Competitive Market Positioning (Market Environment Analysis (Consumer…
Competitive Market Positioning
Key Theories of Positioning
Myers Theory for successful positioning, it must be:
Does a competitor already occupy this position?
Is the claim you are making actually important to the customer?
Will customers believe you can deliver?
What supporting evidence do you need to make it more believable?
Market share 4 Company positions matrix:
Company focused + Pushes the boundaries = "Leader" 40% market share
Competition focused + Pushes the boundaries = "Challenger" 30%
Company focused + Stays within the boundaries = "Niche" 20%
Competition focused + Stays within the boundaries = "Follower" 10%
Market Environment Analysis
Larger societal forces that affect the micro-environment
Internal forces that have an impact on its ability to serve customers
The industry in which a business operates
Porter's 5 Forces - asses competition
Who buys your product?
5 different buyer roles influencing purchase decision: Initiator, Influencer, Decider, Buyer, User
When do they buy it?
How do they buy it?
Information Processing Approach (Rational)
5 thinking steps:
Recognise there is a problem
Search for Info
Evaluate the alternatives
Make a purchase
Evaluate how well the purchase is meeting the need
Hedonic (experiential) consumption approach
"fun, feelings, fantasy" consumers purchase based on how they think it will make them feel
1st factor: Personal influences
2nd factor: Social influences
Culture, social class, reference groups
Where do they buy it?
What criteria do they use to make their purchase?