Brand Positioning Strategies Research Articles

Examining world market segmentation and brand positioning strategies

PurposeThis paper aims to examine the conceptual as well as empirical linkages between segmentation bases and brand positioning strategies in the context of discussing practical implications for firms operating in increasingly globalizing markets.Design/methodology/approachThis paper empirically examines an inventory of market segmentation factors in relation to four global strategic positioning decision options.FindingsThe two studies reported suggest that a combined use of macro and micro‐bases to segment world markets is significantly linked to the perceived positioning strategies of global top brands, whereas firms seeking more localized positioning strategies use only micro‐bases to segment.Practical implicationsThe conceptual and empirical findings reported in this paper pave the way for embarking on promising and relevant future research that is needed to substantiate and enrich the academic understanding and managerial practice of segmentation and strategic brand positioning decisions in world markets.Originality/valueThis paper is unique in identifying a link between global brand positioning and segmentation factors.

‘They don't want us to become them’: Brand Local Integration and consumer ethnocentrism

This paper investigates whether positioning strategies of foreign brands that integrate both foreign and ‘localised’ dimensions of country-of-origin (COO) appeals shape perceptions and attitudes of domestically biased consumers. Ethnocentric consumers hold strong favourable attitudes towards local-perceived brands. At the same time, brand positioning strategies of local brands acquired by multinational corporations and of foreign brands entering the local market often integrate foreign COO appeals with locally relevant manufacturing and/or symbolic appeals. The results indicate that foreign brand identities that integrate ‘localised’ appeals communicating respect of local traditions (through the use of local images, symbols, and recipes) and contribution to the local society's well-being (through local manufacture, employment, use of local ingredients) lead to more favourable consumer perceptions. In distinguishing between ‘purely foreign’ and ‘locally integrated foreign brands’, consumers perceive the latter to be more acceptable for consumption. The paper concludes by considering the implications of the findings and outlining directions for further research.

Dispelling the collective myth of Chinese consumers: a new generation of brand‐conscious individualists

PurposeThe unprecedented increase in brand development among one of the fastest‐growing consumer markets, the new generation of Chinese consumers, compels a greater understanding of the psychological factors that were largely stereotyped to be collective and homogeneous. Grounded in self‐congruity theory, the primary purpose of this study is to understand the joint impact of Chinese consumers' self‐ and gender consciousness on their ensuing brand perceptions. This study aims to critically explore the process that underlies the aforementioned relationships with consumers' need for uniqueness and brand consciousness.Design/methodology/approachAn online survey using consumer panel data was conducted in three “tier‐one” cities in the People's Republic of China. The focus on these cities coincided with the competitive density of retail brands, and resulted in 302 respondents in the population of interest. The data were analysed using structural equation modelling (SEM).FindingsSelf‐ and gender consciousness do impact brand consciousness indirectly through Chinese consumers' need for uniqueness. Contrary to expectations, the study finds that self‐consciousness has a negative direct impact on brand consciousness, while gender consciousness does not have a direct impact on brand consciousness. Furthermore, brand consciousness leads to positive brand perceptions, including brand attitudes, brand loyalty, and willingness to pay a price premium.Practical implicationsThe research provides an in‐depth understanding of self‐congruity in Chinese consumers' brand perceptions. The research findings can be used to formulate brand positioning and promotion strategies for brand managers.Originality/valueThe study integrates extant theories in gender schema and self‐congruity to understand brand perceptions in light of self‐ and gender consciousness. To date, no research has explored this relationship. Furthermore, the study discusses the role of consumers' need for uniqueness as a process that underlines the relationship between consumer self‐ and gender consciousness, and brand perceptions in terms of brand consciousness, brand attitude and loyalty and willingness to pay a price premium.

