BRAND BUILDING COMPILED

NOTES
DEFINITION OF BRAND

a brand is a name term sign symbol or design or a combination of these intended to identify the
goods or services of one seller or group of sellers and to differentiate them from competitors.

IMPORTANCE OF BRANDING

1. Builds identity
2. Creates personality
3. Provides recall value
4. Reduces risks
5. Growth
6. Barriers for competitors
7. Increases revenue
8. Scope for preference/choice

LIMITATIONS OF BRANDING

1. Expensive process
2. Consumers need to pay premium prices
3. Consumers trust brands blindly
4. Difficult to modify brand once established
5. Difficult to make a brand global
6. High consumer expectations
7. Time consuming process
8. High percentage rate of failures

DIFFERENCE BETWEEN BRAND AND PRODUCT

Product
1. Turn used to describe all goods services
and knowledge sold
2. products are bundles of attributes i.e.,
features and uses
3. Product refers to the commodity
4. a product can get outdated quickly
5. a product may be available to the consumer
with nothing undistinguishable i.e., it may not
have anything different from the others in the
Brand
a term, sign, symbol, all design, or combination
of them intended to identify the products or
services of one’s business or group of
businesses and differentiate them from those
of competitors
Brands are bundles of functional benefits,
emotional benefits, and self-expressive benefits
brand refers to the mind set
a brand if properly managed can be timeless
a brand makes the product seem distinct from
the others in the same category
 same category
6. Product the physiological response may be
important
7. a product may be tangible or intangible
8. a product can be copied by the competitors
for brand both a physiological and
psychological response are important
a brand is intangible in nature
a brand is unique

PROCESS OF BRANDING

1. Strategic brand audit

2. Key message statements
3. Creating a visual identity
4. Developing your marketing communication plan
5. Putting the plan into action
6. Maintenance and refinement

GUIDELINES FOR BUILDING A STRONG BRAND

 brand identity
 Value proposition
 Brand position
 Execution
 Consistency overtime
 Brand system
 Brand leverage
 Tracking brand equity
 Brand responsibility
 Invest in brands

LEVELS OF BRAND IDENTITY

A. Core identity (inner core)

a brands core identity indicates the reason why the brand has been brought into existence. It states
what the brand stands for. It portrays the essence of the brand.

Examples of the core identity off certain brands -

1. Life boy soap- washes off germs

2. Dettol- antiseptic, protection
3. Johnson and Johnson - trust and quality a baby need

The inner core of brand identity is about the spiritual centre. It is qualitative and philosophical
B. Extended identity (outer core)

the outer core of the brand completes the picture and provides meaning it suggests what the brand
stands for tangibly in an easy to grasp manner. An outer core incorporates -

1. Product scope (what all products could be offered)

2. Operations

3. Personality

4. Logo

5. Character (brand ambassador/mascot)

6. Sub- brands

7. Packaging

Example:

McDonald's restaurant the following make up the outer core

1. Product scope - what all products are offered by them

2. Operations -service efficiency

3. Personality - family oriented middle class

4. Logo - alphabet ‘m’

5. character - Ronald McDonald

6. Sub brands - happy meal, pizza Mac puff

VALUE PROPOSITION:

A statement that clearly identifies what benefits a customer will receive by purchasing a particular
product or service from a particular vendor.

BRAND POSITIONING

The brands positioning is the place in the consumers mind that you want your brand to own.

Brand positioning based on size:

Based on shape:
IMPORTANCE OF BRAND POSITIONING

1. To make entire organization market oriented

2. To cope up with market changes
3. To meet expectation of buyers
4. To promote consumer goodwill and loyalty
5. To design promotional strategy
6. To win attention and interest of consumers
7. To attract different types of consumers
8. To face competition
9. To introduce new product successfully
10. To communicate new and varied feature added later

COMPONENTS OF A BRAND POSITION

 Product class
 Customer segmentation
 Perceptual mapping
 Brand benefits and attributes

DIFFERENCE BETWEEN BRAND ATTRIBUTE AND BRAND BENEFIT

Attribute:

1. Reside in the product

2. Maybe concrete or abstract
3. Refers to the features, uses feature means to the customers
4. Characteristics by which products are identified and differentiated

Brand:

1. Reside in the customer

2. Are always abstract
3. Refers to what the functions
4. Product attribute expressed in terms of what the user gets from the product
BRAND PERSONALITY

Refers to the set of human characteristics associated with the brand it provides an emotional
identity for a brand and encourages consumers to respond with feeling and emotions towards the
brand. for example, lima representing freshness, Nike as the athlete in all of us.

ROLE OF BRAND PERSONALITY IN MAKING THE BRAND STRONG:

1.By differentiating your brand from competition

Example – health drink for children

Bourn Vita – success

Complan – sincere

Horlicks – growth

7. By building on good traits about your brand

example –

Tressemme Shampoo – recommended by hair experts

Colgate toothpaste – no. 1 brand prescribed by dentists worldwide

8. By creating emotional attachment with your brand

Example –

Forever 21 – trendy, cool

Zara – Stylish, status

9. By establishing sustained relationships with your brand

Example –

Life insurance cooperation of India – serves generation

Reliance mutual fund – stay invested

10. By communicating the brand message

Example –

Cadbury gems – unveil the child in you

Fogg perfume – no gas only fragrance

11. By setting the tone for your brand

Example –

Cadbury Bournville – exclusive (you have got it earn it)

BAND LEVERAGE

A brand’s leveraging strategy us the power of an existing brand name to support a company’s
entry into a new, but related, product category. E.g., The manufacturers of Mr. Coffee makers
used its brand name to strength to launch Mr. Coffee band coffee.

ADVANTAGES OF LEVERAGING FOR THE SUB BRAND

1. Introducing from a position of strength

2. Minimising introduction expenses
3. Quality association
4. Encouragin1g trial purchase
5. Satisfying variety seeking behaviour
6. Increasing advertising efficiencies
7. Increasing market coverage
8. Permitting subsequent extensions
LINE EXTENSION

A product line extension is the use of an established products brand name for a new item in the
same product category.

LINE EXTENSIONS CAN BE DONE IN THE FOLLOWING WAYS:

1. New flavours: e.g., Rasna – orange, Mango, Pineapple etc

2. Forms: e.g., Vim – Bar, Liquid, Powder etc
3. Colours: E.g., Sunsilk- Black, Pink, Yellow etc
4. Ingredients: e.g., Colgate toothpaste – salt, neem, charcoal
5. Packaging – e.g., Frooti – tetra pack or bottle etc

Line extension can also be extended by adding more functional benefits. E.g., Power saving
refrigerator

ADVANTAGES OF LINE EXTENSION ARE:

1. Help increase the user base

2. Provide varieties to energize the brand, manage innovation.
3. Help combat competition
4. Expand company shelf space presence
5. Gain more potential customers
6. Greater marketing efficiency
7. Greater production efficiency
8. Low promotional costs
9. Increased profits

BRAND EXTENSION

When an existing brand name is used to launch a new product in a different product category it is
called brand extension.

TYPES OF BRAND EXTENSIONS

1. Product form extension

2. Companion product extension
3. Extension of customer franchise
4. Extension of company expertise
5. Extension of brand distinction
6. Extension of brand image or prestige
 7. Distinctive taste, ingredients, or component extension

CO-BRANDING

It is the practice of using multiple brand names together on a single product or service.

E.g., Vodafone co-branded with Fame cinemas for movie coupons.

TYPES OF CO BRANDING

1. Ingredient Branding
2. Composite co-Branding