PRODUCT

&
BRAND
MANAGEMENT

AUTHOR NAME

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EDITION 2021
 ACKNOWLEDGEMENT

I would like to express my special thanks of gratitude to my parents, who always

support me, encourage me to do something unique, or prove myself.

I am also thankful to my kind-hearted, caring, loving, guide or mentor; Ms. Pragya

Bhargav Ma’am, who always motivates me, advises me, always supports me to make
changes in myself.

I am also thankful to my friends, for their support.

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 TABLE OF CONTENTS

UNIT: I – PRODUCT OFFERING DECISIONS ................................................... 5

1.1MARKETING MIX – ...............................................................................................................6
1.2PRODUCT & ITS STARTEGIES – ...........................................................................................6
1.3LEVELS OF PRODUCT – .......................................................................................................7
1.4PRODUCT CHARACTERISTICS & CLASSIFICATION – ............................................................8
1.5PRODUCT V/S SERVICES – ............................................................................................... 10
1.6PRODUCT LIFE CYCLE – .................................................................................................... 10
1.7PRODUCT LIFE CYCLE STRATEGIES – ............................................................................... 11

UNIT : II - SETTING PRODUCT STRATEGY .................................................. 13

2.1 PRODUCT MIX & ITS DIMENSIONS – ................................................................................. 14
2.2 NEW PRODUCT DEVELOPMENT – ..................................................................................... 15
2.3 REASONS FOR NEW PRODUCT LAUNCH – ........................................................................ 16
2.4 ROLE OF PRODUCT MANAGER – ....................................................................................... 17
2.5 PACKAGING & LABELLING – ............................................................................................. 17
CHARACTERISES & IMPORTANCE – ................................................................................................ 17
2.6 CONSUMER ADOPTION PROCESS .................................................................................... 17

UNIT : III – BRAND MANAGEMENT .............................................................. 19

3.1 BRAND ............................................................................................................................. 20
3.2 BRAND V/S TRADEMARK – ............................................................................................... 20
3.3 ESSENTIALS OF BRAND NAME – ....................................................................................... 21
3.4 BRAND PROMOTION – ...................................................................................................... 21
3.5 IMPORTANCE OF BRAND PROMOTION – ........................................................................... 22
3.6 IMPORTANT TERMS USED IN BRANDS – ........................................................................... 22
3.7 TYPES OF BRANDS – ......................................................................................................... 23
3.8 BRAND BUILDING BLOCKS/BRAND RESONANCE MODEL/CUSTOMER BASED BRAND
EQUITY – ................................................................................................................................ 23
3.9 STRATEGIC MANAGEMENT PROCESS – ............................................................................ 27

UNIT - IV .................................................................................................... 30
IDENTIFYING AND ESTABLISHING BRAND POSITIONING AND VALUES .......... 30
4.1 BRAND POSITIONING – ..................................................................................................... 31
4.2 CHOOSING POINT OF PARITY & POINT OF DIFFERENCES ................................................. 31
4.3 POSITIONING STRATEGIES – ............................................................................................ 31
4.4 REPOSITIONING STRATEGIES – ........................................................................................ 32

UNIT - V ..................................................................................................... 33
MANAGING BRANDS .................................................................................... 33
5.1 BRAND PERSONALITY – .................................................................................................... 34
5.2 JENNIFER AAKER’S FIVE DIMENSIONS OF BRAND PERSONALITY – .................................. 35
5.3 IMPORTATNT TERMS –...................................................................................................... 35
5.4 KAPFERER’S BRAND IDENTITY PRISM – ............................................................................ 36

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UNIT - VI .................................................................................................... 38
UNDERSTANDING BRAND EQUITY ................................................................ 38
6.1BRAND EQUITY – ............................................................................................................... 39
6.2 SIGNIFICANCE OF BRAND EQUITY – ................................................................................. 39
6.3 MEASURING BRAND EQUITY – .......................................................................................... 40

UNIT - 7 ...................................................................................................... 41
BRANDING STRATEGY ................................................................................. 41
7.1 BRANDING STRATEGIES – ................................................................................................ 42
7.2 BRAND EXTENSION – ....................................................................................................... 42
7.3TYPES OF BRAND EXTENSION – ........................................................................................ 42
7.4 NEED OF BRAND EXTENSION – ........................................................................................ 43
7.5 ADVANTAGES OF BRAND EXTENSION – ........................................................................... 43
7.6 DISADVANTAGES OF BRAND EXTENSION – ...................................................................... 44
7.7 EVALUATING BRAND EXTENSION OPPORTUNITIES – ....................................................... 44
7.8 REINFORCING (MAINTAIN SAME POSITION) BRANDS ....................................................... 45
7.9 REVITALIZATION (RE-BIRTH) BRANDS – ........................................................................... 45

