Criteria for choosing brand elements • Memorability ,Meaningfulness, Protectability.

Likability, Transferability, Adaptability,

Memorability: • • • Memorability is a necessary condition for achieving high level of brand awareness. Must choose elements that are memorable Some names, symbols, tugos, and even visual properties are more attention getting and easy to remember. Meaningfulness • • Brand names could be based on people, places, animals, birds or other things or objects. When choosing a brand name, two important aspects that must be kept in mind are:

A) General information about the nature of the product category. In other words, is the content of the brand element consistent with what consumers would expect to see from a brand in that product category? • B) Specific information about particular attributes and benefits of the brands. Does it suggest something about a product ingredient or the type of person who might use the brand. Likability • • • Associations suggested by brand elements are not always related to the product. How much customers would like the brand element is also important. Sometimes, consumers do not examine info in making product decisions, easy to recognize brands will make the job of marketers easier.

Transferability • • • • How useful is the brand element for line or category extensions? In general, less specific is the name, the more easily it can be transferred across categories. Amazon- is a river- can sell anything using this name. Toys R us – can only sell toys under this brand name.

Adaptability

of course it depends on product category company is operating (industrial product v/s consumer products). the easier it is to update it. package or other attribute should not be easy to copy. Brand Ambassador. which can properly communicate about brand and its point of difference from competing brands. These brand identifiers are referred to as brand identifiers. Brand elements facilitate the process of consumer brain mapping and play a key role in building brand equity. These sort of logo stays in memory for long time. society. Name. Another factor is significance and application. is brand element conveying either of this two for consumer? Significance here means that brand element should be suitable for that given product category. Another factor is the application of brand element. Consumers over period of time are able to identify the brand through brand elements. this brand can only be valid to sell toys. games. Another factor for a good brand element is design and appearance. This flexibility could be in the form of demographic. etc. Style. But light Choosing Brand Elements to Build Brand Equity Brand equity is the result of a process which leads to a creation of a unique and distinct brand identity. So the brand element should be such that it can be easily recalled. Protectability • • • • Choose brand elements that can be legally protected and on international basis. For example. anyone would be attracted towards them. Logos and characters can be given new look or a new design to make them appear modern. it steadily identifies with brand Apple. Defend trademarks from unauthorized infringments. In this globalize world it is very important to respect diversity and culture. for example. So the choice of word or symbol should not be without research. which add to a good brand element. Brand identification can be done through various ways. Consumer should not be left guessing about brand by looking at the element. The idea is to develop brand elements. Etc. for example. A word or symbol can have various meanings. More adaptable and flexible the brand elements. on other hand. Apple products I-pod and Mac. Brand element should be such that they can have a great recall power. an openness to change.• • • Brand elements needs to be updated over time. TV . Unique Selling Proposition (USP). Virgin. There are various factors. Swastika symbol is associated with Nazi's movement but in India symbol means luck. Logo. half eaten apple. this brand is applicable to airlines as much as to financial services. design and appearance are such. For example. etc. for example. Register them with appropriate legal bodies. Another factor is flexibility.. for example. Toys r us.

Wal-Mart’s slogan is “Save Money Live Better”. it conveys lot about offering at brand stores. Hispanic drinking beer together. even though football is all American game. but in tough economic times the new slogan is more relevant. Packaging also plays important part as brand element in building brand equity. brand element should have a legal cover from piracy and copiers in which countries they operate. Various elements like brand name. intranet. The last important factor is intellectual property rights. It can be easily concluded from above the importance of brand element in creation of brand equity. Similarly brand name can convey much about brand itself. packaging. a formal introduction starts with name. For example. Brand name is easy to remember and recall making pronunciation easy for non-English speaker. example. so that next time you see person again you greet her by name. DESIGNING MARKETING PROGRAMMERS • • • • New Perspectives on Marketing Product Strategy Pricing Strategy Channel Strategy TO BUILD BRAND EQUITY New perspectives to marketing The four major drivers of this new economy are: Digitalization and connectivity (internet. The most elementary part of brand element to achieve brand equity is the brand name. Kentucky Fried Chicken. The reason been American society has a good mix of people from different race and culture but has a strong passion for the game. African American. Ads15 years never showed this kind of mix of different race and culture. slogan symbol individually and collectively play important in creating long lasting impression and relation with consumer. But again as time change slogan also have to evolve. Earlier WalMart’s slogan was “Always Low Price”. The brand name itself is sufficient in conveying that for fried chicken KFC is the brand. it’s packaging as evolved responding to modern needs (healthy diet) to new technologies. in meeting a stranger. mobile devices) Disintermediation and reintermediation (middlemen) Customization and customerization ( tailored products and ingredients provided to customers to make their own products) Industry convergence (blurring of industry boundaries) . For example Kellogg’s cereals. For example. for example. Brand name could also be suggestive into what brand is offering. Pepsi-cola or common name Pepsi.ads during the super bowl show Asian. Another elementary part is the brand slogan because it can again convey the whole existence of brand.

