What is Product Positioning? 5 Easy Steps to Boost Sales Performance

by Creating Change Mag


Product positioning is a crucial marketing technique. Without it, you can end up having a product that doesn’t seem to meet any real needs, doesn’t compare well with competitors, and just doesn’t have much of an aim or purpose. 

If you find yourself with what you believe to be a great product, but you’re just not sure how to market it, or no one seems to be buying it, you might be facing an issue with product positioning. So let’s dive into what this is, and how you can use it to boost your sales

What is product positioning? 

The words “Product positioning” might spring to mind images of supermarket workers placing sweets at the eye-level of children, or displaying great bargains right next to the cashier. However, that’s not the type of product positioning we’re going to cover in this article. 

Product positioning as we mean it is a marketing strategy – one that affects how a product is perceived by the target audience. The purpose is to communicate to the public how a specific product can solve a problem faced by the consumer, and in a better way than the competitors.

How is your product different from your competitors’ products? How is it better? This is what you want to communicate. 

So by positioning, we’re talking about positioning your product on the market sphere, positioning it in relation to your competitors, and positioning it in relation to your audience’s needs. 


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Benefits of product positioning 

There are a lot of benefits of product positioning – let’s  take a look at some of them.

1. Improved understanding of product

The work included in positioning your product for your audience naturally involves learning a lot about your product in the process. You need to learn why your product is better than other ones on the market, so that you can express that to your audience. 

You also need to learn how it’s used in order to figure out why people would want it and how to position the product in their lives. This knowledge can be passed on to sales teams to help them when it comes to making sales and helping customers – which, ultimately, helps you align your team

2. Improved customer experience

If a customer understands the value of their product, how it’s better than others on the market, and how it meets their needs, they’re going to get more out of the product and have a better impression of your brand. 

This means an overall more positive experience, and the building of more trust with your brand. 

3. Competitive advantage 

Product positioning, by communicating the value of your product to your audience, helps you to get a leg up on the competition. Do other blenders only have two modes? Well, maybe yours has four! 

Do other ecommerce platforms have a stellar customer service team? Maybe that’s something you can communicate to the public. Helping your customers to see these benefits gives you an advantage. 

4. Money saving

What is product positioning if not a money-saving tool. By making the most out of your product with clever marketing, you can save a lot of dollars. Instead of using less effective marketing methods, you can save money by investing more wisely and getting your product onto your audience’s radar. 


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How to position your products

Let’s jump into how you can position your products to boost the performance of your sales team

1. Suss out the competition

Sussing out the competition consists of a series of research efforts that help you to better understand your competitors’ strengths and weaknesses, as well as their market positioning. More specifically, you need to:

  • Identify who your competitors are by making a list of both direct and indirect competitors in your industry.
  • Analyze their products to understand what they offer, what features they possess, pricing, and quality.
  • Study their marketing strategies, such as how they position their products, messaging, branding, and promotional methods.
  • Check out their online presence, like website, social media, and customer reviews, as well as reputation online.
  • Understand their target audience – their demographics, preferences, and even buying behavior.
  • Find their strengths and weaknesses, what they do well and where they fall short compared to your products.
  • Identify Gaps in the market – those opportunities where you can fill a need that competitors don’t.

A comprehensive overview of your sales coaching platform competitors, for example, can give you valuable insights that can allow you to stand out and position your products strategically in this particular market.

2. Understand your customer on a deeper level 

Understanding your customers on a deeper level is crucial for understanding what product positioning is, as well as learning sales questions that close the sale for that audience. You want to learn what their motivations are, as well as preferences, and pain points to position your products in the market. Specifically, you want to:

  • Identify customer needs, what problems or challenges they face that your product can solve. This will help you when it comes to positioning your product as a solution to their specific needs.
  • Develop customer personas that are more detailed than segments and include things like customers’ goals and preferences, values, and purchasing behavior. This will guide you in crafting messaging that resonates with each persona.
  • Keep an eye on customer behavior, how they interact with your products, website, and marketing campaign. This will help you identify trends that can inform your positioning strategy.
  • Remain customer-centric, i.e. meeting customer needs and delivering value, instead of just promotion.

3. Define your unique selling proposition

Defining your Unique Selling Proposition (USP)will help you to differentiate your products from competitors, as well as  communicating their value to customers. Here are some key points to consider in regards to this:

  • Be clear and concise so that your USP is easy to understand and remember. Vague and generic statements should be avoided at all costs. Be specific.
  • Show how your USP is a solution to pain points experienced by your target customers. How can your product make their lives easier, better, or more enjoyable? 
  • Make sure that your USP aligns with your brand’s values. By being consistent in your messaging, you can develop trust and credibility with customers.

A strong and compelling USP can allow you to communicate the unique value of your product offers and stand out in a crowded market.

4. Develop a positioning summary

Developing a positioning summary allows you to express your Unique Selling Proposition (USP) concisely. Here are some tips:

  • Begin by clearly stating what sets your product apart from competitors – your USP – and why customers should choose it. 
  • Define your target audience, who your product is designed for. Summarize the specific needs it addresses for your audience.
  • Highlight key benefits, how it improves customers’ lives better than alternatives in the market.
  • Keep it concise and compelling to capture the essence of your product, without jargon or technical language.
  • Reflect your brand identity

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5. Create a messaging strategy

A messaging strategy will keep your efforts coherent and seamless and help generate revenue. Here are some key tips to consider when developing this:

  • Understand your target audience, and adapt your messaging to resonate with their needs and motivations. Use language that feels familiar and relatable. 
  • Make sure that your messaging reflects and reinforces your Unique Selling Proposition (USP) and positioning in the market. You want to increase a sense of trust and familiarity, and highlight what is great about your product.
  • Highlight the key benefits of your product, its features, and the solutions it provides using clear and persuasive language. 
  • Use clear and concise language to avoid confusing and alienating your audience.
  • Tailor your messaging to different channels. Your website, social media channels, adverts, and customer support should be consistent, but also enjoy messaging tailored to the medium. Your tone should be the same throughout. 

Final thoughts 

So, what is product positioning? To summarize, positioning your products involves several key steps. These include researching the competition, understanding your customers, and defining your Unique Selling Proposition (USP).

You also want to write a positioning summary, as well as creating a messaging strategy. With these steps, you will hopefully be able to position your products to boost sales performance and stand out in your market.

Image by Unsplash


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