Competitive Positioning

To help businesses raise the number of client purchases, marketing teams employ a variety of tactics. One method marketers do by using a tactic known as competitive positioning to set a company’s products apart from those of its rivals. If you want to boost your company’s goods sales, you might be interested in learning more about competitive positioning. The definition of competitive positioning in marketing, the purpose of utilizing this tactic, and the three approaches to outperforming competitors are all covered in this article.

Why is competitive positioning important?

The term “competitive positioning” refers to how a marketing team could differentiate a business from its competitors. The company’s position depends on how the value of its products and services stacks up against the cost of comparable products and services available in the market. To increase competition, a marketing team considers various market factors, such as audience wants and current trends.

How does competitive positioning work?

Competitive positioning seeks to boost consumer perceptions of your company’s worth to boost sales. This frequently entails identifying a niche for your business’s products to target the particular requirements of its clients. Doing this may appeal to a market interested in your services while reducing your competitors.

A positioning strategy’s components

You should think about a few typical components when developing your positioning plan, such as:

The market for your products: Consider all its facets when determining how your business and product fit into the market. Consider the size of the need for your product, the market’s stage of development, and the number of rivals you face to learn how to increase the success of your business.

What your target audience wants: Through analytics and social media, learn about the specific demands of your target audience so that you may more effectively promote to them and beat the competition. Utilize this information to enhance your goods and marketing initiatives with original perspectives, extra features, and specialized content.

How your firm performs: Take into account using tools like SWOT analysis to assess your company’s performance, as it can impact the success of your marketing activities. Conducting a SWOT analysis for strengths, weaknesses, opportunities, and threats enables you to assess your company’s market potential.

The worth of your offering: Examine the cost and the product’s advantages to ascertain how much value your product offers buyers. If the price of your product is in line with its capabilities, you may be in a stronger position to compete against rivals that charge more for inferior goods.

What are the top strategies to add competitive value?

There are three main techniques to give your items competitive value. Each concentrates on a particular area of customer interest to attract customers and boost sales. Taking a closer look at these strategies for building competitive value is as follows:

1. Excellence in operations

When you utilize operational excellence to boost your company’s competitiveness, you market how your business produces many goods at a low price while maintaining a high-quality level. The management of your company may concentrate on making it more effective to create many things they can sell quickly. This frequently indicates that the goods are essentials like hairbrushes or cutlery, which rarely need to have their design altered.

2. Product leadership

Marketing the distinctiveness and excellence of your products to enhance your brand’s reputation and promote sales is one way to set your business apart from the competition through product leadership. Product leadership is typically most effective in marketplaces when products offer apparent upgrades or comparable features, such as computers and cell phones. While management considers methods to enhance products and include extra features that appeal to more customers, market research can be done to identify areas where your company can fill holes left by the competition.

3. Customer relations

Positive customer relations can help your business stand out from the competition since devoted consumers are more likely to buy new items, refer them to friends, and promote them on social media. Being involved and approachable on social media and paying attention to client input to improve your services are all parts of marketing with customer connections. This strategy is beneficial for promoting online shops or specialized products that let your team interact with clients with particular interests.

What to consider while creating a competitive positioning plan

Take a look at the following advice to assist you in creating a competitive positioning strategy to boost sales for your business:

Make a list of objectives: You can better grasp how to adopt a strategy for your business by determining your goals. The management of your firm and your marketing staff should meet to discuss the short- and long-term objectives of your organization’s competitive positioning.

Become an authority in your industry: By comprehending your industry, the function of your business, your team, and your target market within it, you may plan and determine your ideal competitive position. To determine what is selling successfully and what buyers are still looking for from the products offered, research current trends, identify your competitors, and keep an eye out for new products.

Analyze your rivals: You can spot opportunities for improvement within your business and foresee modifications to their marketing approaches. This can assist you in developing unique, cutting-edge marketing initiatives and helping your business stay relevant to its clientele.

Understand the cost vs. benefit of your price: Take a look at the price and advantages of your competitors’ items to see if they offer customers value. Using this data, you can create a product value chart for your own business and assess whether you can raise prices or improve the quality of your items to outperform competitors.

Create a timeline: If your marketing team has a campaign deadline or a set of objectives, think about creating a timeline to assist you in staying on schedule and assessing how you’re doing against your rivals. This aids in determining your position in the marketplace and provides a visual guide for carrying out the tasks necessary for expanding your business.

Find your market niche: A market niche can help you sell unique products to potential customers looking for something that other businesses might not be able to provide. By outlining how your items are unique and superior to competitors’ offerings, you may promote your company’s goods to niche buyers and strengthen your standing.


Competitive positioning is a company strategy that should be implemented throughout your business activities, in addition to branding and marketing. It entails determining what distinguishes your company, product, or service from the competition in the market and emphasizing this position to appeal to prospective customers.