Strategic brand positioning analysis through comparison of cognitive and conative perceptions

Due to the globalization of the economy, there has been great competition in the business sector. The basic human desire to challenge new limits and capture as much market as it is possible has given a new dimension to the concept of marketing - brand positioning. To position a brand requires making choices; whereas having a position means people will prefer a brand over another. A brand can be positioned in several ways: offering a specific benefit, targeting a specific segment, price or distribution. Despite the fact that positioning is considered by both academics and practitioners to be one of the key elements of modern marketing management, it is surprising to uncover general paucity of consumers/customers derived studies regarding brand positioning strategies. This article analyzes the market position held by a competitive set of brands in the hair oil market through a comparison of cognitive and conative perceptions. Cognition will be identified by trailing a factor analytic adaptation of importance performance analysis. In turn, conation will be gauged by stated intent of the consumers to purchase the hair oil brands under study. The alignment of the results from these techniques will help in identifying the position of leadership held by a brand in the hair oil market. The marketers, in order to strategically place their brands in today’s competitive market, need to identify the attributes on which they need to focus and those of paramount importance for the consumers. This method of positioning analysis offers a practical means for present-day marketers faced with the challenge of identifying one or few brands from their diverse and multi-attributed brand range that could be developed to differentiate their brand in a meaningful way to consumers.

Brand Positioning Strategies in Russia: Regional Differences in the Importance of Corporate Endorsement and Symbolic Brand Attributes

This research examines the regional differences in optimal brand positioning strategies in the emerging market of Russia and offers several important contributions. First, it shows that corporate endorsement of a product category brand has more positive effects on brand attitudes and perceived quality for consumers in St. Petersburg than for Muscovites. Second, the symbolic positioning concept focusing on a brand's international success is more effective in Moscow than in St. Petersburg. Third, certain types of functional positioning concepts are more effective in St. Petersburg than in Moscow. However, the differential effects of functional positioning concepts are likely to depend on the type of functionality involved. The authors hypothesize that these regional differences are due to the discrepancies in economic and consumer culture development between the two cities. Finally, this research provides significant theoretical and practical implications for brand positioning strategies in Russia and more generally in emerging markets.

Brand strategies of Jordanian telecommunications service providers

This article reports on an exploratory investigation into the brand strategy of the telecommunications service providers in Jordan, and thereby contributes to the limited research into brand strategy in both the telecommunications sector, and in the Middle-Eastern countries. The study demonstrates the extent to which the evolution of competitive strategy and brand strategy are interwoven, as well as generates a range of insights into successful brand strategies in this marketplace. It specifically responds to calls from other researchers for more research into brand strategy in the service sector in general, and the mobile phone industry more specifically. Data was gathered through semi-structured interviews with 12 managers with responsibility for branding and/or marketing and communications. The interviews explored respondents’ views on the nature of brand strategy and components of brand strategy, such as brand positioning, brand personality, brand identity, brand values, brand architecture and communications strategy. The discussion and conclusions summarise key findings under the following themes: perspective on and control of brand strategy, branding as a competitive tool, re-branding, brand values and brand communication strategies.

The differential roles of brand credibility and brand prestige in consumer brand choice

AbstractThis study explores how brand credibility and brand prestige affect brand purchase intention and empirically investigates how the combinatory mechanism of brand credibility and brand prestige materialize across multiple product categories. The proposed model of six latent constructs is tested with structural equation modeling analysis: brand credibility, brand prestige, perceived quality, information costs saved, perceived risk, and brand purchase intention. The results suggest that both brand credibility and brand prestige positively influence brand purchase intention through perceived quality, information costs saved, and perceived risk under different product categories representing the high and low self‐expressive nature. Several implications for advertising messages and brand positioning strategies are discussed. © 2010 Wiley Periodicals, Inc.

