A Perceptual Map is a visual representation of how consumers perceive different brands along key dimensions, such as price and quality. It allows marketers to identify 'white spaces' or gaps in the market where no competitor currently resides.
These maps are constructed using consumer survey data to plot brands on a two-dimensional coordinate system. The axes represent the attributes most important to the target audience when making a purchase decision.
Analyzing a perceptual map helps a firm determine if its current position is too crowded or if there is an opportunity to reposition the brand to a more favorable or less competitive area.
| Feature | Market Positioning | Market Segmentation |
|---|---|---|
| Focus | The Brand's relative place | Dividing the total market |
| Goal | Competitive differentiation | Identifying target groups |
| Timing | Final step in STP process | Initial step in STP process |
When analyzing a case study, always look for the Point of Difference. If a brand claims to be 'the best' without specifying a unique attribute, its positioning is likely weak or generic.
Ensure the positioning is internally consistent. For example, a brand cannot successfully position itself as 'High Luxury' while using 'Deep Discounting' as its primary promotional strategy.
Check for the Reason to Believe. On exams, marks are often lost by identifying a benefit but failing to identify the specific evidence (like a patent or a unique ingredient) that makes that benefit credible.
Remember the STP Sequence: Segmentation (dividing the market), then Targeting (choosing a segment), and finally Positioning (defining the brand for that segment). You cannot position a brand without first knowing who the target is.
Under-positioning occurs when consumers have only a vague or non-existent idea of the brand. This usually happens when the marketing message is too broad or fails to highlight a clear point of difference.
Over-positioning happens when consumers have too narrow an image of the brand. This can limit the brand's growth potential because consumers may not realize the brand offers products outside of a very specific niche.
Confused Positioning results from making too many contradictory claims or changing the brand's position too frequently. This leaves consumers uncertain about what the brand actually stands for.
Doubtful Positioning arises when the brand's claims are simply not credible in light of the product's actual features, price, or the company's
