Insights

Positioning is an operating decision, not a copy exercise

Who you say you are for determines who you hire, what you build, and which customers you can serve profitably. Leaving it vague is not neutral, it has a running cost.

6 min read

Positioning is usually handed to whoever owns the website, which frames it as a wording problem: a sharper headline, a clearer value proposition, better proof. That framing is why so many positioning projects change the site and nothing else, and why the business feels the same afterwards.

Positioning is a decision about which customers you are organised to serve well. Everything downstream of that decision, hiring, roadmap, pricing, support model, is either aligned with it or quietly fighting it.

What vague positioning actually costs

  • Product: a roadmap driven by whoever asked most recently. Without a defined customer, every request is equally legitimate, and the product becomes a set of features that each serve a different buyer partially.
  • Sales: no basis for disqualification. If you serve everyone, no enquiry can be turned away on principle, so the pipeline fills with deals that are winnable but not worth winning.
  • Delivery: every engagement is bespoke, because the customers have nothing in common. Margin erodes through customisation nobody priced.
  • Hiring: job descriptions written for a generalist, because the work is genuinely undefined. You end up paying for flexibility rather than depth.
  • Marketing: message testing that never converges, because different segments respond to different messages and the average of them speaks to nobody.

None of these read as a positioning problem in the moment. They read as a product problem, a sales problem, a margin problem. That is why the cost accumulates for years without being attributed to its source.

Deciding, rather than describing

A real positioning decision is testable against operations. Three questions surface whether one has been made.

  • Who do we turn away, and does the team actually turn them away? A segment you say you do not serve but keep selling to is not excluded, it is unacknowledged.
  • What would we refuse to build, even for a paying customer? If the answer is nothing, the roadmap has no positioning behind it.
  • What do our best customers have in common that our worst do not? Not demographics. Situation, urgency, internal capability, what they were doing before you.

The last one is where the evidence lives, and it comes from your own data rather than from a workshop. Sort existing customers by margin and retention, then look at what the top group shares. That group is usually narrower than the market you describe on the site, and the gap between the two is the positioning work.

Narrowing does not mean shrinking

The objection to narrowing is always addressable market. In practice a narrower position raises conversion, shortens sales cycles, reduces delivery cost through repeatability, and makes referral possible, because a customer can only refer you if they can describe who you are for. The market gets smaller and the share of it you can actually win gets much larger.

It also makes the next several decisions easier, which is the real return. A clear position turns a series of open judgement calls into a series of checks against a standard.

How to check this in your own business

Ask four people in different functions to write down, separately and without discussion, the customer the business is for. If the answers differ materially, the position is not vague in the market, it is vague internally, and every function is currently optimising for a different customer.

Where this shows up in the work

Recognise this in your own business?

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