Brand Positioning and Values

Where we have been
 We
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Brand equity and the psychology behind it A function of awareness, strength, favorability, and uniqueness of the nodes and links in memory

 BE
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is created in a progressive fashion

Establish proper Brand Identity Create Brand meaning Elicit positive Brand responses Forge strong Brand relationship

Identifying and establishing Brand Positioning  The – Integrated Brand Model Six elements that define a brand  Unified  Leverage each other  Brand Drivers a function of Organization Drivers – These six elements serve as a “roadmap” to our Brand Equity model  At every step. we can figure out what to do from our Brand and Organization Drivers .

you might think of the Principle as an indicator of a brand’s position .Brand Positioning Brand Positioning – – Brand positioning is all about identifying the optimal location in our customers’ minds for our Brand and our competitors Proper positioning makes it easier to facilitate understanding of our Brand  Taken to its’ logical conclusion.

and have no control over the third (idiosyncratic) . can respond to a second (negative).First Steps  The first step is to identify and establish Brand positioning and brand values (Keller)  Positioning is the foundation for creating and fostering the desired knowledge and perceptions of your customers – – remember our 3 types of associations in memory? We can really only manage one (positive).

Proper Positioning  Proper – – – positioning Clarifies what the Brand is all about How it is both unique and similar to competitive brands Why customers should purchase and use the Brand .

Example: Pepsi One     Millions in R&D for ingredient Ace-K (artificial sweetener) 37.000 hours to design the can 100 Million Marketing budget Original Target Market – 20-30 yo Males who did not like taste of diet colas .

but it is” Celeb: Kim Katrell –  Better for 20-30 yos? .Pepsi One Brand Conveyors: Then and now      Full flavored. one calorie” “Tastes like regular cola” Celeb: Tom Green   “Breakthru Sweetener” “Too good to be one calorie. healthy alternative to regular cola “Only one has it all” “True cola taste.

In order to Position a Brand…  …you – – – – must decide Who the Target Consumer is Who your main competitors are How the Brand is similar to your competitors How the Brand is different from your competitors  Where – do you get this information? Your BRAND INVENTORY!! .

Target Market Segmentation A market segment should have similar knowledge structures and brand knowledge – Similar knowledge structures might mean similar perceptions and beliefs about your Brand  There – – are 2 ways to segment Descriptive: characteristics of the individuals in the market Behavioral: grouped by how individuals in the market perceive or use the product .

Toothpaste Segmentation   Four main segments Sensory segment – Flavor and product appearance Flavor. Brightness    Sociables – Brightness of teeth Decay Prevention Low Price Decay Prevention 3 stripes. one for each of the 3 main segments Worriers – Independent – .

Many times. demographics may mask underlying differences . behavior and descriptive go hand in hand  Demographics may be basis of targeting. but tend to represent some underlying behavioral reason – In some cases.Target Market Segmentation  Which – – works better? Behavioral Easier to match perceptions (right/wrong) or beliefs (right/wrong) with strategy (reinforce/change).

easier to buy media on that basis  However.Advantages of demographic segmentation  Demographic segmentation is well known. with the emergence of nontraditional media. this advantage is getting smaller – Web ads can target by demographics traditionally difficult to access  AA. College students . Asian Americans.

Criteria for a Segment  Identifiability – Can the segment be easily identified? It is big enough to bother? Are distribution outlets and media available to us to reach the segment? How favorably will the segment respond to a tailored marketing program? (this one is tough to quantify)  Size –  Accessibility –  Responsiveness – .

fast: half under 25 yo. driven by price. buy food and services with credit card (Premium gas) Brand loyal. food. Mid income. in and out quickly Soccer moms using whatever is on their route – Road Warriors  – True Blues  – Generation F3  – Homebodies  . 25-50k/year.Segmentation Example Mobil’s 5 types of gasoline buyers – Price Drivers  Not brand loyal. pay with cash Fuel. MAMen. has been focus for years Upper income.

The Competition  Market – Segments define competitors They are targeting the same segments  Don’t be too narrow in your definition of competitors  Consider Sprite – – – Product Type (non-cola soft drinks) Product Category (all soft drinks) Product Class (all beverages) .

Baskin-Robbins Competitive analysis    Original Tagline: – 31 Flavors 100 M$ facelift in late 1990s Expanded from Ice cream – – Frozen coffee drinks Fruit Smoothies Starbucks Jamba Juice TCBY (and still Dairy Queen)  Perceived competitors – – – – .

experiential. favorable. unique brand associations May be any kind of attribute or benefit  Two – – types of PODs performance related differences Attribute Based  Functional.Part 3: POP and POD  POD – – (Point of Difference) Strong. Image Based  Affective. brand image related differences .

but PODs should be “superior .Part 3: POP and POD  POP – (Point of Parity) types Associations that are shared with other brands Category: attributes that are required to include your product as a member of that category Competitive: POP that negate your competitors PODs  Two – –  POPs can be “good enough”.

SCAs can result from any component of the firm – Similar to notion that Principle exists in every part of the firm . Reeves and Bates) Advertisers should give a compelling reason to buy a product that competitors could not match  What component of the IBM reflects this?  Sustainable  The Competitive Advantage (SCA) advantage of delivering superior value in the marketplace for a prolonged period of time  Further.Similar concepts  Unique – Selling Proposition (USP.

exclusivity • Fun to drive • Affluence.POP AND POD: BMW over the years 1991 1985 1975 1971 • Affluence. exclusivity • Fun to drive • Fun to drive • Economical • International 21Desirability • .

Managerial Issues  How – – do I begin to position my Brand? Communicate category membership This is the “frame of reference”. where customers can activate what they know about the category and apply it to your POPs and PODs Communicate category benefits Compare your product to exemplars Rely on product descriptor  How? – – – .

Sneaky psychology sidebar Exemplars  Memory is modeled in a hierarchical was as well – – Exemplars can be real or amalgamated (prototypes) Generated from experiences and exposures from the environment  Exemplar example (heh) – DRAW A PICTURE OF A CHAIR (THE FIRST THING THAT COMES TO MIND  Compare your picture to your other team members – Is it the same or different .

Ways to convey category membership (cont): Comparison to Exemplars  Thus. – – two strategies: Created exemplar (not a real product) Real exemplar (coke when talking about colabased carbonated beverages)  NOTE: – Keller defines exemplars as Well known. noteworthy brands in a category  Pepsi One example (after repositioning) .

Nuts and Bolts   How do I decide on my PODs and POPs? POPs – Analysis of category What attributes do all of my competitors have? I probably need to have those. or my competitors automatically have a POD  POPs get you included in category   PODs are more difficult – Don’t use PODs that are product centric (dominate competition) but customer centric (uniquely address need of customer) .

Managerial issues  Criteria – for POD Desirability  Must be Relevant  Must be Distinctive  Must be Believable – Deliverability  Feasibility  Communicability  Sustainability .

High quality Tastes Great vs. Less filling  Separate the attributes  Leverage equity in another entity  Redefine the relationship .Establish POP and POD in marketplace  Difficulty: – – Many attributes that make up POP and PODs are negatively opposed Low price vs.

Defining Values and Principle  You – – already know how to do this Your values and principle are part of your Org and Brand drivers!!! Keller calls principle “Brand Mantra”  Your – Values. and position all are related NOTE: Keller says that associations are values. Principle. but we have a stricter definition of associations from the IBM .

Athletic Performance Fun Family Entertainment .Principles a la Keller: What makes a good Principle?  Three – – – components Emotional component (Comfortable) Descriptive modifier (Casual) Brand function (clothing)  Other – – Examples Nike: Authentic.

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