Research on Brand Positioning


Exclusive Research on Brand Positioning in 2021


Every year, the number of companies entering the US market increases. And one problem that all companies caught in this deluge have in common is that they lack a guiding concept that will help them determine their market position.

Customer habits and supply chains were altered dramatically in reaction to the COVID pandemic, and this, too, exacerbated the problem.

Understanding brand positioning principles is the only approach that can help brands deal with the rapid change and unpredictability of the market.

And to help new entrepreneurs position their business, we tested some of these concepts in a survey to examine how different customers react to modern vs. traditional brand positioning.


Why this Survey is Necessary


Our goal was to figure out which brands customers were drawn to and how that differed depending on the demographics of the audience.

And, whether you operate a small, medium, or large firm, this knowledge will help you make rapid branding decisions and pick a suitable position for your organization.

So, to achieve the goals of the survey, we questioned people in the United States if they’d prefer working with a historied and trustworthy company or a modern and innovative company.


Here’s Why this Question is Necessary


Recognize that choosing your company’s tone is one of the most significant and defining decisions you’ll have to make while developing or rebranding your company. This choice is crucial because it helps entrepreneurs, product managers, and brand executives shape the future of their companies.

Consider how the market today would’ve been different if:

  • Apple had been named Executex
  • Zappos was still called Shoestore 
  • Amazon was still called Cadabra  
  • Nike was still called Blue Ribbon Sports 
  • Hydrox had chosen an appealing name
  • Ayds diet candy had been renamed

The tone of your brand influences the general personality of your company and the feelings consumers connect with it. Your tone is so important that it must be included in your company’s naming strategy.

Now, despite the fact that there are several brand tones, most of them fall somewhere between ‘historied and trustworthy’ tones and ‘modern and innovative’ tones.

Here are a few examples of traditional brands:

  • IBM 
  • Gucci
  • Blackstone
  • Liberty Mutual 
  • Warby Parker  

Here are some great examples of modern brands:

  • Slack
  • Apple
  • Accenture
  • Robinhood
  • Urban Decay

We carefully constructed our survey to capture which demographics are drawn to modern businesses and which are drawn to traditional brands because one critical aspect for entrepreneurs to consider when developing a brand position is whether their company should be a modern or traditional one.


Here’s Our Discovery


The survey’s conclusions were, to some degree, predictable, but the results we received were rather surprising. Take a look at the breakdown of what we learned from the 301 persons that participated:

  • People in their twenties and thirties have a strong affinity for modern and creative firms. When we surveyed this category, more than half of the respondents preferred new and innovative brands to traditional and trusted brands.

Courtesy: Squadhelp

  • People aged 35–45 preferred new and innovative companies over historied and well-known brands. But, it’s worth noting that the group was evenly split between the two options.

Courtesy: Squadhelp

  • People between the ages of 45–54 and 55–65 were more interested in historied and trustworthy companies.

Courtesy: Squadhelp

  • Historied and trustworthy brands drew people between the ages of 55 and 65 in particular.

Courtesy: Squadhelp

  • According to the study, men had little to no preference for either a modern or historical brand.

Courtesy: Squadhelp

  • According to the poll, women are more likely to choose historied and trusted brands.

Courtesy: Squadhelp

  • Overall, 153 out of 301 persons chose historied and trusted businesses, while 148 selected new and innovative businesses. The result clearly shows that companies can take any position they choose, but it must be aligned with the audience they want to reach.

Courtesy: Squadhelp

Here’s a Simple Analysis 

The survey’s findings show that most young people are interested in new, modern, and innovative businesses. So, if you’re trying to appeal to a younger market, consider giving your company a unique, modern, and innovative brand identity.

But suppose your target customers are Baby Boomers and older Gen Xers. In that case, it’s best you position your company as a historied and trusted brand because people between the ages of 45 and 65 have a great love for traditional businesses.  

One thing the survey revealed was the simple fact that business owners need to focus on their brand’s tone before positioning or naming their company. And if you want to quickly position your business with a great name that aligns with its customers, then use a powerful business name generator.


Here’s an example of a Well-Positioned Company


Hulu is a great example of a well-positioned brand. When the company first started, its name was a gamble, being that it tipped the brand tone scale from normal to the extreme by being super “modern and innovative.” But with over 40 million users, you can bet their gamble was well worth it.

The current success of Hulu can be attributed to its tone being ideal for its target audience and service. The bulk of their target market are young people, from millennials to Gen Xers, and like we learned from our survey, this demographic loves brands that are ‘modern and innovative.’


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