Market Segmentation and Brand Positioning

Question: Discuss about the Market Segmentation and Brand Positioning. Answer: Introduction: Banco Bilbao Vizcaya Argentaria, commonly known as BBVA is a multinational banking group of Spain formed in the month of 1999. BBVA is the second largest bank of Spain (bbva.es 2017). BBVA has adopted a unique strategy of positioning in order to represent them in the market. There are four major components of the positioning strategy of BBVA. They are Diversification and Leadership, Prudent and Proactive Management, Retune Adjusted to Principles and A Customers Centric Approach (accionistaseinversores.bbva.com 2017). These are the four major branding strategy of BBVA. Diversification is an important trait of BBVA as due to diversification strategy, BBVA has been able to provide different kinds of products to their customers. Prudent and proactive management helps the organizations to take necessary precautions for risk- taking. Two types of risks are there; structural risk and credit risk. These positioning strategies of BBVA results in comfortable liquidity position, outstanding ris k management, strong capital position and well-balanced portfolio. Return adjusted to principles makes the people of BBVA the core of the business. The focus of the financial activities of BBVA is on people. BBVA uses to support education, science and various social activities in order to make a better future. BBVA promotes the culture of the country along with the values in order to make a better society. The last and the most important positioning strategy of BBVA is their customer-centric business approach. The organization aims to create stable and long lasting relationship with their customers. As a result, BBVA has over 51 million customers around the world. These are the four major positioning strategies of BBVA. With the help of these strategies, BBVA has been successful to present them as an ethical and customer oriented organization (shareholdersandinvestors.bbva.com 2017). From the provided case study, it can be seen that there are three positioning options for BBVA. All of the three options are well developed. However, based on the above discussion regarding the positioning strategy of BBVA, it can be said that the second positioning option that is We Work for a Better Future for People would be appropriate for the organization (Hassan and Craft 2012). As per the positioning strategy, BBVA is a customer centric organization that wants to maintain a good and healthy relationship with the customers. In the chosen positioning option, the main aim of the strategy is to provide growth and value to the wealth of the customers and stakeholders of the company. As per this positioning option, the means to achieve growth and value to the customers are effective leadership style and proper anticipation of future. There are many characteristics of this positioning approach. This option makes BBVA able to focus on the development of the society that is to make a b right future of the society. Hence, from the above discussion, it can be said that the chosen positioning option has everything to position BBVA in a positive manner. On the other hand, it will help to establish a strong relationship with the customers. References Accionistaseinversores.bbva.com. (2017).BBVA in 2014. [online] Available at: https://accionistaseinversores.bbva.com/TLBB/micros/bbvain2014/en/strateg1.html [Accessed 8 Apr. 2017]. Bbva.es. (2017).Online banking by BBVA. [online] Available at: https://www.bbva.es/eng/particulares/index.jsp [Accessed 8 Apr. 2017]. Hassan, S.S. and Craft, S., 2012. Examining world market segmentation and brand positioning strategies.Journal of Consumer marketing,29(5), pp.344-356. Shareholdersandinvestors.bbva.com. (2017).Positioning of BBVA Group - BBVA in 2012. [online] Available at: https://shareholdersandinvestors.bbva.com/TLBB/micros/bbva2012/en/Executivesummary/PositioningofBBVAGroup.html [Accessed 8 Apr. 2017].