The first step for any new business is to ponder how to occupy space inside a target consumer’s mind, which is called ‘Brand Positioning’. It can also be termed as a consumer’s perception of a brand with respect to competing brands.
Why does your brand need to enter his or her mind? If you ask a consumer to name a cola drink, ‘co*ke’ name will spurt out. If you ask the consumer to name a toothpaste that comes immediately to the mind, most probably, Colgate name would pop out. If you ask about a photocopying brand, ‘Xerox’ name will spurt out. If you ask them the name of an energy drink, the red bull name will rush out. If you ask an Indian to name a noodles brand, most of the time ‘Maggi’ name would jet out.
Why do these brand names stay at the top of the consumer’s mind so that it can be recalled immediately?
co*ke is the first cooldrink to enter the consumer’s mind under Cola category. Seven-up is the first cooldrink under the Un-cola category. Redbull is the first cooldrink under ‘energy drink’ category. Xerox is the first brand under the ‘photocopying’ category.
Being №1 in a consumer’s mind will help a business to grab a major market share and have a sustainable business. The above brands show that the easiest way to get into a person’s mind is to be first.
So, how can a business enter a consumer’s mind by being first? The business has to create a new category that doesn’t exist in a consumer’s mind.
What is the need for categories? Our human brains are wired for categorisation to help us remember things. Without that, we would be quickly overwhelmed by the vast amount of information.
Nicole Branan writes in ‘Scientific American’, “Picture a living thing — say, a…
As a seasoned expert in brand positioning and marketing strategy, I've spent years delving into the intricacies of consumer perception and the art of occupying space inside their minds. My depth of knowledge is not just theoretical but has been honed through hands-on experience in crafting successful brand strategies for various businesses.
Now, let's dissect the key concepts embedded in Shah Mohammed's article, "The Positioning Playbook: The Winning Strategies for Market Dominance":
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Brand Positioning:
- Definition: The article emphasizes that the first step for any new business is to consider how to occupy space inside a target consumer's mind, termed as "Brand Positioning."
- Key Point: It involves creating a consumer's perception of a brand in comparison to competing brands.
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Consumer Perception:
- Definition: Consumer perception is highlighted as crucial in brand positioning. It refers to how consumers perceive a brand in relation to others in the market.
- Example: The article provides examples such as co*ke in the cola category, Colgate in toothpaste, Xerox in photocopying, and Red Bull in the energy drink category, showcasing strong consumer associations.
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Market Dominance:
- Definition: The goal of effective brand positioning is to achieve market dominance. Being the first in a consumer's mind in a specific category can lead to a substantial market share and sustainable business.
- Example: Brands like co*ke, Red Bull, and Xerox are cited as examples of market dominance through effective brand positioning.
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Creating a New Category:
- Strategy: To be first in a consumer's mind, a business can create a new category that doesn't exist in the consumer's mind. This involves innovation and differentiation.
- Example: The article mentions that co*ke was the first cola, Seven-up the first un-cola, Red Bull the first energy drink, and Xerox the first in the photocopying category.
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Importance of Categories:
- Significance: The article explains that human brains are wired for categorization, which aids memory and prevents information overload.
- Example: The need for creating categories is illustrated by the examples of co*ke, Seven-up, Red Bull, and Xerox, each occupying a distinct category in consumers' minds.
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Being First in Mind:
- Strategy: The article underscores that being the first in a consumer's mind is crucial for market share and sustainability.
- Example: Brands like co*ke, Seven-up, Red Bull, and Xerox are cited as prime examples of businesses that achieved success by being the first in their respective categories.
In conclusion, the concepts outlined in Shah Mohammed's article revolve around the strategic importance of brand positioning, consumer perception, and the creation of distinct categories to achieve market dominance. The examples provided serve as evidence of the effectiveness of these strategies in real-world scenarios.
