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HOW TO BUILD A POWERFUL BRAND POSITIONING EVERYONE WILL REMEMBER CONTENTS - Introduction 3 Executive Summary 4 CHAPTER 1 Elements of Brand Positioning 5 CHAPTER 2 How to Develop Your Brand Positioning 6 CHAPTER 3 Brand Positioning Strategies 8 CHAPTER 4 Creating Your Brand’s Visual Identity 10 CHAPTER 5 Incorporating Corporate Values into Brand Messaging 11 Conclusion 12 2 INTRODUCTION HOW TO BUILD A POWERFUL BRAND POSITIONING EVERYONE WILL REMEMBER - You may have heard the phrase ‘brand positioning’ and thought to yourself, “another marketing buzzword.” Yes, brand positioning is frequently discussed during planning sessions and in industry publications, but it has more merit than well-worn terms like ‘transparency’ and ‘viral.’ Brand positioning is also more enduring than puzzling jargon like ‘SoLoMo’ (translation: social, local and mobile). Your brand positioning is the foundation upon which your product or your company builds its marketing and communication strategies. The definition of brand positioning is embedded in the phrase. It is the position you want your product or company (your brand) to occupy in the marketplace. More importantly, it is how you want to be thought of as your customers engage with you. It’s a simple phrase that quickly and memorably defines your brand’s purpose to your audience. Let’s consider some examples of companies with distinctive branding. How would you describe Amazon? Would ‘frictionless online ordering from the world’s biggest store’ come close? What about Starbucks? Does ‘premium coffee experience for cultured millennials’ explain how customers think about the company and what they expect from the brand? These positionings are expressed with clear words that stay with you. The phrases explain the impressions you have of these companies, likely based on your interaction with them. While we like to believe our product or service is unlike anything currently available, let’s face facts - most products and companies have competitors. Your brand positioning and associated strategies will be essential in showing customers how you are distinctly different and how your differences have value. Think back to our Starbucks example. The iconic Canadian brand, Tim Horton’s, seems to offer the same product that Starbucks does: coffee. But Tim Horton’s recently tested a revamped brand positioning as a place for ‘simple, high-quality, no-fuss coffee for everyone.’ This brand positioning promises a coffee experience uniquely different from but equally valuable compared to Starbucks. The Cannabiz Social team has written this e-book to jumpstart your brand positioning and strategy efforts. We explore how to develop brand positioning, discuss how brand positioning leads to strategy, and examine how to make brand positioning visible in your marketing and communication tactics. Successfully marketing your product or service starts with crafting a compelling and credible story. Brand positioning is the first sentence in your best-seller! 3 EXECUTIVE SUMMARY Standing out and getting noticed by prospective customers isn’t getting any easier. The marketplace has millions of businesses and millions more starting up each year. All are trying to build sales and customer loyalty. A strong brand positioning and strategy can set you apart. This e-book provides our method for using brand positioning to create customer connections. This process will help you identify your brand or company strengths and build a framework for long-term success. OUR APPROACH EXAMINES: 1. The Elements of a Brand Positioning. By answering 4 questions, the fundamental elements of your position will emerge. • How are you viewed by your customer? • How do you differ from competitors? • How do your customers interact with your brand or company? • Who is your customer? 2. How to Develop Your Brand Positioning. In this section, we examine the information you’ll need to uncover positioning elements. We also suggest using the following litmus test questions to validate your positioning. • Can you deliver on and own this position? • Can you defend this position long-term? • Are you providing a solution with this position? • Can you state your position in a few memorable words? 3. Brand Positioning Strategies. Your analysis will drive you toward one of four business strategies. Each strategy has implications for how you talk about your brand with customers. The strategies include: • A head-to-head strategy where you continue to point out your differences compared to competitors. • A niche strategy focuses on a small audience with a tightly consistent message. • A ‘better benefits’ strategy takes on a market leader with messaging about how • your brand or company improves upon what is available. • A ‘truly unique’ strategy showcases your one-of-a-kind product or service. 4. Creating Your Brand’s Visual Identity. Since we learn by watching, your brand’s visual identity is vital to effectively communicating who you are and what you do for customers. From your logo to your website, marketing materials, and advertising, an integrated visual communication strategy is a ‘must-have.’ 5. Incorporating Corporate Values into Brand Messaging. Although your brand positioning helps frame how you’ll interact with customers, its underpinnings should reflect your corporate values. The values that drive your daily decisions will infuse meaning into your branding and marketing efforts. 