Ezra's Bookshelf

Positioning

by Al Ries and Jack Trout · 213 pages · ~4 hrs

Al Ries and Jack Trout's 1981 marketing classic, which grew out of a series of articles they wrote for Advertising Age in 1972, argues that in an overcommunicated society the battle for customers is not fought over products but inside the prospect's mind. Because people are bombarded with more messages than they can possibly absorb, the mind defends itself by screening out most information and accepting only what fits with what it already knows. Positioning, then, is not about changing the product but about finding an open slot in the customer's head and owning it with a simple, focused idea. The authors develop a set of memorable principles. Being first into a mind is enormously powerful, which is why the original leader in a category tends to stay there. Each category is held in the mind as a ladder with room for only a few rungs, so a challenger should define itself against the leader rather than pretend the leader does not exist, as Avis did with its line that it was number two and tried harder, or as Seven-Up did by calling itself the Uncola. They warn against the line-extension trap, in which a strong brand name is stretched across unrelated products until it means nothing, and they stress the importance of choosing the right name. Examples range from IBM, Xerox and General Electric to Tylenol, Miller beer and political candidates. Though rooted in the advertising world of its era, the book's core insight, that perception is the reality a business must manage, has shaped decades of strategy in technology, consumer goods and politics, and helps explain why a founder like Jensen Huang would cite it.

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