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Si

Gr x i
My ey nch
st an es
Brand?

er d
io we wid
us t e
What is the Territory of the
Contents
 Presentation Objective
 Understanding Branding
 From Products to Brands
 Brand Attributes
 Brand Management
 Brand Architecture
 Exercise
 Brand Building
 Brand Audit
 Connection Triangle
 Big Idea
 Evaluating Advertising
Presentation Objective

• To understand the facets / issues involved in


branding
• To develop a framework for building a brand
Al Ries, David Ogilvy & Ambani
Presentation incorporates
learnings from

India’s Branding School, founded by Reliance:


MICA
Personal Work Experience
Al Ries & Laura Ries: The 22 Immutable Laws of
Branding
Contents

Understanding Brand Building


Branding
Module 1

Understanding Branding

Understanding Brand Building


Branding
Module 1

Understanding Branding

Understanding Brand Building


Branding

Products to
Attributes Management Architecture Exercise
brands
Module 1

Understanding Branding

Understanding Brand Building


Branding

Products to
Attributes Management Architecture Exercise
brands
Module 1 - Stage 1

From Products to Brands


Understanding Brand
Branding Building

Products
Products to
to Attributes Management Architecture Exercise
Attributes Management Architecture Exercise
brands
brands
Module 1 - Stage 1

From Products to Brands


Understanding Brand

Brand v/s. Product


Branding Building

Products
Products to
to Attributes Management Architecture Exercise
Attributes Management Architecture Exercise
brands
brands

 A brand is more distinctive than a product


 It is first of all a name, a means of identification
 Secondly it s a set of added values offering both functional and
psychological benefits

Above all ‘a brand is a promise’


Module 1 - Stage 1

From Products to Brands


Understanding Brand
Branding Building

Products
Products to
to Attributes Management Architecture Exercise
Attributes Management Architecture Exercise
brands
brands

A Brand is a Promise

“ …A seller’s promise to deliver consistently


a specific set of features, benefits and services
to buyers.
Module 1 - Stage 1

From Products to Brands

…….a
…….ashort-hand
short-handthat
thatcommunicates
communicatespowerfully
powerfully&&reduces
reducesuncertainty
uncertainty
Fevicol Case

Sales Value AdSpend Adspend as %


Year
( Rs. Crores) ( Rs. Crores) of Sales
92-93 46.02 0.55 1.2%
93-94 77.12 1.7 2.2%
94-95 102.16 2.3 2.3%
95-96 138 3.28 2.4%
96-97 156.19 5 3.2%
97-98 151.68 5.51 3.6%
98-99 191.75 6 3.1%
Fevicol Case

Fevicol's Market Share


of Synthetic Adhesive Category

45%
42%
40%

35%
31.43%
30%

25%

20%

15%
10%
10%

5%

0%

1991 1994 1999


Fevicol Case
Fevicol's Growth Rate
vs. Category Growth Rate

60% 55%

50%

40%

30%

20% 16%
10%
10%
8%

0%

1992-95 1995-99

Category Fevicol
Brand as an Asset
 “If Coca Cola lost everything except for ‘the formula’ and its brand
name , it could walk into any bank in the world and get $100 billion
loan to start from the scratch”
Fortune Magazine
Module 1

Understanding Branding

Understanding Brand Building


Branding

Products to
Attributes
Attributes Management Architecture Exercise
brands
Module 1

Understanding Branding

Understanding Brand Building


Branding

Products to
Attributes Management Architecture Exercise
brands

Name Logo

Colours Essence
Module 1 - Stage 2

Attributes

Immutable
ImmutableLaw
LawofofName
Name

In the long run the brand is nothing more than a name


Module 1 - Stage 2

Attributes
Understanding Brand
Branding Building Name Logo

Products
Products to
to
Colours Essence
brands
brands
Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise

Brand Name
 Short
 Kodak, Fuji
 CNN an AOL Time Warner Company
 Distinctive
• Toyota’s Lexus is distinctive.Toyota’s Luxury commonplace
• Orange was a striking name in a world of tel and coms
 Not mean anything rude or silly in another language
 Big Macs( McDonald’s) is a slang for big breasts in Canada
Module 1 - Stage 2

Attributes
Understanding Brand
Branding Building Name Logo

Products
Products to
to
Colours Essence
brands
brands
Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise

Brand Name

 Avoid generic / line extended names


• Xerox as opposed to Haloids Paper Master

• Xerox (Copier) is powerful. Xerox Computer is not

 Changing your name will not overcome a bad strategy


• “Monday” (Price Waterhouse Coopers )
Module 1 - Stage 2

Attributes

Immutable
ImmutableLaw
LawofofShape
Shape

A brand’s logotype should be designed to fit the eyes.

