Business Strategy

Positioning and Differentiation Strategies

by stephjoey | studymode.com

Positioning and Differentiation Strategies

Differentiation is the act of designing a set of meaningful differences to distinguish the company's offering from competitor's offerings (Rao, 2010). With Voice to Text/Text to Voice, Toyota designed itself above the rest. After researching the needs of its consumer, Toyota focused its plans on the safety and needs of today’s driver. With the human need to stay connected to our loved ones, friends, and business contacts at the touch of a button, Toyota turned it ways to providing this service to drivers in a safe manner. Taking the Bluetooth technology to another level, Toyota set itself up with its differentiation strategy to move with the consumer and appeal to the heart and mind when it comes to safety. By differentiating the marketing mix to do a better job meeting customers’ needs, Toyota builds a competitive advantage (Perreault, Cannon, & McCarthy, 2009). With this type of differentiating, the buyer will see that Toyota is trying to appeal to what the buyer really needs and wants. Other auto makers have not yet offered this technology, making the appeal appreciated by the buyer. This is a product that is important to their lives and the lives of their loved ones.

Positioning refers to how customers think about proposed or present brands in a market (Perreault, Cannon, & McCarthy, 2009). By promoting the legal and safety level of the Voice to Text/Text to Voice, Toyota can ensure the customer will think positively about its product and service. With the focus of advertising in states that have banned texting while driving, Toyota can position itself as a front runner for safety to the customer. With the threat of citations, tickets, and possible jail, the customer will be looking for a quick fix. Toyota can position itself as the cure to the problem. At this point, Toyota is the only maker who offers this service, which puts them...