UNIT - 8 ...................................................................................................... 47
MANAGING BRANDS OVER GEOGRAPHIC BOUNDARIES AND MARKET SEGMENTS
.................................................................................................................. 47
8.1 GLOBAL MARKETING - ..................................................................................................... 48
8.2 STANDARDIZATION VERSUS CUSTOMIZATION - .............................................................. 48

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 UNIT: I – PRODUCT
OFFERING DECISIONS

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1.1 MARKETING MIX – • This concept was developed by E. Jerome
McCarthy
• It is a set of marketing tools that a firm uses to achieve its marketing
objectives.

Products

Physical
Price
evidence

Target
Market
Process
(7 P's) Place

People Promotion

1.2 PRODUCT & ITS STRATEGIES –

• A product is an object or system made available for consumer use; it is
anything that can be offered to a market to satisfy the desire or need of a
customer.
• It is a bundle of utilities consisting of various product features and
accompanying services.

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 Brand
name &
logo
After sale
Appearance
services

Consumer
durables Accessories
(warranty)
Product
strategy

Customer
Price
satisfaction

Good
Quality
packaging

1.3 LEVELS OF PRODUCT –

• Develop by Philip Kotler (Father of Marketing) in 1960.
• Core product – those products which satisfy the basic needs of customers.
E.g. Hotel to rest,
Potential
cell phone for a product
call.
Augmented
• Generic product product

– those products
Expected
which add some product

features with Generic

basic products. product

E.g. - Bed with

napkins,
Core
product

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 wardrobe, etc, cell phone with MP3 player.
• Expected product – those products which the customer expects i.e. yeah tho
hona hi chaiye. E.g. - Wi-fi, hygiene, newspaper; cell phone with durability &
easy to handle.
• Augmented product – those products which include some unique features
which differ from competitors. E.g. - Hotel provides ayurvedic therapy, a cell
phone with a camera, and an MP3 player.
• Potential product – those products which are transformed and made in the
future. E.g. - Gift for future retention, cell phone with added security like
fingerprint scanner; face recognition, etc.

1.4 PRODUCT CHARACTERISTICS & CLASSIFICATION –

CHARACTERISTICS OF PRODUCTS: -

Perishable & Physical look

Tangible non- (i.e. size, Prices Quality
perishable colour, shape)

Ability to
Sustainability Add value Warranty Packaging
satisfy needs

CLASSIFICATION OF PRODUCTS: –

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 Convenience (soap,
toothpaste, detergents, food
items like rice, wheat flour,
salt, sugar, milk)

Shopping (television, air

conditioners, cars, furniture,
hotel and airline services,
tourism services)
Consumer

Speciality (prestige goods like

gold, silver etc)

Types
Unsought (not need to
purchase but buy sometimes
like fire extinguishers)

Machinery, equipment,
Industrial
lubricants

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1.5 PRODUCT V/S SERVICES –
S. no. Basis Product Services
1 Meaning An article or substance The action of helping
that is manufactured or or doing work for
refined for sale someone
2 Tangible or intangible Tangible Intangible
3 Durability Perishable Non-perishable
4 Quantity Measurable Non-measurable
5 Inseparability Change of owner Not separate
6 Need v/s relationship Need-based Relationship-based
7 Return or replace Both Not possible
8 Same or different May be identical Not always same
9 Shelf Long life Short life
10 Example Electronic devices, cars, Cleaning the car,
food, etc. repairs, medical
check-ups, etc.

1.6 PRODUCT LIFE CYCLE –

• It shows the life span of a
product.
• From its birth to death.
• Different products have a
different life span.

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 Introduction (Birth)

researching, developing and then launching Low sale, High cost, new product, no profit,
the product few competitors, demand created etc.

Growth (adolescence)

Increase sales, decline cost, increase

when sales are increasing at the fastest rate
competition, profit rises etc.

