Brand Positioning: How to Define What Makes You Different
Brand positioning is the foundation everything else builds on.
Before visual identity, before messaging, before any creative work begins, you need to know what position you intend to occupy in your customers' minds. This positioning defines how you will be different from alternatives and why that difference matters to the people you want to serve.
This guide covers how to develop positioning that differentiates, how to articulate it clearly, and how to use it as the foundation for all brand development.
What Is Brand Positioning?
Definition
Brand positioning is the deliberate act of designing your company's offering and image to occupy a distinct place in the minds of your target market. It answers the fundamental question of why someone should choose you over alternatives.
Positioning is not the same as other brand elements, though they are related. Positioning represents the strategic decision about how you want to be perceived. Messaging is how you communicate that positioning to audiences. Visual identity provides the visual expression of that positioning. Brand voice establishes the tone and personality of communications.
Positioning comes first. Everything else flows from it.
The Positioning Statement
A positioning statement captures your positioning in a structured format that ensures completeness and clarity. The classic structure follows this pattern: For a specific target audience who have a particular need or problem, your brand is the category offering that delivers a key benefit because of your reason to believe.
Consider this example for a meal kit service: For busy professionals who need quality meals without cooking time, Blue Apron is the meal kit service that delivers restaurant-quality dinners at home because they provide pre-portioned fresh ingredients with chef-designed recipes that take thirty minutes or less.
This statement is internal. It guides communications but is not used verbatim in marketing. The positioning statement ensures everyone in the organization understands the strategic foundation that all external communications should reinforce.
Why Positioning Matters
Differentiation in Crowded Markets
Most markets are crowded with competitors offering similar products and services. Without clear positioning, several problems emerge. You compete on features that others can copy, which provides no sustainable advantage. You compete on price, which erodes margins and commoditizes your offering. Customers cannot remember what makes you different because nothing stands out. Marketing messages become generic and forgettable because there is no clear story to tell.
Clear positioning solves these problems by establishing what makes you distinct and why that distinction matters.
Decision-Making Framework
Clear positioning guides decisions throughout the organization. Product development priorities become clearer when you know what positioning you are trying to reinforce. Marketing message development flows from understanding how you want to be perceived. Partnership opportunities can be evaluated against positioning fit. Customer service approach aligns with brand positioning. Hiring decisions consider cultural fit with positioning values.
When positioning is clear, decisions become easier because everyone shares understanding of what the brand represents.
Premium Pricing
Strong positioning supports premium pricing by creating perceived unique value.
Consider the difference between a commodity and a positioned brand. A commodity approach like "we sell shoes" competes on price because there is no meaningful differentiation. A positioned approach like "we make running shoes engineered for marathoners" commands premium because specific customers perceive unique value tailored to their needs.
Customers pay more when they perceive unique value that alternatives do not offer.
Positioning Frameworks
Points of Parity and Difference
Understanding the relationship between points of parity and points of difference provides a useful framework for positioning development.
Points of parity are attributes you share with competitors. These represent table stakes for competing in your category. Points of difference are attributes that distinguish you from competitors. These represent your differentiation.
The strategy involves meeting points of parity sufficiently so customers consider you, then investing in points of difference that give them a reason to choose you.
Consider a coffee shop example. Points of parity include quality coffee, clean environment, WiFi availability, and reasonable prices. Every competitor must meet these expectations to be considered. Points of difference might include local roaster partnerships, community event space, and sustainability focus. These differentiate from competitors who meet parity but do not offer these specific benefits.
Positioning by Attribute
Owning a specific attribute in the category creates differentiation around a particular quality or characteristic.
Classic examples include Volvo owning safety, FedEx owning speed and reliability, and Dyson owning technology and innovation. Each brand has become synonymous with its attribute in customers' minds.
Requirements for successful attribute positioning include an attribute that matters to customers. The attribute must be something you can credibly own based on actual capabilities or history. And the position must be sustainable over time, not easily copied by competitors.
Positioning by Use Case
Owning a specific usage situation creates differentiation around when or how the product is used.
Examples include Red Bull positioned for energy during extreme activities, Gatorade positioned for athletic performance hydration, and WD-40 positioned for loosening stuck things. Each brand owns a specific use case in customers' minds.
Requirements for successful use case positioning include a use case that is common enough to support business volume. The association must be defensible against competitors who might try to claim the same use case. And the use case should enable expansion rather than limit future growth.
Positioning by User
Targeting a specific user type creates differentiation around who the product is designed for.
Examples include Glossier positioned for millennials who prefer natural beauty, YETI positioned for serious outdoor enthusiasts, and Salesforce positioned for enterprise sales teams. Each brand is clearly for a specific type of customer.
Requirements for successful user positioning include a user segment that is definable and distinct. The segment must be reachable through marketing channels you can access. And the segment must be large enough to support business goals.
Positioning Against Competitor
Defining yourself in contrast to the market leader creates differentiation through comparison.
