Positioning by product class can be done if two products lie in the same product class. Thus by joint promotions, both of these products improve their positioning. Positioning by product class mainly uses sales promotion as it tool. Example – Get a toothbrush with a toothpaste free. Both of these products lie in the same product class and hence can be positioned accordingly.
Once such a strategy is implemented, the brand of the company gains more recognition in the market and more and more people come to know the brand. Thus the toothbrush company would have a better positioning once it advertised itself in its own product class.
Similarly, An electronics product will be advertised with an electronics product, A Fmcg with Fmcg and a financial product with a financial product. That’s known as positioning by product class. This is also a part of sales promotions whereby the brand can increase its customer base.
Do remember this, several brands have changed their positioning only by changing the product class they were in. For example – Horlicks, which was into the medical sector and changed itself to the consumer segment. Several shampoos in the recent years have changed from strong to a mild shampoo mainly because they realized the consumption was more in this product class. Thus depending on your product class, you can position and re position your brand. However, being in your own product class where your major target customers are is very important.
Alternatively, check out the Marketing91 Academy, which provides you access to 10+ marketing courses and 100s of Case studies.