Maturity (youth)

sales are near their highest, but the rate of

Peak sale, low cost, huge profit but at
growth is slowing down, e.g., new competitors
decreasing rate, stable competitors
in market or saturation

Decline (Death)

final stage of the cycle, when sales begin to

Fall sales, low cost, profit fall, competition fall
fall

1.7 PRODUCT LIFE CYCLE STRATEGIES –

I. INTRODUCTION PHASE STRATEGIES –

Rapid skimming Slow skimming

High promotion & high (Low promotion & high
price price)
E.g. – Apple E.g. - Mercedes

Rapid penetration Slow penetration

(High promotion & low
price) (low promotion & low
price)
E.g. – SUV Urban-
cruiser E.g. – Maruti

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II. GROWTH PHASE STRATEGIES –

Shifting marketing
Increase
Capture new msg. form
Improve quality Add new features distribution
market awareness to
channel
product preference

III. MATURITY PHASE STRATEGIES –

Market modification

• Enter new market segment, redefining target market, winning over competitor's
customers, converting non-users

Product modification

• adjusting or improving your product's features, quality, pricing and

differentiating it from other products in the marking

IV. DECLINE PHASE STRATEGIES –

Reduce promotion expenditures

Reduce no. of distributors

Reduce price

Harvest product

Sell brand to another business

Improve or add feature to retain the product

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 UNIT: II - SETTING
PRODUCT STRATEGY

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2.1 PRODUCT MIX & ITS DIMENSIONS –

• Also known as a product assortment

• It refers to the total number of product lines a company offers to its
customers.
• E.g. – ITC deals in hotels, food, lifestyle, stationery, IT, paperboards,
agribusiness, etc.

DIMENSIONS –

Width

• No. of different product lines

• E.g. – soft drinks, juices

Length

• Total no. of products in the mix

• E.g. - 50

Depth

• Total no. of product in a single product line

• E.g. – Colgate in different variants like salt, plain Colgate, Colgate
advance etc

Consistency

• How closely the product are linked to each other i.e. relationship b/w
product line
• More consistency – less variation & vice versa

FOR E.G. – PRODUCT MIX OF HUL

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 Depth –
•A – 8
•B – 3
•C – 3
Consistency
Width – 8 Length – 23 •D – 2
•E – 2 – More
•F – 2
•G – 2
•H -1

2.2 NEW PRODUCT DEVELOPMENT –

• It covers the complete process of bringing a new product to market.

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 Idea generation {generate
different ideas using
Idea screening {evaluate
internal (R&D, employees
the ideas & eliminate the
suggestion) & external
bad ideas and select the
sources(distributors
good ones}
suppliers, competitors,
consumers etc.)}

Concept development & Marketing strategy

testing {detailing the idea development {product
and take feedbacks from positioning, market profit,
customer before finalising target market, promotion
the product} tools etc.}

Product development
Business analysis {check
{actual action stage i.e.
that the new product is
produce & distribute the
profitable or not}
product}

Test marketing {introduce Commercialization

the product in small {launch the product, if
market} testing passes}

2.3 REASONS FOR NEW PRODUCT LAUNCH –

Improvement
Technology New to the New product Cost
of existing Repositioning
upgradation world product line reduction
product
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2.4 ROLE OF PRODUCT MANAGER –

Domain expertise (work area knowledge)

Business expertise (whole business knowledge)

Leadership skills (lead everybody)

Communication skills (effective in talking to someone)

Operational skills (technical & subject related knowledge)

Ideation (creator, innovator)

R&D skills (find out solution of problems through research)

Analytical skills (analyse things)

2.5 PACKAGING & LABELING –

▪ Packaging – means the wrapping or bottling of products to make them safe
from damages during transportation and storage.
▪ Labeling – defined as the process of attaching a descriptive word or phrase to
someone or something.

Characterises & Importance –

Physical Information
Convenience Marketing Security
protection transmission

2.6 CONSUMER ADOPTION PROCESS

• Also known as INNOVATION ADOPTION
MODEL.

• Developed by Rogers in 1995.

• It includes 5 stages –

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• Awareness - consumer becomes aware of a brand or a product.
• Interest – generate interest & consumers now engage in gathering
more information about it.
• Evaluation – based on gathered information, consumers evaluate
the product in the context of his/her interest.
• Trial – try the product (most common in apparel).
• Adoption – adopt, make purchase decision & finally purchase the
product.

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UNIT: III – BRAND
MANAGEMENT

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3.1 BRAND ➢ A brand is a name given to a product and/or service such that it
takes on an identity by itself.
➢ A brand is a name, term, design, symbol, or any other feature that identifies
one seller's good or service as distinct from those of other sellers.
➢ A brand name may include words, phrases, signs, symbols, designs, or any
combination of these elements.
➢ For consumers, a brand name is a "memory heuristic": a convenient way to
remember preferred product choices.

