Creating an Authentic Brand Positioning Strategy through the Use of Market Research
Market research aims to gather vital information about an industry or business environment so companies can make the best choices possible, understand their customers’ behaviors, and create compelling marketing plans. Building and sustaining a customer-centric strategy that caters to consumers’ needs while facilitating connection with consumers depends on market research.
However, market research goes beyond that. Studies can allow researchers to delve deeper into core data points to help businesses develop a brand positioning strategy that is clearly defined, allowing them to turn consumer generalists into brand evangelists.
Brand positioning strategy: what is it?
As a marketing tactic, brand positioning describes how a company sets itself apart from its rivals’ offerings and what unique value it offers its target market. A brand positioning statement is, internally, a positioning summary that a company uses to explain and highlight its brand’s value to customers and target markets.
Consumers perceive brand positioning as the benefits a brand and its products provide. In the eyes of its target audience, a well-planned and conveyed brand positioning strategy forges strong consumer loyalty, and bolsters the relevance and credibility of the brand. Additionally, it establishes a strong presence for consumers who are only now becoming familiar with the brand because they can immediately relate to its genuine messaging.
How brands may use market research to develop a brand positioning strategy that appeals to their target audience
Market research, both qualitative and quantitative, can assist in determining a brand’s positioning. Companies can create a brand positioning statement and use qualitative research or quantitative research (or both) to determine which language and messaging most appeals to their target market, while providing insights that explain how the target audience feels about and engages with a brand.
Focus groups, in-depth interviews, and ethnographic research are all examples of qualitative research techniques that can assist businesses in learning how their target markets view their brand and how it stacks up against rivals. These research techniques can aid businesses in pinpointing areas in need of development; they can also help businesses understand the language and content that most appeals to their target market, a crucial step in creating a brand positioning statement.
Employing quantitative research techniques, including surveys and concept tests, is another way that businesses can learn how their target market views their brand (and how they view opponents’). By conducting quantitative research, companies can determine their brand’s distinctive value proposition, how it appeals to their target market, and assist businesses in evaluating the success of their brand positioning strategy.
Both qualitative and quantitative research can be utilized to create a winning brand positioning plan, pinpoint areas that require development, and provide unique insights into the mind (and heart) of the consumer – all of which create a successful brand positioning strategy.
Conducting market research to create a strategy plan that works for your company
There are three distinct forms of brand positioning strategies. Though each is different, they all require analysis of a company’s target audience so businesses can pinpoint their unique selling points; and subsequently test brand positioning statements to see which one’s work. Comparative positioning, differentiation positioning, and segmentation positioning are the three main types of brand positioning.
Comparative positioning: This tactic involves businesses comparing their brand to the products or brands of others to establish a competitive edge and emphasize each product or brand’s unique value. Comparative positioning is frequently employed to highlight how much better a product or brand is than the competition. It becomes an effective approach when a brand can clearly explain its competitive advantage to its target audience.
Differentiation positioning: This tactic focuses on determining what distinguishes a brand from its rivals and what makes its goods and services stand out. A differentiation positioning strategy guarantees that a brand’s products stand out from the competition by emphasizing distinctive features that cannot be replicated. This tactic works well when a brand has a distinct and compelling value proposition that appeals to its target market.
Segmentation positioning: This tactic concentrates on the unique requirements of every consumer group or target audience for that brand. A brand can communicate its value proposition and set itself apart from competitors by developing messaging specifically catered to each target group. This strategy works well when a brand caters to various target audiences with varying needs and preferences.
The various brand positioning methods and strategies can draw attention to a company’s distinctive selling points and help set it apart from rivals vary. By recognizing the distinctions among these approaches, brands may select the most appropriate one to suit their specific requirements for their business and establish a commanding presence.
How to determine whether market research is necessary for your brand to create a positioning strategy
While conducting market research is always advised when developing a brand positioning plan, a few crucial indicators help determine when to engage a market research partner.
Market research may be required when creating a brand positioning plan when the business needs to:
Understand Customer Interactions: Market research, especially UX market research, can offer insights into customer interactions and experiences with the brand if you need to know how present – and potential – customers interact with it.
Test Brand Positioning: Market research can assist in validating hypotheses and determining which positioning strategy will perform best for your brand within the market dynamics when you need to test brand positioning concepts quantitatively.
Establish Brand Image: Market positioning research can assist in communicating value, defending pricing, and raising brand recognition if your goal is to create a brand image that distinguishes your company from the competition and shapes consumer views.
Find the Unique Value Proposition: To create a successful brand positioning strategy, it is critical to identify the brand’s unique value proposition, which can be found through market research.
Develop Effective Brand Positioning: By avoiding testing “shades of grey” and identifying primary benefits in customers’ own words, quantitative market research can offer insightful information for effective brand positioning.
Do you have questions about creating a strategy for brand positioning? The Olinger Group is ready to support your brand and has over 30 years of expertise in providing custom primary market research to companies who want to stand apart with powerful brand positioning. To obtain additional details, kindly contact our staff.