BRAND MANAGEMENT

Bhushan D. Sudhakar, Ph.D Assistant Professor & Co-ordinator (UG) Co1

What is a Brand?
A brand is a name, term, sign, symbol, or design which is intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.

2

New Branding Challenges
Brands are important as ever
Consumer need for simplification Consumer need for risk reduction

Brand management is as difficult as ever
Savvy consumers Increased competition Decreased effectiveness of traditional marketing tools and emergence of new marketing tools Complex brand and product portfolios
3

The Customer/Brand Challenge In this difficult environment. marketers must have a keen understanding of: customers brands the relationship between the two 4 .

5 . Brand equity relates to the fact that different outcomes result in the marketing of a product or service because of its brand name. as compared to if the same product or service did not have that name.The Concept of Brand Equity The brand equity concept stresses the importance of the brand in marketing strategies. Brand equity is defined in terms of the marketing effects uniquely attributable to the brand.

The Concept of CustomerCustomer-Based Brand Equity CustomerCustomer-based brand equity Differential effect Customer brand knowledge Customer response to brand marketing 6 .

and unique brand associations in memory 7 . favorable.Determinants of CustomerCustomer-Based Brand Equity Customer is aware of and familiar with the brand Customer holds some strong.

.Building CustomerCustomer-Based Brand Equity Brand knowledge structures depend on . The initial choices for the brand elements The supporting marketing program and the manner by which the brand is integrated into it Other associations indirectly transferred to the brand by linking it to some other entities 8 . .

Benefits of CustomerCustomer-Based Brand Equity Enjoy greater brand loyalty. 9 . and affinity Command larger price premiums Receive greater trade cooperation & support Increase marketing communication effectiveness Yield licensing opportunities Support brand extensions. usage.

CustomerCustomer-based brand equity provides direction and focus to future marketing activities 10 .CustomerCustomer-Based Brand Equity as a Bridge CustomerCustomer-based brand equity represents the added value endowed to a product as a result of past investments in the marketing of a brand.

consumers must be convinced that there are meaningful differences among brands in the product or service category. Consumer must not think that all brands in the category are the same.The Key to Branding For branding strategies to be successful. PERCEPTION = VALUE 11 .

Strategic Brand Management Strategic brand management involves the design and implementation of marketing programs and activities to build. and manage brand equity. measure. The strategic brand management process is defined as involving four main steps: 1) 2) 3) 4) Identifying and establishing brand positioning and values Planning and implementing brand marketing programs Measuring and interpreting brand performance Growing and sustaining brand equity 12 .

Strategic Brand Management Process STEPS Identify and Establish Brand Positioning and Values KEY CONCEPTS Mental maps Competitive frame of reference Points-of-parity and points-of-difference Core brand values Brand mantra Mixing and matching of brand elements Integrating brand marketing activities Leveraging of secondary associations Brand Value Chain Brand audits Brand tracking Brand equity management system Brand-product matrix Brand portfolios and hierarchies Brand expansion strategies Brand reinforcement and revitalization 13 Plan and Implement Brand Marketing Programs Measure and Interpret Brand Performance Grow and Sustain Brand Equity .

CBBE model was designed to be comprehensive cohesive well-grounded wellup-to-date up-toactionable 14 .Motivation for CustomerCustomer-Based Brand Equity Model Marketers know strong brands are important but aren t always sure how to build one.

Rationale of CustomerCustomer-Based Brand Equity Model Basic premise: Power of a brand resides in the minds of customers Challenge is to ensure customers have the right types of experiences with products & services and their marketing programs to create the right brand knowledge structures: Thoughts Feelings Images Perceptions Attitudes 15 .

Building CustomerCustomer-Based Brand Equity Building a strong brand involves a series of steps as part of a branding ladder A strong brand is also characterized by a logically constructed set of brand building blocks. Identifies areas of strength and weakness Provides guidance to marketing activities 16 .

RESPONSE = JUDGMENTS FEELINGS What about you? 2.CUSTOMER-BASED BRAND EQUITY PYRAMID 4. RELATIONSHIPS = RESONANCE What about you & me? 3. IDENTITY = SALIENCE Who are you? 17 . MEANING = PERFORMANCE IMAGERY What are you? 1.

Salience Dimensions Depth of brand awareness Ease of recognition & recall Strength & clarity of category membership Breadth of brand awareness Purchase consideration Consumption consideration 18 .

Performance Dimensions Primary characteristics & supplementary features Product reliability. durability. and empathy Style and design Price 19 . and serviceability Service effectiveness. efficiency.

week. heritage. excitement. year. & experiences Nostalgia Memories 20 . & ruggedness History. ease of purchase Time (day.). competence. and context of usage Personality & values Sincerity.popularity Purchase & usage situations Type of channel.Imagery Dimensions User profiles Demographic & psychographic characteristics Actual or aspirational Group perceptions -. specific stores. sophistication. location. month. etc.

Judgment Dimensions Brand quality Value Satisfaction Brand credibility Expertise Trustworthiness Likability Brand consideration Relevance Brand superiority Differentiation 21 .