3.2 BRAND V/S TRADEMARK –

S.no. Basis Brand Trademark

1 Meaning It refers to is a name that It refers to a registered trade
relates to products and or brand name, logo, color,
services offered by a sound, or slogan that
company that evokes identifies a company to its
positive images and services or products.
emotions to the
consumer.
2 Legal protection No Yes
3 Scope Narrow Wide
4 Associated with culture, personality, packaging, symbol, and
vision, and reputation color scheme
5 Length of use Not specified 10 years
6 Limitation Only protected up to the Trademark is not only
state level protected up to the state
level. It protects your
product/brand identity by
establishing that the mark
is not being used before.
7 Legal difference Not a legal name Known as legal name or
legal mark

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 3.3 ESSENTIALS OF BRAND NAME –

Suggest or tell
Simple, short & easy to something about the Be attractive & unique
remember i.e. Dabur, product i.e. Parle G i.e. Bata, Nestle, Stable & unaffected by
Haldiram, Lux, Dove Biscuits, Kelvinator Bombay dying, Monte time
etc. Refrigerator, Dabur oil carlo etc.
etc.

Not be used as a
Give appropriate value general name i.e.
Consistent (uniform) Legally protected
to customers Maggie, dalda, colgate
etc.

Not easily copied by

Properly positioned Easy to promote Distinctive & difficult
anyone

3.4 BRAND PROMOTION –

• It is the marketing communication strategy to inform, persuade, convince,
and influence the decision-making process of buyers when they choose a
particular brand.

Promote Building a Distinguish

Increase Stabilise Build Create
the product brand with
demand sales image awareness
info. equity competitors

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3.5 IMPORTANCE OF BRAND PROMOTION –

Manufacturer Consumer Society

Promotion of product Awareness Employment generation

Increase sales volume

Educate
Mass production which
Earn huge profits turn lower the cost
Save time & efforts
Create brand image Improve standard of
Aware from fraud & living
Increase market share false brand

Distinguish with Quality product Economic development

competitors

3.6 IMPORTANT TERMS USED IN BRANDS –

I. Brand equity
• It refers to the value added to the same product under a particular brand
• E.g. - Maggi: Though there was a long ban over the flagship noodle product
of Maggi in India, the product had huge demand even after its re-launching
in the market.
• Brand equity refers to a value premium that a company generates from a
product with a recognizable name when compared to a generic equivalent.
• The commercial value derives from consumer perception of the brand
name of a particular product or service, rather than from the product or
service itself.

II. Brand loyalty

• Brand loyalty is the tendency of consumers to continuously purchase

one brand's products over another.

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 • Brand loyalty is the positive feelings towards a brand and dedication
to purchase the same product or service repeatedly, regardless of a
competitor's actions or changes in the environment.

3.7 TYPES OF BRANDS –

Ownership basis

• Manufacturer {own name} e.g. – Godrej, Tata, Birla etc.

• Middleman {distributors, wholesalers, retailers name} e.g. - Bajaj

Area/Market basis

• Local {for local market}

e.g. – boutiques, restaurants, hotels, schools etc.
• Regional {manufacturer uses his brand name only in a particular region even diff.
name for diff. region}
e.g. – Pashmina shawl
• National {single brand throughout the country} e.g. – Maruti, Byjus etc.
• Geographical/international {{single brand throughout the world} e.g. – apple,
coco-cola, Hyundai etc.

No. of product basis

• Individual {different brand uses by single manufacturer} e.g. – P&G, Maruti –

Baleno, Alto, Desire etc.
• Family {use single brand for all products} e.g. – Amul, Bajaj

Uses basis

• Fighting {tough competition in the market and producer wants to introduce a new
product which has quite different characteristics from the competitors} e.g. – HUL
ltd. Launched wheel brand detergent, Jio phones etc.
• Competitive {product launch in the market which is similar to competitors} e.g.
one plus, Redmi etc.

3.8 BRAND-BUILDING BLOCKS/BRAND RESONANCE

MODEL/CUSTOMER-BASED BRAND EQUITY –

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 • Brand resonance refers to the relationship of the customer with the product.
• Given by Kevin Lane Kellar

Explain the four steps which include six blocks –

1. Brand identification - Who Are You?

Create awareness of the brand among customers so that they recognize it & also
create a good perception of the brand. For this, a company needs to do market
research.

2. Brand meaning - What Are You?

Communicate your brand meaning i.e. develop brand personality in front of

customers that they remember it.