Classic examples include Avis claiming "We're number two, so we try harder," Apple positioning as the creative alternative to PC, and 7Up positioning as "The Uncola."
Requirements for successful competitive positioning include a competitor that is well-known enough for the comparison to resonate. The contrast must be meaningful to customers and reflect genuine differences. And you must deliver on the alternative promise, not just make the claim.
Positioning by Price or Value
Owning price point or value equation creates differentiation around affordability.
Examples include Walmart owning low prices, Dollar Shave Club claiming same quality at lower cost, and IKEA positioning around affordable design.
Caution is warranted with price positioning because it invites price competition. Competitors can cut prices too. Consider pairing price positioning with other differentiation that is harder to copy.
Developing Your Positioning
Step 1: Market Analysis
Understanding the competitive landscape provides the foundation for positioning development.
Begin by understanding who competitors are and how they are positioned. Map what positions are already claimed in the market and what positions remain available. Create a positioning map with two relevant axes, perhaps price and quality or traditional and innovative, and plot competitors. Identify gaps representing positions not strongly claimed by anyone.
These gaps represent potential positioning opportunities, though a gap alone does not guarantee viability. The position must also be relevant to customers and deliverable by your organization.
Step 2: Customer Understanding
Research reveals what customers actually value and need.
Investigate what customers value most in your category. Understand what problems they need solved. Learn how they currently choose between options. Identify what is missing from current options that creates opportunity.
Questions to answer include what benefits matter most to customers, what attributes drive decisions, what unmet needs exist, and what would make someone switch to you from their current solution.
Step 3: Internal Audit
Honest assessment of your capabilities grounds positioning in reality.
Evaluate what you are genuinely good at. Assess what you can credibly claim based on actual performance. Understand what current customers value about you. Consider what you could become best at with focused effort.
Avoid claiming attributes you cannot deliver, which creates expectations you will fail to meet. Avoid positioning based on aspiration alone without current capability to support claims. And avoid ignoring genuine strengths in pursuit of something that sounds better but is not authentic.
Step 4: Position Selection
Evaluate potential positions against clear criteria.
For each potential position, assess relevance by asking whether it matters to customers. Assess distinctiveness by asking whether you can own it. Assess credibility by asking whether you can deliver on it. Assess sustainability by asking whether you can maintain it over time.
The best position addresses real customer needs, leverages genuine strengths, differentiates from competitors, and can be consistently delivered. Finding a position that meets all four criteria is challenging but essential.
Step 5: Validation
Test positioning before committing significant resources.
Gather customer feedback on positioning concepts to verify resonance. Ensure internal stakeholder alignment so the organization can deliver on the positioning. Consider competitive response and how competitors might react. Check operational feasibility to confirm you can actually deliver.
Positioning in Practice
Translating Position to Messaging
Positioning guides messaging but is not the same as messaging. The positioning statement is internal strategy. Messaging is the external expression of that strategy.
For a position focused on premium quality through craftsmanship, messaging might say "handcrafted from the finest materials." For a position focused on simplicity and ease of use, messaging might say "finally, software that just works." For a position focused on expert-level capability for professionals, messaging might say "built for people who do this for a living."
The positioning remains constant while messaging adapts to different audiences, channels, and contexts.
Positioning Across Touchpoints
Every touchpoint should reinforce positioning consistently.
Your website should feature headlines that reflect positioning. Value propositions should align with positioning claims. Visual design should support the position through appropriate aesthetic choices.
Your sales process should align with positioning. Talking points should reinforce the position. Proposals should emphasize positioning themes. Objection handling should support positioning claims.
Customer service should match positioning commitments. Service level should reflect what the position promises. Communication style should align with brand character. Problem resolution should demonstrate positioning values in action.
Your product should support positioning claims. Features should reinforce positioning. Quality level should match claims. Experience should deliver on promise.
Internal Alignment
Everyone in the organization should understand positioning.
This matters because consistent customer experience requires everyone pulling in the same direction. Aligned decision-making becomes possible when everyone understands the positioning. Authentic communications emerge when employees genuinely understand what the brand represents. Defensible position results when the organization consistently delivers on positioning promises.
Achieve alignment through clear positioning documentation that everyone can reference. Regular training and reinforcement maintains awareness. Decision-making frameworks connect choices to positioning. Performance metrics aligned with position reinforce behaviors that support the positioning.
Repositioning
When Repositioning Is Needed
Legitimate reasons for repositioning include markets that have fundamentally changed in ways that make current positioning obsolete. Current position may no longer be defensible if competitors have neutralized your differentiation. Business strategy may have shifted in ways that require different positioning. Target audience may have evolved with needs that current positioning does not address. Signs indicating rebrand necessity often connect to positioning issues.
Reasons that do not justify repositioning include boredom with current position, responding to competitor actions without strategic necessity, change driven by new marketing leadership preferences, and following trends without connection to business strategy.
