So your business is in a crowded market, and it feels like you’re shouting into a void. Everyone’s claiming to be “innovative,” “customer-centric,” and “cutting-edge” yet customers barely notice you. If you’re a busy CEO or marketing leader who needs growth but lacks the time (and let’s be honest, the patience) to play marketing whack-a-mole, listen up. The problem might not be your product or service at all. It might be your positioning.
What Is Positioning in Marketing? Why Should You Care?
In plain English, positioning in marketing is the art (and science) of defining how your brand is perceived in the minds of your target customers relative to your competitors. It’s the answer to the question, “Why should anyone choose your company over all the others?” It’s not just a fancy term marketers throw around to sound smart. It’s carving out a distinct space in your customer’s mind for your business.
Why does this matter? Because if you don’t deliberately shape your position, the market will do it for you. A strong positioning gives your marketing direction and focus. It keeps you relevant to the people who matter (your customers) and differentiates you from that sea of lookalike competitors. In a crowded marketplace, standing out is your lifeline. Without clear positioning, you’re basically defaulting to “we’re just like everyone else, but hey, we exist!” That’s not a compelling pitch.
Positioning in Action: How a Little Razor Company Cut Down a Giant
Need proof that great positioning in marketing works? Look no further than Dollar Shave Club. Back in 2011, the razor market was dominated by Goliath brands like Gillette. The last thing the world needed was another razor company—until Dollar Shave Club showed up and positioned itself as the cheeky, no-BS underdog. Their viral video declaring “our blades are f***ing great” and their simple subscription model directly challenged the status quo.
Dollar Shave Club didn’t try to beat Gillette at its own game (endless blade technology jargon and celebrity endorsements). Instead, they reframed the conversation. They were the budget-friendly, convenient alternative for regular guys tired of overpaying for razors locked behind store cabinets. With a distinctive tone and clear value (decent razors delivered to your door for a dollar a month), they built a brand that stood out. The result? They grabbed a huge chunk of the market and got acquired by Unilever for $1 billion in just five years. Not bad for a little startup taking on a giant.
The lesson here is not that you should start swearing in your ads (please, don’t start yelling expletives in the boardroom on our account). It’s that a compelling, differentiated positioning can propel you from zero to hero. Even if you’re not in the razor biz, the principle holds: find an angle that sets you apart, and lean into it confidently.
The 5 Ps of Marketing Positioning (Your Building Blocks)
How do you actually develop your positioning? It helps to break it down into the classic 5 Ps: Product, Price, Place, Promotion, and People. Think of these as the levers you can pull to establish and reinforce your market position.
- Product: What you offer and how it’s different. Your product or service has to deliver on your positioning promise. If you position yourself as the quality leader, your product better not be held together with duct tape and wishful thinking. Consider features, design, and any unique benefits that set your offering apart.
- Price: What you charge and what it signals. Price isn’t just a number; it’s a message. Are you the affordable option or the premium choice? A low price can scream “great value” (or “cheap and low quality” if you’re not careful), while a high price can imply “top tier” (or “overpriced snobbery”). The key is to align price with the rest of your positioning. Don’t price a luxury service like a bargain bin special, or vice versa.
- Place: Where and how you sell. This is all about distribution and accessibility. Are you exclusive and hard to find (creating allure and scarcity), or everywhere and convenient? Think Apple Store vs. Amazon, or high-end boutiques vs. Costco. Your channels should support the image you want: a brand positioned on elite service probably isn’t sold at the gas station checkout.
- Promotion: How you communicate and connect. This covers your messaging, marketing channels, and brand voice. Are your ads buttoned-up and formal, or witty and irreverent? Promotion is the megaphone for your positioning, so make sure what you shout out loud matches who you say you are.
- People: Who you serve (and who represents you). “People” in the 5 P’s refers to both your target customers and your team. Know your audience so you can tailor everything to what they care about. And ensure your employees embody the experience you promise. If you position your brand as friendly and approachable, a grumpy customer service rep can torpedo that in seconds. People can make or break your positioning faster than you can say “one-star review.”