Feelings Dimensions Warmth Fun Excitement Security Social approval SelfSelf-respect 22 .

chat rooms 23 . a little pleasure ) Proud of brand Sense of community Kinship Affiliation Active engagement Seek information Join club Visit web site.Resonance Dimensions Behavioral loyalty Frequency and amount of repeat purchases Attitudinal attachment Love brand (favorite possessions.

BROAD BRAND AWARENESS 24 . ACTIVE LOYALTY Consumer Judgments Consumer Feelings RATIONAL & EMOTIONAL REACTIONS Brand Performance Brand Imagery POINTS-OFPARITY & POINTS-OFDIFFERENCE Brand Salience DEEP.Customer-Based Brand Equity Model ConsumerBrand Resonance INTENSE.

favorable.Brand Positioning Define competitive frame of reference Target market Nature of competition Define desired brand knowledge structures Points-of-parity Points-ofnecessary competitive Points-of-difference Points-ofstrong. and unique brand associations 25 .

Issues in Implementing Brand Positioning Establishing Category Membership Identifying & Choosing POP s & POD s Communicating & Establishing POP s & POD s Sustaining & Evolving POD s & POP s 26 .

Establishing Category Membership Product descriptor Exemplar comparisons 27 .

Identifying & Choosing POP s & POD s Personally relevant Distinctive & superior Believable & credible Desirability criteria (consumer perspective) Deliverability criteria (firm perspective) Feasible Profitable Pre-emptive. defensible & difficult to attack Pre28 .

HBR. HBR. 97) How do people become aware of their need for your product and service? How do consumers find your offering? How do consumers make their final selection? How do consumers order and purchase your product or service? What happens when your product or service is delivered? How is your product installed? 29 How is your product or service paid for? .Major Challenges in Positioning Find compelling & impactful pointspointsofof-difference (MacMillan & McGrath.

Major Challenges in Positioning Find compelling & impactful pointspointsofof-difference (cont.) How is your product stored? How is your product moved around? What is the consumer really using your product for? What do consumers need help with when they use your product? What about returns or exchanges? How is your product repaired or serviced? What happens when your product is disposed of or no 30 longer used? .

Communicating & Establishing POP s & POD s Price & quality Convenience & quality Taste & low calories Efficacy & mildness Power & safety Ubiquity & prestige Comprehensiveness (variety) & simplicity Strength & refinement Create POP s and POD s in the face of attribute & benefit trade-offs trade- 31 .

cocobrand) ReRe-define the relationship from negative to positive 32 .g.Strategies to Reconcile Attribute & Benefit Trade-Offs TradeEstablish separate marketing programs Leverage secondary association (e..

Sustaining & Evolving POP s & POD s Core Brand Values & Core Brand Proposition 33 .

Relate to points-of-parity and points-ofpoints-ofpoints-ofdifference Mental Map Core Brand Values Brand Mantra 34 .Core Brand Values Set of abstract concepts or phrases that characterize the 5-10 most important 5dimensions of the mental map of a brand.

Nike Authentic Athletic Performance Disney Fun Family Entertainment 35 . values. Brand mantras are short three to five word phrases that capture the irrefutable essence or spirit of the brand positioning and brand values.Brand Mantras A brand mantra is an articulation of the heart and soul of the brand.

36 .

37 .

Outline ‡ The mandate for effectiveness ‡ What makes an ad effective? ‡ The world of advertising ‡ The five players of advertising ‡ The evolution of advertising .

Theto sales lead Mandate for ‡ Advertising must be effective Effectiveness ‡ Today advertising is in a bind ‡ Advertisers expect specific results that 39 .

‡ Effective ads work on two levels: What Makes an Ad Effective? Strategy Execution Advertising must be goal directed 40 with consumers and with advertisers ‡ Characteristics of effective ads: .

The World of Advertising Defining advertising ‡ A paid form of communication ‡ A sponsor is identified ‡ Tries to persuade or influence the consumer to do something ‡ Conveyed through mass media ‡ Reaches a large audience ‡ Is nonpersonal 41 .

Types of Advertising Business-to‡ Brand advertising ‡ Business-to-business advertising ‡ Retail/local ‡ Institutional advertising advertising ‡ Political ‡ Public service advertising advertising (PSA) ‡ Directory ‡ Interactive advertising advertising ‡ Direct-response Directadvertising 42 .

The Roles of Advertising ‡ Marketing role ‡ Communication role ‡ Economic role ‡ Societal role 43 .

Functions of Advertising ‡ Provide product and brand information ‡ Provide incentives to take action ‡ Provide reminders and reinforcement 44 .

The Five Players of Advertising ‡ Advertiser ‡ Advertising agency The advertising department The in-house agency in- ‡ Media ‡ Vendors ‡ Target audience 45 .

The Evolution of Advertising ‡ Age of print ‡ Industrial revolution and emergence of consumer society ‡ Modern advertising: Agencies. science and creativity ‡ Accountability era 46 .

Current Advertising Issues ‡ Interactive advertising ‡ Globalization ‡ Niche marketing ‡ Integrated marketing communications (IMC) ‡ Consumer Power 47 .

