MARKETING MANAGEMENT 12 th edition 10 Crafting the

MARKETING MANAGEMENT 12 th edition 10 Crafting the Brand Positioning Kotler Keller

Chapter Questions • How can a firm choose and communicate an effective positioning in the market? • How are brands differentiated? • What marketing strategies are appropriate at each stage of the product life cycle? • What are the implications of market evolution for marketing strategies? 2

How can PBS position itself? 3

Marketing Strategy Segmentation Targeting Positioning 4

Positioning Act of designing the company’s offering and image to occupy a distinctive place in the mind of the target market. 5

Value Propositions • Perdue Chicken – More tender golden chicken at a moderate premium price • Domino’s – A good hot pizza, delivered to your door within 30 minutes of ordering, at a moderate price 6

Positioning 7

Writing a Positioning Statement Mountain Dew: To young, active soft-drink consumers who have little time for sleep, Mountain Dew is the soft drink that gives you more energy than any other brand because it has the highest level of caffeine. 8

Defining Associations Points-of-parity Points-of-difference (PODs) (POPs) • Attributes or benefits • Associations that are consumers strongly not necessarily unique associate with a brand, to the brand but may positively evaluate, and be shared with other believe they could not brands find to the same extent with a competitive brand 9

PODs and POPs 10

Conveying Category Membership Announcing category benefits Comparing to exemplars Relying on the product descriptor 11

Consumer Desirability Criteria for PODs Relevance Distinctiveness Believability 12

Deliverability Criteria for PODs Feasibility Communicability Sustainability 13

Examples of Negatively Correlated Attributes and Benefits • Low-price vs. High quality • Taste vs. Low calories • Nutritious vs. Good tasting • Efficacious vs. Mild • Powerful vs. Safe • Strong vs. Refined • Ubiquitous vs. Exclusive • Varied vs. Simple 14

Addressing negatively correlated PODs and POPs • Present separately • Leverage equity of another entity • Redefine the relationship 15

Differentiation Strategies Product Personnel Channel Image 16

Product Differentiation • • Product form Features Performance Conformance Durability Reliability Reparability • • Style Design Ordering ease Delivery Installation Customer training Customer consulting Maintenance 17

Personnel Differentiation: Singapore Airlines 18

Channel Differentiation 19

Image Differentiation 20

Identity and Image Identity: The way a company aims to identify or position itself Image: The way the public perceives the company or its products 21

Figure 10. 1 Product Life Cycle 22

Facts about Life Cycles • • Products have a limited life. Product sales pass through distinct stages. Profits rise and fall at different stages. Products require different marketing, financial, manufacturing, purchasing, and human resource strategies in each stage. 23

Figure 10. 2 Common PLC Patterns 24

Figure 10. 3 Style, Fashion, and Fad Life Cycles 25

Figure 10. 4 Long-Range Product Market Expansion Strategy 26

Marketing Program Modifications Prices Distribution Advertising Sales promotion Services 27

Product in Decline 28

Market Evolution Stages Emergence Growth Maturity Decline 29

Emerging Markets Latent Single-niche Multiple-niche Mass-market 30

Figure 10. 5 Maturity Strategies 31

Marketing Debate ü Do brands have finite lives? Take a position: 1. Brands cannot be expected to last 2. forever. 3. 2. There is no reason for a brand to 4. ever become obsolete. 32

Marketing Discussion ü What strategies do firms use to try to position themselves on the basis of pairs of attributes and benefits? 33