Each of these Ps needs to sing harmoniously in your marketing strategy. When they’re in tune, you create a coherent and powerful positioning. Miss a note, and customers get confused or, worse, lose interest.
Four Types of Positioning Strategies (Find Your Best Fit)
Not all positioning strategies are created equal. In fact, most winning approaches fall into a few broad categories. Here are four common types of positioning strategies with examples to help you figure out where you might fit:
- Cost Leadership: “We’re the Best Deal” – This strategy is all about being the low-cost leader. You compete on price and aim to offer a similar (or acceptable) product at a lower cost than everyone else. Think Walmart’s “save money, live better” mantra or Spirit Airlines charging you for, well, everything (but the ticket is dirt cheap). If you can operate super efficiently and scale like crazy, cost leadership can win you a big slice of the market. Just remember, slashing prices without a plan is a race to the bottom—you still have to turn a profit.
- Differentiation: “We’re Truly Unique” – Here you compete on uniqueness and superior value, not price. Maybe your product has exclusive features, the best quality, or a customer experience that makes clients feel like VIPs. Apple, for instance, positions itself on sleek design and an ecosystem that works well. They’re not the cheapest, and they don’t care. Their differentiation (and fanatical customer base) lets them charge a premium. For a mid-market example, think of a B2B software company that doesn’t try to be all things to all people, but instead offers one killer feature or service that nobody else does quite as well. Differentiation is your game if you can answer, “We’re the only ones who… [fill in the blank].”
- Niche Focus: “We Serve These People Better Than Anyone” – Rather than going broad, you go deep. Focus on a specific segment of the market and become the undisputed champion of that niche. Imagine a company that makes software only for dental practices, or a bakery that’s all gluten-free, all the time. By specializing, you can tailor everything to that audience and often charge a premium because you fit like a glove. You’re basically saying, “We may not be for everyone, but for this group? We’re the best choice, hands down.” The risk: your niche has to be big enough to matter (and not fade away), and you need to know that segment inside-out. But when it works, it’s the marketing equivalent of being a hometown hero.
- Product/Innovation Leadership: “We’re the Cutting Edge” – This is the strategy of being the innovator or quality leader. You position as the most advanced, most innovative option on the market. Think Tesla in its early days or Dyson in home appliances – brands that are always a step ahead. Customers come to you because they want the best or the latest and greatest, and they’re willing to pay for it. This strategy requires heavy investment in R&D and a tolerance for risk (today’s cutting edge can become tomorrow’s obsolete gadget if you’re not continually innovating). But if you can consistently leapfrog the competition, you earn a reputation as the market leader in innovation and set the standards others try to follow.
A cautionary note: you can’t be all things simultaneously. Trying to be the cheapest, most luxurious, and most innovative brand all at once will just make your head (and your customers’ heads) spin. Pick a lane, and execute it better than anyone else.
Stand Out or Fade Out: Your Move
Standing out isn’t a luxury, it’s a necessity. Positioning in marketing is the compass that guides all your branding, messaging, and strategy so you stay on course toward growth. Nail your positioning, and marketing becomes a whole lot easier (and more effective). Get it wrong, and you might as well be shouting underwater because nobody’s hearing you.
The reality is that defining and executing a strong positioning takes work and insight. It’s not a one-time task, and it’s certainly not something most over-scheduled leaders can whip up between back-to-back Zoom calls. This is where having some expert help in your corner can make all the difference.
Ready to sharpen your positioning and start claiming your spot in the market? At &Marketing, we offer a hands-on Messaging and Positioning Audit that will:
- Assess your current messaging and brand position – We’ll figure out where you stand in the marketplace and how you stack up against the competition.
- Identify your unique differentiators – Those magic ingredients that make your business special (and pinpoint where you might still be blending in with the crowd).
- Provide an action plan to sharpen your message – Think of it as a stress test for your brand message, with a blueprint to make it clearer, stronger, and more compelling.
Don’t let your business blend into the background. Reach out and let us help you carve out a market position that gets you noticed for all the right reasons. It’s time to stand up, stand out, and stay relevant, starting today.
