Positioning in marketing is about creating a clear and distinct space for your business in the minds of your target customers. It’s not simply what you *do*, but how customers perceive what you do in relation to your competitors. Think of it as the answer to the customer’s question: “Why should I choose you?” It’s fundamental to building a strong brand and achieving sustainable growth.

Many small and medium enterprises (SMEs) mistakenly believe positioning is about features. While features are important, positioning is about the *benefit* of those features, and how that benefit uniquely solves a customer’s problem. It’s about owning a specific idea or attribute. For example, two coffee shops might both sell excellent coffee, but one positions itself as the ‘fast, convenient’ option for commuters, while the other positions itself as a ‘relaxed, community’ hub. Both are valid, but appeal to different customers.

Here are a few key insights to help you understand positioning better:

• It’s customer-defined, not self-defined: What *you* think your positioning is doesn’t matter if it doesn’t resonate with your target audience. We need to understand their needs, values, and perceptions.
• It requires differentiation: To position effectively, you need to be different from your competitors. This could be through price, quality, service, innovation, or a unique brand personality.
• It’s about simplification: A strong position isn’t complex. It’s a concise statement that clearly communicates your value proposition. Trying to be everything to everyone usually results in being nothing to anyone.
• It guides all marketing efforts: Your positioning should inform your messaging, branding, product development, and even your customer service. Consistency is crucial.

Getting your positioning right isn’t a one-time task. As the market evolves, and as your business grows, we need to regularly review and refine your position to ensure it remains relevant and effective. Looking ahead, with increased competition expected in many sectors, a clearly defined and communicated position will be even more vital for success.

The next step is to clearly define your ideal customer and then analyse your competitors. Understanding both will allow you to identify opportunities to create a unique and compelling position for your business. Consider undertaking some customer research to validate your assumptions.