Detailed explanation of strategies and methods for cross-border e-commerce product positioning
In the field of cross-border e-commerce, accurate product positioning is the key to a company’s success. This article will integrate various positioning methods and strategies to help you better understand how to find your place in the international market.
Positioning method
1. Grade positioning
Grade positioning refers to satisfying the psychological needs of different consumers by giving the brand different levels. High-end brands usually have significant brand added value and can inspire consumers’ pride; while the mid- to low-end market pays more attention to cost performance.
2. USP function positioning
USP (Unique Selling Proposition) functional positioning emphasizes the unique functions of the product, and highlights those advantages that competitors have not noticed or do not have by studying consumer needs and preferences.
3. User targeting
User positioning requires companies to deeply understand the lifestyle and needs of target customer groups, develop corresponding products, and enhance the humanized image of the brand.
4. Category positioning
Category positioning puts products into specific categories so that consumers can think of the brand when they think of a certain type of product.
5. Situational positioning
Situational positioning triggers consumer associations by associating the brand with specific situations.
6. Comparative positioning
Comparative positioning is to enhance your own brand value by comparing yourself with industry leaders. Choosing the right reference object is crucial.
7. Cultural positioning
Cultural positioning deepens the intrinsic value of the brand and meets the spiritual needs of consumers by incorporating cultural elements.
8. Emotional positioning
Emotional positioning uses the feelings the brand brings to consumers to position and enhance customer loyalty.
Strategy Type
Product specialization strategy
Product specialization strategy means offering a single product portfolio to the global market. For example, the early Coca-Cola Company adopted this approach.
Product differentiation strategy
The differentiation strategy is to expand product lines on the basis of meeting diversified needs. For example, Coca-Cola launches new products such as queer products.
Product marginalization strategy
The marginalization strategy refers to the expansion of product lines from a single field to related fields. For example, Goldlion expanded from ties to the entire clothing field.
Product diversification strategy
The diversification strategy is to further expand the product range. For example, Haier has developed from refrigerators to a variety of home appliances.
Positioning steps
- Analyze competitor products: Evaluate your own product features and those of your competitors.
- Identify differences: Compare the pros and cons of products.
- Identify your target market: List your key markets.
- Describe target market characteristics: Outline the specific needs of your target market.
- Meet market needs: Align product features with consumer expectations.
Overseas warehouse positioning
For overseas warehouses, “high risk/high profit” products are most suitable to use overseas warehouse services. In contrast, “low risk/low profit” products are less suitable.
Target customers and brand building
Determine whether to pursue brand influence or sales growth. Different goals will affect product selection. At the same time, clarifying target customers helps understand their needs and adjust product structure.
Positioning in different markets
For different countries and regions, it is necessary to conduct detailed market research to understand local culture and consumption habits, so as to customize products and services. For example, in the European and American markets, daily necessities, furniture, clothing, etc. are the main imported goods.
Market positioning process
- Positioning preparation: Segment the market and list competing products.
- Look for differentiation: Discover your own characteristics.
- Convert selling points: Transform differentiation into market selling points.
- Continuous communication: Implant into consumers’ minds through effective communication.
The above content integrates various aspects of positioning methods and strategies, hoping to provide practical guidance for cross-border e-commerce companies.