Professional Documents
Culture Documents
ProductPricin
planning g Brandi
Persona ng
l selling Channels of
distribution
Advertising
Market
ing Mix
Promotions
Basically includes:
Public Relations Publicity
Marketing Communication Mix
High Control Messages: the elements of
communication mix over which an organization has
greater control since they can be explicitly planned,
executed and delivered to consumers.
Advertising Sales Promotion
Direct Marketing Special events
Marketing Communication Mix
HIGH LOW
CONTROL CONTROL
MESSAGE MESSAGES
S
ATL
+BTL
Direct
Publicity
Marketing
Tools
internet/
Sales promotion interactive
marketing
Advertising
Advertising
Derived from Latin word ad verter which means ‘to
run towards’ or ‘to attract attention to’.
Advertising is any paid form of non personal
presentation and promotion of goods, ideas and
services by an identified sponsor.
Advertising
Characteristics of Advertising
Reinforc
e
Inform
Functio
ns
Persuad
Remind e
Sales Promotion
It is a collection of tools that stimulate quicker or
greater purchase of products by consumers or trade in
the short run.
Sales promotion changes the price-value relationship
of a product by lowering the price, increasing the value
or both.
Sales promotion can be consumer or trade oriented.
Sales Promotion
Sales Promotion
Popular Direct
examples internet Mail
of Direct
Marketing Vehicles
•Amway
•Tupperware
of DM
•Readers’ Tele Direct
Digest response TV
marketing or radio
Mail order
catalogues
Direct Marketing
DM targets prospects on the basis of a database – a
store house of prospect/customer information
The database contains the demographic, geographic,
behavioural or psychological details
Direct Marketing
Identifies
Customize
target
the offerings audience
Public Relations
PR is the managerial activity that is concerned with
gathering public opinion and analysing public attitudes and
thereby defining policies and a plan of action for an
organization so as to earn public appreciation and
acceptance.
It is a planned and sustained effort to positively influence
public opinion through good character or responsible
behaviour and build goodwill for the organization and its
products.
Public Relations
Public of the public relations include media,
community, customers, shareholders, employees,
government etc
PR is done to manage crisis, representing special
interest groups, planning political campaigns,
motivating employees
Analysts believe PR aims at building brand equity, that
is, goodwill for the brand.
Marketing Public Relation
The types of public relations activities that build
positive image for products are called Marketing
public relations (MPR)
MPR is ‘the process of planning, executing and
evaluating programs that encourage purchase and
consumer satisfaction through credible communication
of information and impressions that identify
companies and their products with the needs, wants,
concerns and interests of consumers.’ Thomas Harris
in 1993.
Marketing Public Relation
MPR is consumer driven while PR caters to
stakeholders including employees, investors, media,
governments, special interest groups.
Advantages of MPR
Highly targeted way for PR
Cost effective way to reach the market and create a
brand name
It achieves credibility
It makes advertising and its messages more credible
High ability of the consumer’s reach and awareness
It breaks through clutter
Disadvantages of MPR
Lack of control over media
It is difficult to tie in slogans and other advertising
devices
No standard measurement to judge the effectiveness
Personal Selling
A personal presentation by a representation of an
organization with the purpose of influencing consumer
buying decision, making a sale or building long term
relationships
There is a direct contact between the buyer and the
seller
It is done to create awareness, deliver information and
persuade a consumer
It is more flexible and interactive
Sales person can customize the message according to
the consumer.
Personal Selling
It is specifically for products that are high in value,
complex, requiring high deliberation, having large
order sizes or cannot be approached through other
tools/vehicles
Eureka Forbes found personal selling very effective
tool to sell its vacuum cleaners and water purifiers
It is not a very common component in most
companies’ communication mixes, primarily because
of its prohibitive costs and inability to reach large
audiences
Rural Marketing
The National Sample Survey Organization (NSSO) of
India defines ‘rural’ as any habitation with a
population density less than 400 per sq.km, where a
minimum of 75 percent of the male working
population is engaged in agriculture and where no
municipality operates.
The Planning Commission has other criteria in which
towns up to a population of 15,000 also come in rural
category.
Rural Marketing
FMCG products like toothpaste, hair oil and shampoo, have
done well in the rural or semi urban sectors than urban
sectors.
Coca Cola developed its rural market in India for its bottled
water Bonaqua ( which literally means pigmy in Hindi).
