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Interestingly, after consolidation of the brands, shuttle bus frequency improved 38%
and business travelers were given even more options to bypass the rental counter
entirely. Still, in surveys, National renters perceived the buses to be slower, the lines
longer, and customer service poorer. The clear implication was that in order for the
two brands to maintain their integrity and their positioning with their respective
market segments, they had to be separated.
If a company does an excellent job of positioning then it can work out the rest of its
marketing planning and differentiation from its positioning strategy.
Marketing Insight: Value Disciplines Positioning offers another point of view about
positioning. According to virtually all approaches, positioning requires that
similarities and differences between brands be defined and communicated.
Specifically, deciding on a positioning requires determining a frame of reference by
identifying the target market and the competition, and identifying the ideal points-
of-parity and points-of-difference brand associations.
Target market decisions are often a key determinant of the competitive frame of
reference. Deciding to target a certain type of consumer can define the nature of
competition because certain firms have decided to target that segment in the past
or plan to do so in the future, or consumers in that segment already may look to
certain brands in their purchase decisions.