Successive Sets Involved in Customer Decision Making

FISHBEIN MULTI-ATTRIBUTE MODEL FOR BUYING

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TotalSet

AwarenessSet

ConsiderationSet

ChoiceSet

Decision

Differentiation Strategies

• Product

• Service

• Personnel

• Channel

• Image

Product Differentiation

• Product form• Features• Performance• Conformance• Durability• Reliability• Reparability

• Style• Design• Ordering ease• Delivery• Installation• Customer training• Customer consulting• Maintenance

Positioning

Act of designing the company’soffering and image to occupy

a distinctive place in the mind ofthe target market.

Defining Associations

Points-of-difference (PODs)

• Attributes or benefits consumers strongly associate with a brand, positively evaluate, and believe they could not find to the same extent with a competitive brand

Points-of-parity (POPs)• Associations that are

not necessarily unique to the brand but may be shared with other brands

Points-of-Parity

Points-of-parity (POPs) are associations that are not necessarily unique to the brand but may in fact be shared with other brands.

These 2 types of associations

1) Category points-of-parity • Consumers view as essential to be a legitimate and credible offering within a

certain product or service category. • They represent necessary conditions but not necessarily sufficient for brand

choice.

2) Competitive points-of-parity Designed to negate competitors’ points-of-difference.

Points-of-Parity Versus Points-of-Difference

• To achieve a point-of-parity on a particular attribute or benefit, a sufficient number of consumers must believe that the brand is “good enough” on that dimension

• There is a “zone” or “range of tolerance or acceptance” with points-of-parity

• The brand does not literally have to be seen as equal to competitors, but consumers must feel that the brand does well enough on that particular attribute or benefit

• With points-of-differences, the brand must demonstrate clear superiority

• Often the key to positioning is not so much as achieving a point-of-difference as in achieving points-of-parity

Consumer Desirability Criteria for PODs

• Relevance

• Distinctiveness

• Believability

Establishing Category Membership• Often marketers must inform consumers of a brand’s category membership.

• With the introduction of new products, especially when the category membership is not apparent.

• Brands are sometimes affiliated with categories in which they do not hold membership.

• The preferred approach to positioning is to inform consumers of a brand’s membership before stating its point-of-difference.

• There are three ways to convey a brand’s category membership:– Announcing category benefits.– Comparing to exemplars– Relying on the product descriptor .

Deliverability Criteria for PODs

• Feasibility

• Communicability

• Sustainability

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

Addressing Negatively Correlated PODs and POPs

• Present separately• Leverage equity of another entity• Redefine the relationship

Criterias for POD

– Decide at which level (s) to anchor the brand’s points-of-differences

– At the lowest level are the brand attributes.

– At the next level are the brand’s benefits.

– At the top level are the brand’s values.

– Research has shown that brands can sometimes be successfully differentiated on seemingly irrelevant attributes if consumers infer the proper benefit.

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

Positioning diamond

Why me?

What Am I? For Whom?

Against whom?

• Establish category to associate and compare with

• Identify the essential difference

•OATS

•B.FAST CEREALS

POSITIONING

LOW PRICE

HIGH PRICE

LOW NUTRITION

HIGHNUTRITION

•IDLI•VEG SANDWICH

•SAMOSA

POSITIONING

SOFT ON HANDS

ROUGH ON HANDS

POORCLEANSER

SUPERIORCLEANSER

• ARIEL• SURF• HENKO

• WHEEL

• NIRMA

• RIN

Writing a Positioning Statement

Mountain Dew: To young, active

soft-drink consumers who havelittle time for sleep, Mountain Dew

is the soft drink that gives youmore energy than any other brand

because it has the highest level of caffeine.