Welcome to Scribd, the world's digital library. Read, publish, and share books and documents. See more
Download
Standard view
Full view
of .
Look up keyword
Like this
63Activity
0 of .
Results for:
No results containing your search query
P. 1
1-What is Brand? a Brand is A

1-What is Brand? a Brand is A

Ratings: (0)|Views: 626|Likes:
Published by Ashutosh Sharma
1-What is Brand? A brand is a name, term, sign, symbol or a combination of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of competition. For example, Coke, Nestle and Microsoft are well renowned brands. In technical speaking whenever a marketer creates a name logo symbol he or she has created a brand. 2-Why do Brands matters? Brands really matter for both consumer and manufacturer. From consumer’s point of view: Identifica
1-What is Brand? A brand is a name, term, sign, symbol or a combination of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of competition. For example, Coke, Nestle and Microsoft are well renowned brands. In technical speaking whenever a marketer creates a name logo symbol he or she has created a brand. 2-Why do Brands matters? Brands really matter for both consumer and manufacturer. From consumer’s point of view: Identifica

More info:

Published by: Ashutosh Sharma on Mar 02, 2010
Copyright:Attribution Non-commercial

Availability:

Read on Scribd mobile: iPhone, iPad and Android.
download as PDF, TXT or read online from Scribd
See more
See less

09/22/2012

pdf

text

original

 
1-What is Brand?
A brand is a name, term, sign, symbol or a combination of them intended to identify thegoods and services of one seller or group of sellers and to differentiate them from thoseof competition. For example, Coke, Nestle and Microsoft are well renowned brands. Intechnical speaking whenever a marketer creates a name logo symbol he or she has createda brand.
2-Why do Brands matters?
Brands really matter for both consumer and manufacturer.
From consumer’s point of view:
Identification of source of product
Assignment of responsibility to product maker
Risk reducer
Search cost reducer
Promise, bond, or pact with maker of product
Symbolic device
Signal of quality
Brands identify the source or maker of a product and allow consumers to assignresponsibility to a particular manufacturer. From an economic perspective, brands allowconsumers to lower search costs for products both internally and externally.
Consumers offer their trust and loyalty with the implicit understanding that the brandwill behave in certain ways and provide them utility through consistent productperformance and appropriate pricing, promotion, and distribution programs and actions.Brands can serve as symbolic devices, allowing consumers to project their self-image.
Certain brads are associated with being used by certain types of people and thus reflectdifferent values or traits. Researched have classified products and their associatedattributes into three major categories: search goods, experience goods and credencegoods. There is difficulty in assessing and interpreting product attributes and benefits sowith experience and credence goods, brands may be particularly important signals of quality. Brands can reduce the risk in product decisions. These risks involve functional,physical, financial, social psychological and time risk.
From manufacturer’s point of view:
Means of identification to simplify handling
Means of legally protecting unique features
Signal of quality level to satisfied customers
Means of endowing products with unique associations
Source of competitive advantage
 
Source of financial returns Brands help manufacturers to organize inventory andaccounting records. A brand also offers the firm legal protection for unique features of the product. A brand can retain intellectual property rights, giving legal title to the brandowner. Brands can signal a certain level of quality so that satisfied buyers can easilychoose the product again. This brand loyalty provides predictability and security of demand for the firm and creates barriers of entry that make it difficult for other firms toenter the market. The annual list of the world’s most valuable brands, published byInterbrand and Business Week, indicates that the market value of companies oftenconsists largely of brand equity. Research by McKinsey & Company, a global consultingfirm, in 2000 suggested that strong, well-leveraged brands produce higher returns toshareholders than weaker, narrower brands. Taken together, this means that brandsseriously impact shareholder value, which ultimately makes branding a CEOresponsibility.Companies sometimes want to reduce the number of brands that they market. Thisprocess is known as "Brand rationalization." Some companies tend to create more brandsand product variations within a brand than economies of scale would indicate.Sometimes, they will create a specific service or product brand for each market that theytarget. In the case of product branding, this may be to gain retail shelf space (and reducethe amount of shelf space allocated to competing brands). A company may decide torationalize their portfolio of brands from time to time to gain production and marketingefficiency, or to rationalize a brand portfolio as part of corporate restructuring.
3-What are the strongest Brands?
A list of top twenty strongest brands is as follows2005 Brand Value($million)1 Coca-Cola U.S 67,5252 Microsoft U.S 59,9413 IBM U.S 53,3764 GE U.S 46,9965 Intel U.S 35,5886 Nokia Finland 26,4527 Disney U.S 26,4418 Mc Donald U.S 26,0149 Toyota Japan 24,837
 
 10 Marlboro U.S 21,18911 Mercedes-Benz Germany 20,00612 Citi U.S 19,96713 Hewlett Packard U.S 18,86614 American Express U.S 18,55915 Gillette U.S 17,53416 BMW Germany 17,12617 Cisco U.S 16,59218 Louis Vuitton France 16,07719 Honda Japan 15,78820 Samsung S. Korea 14,956
Customer Based Brand Equity
Customer based brand equity model is that the power of a brand lies in what customershave learned, felt, seen, and heard about the brand as a result of their experience overtime. Customer-based brand equity is defined as the differential effect that brandknowledge has on consumer response to the marketing of that brand. There are three keyingredients of this definition:(1) “differential effect,”(2) “brand knowledge,”(3) “consumer response to marketing.”
Brand Equity as a Bridge
The power of a brand lies in the minds of consumers and what they have experiencedand learned about the brand over time. Consumer knowledge drives the differences thatmanifest themselves in terms of brand equity. This realization has important managerialimplications. According to this view, brand equity provides marketers with a vitalstrategic bridge from their past to their future. Brand equity can provide marketers with ameans to interpret their past marketing performance and design their future marketingprograms.

Activity (63)

You've already reviewed this. Edit your review.
1 hundred reads
1 thousand reads
Alice Renacco liked this
Kishore Kumar liked this
Shantanu Das liked this
haider_shah42 liked this
haider_shah42 liked this
lily liked this
lily liked this

You're Reading a Free Preview

Download
scribd
/*********** DO NOT ALTER ANYTHING BELOW THIS LINE ! ************/ var s_code=s.t();if(s_code)document.write(s_code)//-->