What does positioning refer to in marketing?

Positioning in marketing primarily focuses on how customers perceive proposed or existing products. It involves crafting a clear image or identity for a product in the minds of consumers relative to competing offerings. This perception is essential as it influences customer choice and can differentiate a product from others in a crowded marketplace. Effective positioning considers various factors, such as features, benefits, use cases, and brand messaging, to communicate a product's unique value proposition.

By establishing a strong position, companies can strengthen customer loyalty, influence buying decisions, and enhance brand reputation. Understanding consumer perceptions helps marketers create targeted strategies that resonate with their audience, ultimately driving more effective marketing campaigns and fostering a deeper connection with customers.