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According to the American Marketing Association, “positioning refers to the customer’s perceptions of the place a product or brand occupies in a market segment.” In some markets, a position is achieved by associating the benefits of a brand with the needs or lifestyle of the segments. More often, positioning involves the differentiation of the company’s offering from the competition by making or implying a comparison in terms of specific attributes.

Walmart has positioned itself as the low price leader. Its positioning statement prominently displayed on its website and in communication materials includes the statement: “Always low prices. Always.” Contrast this position with that of Nordstrom, which states that “the company’s philosophy has remained unchanged for more than 100 years since its establishment by John W. Nordstrom in 1901: offer the customer the best possible service, selection, quality, and value.” Nordstrom has selected a position based on service, selection, quality, and value — not price. Subtly different, yet clearly apparent to consumers who have shopped at both stores.

Your company may already have a stated mission and perhaps even an established segmenting, targeting, and positioning strategy in place. Even so, it’s important to revisit your statements and strategies regularly to ensure they are still relevant and appropriate.