Research your market and your competition

To research your market, you may want to commission custom research or perform certain types of research yourself using various methods such as surveys and focus groups. But before you spend the money on customized research, study research that is already complete. Research your competition by visiting their Web sites, visiting stores where their products are displayed, attending trade shows where they are exhibiting and even calling competitive companies and requesting information. Also read analysts' reports and track your competition in the press by performing Internet searches or enlisting the aid of your public relations firm if you have one.

Be first or carve out a unique niche

It is hard to change the minds of consumers once they are set, so if you can position yourself as first in your market, you have an advantage. But no matter what, you need to carve out a unique niche for your product.

Choose your price strategically

Price is a critical factor in positioning your product. Consider your market segment, your product's benefits and features as compared to that of the competition, the demand, your costs and your pricing objective