LIC has done well in the rural, sector. 50% of fans, bicycles,
tea and wrist watches are also bought in rural India.
According to FICCI-Nielson Report 2010, there has been a
100 percent rise in the use of mobile phones by rural
subscribers. The number in 2010 rose to 201 million from
109 million in the previous year.
Rural Marketing
The Tatas launched a mass market of jewelery brand Gold
Plus for Rural India.
Kisan Credit Cards have been launched by the RBI,
NABARD and various nationalized banks to lend timely
supports from banks to the farming community.
Samsung rolled out its ‘dream home’ road show to create
awareness about its products.
http://www.thehindu.com/todays-paper/tp-national/tp-andhr
apradesh/samsung-india-kicks-off-road-show/article312883
7.ece
https://www.scribd.com/document/116552332/Solution-of-
Tata-gold-plus-Case-study
Rural Marketing
The Fast Moving Consumer Goods (FMCG) sector in rural and
semi- urban India is estimated to cross US$ 100 billion by 2025
The rural FMCG market is anticipated to expand at a CAGR of
17.41 per cent to US$ 100 billion during 2009–25
Rural FMCG market accounts for 40 per cent of the overall
FMCG market in India, in revenue terms
Amongst the leading retailers, Dabur generates over 40-45 per
cent of its domestic revenue from rural sales. HUL rural
revenue accounts for 45 per cent of its overall sales while other
companies earn 30- 35 per cent of their revenues from rural
areas
Rural Marketing
Rural Marketing & Advertising Strategies
Keep Low-priced and small unit packages
Build Imagery around products
Make reusable packages for reminder value.
Rural Marketing
Consumer Classification
Climbers Destitute
Well-off The term Aspirants Aspirants
Affluent/ The term refers refers to The term The term refers
Very Rich to households
households refers to to households
Households owing any/all of owing any/all
owing any/all households
owning these: of these:
of these: owing any/all
personal Air conditioner, Wrist watches,
motorcycle, DVD, of these:
car/jeep along pressure
scooter, washing mixer/grinder, Bicycle,
with other cooker,
machine, Colour sewing electric fans,
products TV, geyser, recorder,
machines, TV electric iron
transistor/radio
Internet/interactive Marketing
Tools like mails, weblogs, online discussion forums,
websites have changed the language, presentation and
delivery of messages
Internet communication is more personal, informal, up
to date, interactive, targeted, less intrusive and non
linear in nature
Internet can also aid other marketing activities like
market research, distribution of services or digital
products, payment collection etc
Integrated Marketing Communication
Instead of dividing communications into several
overlapping areas, IMC unifies each communication
element to deliver consistent messages with one voice,
one theme and one strategy
It is “a concept of marketing communications planning
that recognizes the added value of a comprehensive
plan that evaluates the strategic roles of a variety of
communication disciplines for example, general
advertising, direct response, sales promotion and
Public Relations – and combines these disciplines to
provide clarity, consistency and maximum impact.” -
AMA
Integrated Marketing Communication
IMC was pioneered by Don E. Schultz of
Northwestern University’s Medill School of
Journalism.
It is also addressed as new advertising, one to one
marketing, whole egg, orchestration, 360 branding
and total branding
Strengths & Weaknesses of IMC tools
TOOLS STRENGTHS WEAKNESSES
Marketing Plan
Price
Promotion
Communication Mix Elements
Sales
Direct
Promotio
Marketing
n
Advertisin PR/
g Publicity
IMC
Internet
Events
Personal
Unconventional Tools
Selling Low Control Messages
Marketing Plan
1. Situational Analysis
2. Set Marketing Objectives
3. Devise marketing Strategies
4. Frame Implementation Tactics
5. Monitor & Evaluate performance
IMC Plan
1. Situational Analysis
2. Determine a problem or opportunity
3. Determine the communication objectives
4. Determine the budget
5. Develop IMC strategies
6. Select Target Audience
7. Arrive at the Communication Mix
8. Design message Strategies
9. Determine media strategies
Market Segmentation Process
Define the
Create the
Market for the
Market Segment
Organization
Evaluate the
Construct
segments on set
Segment Profiles
criteria
Evaluate the
attractiveness of
Select target
the segments market/s
Review
Performance
Market Segmentation
In a large product market, consumers are diverse in their
needs and buying requirements. A company cannot serve
all these consumers or develop marketing strategies for
all of them. Segmentation divides a large market into
smaller and more manageable sub markets in order to
identify homogeneous markets (consumer groups).
