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BRAND

MANAGEMENT
End Of Course Report
QUESTION 1
PICK A BRAND OUT OF THE BEST GLOBAL BRAND IN 2013 RANKED BY INTERBRAND

US Based Multinational
 Started as a Bookstore



Electronic commerce company Now selling everything

Headquartered in Seattle
 Revenue 74.45 Billion US $



World’s largest online retailer Net Income 274 Million US $ (2013)

1994 Founded in 1994



-
1995 Site online since 1995
Amazon, it’s also all these brands
Companies with Mother Brand Names
QUESTION 2
DEVELOPING A BRAND STRATEGY : HOW DID THEY POSITION BRAND (USING BRAND
POSITIONING MODEL)

How did they position brand


Aaker’s brand identity planning model

Brand as 
 Brand as 
 Brand as 
 Brand as 



Product Organization Person Symbol

• Wide Range • Innovative • Honest • Symbol for 



• Lowest Price • Customer
 • Reliable reliability

!
• High Service Friendly • Timely • Functional 

• Reliability • Global • Energetic appeal

!
• Value for 
 • Trustworthy • Friend • Modern/With

money less heritage
Brand Resonance

Brand Personality ‘Let’s charge customers less !’

Technological Image
Values
Next Generation Outlook

Reliability & Trust


Emotional
Secure transaction

Lowest Prices
Functional
Ease of Purchase and Delivery

Attributes Quality Products at Affordable Prices


DRAW THE BRAND RESONANCE MODEL AND FILL IN THE BRAND ASSOCIATIONS YOU DISCOVERED 

OR DISCOVERED IN THE APPROPRIATE BRAND BUILDING BLOCK.

Brand!
Personality

Value of user

Emotional Rewards

Functional Benefits

Attributes
QUESTION 3
DESIGNING AND IMPLEMENTING BRAND MARKETING PROGRAM (collect the
relevant information of the brand in the last 5 years in a chosen country to
accomplish this part)


• Collect information relevant to brand elements

• Collect information relevant to marketing programs during the


last 5 years.

• Collect information relevant to the secondary associations the


brand has used.
BRAND ELEMENTS

Memorability Meaningfulness Likability

Orange arrow High Quality Large range



(From A to Z) Customer Service of products
Amazon’s font Lowest Prices Safety &
Ease of 
 Performance
“amazon.com, 
 purchase 

and you’re done“ & delivery
Efficient Visual
Transferability Adaptability Protectability

Name related

to the world’s 
 Amazon is 
 The brand use
largest river adaptable 
 a copyright for
because they

Arrow link A to Z
 can sell 
 its logo, design
means that they
 everything & products
cover all products
COLLECT INFORMATION RELEVANT TO MARKETING PROGRAMS DURING THE LAST 5 YEARS.

Amazon has worked especially on :

Page 
 Breeze 
 Users Need 



Speed Searching Reviews

Personalized
 Recommend 

Shopping Experience Similar Products

To make a simple & efficient customer’s experience


Create a feeling of safety, reliability & trust
Last minute gifts
Efficient Mailing
99$

/Year

Sales for Amazon’s products (Kindle etc…)

FREE Two-Day shipping

Unlimited movies and TV shows with Prime Instant Video

Unlimited music streaming & photo storage

Access to 500,000 free ebooks


Amazon keep innovating in Marketing

https://www.youtube.com/watch?v=98BIu9dpwHU
COLLECT INFORMATION RELEVANT TO THE SECONDARY ASSOCIATIONS THE BRAND HAS USED.

With its name, Amazon.com is related to 



one of the largest river of the world

In reference of the large range 



of products that amazon sell
QUESTION 4
1. Measuring and Interpreting brand performance.

a. Measuring sources of brand equity: Capturing the customer mindset: What specific methods do you think the brand has used to capture the
customer mindset.

Capturing customer mindset


Brand Personality
SINCERITY

Down to 

Honest Cheerful Wholesome
earth
SOPHISTICATION

EXCITEMENT
Upper 

Charming
class
Daring Spirited Imaginative Up to date

RUGGEDNESS
COMPETENCE
Outdoor Tough

Reliable Intelligent Successful


AMAZON brand evaluation
More Convenient

Lower Price Higher Price

Less Convenient
Horizontal Attribute Vertical Attribute
Perceptual Map of
the Online  Retailer 

1 = Lower price 1 = Less convenient
Market in USA 5 = Equal mix of both 5 = Equal mix of both
9 = Higher price 9 = More convenient
Amazon 5 7
Walmart 3 2.5
eBay 4.5 5.5
Market performance
COMPUTATION OF AMAZON BRAND VALUE (BASED ON INTERBRAND METHODOLOGY)
(in Million of $)

  Actual data Projective data


 
% 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Total

FINANCIAL ANALYSIS    

Net income $ 902 $ 1,152 $ 631 $ 39 $ 274 $ 203 $ 151 $ 112 $ 83 $ 62  

Net Income growth rate -26%    

Cost of capital    

Total assets 13,813 18,797 25,278 32,555 40,159 52,439 68,475 89,414 116,756 152,458  

Total assets growth rate 31%                      

WACC (cost of capital) rate 10%    

WACC (cost of capital)   5,244 6,847 8,941 11,676 15,246  

Intangible earnings (IE)   (5,041) (6,696) (8,829) (11,592) (15,184)  

DEMAND (BRAND STRENGTH) ANALYSIS    

RBI (Brand Earnings) = % of IE 65%    

Brand Earnings   (3,276) (4,353) (5,739) (7,535) (9,870)  

COMPETITIVE BENCHMARKING    

Discount rate 17%   Year 1 Year 2 Year 3 Year 4 Year 5  

Discount factor   1.17 1.37 1.60 1.87 2.19  

BRAND VALUE CALCULATION    

Discounted Earnings (NPV)             $ (2,800) $ (3,180) $ (3,583) $ (4,021) $ (4,502) -$18,086

Terminal value  

Net discount rate 43%  

Terminal Value (10,528)

Total Brand Value (estimated) $ (28,614)

Total Brand value at 2014 (Interbrand)                       $ 29,478


QUESTION 5
GROWING AND SUSTAINING BRAND EQUITY. WHAT ARE THE BRAND LINE EXTENSIONS?

BRAND LINE EXTENSIONS ?!


Not only books anymore as in the beginning, also:
• Film, Music, Games
• Electronics
• Computers & Office
• Home, Garden, Pets
• Toys, Children & Baby
• Clothes, Shoes & Watches
• Hobbies, Sports & Leisure
• Grocery, Health & Beauty
• DIY, Tools & Car
WHAT ARE THE BRAND EXTENSIONS?

BRAND EXTENSIONS ?!
Instead of being just ‘the retailer where you could
buy cheap stuff’ they changed to be a lot more
digital instead of being just a shop.
!
• Instant video
• MP3 store
• Cloud Player
• Kindle
• Cloud Drive
• Appstore for Android
• Game & Software Downloads
• Audible Audiobooks
Thanks for Listening

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