Both eyes
Module 1 - Stage 2

Attributes
Understanding Brand
Branding Building Name Logo

Products
Products to
to
Colours Essence
brands
brands
Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise

Brand Logo
• Simple logo, designed to fit both eyes
• Mercedes three star
• Logos with a horizontal bias
• Logo with a horizontal bias is esp. useful for retail brands
• Logo font has to be clear and legible
• A housewife does not buy Ariel because it is written in a specific
font
Module 1 - Stage 2

Attributes
Module 1 - Stage 2

Attributes

Immutable
ImmutableLaw
LawofofColour
Colour

A brand should use a colour opposite of its rival


Module 1 - Stage 2

Attributes

The
TheCola
ColaWars:
Wars:Energy
EnergyVs.
Vs.Peace
Peace
Module 1 - Stage 2

Attributes
Understanding Brand
Branding Building Name Logo

Products
Products to
to
Colours Essence
brands
brands
Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise

Brand Colours
 Colours have meanings
• Purple means royalty
• Red is energetic
• Blue is peaceful

 Opposite colours can differentiate


• Coke is red, Pepsi is blue
• Kodak is yellow, Fuji is green
Module 1 - Stage 2

Attributes
Understanding Brand
Branding Building Name Logo

Products
Products to
to
Colours Essence
brands
brands
Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise

Brand Colours..
 Colours can help you stand out
• FedEx’s orange and purple packet stands out in corporate blue

 Logo and colours help, but the power of the brand


 Essentially in the meaning of the brand name in consumer’s mind, its
essence
Module 1 - Stage 2

Attributes

Immutable
ImmutableLaw
LawofofSingularity
Singularity

Most important thing for a brand is its


single mindedness.
Module 1 - Stage 2

Attributes

Single-mindedness
Single-mindednessmeans
meansconsistency.
consistency.
Fresh
Freshand
andinteresting
interestingmanifestations
manifestationsofofaasingle
singleidea.
idea.
Module 1 - Stage 2

Attributes
Understanding Brand
Branding Building Name Logo

Products
Products to
to
Colours Essence
brands
brands
Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise

Brand Essence
 A brand must “leverage a compelling truth”
 Linux stands for freedom as opposed to Microsoft’s monopoly

 A brand should mean a single powerful thing: the essence


 Essence of Volvo is Safety
 Essence of Tata is trust
 Essence of Fevicol is bonding
Module 1 - Stage 2

Attributes
Understanding Brand
Branding Building Name Logo

Products
Products to
to
Colours Essence
brands
brands
Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise

Brand Essence
 A brand should also be clear of what is not its essence
 In India, STAR NEWS is not a channel of the masses unlike STAR PLUS
 A brand should drive single mindedly its essence
 Volvo has been selling safety for 35 years
 Raymond has been selling the complete man for over 2 decades
 Essence of Dettol is protection against germs
 A brand loses its essence if it starts meaning a lot of things
 What is Miller :A regular,light,draft,cheap, expensive beer
Module 1 - Stage 2

Attributes

Immutable
ImmutableLaw
LawofofWord
Word

A brand should try to own a word in consumer’s mind


Module 1 - Stage 2

Attributes
Module 1

Understanding Branding

Understanding Brand Building


Branding

Products to
Attributes Management Architecture Exercise
brands
Module 1

Understanding Branding

Understanding Brand Building


Branding

Products to
Attributes Management Architecture Exercise
brands

Co-Brand Stealth Brand

Fighting Brand Multi-Brand


Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products
Products to
brands
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise Brand

Co-Brand
 Brands need to address a similar need segment
– Kellogg's Pop-tarts with Smuckers Jam
 Brands with complementary strengths: Seen often on the Net
– NY Times gives Amazon credibility
– Amazon makes NY Times look modern.
Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products
Products to
brands
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise Brand

Stealth Brand
 Brand building that attracts customer attention but not of rivals
• Home-to-home, word of mouth / PR, internet community building
• Krispy Kreme relies only on PR

 Good option when unsure of a new medium/market


 Little promotion for Maytag website as opposed to a buy.com. Maytag sold
1000s of Neptune washers on web
Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products
Products to
brands
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise Brand

