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Why Most Brand Positioning For Startups Fail

Summary: Nailing down your positioning from the beginning makes it easier for everything! It is the strategy that should be followed by every niche. How you position in the market is the way your brand stands in the customer’s minds.

Positioning is depending upon Price, Quality, and product characteristics, based on competitors, and many more.

For every startup, it is difficult to enter the market whether it’s new or existing. What matters is what USP you’re providing to retain the customers?

Brand Positioning For Startups Fail

Main Takeaways: A positioning statement is a must for every brand to have as it will tell your target audience, who and what is your product/ service and all the basic thing a customer should know.

A brand must have its tagline and the brand name should be easy, catchy, and memorable. This would be in the customer’s mind while making buying decisions.

A brand should know who their competitors are, what their competitor’s USP is, and the target audience to position themselves in the growing market. 


Most Brand Positioning For Startups Fail 

In this hustle-bustle world, wherein 60 seconds:

  1. 156 million emails sent.
  2. 16 million texts were sent.
  3. 4.1 million YouTube videos were watched.
  4. 3.5 million searches on Google.
  5. 1.8 million Snaps created.
  6. $751,522 spent in online stores.
  7. 452,000 Tweets sent.
  8. 95,890 posts were made in WordPress.
  9. 70,017 hours spent on Netflix.
  10. 46,200 Instagram posts uploaded.

 Who do you think will see your brand as a startup?

No worries! We are here to resolve it together. Have you ever heard of Brand Positioning?

This is the solution to your problem!

Brand positioning is the strategy that builds in customer’s minds about the product/ service. Right product positioning is a must for the launching of a product/ service in the market.

As it is the time of positioning, captivating and retentive of your product in the customer’s psyche.

 And that requires users into account, evaluating the strength and the weakness while looking at competitors’ positions in the market which influences the customers buying decisions.

 As every startup comes with a fully grown market, there is a need for an hour to position the startup to the already booming market.

Tips to follow for fasten positioning in the market:

  • A positioning statement that defines what your brand stands for. Includes target audience, benefits of the product, what customers are your product or service category, proof of that benefits
  • For your product to be a competitor in a particular category, you need an accurate understanding of the An easy way to offer value propositions to your customers.
  • Clarify your competitive advantage to maximize the difference in a profitable
  • Understand how to differentiate your product in ways to increase sales. This allows you to create a unique location for your product and further differentiate your brand from your
  • A consistent brand message tailored to your position in the market. Like BMW has ‘driving’ and McDonald’s has ‘I am loving it.

The top 4 Brand Positioning strategies that are relevant to your Organization are:

The big mistake we all make by considering brand positioning as a marketing strategy but it should be counted in the foundation of the business strategy.

After all, you cannot say a product is expensive or low quality until you buy it. Right? 

  • Positioning Based on price

In this, brands follow a particular price range within a parameter of competitors’ range and position them in the market.

Walmart has positioned itself as a low pricing company. Because they have low distribution costs and logistics as compared to the competitors. And users are so attached to these brands as they are habitual that this brand has the cheapest option.

  • Positioning based on Competitors 

Yes, positioning can be done on competitors. Their focus is on differentiation from competitors. As in, there are two brands of the same category.

 And every brand has its own USP to attract the target audience

 What if, out of two brands one has more market share which means customers attract more towards that particular brand.

  Hence, the customer moves where there is effective purchasing.

  • Positioning based on Quality 

Often the price and quality of product align. But it’s not always what you are taking in high quality is worthwhile. But we have set it this way, high range products are luxury.

High-quality products or prestige are the focal point of communication for the desired product, so the customer wants the product regardless of price.

 Like Apple products with high quality and price, people maintain it for the status. 

  • Positioning based on Product Characteristics 

Using product benefits, the brand comes in the features to the customer’s mind. Therefore, with a particular USP, it retains customers’ buying decisions.

Like, in the automobile industry, Porsche is for performance, Volvo owns safety and BMW for driving.

Identify your market type. It will help you get insights into your target niche.

Brand positioning for startups

Start by segmenting, identifying the market type from the existing market, new market, and re-segment market for a particular niche.

Map the market- means what your target audience thinks about your product or service. It helps you to know your product from competitors’ products by differentiating and segmenting the product.

The first step in positioning your startup is to understand these 4 markets which are:

  • New product into the existing market
  • New product into a new market
  • New product attempted to resegment the existing market but at a low cost
  • new product attempted to resegment the existing market but in a particular niche

With the market type, there are the following positioning strategies to be taken care of :

A. New product into the existing market

In this, your positioning should work on the feature or USP of the product.

 As we are already known to the competition in an existing market but differentiates your product from the competitor’s feature.

B. New Product into a new market

In the new market, the customer and their preferences are unknown and direct competitors don’t exist yet.

There is no need to focus on features as customers don’t know anything about the product. So, sell your vision to your potential customers as they are not aware of competitors’ products.

And, it is a new market and so is the new product. So, sell what your product solves the problem!

C. New product resegmenting the existing market but at low cost 

This approach is for a large market, where they are good enough to solve the problem at a low cost.

This is the positioning where your target is to fight with your competitors by focusing on low cost and bringing their customers to you, which will not only increase your target audience but also, low cost attracts most of us to buy a product.

So, there would be a crash in the prices of the product.

Like airline prices, we usually take the one which is low in price. As they all have the same feature, price is the only USP. 

D. A new product attempting to resegment an existing market by creating a niche 

This type of approach helps in choosing a particular niche of a segment that needs a particular and focused solution.

The idea is the more focused solution, the more value it attains from the existing alternatives, which will attract more customers.

The challenge is to create value and motivate more customers from the existing market relationships.

How does naming the Company help in Positioning the Market? 

You are a startup, how could the audience know what is your target market or what is your niche?

The following ways they will get to know:

  • Trademark and domain name availability will help you recognize the brand and nobody has the right to copy the product as it is registered which will create goodwill for the brand.
  • Distinctiveness in terms of ™, so that the audience doesn’t get confused about the product from their competitors.
  • Reflection of the message, means, whatever service you’re providing should be relevant to the message, which would be easy for the customer to know about the product lane you’re dealing with.

Like: RecurPost is a Social Media scheduler with Repetitive Schedules.

  • Ease and sound of pronunciation, the brand name should be easy to pronounce by all the levels of people. Considering it, if they won’t speak your brand name properly, then, how would they buy your product? Furthermore, which will list you below in positioning.

Like: RecurPost which is simple and catchy with the message in the name.

  • The length of your brand name should be simple, catchy, and short. So that it would remain in people‘s minds while buying products and services.
  • Appearance in the market, how do you want to showcase your brand in people’s eyes? The way you want to present, the way you have to make it well-dressed! 


Brand positioning is not only a marketing strategy. It is more of a business strategy from how to choose the right name for the organization.

Until and unless your name is not catchy, easy, and short. Nobody catches your product this easily. As there is a lot of competition in the market. To survive, you should have your USP which stands out with your product.

There are strategies for the different markets from existing to new to resegmenting. How to deal with this is also a game of strategy.

As every market has a story to tell and competitors have a habit of listening to that story. So, we have to deal with competitors and the market and make our own USP, to engage the audience towards us

He is a Blogger, Tech Geek, SEO Expert, and Designer. Loves to buy books online, read and write about Technology, Gadgets and Gaming. you can connect with him on Facebook | Linkedin | mail: srupnar85@gmail.com


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