Achieving better market position is a matter of perception. This analysis is important because it helps you sell -- allows you to target your buyers and people who are involved in purchase decisions. You think through the issues of a product or service and incorporate the ideas of real users into your offering.
In order to create the perception you desire, it is prudent to think through the issues. This can be done using a market positioning formula first outlined by marketing guru Geoff Moore in “Crossing the Chasm” a dozen years ago.
The benefit of this exercise is that you agree on target audiences, rationale for your product, the primary buyers and users.
It is especially important for emerging companies that may be led by research scientists, engineers or other highly skilled technical people who are not educated in marketing and PR. The formula is:
For (target customer)
Who (statement of need or opportunity)
The (product name) is a (product category)
That (statement of key benefit – that is compelling reason to buy)
Unlike (primary competitive alternative)
Our product (statement of primary differentiation)
This marketing positioning formula guides you to reflect on the targets and value of your business to a customer.
