Positioning your product and service is extremely important for the success of your business.
Let me explain to you the power of positioning with a true Story.
Power of Positioning – Proven Formula for Success in Business
It is a story of a child born in a poor family. One day his father gave him an old used T-shirt and told him- son, we do not have any money left. You need to sell this used cloth for $2 anyhow to earn today’s meal. A cleaver child washed the T-shirt, ironed it well then went to the market, and after 8 hours of hard work, he sold it for $2.
A father was greedy and in need of money. The next day he gave one more used T-shirt and asked him to sell it for $20.
It was a tough task for a child but instead of thinking negatively, he started finding ways how to do it and after some time he comes up with the idea to paste a mickey mouse on T-shirt. He went to the school of rich kids and shouted for Mickey Mouse’s T-shirt for $20, after some time one kid asked his father to buy it for him and that’s how the child was able to succeed again in selling a T-shirt.
His father was extremely happy and after a few days, he again gave one T-shirt to the child and asked him to sell it for $500. Instead of thinking that he cannot do that, he started thinking that how it can be done?
He came to know that “Farrah Fawcett” a famous Hollywood star came for a conference near his town. He went there and somehow manage to reach Farrah Fawcett and asked for a signature on that T-shirt and Farrah Fawcett could not refuse and signed it for him.
The child straight away went to the market and started shouting Farrah’s signed T-shirt for $500 and suddenly the crowd in the market started shouting I will give $1000 for it, I will give $1200 for it and finally, one person in the crowd purchased it for $1500.
A child was extremely happy and he went to his father and shared how he sold an old used T-shirt for $1500. His father got emotional and told his son that now he can do anything in life.
The name of the Child in the above story is Michael Jorden Famous Basket Ball Champion and Six times NBA championship winner.
The above story taught us the following lessons about positioning.
- You can use the power of positioning for selling any product by finding the correct audience.
- You can build a business around a “specific micro-niche” – a Specialized segment of the market for a particular kind of product or service
Positioning and Micro-Niche
Now, let us try to relate product & service positioning and micro-niche with a real-life business case.
For example, let us say you are a yoga teacher and you want to start a business teaching people yoga.
Now you could do what most people did…
- Which is being broad… branding yourself as a yoga teacher with X number of years of experience…
OR…
- If you understand the concept of finding your specific micro-niche, you can position yourself differently.
What you can do is position yourself, as I am a yoga teacher that focuses on teaching pregnant women yoga.
- Do you see the difference?
- Which one do you think people will remember?
- Which one do you think has the power to charge higher?
I could go even more niche, let us say…
I am a yoga teacher that focuses on teaching pregnant women between the age 25 – 35 yoga in Mumbai…
Why?
Because when you are being focused…
What that means is you differentiate yourself from everybody else…
People cannot compare you with other people and look for cheaper prices.
That is the power of having your micro-niche in starting your business.
Now, some people might think…
Oh if I only limit myself to a specific group of people…
Then don’t you think that I am limiting myself with opportunities to serve more people?
Not necessarily true.
By doing micro-niche and product positioning, you are targeting specific customers.
Big companies including Amazon, Apple, and Google make use of this concept.
Amazon
Amazon provides greater value to customers through a combination of extraordinary convenience, quick service, and a comprehensive product range at a lower cost.
Apple
Apple always offers unique and creative products. Apple connects emotionally with the customer with an excellent customer experience. They make use of unique technologies that cannot be copied anywhere else.
Google is the God of the Internet and Search Engine. Google makes use of multi-segment positioning.
If we talk about the Google search engine, it is positioned with the concept of organizing the entire world’s content available on the internet and providing authentic information/search results.
Over to you
What do you think about positioning products and services?
Do you think it makes sense to position product and service to a specific micro-niche?
Do you think that you can achieve success by correctly positioning your product and services?
Hit reply and write to me at info@moneyexcel.com if you have any thoughts!
