How do you document and communicate your product positioning?

1 Step 1: Define your target market and customer persona

Before you can position your product, you need to understand who you're selling to and what they need. You can use market research, customer interviews, surveys, and analytics to identify your target market and segment it into customer personas. A customer persona is a semi-fictional representation of your ideal customer, based on their demographics, behaviors, goals, challenges, and motivations. You can use a template or a tool like HubSpot or Xtensio to create your customer personas and document their key characteristics.

2 Step 2: Analyze your competitors and alternatives

Next, you need to assess how your product compares to other solutions in the market, both direct and indirect. You can use a competitive analysis matrix or a tool like Crayon or SimilarWeb to evaluate your competitors and alternatives on various criteria, such as features, pricing, benefits, strengths, weaknesses, and market share. You can also use a positioning map or a tool like Canva or Venngage to visualize how your product differs from others in terms of two important dimensions, such as quality and price.

3 Step 3: Identify your unique value proposition and differentiation

Based on your customer persona and competitive analysis, you can now craft your unique value proposition and differentiation. Your unique value proposition is the main reason why your product is valuable and relevant to your target customers, and how it solves their problems or meets their needs better than other options. Your differentiation is the specific feature, benefit, or attribute that makes your product unique and superior to your competitors. You can use a value proposition canvas or a tool like Strategyzer or Vizzlo to document your value proposition and differentiation.

4 Step 4: Write your product positioning statement

A product positioning statement is a concise and clear summary of your product positioning that answers four questions: who is your target customer, what is your product category, what is your unique value proposition, and what is your differentiation. A product positioning statement follows this formula: For (target customer), (product name) is the (product category) that (unique value proposition) because (differentiation). You can use a product positioning statement template or a tool like Positioning-Roulette or Product Positioning Generator to write your product positioning statement.

5 Step 5: Create your product positioning framework

A product positioning framework is a comprehensive and consistent document that outlines how you communicate your product positioning across different channels and touchpoints. It includes elements such as your product name, logo, tagline, elevator pitch, key messages, value propositions, benefits, proof points, testimonials, and stories. You can use a product positioning framework template or a tool like ProductPlan or Aha! to create your product positioning framework and align it with your product strategy and roadmap.

6 Step 6: Share your product positioning with your team and stakeholders

The final step is to share your product positioning with your team and stakeholders, such as your developers, designers, marketers, salespeople, and customers. You can use a collaboration tool like Google Docs or Notion to store and update your product positioning documents and invite feedback and suggestions. You can also use a presentation tool like PowerPoint or Prezi to showcase your product positioning statement and framework and explain how they support your product vision and goals.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?