Positioning Strategy And Value Proposition

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7. Positioning Strategy/Value Proposition This part will describe ‘Positioning strategy’ and ‘Value proposition’ which are the choice of the target market segment for the last step in the marketing research when most of company enter in the market. The positioning should consider about the customer traits or characteristics through researching the ‘SWOP analysis’ which is include strengths, weaknesses, opportunities and threats. As a result, the company can recognize that who are the customer or competitors targets or what are the competitive advantages company have (Brooksbank 1994).

The Johnson&Johnson make the good image through a variety of advertising such as TV, newspaper, radio and internet. In Australia, J&J establish their brand image that communicating the magic of tough through the use of the products. Moreover, most of the J&J’s advertisements focus on showing the relationship mother and baby lovely and special. It is clearly true that it is helpful for them to make the good brand image when they entry, bring positive advantages in many ways (Kurokawa 2010). Furthermore, J&J returned to delivering operational sales growth through making the new products, bring strong pipelines and investing in the key growth areas. In 2011, J&J Consumer business segment is ranked at sixth largest company in the health care section in the world.

J&J continuously change and adapt its promotion and pricing strategies so that it may expand its market share whilst retaining its customers. In order to maintain its position as one of the leading companies offering human health products, Johnson & Johnson follows a positioning strategy that spreads its products over three core areas. These areas are, the pharmaceutical segment, medical devices and diagnostics segment and the consumer segment. Each of these segments allows J&J to specialise in each division and as such they are able to offer quality products to each respective market. However the segmentation of its product offerings is not the sole reason that J&J are able to position itself as one of the market leaders. J&J aim to continuously innovate and create new products and markets them in such a way to differentiate itself from its competitors. Each new product will have different promotional and pricing strategies. J&Js advertising campaign for these its products aim to communicate their superior quality by its 'soft touch'. In order to effectively communicate its product to its consumers, J&J's advertising campaign is spread into many mediums. By communicating on various platforms, J&J are able to market its products effectively amongst rising competitors. As J&J boasts an extensive history of quality that dates back to 1885, it is easier for them to be seen as a trusted brand offering quality. Along with its history come a string of brand loyal customers that are willing to purchase not only its baby products but also from its other brands such as Neutrogena. To establish its position as a market leader in infant care products, Johnson & Johnson use the help of professionals reviewing their products via the professional’s sponsorship program.
J&J have been a company that is about innovative products that are of high quality and are effective in use. Due to its brand name that has been established with quality for decades, every new product that is released under the company name is trusted by its consumers. But with the rising number of competitors even J&J with all its brand power and image of quality has to utilize an effective marketing strategy to remain in its prime position. We will explore how J&J has done this by studying how they have marketed and positioned one of their products.

J&J have recognised that in order to be a top selling product, the product must not only be of high quality but also very economical. This is shown by how they market their baby wipes. The classic J&J baby wipes are widely acknowledged to be of very high
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