4 CHAPTER 1 ELEMENTS OF BRAND POSITIONING Brand positioning, the place your product or service occupies in the marketplace and the consumer mindset, seems straightforward. Without a process framework, however, a positioning can be challenging to articulate. Let’s review an example to help illustrate the elements folded into a brand positioning. Outerwear company Canada Goose launched in 1957 as a manufacturer of vests, raincoats and snowmobile apparel. Over the next 30 years, travelers to Antarctica and Mt. Everest stayed warm wearing the company’s quality parkas. When the 90s rolled in, many North American clothing manufacturers were looking for ways to cut costs and began outsourcing production. Stepping away from this trend, Canada Goose CEO Dani Reiss remained committed to making the brand in Canada. The brand’s authenticity and craftsmanship have made it the ‘Swiss Watch’ of down-filled apparel. Canada Goose jackets became more well-known after appearing in films including The Day After Tomorrow and National Treasure and showing up on a Sports Illustrated Swimsuit cover. These high-profile exposures helped expand awareness of Canada Goose. Adventurers across the decades continued to wear Canada Goose parkas to the South Pole, the Iditarod, and Yukon Gold dog sled races. Throughout this evolution, the brand’s Canadian heritage and quality made it a luxury brand deemed worth the price throughout the world. Canada Goose built its brand positioning based on how their products were viewed and being used. The company answered a few essential questions to frame their positioning, including the following: How was Canada Goose apparel viewed by its customers? Answer: Authentic and well-crafted. How was Canada Goose different from competitors? Answer: It was made in Canada. How was the apparel used? Answer: For specific occasions, from cross-country treks to staying warm in cold climates. Who was using the brand? Answer: Active, creative, adventurous people. Canada Goose’s positioning - what it is known for - emerged from its story. Canada Goose: “The best and warmest clothing on earth made in Canada for people who want durable, fashionable winter outerwear.” 5 CHAPTER 2 HOW TO DEVELOP YOUR BRAND POSITIONING Defining your brand positioning involves using knowledge you already have about your product or service. The step-by-step process below is a disciplined approach to help you clearly articulate what you know, and solidify your brand story. Who are your customers? Answer this question with traditional demographics as well as lifestyle details. If you’re a B2B organization, describe the types of businesses you’re targeting and identify the roles of your customers such as purchasing agent, R&D, engineer, etc. If you are creating a holistic positioning for your company, you may have several customer segments to consider. Outline each target audience and estimate how much business each segment could represent. Why do your customers buy from you? The solutions you provide to customer problems or their desires offer insight into your value. Although you may have several customer segments, try to identify the common themes your solutions share across the groups. What do you offer that’s different from competitors? Understanding the competitive landscape, including competitors’ strengths and weaknesses will help you assess whether you can fully own your points-of-difference. Be sure to honestly explore whether your competitors have solutions (even if different from yours) that can address the same customer problems you’re tackling. How are you delivering value? Counsel from Fred Wiersema and Michael Treacy’s 1995 book ‘The Discipline of Market Leaders’ remains worthwhile when answering this question. The authors identified three fundamental ways to offer value. This step of the process forces you to decide which one you can deliver and stand behind. Do you provide customers with value through operational efficiency, product leadership, or customer relationship? • If your value is delivered through operational efficiency, you’re focused on low price. • Value-centered in product leadership is achieved by offering the best product, as demonstrated by Canada Goose. • Focusing on customer relationships means you’re providing the best solution and the best service. 6 CONTINUED After you have answered these four questions, you will be prepared to stake out your position and answer the question: Who is our customer and what do we want our (brand or company) to be known for? You can put your brand positioning to the test by screening it with the following questions: • Can you fully deliver on and own this position? Your brand positioning should be strong and stable. If you need to make hefty investments or spend enormous capital to fulfill your brand promise, it may not be the right direction.
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