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You ve all seen the slogans about I m lovin it. That doesn t strike me as much of a differentiating idea. When you read McDonald s billboard about billions of hamburgers served or when you see its global reach even into places where it doesn t sell hamburgers (like India), the obvious repositioning idea emerges: McDonald s. The world s favorite place to eat. Leadership is a very powerful competitive strategy because, as you saw in the introduction, psychologists will tell you that people buy what others buy.
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Once upon a time Sears was the king of retailing as well as catalog buying. Today, the catalog is gone, and the big-box stores are threatening to take away retailing as well. It sounds like a case of reposition or die. Well, the one thing Sears still has is its big brands, such as Craftsman tools, Kenmore appliances, DieHard batteries, Lands End clothing, and others in tires and paint. Many of these brands are leaders in their respective categories.
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REPOSITIONING IS OBVIOUS
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With these in the stores, the obvious repositioning strategy should be, Home of America s best brands. And Sears s marketing should be more about these brands and less about the stores, beyond saying that these brands can be found only at Sears. So what s happening There is discussion about selling these brands in other retail outlets. That could be the end of Sears as a retailer.
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Newsweek and its competitor Time magazine have lost a great deal of their circulation and a lot of advertising. Both are trying to avoid the fate of US News & World Report, once a weekly, now a monthly, and barely hanging on. While they are fading, The Economist is thriving. It looks like a job for repositioning. First, Newsweek must realize that it is no Economist, with its globe-saturating coverage. It must also realize that general interest is out and niche is in. The problem is what niche to preempt. If you were running Newsweek, the first thing you should realize is that a redesign does not change anything. It s like rearranging the deck chairs on the Titanic. What is called for is a new idea, not a new design. The obvious repositioning idea would be to focus on brand-name columnists, not the news. People like George Will, Fareed Zakaria, Robert Samuelson, and
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Jonathan Alter are reasons to buy the magazine. Brandname columnists create a point of difference. They give you a valuable perspective on the news and what it all means. I would even add an overview entitled The Blogosphere, where someone would cover the good, the bad, and the ugly that s online. Another new column idea would be one by Jon Stewart of Daily Show fame. Jon could cover the ridiculous, of which there are many examples. He would also be a big draw for younger readers. The only problem with this repositioning is the name, Newsweek. This magazine isn t about news. It s more about opinions than about news. It should be called Opinion Week, and it should reposition itself as offering insights about the news. The main reason for this bold and different move is that repositioning your brand today is so much harder than it was in the old days especially when you re destined to be seen as a copycat product. And its number one competitor, Time, has also been through a redesign. This case study clearly illustrates what repositioning is all about. It adjusts perceptions closer to what Newsweek has become. It s a strong competitive move in a time of crisis. It requires some courage to make the change. It s all very obvious, and it will take some money and time to accomplish.
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