments in a particular market
  • Decide which segments to target
  • Understand what the target consumers expect and believe to be the most important considerations when deciding on the purchase
  • Develop a product (or a product) that caters specifically for these needs and expectations
  • Evaluate the positioning and images, as perceived by the target customers, of competing products in the selected market segments
  • Select an image that sets the product apart from the competing products, thus ensuring that the chosen image matches the aspirations of the target customers
  • Inform target customers about the product (promotion)