CREATE A PRODUCT POSITIONING (3 products)

• Consumer Needs
• Competitive Framework (create matrix, see Slide 22-25)
• Benefit
• Reason Why
• Brand Character
• Value-Based Payoff

NEEDS CAN BE EXEMPLIFIED IN TWO WAYS:

• Utilitarian Needs - Physical or functional needs that emphasize objective, tangible attributes of products
• Hedonic needs - Psychographic or emotional needs characterized by subjective, experiential benefits of products

THE COMPETITIVE FRAMEWORK PROVIDES A GROUPING OF LIKE PRODUCTS WITH WHICH OUR PRODUCT COMPETES

• Direct & indirect competitors

BENEFIT ELEMENT

• Encapsulates the most meaningful product difference between our brand and the competitors
• Benefit must be consistent with the products physical attributes

REASON WHY ELEMENT

• Element that adds credibility to the main benefit by emphasizing supporting rationale intrinsic to the brand
• Makes a connection between those attributes that support the benefit(s) promise

BRAND CHARACTER ELEMENT

• Element that addresses who your brand is.
• The personage or personality of your specific brand
• Complexion
• Temperament
• Spirit/Soul

THE VALUE-BASED PAYOFF

• The element that captures the value associated with the benefit promise

EXAMPLE OF FORMULATION

• To business people who need a quick, fast lunch, Campbells soup is the fast-food alternative that gives you a quick, tasty meal in the middle of the work day. The reason is because it 1) is ready to eat, 2) takes minimal preparation, and 3) is microwavable.
• The brand character is reliable, helpful.
• The value-based payoff is accomplishment.