Final answer:
Product positioning is primarily categorized as head-to-head and differentiation. Head-to-head positioning compares products directly, while differentiation emphasizes their unique features and intangible aspects.
Step-by-step explanation:
The two major types of product positioning are head-to-head positioning and differentiation. Head-to-head positioning involves directly comparing a product with competitors' offerings, pointing out its superior features. On the other hand, differentiation focuses on creating unique aspects of a product that set it apart from competitors.
Differentiated products are those that have distinct characteristics, whether tangible or intangible. Intangible aspects of differentiation could include satisfaction guarantees, quality reputation, free delivery, and advertising that shapes perceptions and preferences, influencing buying decisions even when the physical product differences are indiscernible.