Fighting Brand
 Pricing led branding option. Works as a competitive response.
• Smirnov (Heublein) Case
 Smirnov attacked by W’schmidt @ $1 less
 Heublein raised the price of Smirnov
 Heublein introduced Reiska(fighting brand) at the same price
point as W’schmidt
 Heublein added Popov lower than both
Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products
Products to
brands
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise Brand

Fighting Brand
 Built as new, independent brand
• Prevents dilution of the leading brand

 HLL introduced Wheel to fight Nirma


Module 1 - Stage 3

Management

Immutable
ImmutableLaw
LawofofSiblings
Siblings

There is a time and place to launch a second brand


Possibly
Possiblyeven
evenaathird
thirdor
oraafourth
fourthbrand..
brand..
Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products
Products to
brands
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise Brand

Multi Brand
 Key to a multi-brand approach is to give each sibling a unique
identity
 Time, Fortune,Life, Money, People

 Tempting to mash the brands and top it with corporate frosting


 Tata Salt,Tata Tea

 Second brand risks diluting equity


 Is Kingfisher Mild drinker more likely to be from Kingfisher or from
Fosters?
Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products
Products to
brands
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise Brand

Multi Brand..
 Common product area focus
 Shampoos: Clinic Plus, Ayush, Sunsilk
 Single attribute segmentation
 Price:Maruti 800, Zen, Esteem
 Sibling creates a new category
 Herbal Anti-Dandruff category by Ayush
Module 1

Understanding Branding

Understanding Brand Building


Branding

Products to
Attributes Management Architecture Exercise
brands
Module 1

Understanding Branding

Understanding Brand Building


Branding

Products to
Attributes Management Architecture Exercise
brands

House of Endorsed
Brands Brand

Sub Brand Branded House


Module 1 - Stage 4

Architecture

Immutable
ImmutableLaw
LawofofContraction
Contraction

A brand becomes stronger when you narrow its focus


Module 1 - Stage 4

Architecture

The
TheEconomist
Economistisisred
redand
anddaring.
daring.
Provocative,
Provocative,brutally
brutallyhonest
honestand
andnon-conformist
non-conformist
Module 1 - Stage 4

Architecture
Understanding Brand House of Endorsed
Branding Building
Brands Brand

Branded
Sub Brand
Products
Products to
brands
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise House

House of Brands
 Often dictated by corporate strategy. Core competence of the firm
is marketing / branding
• P&G is the prime example. Its “big” with the channel
 Multiple independent brands allows company to fill each niche
• Helps brand focus
 Gives an opportunity for the company to focus on each brand and
contract its scope.
Module 1 - Stage 4

Architecture
Understanding Brand House of Endorsed
Branding Building
Brands Brand

Branded
Sub Brand
Products
Products to
brands
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise House

Endorsed Brand
 Endorsement used as a device to transfer brand assets from one
brand(corporate) to another
 Titan from TATA, transferring trust
 Danger of diluting the equity of endorsing brand
 Best as a transitional strategy
 Gain, from makers of Ariel
Module 1 - Stage 4

Architecture

Immutable
ImmutableLaw
LawofofExpansion
Expansion

Brand’s power inversely proportional to scope.


Module 1 - Stage 4

Architecture

The
TheVolkswagen
Volkswagenbus
busad,
ad,talked
talkedonly
onlyabout
about‘plenty
‘plentyofofroom’
room’
Module 1 - Stage 4

Architecture
Understanding Brand House of Endorsed
Branding Building
Brands Brand

Branded
Sub Brand
Products
Products to
brands
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise House

Sub Brand
 Inside out branding.Company pushes core brand in different
directions
 Sub-branding can destroy what branding builds
• Donna Karan menswear, DKNY, DKNY menswear, DKNY kids
Module 1 - Stage 4

Architecture

Immutable
ImmutableLaw
LawofofCompany
Company

Brands are brands, companies are companies.


There is a difference.
Module 1 - Stage 4

Architecture
Understanding Brand House of Endorsed
Branding Building
Brands Brand

Branded
Sub Brand
Products
Products to
brands
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise House

Branded house
 Consumers buy brands, not companies
 Danger of branded house, being many things to one group of people
• Virgin? Does “Virgin trains” work?

 May motivate trade, so might be useful for PR purposes with


trade/other stakeholders
• P& G way
Module 1

Understanding Branding

Understanding Brand Building


Branding

Products to
Attributes Management Architecture Exercise
brands
Module 1

Understanding Branding
Exercise
 Two brand positioning within the same brand family?How do we reconcile the two positions?

 The options available to us


1. Single brand

2. Stand Alone New Brand

3. Transfer of Brand Assets from an existing brand

 What are the pros and cons of each option ?


