Competitor analysis

Company's positioning strategy depends on strengths and weaknesses of the brand and their competitive forces. Positioning is about analyzing the desired customer perception of the brand and the strategies used to achieve this set goal. Costo needs to meet the qualifying factors of its' competitors, but additionally differentiate against them. In this positioning map Costo and its identified competitors in the NY market are shown in relation to two dimensions; quality of design and eco-friendliness or sustainability.

The perceptual maps shows that Carhartt, Obey and American apparel are revealed as high quality design but not very sustainable. Faire is quite sustainable but lower quality design. Greenpacha and Flipside hats are of quite good quality design and relatively sustainable or sustainable. Independent tailors are of very high quality but not so sustainable, whereas Costo is of high quality design and sustainable. Drawing from this map, Costo's strength in relation to main competitors seems to be combining great design and sustainability.

Great brands have purpose. Here we utilized Simon Sinek's Golden Circles to analyze Costo's brand and purpose. Uninspiring brands tell what they sell whereas great brands go deeper and inspire customers with their purpose.

WHAT (What is Costo doing?)

Offering statement introduces the company portfolio of products, services & solutions, with their unique benefits.

-Well designed hats with quality, ecology and style

HOW 

(How is Costo doing it?)

Way of doing things expresses the principle beliefs on how to meet the needs described.

-By combining ecological materials and design that stays stylish regardless of current fashion

WHY (Raison d'etre)

Positioning statement showing what is the company's vision.

-To create something always in style and against the prevailing throw-awayism

References:

Koch, A. (2010). What, how, why - the brand trinity for a compelling brand. Available: http://invitroinnovation.wordpress.com/2010/06/23/why-how-what-the-3-questions-for-creating-a-compelling-brand/. Last accessed 1st December 2013.

Kotler, P, Keller, K et al. (2009). Marketing management. London: Pearson Education.

Bobbles pictures from Costo website www.costo.fi