The short answer is: sometimes. As marketing consultants working with Australian SMEs, we often encounter businesses with fantastic ideas but products that aren’t quite ‘there’ yet. It’s tempting to throw more development at the problem, but a clever market positioning strategy can buy you valuable time and even create a sustainable advantage. It’s not a magic bullet, but it’s a powerful tool.

Positioning isn’t about pretending your product is something it isn’t. It’s about how you frame its benefits in relation to competitors and, crucially, the needs of your target customer. If your product has limitations, positioning focuses on what it *does* do exceptionally well, and for whom. Here’s what we’ve learned over the years:

• Focus on a Niche: A broader market highlights weaknesses. A tightly defined niche allows you to dominate with a focused solution, even if it’s not perfect for everyone. Think ‘premium’ or ‘budget’ or ‘specifically for left-handed users’ – narrowing the field changes the game.
• Benefit-Led Positioning: Don’t talk about features; talk about the outcomes customers achieve. If your product is less feature-rich, emphasise the simplicity and ease of use. Position it as the ‘no-fuss’ option.
• Pre-emptive Framing: Acknowledge the limitation, but reframe it as a benefit. For example, a simpler software might be positioned as ‘less bloated and faster’ than complex alternatives. Transparency builds trust.
• Build a Strong Brand Story: People connect with brands they believe in. A compelling narrative can create an emotional connection that overrides rational comparisons. This is especially important when product features are comparable.

However, positioning has limits. If the product fundamentally doesn’t solve the core problem for the target customer, no amount of marketing will fix it. It’s a temporary advantage, a way to gain traction while you iterate and improve. We’ve seen businesses successfully use positioning to fund further development, proving product-market fit and attracting investment.

Ultimately, positioning isn’t a substitute for a good product. But it *is* a powerful way to maximise the impact of what you have, especially in a competitive market. If you’re facing product limitations, the first step is a thorough market positioning workshop to identify your ideal customer and craft a compelling narrative. Let’s talk about how we can help you define that.