Positioning Is the Only Cure

Psychologically, consumers can be divided into two categories: 1) Brand believers and 2) Brand agnostics. And they vary by category. They can be believers in one category (ketchup) and agnostics in another category (airlines).

Watch believers go through the Sunday supplements. They only clip coupons for brands they already use.

Watch agnostics go through the Sunday supplements. They ignore brands and clip coupons for categories. (Extreme agnostics don’t buy anything without a coupon.)

Discountitus is turning brand believers into brand agnostics. The lure of a “big discount” is enough to seduce a consumer into thinking that all brands in the category are pretty much alike.

Read the entire article at AdAge.com.

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