Which of the following best describes 'Positioning' in the marketing context?

Positioning in marketing refers to the process of establishing a distinct image or identity for a product or brand in the minds of target consumers. The key aspect of positioning involves clearly communicating the unique benefits and value proposition of the product, which is essential for differentiating it from competitors. This clarity helps potential customers understand why they should choose that particular product over others.

Communicating benefits effectively is fundamental to positioning because it not only informs customers about what the product does, but also resonates with their needs and preferences, ultimately influencing their purchasing decisions. By effectively articulating how a product meets specific customer needs or solves particular problems, marketers can create a strong association between the product and a positive perception in the consumer's mind.

This approach contrasts with the other options, which focus on different aspects of marketing. Creating an advertising campaign is an important part of marketing strategy but is not synonymous with positioning itself. Offering discounts to boost sales is a tactical marketing method that may drive short-term purchases, but it does not impact long-term brand perception. Limiting communications to major customers does not effectively build a broad positioning strategy, as successful positioning aims to engage a wider audience and establish brand identity in a competitive market.