but to demonstrate how a brand can enrich a customer’s life” One-to-One Marketing Information Generate experience Consumers ----------------------------Marketers---------------------------------Consumers The Fundamental Strategies of One-to-One Marketing: .Can use the internet and e-mail to send promotional messages to customers .Can interact with other consumers and compare notes Companies: .Can collect fuller and richer information about markets.Can obtain more information .Customers: .Have more power . competition .Have a large variety of available goods and services .Can easily interact with marketers in placing and receiving orders .Focus on individual consumers through consumer databases .Can customize their offerings to individual customers Impact to… Integrating marketing programs and activities Personalizing Marketing Expression of individuality Consumer desire for personalization • • • Experiential marketing One-to-One marketing Permission marketing Experiential Marketing Experiential marketing connects a product to unique and interesting experiences “The idea is not to sell something. customers.Better communication technologies and transaction efficiency .

personality 3-D Marketing (McKinsey Consulting) emphasizes 3 product benefit dimensions: 1. Functional benefits: product and performance attributes. Product Strategy • “At the heart of a great brand is invariably a great product” How do consumers form their opinions of the quality and value of a product? How can marketers use the relationship marketing perspective in formulating product strategy and offerings? • • Perceived Quality and Value Dimensions of Quality: • • • • • • • Performance: primary characteristics of product (low. high or very high) Features: secondary elements of a product that complement primary characteristics Conformance: degree of the product meet specifications Reliability: consistency of performance over time Durability: expected economic life of product Serviceability: ease of servicing the product Style and design: appearance or feel of quality Brand Intangibles: speed. Ex. helpfulness of customer service and training Product or Service Benefit Dimensions: • • Brand attitude may also depend on more abstract product imagery. quality . ex. medium. courtesy.Respond to consumer dialogue via interactivity . Symbolism. delivery and installation.Customize products and services Permission Marketing Marketing to consumers only after gaining their express permission 1.. accuracy.

when there is a perceived added value = Stronger brands  Aspects of pricing Strategy : 1. Kulula. 3 important relationship marketing issues: Mass Customization: Customization addresses the need for individuality NIKEiD After marketing: Activities that occur after customer purchase (User Manuals. “By improving the fuller customer experience. companies can keep consumers happier and hold on to them longer” Relationship Marketing • • Relationship marketing: is based on the premise that current customers are the key to long term success. Relationship benefits: value based on personalized service..2. newsletters. 3. product strategies should focus on both purchase and consumption Loyalty Programs: Loyalty programs offer different mixtures of services. Complimentary Products) & To achieve the desired brand image. premiums and incentives for a firm’s “best” customer. Process benefits: ease of access to product info. Price perceptions 2. Pricing Strategy  Revenue generating element from of the mix  Its belongs in the performance CBBE model( Chapter 2 )  Consumers willing to pay price premiums . Co-branding arrangements: Discovery – Ster-kinekor. Setting prices Price Perceptions  Consumers rank brand according to prices  Price Bands = range of acceptable prices  price – product meaning . Pick ‘n Pay. strong emotional relevance. differentiated loyalty rewards. convenient transaction.value and quality they received . 3.

Look for variation in assessing customers value 3. Asses customer emotional response 8.. perception of value received < cost to the company Setting Prices to Build Brand Equity • Choosing a pricing strategy to build brand equity means determining the following: – – Value Pricing • The objective of value pricing is to uncover the right blend of product quality. Identify an optimal pricing structure 5. Analyse if the returns are worth the cost . Consider competitors reactions 6. Pricing approach . Asses customers price sensitivity 4. Effective value-pricing strategy should strike the proper balance among the following: – – Product design and delivery Product costs Product prices A method for setting current prices A policy for choosing the depth and duration • Everyday Low Pricing • • • Everyday low price (EDLP) has received increased attention as a means of determining price discounts and promotions over time. Monitor prices at a transaction level 7.the nature of price discount and promotions over time that maintains consistently low Be careful!!! Creating a brand association to “discount” or “don’t pay full price” diminished brand equity 8 steps to better Pricing 1. Asses what value the customer places on your brand 2. product costs and product prices that satisfies needs and wants of consumers and the profit targets of the firm.

Channel Strategy  Marketing channels =“ a set of interdependent organizations involved in the process of making a product / service available for use “  This involves designing a channel and managing intermediaries. sporting goods stores. Indirect channel: sell through third-party intermediaries such as agents. Channel Design • • • Direct channel: means selling through personal contacts from the company to prospective customers by mail. located in prime shopping avenues in metropolitan centers. Winning channel strategies – “integrated shopping experience” that combines physical stores.  Channel design : 1. telephone and catalogs. Niketown. Direct – sell through personal contacts  Try develop : “integrated shopping experiences “ Channel Strategy  Marketing channel are defined as “set of interdependent organizations involved in the process of making a product or service available for use or consumption”  Channel strategy includes the design and management of intermediaries such as wholesalers. internet. retailers or dealers. . Branded Nike Town Stores: Nike Town Stores. and retailers. wholesalers. sporting goods. brokers. and clothing stores. Outlet Stores: outlet stores feature discounted Nike merchandise.sell through third party intermediaries 2. Catalog retailers: Nike’s product appear in numerous shoe. and equipment product) • • • • • Retail: Nike products are sold in retail locations such as shoe stores.com: Nike’s e-commerce site allows consumers to place internet orders for a range of products. and clothing catalogs. apparel. Example: Nike (sell its shoes. department stores. phone and etc.4. Indirect .

