5 position statement examples (definition and importance)
By Indeed Editorial Team
Updated 11 November 2022
Published 5 May 2022
The Indeed Editorial Team comprises a diverse and talented team of writers, researchers and subject matter experts equipped with Indeed's data and insights to deliver useful tips to help guide your career journey.
Positioning statements are brief descriptions that businesses can use to describe their product or service and how it fits their target market's requirements. Large and small brands typically require a positioning statement, and companies use them to inform business decisions, manage brands and encourage customers to buy products or services. Therefore, it is important that a brand manager understand how to create an effective positioning statement. In this article, we discuss what positioning statements are, their importance in business, the difference from taglines and provide some examples of positioning statements.
What are positioning statements?
Before reviewing position statement examples, let's first look at what a positioning statement is to better understand its uses, and not to confuse it with a tagline. A company's positioning statement outlines the value proposition of its brand. The brand is the feature of a product or service that makes it unique compared to its competitors. The positioning statement also details the brand's identity and purpose, highlighting the reasons for purchasing from the company to potential customers.
Companies can also use this statement to inform decisions about the brand and its management. Therefore, a good positioning statement highlights the company's main features and goals and successfully positions the brand in relation to its competitors. When creating a successful positioning statement, brand managers require a deep understanding of specific aspects of the business, which can include factors such as:
what customers the business serves
what the brand offers to the customers
how the company offers these services
why the company provides the products or services
how the products or services compare to those of competitors
Position statement examples
Here are some examples that brand managers could use as inspiration when creating positioning statements:
Since 2006, HubSpot has been on a mission to make the world more inbound. Today, over 100,000 total customers in more than 100 countries use HubSpot's award-winning software, services, and support to transform the way they attract, engage, and delight customers. Comprised of HubSpot's CRM, Marketing Hub, Sales Hub, and Service Hub, HubSpot gives companies the tools they need to Grow Better. Hubspot's positioning statement emphasises the company's statistics to highlight its success, while also concisely listing all the features it offers.
Parse.ly is the new measure of content value. Its industry-leading content analytics system powers content strategy for its 300+ enterprise clients. Parse.ly is installed on over 3,000 high-traffic sites. Through its network data, Parse.ly can provide insight into the aggregate content habits of over 1 billion monthly Internet users. Like Hubspot, Parse.ly's positioning statement emphasises the company's impressive statistics and clearly highlights its USP and target audience.
Mailchimp is an all-in-one Marketing Platform for small businesses. We empower millions of customers around the world to start and grow their businesses with our smart marketing technology, award-winning support, and inspiring content. In three sentences, Mailchimp's statement highlights three important aspects of its business: its target audience, what makes the business unique and how it provides a unique service.
4. Alaska Airlines
We are creating an airline people love. Each day, we are guided by our core values of own safety, do the right thing, be kind-hearted, deliver performance, be remarkable at work and in our communities. Alaska Airlines also fosters a diverse and inclusive culture and is an Equal Opportunity Employer. With its mission statement, Alaska Airlines emphasises its pledge as a responsible and safe company, a key component of all air travel. In the first sentence, the statement outlines the target audience before moving on to highlight the differences between Alaska Airlines and its competitors.
Microsoft is targeted toward computer users who need work-related software tools for business and personal use. Microsoft helps customers see how efficient a PC can be when the right software suite is in place and makes them feel like they're always taking the next big step with new updates. Microsoft clearly outlines its target audience, potential customer pain points and the Microsoft suite of products in its positioning statement. The statement also describes why Microsoft's services are more beneficial than those of its competitors.
Why are positioning statements important?
A business requires a strong brand that showcases to customers and investors what distinguishes it from its competition, such as why the company's products or services are worth buying, the brand's unique offering and whom the product or service can help. A concise and well-worded statement is essential for business success. Brand managers design the company's positioning statement to encourage customers and investors to buy the brand and invest.
The positioning statement also ensures that the business understands what its brand represents, leaving no room for incorrect interpretation. Finally, a clear and detailed statement can ensure that the brand has an individual identity, which can then influence other aspects of the business, including marketing campaigns and company goals.
The key elements of a positioning statement
A positioning statement typically contains eight key components. When a brand manager plans to write a positioning statement, it's important that they acquire a comprehensive understanding of the business' overall position. Here are the key elements brand managers might include when creating a positioning statement:
Target audience: The target audience is the group of consumers a company targets with its products or services.
Product positioning: This element comprises the main benefits of the product. Companies may choose to begin by describing a customer who hasn't yet used the product or service and how they could benefit from buying from the company.
Market category: The market category is the specific market segment to which the company belongs, and it's important to clearly outline this element in the positioning statement. The brand manager also defines this category's buyers, what they're looking for and who is currently servicing these needs.
Customer pain points: Pain points are the problems that a brand's target customers might experience before buying the product or service.
Brand promise: The brand promise is the benefit the company promises to the customer regarding the product or service in return for their purchase.
Brand identity: The brand identity reflects the company's personality and can set the company apart from its competitors.
Values: A company's values guide all business decisions and goals and can help create a positive brand image.
Mission: The company's mission defines the reason for the organisation's existence. The mission fully considers the organisation's goals, objectives and approach.
Read more: Marketer skills: definition and examples
Positioning statement template
Here is a template that you can use as inspiration for creating a positioning statement:
For [target audience] who [add target market need and pain points], our [brand name] provides [the main benefits of the product or service and what differentiates the brand from its competitors]. We [the main reason why the company is different from competitors and why customers might choose this brand over another]. Here are the main points a company can add to its positioning statement for each unique aspect of its brand:
a description of the target audience
the target market's requirements
how the product or service meets these requirements
why the business is different from the competition
why consumers might choose this brand over another
Understanding the difference between a positioning statement and a tagline
When wanting to understand the difference between a positioning statement and a tagline, know that, although similar in what they include about a brand, they have different functions. Knowing which to use and when to use them can help you draft an effective one. Here's a closer look at the differences between the two:
Taglines are phrases that companies use in advertising campaigns. They are usually catchy and memorable and are typically only a few words long. This marketing tool helps generate higher brand awareness and can entice customers to purchase from the company.
Unlike taglines, positioning statements don't always go out to the public. Although customers can usually find a company's positioning statement on its website, it's predominantly used internally. Positioning statements are not typically marketing tools, but they are informative statements that businesses can use to make important decisions.
Please note that none of the companies mentioned in this article are affiliated with Indeed.
Explore more articles
- Email conversion rates: definition, formula and strategies
- How to engage employees (and the benefits of doing so)
- Programme vs project: definitions, differences and tips
- 8 organisation tips for managers (including benefits)
- 8 resource planner tools to keep you and your organised
- A detailed guide to customer success vs customer service
- What is an organisational silo? (And its impacts on a firm)
- 10 leadership courses in the UK (with fees and features)
- Examples of digital strategy (with components and tips)
- What does DNS server unavailable mean and how to fix it?
- How to write a project description (step-by-step guide)
- Guide to frequency distribution and where to use it