Why is Brand Positioning Important For MSMEs?

What comes to your mind when we talk about the most trusted brands? TATA is one of the first names that pops in your mind, right? Every business wants to create a distinct image and identity in the mind of its customers and be ahead of its competitors. This can be achieved through effective brand positioning. With this, brands can create brand awareness, and increase customer loyalty and advocacy.

What is brand positioning?

Brand positioning refers to the process of creating a distinct image and identity for a brand in the minds of its target audience. Through this, brands convey their value proposition to their customers so that they prefer their brand over others. This involves identifying the key attributes and benefits of a brand, as well as the target market and competitive landscape. Effective #brand positioning requires a deep understanding of target customer behaviour, needs, and preference. Competitor analysis plays an important role in brand positioning by analysing the strength and weaknesses of your competitors.

Why is it important for MSMEs??

• Effectiveness in marketing campaigns: Once the business is clear about how it wants to position itself, it is easier to define the customer persona, maintain consistency in marketing communications and provide better ROI from the marketing campaigns.
• Awareness: Effective brand positioning can help MSMEs to increase brand awareness and increase brand visibility which is very important for MSMEs trying to establish themselves in the market. With distinct values and effective messaging, MSMEs can increase their chance of being recognised and remembered by their target customers.
• Customer loyalty and advocacy: For long-term success, customer loyalty and advocacy are very important. In today’s market situation, retaining a customer is more difficult than attracting a new customer. Effective brand positioning leads customers to connect emotionally with the brand and build trust and loyalty over time.
• Competitive advantage: Brand positioning can help MSMEs to target areas where their competitors are lacking. This can be done with the help of competitor analysis. It can help #MSMEs differentiate themselves from their competitors and establish a competitive advantage.

Brand positioning is important for MSMEs to survive and stand out in a highly competitive market.

Without correct brand positioning, there is a chance that the business will attract enquiries from customers who don't value their services/products. It could also attract new customers but not retain those customers in the longer term. Brand positioning is a strategic investment that will pay off in the long-term success of the business. Contact us at Idecution and get yourself the right digital marketing strategy to position your brand among your target audience.