Repositioning Risks
Things can go wrong during repositioning. Existing customers may become confused about what you now represent. Valuable equity built over years may be abandoned. Attempts to achieve new position may fail, leaving you worse off than before. Loyal customers may be alienated by changes that do not serve them.
Mitigation strategies include thorough research before deciding to reposition. Testing with customers validates whether new positioning resonates. Careful transition planning manages the change. Clear communication helps existing customers understand and accept the shift.
Evolution vs. Revolution
Evolution involves gradual positioning refinement over time. Revolution involves complete repositioning.
Most successful brands evolve position rather than revolutionize. Apple evolved from "computers for creative professionals" to "technology for creative living." This represents an expansion of the original positioning rather than a reversal. The core DNA remained while the scope broadened.
Evolution preserves equity while allowing adaptation to changing markets. Revolution is sometimes necessary but carries higher risk.
Common Positioning Mistakes
Trying to Be Everything
Positioning that claims everything appeals to no one. Claiming to be the high-quality, low-price, innovative, traditional, premium, affordable option fails because these claims contradict each other and provide no clear differentiation.
The solution is to choose. Strong positions require sacrifice. Saying no to some things makes what you do claim more credible and memorable.
Internal-Focused Positioning
Positioning based on what the company is proud of rather than what customers value fails to resonate with the market.
A claim like "we have the most advanced proprietary technology platform" may be true and impressive internally, but it does not explain what benefit customers receive. Always position around customer benefit, not internal capabilities. Features and technology matter only insofar as they enable customer outcomes.
Category Confusion
Positioning in the wrong category or with unclear category creates confusion.
If customers do not know what category you are in, they cannot understand your differentiation because differentiation is always relative to alternatives in a category. Be clear about what you are before explaining why you are different.
Undifferentiated Claims
Claims that competitors could equally make provide no differentiation.
"We provide high-quality products with excellent customer service" could be said by any competitor in any category. It says nothing distinctive and provides no reason to choose you over alternatives.
The solution is finding what only you can credibly claim. What is true about you that is not equally true about competitors?
Unsustainable Positions
Positions that cannot be maintained over time provide only temporary advantage.
Examples include lowest price positions that erode margins until the business is no longer viable. Technology lead positions depend on continuous innovation that competitors will eventually match. Trend-based positioning fades when trends change.
The solution is building positioning on sustainable advantages that competitors cannot easily copy.
Positioning and Rebranding
When Rebrand Requires Repositioning
Rebrand vs. refresh decisions often hinge on positioning.
Visual refresh is sufficient when positioning remains sound. The brand just needs updated expression of the same strategic foundation.
Full rebrand is required when positioning itself has changed. Fundamental positioning change requires new visual and verbal identity to express the new strategy.
Repositioning Within Rebrand
If repositioning is part of rebrand, follow the proper sequence. Develop new positioning first, establishing the strategic foundation. Then develop visual and verbal identity that expresses that positioning. Ensure all elements align with the new position. Communicate change clearly to customers and stakeholders.
The complete rebranding guide covers the full process.
Measuring Positioning Effectiveness
Brand Tracking Metrics
Awareness metrics reveal whether your brand is known. Unaided category awareness measures whether people mention your brand unprompted when discussing your category. Aided brand awareness measures recognition when your brand is mentioned. Top-of-mind awareness measures whether you come to mind first.
Perception metrics reveal what people think about your brand. Attribute association measures whether customers connect you with intended attributes. Brand personality perception reveals whether customers perceive you as you intend. Net Promoter Score indicates whether customers would recommend you.
Preference metrics reveal whether awareness and perception translate to choice. Consideration set inclusion measures whether customers consider you when purchasing. Brand preference versus competitors measures relative strength. Purchase intent indicates likelihood of future purchase.
Positioning-Specific Metrics
Position ownership can be measured by asking "when you think of a specific attribute, what brand comes to mind?" Measure your association with desired attributes versus competitors to understand whether you own your intended position.
Message recall after exposure reveals what customers remember about your brand. If they remember your positioning themes, communication is working.
Differentiation perception asks customers how different your brand is from other options in the category. Higher perceived differentiation indicates stronger positioning.
The Bottom Line
Brand positioning is the strategic foundation for everything else.
Strong positioning requires deep understanding of customers and competitors, gained through research rather than assumption. It requires honest assessment of your strengths, acknowledging what you can actually deliver rather than what sounds good. It requires courage to choose and sacrifice, saying no to some things so you can credibly claim others. It requires consistency across all touchpoints so every customer interaction reinforces the same positioning. And it requires patience to build over time, as positioning takes years to establish firmly.
Positioning is not a tagline or a mission statement. It is the strategic decision about how you want to be perceived and why customers should choose you.
Get this right and marketing becomes easier because you know what to say. Get it wrong and no amount of marketing budget compensates.
Need help developing or refining your brand positioning? Book a free CRO audit and we'll analyze your current market position, competitive landscape, and opportunities for differentiation.
