Page 317 - Marketing Management

294 PART 4 BUILDING STRONG BRANDS

of 10,000 programmers who work on its open source coding. Twelve fans of the brand felt so
strongly about it they used two-by-fours and rope to hollow out a 30,000-square-foot impression
of the brand’s logo in an oat field outside Salem, Oregon! 46
• Leverage as many secondary associations as possible. Secondary associations—any persons,
places, or things with potentially relevant associations—are often a cost-effective, shortcut
means to build brand equity, especially those that help to signal quality or credibility. Cogent,
makers of software that can identify people through fingerprints, draws 12 percent of its
revenues and much brand equity from the fact that the Department of Homeland Security uses
its products to police the U.S. border. 47
Unlike major brands that often have more resources at their disposal, small businesses usually do
not have the luxury to make mistakes and must design and implement marketing programs much
more carefully.

Summary

1. To develop an effective positioning, a company must are associations consumers view as being necessary to
study competitors as well as actual and potential cus- a legitimate and credible product offering within a certain
tomers. Marketers need to identify competitors’ strate- category. Competitive point-of-parity associations are
gies, objectives, strengths, and weaknesses. those associations designed to negate competitors’
2. Developing a positioning requires the determination of points-of-difference or overcome perceived weaknesses
a frame of reference—by identifying the target market or vulnerabilities of the brand.
and the resulting nature of the competition—and the 5. The key to competitive advantage is relevant brand dif-
optimal points-of-parity and points-of-difference brand ferentiation—consumers must find something unique
associations. and meaningful about a market offering. These differ-
3. A company’s closest competitors are those seeking to ences may be based directly on the product or service
satisfy the same customers and needs and making simi- itself or on other considerations related to factors such
lar offers. A company should also pay attention to latent as employees, channels, image, or services.
competitors, who may offer new or other ways to satisfy 6. Emotional branding is becoming an important way to
the same needs. A company should identify competitors connect with customers and create differentiation from
by using both industry- and market-based analyses. competitors.
4. Points-of-difference are those associations unique to the 7. Although small businesses should adhere to many of
brand that are also strongly held and favorably evaluated the branding and positioning principles larger compa-
by consumers. Points-of-parity are those associations nies use, they must place extra emphasis on their brand
not necessarily unique to the brand but perhaps shared elements and secondary associations and must be
with other brands. Category point-of-parity associations more focused and create a buzz for their brand.

Applications

Marketing Debate Marketing Discussion
What Is the Best Way to Position? Attributes and Benefits
Marketers have different views of how to position a brand. Identify other negatively correlated attributes and benefits
Some value structured approaches such as the competitive not described in this chapter. What strategies do firms use
positioning model described in the chapter, which focuses to try to position themselves on the basis of pairs of attrib-
on specific points-of-parity and points-of-difference. Others utes and benefits?
prefer unstructured approaches that rely more on stories,
narratives, and other flowing depictions.
Take a position: The best way to position a brand
is through a structured approach versus The best way to
position a brand is through an unstructured approach.