3. Brand response - What Do I Think, or Feel, About You?

In this step, we came to know that what the customer feels & judges about
the brand.

4. Brand Resonance – How Much of a Connection Would I Like to Have with

You?

In this step, we saw that how much a customer is connected with your brand.

It shows the relationship of customers with a particular brand. It shows loyalty.

It includes six building blocks –

a. Salience

b. Performance

c. Imagery

d. Judgment

e. Feeling

f. Resonance

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❑ Brand salience –

• how well the customer is informed about the brand.

❑ Brand performance –

• How well the functional needs of customers are met.

❑ Brand imagery –

• Image of a brand in customer’s mind.

❑ Brand judgment –

• What customers decide for a brand.

❑ Brand feeling –

• What customer feels for the brand or how the customer is emotionally
attached to the brand.

❑ Brand resonance –

• Customer relationship with a brand.

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FOR E.G. OF MERCEDES BENZ –

1. Salience: who are you, Mercedes-Benz?

Mercedes-Benz is a premium luxury car manufacturer established in

1902. Its three-pointed star is recognizable anywhere. Is part of the “German
Big 3” along with Audi and BMW, the best-selling car manufacturer in the
world.

2. Performance/Imagery: what are you, Mercedes-Benz?

Performance: Mercedes-Benz cars are renowned for their safety. Indeed, the
German automaker innovated with crumple zone and was one of the first to
introduce the airbag and ABS systems. Able to create the most powerful
engines thanks to its high-performance division AMG (cf. CLA 45 AMG model).
Cars are renowned for their comfortable and refined leather trims (cf. M-Class,
C-Class, etc.)

Imagery: Mercedes-Benz is known as a “masculine brand”, notably through

the design of its cars (horizontal lines), and don’t hesitate to communicate
about its Elegance and excellence are also cultivated.

3. Judgments/Feelings: what do the customer think or feel about Mercedes-

Benz?

Considering their features and history, Mercedes-Benz cars are judged

prestigious and high quality. Imagery and all steps below arouse feelings
such as a sense of achievement, confidence, or success.

4. Brand resonance: what about Mercedes-Benz and the customer?

Even if they are not purchasing a car, many people are attached to Mercedes-
Benz through social media (17m likes on Facebook), clubs (Club Mercedes-
Benz de France), and websites.

{Reference from https://bmvsmb.wordpress.com/2014/12/02/mercedes-benz-

kellers-brand-resonance-pyramid/}

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3.9 STRATEGIC MANAGEMENT PROCESS –

The strategic brand management process involves the design and

implementation of marketing programs and activities to build, measure, and
message brand equity.

➢ Identify & establish brand positioning & values –

• Brand positioning - an act of designing the company’s offer and image so

that it occupies a distinct and valued place in the target consumer’s mind.

Key concepts –

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• Point of parity – similarities with competitors

• Point of difference – different with competitors

• Mental maps – perception of customers for product

• Core brand association – is a mental connection between a brand and a

concept. E.g. - “athletics” for Nike, ZARA is fashionable

• Brand mantra – is a short statement that expresses the core of what that
brand represents or the image it seeks to project. E.g. – Mc D – Food, Folks &
Fun.

➢ Plan and Implement Brand Marketing Programs - Once the positioning

strategy is set, the next step involves the brand manager plan and implement
strategies to position the brand as planned.

Key concepts –

Mixing & matching of brand elements – includes logos, symbols, URL, image,
packaging, slogans, taglines, etc.

Integrating brand marketing activities – integrate all brand marketing efforts

to create its brand image.

Leveraging Secondary Associations - Brands may be linked to certain source

factors such as countries, characters, sporting or cultural events, etc. E.g. –
Paytm Link with IPL.

➢ Measure and Interpret Brand Performance – To manage a brand profitably,

managers must implement a brand equity measurement system.

Key concepts –

Brand audit – it is the auditing of brands to check that it is performing well

in market or not.

Brand Value chain – it traces the value creation process of a brand.

Brand tracking – collect info. from customers i.e. feedback of brand.

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 Brand equity measurement system - This is a set of tools and procedures
using which marketers can take a tactical decision in the short and long run.

➢ Growing and Sustaining Brand Equity – Now marketer focuses on growing

& sustaining the brand equity.

➢ Brand equity refers to the importance of a brand in the customer's eyes.

Key concepts –

Brand product matrix – it is a graphical representation that shows which

brands have a high extension and which have a low extension.

Brand Hierarchy - it means brand with different variants.

Brand portfolio – it shows the depth of a single brand.

