1.

DEFINING BRAND MANAGEMENT:

Brand management includes managing the tangible and intangible characteristics of

brand
It is all about capturing the niche market for your product / service and about creating
a confidence in the current and prospective customers’ minds that you are the unique
solution to their problem.
The aim of branding is to convey brand message vividly, create customer loyalty,
persuade the buyer for the product, and establish an emotional connectivity with the
customers. Branding forms customer perceptions about the product. It should raise
customer expectations about the product. The primary aim of branding is to create
differentiation.
It includes developing a promise, making that promise and maintaining it. It means
defining the brand, positioning the brand, and delivering the brand. Brand
management is nothing but an art of creating and sustaining the brand. Branding
makes customers committed to your business. A strong brand differentiates your
products from the competitors. It gives a quality image to your business.

WHAT IS A BRAND?

Brands are different from products in a way that brands are “what the consumers
buy”, while products are “what concern/companies make”
Brand is an accumulation of emotional and functional associations. Brand is a
promise that the product will perform as per customer’s expectations. It shapes
customer’s expectations about the product. Brands usually have a trademark, which
protects them from use by others. A brand gives particular information about the
organization, good or service, differentiating it from others in marketplace. Brand
carries an assurance about the characteristics that make the product or service unique.
A strong brand is a means of making people aware of what the company represents
and what are it’s offerings.

To a consumer, brand means and signifies:

 Source of product
 Delegating responsibility to the manufacturer of product
 Lower risk
 Less search cost
 Quality symbol
 Deal or pact with the product manufacturer
 Symbolic device

To a seller, brand means and signifies:

 Basis of competitive advantage

  Way of bestowing products with unique associations
 Way of identification to easy handling
 Way of legal protection of products’ unique traits/features
 Sign of quality to satisfied customer
 Means of financial returns

A brand, in short, can be defined as a seller’s promise to provide consistently a unique

set of characteristics, advantages, and services to the buyers/consumers. It is a name,
term, sign, symbol or a combination of all these planned to differentiate the
goods/services of one seller or group of sellers from those of competitors. Some
examples of well-known brands are Mc Donald’s’, Mercedes-Benz, Sony, Coca
Cola, Kingfisher, etc.
A brand connects the four crucial elements of an enterprise- customer, employees,
management and shareholders. Brand is nothing but an assortment of memories in
customers mind. Brand represents values, ideas and even personality. It is a set of
functional, emotional and rational associations and benefits, which have occupied
target market’s mind. Brand Associations are nothing but the images and symbols
associated with the brand or brand benefits, such as, The Nike Swoosh, The Nokia
sound, etc. Benefits are the basis for purchase decision.

IMPORTANCE OF BRANDING:
1. United
Branding links your name, logo, online presence, product/services and appeal to the
masses. Make marketing skills consistent and the content the same across all
channels. This brings a united and clear message to customers, future partnerships
and their competitors.

2. Asset
A brand is an asset. What you present to the public is a huge chunk of your
business. The worth is just as much as revenue and sales. A lot is at stake; finances,
creativity and time is on the line. Branding will make the difference between
revenue/sales and debt/liquidation.
3. Sales
Speaking of sales, branding will create sales and revenue for your business. You will
make money based on how the branding marketing strategies work out. Customers
will be tempted to test you out, and your results will determine if you make more
sales.

4. Deliverance
Branding is a proclamation. You hereby state that you will deliver on your promises
and claims the company makes. Everything the company stands for should be spread
throughout the organization too. Otherwise the company will be disconnected and
customers will be confused and grow distant. If you are not willing to make promises
you can't keep, don't state it on your brand.
5. Perception
Branding gives companies a chance to let customers see the business for who we
really are. This is the chance to be honest and open about what this company
represents. The look, feel and message conveyed will separate you from the pack.
6. Preference
People are more attached to companies with a brand than companies that
doesn't. Brands create a bond filled with good memories and good times, and
customers will never forget it. That connection can't be strategized; it just happens.

7. Loyalty
A good branding will create customer loyalty. Loyal customers will continue to
support you in good and bad times. They will spread a positive message to people
they know. Their influence will introduce new people to your company.

