The concept of product positioning is very important in the buying process of the consumers since it is specifically meant to influence their perceptions about the products offered. Basically, product positioning is a marketing concept that specifically deals with the notion of how a product or service is positioned in the market or perceived by the target group of customers. There are different factors that are considered when a product is positioned in the market such as its value, attributes as well as benefits among other issues. As such, this paper seeks to critically analyse the positioning strategy for EADS Company. Basically, the European Aeronautic Defence Space Company (EADS) is considered as a leading actor in the aerospace and defence corporations across the whole world.
The company is renowned for manufacturing aircraft in different countries across the globe. Its main competitor according to its official website is Boeing (EADS, n.d). As such, this paper seeks to evaluate the marketing strategies used by EADS in its operations which have contributed to its success. The paper will specifically focus on the positioning strategy that is implemented by the company.
The paper will evaluate different positioning strategies that are used by the company to market its products to different clients. EADS uses the broad positioning strategy. It offers mainly four product categories namely: Airbus which is used for both military as well as commercial purposes, Astrium which deals with the satellite system in the aircraft, Cassidian which is concerned with information and security matters in the products it offers as well as Eurocopter which manufactures civil as well as public helicopters (EADS, 2010).
This broad positioning strategy helps the company to appeal to a wide range of customers across the globe. Customers usually look for different features when they purchase different aircraft. In this case, it can be seen that the broad positioning strategy by EADS is effective since it is designed to cater for the interests of a large number of people in the market which can give it a competitive advantage over other rival competitors. The company also incorporates different forms of advanced technological as well as security features which are of great importance to the targeted customers.
This helps it to create customer intimacy which also translates into product leadership in the market. Customers who are happy about the products they get from a particular company are likely to influence other buyers to try the products. EADS also uses specific positioning strategies. For instance, “EADS is involved in some of todays most critical issues – sustainable mobility, the security of nation states and the evolution to a green economy, ” (EADS, 2010). It targets a specific market with its products. The products offered by the company are specifically tailored to meet the demands of a certain specific market.
Such products are comprised of features that are unique and desired by the client. The aspects of quality and safety drive the company towards its innovativeness in manufacturing specific products. This positioning strategy is very effective since it is designed to appeal to the interests of a specific target market. Loyalty is likely to be created among the targeted market if the customers create trust with the products that are offered by the company.
This also helps to give the company a sustainable competitive advantage since it will be comprised of a broad base of customers who are loyal to the products and services that are offered. This can also help the company to gain a large market share if it has a large number of customers. EADS also uses value positioning strategy in its operations. It strives to provide quality and value-based products and services that are meant to appeal to the interests of the customers as well as to satisfy them (EADS, 2010).
In as much as the aspect of value positioning is concerned, it can be seen that the company utilises a ‘more for more strategy. ’ This emanates from its stance on emphasising on high quality and reliable products. According to its official website, the company states that “our customers expect high-quality, reliable products delivered on time. In design, manufacturing and assembly, we ensure the highest safety and quality standards, ” (EADS, 2010). This entails that the company is likely to charge premium prices on its products given that careful consideration is taken when they are manufactured.
The company believes in creating value for money in all its products hence the reason why it spends more on manufacturing and expects to get more from the sales. References EADS (2010). Viewed 30 April, 2013 from: .