Achieving Brand Power: Bean Pole of Samsung

Along with continuous increases in the globalization of market, today’s business is challenged by a maturing domestic retail environment and an aging consumer market. Given this atmosphere in Korean fashion market, one of critical issues to survival for companies is a strong “brand power” with brand image (identity) and its strategic marketing Strong brands are viewed to differentiate themselves from unknown brands, resulting in favorable brand images that mirror the brand’s identity. As exploratory approach, this study identifies a strategic business focus on achieving brand power and provides an insight into developing effective brand positioning and fashion marketing strategy toward global markets. By focusing on a Korean fashion brand “Bean Pole”, objectives of this study are to profile the Cheil Industry in Samsung Group, define brand identity of the Bean Pole, and explore critical factors of strategic brand management. Korea’s economy ranks among the top 10 in the world, and its consumers have long been familiar with Western cultures through travel abroad and mass communications. Now, the Korean fashion marketplace is characterized by two market niches; (a) primarily domestically-produced, inexpensive apparel lines and (b) high-end collections dominated by designer brands imported mostly from the U.S. and Europe. More recently, apparel retail industry has shown strong rates of growth in South Korea, increasing its attractiveness to new entrants from foreign retailers. While some retailers selling apparel are highly diverse, many retailers still retain a strong emphasis on clothing, which intensifies rivalry. Cheil Industries is an affiliate of the Samsung Group, founded in 1954, as an initiative company with force in the development of textile industry, Korea. Today, the company has established a worldwide reputation for high quality and value in the three aspects: (a) leadership of electronic material in the IT area, (b) creating high profit by business structure of chemicals, and (c) gaining competitive fashion brand power. Currently, the Cheil Industry became a leading fashion firm with dominant brand power by launching various brands in domestic as well as foreign markets. As a traditional casual brand, “Bean Pole” launched in 1989 is currently expanding to family brands with different product lines. In 2005, the company had annual sales of $950million for fashion business. “Bean Pole” is the core fashion brand of the Cheil Industries, contributing 31% ($290million) of total sales in the fashion division in 2005. Now, the Bean Pole is number 1 brand in the retail venue of casual wear and children wear. Obviously, Bean Pole plays an important role as the best brand in achieving powerful brand asset of Cheil Industries’ fashion brands in Korea. This case study discusses Bean Pole from two aspects. The first thing is building brand salience. For fashion products, brand salience may be strongly related to brand image (or concept) including fashion image and style. The second thing is how to do strategic brand management. Strategic brand management involves the design and implementation of marketing programs and activities to build, measure, and manage brand equity. This study provides an insight into marketers and researchers to develop devise strategic brand management in the area of high-end fashion brand and underscore the inherent need for further, in-depth empirical research in the brand equity theory. A basic observation exemplify the brand identity of Bean Pole and its strategic brand management for sustaining strong brand equity in three aspects: brand extension, image positioning, and marketing mixes. In case of Bean Pole, success of marketing strategy for brand management heavily relies on its prestige image with high quality, establishing the brand equity. The brand equity can be leverage of brand extension entering into variety of new product categories within a same category of apparel. Especially, masstige brand positioning is critical to success of lifestyle brand extension for Bean Pole, which may have synergy effect on achieving strong brand value in both core brand and its extension. A strategic brand managing effort of Bean Pole can help companies establish brand equity. Fashion firms that are able to have a strong relationship with their customer should real a host of value, such as salient brand identity, premium brand price, and efficient marketing programs. Such understanding Bean Pole’s business focus allow marketers or retailers to entry into global brand extensions.

Brand positioning in the medical tourism industry: a brand personality perspective

This research extends the conceptualisation and measurement of brand personality to the medical tourism industry. It is the first study to apply Aaker's (1997) brand personality dimensions to analyse the brand positioning strategies being used in medical tourism advertisements. A content analysis is presented of business-to-consumer advertisements that appeared in Medical Tourism Magazine between 2007 and 2009. The results show that medical tourism providers are communicating clear and distinct brand personalities in their ads, with competence and sincerity being portrayed most frequently. The study establishes a foundation for future research on brand personality in the medical tourism industry. Suggestions for future research are offered.

Identification of a Target Consumer in Process Of Positioning - Theoretical and Practical Aspects

Positioning is an important tool of marketing strategic planning and of a brand building process. Brand positioning development incorporates analyses and definition of four major elements - target consumer (target group), consumer benefit, brand image and competitive frame of reference. All elements of positioning are interconnected and all of them are influenced by selection of target consumer. The article is concentrated on major steps of identification of the target consumer as a part of brand positioning strategy development. It demonstrates application of the theoretical attitude of segmentation on practical example of Bosch home appliances brand. Summary contains comparison of theory and practical case of segmentation and targeting process as a part of brand positioning development.