Managing screen equity – maintain the brand equity & cope up with the
business external environment.

Brand expansion - expand the brand.

Brand reinforcement & revitalization: Reinforcement – innovation in product

design & brand repositioning. Revitalization – loss of sources of brand equity
are recaptured or a new source of B.E. are identified and established.

E.g. of Reinforcement - Maggi: India’s highest-selling 2-minute noodle brand

from the house of Nestle ruling the country for decades expanded to ketchup
spices, masala, and even ready to eat food.

E.g. of revitalizing – New Alto 800, New WagonR

Brand equity over geographical boundaries, market segmentation & culture –

brand launch in the international market.

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 UNIT - IV
IDENTIFYING AND
ESTABLISHING BRAND
POSITIONING AND
VALUES

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4.1 BRAND POSITIONING –

It is an act of designing the company’s offer and image so that it occupies a

distinct and valued place in the target consumer’s mind.

4.2 CHOOSING POINT OF PARITY & POINT OF DIFFERENCES

❑ Point of Parity – are those associations that are not necessarily unique to
the brand but may be shared with other brands.

❑ Point of difference - are attributes or benefits that customers strongly

associate with a brand, positive evaluation, and believe that they could not
find to the same extent with a competitive brand.

Desirability criteria (consumer

Deliverability criteria (firm perspective)
perspective)
Feasibility
Relevance
Communicability
Distinctive
Sustainability
Believability

4.3 POSITIONING STRATEGIES –

Positioning Strategies

Product Price or Use or Product Target Competitors

User
attribute quality application class Market based

Related to
the product Positioned Based on
Way to
features, Positioned by user of
reflect the Positioned
attributes the product Positioned competitors product.
high-quality the product
etc. by its uses. by target position. E.g. –
product. by its class.
E.g. – Surf market. E.g. E.g. – Business
E.g. – E.g. – Parle E.g. -
excel – Surf - Nestle pepsodent Today –
Saffola – No Bisleri – Mercedes
excel haina in fighting business
cholesterol Bada Bisleri
germs magazine
oil

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4.4 REPOSITIONING STRATEGIES –
When the company wants to recreate brand status in the marketplace.
Changing market perceptions of offerings.

PRODUCT

Same Different

TARGET
MARKET Image repositioning Product positioning
When same product When the different
launched in same product launched same
market target market
e.g. - Dettol e.g. – Maruti Alto 800
Same

Tangible repositioning
Intangible
When a new product is
Repositioning
launched in different
When same product target market segment
launch in different
Different target market segment
e.g. - lifebuoy
e.g. – Dairy milk

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 UNIT - V
MANAGING BRANDS

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5.1 BRAND PERSONALITY –

• It refers to a set of human characteristics associated with a brand

• It provides an emotional identity for a brand and encourages consumers to
respond with feelings and emotions towards the brand.
• E.g. – limca representing freshness, 2-minute wali Maggi.

{Reference from https://medium.com/ebaqdesign/brand-personality-traits-of-top-

brands-19c58890770f}

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5.2 JENNIFER AAKER’S FIVE DIMENSIONS OF BRAND
PERSONALITY –

Apple,
Mercedes,
BMW,
Nescafe,
Microsoft, American
Volvo, express
Chase, Levis, land rover, Jack
Hallmark, Coco- Nike, MTV, UPS Daniels, LL. Bean
cola, Pampers, Axe
Campbell’s soup
{Reference from https://www.van-haaften.nl/branding/corporate-branding/116-
brand-personality}

5.3 IMPORTANT TERMS –

• Brand awareness is the level of recognition and association by a potential

customer towards your products and services.

For example, if you need a cold drink, the chances are that you will think
of Pepsi or Coke.

• Brand Loyalty is the tendency of consumers to continuously purchase one

brand's products over another. Cashback makes a customer loyal towards
Flipkart, amazon, mobile payment apps, etc.

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 • Brand identity is the visible elements of a brand, such as color, design,
and logo that identify and distinguish the brand in consumer’s minds.
• Sources of Brand identity – product, name, corporate graphics, symbols,
logos, personage (person), geographical & historical roots, publicity &
advertising.
• Brand image is the current view/perception of customers about a
brand. BMW as a car is associated with luxury, power, and status symbol.

