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What Is Product Positioning and How to Do It Right

When I was first starting out in business, I had no idea what is product positioning. I just knew that I needed to sell my products and get them into the hands of potential customers. It wasn’t until later that I realized how important it is to have a clear and concise product positioning statement.

A product positioning statement is a short, clear description of what a product does and how it benefits the customer. It helps potential customers understand what the product is and why they should buy it. Positioning statements are also used internally by companies to guide decision-making about products and marketing campaigns.

Having a well-defined position for your product can make all the difference in whether or not people buy it from you. If you’re not sure where to start with developing your own position statement, here are some tips:

What is product positioning?

What is product positioning? Product positioning is the process of identifying the most advantageous position for a product in the marketplace. This process involves analyzing the product’s strengths and weaknesses and then determining how best to communicate those attributes to consumers.

Product positioning can be a challenge because it must take into account not only the product itself but also the competition and the overall marketplace. Click To Tweet

What is a product positioning statement?

For ____, who wants ____, we offer ____ Our product is for people who are looking for a fast and easy way to get their car fixed. We are the only company that offers a one-hour turnaround time.

For [group of users] that [need/want], [company/product] is a [category/solution] that uniquely solves this by [benefit].

Fredwin Cycling creates a cycling app. This app is designed to improve the cycling experience for users. The app has a number of features, including a route planner, a weather report, and a community forum.

They are looking for a fun way to get in shape that will not feel like work. A product positioning statement: Our target market is people who love to cycle and want to get fit.

Our research shows that they are health-conscious but find it hard to stick to an exercise routine. They want an enjoyable way to stay in shape without feeling like it’s a chore.

Fredwin Cycling is the perfect way for users to stay motivated and connect with like-minded friends. The social cycling community promotes friendly competition and tracks workout performance, making it easy for users to see their progress.

Here is a product position statement from a company named “Fredwin”:

For cyclists that want to connect with other athletes, Fredwin Cycling is the leading social fitness application that uniquely brings the cycling community together by promoting healthy competition.

What influences how a product is perceived?

There are a variety of factors that can influence how customers perceive your products, such as your branding and your marketing efforts.

The most important factor that determines how a product is perceived is the customer’s experience with the product. This includes everything from the initial purchase to using the product and interacting with the company. The complete product experience (CPE) is what customers think and feel about your product, and it is this experience that has the biggest influence on perception.

There are 7 areas that contribute to your CPL:

Marketing: What potential customers learn about your product and how it might be a fit for them can influence their perception of the product.

Sales: How do prospects get the information they need to make a purchasing decision?

Tech: The features that customers value most and are willing to pay for.

Supporting systems: The systems we have in place that enable us to deliver our product

Integrations: The tools, apps, and software your customer is using

Contact: How do your customers get assistance with your product

Privacy policies: The guidelines that your company operates under

While it’s crucial to have a strategy for how you’ll market and sell your products, it’s equally important to consider every step of the customer lifecycle. By considering each step, you’ll ensure that customers have a good experience with your brand and that they’ll become loyal users.

Your customers’ opinions are what really matter when it comes to your product. Click To Tweet

What are some types of product positioning strategies?

Positioning your products correctly is essential to ensuring customer satisfaction. By properly describing what sets you apart from your competitors, you can attract new customers and maintain a consistent brand voice.

While your value proposition should be unique to your company, your messaging and branding do not have to be completely unique.

Product Positioning is the act of differentiating your product from your competitors. Here are some different types of strategies you can use:


Our product is the most affordable option on the market.


Some types of product positioning strategies include: – stressing the quality or luxury of your product in comparison to rivals that focus on price – emphasizing the unique features or benefits of your product – targeting a specific niche market with your product


Focus on a target audience that is relevant and important to your product or service.


-Expand your market by finding new categories for your product or service. -Change the way customers view your products. -Discover new ways to promote your business.


Show that your product or service is superior in some way to your competitors.


Our product is the only one of its kind in the market. It is unique and can not be easily copied by other companies.

When deciding on a marketing strategy, keep the customer’s needs, your market research findings, and your business or product development objectives top of mind. This will ensure that your strategy is as effective as possible.

No matter what strategy you choose, well-defined product positioning will demonstrate that you have a clear understanding of what makes your product valuable. This, in turn, shows that you know how to communicate this value to your customers.

Product Positioning Strategy: A great way to plan your product roadmap.