The effects of consumer preferences and perceptions of Chinese tea beverages on brand positioning strategies

Purpose – The study aims to discuss how the attributes of Chinese tea beverage brands influence consumers' evaluations of brand positioning and the differences and competition among brands.Design/methodology/approach – A perceptual map, developed using probabilistic discriminant analysis algorithms, depicts the relative position of each brand and illustrates their attractive properties. This statistical technique can enhance managers' ability to identify promising brand positions and enhance the overall brand design process.Findings – The study finds that Chinese tea beverage brands pursue various goals, such as quenching thirst, attractive advertising, or reliable quality, to develop their positions. Brand positioning implies that consumers remember particular information conveyed by the brand. The study illustrates consumers' brand awareness attributes, potential market demand, and brand competition conditions.Research limitations/implications – Brand positioning, when linked with market segmentation, c...

The impact of culture on brand perceptions: a six‐nation study

PurposeThe purpose of this paper is to examine how cultural differences affect the perception of a brand.Design/methodology/approachA study was carried out in six countries among different involvement groups. The study uses Hofstede's cultural dimensions and Aaker's brand personality dimensions to see if brand perceptions of a product are similar among all six countries.FindingsThis study provides clear evidence that a same brand is perceived differently in different cultures in spite of its identical positioning. This means that if a firm wishes to achieve the same brand perception in different countries, the firm needs to create brand positioning strategies that emphasize the characteristics that enable consumers to perceive the product in a similar way.Originality/valueThis paper examines the perception of a single brand in the context of cultural dimensions in a global setting – in particular in six countries on three continents.

A PRÁTICA DE POSICIONAMENTO DE MARCA EM AGÊNCIAS DE COMUNICAÇÃO

This article is about the brand positioning of service organizations. The aim of the paper is to inquire about the practice of brand positioning of communication agencies, and it entails the following subjects: brand identity, strategies for positioning, types of communication, system of identification, and views about the importance of positioning. The empirical research done is of the exploratory type, being qualitative, not probabilistic, and the method used for collecting data is personal depth interviewing. The data was collected from the eight most important agencies in Santa Catarina State. The results suggest that some of these communication agencies use the brand positioning strategy, but that they lack the appropriate methods, and their investment is not sufficient to communicate the positioning desired. Key words: Service Marketing. Brand positioning. Communication agencies.

Susceptibility to global consumer culture: A three‐dimensional scale

AbstractPrior research shows the existence of the construct “global consumer culture” and its related strategic implications for brand positioning strategies. However, the potential contribution of global consumer culture and associated positioning strategy to brand value would depend on consumers' susceptibility to global consumer culture (SGCC), a general trait of consumers that varies across individuals and is reflected in the consumer's desire or tendency for the acquisition and use of global brands. This study develops and validates a three‐dimensional scale that can be used to measure the conceptual domain of SGCC across cultures. Questionnaire surveys were conducted in China and Canada, and a three‐step structural equation modeling analysis was used to test the proposed scale for the two sample groups. Results indicate that SGCC is composed of three dimensions: conformity to consumption trend, quality perception, and social prestige. This scale could be used for empirical studies of aspects of global consumption behaviors. It may also help marketing managers develop a more focused positioning and communication strategy for global brands. © 2008 Wiley Periodicals, Inc.

Task Force Report 4. Report of the Task Force on Marketing and Communications

BACKGROUND To ensure the success of the proposed New Model of family medicine and to create a better understanding of the nature and role of family medicine, an effective communications plan must be developed and implemented. This Future of Family Medicine task force report proposes strategies for communicating the role of family physicians within medicine, as well as to purchasers, consumers, and other entities. METHODS After reviewing the findings from the research conducted for the Future of Family Medicine project, the task force presents a preliminary brand-positioning strategy for family medicine messages. Based on this strategy, the task force identifies 5 major audiences to which family medicine communications should be directed. A consistent method was used to determine optimum strategies to address each audience: defining the audience, assessing the literature and other pertinent evidence, identifying the communication objectives, determining the key messages, developing brand promises, and proposing strategies and tactics to support the messages and objectives. Preliminary communications plans are then presented for each of the 5 target audiences. MAJOR FINDINGS It is important that the organizations involved in family medicine make a multiyear commitment of resources to implement and support an aggressive communications strategy, which is based on key messages to target audiences. A concerted effort is particularly needed to address the declining interest among medical students in the specialty. Implementing a comprehensive family medicine career development program may be one effective strategy to reverse this trend. To help eliminate the current confusion among the public regarding family medicine and to promote clarity and consistency in terminology, the specialty should replace the name family practice with family medicine and a new graphic symbol for the discipline of family medicine should be developed. CONCLUSION As a discipline, family medicine has failed to formulate and deliver a compelling message. New communications strategies must be implemented that will reach audiences in terms they understand and care about and in ways that convey a sense of the exciting role family physicians will play in the future. By actively implementing the communications plans described in this report, the specialty can enhance the impact and help ensure the widespread implementation of the proposed New Model of family medicine.

