8/4/2019 5.Positioning of Services

1/21

Name of Institution

Positioning of Services

Module IIIMRS

MBA Retail Sem 2Sunetra Saha

8/4/2019 5.Positioning of Services

2/21

Name of Institution

To succeed in an overcommunicatedsociety, a company must create a positionin the prospects mind, a position that takesinto consideration not only the companys

own strengths and weaknesses, but thoseof its competitors as well.

Al Ries and Jack Trout

8/4/2019 5.Positioning of Services

3/21

Name of Institution

Market segmentation

Mass customization: offering a servicewith some individualized product elementsto a large number of customers at a

relatively low price

Microsegmentation: targeted at a smallgroup of customers that share certain

relevant characteristics at a specific pointof time

8/4/2019 5.Positioning of Services

4/21

Name of Institution

Target segments

8/4/2019 5.Positioning of Services

5/21

Name of Institution

Research for specific segment

8/4/2019 5.Positioning of Services

6/21

Name of Institution

Attributes

Determinant attributes: those thatdetermine buyers choices among

competing alternatives, list of service

characteristics that are important to thebuyers , wherein customers see significantdifferences among competing alternatives

Important attributes: points ofdifferentiation among competing services

8/4/2019 5.Positioning of Services

7/21

Name of InstitutionPositioning

8/4/2019 5.Positioning of Services

8/21

Name of InstitutionPositioning

8/4/2019 5.Positioning of Services

9/21

Name of Institution

The sum of beliefs, attitudes andimpressions that a person or a group hasof an object

Current image

Mirror image

Wish image

Company must establish a position ofvalue for its service in the minds of thetarget market

8/4/2019 5.Positioning of Services

10/21

Name of InstitutionDistinguishing characteristics

Importance

Distinctiveness

Communicability Superiority

Affordability

Profitability

8/4/2019 5.Positioning of Services

11/21

Name of Institution

Size

Composition

Location

trendsMarket

analysis

Internal

Analysis

Resources

Reputation

Constraints

values

Competitor

Analysis

Strengths

Weaknesses

Current positioning

Define, analyze

Market segments

Select target

Segments toserve

Articulate

Desired position

In market

Select benefits

to emphasize

To customers

Analyze

possibilities for

differentiation

Marketing

Action

Plan

8/4/2019 5.Positioning of Services

12/21

Name of InstitutionPositioning process

1. Market positioning

2. Psychological positioning

* objective positioning* subjective positioning

3. Positioning approach

8/4/2019 5.Positioning of Services

13/21

Name of InstitutionMarket positioning

The process of identifying and selectingmarkets or segments, that represent businesspotential, to determine the criteria for

competitive success. Questions to be asked:

1. What is important to the target market?

2. How does the target market perceive the service offering?

3. How does the target market perceive the competition?

4. What attributes should a service offering use to differentiate itselfto make the best use of its resources?

8/4/2019 5.Positioning of Services

14/21

Name of InstitutionPsychological positioning

Enables marketers to create a uniqueproduct image with the objective ofcreating interest and attracting customers.

It involves the use communication toconvey the firm or its offering identity and

image to the target market.

8/4/2019 5.Positioning of Services

15/21

Name of InstitutionPsychologicalpositioning

Objective positioning:

Creation of an image of service offeringthat reflects physical features and

functional features. Subjective positioning:

It is the (mental perceptions) image and

other attributes perceived by the customerand not the physical aspects of theoffering.

8/4/2019 5.Positioning of Services

16/21

Name of InstitutionPositioning approaches

Positioning by attributes, features orcustomer benefits

Positioning by price value

Positioning by use of application

Positioning by users or class of users

Position with respect to product class

Positioning against competition

Positioning by endorsement

8/4/2019 5.Positioning of Services

17/21

Name of InstitutionPositioning approaches

Positioning by quality dimensions

Reliability

Assurance

Tangibility

Empathy

Responsiveness

8/4/2019 5.Positioning of Services

18/21

Name of InstitutionPositioning approaches

Positioning by serviceevidence

People

Physical evidence

Process: Complexity

Diversity

Forensic

Testing lab

Hospital

Services

Generalpractitioner

Specialisttreatment only

Diagnostic serviceonly

Retailer ororthopedicsupplies

X-ray labs

Medicalcounseling

High complexity

Low complexity

Low

diversity

Hig

hdive

rsity

8/4/2019 5.Positioning of Services

19/21

Name of InstitutionPositioning maps

Graphicalrepresentation ofconsumers

perceptions aboutdifferent products andservices

Premium

position

Best valueor

niche

One off

sales or

cherrypicking

Cheapest

Price

High low

high

low

Q

ualityofservice

8/4/2019 5.Positioning of Services

20/21

Name of InstitutionMarketing Mix

The specific combination of marketing elementsused to achieve an organization's/ individuals

objectives and satisfy the target market.

Physicalevidence

process

people place

promotion

price

product

Elements of

Service mix

8/4/2019 5.Positioning of Services

21/21

Name of InstitutionCorporate objectives& resources

Market andCompetitive

analysis

Resource

Allocation analysisMarketing assets statementCustomer portfolioMarket knowledgeMarketing implementation skillProduct linePositioning strategyReputation of brands

Operating assets statementPhysical facilitiesEquipmentInformation technology

Human resources (nos. & skills)Alliances & partnershipsCost structure

Service marketing conceptBenefits to customersUser costs

Service operations conceptNature of processesGeographic scope of operations

SchedulingFacilities design and layoutHuman resourceLeverage thro partnerships &self-service

Specific tasks assigned to front stage

Backstage operationsS i d li