In any organizational rebranding process, a particularly important moment is when we establish the positioning of the new brand.A repositioning is closely linked to profound changes in business strategy. It can be a reaffirmation of a position or a reorientation to another relevant area for clients. It is a strategic business decision that the organization makes with the help of our brand consultants. Here comes something that characterizes us as humans when we make any decision: the fear of losing what we have (loss aversion) and the attachment to lost options (option attachment).
To position a brand is to discover that defining idea for the brand, which is found in the entire experience with the brand.This position comes from what the organization feels it has to offer and what makes it different from the competition in the eyes of its customers. What is your organization about? Why would I work with you? What is that unique thing that you deliver? One thing, one idea.
iTV, England's oldest television network, has recently redefined itself as the heart of mainstream culture — the heart of popular culture. It's not a peripheral network like Channel 4, but it's not as demanding and accomplished as the BBC. Nor does it promise always surprising entertainment like Fox, American television. iTV assumes a precise, unique place, unoccupied by competitors, that of television close to the lives of ordinary people.
Most often it happens that the organization is afraid of this decision, which is ultimately an assumed choice.Why choose one idea? Why say something more concrete? But I do this, and this, and that. How about the rest? From attachment to what he already has and other possible positioning places, the client tends to accept generic ideas much more readily, which promise nothing in fact, but give him confidence that they cover everything. He wants to have all the doors open, but he doesn't realize that choosing a concrete positioning does not mean closing the doors. It means focusing more on the most important thing the brand has to offer, not categorically excluding others.
There is a simple explanation for this, given by two psychological concepts: aversion to loss and attachment to lost options.
1. Aversion to loss(Loss aversion) means that we fear loss more than we are excited about a win. Losses have an impact on us twice as strong as gains. In the context of a rebranding, the organization is afraid not to lose something of what it has by assuming a new concrete position. He sees the positioning decision as a loss, not a gain.
Walmart, the American retail giant, has reinterpreted its affordability stance. The old brand said Always low prices. AllesIt is aimed at people with low incomes. New Walmart shifts focus from price to lifestyle - Salva soldi. Live better- and is aimed not only at those with low incomes, but also for those who want to save to lead a better life. Although it is no longer the cheap brand all the time, the new Walmart has a wider spectrum of consumers.
2. Attachment to lost options(option attachment) occurs when we spend a lot of time meditating on some options and considering the advantages of each one. Whatever decision we make, we are left with the unpleasant feeling that the options we give up are more attractive. The same happens with the organization when it has a choice between several possible positioning directions. He would like to say one and the other.
Deutsche Bank - Passión para performar- reaffirmed the brand's idea of passion for performance, but gave it a more personal touch through design. The company would have been credible to say innovation or collaboration, but it made the decision to keep what it felt defines it most and makes it unique in its category. This decision does not mean that the brand is not innovative or collaborative.
To overcome these psychological barriers in positioning decisions, the organization should focus on gains rather than losses.A concrete and clear positioning means for the brand to win a place that no competitor can occupy in the minds of the audience. For Novensys, the defining idea for the new brand is that of partnership. From the brand audit and the initiated market studies, it emerged that Novensys projects work together with the customer. From a category slogan - Solusi integrado. Naturalmente, the brand has moved into a relationship area - Let's solve it. This strategic decision does not mean that Novensys no longer delivers integrated solutions, but that it best defines the partnership-based way of working. The new positioning emphasizes that Novensys is close to the customer, understands them and solves them quickly. The choice of the new approach is reflected in the entire experience with the brand. Therefore, the decision on positioning is decisive for the brand and must be made decisively.