5.4 KAPFERER’S BRAND IDENTITY PRISM –

PICTURE OF SENDER
PHYSIQUE
PERSONALITY
Physical characteristics like
Traits, manner
logo, design, style
CULTURE
RELATIONSHIP BRAND
IDENTITY Brand based on
Relationship b/w PRISM
INTERNALI-
EXTERNALI- Value system
ZATION customer & brand ZATION
& principles
SELF-IMAGE
REFLECTION
How customer see
Characteristics of customers
himself/herself with the brand
PICTURE OF RECEIVER

• Developed by Jean-Noël Kapferer in 1996

• Is a concept for describing a brand's identity through its characteristics
a. Physique – refers to physical characteristics of a brand.
b. Personality - traits of the brand in the eyes of the consumer.
c. Culture - is the set of values that feed into or set a foundation for the brand.
d. Self-image - how customers see themselves in a particular brand
e. Reflection - is a set of stereotypical beliefs or attributes of a brand’s target
market.

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 Self-image refers to the customers’ ideas of themselves, whereas Reflection
refers to how a brand portrays its target audience
f. Relationship – relationship b/w consumer & brand.

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 UNIT - VI
UNDERSTANDING BRAND
EQUITY

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6.1 BRAND EQUITY –

• Refers to the value of a brand in the customer’s eyes.

• Facebook Many other social networking websites came and gone; however,
Facebook is quite consistent. Facebook has managed to attain brand loyal
customers that most of its users do not even look at other social media
platforms.
• Maggi - Though there was a long ban over the flagship noodle product of
Maggi in India, the product had huge demand even after its re-launching in
the market.

6.2 SIGNIFICANCE OF BRAND EQUITY –

Large
Greater Increase Large Raise
Raise sales market Competitive
loyalty profit margins goodwill
share

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6.3 MEASURING BRAND EQUITY –

Customer based
Cost based method Price based method
method

Historical cost how Price premium

much spent on brand method
till the date
A comparison made of
the retail price of a
‘branded’ product with
Replacement cost Brand image
that of unbranded
method
How much spent to product in the same
recreate brand category. Based on
image of
In case of Colgate, we
brand in
have “Colgate Dental
customer’s
Cream” which is largely
Discounted cash mind
used and lowly priced
flow method as against “Colgate
to estimate the value Total” which is very
of an brand equity costly.
based on company’s
expected future cash
flows
Market share
Brand contribution equalisation method
method Based on market
to identify the ‘Brand’ share of each brand
Brand
contribution to the Awareness
product Price premium at Based on
indifference awareness
This is the method recognition
Inter-brand method that attempts to of brand
It is an attempt to compare the free
arrive at the value at prices of brands at
which a brand can be the point of
sold by our company indifference
to another

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 UNIT - 7
BRANDING STRATEGY

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7.1 BRANDING STRATEGIES –

• It is a long-term plan for the development of a successful brand to achieve

specific goals.

Multi-branding strategy
(marketing of two or more
brands belongs to same Fighting brand (to Private branding
category) challenge competitors) (controlled & marketed by
e.g. – Nirma v/s wheel retailers)
e.g. – HUL – soap,
shampoo, facial etc.

Iconic branding (having

Attitude branding (shows
Mixed branding features that contributes
the feeling towards
to customer’s self-
(group of a brand line) brand)
expression & personal
e.g. – surf excel e.g. – Starbucks, apple, identity)
Nike etc.
e.g. – Harley davidson

7.2 BRAND EXTENSION –

• It is when a company uses one of its established brand names on a new

product or new product category.
• Also known as brand stretching
• When a new brand is combined with an existing brand, the brand extension
is called a sub-brand.
• An existing brand that gives rise to a brand extension is called a parent
brand.
• In a scenario, when the parent brand is already linked with many products
through many brand extensions, then it is called a family brand.

7.3 TYPES OF BRAND EXTENSION –

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 Types of brand extension

Extension of
company
Line Extension of expertise
extension Product customer (Based on the
Extension of
extension franchise expertise of
(When the brand
(When the the company,
same brand is (Based on the distinction
company the company
used to customer (uniqueness &
launches an launches
launch a group, the special
entirely new product
product in a product range features)
product) category that
different way) is extended) makes use of
the same
name)

Colgate Johnson and

Company Johnson’s
Amul Samsung Dhatri oil has
which first company
launched launches been imbibed
used to make mainly
condensed many in customers
paste later focuses on
milk which is products likes for its herbal
started products that
an extension washing nature that
launching are specific to
of milk; diet machine, reduces hair
many babies like
coke, hair mobiles, fall and
products baby
conditioners refrigerator improves hair
related to oral shampoo,
etc. etc. growth
care, personal powder, soap,
care etc. . wipes etc.

