Distribution and Retail - Importance of Product Positioning - Essay Example

? Distribution and Retail [Supervisor Distribution and Retail Introduction and the importance of product positioning Marketing and retailing strategies are essential to be devised in order for a business to run smoothly and sell its products. No matter what the business is and what market it caters to it is imperative that the owners should think about the long term objectives of their company and their products. Product positioning is one of the four ‘P’s’ of marketing and is the most important depending upon the situation. The positioning of a product is very beneficial for the company in order to get the ‘feel’ of consumers and the general public. Public perception is vital for a product as it determines whether or not the product would be sold successfully in that market. It is a fact that the general public always remembers the leading company, which has introduced a product. Effective product positioning also affects the determination of alternative products and different purchasing levels. The basic meaning of product positioning in any market local or foreign is to get a comparison of your brand versus your competitor’s brand. So with this in mind it is safe to assume that proper product positioning may alter the choice of the consumers, meaning, it may develop an alternative between same products. It takes a great deal of research and assessment when a company decides to place its product in another market in another country, there is a series of different analysis which are needed so that determining how a product will be conceived in another market becomes easy (Varle 2006). It should be remembered that product positioning directly influences the consumer’s evaluation of similar products and their will to purchase products. These are the stages in which the buyer takes two products of the similar market, the products are also similar, and then based on various brands available in the market the consumer prefers only one out of them, which he or she thinks is the most suitable. When the consumer is evaluating two similar products of the same brand the major factor affecting his or her decision is buying one brand and ‘product positioning’ will aid them to buy the product, which suits them well. So basically when a consumer wants to buy a similar product of which there are other alternatives and brands present, it is important that they choose one brand, and this they determine by performing a sort of problem solving technique which can lead them to make a better choice. With this being said, it is also true that a major portion of problem solving they perform involves a level of ‘consumer involvement’. This depends on the level of interest that particular consumer has in buying a product, then there is the cost factor, then there is also the visibility of the product and the significance the consumer gives to the product and many other factors, which means that brand positioning can only be affected by the level of involvement. Based on this information we shall now review, analyze and evaluate the owner‘s venture in UK. The owner of the business has founded a factory which produces casual pure cotton for a large departmental chain, but now the factory also manufactures clothes such as skirts, shirts, pants and dresses for ladies in three different sizes, the operation is on a small scale but the owner has now become the main distributer and now wants to sell his products in UK (Ries 1981). The target market of the store and its positioning First of all before opening the store in Greater London, the owner has to determine the target market for his clothing. As the owner produces shirts, skirts, pants and etc for ladies in all three sizes, he must look for a location within Greater London where there are fewer competitors. The positioning of the store will largely depend on the number of alternatives present in that market if the competition in the area is fierce then it is suggested that the owner should find another location where he can establish a niche for example, an area where there are fewer clothing stores catering to women only, and in an area where there is a vast number of women residing. Secondly if the owner produces Asian style clothing then its main target customers would be Asians for example, Indians, Pakistanis, and Bengalis. Positioning in the retail industry is solely based on the competitiveness one store with the other, whether it is a departmental store or a clothing store. The owner of the store should also start to define his customers and address to their needs, the customer’s have distinctive needs, and as the owner is producing Asian style clothing he should remember that there are also people belonging to other ethnicities, who may also consume these products. The owner must ensure that the products he is manufacturing is unique and trendy, in order to achieve a certain unique identity one must always take executable steps in order to instill the image of the product inside the consumer (Lewis and Trev 1997). Where should he locate his store? The owner would surely have to search for an area where there are a large number of Asian people residing within Greater London since his main target market is Asian people. Greater London comprises of the County of London, Surrey, Hertfordshire, Essex, Kent, and Middlesex. According to research and evaluation there is a vast number of Asians, which reside in Wembley, Middlesex, it would be a smart choice to position the store in Wembley. Other parts of Greater London do not consist of a vast Asian community. He should locate his store near the most densely populated Asian area in Wembley. Furthermore, there are 4 main factors that should be considered when opening a store in a certain area, for example the owner should inquire about how many people regularly pass by that location, pedestrians and etc. secondly it should be analyzed whether or not the area where the store is located is served by public transportation, thirdly is the parking space convenient, can car or truck or SUV drivers properly get in or out and fourthly is the parking near the store available or not. The third and fourth points may be ignored if the store owner is planning on opening a small store. Furthermore, the owner should also consider the visibility of the store as well, can his store be seen from afar, is the store located in a congested area, is the store located in the farthest corner of a street, these are very important considerations. All in all, the entire store must be properly visible and every passerby must also be to see the front of the store. Also, the owner must also keep one very important thing in mind that is the possibility of other competitors present near his shop. But the thing is whether or not he can use those competitors, and for that he must decide whether or not he can use those businesses for his own good. A very good example can be of a high end fashion boutique being located near a store which sell groceries at a discounted rate this does not seem compatible, what could be better is that a high end fashion boutique or a clothing store should be located near a hair and nail salon or a shoe store where it may be able to do more business (Waters 2012). The design and ambience he should create in the store According to a very old yet popular saying, you can never enjoy a second chance to make a first and final impression, this is indeed true in reality, especially in the business world where ambience and layouts of clothing stores are given much importance, and it has been estimated that a majority of shoppers prefer to check out stores which are very attractively designed and labeled regardless of whether or not it is a famous brand or not. Creating a clothing store that is distinctive carries two goals, (i) to reel in more customers, to attract the customer to come in regardless of his or her intent to buy anything, (ii) so that customers can comfortably shop and remember their experience in the particular store. These two objectives must be achieved in a short period of time if the owner is considering opening a store in Greater London. The flow and the design of a clothing store determine the shopping behavior of consumers. The longer a potential buyer remains in the store, chances increase that he or she will buy your product, this is especially true of most clothing stores which are designed attractively, the main goal is to keep your customers in the store, and for this to happen the store needs to be designed accordingly, the owner must hire good interior designers who can design the inside of the store properly giving it a fashionable look like most stores, the outside of the shop must also look attractive, you need to portray your products properly, all products must be seen by the customers, since the owners manufactures women’s clothes in all three sizes, each size must be arranged separately (Shennu 2012). List of References Lewis, R. and Trev, R., 1997. Intermediate Retail and Distribution. Hodder Education. Ries A, T.J., 1981. Positioning: The battle for your mind. Boston: McGraw-Hill Professional. Shennu, B., 2012. importance of a store layout. [Online] Available at: [Accessed 15 may 2012]. Varle, R., 2006. Retail Product Management: Buying and Merchandising. Routledge: Routledge; 2 edition. Waters, S., 2012. retail store location and important factors. [Online] Available at: [Accessed 14 may 2012]. Read More