8. Trust
As customers get to know your business they will begin to trust you. In order to build
trust you must give customers a reason to test you out. The branding must be spot on
as the first customers will determine how many more (or less) you will
receive. Exceptional customer service, experience with the product/services and
positive online communication on social networks will keep them coming back for
more.

9. Extension
Branding can reach so many people in so many outlets. It reaches people offline,
online, mobile and niche markets. It reaches the many products and services you
currently sell and plan to sell in the future.

10. Protection
Branding protects you from competitors who want your success. Without it they will
have no problem making copycats of what made you popular and claim it for
themselves. They can carry the same or similar products but they won't be able to
take your style and originality away.

 Branding Gets Recognition

 Increases Business Value
 Creates Trust Within The Marketplace
 Generates new customers
 Improves customer and employees pride and satisfaction
 Supports advertising
BRAND NAME

Brand name is one of the brand elements, which helps the customers to identify and
differentiate one product from another. It should be chosen very carefully as it
captures the key theme of a product in an efficient and economical manner. It can
easily be noticed and its meaning can be stored and triggered in the memory instantly.
Choice of a brand name requires a lot of research. Brand names are not necessarily
associated with the product. For instance, brand names can be based on places (Air
India, British Airways), animals or birds (Dove soap, Puma), people (Louise Phillips,
Allen Solly). In some instances, the company name is used for all products (General
Electric, LG).

Features of a Good Brand Name

A good brand name should have following characteristics:

1. It should be unique / distinctive (for instance- Kodak, Mustang)

2. It should be extendable.
3. It should be easy to pronounce, identified and memorized. (For instance-Tide)
4. It should give an idea about product’s qualities and benefits (For instance-
Swift, Quickfix, Lipguard).
5. It should be easily convertible into foreign languages.
6. It should be capable of legal protection and registration.
7. It should suggest product/service category (For instance Newsweek).
8. It should indicate concrete qualities (For instance Firebird).
9. It should not portray bad/wrong meanings in other categories. (For instance
NOVA is a poor name for a car to be sold in Spanish country, because in
Spanish it means “doesn’t go”).

Process of selecting a renowned and successful Brand Name

1. Define the objectives of branding in terms of six criterions - descriptive,

suggestive, compound, classical, arbitrary and fanciful. It Is essential to
recognize the role of brand within the corporate branding strategy and the
relation of brand to other brand and products. It is also essential to understand
the role of brand within entire marketing program as well as a detailed
description of niche market must be considered.
2. Generation of multiple names - Any potential source of names can be used;
organization, management and employees, current or potential customers,
agencies and professional consultants.
3. Screening of names on the basis of branding objectives and marketing
considerations so as to have a more synchronized list - The brand names must
not have connotations, should be easily pronounceable, should meet the legal
requirements etc.
 4. Gathering more extensive details on each of the finalized names - There
should be extensive international legal search done. These searches are at
times done on a sequential basis because of the expense involved.
5. Conducting consumer research - Consumer research is often conducted so as
to confirm management expectations as to the remembrance and
meaningfulness of the brand names. The features of the product, its price and
promotion may be shown to the consumers so that they understand the
purpose of the brand name and the manner in which it will be used.
Consumers can be shown actual 3-D packages as well as animated advertising
or boards. Several samples of consumers must be surveyed depending on the
niche market involved.
6. On the basis of the above steps, management can finalize the brand name that
maximizes the organization’s branding and marketing objectives and then
formally register the brand name.

BRANDS VS. PRODUCTS

These two differ in the sense that a product is created by the company while
a brand is built by the people using them i.e. customers. Moreover, the former can be
easily duplicated, whereas a the latter is unique, and it cannot be copied. A product
passes through a life cycle, but a brand is timeless.

The product is a good or service or the combination of the two that is made available
by the companies in the market for sale to the end consumer. It can be in physical or
non-physical form.
Every product is different in itself regarding size, colour, brand name, shape,
packaging, features, after sales services and much more. However, the difference in
the product is psychological, not physical. These factors are more or less used by the
companies to persuade customers to buy their product. E.g. Handbags, sunglasses,
jeans, shoes, belts, etc.

