Positioning refers to the way in which you use advertising and other promotional techniques to create a certain perception of your company or product in the minds of target customers. Typically, you need a clear position that distinguishes your brand from competitors so customers can easily see what makes you different or better. In the long run, the more distinct and effective your position, the more apt you are to attract and retain customers.
The positioning statement is a concise depiction of your intended position. It is developed as part of your advertising strategy and provides guidance for ad developers who try to establish the position using a particular message strategy. You usually have a positioning statement for each customer segment you target, each identifying what you offer that is distinct and valuable and to whom. You might state, for instance, “We offer the highest level of customer service to high-end fashion customers looking for a personable, knowledgeable sales team.”