Chapter 6 Notes - Sustaining and Rejuvenating the brand

 Sustaining is about increasing the perceived risk of switching to other brand. Customer feel
secure with the brand (#BOP1)
 Rejuvenating the brand is increasing the excitement of being with the brand and keep the
interest alive

5 Steps of Brand Sustenance and Rejuvenation:

#Step Summary Detail Case Example

1 Periodically match the Once brand is established in brain it Cooperative bank in
belief and values in has created a pattern. Brands need UK revived the brand
execution system to reinforce and strengthen the by refocus on ethical
original brand values. banking (said no to
It reinforces #BOP3 – pattern, #BOP2 tobacco companies)
– Reduces brain energy (habit),
#BOP1 – safe and secure
2 Reinforce or rejuvenate Contemporary customer experience Parle G rejuvenated
the brand relationship can provide variety and contrast by Parle G -Genius to
by focusing on while remaining consistent with the connect with
contemporary earlier pattern. This keeps the mothers. Every
consumer experience. customer interest in the brand mother at that point
of time wanted their
kids to be genius
3 Provide Emotional Emotional stimuli are more powerful Experiential gift are
Stimuli to experience for building long term brand and better than material
the brand making it automatic choice (#BOP2 – gift like sample tea ,
saves energy , habit, auto choice) vineyard tours,
vehicle free rides etc.
4 Connecting with life Connecting the brand in an Gillete advertisement
and culture of the emotionally meaningful way to the to connect with
people culture and life of the people in the African cultures.
country or deeply felt nuances of a
country’s life. Brand dive right into
the collective of that culture and
become part of life of people in the
market
5 Reassurance in times of Reassuring customers of brand Free COVID test by
uncertainty support in times of uncertainties – Emirates Airlines.
pandemic, natural calamities etc.

Brand and Brains

 Chapter 6 Notes - Sustaining and Rejuvenating the brand

1. How Brand Relationship Exists do and what kind of Brand Relationship can you build?

Goal of brand management is to form long term brand relationship with the consumer , also called
‘brand engagement’ – process of forming an attachment between a person and a brand. However
the topic is complex because it is equally created by consumer perceptions, attitudes, beliefs and
behaviors.

From company perspective, the goal of branding is to generate brand awareness, purchase, use and
loyalty.

Based on research Brand relationship is build based on 6 characteristics

#Ste Summary Detail Case Example

p
1 Income Strata Consumer form brand relationship with the
and Product product category they use more frequently
Category and dependent on functional or emotional
reasons.

Higher the income stronger the brand

relationship (only some data suggest)
2 Age and Gender Have significant influence on the nature of Hero MotoCorp – ‘why
brand relationship. Younger generation should boys have all the
have strong brand connect and connect fun’ focusing on gender.
more emotionally. Older people have more
rational brand connect.
3 Opportunities Brand relationship is also function of Paytm during
in market opportunities in market demonetization ‘paytm
karo’ during
demonetization and
pandemic when cash was
not available.
Uber free rides during
election polling
4 Changes in When consumer develops desire for luxury Consumer who wears
consumer brands they are ready to change Rolex will change his
behavior in themselves to suit the brand requirement. appearance and other
response to ‘Diderot’s effect’ requirement to suit the
desire for a luxury
brand
5 Brand Consumer build relationship through brand Harley Davidson
Community community which provides them Community.
emotional connect and community activity
based benefits
6 Perceived Risk Brand manager tend to increase perceived
and Mood of risk of consumer in buying another brand.
consumer Mood is significant predictor of level of risk
person takes. Well defined situations –
good mood > low risk
High uncertainties – good mood > high risk
Sad  high risk/ high reward

Brand and Brains

 Chapter 6 Notes - Sustaining and Rejuvenating the brand

Anxious  low-risk/low reward

2. Brand Extensions

Brand extension is the use of an established brand in new product categories. It helps in launching
new products with less efforts in branding. Original brand is ‘parent brand’. It is used frequently to
take advantage of established brand equity.

Works well when pattern are strengthened (#BOP3- pattern) and simultaneously bring excitement,
change, variety, new benefits (#BOP4 – contrast). Higher the consumers / high social proof of use of
extended products in the brand (#BOP5– mirror) higher the probability of success.

Targets Dual outcomes – enhance liking for products under brand extension and positive spillover to
parent brand

3 factors endemic to any brand extensions which jointly impact dual outcomes are – Brand
Reputation, Brand Extension fit , Brand extension benefit innovativeness

1. Brand with strong reputations – dual benefits high if extension is low-fit and offers
innovative benefits. Because low-fit make consumer curious for new products
2. Brand with weak reputations – dual benefits are maximized when brand extension is high-fit
and offers innovative benefits. Because high-fit strengthens trust in the weak brand to
deliver innovative benefits

Above suggest 2 distinct growth strategies for strong and weak brands.

Examples of success and failures

Success Failures
Tata Group – From Steel and truck to software, salt, chemicals etc. New Coke by Coca-Cola,
leveraged on social responsibility i.e. support to terrorist attack which only leveraged on
victims, post war payment to German engineers taste.
Honda – From Automotive to boats , lawnmowers , mobile
generator. Leverage Ability to produce quality engines Oranjolt by Rasna did not
fit brand pattern – the
Reputation of both Social Responsibility and ability to deliver Quality product was required to
Offerings. Social Responsibility lead to more favourable Response refrigerated , 3-4 weeks
shelf life.
Co-branding : Marketing activities involving 2 or more brands. Malboro + Ferrari joint sponsorship.
Citibank and MTV debit card, paytm+uber. Helpful if brands complementary in the minds of
consumer. Complementarity complete the pattern (#BOP3)

 Ingredient co-branding : dell+ intel. Brand equity of parts and components used in
the product
 Composite branding : When 2 brands offer distinct product or service which could
not be possible individually
 Joining with other company to penetrate markets (Strategic Partnership) : Ola in
India, Lyft in US, Didi Kuaidi in China, have inked strategic tech partnership. Order
cabs in respective market using home country app. Gillete and Duracell

Advantages: Risk-sharing, royalty income, increase sales, customer trust, tech bbenefits, joint
advertisements.

Brand and Brains

 Chapter 6 Notes - Sustaining and Rejuvenating the brand

Limitations: fails when 2 products have different markets and are entirely different, difference in
vision and mission of the firms, bad experience with one can influence other brand

Brand and Brains