A product that has a name, which we can recall and relate to, is a brand. A Brand can
neither be seen nor touched; it can only be felt. The brand is not built in a day; it takes
years and years to gain the trust of customers. The brand is not just a name but an
image in the minds of the customers. The image is associated with reliability,
credibility, and quality that gives a sense of satisfaction to the customers. The legal
identity of a brand is known as a trademark.

E.g. Gucci, Rolex, Nike, Reebok, Starbucks, Armani, RayBan, Apple, etc.
 BASIS FOR
PRODUCT BRAND
COMPARISON

Meaning A product is an item A brand is something which

which is ready for sale in distinguishes a product from
the market. other products in the market.

What is it? A product is What you A brand is What you want?

need?

Uniqueness A product can be easily A brand has a distinguished

copied. identity, that cannot be copied.

Created by Manufacturers Customers

Can it be replaced? Yes No

What they do? A product performs the A brand offers value.

functions.

Appearance A product may be A brand is intangible.

tangible or intangible in
nature.

Time Horizon A product can be Brand remains forever.

outdated after some
time.

Companies Make Products and Consumers Make Brands

A product is made by a company and can be purchased by a consumer in exchange
for money while brands are built through consumer perceptions, expectations, and
experiences with all products or services under a brand umbrella. For example,
Toyota’s product is cars. Its umbrella brand is Toyota and each product has its own
more specific brand name to distinguish the various Toyota-manufactured product
lines from one another. Without a product, there is no need for a brand.
Products Can Be Copied and Replaced but Brands Are Unique
A product can be copied by competitors at anytime. When Amazon launched the
Kindle e-reader device, it didn’t take long for competitors to come out with their own
branded versions of an e-reader product. However, the brand associated with each e-
reader device offers unique value based on the perceptions, expectations, and
emotions that consumers develop for those brands through previous experiences with
them.

Similarly, a product can be replaced with a competitor’s product if consumers believe

the two products offer the same features and benefits. Products with low emotional
involvement are typically easily replaced. For example, do you really care what brand
of milk you buy or do you primarily just care that the milk you buy is fresh and
includes the fat percentage that you want?
Products Can Become Obsolete but Brands Can Be Timeless
Remember VHS players? With the introduction of DVD players and more recently
DVR devices and streaming video services, VHS players have become obsolete. The
same thing happened to 8-track tapes, vinyl records, cassettes, and CDs. Today, most
people buy their music in digital format and listen to it on their iPods. The Elvis
Presley brand is timeless, but no one buys Elvis music on cassettes anymore.

Products Are Instantly Meaningful but Brands Become Meaningful over Time.
When you launch a new product, it’s easy to make that product instantly meaningful
and useful to consumers because it serves a specific function for them. However, a
brand is meaningless until consumers have a chance to experience it, build trust with
it, and believe in it. That’s why the 3 steps to brand building include consistency,
persistence, and restraint. It takes time and effort to convince consumers to believe in
your brand.
Consider Google as an example. When Google first hit the Internet scene it offered a
simple product — a search engine. That product was instantly meaningful to
consumers because it helped them find information online quickly. However, the
Google brand didn’t become meaningful to consumers until people had a chance to
use the Google search engine product and see for themselves that it really was a better
search engine. Through those experiences, consumers began to trust that the Google
brand could deliver faster and better information online. Today, when Google
launches a new product (like Google+ recently), people are quick to try those
products because they trust the Google brand.
Branding challenges and opportunities

Brands build their strength by providing customers consistently superior product and
service experiences. A strong brand is a promise or bond with customers. In return for
their loyalty, customers expect the firm to satisfy their needs better than any other
competitors.

Brands will always be important given their fundamental purpose – to identify and
differentiate products and services. Good brand makes people’s lives a little easier
and better. People are loyal to brands that satisfy their expectations and deliver on its
brand promise. The predictably good performance of a strong brand is something that
consumer will always value.

The challenges to brands

1) The shift from strategy to tactics: – With the increasing pressure to generate
ever-improving profitability, it is often considered a luxury for managers to develop
long-term strategic plans. This is further exacerbated by short-term goal setting,
which is frequently designed primarily for the convenience of the financial
community.

