How to Create a Brand Positioning Statement in 5 Steps

How to Create a Brand Positioning Statement in 5 Steps

Most entrepreneurs I meet either don't have a brand positioning statement or, worse, have one that's completely useless.

They've written some corporate-speak that says they offer “innovative solutions” with “high-quality service” to “businesses of all sizes.”

That's not positioning. That's a sleeping pill.

A brand positioning statement is your internal, strategic compass. It is the single, simple, brutal decision about where you compete and why you deserve to win. It's not your public slogan. It's not your mission. It's the logic behind your brand that dictates every single design choice, from your logo's colour to the copy on your website.

Get this right, and everything else (your logo, your messaging, your sales) gets exponentially easier. Get it wrong, and you're just another voice shouting in the void.

For years, I've watched businesses burn cash on marketing that doesn't stick because they skipped this foundational step. They're trying to build a house with no blueprint. 

If you want to understand the nuts and bolts of brand positioning as a broader concept, I've written extensively about it. But today, we're getting our hands dirty. We're building the tool itself.

What a Brand Positioning Statement Actually Is

Let's simplify this.

Your brand positioning statement is a one to two-sentence declaration that articulates your unique value to a specific target audience in a way that clearly differentiates you from the competition.

It's the answer to the most important question a customer never asks but always thinks: “Why should I choose you over all the other options?”

If your entire team can't answer that question in a single, unified way, you have a positioning problem. This statement becomes the filter for all your creative decisions.

• Does this new logo design feel ‘relentlessly innovative'?
• “Does this web copy speak to ‘non-tech-savvy artisans'?”
• “Is this packaging ‘sustainably sourced' and ‘unapologetically minimalist'?”

If the answer is no, you don't do it. It's that simple. It stops you from making decisions based on “I just like the colour blue.”

The 4 Essential Components of a Bulletproof Statement

To build this, you don't need a marketing degree. You just need to make four clear decisions. Most guides overcomplicate this. It boils down to this template:

For [1. Target Audience], [Brand Name] is the [2. Frame of Reference] that delivers [3. Point of Difference] because [4. Reason to Believe].

Let's break down each component.

1. The Target Audience

This is “Who” you are for. And “small business owners” isn't good enough. That's a demographic. You need a psychographic. You need to get inside their heads.

• Weak Target: “Millennial women.”
• Strong Target: “UK-based female founders in their first 1-3 years of business who are overwhelmed by tech and just want a website that works.”

See? The second one gives you a clear picture. You know her pain (overwhelm). You know her desire (it just works). You know exactly what not to sell her (a complex platform with 100 features). Your brand immediately knows to be helpful, simple, and reassuring—not aggressive, complex, or “bro-tech.”

2. The Frame of Reference (Your Category)

This is “What” you are. It's the box you put yourself in so the customer's brain can categorise you. People need a shortcut. Are you a car, a moped, or a jetpack?

You're not competing with “all other businesses.” You're competing with the direct alternatives the customer is considering.

• If you're a new type of sparkling water, your frame of reference is “sparkling water,” not “all beverages.”
• If you're a project management tool, your frame of reference is “project management software,” not “all SaaS.

Sometimes, the most innovative move is to change your perspective. A client of mine, a high-end watchmaker, was struggling against Rolex. We repositioned them. They weren't just “luxury watches” (a crowded category). They became “wearable family heirlooms” (a category of one). It changed the entire conversation from “specs” to “legacy.”

3. The Point of Difference (Your USP)

This is your “Why You.” It's your Unique Selling Proposition (USP). It must be two things: singular and important.

Singular: Don't list five things. “We're cheap, fast, and high-quality.” Nobody believes that. It's a lie. Pick one thing you can own.

• Volvo = Safety
• Domino's = Speed (30 minutes or less)
• Apple = Simplicity / Design

Important: Your difference must be something the target audience actually cares about. You might be the only coffee shop in town with purple walls, but does anyone care? No. But if you're the only coffee shop that's “dog-friendly” or “dedicated to silent reading,” that's a difference that matters to a specific tribe.

4. The Reason to Believe (The Proof)

This is the “How.” It's the evidence that makes your Point of Difference credible. Without it, your claim is just hot air.