How Brands Work Brand personalities Branding Trust Brand image Brand relationships Brand equity 48 .

MARKETING PLANNING PROCESS Complex. Robust Marketing Measures 49 . Rich Marketing Models Comprehensive. Varied Marketing Activity Detailed.

and remind consumers directly or indirectly can contribute to brand equity by establishing the brand in memory and linking strong. 50 . favorable. persuade.Role of Integrated Marketing Communications Marketing communications are the voice of the brand and are a means by which it can establish a dialogue and build relationships with consumers. and unique associations to it. incent. allow marketers to inform.

Consumers can learn about who makes the product and what the company and brand stand for Consumers be given an incentive or reward for trial or usage Brands can be linked to other People Places Events Brands Experiences Feelings Things 51 . by what kind of person. and where and when.Role of Integrated Marketing Communications (Cont.) Consumers can be told or shown how and why a product is used.

Simple Test for Marketing Communications 1. Desired Brand Knowledge 52 . Current Brand Knowledge 2. 3.

favorability. and uniqueness 53 .Integrated Marketing Communications and Customer-Based Brand Equity CustomerOne implications of the CBBE framework is that the manner in which brand associations are formed does not matter -only the resulting strength.

Designing Integrated Marketing Communications Programs
From the perspective of customer-based brand customerequity, marketers should evaluate all possible communication options available to create knowledge structures according to effectiveness criteria as well as cost considerations. Different communication options have different strengths and can accomplish different objectives.

54

Alternative Communication Options (Consumer)
Media Advertising (TV, radio, newspapers, magazines) Direct Response Advertising Interactive (on-line) Advertising & Web Sites (onOutdoor Advertising (billboards, posters, cinema) Point-ofPoint-of-Purchase Advertising Trade Promotions Consumer Promotions Sponsorship of Event Marketing Publicity or Public Relations

55

Alternative Communication Options (Business-to(Business-to-Business)
Media Advertising (TV, radio, newspaper, magazines) Trade Journal Advertising Interactive (on-line) Advertising & Web Sites (onDirectories Direct Mail Brochures & Sales Literature AudioAudio-Visual Presentation Tapes Giveaways Sponsorship or Event Marketing Exhibitions, Trade Shows, Conventions Publicity or Public Relations
56

Print Ad Evaluation Criteria Is the message clear at a glance? Is the benefit in the headline? Does the illustration support the headline? Does the first line of the copy support or explain the headline and illustration? Is the ad easy to read and follow? Is the product easily identified? Is the brand or sponsor clearly identified? 57 .

not single ads Be creative and develop creative themes Avoid slavishly sticking to executional formulas Brand communications should sing like a choir Multiple voices Multiple notes Find fresh consumer insights & compelling brand truths Productively conduct ad research 58 .Ad Campaign Considerations Campaigns make brands -.

IMC Case Study CMPB Success Factors Smart strategy Relative deprivation Imaginative creative Funny but relevant Clever hook Got milk? slogan Timely secondary media In store Right partners 59 .

Common Mistakes in Developing Advertising Failure to distinguish ad positioning (what you say) from ad creative (how you say it) Mistaken assumptions about consumer knowledge Improperly positioned Failure to break through the clutter Distracting. overpowering creative in ads 60 .

) UnderUnder-branded ads Failure to use supporting media Changing campaigns too frequently Substituting ad frequency for ad quality 61 .Common Mistakes in Developing Advertising (cont.

Audience Communication Option Overlap Communication Option A Communication Option B Communication Option C Note: Circles represent the market segments reached by various communication options. 62 . Shaded portions represent areas of overlap in communication options.

what is the per capita expense 63 . as well as how much overlap exists among options Cost .what proportion of the target audience is reached by each communication option employed.Evaluating IMC Programs Coverage .

favorability.Evaluating IMC Programs (cont. & uniqueness of brand associations Commonality .the collective effect on brand equity in terms of enhancing depth & breadth of awareness improving strength.) Contribution .the extent to which information conveyed by different communication options share meaning 64 .

Evaluating IMC Programs (cont.the extent to which information contained in a communication option works with different types of consumers Different communications history Different market segments 65 .) Complementarity .the extent to which different associations and linkages are emphasized across communication options Versatility .

Keller Be s Be analytical: Use frameworks of consumer behavior analytical: and managerial decision-making to develop welldecisionwellreasoned communication programs Be curious: Fully understand consumers by using all curious: forms of research and always be thinking of how you can create added value for consumers Be single-minded: Focus message on well-defined single-minded: welltarget markets (less can be more) Be integrative: reinforce your message through integrative: consistency and cuing across all communications 66 .

observant: customers. strong. use alternative promotions and media to create favorable.Keller Be s Be creative: State your message in a unique creative: fashion. channel members. and unique brand associations Be observant: Monitor competition. and employees through tracking studies Be realistic: Understand the complexities realistic: involved in marketing communications Be patient: Take a long-term view of patient: longcommunication effectiveness to build and manage brand equity 67 .

68 .

Sign up to vote on this title
UsefulNot useful