Positioning

"Positioning is not what you do to a product. It’s what you do to the mind of the prospect." This book answers the question: How can you make your brand stand out in a world overwhelmed with information?

1. The Overload of Information Forces Customers to Filter Brands

We live in a world where advertisements and media dominate our daily lives. This constant exposure has led to an overload of information, forcing our brains to filter out most of what we see.

The average American family watches 7.5 hours of television daily, encountering countless ads. Even before leaving the house, we’re bombarded with marketing messages, like the thousand words on a cereal box. This saturation means customers automatically rank brands in their minds, creating a mental ladder where only the most memorable brands occupy the top spots.

For example, Android and iOS dominate the mobile operating system market because their marketing strategies have secured the top rungs of this mental ladder. Other operating systems, no matter how innovative, struggle to gain traction because they’re relegated to lower rungs. To succeed, your brand must stand out in this crowded marketplace.

Examples

• Android and iOS control nearly the entire mobile OS market due to their strong positioning.
• Coca-Cola remains the top cola brand, with competitors like 7-Up seen as secondary.
• The cereal aisle is filled with brands, but only a few, like Cheerios, dominate customer recall.

2. Being First in the Market Gives You a Lasting Advantage

The first brand to enter a market often enjoys a long-term advantage. Customers tend to remember the first product they encounter in a category, making it easier for that brand to dominate.

Coca-Cola, for instance, was the first cola drink introduced to the market, and it has maintained its leadership for decades. Similarly, Apple’s Mac was the first computer aimed at high-income earners, allowing Apple to position itself as a premium brand. Even outdated products like Polaroid cameras benefited from being first, as they shaped customer perceptions of instant photography.

Being first also allows you to define the product category and set the standard. Competitors are often seen as imitators, which makes it harder for them to gain the same level of trust and recognition. This is why brands like 7-Up and Dr Pepper are often compared to Coca-Cola rather than standing on their own.

Examples

• Coca-Cola’s first-mover advantage has kept it at the top of the cola market.
• Apple’s early focus on premium computers allowed it to charge higher prices.
• Polaroid’s early entry into instant photography made it synonymous with the category.

3. Positioning Requires a Trendy and Memorable Marketing Strategy

To make your product memorable, you need to align your marketing with current trends and create a lasting impression. Understanding your audience and the cultural moment is key.

Marlboro succeeded by branding itself as a masculine cigarette, a message that resonated with the times. In contrast, Lorilland tried a similar approach decades later, but it failed because the trend had passed. Apple, on the other hand, positioned itself as a stylish alternative to PCs, appealing to wealthier customers who valued design and exclusivity.

Once you find a successful positioning strategy, stick with it. Changing your message too quickly can confuse customers and hurt your brand. Avis, for example, thrived with its “We try harder” campaign as the No. 2 car rental company. But when it shifted to “Avis will be No. 1,” it lost market share because the new message didn’t resonate.

Examples

• Marlboro’s masculine branding made it iconic, while Lorilland’s late attempt failed.
• Apple’s focus on design and exclusivity helped it stand out in the computer market.
• Avis’s “We try harder” campaign boosted profits, but changing the message backfired.

4. If You’re Not First, Find a Niche or Leverage Your Competition

If you can’t be the first in a market, you need to carve out a unique niche or use your competitors’ strengths to your advantage.

Michelob succeeded by targeting the premium beer market, a segment that hadn’t been explored. Similarly, Avis embraced its position as the No. 2 car rental company and turned it into a strength with its “We try harder” campaign. Another tactic is to reposition your competitor, as Tylenol did by highlighting Aspirin’s side effects, which allowed Tylenol to claim the “safe painkiller” spot.

These strategies help you stand out even when you’re not the market leader. By finding a gap or redefining the competition, you can create a distinct identity that resonates with customers.

Examples

• Michelob filled a gap in the premium beer market.
• Avis’s “We try harder” campaign turned its No. 2 status into an advantage.
• Tylenol repositioned Aspirin as unsafe, claiming the “safe painkiller” niche.

5. Avoid Riding the Coattails of Established Brands

Trying to piggyback on the success of a well-known brand often backfires. Customers associate a strong brand with a single product, and introducing similar products under the same name can dilute the brand’s identity.

Coca-Cola learned this the hard way when it launched Mr. Pibb to compete with Dr. Pepper. Despite Coca-Cola’s dominance, Mr. Pibb failed because customers didn’t trust it. Similarly, Dial Soap’s attempt to market Dial Deodorant flopped because customers couldn’t connect the soap brand with a deodorant.

A strong brand name can become iconic, but only if it remains focused. For example, Band-Aid is so synonymous with adhesive bandages that people use the brand name generically. Expanding into unrelated products risks losing this kind of recognition.

Examples

• Coca-Cola’s Mr. Pibb failed to compete with Dr. Pepper.
• Dial Soap’s attempt to market Dial Deodorant was unsuccessful.
• Band-Aid became a generic term by staying focused on adhesive bandages.

6. A Simple, Memorable Name Is Essential

Your brand name is the first thing customers notice, so it needs to be easy to understand and remember. Complex or obscure names can confuse customers and hurt your brand’s chances.

Esquire magazine struggled because its name wasn’t immediately clear to most people, while Playboy thrived with a name that was simple and evocative. Generic names like Newsweek also work well because they describe the product directly. Acronyms, on the other hand, can be hard to remember unless the brand is already well-known, like IBM.

If you’re the first in the market, you can get away with a unique name like Kodak or Xerox. But if you’re entering an established market, a clear and simple name is your best bet.

Examples

• Esquire lost market share to Playboy because its name was less relatable.
• Newsweek’s straightforward name helped it succeed.
• IBM’s acronym worked only after the company became widely recognized.

Takeaways

1. If you can’t be first in the market, find a unique niche or redefine your competition to stand out.
2. Stick to a consistent marketing message that aligns with current trends and resonates with your audience.
3. Choose a simple, memorable brand name that customers can easily understand and recall.