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Positioning Guest Lecturer – Ray Kaupp

Positioning Guest Lecturer – Ray Kaupp. Class 27 Thursday 11/29/11. What is Positioning?. Starts with a product Its what you do to the mind of the prospect The place you own in the mind of the prospect. Origins of Positioning. 1972 Ad Age series Al Ries and Jack Trout

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Positioning Guest Lecturer – Ray Kaupp

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  1. Positioning Guest Lecturer – Ray Kaupp Class 27 Thursday 11/29/11

  2. What is Positioning? • Starts with a product • Its what you do to the mind of the prospect • The place you own in the mind of the prospect

  3. Origins of Positioning • 1972 Ad Age series • Al Ries and Jack Trout • Designed as a response to the overcommunicated society • Too many product, too many companies, too much noise

  4. The Overcommunicated Society • Per-capita consumption of advertising = $376.72 • 6% of population, 57% of advertising • 94 lbs. of newsprint/person/yer • 8 oz. Box of Total = 1268 words • $1 million/yr = $0.005/viewer

  5. Phases of Advertising • Product era: Unique selling proposition • Image era: Reputation • Positioning era: create a position in the prospect’s mind

  6. Beer • Schlitz: real gusto in a great light beer • Miller Lite: everything you wanted in a beer. And less. • Becks: You’ve tasted the German meer most popular in America. Now taste the German beer most popular in Germany. • Lowenbrau: now a domestic brand

  7. The “Against” Position • Avis: We try harder • 7-up: The uncola • Burger King, Pepsi

  8. The Leadership Position • We’re #1??? • “The real thing” • Cover the bet • Kodak & 3M passed on the xerography patents • “Why pay .05 for plain paper when coated is .015?” • Xerox 914 = most profitable product ever made in the U.S.

  9. The Follower Position • Cherchez le creneau. • Size (VW: Think small.) • High price: BMW, Mercedes • First, valid story, receptive category • Low price: Old Milwaukee • Sex: Marlboro • Distribution: L’eggs • Time: Nyquil, FedEx

  10. Reposition the Competition • For the millions who should not take aspirin… Tylenol… Motrin • Listerine “the taste you hate, twice a day”; Scope “eliminate medicine breath” • Lexus: Dieter from the BMW factory

  11. Name Positioning • Head and Shoulders, DieHard, Spray ‘n Wash • Right-to-life, free trade, Clean Air Act • Abreviations: phonetic shorthand • L.A. vs. New York • GM vs. Ford • S.F. vs. Frisco • N.J. vs. Jersey

  12. Segmentation • Positioning implemented • Dimensions • Geography • Demographics • Psychographics • Emerging cuts • Soccer moms (minivans) • DINKs (Urban Outfitters) • Boomers

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