Product Repositioning Means Changing The Product's Position

Product Repositioning: Changing a Product's Position in the Market

Product repositioning is a strategic marketing process that involves changing the way consumers perceive a product or brand. It's not about altering the physical product itself, but rather shifting its image, target audience, or competitive landscape. This involves a fundamental shift in the product's position within the minds of consumers, influencing their purchasing decisions and brand perception. A successful repositioning strategy can breathe new life into a struggling product, expand its market share, and increase profitability. However, it requires careful planning, market research, and a strong understanding of consumer behavior.

Understanding the Current Position

Before embarking on a repositioning strategy, it's crucial to thoroughly analyze the product's current market position. This involves several key steps:

1. Market Research: The Cornerstone of Understanding

Comprehensive market research is essential to understand the current perception of your product. This involves:

• Competitive Analysis: Identifying direct and indirect competitors, their strengths and weaknesses, and their market positioning. What are they doing differently? What are their unique selling propositions (USPs)? Where are the gaps in the market you can exploit?
• Consumer Segmentation: Defining your target audience based on demographics, psychographics, and buying behavior. Who are your current customers? What are their needs and wants? Are you reaching the right audience? Are there underserved segments you could target?
• Brand Audit: Examining your brand's current image, messaging, and overall perception. What is your brand currently communicating? Is this message resonating with your target audience? What are the strengths and weaknesses of your current branding?

2. Identifying Current Positioning: Perception vs. Reality

It’s vital to differentiate between how you think your product is positioned and how consumers actually perceive it. This requires objective analysis of:

• Customer Feedback: Gathering data from customer surveys, reviews, and social media monitoring to understand their perspectives on your product. What do they like? What do they dislike? What are their unmet needs?
• Sales Data: Analyzing sales figures to identify trends, patterns, and areas for improvement. Which product features are selling best? Which are underperforming? Which segments are driving the most sales?
• Marketing Materials: Reviewing your current marketing campaigns and materials to assess their effectiveness in communicating your product's value proposition. Is your message clear and concise? Is it resonating with your target audience?

Defining the New Position: A Strategic Shift

Once you understand your product's current position, you can start defining the desired new position. This requires a clear vision of:

1. Target Audience: Redefining Your Customer

Repositioning may involve targeting a completely new audience, or refining your focus within your existing audience. Consider:

• Expanding your target market: Are there untapped segments that would value your product?
• Focusing on a specific niche: Could you become a leader in a smaller, more specialized market?
• Reaffirming your core audience: Sometimes, repositioning means reconnecting with your existing customer base in a more meaningful way.

2. Value Proposition: Highlighting Unique Benefits

A strong value proposition is crucial for successful repositioning. This involves identifying:

• Unique Selling Proposition (USP): What makes your product different and better than the competition? This could be a unique feature, superior quality, lower price, or a combination of factors.
• Key Features and Benefits: Highlight the most important aspects of your product and explain how they benefit the customer.
• Emotional Connection: Connect with the customer on an emotional level, tapping into their desires, aspirations, and fears.

3. Brand Identity: A Visual and Messaging Overhaul

Repositioning often requires a visual and messaging overhaul to reflect the new position. This involves:

• Brand Name and Logo: In some cases, a complete brand refresh might be necessary.
• Packaging and Design: Update your packaging to align with your new brand identity.
• Marketing Materials: Develop new marketing materials that accurately reflect the new position.
• Tone of Voice: Adopt a new tone of voice in your communications to match the new target audience.

Implementing the Repositioning Strategy: A Phased Approach

Implementing a repositioning strategy requires a well-defined plan and phased approach.

1. Communication and Messaging: Crafting a Compelling Narrative

Clear, consistent, and persuasive communication is paramount. This involves:

• Developing a compelling brand story: Craft a narrative that resonates with your target audience and highlights your product's unique value proposition.
• Utilizing diverse marketing channels: Leverage a multi-channel approach that reaches your target audience effectively. This includes social media, content marketing, paid advertising, email marketing, and public relations.
• Consistent messaging across all channels: Ensure your message is consistent and clear across all touchpoints.

2. Product Enhancement: Supporting the New Positioning

While repositioning focuses on perception, product enhancements can significantly strengthen the new positioning. This might involve:

• Adding new features: Enhance the product to better meet the needs of your target audience.
• Improving quality: Enhance the quality and reliability of the product to improve customer satisfaction.
• Reducing price: Adjust the price point to align with the new positioning and target audience.

3. Monitoring and Evaluation: Measuring Success

Continuous monitoring and evaluation are essential to assess the effectiveness of your repositioning strategy. This includes:

• Tracking key metrics: Monitor metrics such as brand awareness, market share, sales, customer satisfaction, and return on investment (ROI).
• Gathering customer feedback: Continuously collect customer feedback through surveys, reviews, and social media monitoring.
• Adapting your strategy: Be prepared to adjust your strategy based on the data and feedback you gather.

Examples of Successful Product Repositioning

Several brands have successfully repositioned their products, achieving significant growth and market share. Analyzing these examples can provide valuable insights:

• Old Spice: From a product associated with older generations, Old Spice successfully repositioned itself as a fun, quirky, and relevant brand for a younger audience through humorous and engaging marketing campaigns.
• Dove: Dove shifted its focus from a soap brand to a champion of real beauty, empowering women and promoting body positivity. This powerful repositioning resonated deeply with consumers.
• Nintendo Wii: The Wii successfully repositioned itself as a family-friendly gaming console, attracting a wider audience beyond traditional gamers.

These examples showcase the power of effective repositioning. However, it's important to note that repositioning is not always successful. A poorly executed repositioning strategy can damage a brand's reputation and lead to decreased sales.

Avoiding Common Pitfalls in Product Repositioning

Several common pitfalls can hinder successful product repositioning. Understanding these challenges is crucial for avoiding them:

• Ignoring market research: Failing to conduct thorough market research can lead to misguided assumptions and ineffective strategies.
• Inconsistent messaging: Sending mixed signals to consumers can confuse and alienate them.
• Lack of commitment: Repositioning requires a significant investment of time, resources, and effort. Lack of commitment can lead to failure.
• Ignoring customer feedback: Failing to actively seek and respond to customer feedback can undermine the repositioning effort.

Conclusion: A Dynamic Process for Long-Term Success

Product repositioning is a dynamic and ongoing process that requires careful planning, execution, and evaluation. By understanding the current market position, defining a compelling new position, and implementing a well-defined strategy, businesses can successfully transform their products and achieve long-term growth. Remember that success depends on a deep understanding of your target audience, a strong value proposition, and consistent, compelling communication. The process is iterative, requiring adaptation and refinement based on ongoing feedback and market changes. By embracing this dynamic approach, you can effectively navigate the competitive landscape and ensure the continued success of your product.