Significance of Consumer Perception in Brand Positioning and How It Affects Strategy

Brand perception is an essential aspect of brand positioning as it establishes how customers perceive and internalize the identity, values, and offerings of a brand. It is the strategic process of establishing a unique and significant position of the brand in the minds of target consumers. The positioning, however, can be effective only when the consumers view the brand in the manner the marketers are trying to portray. Perception, therefore, is the mediating variable in the relationship between marketing communication and consumer response; it is, therefore, the focus of competitive differentiation and loyalty.

A critical dimension of consumer perception is that it influences brand image and brand differentiation. Brand image is the mental images and meanings attached to a brand by the consumers, which are majorly perception-based (Li & Mat, 2023). Once positioning is effective, in conjunction with consumers' perceptions and expectations, it results in a vivid image that leaves a memorable impression, differentiating a brand from its competitors. Recent research on purpose-driven branding points out that the alignment of a brand cause with its identity and the consumer values will improve brand image and will create emotional attachment (García-Salirrosas et al., 2024). For example, brands such as Patagonia and Dove have leveraged social and ethical issues to develop purposeful positioning that appeals to consumers' perceptions of authenticity and responsibility. Hence, the relationship between brand positioning and the perceived value, authenticity, and purpose by consumers is essential in contemporary marketing.

Secondly, consumer perception affects the perceived value and attitude towards a brand, which in turn affects loyalty. For instance, a recent survey of electronic home appliance brands found that brand positioning strategies based on the value dimensions (quality, affordability, and prestige) strongly influenced consumers' attitudes and loyalty (Li & Mat, 2023). This finding implies that proper positioning has to be based on an in-depth perception of consumer perception to ensure that the intended message is perceived, and actions towards positive behavior changes are consequent. Generally, perceived value is an intermediary between brand positioning and brand loyalty, which demonstrates that it is not the objective qualities of a product that count, but how consumers perceive it.

On the other hand, misperception is also a significant threat to marketing strategy. It arises when the consumers acquire knowledge about a brand that is not what the company wants them to know (Pardo-Jaramillo et al., 2025). Positioning failures and poor differentiation may be caused by misperception because consumers may not be aware of the unique benefits of the brand. To illustrate this point, a firm trying to position itself as a high-end brand might not succeed when the consumers view its product as average or exorbitantly high. Misalignment with the target market may also be caused by misperception; if the communication of a brand seems to be false or unnatural, it may drive the wrong people away. Purpose-driven branding literature warns that a loss of consumer trust and brand image can occur quickly when authenticity and congruence are lacking (Hubeis et al., 2025). Unmet expectations, cognitive dissonance, and negative reviews can also be a result of misperception, which hurts brand equity.

Generally, once the consumer perception agrees with the brand image that it intends to present, then positioning efforts are fruitful in creating strong associations that lead to preference and purchase decisions. Therefore, marketers need to conduct ongoing research to track consumer perceptions using perceptual mapping, focus groups, and feedback analysis. Being consistent and authentic in all brand dimensions, such as advertising and customer service, is crucial to maintaining good perceptions. With the changing consumer expectations, there is a need to have positioning strategies that are adaptive to the changing social, cultural, and technological environment.