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Why Companies Need Strong Brand Positioning Strategies

Over the past few years, businesses have encountered enormous difficulties and endured a tremendous amount of change; this trend won't fade in 2023. Businesses will have to deal with the fallout from the global epidemic, Russia's invasion of Ukraine, economic issues, and the rapid advancement of technology.

Today’s business landscape is highly competitive and as a result of this, companies face numerous challenges in differentiating themselves from their competitors. Amidst a sea of similar products and services, building a strong brand positioning strategy has become more crucial than ever. A well-defined and properly managed brand positioning strategy enables businesses to form a distinct identity, build credibility, and meaningfully engage with their target audience.

“Brand positioning is the process of differentiating your brand from competitors in the market, finding a niche for your brand and communicating that to your target audience.”[1]

We will look at why businesses need effective brand positioning strategies and how they can profit from them in this post.


brand positioning strategies
  1. Differentiation in a crowded marketplace:

One of the primary reasons why companies need strong brand positioning strategies is to differentiate themselves from the competition. A well-positioned brand stands out among competitors, enabling customers to easily identify and remember it. By clearly communicating what sets their brand apart, companies can create a unique value proposition that resonates with consumers. This differentiation not only helps attract new customers but also fosters loyalty among existing ones.

To explore what your brand’s unique value can be you need to start with brand positioning research. Intuition, instinct, and emotions are crucial ingredients for most human decision-making. Representative data that captures these, often subconscious, characteristics of people is essential to stay ahead of the game and position your brand in a competitive landscape. Glocalities can profile your (prospective) audiences in 35 countries based on our data about values, lifestyle, psychology, and trends.

  1. Building brand recognition and recall:

A strong brand positioning strategy helps companies build brand recognition and recall. When customers consistently associate a brand with specific qualities, benefits, or values, it becomes easier for them to recall the brand when making purchasing decisions. Customers are more inclined to choose the cheaper choice if they fail to recognize the difference between your products and services and those of your competitors. You can charge more for your products or services if you have a strong USP and potential customers perceive your brand to be of greater quality.

Through strategic positioning, companies can shape consumer perceptions and ensure that their brand is top-of-mind in relevant contexts. This leads to increased brand visibility and a higher likelihood of being considered during the customer's decision-making process.

  1. Targeting the right audience:

Effective brand positioning enables companies to target the right audience with their marketing efforts. By clearly defining their target market and understanding their needs, preferences, and pain points, companies can tailor their messaging and communication strategies accordingly. This alignment ensures that the brand resonates with its intended audience, creating a stronger connection and increasing the likelihood of conversion.

To understand your target audiences, you need to know the motivational drivers of their behaviour:

  • the values adopted during the formative phases of their life
  • the psychological traits which define their personality
  • and the lifestyle choices which express their identity

To dive into the world of your organization’s target audience Glocalities can help with its values-based research that enables you to understand the “why” behind customer decisions. A well-positioned brand strategy allows you to focus your resources on the most receptive audience segments, resulting in more efficient marketing campaigns.

  1. Creating brand loyalty and advocacy:

Brand positioning plays a pivotal role in fostering brand loyalty and advocacy. When customers have a strong affinity for a brand, they are more likely to become repeat buyers and even recommend the brand to others. Glocalities’ data and insights can help you with your brand positioning strategy and developing your brand within a competitive field by aligning with the values, perspectives, lifestyle choices, and psychological triggers of your (prospective) customers.

By connecting your brand positioning strategy with target audiences on a deeper emotional level, you distinguish yourself from competitors and build loyalty. By consistently delivering on their brand promise, companies can cultivate trust and loyalty, turning customers into brand advocates who actively promote the brand through word-of-mouth and social media.

brand positioning strategy

In conclusion, companies need strong brand positioning strategies to differentiate themselves, build brand recognition, target the right audience, foster loyalty, and command premium pricing. In a crowded marketplace where customers are bombarded with choices, a well-positioned brand stands out and creates a lasting impression. Investing time and resources into developing and implementing a robust brand positioning strategy is an essential component of long-term business success. It allows companies to establish a strong market presence, connect with customers on a deeper level, and ultimately achieve sustainable growth in an increasingly competitive business environment.

If you are struggling to see how you should start your research around brand positioning or would like to spar to generate ideas leave us a message, let’s do it together.

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