Different retailers may need different product mixes. special delivery system. or resources • Other means – – Department stores Via phone. or email • Web Strategies . Cooperative advertising • Co-op advertising: a manufacturers pays for a portion of the advertising that a retailer runs to promote the manufacturer’s product. or customized promotions. Direct channels are preferable when… • • • • • Product information needs are high Product customization is high Product quality assurance is important Product lot size is important Logistics are important Indirect channels are preferable when… • • • A broad assortment is essential Availability is crucial After-sales service is important Indirect Channel • • Pull and Push Strategies Channel Support (Marketing Partnership) – Retail segmentation • • – Retailers are customers too. Nike Hockey. • Company-Owned Stores – – Show the product in the way that the company want Some company stores might lack of skills. mail.• Specialty stores: Nike equipment from product lines such as Nike Golf.

Establish “Marketing partnership with retailers is critical to ensure channel support Two channel support strategies are: 1. Product reviews are readily available forums or social networking sites. Must be balance between pushing the brand and advertising the retailer At core of building brand equity is marketing programs or strategies. Marketing activities can be weaved around product. pricing and distribution channel.customised promotions or even their own branded version of the product( Branded variants) 2. Ideal situation would be to achieve synergy between the manufacturers own ad campaigns and the corresponding co-op ad campaign with the retailer. Retail segmentation – segmenting the retailers according to similar characteristics . reason been digital connectivity through internet. Today’s consumer is well informed about the product or service she is purchasing. mobile etc. as different retailers might need different product mixes . special delivery systems . Marketing activities can facilitate in increasing brand awareness as well as in creating the right brand image.manufacturer pays for a portion of the advertising to promote the product and the availability at the retailer. Channel support Services provided by channel members may help enhance the value to consumers and the brand.INDIRECT  Broad assortment is essential  Availability is critical  After sales service is important DIRECT      Product info is high Customisation Quality assurance is important Lot size is important Logistics are important 2. Cooperative advertising. But the way these marketing activities are carried out has gone under revolutionary change owing to the modern technological driven world. Reason why modern world is different can be understood from consumer as well as company’s perspective. where in consumer can read .

Companies maintain large database storing consumption behavior. Traditional marketing activities revolve around product. This permission marketing enables companies to build unique brand image leading to strong brand equity. where winner are eligible to court side seats among many other freebies. The card holders are part of daily draws. pricing and channel distribution. Flora 2000 is online florist who deliver flowers all around the globe. For example American Express. Online retailer Amazon uses another marketing technique where they suggest a product to consumer after getting nod from them. Again channel choice is dependent on product. From companies perspective new technology frontiers has improved the way they understand consumer. Many of consumer purchase decision are made online. they have created marketing plan especially for their card holders. Marketers have to develop marketing programs keeping in mind above discuss points to build a strong consumer based brand equity. Consumer have more access to customized products. knowing consumer had previously made purchase around that period. These channels also play an important role in building brand equity. for them to understand price of product. time to time they send reminders of important events like mother’s day or valentine day with special deals to consumer.understand experience of other consumers. Product remains first frontier for consumer to create opinion for brand. complexity which play a role in deciding marketing channel. . An effort has to be made to educate the consumer about cost of serving them. Another marketing technique popular among markets is a form of direct marketing. product cost should not be the only consideration. However. Internet retailing has created new supply chain model for companies. there are websites which lets you design your own t-shirts or hoodies. Marketing strategy around product is to highlight not only core benefits but also process or easy by which purchase is done there by creating a long term relationship with consumer where periodical information exchange can occur. their habits are recorded and on that basis other products are suggested. efforts are always on to make sure marketing activities truly reflect brand image and develop strong brand equity. In this form of marketing focus is on individual consumer and not a large group. For example products ordered from Dell are design. analyze this database to create consumer expectation matching products and services. has been sponsor of US open for years. To establish price. But there are various factors like product category. But consumer perception for potential product value and sensitivity to price is also of equal importance. price. Pricing is crucial for brand image. assembled in company’s warehouse and then sent to customers. Industrial product preferred way would be direct channel. Competitor’s price also cannot be ignored because price war will not benefit anyone in the market. One the marketing concept developed is called experiential marketing. internet along with technology has given convenience to consumer. because traditional distributes and agents have made way to courier services. Brands like Amway and Avon have followed this technique for some time now. Products are sold either through direct marketing channels or indirect marketing channels. This unique concept is associated with brands and experience consumer has with it. forums on social networking sites etc. Marketing tactics can be implemented by emails. customization. which is a challenge as well convince. Amazon takes permission from consumer before sending recommendation.