Module 1

Understanding Branding

Understanding Brand Building


Branding

Products to
Attributes Management Architecture Exercise
brands

Single Brand
Options
Family

Stand Alone Transfer of


Brand Brand Assets
Module 1 - Stage5

Exercise
Understanding Brand Single Brand
Options
Branding Building Family

Stand Alone Transfer of


Products
Products to
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise
Brand Brand Assets
brands

 Single Brand Family

 ‘Stand-alone’ New Brand

 Transfer of Brand Assets ‘x from y’


Module 1 - Stage5

Exercise
Understanding Brand Single Brand
Options
Branding Building Family

Stand Alone Transfer of


Products
Products to
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise
Brand Brand Assets
brands

Option : Single Brand family


 Constant values / different products
• Dettol antiseptic / soap / hand wash
• Crest toothpaste / Mouth wash (But not chewing gum)

 Differentiate on product usage


• IBM Value Point - Entry level purchase
• Gillette Good News Line - Disposables
Module 1 - Stage5

Exercise
Understanding Brand Single Brand
Options
Branding Building Family

Stand Alone Transfer of


Products
Products to
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise
Brand Brand Assets
brands

Option : Single Brand family


 Use as umbrella branding
 TATA Trust
 SONY Electronic technology
 But Taj from TATA for Performance segments
 Difficult for a single brand to straddle Performance and Price segments
 Surf entry in popular segment with Surf Easywash. Withdrew after 2 yrs
 Gap changed Gap Warehouse to Old Navy Clothing due to perceived brand
erosion
Module 1 - Stage5

Exercise
Understanding Brand Single Brand
Options
Branding Building Family

Stand Alone Transfer of


Products
Products to
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise
Brand Brand Assets
brands

Option : Single Brand family


Learnings

+ Cheaper than creating a new brand


- Difficult to stretch brands across Price and Performance
- Risk of eroding present position
- Lose opportunity of creating a new segment
Module 1 - Stage5

Exercise
Understanding Brand Single Brand
Options
Branding Building Family

Stand Alone Transfer of


Products
Products to
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise
Brand Brand Assets
brands

Option : ‘Stand-alone’ New Brand

 Levers enters popular segment successfully with Wheel as opposed to


Surf Easywash

 Levers use of brand-wise differentiation of brand values and attributes


to target consumer segments- Surf / Rin / Wheel / OK detergents

 Toyota launches Lexus to enter the Premium Auto segment credibly


Module 1 - Stage5

Exercise
Understanding Brand Single Brand
Options
Branding Building Family

Stand Alone Transfer of


Products
Products to
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise
Brand Brand Assets
brands

Option : ‘Stand-alone’ New Brand


Learnings
+ Clear brand identity, values and assets
+ Create new opportunity of a range possibility in Popular segment
+ Leave present brand secure
- Expensive to build brand assets
- Difficult to build trial as a stand-alone Brand
Module 1 - Stage5

Exercise
Understanding Brand Single Brand
Options
Branding Building Family

Stand Alone Transfer of


Products
Products to
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise
Brand Brand Assets
brands

Option: Transfer of Brand Assets ‘x from y’


 Titan (from Tata’s)
• Worked well for Titan
 Sonata (from Titan)
• Eroding equity of Titan
 Gain (from the makers of Ariel)
• Apparently a ‘Transitional Strategy’
Module 1 - Stage5

Exercise
Understanding Brand Single Brand
Options
Branding Building Family

Stand Alone Transfer of


Products
Products to
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise
Brand Brand Assets
brands

Option: Transfer of Brand Assets ‘x from y’


Learnings
+ Cheaper than developing a new brand
+ Can be used as a ‘Transitional Strategy’
- Still a risk of eroding present image
- Possible mix of values and assets
Module 1 - Stage5

Exercise
Understanding Brand Single Brand
Options
Branding Building Family

Stand Alone Transfer of


Products
Products to
brands
to Attributes
Attributes Management
Management Architecture
Architecture Exercise
Exercise
Brand Brand Assets
brands

Branding Options: Conclusion


 ‘Single Brand family possible if:
 Different products / similar values
 Differentiate on end use

 ‘Stand-alone ‘New Brand’ best option to straddle values - however it is


expensive to create a new Brand
 ‘Transfer of Brand assets ‘x from y’’ possible, especially as a
transitional strategy - still a risk of eroding present values and mixing
values and assets
www.mastersungroup.com
http://strategy-execution.blogspot.com
chandra@mastersunindia.com

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