Roadmaps are a great way to get started with your strategy. With hundreds of templates to choose from, you can find the perfect one for your needs. Plus, you can try it out for free for 30 days.

8 Common Product Positioning Strategies

If you want to follow in the footsteps of companies like Apple, you can implement these strategies to position your products for success.

Quality-Based Product Positioning

This strategy is used by companies like Apple and Tesla Motors. Positioning a product based on its high quality requires the product to be of a high quality – hence the name.

This strategy is common because it can be applied to any type of product. Companies usually compare their product’s quality to that of their competitors.

If you hear a sentence like “this product is better than the leading competitor,” you can understand that the brand is trying to position itself based on quality. Quality-based product positioning is a strategy where companies compare their product’s quality to that of their competitors.

Variety-based Product Positioning

This type of product positioning is all about the variety that the brand offers. This way, customers will know that they have plenty of options to choose from.

Product positioning can be variety-based, even when it comes to services.

To show that our company offers a large variety of products, we compare the variety offered by our competitors with the variety our product offers. Our product has more to offer than any other competitor on the market.

Describe why each of the aspects of your product, service, or company are so unique.

Performance-based Product Positioning

Performance-based product positioning is all about how well the product performs and how effective it is at completing the task. The physical appearance of the product is less important with this type of positioning.

This messaging is almost exclusively used by physical products. Companies using this tactic do not usually directly compete with others.

Our product has the greatest performance on the market.

Elon Musk’s Tesla Cybertruck was designed with performance in mind, not looks. The truck’s unique appearance is a result of its focus on function over form.

The Tesla truck is marketed as a high-performance vehicle.

Efficiency-based Product Positioning

The positioning strategy for this type of product mainly revolves around the product making the customer’s life more efficient and easier.

Product efficiency is an effective way to market a product as it focuses on how it will make a customer’s life better. This can be applied to any product, which is why it’s such a popular marketing technique.

Aesthetic-based Product Positioning

This product positioning is just about the product at hand and how well it looks. Aesthetic-based product positioning is all about how a product looks and how well it fits into customers’ lives.

When using this strategy, there’s no need to compare your product to others on the market. Instead, focus on what makes your product unique and appealing.

This product is designed to look good and function well. It’s the perfect combination of form and function.

Reliability-based Product Positioning

Reliability is one of the most important factors customers consider when choosing a product. That’s why some companies focus on promoting their products as being reliable. By doing so, they hope to build trust with potential customers and convince them that their product is worth purchasing.

The product positioning strategy relies on trust being a significant factor.

Product reliability is all about comparing your products to similar ones on the market and showing how yours is superior. You need to explain why yours is the better choice. This takes a lot of data and research, but if you can convince customers that it’s the right choice, it’ll pay off.

Reliability-based product positioning is often seen in brands with a long history. This is because this strategy relates to their longevity in the market and their loyal customer base.

Sustainability-based Product Positioning

This product positioning is based on sustainability, which is becoming increasingly important to consumers. You see this type of product positioning more and more as the market changes and new product types are introduced.

Companies that focus on being eco-friendly use marketing tactics that emphasize their use of renewable resources.

While the focus of the article is the benefits of using eco-friendly items, the comparisons are mostly between products that are neither green nor sustainable.

Tesla is a great example of using multiple positioning strategies. Different types of positioning help Tesla appeal to different consumers.

However, they all drew upon a shared belief in the importance of sustainability-based product positioning.

DIY-based Product Positioning

As the internet has progressed, people have been able to find an increasing number of do-it-yourself guides and products. The rise of e-commerce has made it easier than ever for people to purchase items needed for DIY projects, and this trend shows no signs of slowing down.

This product positioning persuades customers of the ease of assembly. Other components of this type of product positioning focus on customers’ intelligence and skillsets required.

Now that you’ve learned how to market your products like the big dogs, you can implement these strategies for the best results and the most loyal customers.

What is the purpose of product positioning?

Product positioning is the strategy of choosing a specific target audience for your product to appeal to and sell to the best of your abilities. This will help create a loyal customer base for your product.

What are the 4 main components of product positioning?

There are four main components of product positioning: target market, competition, product features, and benefits.

The target market is the group of consumers that the company wants to reach with its product.

The competition is the other products that are available to consumers in the same category.

Product features are the characteristics of the product that make it unique and appealing to consumers. Benefits are the advantages that consumers will experience by using the product.


So now, you already know what is product positioning. Product positioning is difficult because it must consider not only the product but also the competition and the market. Good luck! I’ll be rooting for you!