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CREATING BRAND EQUITY

Ms. Kiran Sharma

CHAPTER QUESTIONS
What is a brand and how does branding work? What is brand equity? How is brand equity built, measured, and managed? What are the important decisions in developing a branding strategy?

ESPN: A STRONG BRAND

KERALA TOURISM HAS SUCCESSFULLY BRANDED THE DESTINATION WITH A BRAND NAME, LOGO, AND THE TAGLINE GODS OWN COUNTRY

STEPS IN STRATEGIC BRAND MANAGEMENT


Identifying and establishing brand positioning Planning and implementing brand marketing Measuring and interpreting brand performance Growing and sustaining brand value

WHAT IS A BRAND?
A brand is a name, term, sign, symbol or design, or a combination of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.

THE ROLE OF BRANDS


Identify the maker
Simplify product handling Organize inventory and accounting records

Offer legal protection

THE ROLE OF BRANDS


Signify quality Brand loyalty creates barriers to entry Serves as a competitive advantage Secure price premium

WHAT IS BRANDING?
Branding

is endowing products and services with the power of the brand. All about creating differences. Teaches a consumer who the product is, what the product does, and why consumers should care. Helps in decision making.

APPLICATIONS OF BRANDING
Physical

goods ---Maggi Noodles, Lux soap, Tata Indica Cars Services --- ICICI Bank, Kingfisher Airlines, Blue Dart Couriers Stores --- Big Bazaar, Shoppers Stop, Individuals --- Shahrukh, Aamir, Rahul Dravid Organizations --- UNICEF, CRY Ideas --- Pulse polio initiatives, Adult literacy, Blood Donation.

WHAT IS BRAND EQUITY?

Brand equity is the added value endowed on products and services, which may be reflected in the way consumers, think, feel, and act with respect to the brand.

CUSTOMER BASED BRAND EQUITY (CBBE)


Differential effect brand knowledge has consumer response to the marketing of that brand. Positive / Negative Brand equity arises from differences in consumer response. No difference ---- generic version of the product. Differences are a result of consumers knowledge about the brand. Differential response by consumers is reflected in their perceptions / preferences related to the brand.

BRAND KNOWLEDGE

Thoughts
Knowledge

Feelings

Beliefs Experiences

Images

ADVANTAGES OF STRONG BRANDS


Improved perceptions of product performance Greater loyalty Less vulnerability to competitive marketing actions Less vulnerability to crises

Larger margins More inelastic consumer response Greater trade cooperation Increased marketing communications effectiveness Possible licensing opportunities

APPLE IS A STRONG BRAND

WHAT IS A BRAND PROMISE?

A brand promise is the marketers vision of what the brand must be and do for consumers.

BUILDING BRAND EQUITY DRIVERS

Brand Elements Marketing Activities

Meaning Transference
(linking it to other entities person, place or thing)

BRAND ELEMENTS
Brand names Slogans URLs

Elements
Logos

Characters

Symbols

BRAND ELEMENT CHOICE CRITERIA


Memorable
Meaningful Likeability

Transferable
Adaptable Protectable

SLOGANS
India ka dil India ka Ac Just do it Zindagi ke saath bhi, zindagi ke baad bhi Taking Indian Aviation to newer heights

Sar utha ke jiyo Kucch Meetha Ho jaaye Im lovin it India ka Dil Feels like heaven Always low prices The best a man can get!

SECONDARY SOURCES OF BRAND KNOWLEDGE

MANAGING BRAND EQUITY

Brand Reinforcement

Brand Revitalization

Brand Crises

DEVISING A BRANDING STRATEGY


Develop new brand elements
Apply existing brand elements Use a combination of old and new

BRANDING TERMS
Brand mix Brand extension / Subbrand Parent brand Family brand

Line extension Category extension Branded variants

BRAND NAMING
Individual names Blanket family names Separate family names

Corporate nameindividual name combo

BRAND ROLES IN A BRAND PORTFOLIO

Flankers

Cash Cows

Low-end Entry-level

High-end Prestige