Positioning is part of the broader marketing strategy which includes three basic decision levels, namely segmentation, targeting and positioning:
Segmentation: refers to the process of dividing a broad consumer, normally consisting of existing and potential customers, into sub-groups of consumers
Targeting: refers to the selection of a segment or segments that will become the focus of special attention.
Positioning: refers to an overall strategy that "aims to make a brand occupy a distinct position, relative to competing brands, in the mind of the customer".
In general terms, there are three broad types of positioning: functional, symbolic, and experiential position. Functional positions resolve problems, provide benefits to customers, or get favorable perception by investors and lenders. Symbolic positions address self-image enhancement, ego identification, belongingness and social meaningfulness, and affective fulfillment.Experiential positions provide sensory and cognitive stimulation.
