TABLE OF CONTENTS Key to the growth and development of most organisations is the positioning, pricing and branding strategy. As a manager it is useful to have a working knowledge of the fundamentals of this area, leading to an understanding of why customers, and in particular the decision-makers buy.
Some products and services are far more complex than others because of the perceived value or benefits associated with any given purchase. In certain cases, some products and services become elevated far beyond the basic core product, because they fulfil higher-level customer needs and therefore appeal to a particular segment of the market. A distinct product or service that combines a high price with a reputation for quality or prestige may occupy a unique position in the marketplace and may also be perceived to be superior to the other alternatives available. Conversely, some products and services that carry few additional attributes may still be popular with some segments of the market, provided the price is right.
In this theme you will:
Evaluate the need for positioning and branding or special identity to capture a position in the market
Review pricing policies and pricing objectives
Understand what factors affect pricing and positioning in the market
Identify basic buying behaviours and the key decision-makers.
In Market-Driven Management (2000), the author Jean-Jacques Lambin quotes the following definition by Ries and Trout (1981), since it passes the test of time and encompasses the key elements associated with positioning.
Positioning is the act...
