In their 1981 book, Positioning: The Battle for your Mind, Al Ries and Jack Trout describe how positioning is used as a communication tool to reach target customers in a crowded marketplace. Jack Trout published an article on positioning in 1969, and regular use of the term dates back to 1972 when Ries and Trout published a series of articles in Advertising Age called "The Positioning Era." Not long thereafter, Madison Avenue advertising executives began to develop positioning slogans for their clients and positioning became a key aspect of marketing communications.
The concept of positioning applies to products in the broadest sense. Services, tourist destinations, countries, and even careers can benefit from a well-developed positioning strategy that focuses on a niche that is unoccupied in the mind of the consumer or decision-maker.
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Al Ries and Jack Trout are often credited with developing the concept of product or brand positioning in the late-1960s with the publication of a series of articles, followed by a book. Ries and Trout, both former advertising executives, published articles about positioning in Industrial Marketing in 1969 and Advertising Age in 1972.[11]
Some scholars credit advertising guru, David Ogilvy, with developing the positioning concept in the mid-1950s, at least a decade before Ries and Trout published their now classic series of articles.[13] In their early writing, Ries and Trout suggest that the positioning concept was widely used in the advertising industry prior to the 1950s.
Ries and trout write: "There is no objective reality. There are no facts. All that exists in the world of marketing are perceptions in the mind of the customer or prospect." This is the foundation upon which all other rules and strategies for positioning are built. It doesn't matter if you can scientifically prove your product is faster, stronger, or more durable than your competition - if that's not what is in the consumer's mind, then that's not reality.
The consumer's mind is divided up into categories for each type of product or service they use, so there is a category for beer, toothpaste, cars, airlines, etc. The concepts of "benchmarking" and then trying to outperform the leader in your field in key areas is not effective positioning, because that company already owns your category in the consumer's mind and humans have biases that make them highly unlikely that they will ever change their outlook in the future. Which brings us to point number two...
You can think of categories like ladders in the mind of the customer. The first place company is on top, followed by the second, and the third, and so on. If you create a new category, you are building a new ladder in the mind of the customer that you can then take the top spot on. But if you find yourself below the leader on the ladder for your category, and you can't make a new ladder, then in order to be successful you have to create your positioning in response to the leader. be457b7860
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