differentiating & positioning the market offering

DIFFERENTIATING & POSITIONING THE MARKET OFFERING:

DIFFERENTIATING & POSITIONING THE MARKET OFFERING BY:- NEHA SINGHAL

What is a Product?:

What is a Product? A Product is anything that can be offered to a market to satisfy a want or need, including physical goods, services, experiences, events, persons, places, properties, organizations, information, and ideas.

Ashok Leyland is known for its products :

Ashok Leyland is known for its products

Components of the Market Offering:

Components of the Market Offering Attractiveness of the market offering Value-based prices Product features and quality Services mix and quality

Five Product Levels:

Five Product Levels

Product Classification Schemes:

Product Classification Schemes DURABILITY & TANGIBILITY INDUSTRIAL GOODS CONSUMER GOODS

Durability and Tangibility:

Durability and Tangibility Nondurable goods Services Durable goods

Consumer Goods Classification:

Consumer Goods Classification Convenience Unsought Shopping Specialty

Industrial Goods Classification:

Industrial Goods Classification Materials and parts Supplies/ business services Capital items

What is Differentiation?:

What is Differentiation? Ensuring that products and services have a unique element to allow them to stand out from the rest. In business terms, to differentiate means to create a benefit that customers perceive as being of greater value to them than what they can get elsewhere.

Nature’s Basket, focusing on high-end consumers, differentiated itself from other mass retail outlets. :

Nature’s Basket , focusing on high-end consumers, differentiated itself from other mass retail outlets.

Product Differentiation:

Product Differentiation Product form Features Customization Performance Conformance Durability Reliability Repairability Style

Design Differentiation:

Design Differentiation

Service Differentiation:

Service Differentiation Ordering ease Delivery Installation Customer training Customer consulting Maintenance and repair Returns

Ginger Hotels has carved a profitable niche through its innovative service configuration :

Ginger Hotels has carved a profitable niche through its innovative service configuration

Developing products for rural markets :

Developing products for rural markets Products should be designed keeping in mind the rural conditions Packaging is one of the key drivers of success in rural areas Issue of transfer and storage: Rugged packing The issue of affordability: small-unit packs Brand elements should be decided keeping in mind rural consumers

What is Positioning?:

What is Positioning? Positioning is the act of designing the company’s offering and image to occupy a distinctive place in the mind of the target market.

Positioning of Café Coffee Day :

Positioning of Café Coffee Day

CCD VS BARISTA:

CCD VS BARISTA CCD CCD Differentiated the brand by crafting a unique position in the young consumers’ mind. BARISTA BARISTA is positioned as a premium coffee retail outlet for the upwardly mobile executives.

Value Propositions:

Value Propositions BRAND, PRODUCT, & COMPANY TARGET CUSTOMERS BENEFITS CUSTOMER FOCUSED - VALUE PROPOSITION Scorpio, SUV, Mahindra & Mahindra Lifestyle-Oriented Consumers luxury & comfort A vehicle that provides the luxury and comfort of a car, and the adventure and thrills of an SUV (sport utility vehicle- light trucks ). Domino's, Pizza Convenience-minded pizza lovers Delivery, Speed, & good quality A good hot pizza, delivered to your door within 30 minutes of ordering, at a moderate price.

Defining Associations:

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. The brand must demonstrate clear superiority. Points-of-parity (POPs) Associations that are not necessarily unique to the brand but may be shared with other brands. There is a zone or range of tolerance or acceptance.

EXAMPLES:

EXAMPLES POD APPLE (DESIGN) NIKE (PERFORMANCE) LEXUS (QUALITY) POP VS POD VISA (MOST WIDELY AVAILABLE CARD) VERSUS AMERICAN EXPRESS (PRESTIGE)

CHOOSING POPs AND PODs:

CHOOSING POPs AND PODs POPs:- Category Points Of Parity Competitive Points Of Parity PODs: - Desirability Delivery Capability

POPs:

POPs CATEGORY POINT OF PARITY They represent necessary – but not sufficient-conditions for brand choice. Example - Travel Agency COMPETITIVE POINTS OF PARITY These are the associations designed to negate competitors’ POD. Example – Dettol & Savlon

CATEGORY MEMBERSHIP:

CATEGORY MEMBERSHIP The products with which a brand competes & which function as close substitutes. EXAMPLE – BMW (THE ULTIMATE DRIVING MACHINE) UMBRELLA CATEGORY

Conveying Category Membership:

Conveying Category Membership Announcing category benefits Comparing to exemplars Relying on the product descriptor

Consumer Desirability Criteria for PODs:

Consumer Desirability Criteria for PODs Relevance Distinctiveness Believability

Deliverability Criteria for PODs:

Deliverability Criteria for PODs Feasibility Communicability Sustainability

Examples of Negatively Correlated Attributes or Benefits:

Examples of Negatively Correlated Attributes or 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

FACTORS – DIFFERENTIATION STRATEGY:

FACTORS – DIFFERENTIATION STRATEGY COMPETITIVE ADVANTAGE; LEVERAGEABLE ADVANTAGE; & CUSTOMER ADVANTAGE.

Differentiation Strategies:

Differentiation Strategies Product Channel Image Personnel

Product Differentiation:

Product Differentiation Product form Features Performance Conformance Durability Reliability Reparability Style Design Ordering ease Delivery Installation Customer training Customer consulting Maintenance

Personnel Differentiation: Singapore Airlines:

Personnel Differentiation: Singapore Airlines

Channel Differentiation: Eureka Forbes:

Channel Differentiation: Eureka Forbes

Image Differentiation:

Image Differentiation

THANK YOU…:

THANK YOU…