7.4 NEED FOR BRAND EXTENSION –

To build To create Due to

To increase To raise
strong customer competition
sales profit
brand image loyalty raises

7.5 ADVANTAGES OF BRAND EXTENSION –

Raise Raise
Increase Cost Saves times Increase
customer promotional
brand image reduces & efforts profitability
loyalty strategies

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7.6 DISADVANTAGES OF BRAND EXTENSION –

Can confuse & frustrate Can Fail or hurt parent

Brand dilution Risk to brand integrity
consumers brand image

Cannibalization - the
reduction of the sales of a
company's own products
Opportunity cost
as a consequence of its
introduction of another
similar product

7.7 EVALUATING BRAND EXTENSION OPPORTUNITIES –

Define actual & desired consumer knowledge about the brand (create mental maps and identify
key sources of equity)

Identify possible extension candidates (parent brand associations and overall similarity or fit of
extension to the parent brand)

Evaluate the potential of the extension candidate (In forecasting the success of the proposed
brand extension, it is necessary to assess – through judgment and research – the likely hood that
the extension would realize the advantages and avoid the disadvantages of brand extension)

Design marketing programs to launch extension (involves choosing brand elements; designing
the optimal marketing program to launch the extension; and leveraging secondary associations)

Evaluate extension success and effect on parent brand equity (assess the extent to which an
extension is able to achieve its own equity and contribute to the equity of the parent brand)

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7.8 REINFORCING (MAINTAIN THE SAME POSITION) BRANDS -

• Brand Reinforcement majorly focuses on maintaining Brand Equity by

keeping the brand alive among both the existing and new customers. This
can be done through consistently conveying the meaning of brand in terms
of:
o What are the products under the brand? What are its core benefits and
how it satisfies the demand?
o How is the brand different from other brands? How it enables a
customer to make a strong, unique, and favorable association in their
minds?
• Brand reinforcement includes regular monitoring of a product at all the levels
of the product life cycle ( viz. Introduction, Growth, Maturity, and Decline
Stage) to keep a check on the changes in the tastes and preferences of
customers.
• The marketers adopt this strategy to remind customers about the brand and
its long-lasting benefits.
• To keep the brand in the minds of the customer, several innovations,
researches, and creative marketing programs are made in line with the
changing marketing trends.

7.9 REVITALIZATION (RE-BIRTH) BRANDS –

• Brand Revitalization is the marketing strategy adopted when the product

reaches the maturity stage of a product life cycle, and profits have fallen
drastically. It is an attempt to bring the product back into the market and
secure the sources of equity i.e. customers.
• Example: Mountain Dew, A Pepsi product, was launched in 1969 with
the tagline “Yahoo Mountain Dew” that flourished in the market till
1990. After that the sales of mountain dew declined due to which it was

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 re-positioned, its packaging was changed, and the tagline was changed
to “Do the Dew”. It targeted the young males showing their audacity in
performing adventurous sports. This led Mountain Dew to the fifth position
in the beverage industry.
• Despite a good reinforcement strategy, a product has to be revitalized
because of some uncontrollable factors such as competition, the invention
of new technology, change in tastes and preferences of customers, mergers
& acquisitions, globalization, legal requirements, etc.

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 UNIT - 8
MANAGING BRANDS OVER
GEOGRAPHIC
BOUNDARIES AND
MARKET SEGMENTS

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8.1 GLOBAL MARKETING -

• It is a marketing activity done at a global level.

8.1.1 ADVANTAGES OF GLOBAL MARKETING –

Less time
Get global
Global reach Lower the cost consuming due
feedback
to digitalization

Growth &
Economies of Competitive
expansion
scale advantage
opportunities

8.1.2. DISADVANTAGES OF GLOBAL MARKETING –

Higher marketing cost

Cultural barriers

Language barriers

Government restrictions

Consumers perception

High competition

War situations

Inefficient R&D

8.2 STANDARDIZATION VERSUS CUSTOMIZATION -

• STANDARDIZATION –

“one size fits all”

the process of creating standards to guide the creation of a good or service

based on the consensus of all the relevant parties in the industry.

PROS – economies of scale, reduce cost, improve quality, easy to set up.

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 CONS – No uniqueness, neglect of local needs, less growth, etc.

• CUSTOMIZATION –

the process of delivering market goods and services that are modified to satisfy
a specific customer's needs.

PROS – focus on local needs, high level of satisfaction, increase sales, large
market share.

CONS – costly, tricky to implement new things, difficult to manage customer's

expectations.

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