Taste tests: Impacts of consumer perceptions and preferences on brand positioning strategies

Taste tests are being increasingly used by marketers to influence consumers to change their preferences toward their brands. This research indicates how perceptual and preferential taste tests can be used in conjunction with visual maps to provide support to marketing managers for making better brand positioning and targeting decisions on the basis of taste for different segments of consumers. An empirical blind taste-test study is used to illustrate the concepts. The preferential taste judgment part of the empirical study is designed to capture violations of the ‘Independence of Irrelevant Alternatives’ (IIA) effect that is commonly observed in consumers' actual purchases. The present paper also uses a hypothetical example to indicate the importance of considering the location of consumer ‘ideal points’ before making formulation changes in a brand as part of a targeting strategy. Various managerial implications of using the suggested perceptual preferential taste-mapping analyses are also discussed. Appropriate measurements of consumer tastes provide insights for identifying and targeting viable market segments.

Brand Positioning through Advertising in Asia, North America, and Europe: The Role of Global Consumer Culture

In this study, the authors examine the emergence of brand positioning strategies in advertising that parallel the growth of the global marketplace. A new construct, global consumer culture positioning (GCCP), is proposed, operationalized, and tested. This construct associates the brand with a widely understood and recognized set of symbols believed to constitute emerging global consumer culture. Study results support the validity of the new construct and indicate that meaningful percentages of advertisements employ GCCP, as opposed to positioning the brand as a member of a local consumer culture or a specific foreign consumer culture. Identification of GCCP as a positioning tool suggests one pathway through which certain brands come to be perceived by consumers as “global” and provides managers with strategic direction in the multinational marketplace.

A Model Of Emotion-Driven Choice

An alternative to the information-processing model of the consumer choice process is developed, based on emotional processes rather than cognitive evaluation and which instead of focusing on the individual decision maker locates consumer choice in its social and cultural context. Motivation in the model is drawn from the symbolic project of the self, which views consumption as a resource for the extraction of symbolic meaning for identity construction, maintenance and communication. The conceptual model is non-linear, emotion being seen as complex, socially-constructed and sometimes followed by post-hoc rationalisation. The implications for brand positioning strategy and marketing research methods are discussed.

Is your brand's loyalty too much, too little, or just right?: Explaining deviations in loyalty from the Dirichlet norm

This paper formally investigates the factors that relate to the deviations of brand's actual loyalty levels from theoretical norms in packaged goods markets. An aggregate measure of brand loyalty, share of category requirements, commonly tracked by marketing managers is used for this analysis. The comparison is conducted against the estimated share of requirements provided by the well established Dirichlet model of purchasing behavior. We posit that a brand's positioning strategy and marketing mix can influence the magnitude and the direction of the deviation from the norm. We use a two step modeling procedure where we first compute the deviation from the norm for each brand and subsequently conduct a regression analysis of this brand-level data to test the proposed hypotheses. We find that on average, brands that cater to some market niche, are bought in higher quantities, have lower prices, promote to a lesser extent, and have shallower price-cuts and enjoy higher than expected loyalty levels. We discuss possible implications of these results and offer guidelines that managers can use to better assess both the actual and the theoretical loyalty levels of their brands.

Consumer price limits and the brand effect

The effect of brand name present/absent condition on consumer price limits was examined in an experimental setting. The findings of this study have important implications for pricing managers. The results support the past findings that brand name affects price perception. Branded products are perceived to be higher priced than unbranded products (higher acceptable price). That is, branded products seem to command a price premium as compared to unbranded products. The findings suggest that the well-known brand name should be positioned in the upper acceptable price range and the not so well-known brand names in the lower acceptable price range. This brand positioning strategy, in turn, will determine the product's position in the product line, the marketplace, its competition, and its use patterns. Price is very much a part of the product and branding policy.