• Claim (Difference): “We're the most durable luggage.”
• Reason to Believe (Proof): “…because we're made from the same polycarbonate as bulletproof glass and offer a lifetime guarantee.”
• Claim (Difference): “We're the freshest sandwich shop.”
• Reason to Believe (Proof): “…because we bake our own bread every morning and source all vegetables from local farms daily.”

Your proof can be a process (hand-stitched), an ingredient (single-origin coffee), a guarantee (lifetime warranty), or a social signal (trusted by 10,000 surgeons).

How to Write Your Brand Positioning Statement in 5 Steps

Right, theory's over. Grab a pen. Let's build this.

Step 1: Brain-dump Your Competition (Competitive Analysis)

You can't be different if you don't know what “same” looks like.

Make a simple spreadsheet. List your top 3-5 direct competitors. For each one, write down:

• Who they are for: (Based on their marketing)
• What they sell: (Their main claim/offer)
• Why they say people choose them: (Their stated USP)

You're looking for a gap. Is everyone focused on “price”? Maybe you can win on “service.” Is everyone “fast”? Maybe you can be “thorough.” Is everyone “for experts”? Maybe you can be “for beginners.”

Step 2: Define Your Customer (The “Who”)

Get painfully specific. Go beyond the demographic.

• What's their biggest frustration with your category right now? (e.g., “All accounting software is ugly and confusing.”)
• What's their “secret” desire? (e.g., “I just want to feel in control of my finances without being an expert.”)
• What language do they use? (e.g., They don't say “optimise P&L”; they say “make tax time less of a nightmare.”)

Your target is now: “Creatives and freelancers who dread numbers and want to feel financially confident.”

Step 3: Find Your “Only” (The “What”)

This is where you find your Point of Difference. Use this phrase:

“We are the only [Your Category] that…”

Force yourself to finish that sentence.

• “We are the only design agency that guarantees a 48-hour turnaround on all creative.“
• “We are the only men's soap that is built for manual labourers and smells like a pine forest, not a perfume counter.“
• “We are the only coffee roaster that exclusively sources from female-owned farms.“

This is your claim. Now, find the proof (Reason to Believe).

• “…because our streamlined 3-step process cuts out all meetings.“
• “…because we use scrubbing agents like oatmeal and pumice.“
• “…because we have direct-trade relationships and publish our sourcing reports.“

Step 4: Assemble the Statement (The Template)

Now, plug your answers into the formula.

Template: For [1. Target Audience], [Brand Name] is the [2. Frame of Reference] that delivers [3. Point of Difference] because [4. Reason to Believe].

Example 1: A new project management tool.

• For: Non-technical marketing teams
• Is the Project management software
• That delivers: A single, visual way to see all campaigns
• Because: It integrates with all social, email, and ad platforms, pulling data into one simple calendar.

Statement: “For non-technical marketing teams, Asana is the project management software that provides a single, visual way to see all campaigns, because it integrates data from all social, email, and ad platforms into one simple calendar.”

Example 2: A local bakery.

• For: Health-conscious families
• Is the Local bakery
• That delivers: Guilt-free bread and pastries
• Because: We use 100% organic, stone-ground flour and absolutely no refined sugars.

Statement: “For health-conscious families in Clapham, The Good Loaf is the local bakery that provides guilt-free bread and pastries, because we use 100% organic, stone-ground flour and absolutely no refined sugars.”

Step 5: The “So What?” Test (Pressure-Testing)

Read your statement. Now, ask yourself these brutal questions:

• Is it memorable? Is it sharp, or full of waffle?
• Is it ownable? Could your biggest competitor say the same thing? If yes, it's not unique. Back to Step 3.
• Is it believable? Is your “Reason to Believe” strong enough, or is it a marketing platitude?
• Is it focused? Does it give you a clear “no”? (e.g., The bakery above would have to say “no” to making a cheap, sugary doughnut, even if a customer asked).

Your statement is your shield. It defends you from “good ideas” that are “bad for your brand.”

Good vs. Bad Positioning Statements

Sometimes, it's easiest to see the difference side by side. I see the “Bad” column all the time. The “Good” column is where you make money.

The “Bad” statements are impossible to design for. What does “succeed and grow” look like? It's meaningless.

The “Good” statements give a designer a perfect brief.

