The position of the auxochromic group in a dye molecule plays a significant role in determining the colour characteristics of the dye. Auxochromes, such as -OH, -NH2, or -COOH, alter the colour by either shifting the absorption spectra or enhancing the dye's ability to absorb light at specific wavelengths. The placement of these groups can modify the hue, intensity, and chroma of the dye, thereby affecting its overall colour appearance.