Category positioning is paramount to building a successful technology brand

Ray Baird is President of RiechesBaird

During the last several months, I have had the opportunity to work with several well-known technology brands. Interestingly enough, although they are distinctively different in size, business model and longevity in the market, each technology brand shares the same business challenge: defining what category best describes their business, and how to position themselves within the competitive environment.

Our team of brand experts believes if you don’t get the category right or cannot arrive at a differentiating position, nothing else matters. So often, we find corporations throwing massive amounts of budget and resources into category positioning that is off-target and irrelevant. They are often left wondering why their branding and marketing is ineffective. Does this sound familiar?

Why is this a common problem amongst technology brands?

Unlike other established traditional consumer markets, technology is always evolving—it’s a moving target. New markets are constantly emerging enticing companies to forge into areas that are outside of their defined consideration set. Additionally, technology companies think in terms of technology rather than branding and marketing. However, category and brand positioning are not just a marketing decision; it’s a business decision that must be embraced and aligned with company executives.

In addition, research companies like Gartner and Forrester define categories that often influences technology brands. Yet these innovative technologies and companies do not always fit into an existing consideration set, which can present a challenge.

The bottom line is the technological industry is always changing, but does this mean your brand positioning needs to change? In order to answer that question, start by asking yourself or your team a few simple questions. This will determine if your company is internally aligned. You might be amazed at the response:

1. What business are we in? Describe.
2. Define the category of business in which we compete.
3. Are we positioned correctly against the competition? Describe.
4. What does our brand stand for?

If you cannot clearly articulate answers to these questions, or if your team is not aligned, imagine what your customers, prospects and market must be thinking?

Do not fret, for you are not alone. These are common issues that most brands deal with when change has occurred. The bigger question is how to develop a brand strategy and process? What is the best way to team up in order to deliver the type of thinking needed to develop the right brand strategies and path to move forward?

Next week, in part two of this three-piece series, we will explore how and what you need to think about when developing your moving forward brand strategies.