mktg 4600 presentation on positioning and brands

8/8/2019 MKTG 4600 Presentation on Positioning and Brands

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Issues and challenges in thepositioning of service brands:

a review

Issues and challenges in thepositioning of service brands:

a review

Blake Gantz

Jennifer Gist

Britney Elizondo


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First lets understand thecurrent definition of a service

First lets understand thecurrent definition of a service

any activity or benefit that one party can offer toanother which is essentially intangible and does not

result in the ownership of anything. Its productionmay or may not be tied to a physical product.

-Kotler (1996)


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The characteristics

of Services: Intangibility

Inseparability Variability

Perishability

Ownership Non-standardization

The characteristics

of Services: Intangibility

Inseparability Variability

Perishability

Ownership Non-standardization


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Along with services, thedefinition of Positioning must

also be understood.

Along with services, thedefinition of Positioning must

also be understood.


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However, there is not one universally

accepted definition of Positioning. There is noclear theoretical basis.

As positioning means different things todifferent people, the various terminologies arestill several sides of the same coin.

-Arnott (1994)


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but the current adopted definitionof Positioning is:

but the current adopted definitionof Positioning is:

the deliberate, proactive, iterative processof defining, measuring, modifying andmonitoring consumer perceptions of amarketable object

-Arnott (1993)


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Recently, increasing attention hasbeen paid to positioning of service

brands.

Recently, increasing attention hasbeen paid to positioning of service

brands.


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While some authors state that there are nodifferences between positioning of services

and physical goods, most scholars agree thatit is more difficult to position services.

They also support the idea of tangibilizing

different aspects of a companys service toachieve positioning.


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positioning a service is more difficult than positioning a productbecause of the need to communicate vague and intangiblebenefits.

-Assael (1985)

services marketing differs from goods marketing becauseservices pose different marketing problems and opportunities

from those faced by goods marketers.

-Lamb & Cravens (1990)

A couple beliefs about positioningservices are:

A couple beliefs about positioningservices are:


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Because of differing opinions onpositioning services

Two differing schools of thought

have arose

Because of differing opinions onpositioning services

Two differing schools of thought

have arose


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Those who argue against varyingpositioning strategies for services

Those who argue that services need

specific positioning strategies.


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The First school of thought argues that one

should not vary positioning strategies forservices from physical goods.

The First school of thought argues that one

should not vary positioning strategies forservices from physical goods.

Customers can gain benefits from services in thesame way that they can for physical goods.

Since there are no real differences betweenphysical goods and services, there is no need for

differentiation between positioning strategies forservice marketing.


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The second school of thought states thatservices require different positioning

strategies and tactics from physical goods.

The second school of thought states thatservices require different positioningstrategies and tactics from physical goods.

These different positioning strategies for

services are based upon 3 qualities.

Search

Experience Credence


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Search Qualities are known as:Search Qualities are known as:

Features that consumers can identify beforepurchasing a product. Like:

Color

Style

Price Smell

etc.


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Experience qualities are known as:Experience qualities are known as:

Features that can only be understood afterpurchase or during consumption. Like:

Taste

Wearability

Satisfaction


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Credence qualities are known as:Credence qualities are known as:

Features that the consumer may finddifficult to evaluate even after purchaseand/or consumption.

Open heart operation

Brain surgery

Appendix operation


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In support of the secondschool of thought about

service positioning

In support of the secondschool of thought about

service positioning


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It is stated that marketers find difficultiestrying to interpret services since they canbe positioned on a variety of dimensions.

Such as:

Needs they satisfy

Benefits delivered

Specific features

Time of use Who uses it

It is stated that marketers find difficulties

trying to interpret services since they canbe positioned on a variety of dimensions.

Such as:

Needs they satisfy

Benefits delivered

Specific features

Time of use

Who uses it


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Also in support of the secondschool of thought

It is believed that services presentspecial challenges to positioning.

Also in support of the secondschool of thought

It is believed that services presentspecial challenges to positioning.


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Services are relatively intangible, produced andconsumed simultaneously, and often lessstandardized than goods. These unique

characteristics of services will therefore presentspecial challenges for services positioning.

-Berry (1980)


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To try to overcome these specialchallenges that services provide

To try to overcome these specialchallenges that services provide

It has shown that services advertisements oftencontain more:

Emotional appeal

Personalized headlines

Symbolic representation


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UltimatelyUltimately

Although there are two different

schools of thought, attention to detailand appreciation of servicespositioning must be established.


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service marketers must have a goodunderstanding of their special competitive

situation to achieve long-term competitiveadvantage

-Fisher (1991)

mktg 4600 presentation on positioning and brands

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