A positioning map that displays the competitive positions of your business

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choose a service business you are familiar with (e.g., your current workplace or any other service business you know well). Second, identify 4 to 6 direct competitors of this business. Third, select two service attributes that are important to customers (e.g., price, location, service quality, online reviews and ratings). Ensure you can find information about these attributes for both your chosen business and its competitors. If exact data is unavailable, make informed estimates based on your knowledge.

Fourth, develop a positioning map that displays the competitive positions of your business and its competitors based on the chosen attributes. Lastly, write a one to two-page analysis addressing the following:

How does your business perform compared to its competitors?
Are there any gaps or opportunities for improvement?
How should this positioning map guide your businesss future marketing decisions?

 

Sample Solution

Case Study: A Comparative Analysis of Kisumu-Based Internet Service Providers (ISPs)

Chosen Business: Safaricom Home Fibre

Direct Competitors:

  1. Zuku Fibre
  2. Jambo Telecom
  3. Wananchi Group
  4. Telkom Kenya
  5. Liquid Telecom

Important Service Attributes:

  1. Price: Monthly subscription cost for a standard internet package (e.g., 50 Mbps).
  2. Coverage: Geographic area served by the ISP.

Positioning Map:

Analysis

Based on the positioning map, Safaricom Home Fibre appears to be positioned in the mid-range in terms of both price and coverage. Zuku Fibre and Wananchi Group are positioned towards the higher end of the market in terms of price, but they offer wider coverage. Jambo Telecom and Telkom Kenya are positioned towards the lower end of the market in terms of price, but their coverage is more limited. Liquid Telecom is positioned towards the higher end of the market in terms of both price and coverage.

Performance Comparison:

  • Price: Safaricom Home Fibre’s pricing is competitive, but Zuku Fibre and Wananchi Group offer slightly more affordable options.
  • Coverage: Safaricom Home Fibre has a strong presence in Kisumu, but its coverage may be limited compared to some competitors like Zuku Fibre and Wananchi Group.

Gaps and Opportunities:

  • Price Sensitivity: There is an opportunity for Safaricom Home Fibre to offer more affordable plans to attract price-sensitive customers.
  • Expanded Coverage: Expanding coverage to underserved areas in Kisumu could attract new customers and strengthen the company’s market position.
  • Value-Added Services: Offering additional services, such as bundled packages with home phone or television, could differentiate Safaricom Home Fibre from its competitors.

Future Marketing Decisions:

The positioning map can guide Safaricom Home Fibre’s future marketing decisions in several ways:

  • Target Market: The map helps identify the specific target market for Safaricom Home Fibre. The company can tailor its marketing efforts to reach customers who value price or coverage.
  • Product Positioning: The map helps determine how Safaricom Home Fibre should position itself in the market. The company can emphasize its strengths and differentiate itself from competitors.
  • Pricing Strategy: The map can inform pricing decisions. Safaricom Home Fibre can adjust its pricing strategy to remain competitive and attract new customers.

By carefully analyzing its competitive position and identifying areas for improvement, Safaricom Home Fibre can develop effective marketing strategies to strengthen its market position and achieve long-term success.

 

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