7 Positioning Strategies Every Business Owner Needs to Know and Use to Stand Out and Stay in Customers’ Minds (but use number 7)

So, you’ve segmented your market and figured out which customers to target. But how do you make sure they remember you? Enter positioning: the art of staking your claim in the market and giving customers a reason to choose your brand over all the others. It’s not just about being seen; it’s about standing out.

Positioning is how you communicate your value, differentiate yourself from competitors, and make sure your customers know exactly what makes you the best choice. And no, this isn’t about flashy slogans or clever logos—it’s about crafting a message that hits home with your audience and stays in their minds long after they’ve seen your ad or walked through your doors.

1. Product Attributes Positioning

What it is: Positions your brand based on the unique features or benefits of your product. Why it works: Highlighting what sets your product apart from competitors can attract customers who are looking for something specific. Best for: Products with clear, standout features or innovative benefits (think tech gadgets or eco-friendly products).

2. Price-Based Positioning

What it is: Positions your brand based on competitive pricing, whether that means being the cheapest option or offering premium value. Why it works: Price is often a key factor in purchasing decisions, and being known for affordable (or luxury) pricing can create a strong identity. Best for: Retail, service industries, and businesses with easily comparable price points.

3. Quality or Prestige Positioning

What it is: Positions your brand as the high-quality or luxury option. Why it works: Customers associate high quality or prestige with better performance, durability, or status, which can justify higher price points. Best for: Luxury goods, high-end services, and premium product categories.

4. Use or Application Positioning

What it is: Focuses on how and where your product is used, emphasizing its versatility or practicality. Why it works: Showing customers how your product fits into their everyday life can build a strong emotional connection and increase usage. Best for: Multi-functional products, lifestyle brands, or tools.

5. Competitor-Based Positioning

What it is: Directly compares your product to a competitor, focusing on how you’re better, faster, or more innovative. Why it works: When customers are stuck between two similar options, showing them why your product is the superior choice can tip the scales in your favor. Best for: Competitive markets where differentiation is key.

6. Problem-Solution Positioning

What it is: Focuses on the specific problem your product solves for customers. Why it works: Customers are always looking for solutions to their pain points. Positioning your brand as the go-to problem solver makes it a no-brainer for them to choose you. Best for: SaaS, healthcare, and any business where solving a specific need is the main driver for purchases.

7. Values-Based Positioning Using VALS (Values and Lifestyles)

What it is: Values-based positioning focuses on aligning your brand with the deeply held beliefs, attitudes, and lifestyles of your target audience. The VALS framework (Values and Lifestyles) segments people into distinct groups based on their psychological traits and values, such as Innovators, Thinkers, Achievers, and Experiencers.

Why it works: Customers increasingly prefer brands that reflect their personal values. Whether it’s sustainability, social justice, or innovation, aligning your brand with the values your audience cares about creates a powerful emotional connection and brand loyalty.

Best for: Lifestyle brands, purpose-driven companies, or any business that aims to build a deeper, more personal relationship with its customers by appealing to their core values.

Example: A brand like Patagonia doesn’t just sell outdoor clothing; they position themselves as advocates for environmental protection. Their customers aren’t just buying a jacket—they’re aligning with a brand that reflects their personal commitment to sustainability and responsible consumption.

I’ve seen firsthand how each of these positioning strategies can work, but I’m a major proponent of values-based positioning. Let’s take the legendary automaker Ferrari for example. They sell something much greater than a car, right? Ferraris are some of the most expensive, difficult-to-drive, and lowest-functionality cars on the planet, yet they still sell for astronomical prices.

It's because their customers don’t buy cars—they buy self-esteem, self-worth, and a persona they deeply believe is the fullest version of themselves. At that point, it’s no longer just a luxury good someone wants, it’s a critical piece of their identity, something they "need" and are willing to pay almost anything to obtain.

Ferrari does a masterful job of making sure they maintain that positioning with their customers. While other brands get distracted, Ferrari has always been able to deliver the exact same message across all of their products to their hyper-exclusive customer base.

Positioning isn’t just about standing out—it’s about standing for something. When customers know what you stand for and why you’re the best option for them, they’re much more likely to choose you over your competitors. By honing your positioning, you create a lasting impression that keeps your brand top of mind long after the initial interaction.