In the upcoming months we will introduce the 25 strategies that will support your brand building and business development activities in key emerging markets. Today, we will have a look at the analytical process how to create the ideal brand positioning.
Successful brands create an optimized positioning that meets the key requirements of the local market. Market facts and insights such as the current “local” brand perception and “blank positioning spots” serve as analytical foundation.
globeone uses a special analytical planning method called the Market-Driven Brand Positioning Process to help corporations and brand owners with the development of their market-driven brand positioning. Complex data is used to ensure that the functional and emotional brand promises are relevant to local target groups and that there is sufficient differentiation from local competitors. At the same time, it is important that the positioning is still in line with the global brand positioning to avoid inconsistencies or conflicts. Typically, the following steps are taken:
First Step – Market Scan
Evaluating existing internal data and combining it with pragmatic external research produces initial insights and a thorough understanding of the local market specifics.
Second Step – Relevance Analysis
Understanding what people really care about and what makes them buy a product points the way to potential positioning routes.
Third Step – Deliverability
After a company has looked at a market and the target group with an open mind it should start to assess which of the relevant needs it can satisfy best. In some cases, this also means that some new competencies may need to be developed or acquired (e.g., through targeted acquisitions).
Fourth Step – Consistency
Besides the question of deliverability in the local market, the alignment with the global brand promise also matters. The adjusted brand positioning still needs to fit the global brand framework. If this is not the case, the situation will lead to conflicts with the global organization and complexities regarding the management of the brand.
Fifth Step – Differentiation
After the first four steps, there is still a need to understand the local and global competitor positioning in the local markets. Why? First of all, especially in fast growing markets, the set of key competitors is often substantially different. Companies that are virtually unknown in many Western markets might turn out to be the most aggressive competitors in new growth markets.
Sixth Step – Derivation of Optimized Positioning Routes or Product Concepts
Once all data is available, it is possible to select those value propositions that hold the best commercial potential. At each step of the market-driven brand positioning process, some options are eliminated. Based on the best concepts and related brand promises, it is then possible to form consistent positioning “routes” that can then be tested in the target groups and further optimized.