What term refers to creating a distinct image of a product in the minds of consumers relative to competitors?

The term that refers to creating a distinct image of a product in the minds of consumers relative to competitors is product positioning. This concept involves defining how a product is perceived in comparison to similar offerings in the market. Effective product positioning highlights the unique qualities and benefits of a product that differentiate it from competitors.

By focusing on specific attributes that resonate with the target audience, businesses can communicate their value proposition more effectively, shaping consumers' perceptions and preferences. This process is essential for gaining a competitive edge in the marketplace, as it influences consumers' decisions and loyalty toward the brand.

Market segmentation, target marketing, and distribution channels are related concepts but serve different purposes in the marketing strategy. Market segmentation involves dividing a broader market into smaller, manageable groups based on shared characteristics. Target marketing then focuses on selecting specific segments to tailor marketing efforts toward. Distribution channels, on the other hand, concern the pathways through which products reach consumers, rather than how a product is perceived.