Positioning? Positioning!
Oct 23rd, 2010 by phoebe2
If I mention the term “fast food,” what pops up right away? The possible answers include, MacDonald, KFC, Burger King, A&W, and etc..
Here is another question: have you every consider Subway a kind of fast food? If your answer falls on the negative side, I think the position strategy utilized by Subway has succeeded. Although the sandwiches at Subway is technically a kind of fast food, given the little amount of time needed to prepare one, most people do not group Subway with other fast food, or rather junk food. Why? I believe it’s because of the positioning strategy used by Subway differentiates it from the junk food category.
Look at the company logo of Subway, you may find out that there are vegetable, such as tomato and lettuce in the background, which portrays Subway as a healthy and nutritious food. Beside the background of the logo, Subway also has a motto, “eat fresh,” which again stress on the healthiness and freshness of its products.
The target market of fast food companies are quite similar, because they all focus on the convenience they can provide to customers, who do not have much time to spend on eating, but there are still differences among companies. The target consumer segment of Subway is those who do not have much time to spend on eating yet want healthier food. To achieve this, Subway provides numerous kinds of vegetables, meat, and dressings to meet the demand of customers. This also becomes there sustainable competitive strategy when few of it’s competitors offer similar service.
The planning and implementation of STP strategy has a significant impact on every firm, because if the application of STP is a success, the firm is very likely to make a lot of profit from it.