Positioning made instinct critical.

Ever more often, in this new world of product parity, I come across a critical question: What is the single most important merit that makes a business a profitable one?

Is there any such thing and how do we go about it? It is of course a matter of opinion (…) yet I believe that positioning is what makes all the difference between a successful and a failing brand.
It is a mind thing. Al Ries and Jack Trout suggested it in their book: “Positioning: The Battle for Your Mind", Warner Books 1982. Kotler describes it as “the place the product occupies in consumers′ minds relative to competing products" (Kotler (2002), p. 269).
For me, positioning, especially differentiation positioning represents the biggest challenge for any business and the critical marketing factor for the marketer who needs more than just to refine a trillion of data to get it right. Excellent consumer behavior of the target market is needed. A detailed analysis for all competitive brands and accurate and in depth data for all competitors is needed also. But it is not enough. You also need the instinct.
You need to make sure that you are targeting the right market and then you need to make your best guess on how your consumers will react to your brand in relation to the competitive ones.
A best guess is a hypothesis no matter how you cut it and although it can be based in figures and facts it still remains an assumption. Without a good market instinct it is easy to go wrong.

Test markets provide a good preview of how your positioning will affect the target market if you have the time and the money for it.

Market surveys will provide you with a good understanding of your consumers' perceprions. Focus groups and interviews for quality feedback and phone and street questioneries for quantity can definitely help you with a factor analysis to gather consumer perceptions about the characteristics, the uses and the feelings about using the various brands in your target market.

Positioning strategies we all know a lot of. Some will work better than others, some require bigger budget than others. In my opinion a successful positioning is the one decided using all the tools of the trade but determined by the marketers’ market instinct.


Post Scriptum
Although it is more a communication rather that a marketing planning tool I find the brand essence wheel a great brainstorming chart for brand positioning.