In today’s saturated markets, where countless brands promise similar products, winning customers isn’t just about having the best offering—it’s about owning the right place in their minds. That’s the essence of positioning.
Positioning defines how customers perceive your brand compared to your competitors. It’s what makes them say, “This is the brand for me.” When done right, it doesn’t just attract attention—it creates loyalty, preference, and advocacy.
Let’s explore how entrepreneurs can master the art of positioning to stand out, connect deeply, and win customers in even the most competitive environments.
1. What Is Positioning—and Why It Matters
Positioning is the process of defining and communicating what makes your brand unique in a meaningful way. It’s not what you say about your business—it’s what people think about you when they hear your name.
Al Ries and Jack Trout, in their classic book Positioning: The Battle for Your Mind, defined it as “the act of occupying a distinct place in the customer’s mind.”
In crowded markets, customers are bombarded with choices. Without clear positioning, your brand becomes just another option. With strong positioning, you become the obvious choice.
Example: Volvo doesn’t compete on speed or style—it owns “safety.” That simple yet powerful position has anchored the brand for decades and guided every marketing decision.
2. The Foundation: Know Your Audience Inside Out
Effective positioning starts with deep understanding. You can’t position your brand meaningfully if you don’t know who you’re talking to—or what they care about.
Research your audience to uncover:
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Core needs and pain points: What problems do they urgently want to solve?
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Values and motivations: What drives their choices—price, quality, prestige, convenience, ethics?
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Decision triggers: What moments or experiences push them to buy?
Pro tip: Create detailed customer personas that capture demographics, habits, frustrations, and desires. This helps ensure your brand message resonates emotionally—not just logically.
Example: Airbnb understood that travelers weren’t just looking for accommodation—they wanted authentic local experiences. That insight shaped its positioning as a community-driven alternative to hotels.
3. Analyze the Competitive Landscape
To find your position, you must know what spaces are already occupied. Study your direct and indirect competitors to map where each stands in the market.
Ask:
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What do they emphasize? (Price, quality, innovation, luxury, speed, etc.)
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How do customers perceive them?
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Where are the gaps or unmet emotional needs?
Visualize this using a perceptual map, plotting competitors on axes like “price vs. quality” or “innovation vs. tradition.” The goal is to identify white space—an area where you can uniquely stand out.
Example: When Tesla entered the automotive market, it didn’t compete with traditional carmakers on economy or luxury—it positioned itself at the intersection of performance and sustainability, a space previously unclaimed.
4. Define Your Unique Value Proposition (UVP)
Once you’ve found your strategic position, articulate it through a Unique Value Proposition—a clear statement that communicates the benefit only you provide.
Your UVP should answer three key questions:
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Who is your target customer?
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What problem do you solve for them?
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Why are you the best or only solution?
Use this simple formula:
For [target customer], [brand] is the [category] that [unique benefit] because [proof or reason to believe].
Clarity beats cleverness. The simpler your UVP, the easier it is for customers to remember and repeat.
5. Positioning Through Emotion, Not Just Logic
The best positioning connects emotionally. People buy based on feelings and justify with logic.
Brands that evoke emotion—trust, aspiration, belonging, or confidence—build stronger, longer-lasting connections.
Example: Nike doesn’t just sell athletic wear; it sells empowerment. Its positioning, “Just Do It,” inspires people to push limits and chase greatness, no matter who they are.
Ask yourself:
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What emotion do you want people to feel when they think of your brand?
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How can you embed that emotion into your messaging, design, and customer experience?
6. Align Positioning with Every Touchpoint
A position isn’t declared—it’s demonstrated consistently. Every brand interaction should reinforce the story you’re telling.
That includes:
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Your product or service – Does the experience deliver on your promise?
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Pricing strategy – Does it match your market position (premium, affordable, or value-based)?
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Visual identity – Do your logo, colors, and imagery reflect your desired perception?
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Customer experience – Does every interaction feel “on brand”?
Example: Starbucks positions itself as a “third place” between home and work. Its stores, music, atmosphere, and service are all designed to make customers feel relaxed and connected—a consistent expression of that positioning.
7. Differentiate with a Brand Story
Facts tell; stories sell. A strong brand story can elevate your positioning by creating emotional depth and human connection.
Your story should answer:
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Why did you start?
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What challenge did you want to solve?
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What values guide your journey?
Stories turn brands into movements and customers into believers.
Example: TOMS Shoes built its entire positioning around its story—“buy one, give one.” The mission-driven narrative made it more than a shoe company; it became a symbol of social impact.
8. Adapt Your Position as Markets Evolve
Markets change. Competitors shift, customer expectations evolve, and technology transforms industries. To stay relevant, your positioning must be dynamic, not static.
Monitor:
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Customer sentiment: Are perceptions shifting?
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Industry trends: Are new technologies changing buying behaviors?
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Competitor moves: Are they encroaching on your space?
Brands that evolve thoughtfully maintain relevance without losing identity.
Example: Netflix repositioned from a DVD rental company to a streaming pioneer and then again to a content creator—always adapting to how people consume entertainment.
9. Communicate Your Position Loudly and Consistently
Even the most brilliant positioning fails if customers never hear—or understand—it. Consistency is key.
Craft a messaging framework that repeats your core promise across all channels—ads, social media, website copy, packaging, and sales conversations.
Repetition builds recognition. Recognition builds trust. Trust builds preference.
Example: FedEx’s simple slogan, “When it absolutely, positively has to be there overnight,” communicated reliability so powerfully that it became synonymous with fast delivery.
10. The Ultimate Goal: Owning a Word in the Mind
The best brands own a single idea or “word” in the customer’s mind.
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Volvo: Safety
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Domino’s: Fast delivery
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Disney: Happiness
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Amazon: Convenience
Find your word—the one concept that encapsulates your brand’s promise—and make every decision align with it.
Positioning isn’t about being everything to everyone. It’s about being irreplaceable to the right ones.
Final Thoughts: Positioning as a Strategic Advantage
In crowded markets, you can’t outspend, outshout, or out-feature everyone—but you can out-position them.
Winning customers isn’t about competing harder; it’s about competing smarter—by owning a clear, emotional, and believable place in their minds.
When your brand becomes the first choice people think of for a specific need, you’ve mastered the art of positioning. And in business, that’s how you win—no matter how crowded the field.