2) The shift from advertising to promotions: – As a consequence of the increasing

pressure on brand manager to achieve short-term goals, there is a temptation to cut
back on advertising support, since it is viewed as a long-term brand-building
investment, in favour of promotions which generate much quicker short-term results.

3) On-Line shopping: – The Internet is facilitating on-line shopping. On-line

shopping is different from traditional mail order because:

• Brands are available all the time and from all over the world;

• Information and interactions are in real time;

• Consumers can choose between brands which meet their criteria, as a result of
selecting information which is in a much more convenient format for them, rather
than the standard catalogue format.

This poses threats to brands, some components of added value, agent or the retail
outlet which originally added value by matching consumers with suppliers, may be
eliminated.

4) Opportunities from technology: – Brand marketers are now able to take

advantage of technology to again a competitive advantage through time. Technology
is already reducing the lead time needed to respond rapidly to changing customers
need and minimizing any delays in the supply chain.
5) More sophisticated buyers: – In business-to-business marketing, there is already
an emphasis on bringing together individuals from different departments to evaluate
suppliers’ new brands. As inter departmental barriers break down even more, sellers
are going to face increasingly sophisticated buyers who are served by better
information system enabling them to pay off brand suppliers against each other.

6) The growth of corporate branding:- With media inhabiting individual brand

advertising, many firms are putting more emphasis on corporate branding, unifying
their portfolio of brands through clearer linkages with the corporation, which clarifies
the those all the line brands adhere to. Through corporate identity program functional
aspects of individual brands in the firm’s portfolio can be augmented, enabling the
consumer to select brands through assessment of the values of competing firms. Firms
developed powerful corporate identity programmes by recognizing the need first to
identify their internal corporate values, from which flow employee attitudes and
specific types of staff behavior secondly, to devise integrated communication
programmes for different external audiences

Roles of Brand

1. As a Driver Brand:- A brand becomes a driver brand when it leads to the purchase
decision. Here the brand represents the package of benefits or a corporate brand or a
combination. In a computer industry, Intel can be a derived brand, rather than a
computer brand itself. In detergents, we have Surf Excel, and Excel becomes the
driver brand owing to the presence of enzymes it suggest which the consumer is
actually buying. In Bajaj Chetak, Bajaj is the driver brand as it is represents reliability
and performance.

2. As an Endorser Brand:- A brand plays the role of an endorser also. Here it

supports the driver brand and its claims. It thus lends credibility to the driver and
endorser brand. In several cases to begin with, corporate brand that supports a driver
brand, is usually used. Later, the corporate brand is withdrawn, when the driver brand
can stand-alone.

3. Strategic Role:- A brand can play a strategic role in the future performance of the
company. For HLL, brands such as LUX, LIFEBUOY, SURF play a strategic role.
Their brand equity would affect the future performance of the company. So the
company must identify what it’s strategic brands are and whether these brands are
handled with extreme care.

4. As a Sub-Brand:- A brand can play the role of a sub-brand reserved for a part of
the product line for e.g. , Vediocon Bazooka, where Bazooka is a sub-brand of
Vediocon. Bazooka distinguishes a T.V. from other T.V. sets in Vedio Range. In
 some cases like Arial Micro-shine, the sub-brand does not remain just descriptive, but
plays a driver role. A sub-brand that describes the driver brand does not dilute the
driver brand, or does not distract us from it. A sub-brand can specify segments. An
organisation can use common prefixes or suffixes to denote sub brand e.g. Philishave.

Criteria for Choosing Brand Elements

 Memorable – easily recognized & easily recalled

 Meaningful – descriptive and persuasive
 Likable – fun and interesting, rich visual and verbal imagery
 Transferable – within and across product category and across nations
 Adoptable – flexible and updatable
 Protectable – legally and competitively

For example, brand names can be made meaningful by using it in many different
forms. They are based on –

 Brand name based on people (e.g., Mercedes Benz)

 Brand name based on Animals or Birds (e.g., Air India, Times of India)
 Brand name based on Animals or Birds (e.g., Dove soap)
 Brand name based on Things or Objects (Shell Gasoline)
 Names with Inherent product meaning (e.g., Natural Ice cream)
 Names displaying Important features or attributes (e.g., Fair Glow soap, Fairever
cream)