• “Quiet, dedicated work zone” = muted colours, comfortable chairs, minimalist logo.
• “Win supermarket shelf space” = bright, loud, structural packaging design.
• “New mums, 20 minutes a day” = soft, encouraging, simple branding. No aggressive “beast mode” imagery.

A Real-World Positioning Story

I want to tell you about a client. They had a brilliant piece of software. It could do complex 3D modelling, but it was incredibly simple to use. They were marketing it to architects and big engineering firms, and they were getting destroyed by the industry giants. Their positioning was “A powerful, affordable alternative to AutoCAD.”

It was a total failure. Why? Because an architect doesn't want “affordable.” They want “industry standard” and “powerful.” “Affordable” sounds “risky.”

We sat down and went through the steps. I asked them, “Who loves this thing?” They said, “That's weird… a lot of jewellery makers and artisan furniture designers buy it.”

Bingo.

These people weren't engineers. They were creative craftspeople who were terrified of complex CAD software. They didn't want 1,000 features; they wanted one. To see their creation in 3D before they built it.

We changed the positioning instantly.

Old: “For architects and engineers, our tool is the affordable CAD software for complex modelling.”

New: “For non-tech-savvy artisans (like jewellers and woodworkers), our tool is the only 3D design software that lets you visualise your creation in minutes, not months.”

They didn't change a single line of code. They just changed their positioning.

They rebuilt their brand identity around this new tribe. The website transitioned from a cold, blue “tech” look to a warm, creative one that features real artisans. The copy stopped discussing “vector rendering” and began discussing “bringing your craft to life.”

Sales tripled in six months. They didn't change the product. They changed the promise.

From Logic to Logo: Why Your Designer Needs This Statement

This is the part everyone misses.

Your brand positioning statement is the single most important document you will ever give to a designer. It's better than a 20-page brief.

When a client comes to Inkbot Design with a weak or non-existent positioning statement, I know 90% of our initial work will be strategic. We can't design a logo if you don't know who you are.

Here’s how the statement translates directly into a brand identity:

• If your statement says… “For high-octane entrepreneurs,” your brand identity needs to be bold, energetic, and sharp. Think high-contrast colours, strong sans-serif fonts, and a dynamic logo.
• If your statement says… “For time-poor new parents,” your brand needs to be calm, simple, and empathetic. Think soft, organic palettes, rounded fonts, and a nurturing, clear logo.
• If your statement says… “For budget-conscious students,” your brand needs to be bright, simple, and functional. Think no-frills typography, a primary colour scheme, and a logo that's clear, not complex.

Your positioning statement removes guesswork. It stops design from being a matter of personal taste (“I just don't like green”) and turns it into a strategic choice (“Green doesn't communicate the ‘high-speed, tech-focused' part of our positioning”).

It's the blueprint. Without it, your designer is left to guess.

Is Your Statement Set in Stone? When to Evolve.

A positioning statement isn't a tattoo. It's a business plan. And business plans must adapt.

You should re-evaluate your statement every 1-2 years, or when one of these things happens:

1. Your Competition Changes: A new, massive competitor enters your space and copies your “Point of Difference.” Your “only” is no longer an “only.” You have to find a new one.
2. Your Customer Changes: Your audience's needs are constantly evolving. e.g., “fast delivery” was a USP in 2010. By 2025, it's just the table stakes.
3. You Change: Your business grows, and you want to target a new, more profitable audience. (This is what my artisan software client did.)

Don't change it lightly. But don't be afraid to. The market is a conversation, not a monologue.

Your Statement is Your Decision

You can't be everything to everyone. You have to make a choice.

A strong brand positioning statement is, at its heart, a declaration of intent. It's a brave decision to be someone specific for someone specific.

The vagueness you think is keeping your options open is actually the very thing making you invisible.

Your job isn't to be “liked by everyone.” Your job is to be “loved by a few.” Your brand positioning statement is the map that shows you how to find them.

If you've done this work and are ready to translate that sharp, strategic logic into a brand identity that actually connects with your tribe, that's what we do. We build brands on foundations of truth, not fluff.

🚀 Next Steps

• Build Your Brand: Ready to turn your positioning statement into a powerful visual identity? Take a look at our brand identity design services.
• Get a Quote: If you've done the hard work and know who you are, request a quote and let's talk about building your brand.
• Read More: Want to go deeper? Explore our other posts on branding and marketing for more insights.

FAQs About Brand Positioning Statements