Competitive positioning is about defining how you’ll “differentiate” your service or offering and create value for your market. It’s about finding a unique spot in the competitive landscape and focusing your company to execute on that strategy. Key strategy points includes
Customer segments: groups of customers with similar wants & needs
Competitive analysis: strengths, weaknesses, opportunities and threats in the landscape
Market profile: size, competitors, stage of growth
Positioning strategy: how you’ll position your offering to focus on opportunities in the market
Value proposition: the type of value you’ll deliver to the market
When your market segment clearly sees how your offering is different than that of your competition, it’s easier to generate new prospects and guide them to buy. Without differentiation, it takes more time and money to show prospects why they should choose you; as a result, you often end up competing on price – a tough position to sustain over the long term.