These homogeneous groups are
a. Similar in their needs and reactions to a company’s
marketing activities
b. Are considerably different from other such groups in
the market
Market Segmentation
A market segment is thus a group of consumers in a market who
have similar needs.
For example, The Incredible India Campaigns have strategically
tailored their messages according to different markets. For
instance, in Berlin in March 2007, vivid images of a warm,
sunny India were shown against the backdrop of the city’s
wintry grey streets. The same campaign was used in
Scandinavia where there is no sunlight for months. On the
contrary, in West Asia, the focus was on the monsoons as there
is lack of rainfall in that area.
It is important to note that marketers cannot create segments;
these segments pre exist in a product market. Marketers only
identify the existing segments and their varying requirements
and decide which one to target.
Market Segmentation
On the other hand, mass marketing is the process of
selling the same product with the same marketing
actions to all consumers in a market. It is a
standardization strategy that saves the company money
and makes coordination easy, but products, price,
communication or distribution formats may not be the
best fit for all segments.
Segment marketing reduces the waste in trying to cater
to the entire market and gives the company a better
understanding of the competitive, socio cultural and
general environment of that segment.
Market Segmentation
Segments should be measurable: Marketers should
be able to estimate their purchasing power, audience
size etc.
Segments should be of a substantial size: the
segments should be of a certain size so that the
marketer is able to seek profits.
Segments should be physically accessible: There
should be a developed distribution and communication
network. For example, some of the northeast
mountainous regions of India have no media access
and hence cannot be reached with a tailored
communications programme.
Market Segmentation
Segments should be differentiable: All the segments
of a product market should be differentiable with
different needs and responses to marketing activities.
For example, if men and women by paintbrushes in the
same manner, they do not form separate segments.
Segments should be actionable: It should be possible
for marketers to develop different products pr use
different marketing strategies for them.
Market Segmentation
Market Segmentation
Thinker
s Experiencer
s
Achieve
rs
Believe
rs Striver
s Makers
Survivor
LOW RESOURCES s
LOW INNOVATION
Behavioural Segmentation
Consumers are divided on the basis of various
behavioural characteristics like purchase/use occasions
(regular/special), benefits (speed, service, economy,
quality, warranty), user status(non user, ex user,
potential user, first time user, regular user), usage rate
(light user, medium user, heavy user), product
knowledge (unaware, aware, informed, interested,
desirous, intending to purchase, purchaser, rejecter),
Loyalty status ( hard core loyal, split loyal, shifting
loyal, switcher), Attitude towards product
(enthusiastic, positive, indifferent, negative, hostile),
extent of involvement ( minimum effort, comparison,
special effort)
Benefit Segmentation
Consumers may be segmented on the basis of the
benefit they seek from the product. For example, while
air conditioners are primarily bought for cooling,
consumers may also seek other benefits that they
consider equally important, for example, fresh and
clean air, no sound, and energy efficient. Similarly
various consumers may buy a hotel room for different
primary benefits like pampered relaxation, temporary
night halt, business visit, clandestine deals or economy
Hybrid Segmentation
Instead of considering only one set of segmentation
variables, marketers may combine one or two
segmentation styles and arrive at hybrid segmentation
class.
The segmentation process considers these various
bases whether singly or in combination. Marketers
may then carry out a number of alternative
segmentation strategies and perform an in depth
analysis of the segments so that they can understand
the consumer needs currently not fulfilled and devise
best strategies to market to the chosen segment.
Hybrid Segmentation Variables for deodorants
Unisex Men and 24hour Sociable, active Regular, medium Rexona, Nevia
appeal women, value protection users
for money form body
segment odour
I
d
e
a
A
d
v
e
rt
is
i
n
g
S
tr
a
t
e
g
y
A
d
v
e
rt
is
i
n
g
R
e
s
e
a
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c
h
Relationships between price, relative quality and relative
advertising
Farris and Reibstein derived the following results after examining the
Relationships between price, relative quality and relative advertising for
227 consumer business from the Profit Impact of Marketing Strategies
(PIMS):
Brands with average relative quality but high relative advertising
budgets were able to charge premium prices
Brands with high relative quality and high relative advertising were able
to charge the highest prices
Brands with low quality and low advertising charged the lowest prices.
Consumers were willing to pay higher for known products than for
unknown products
The positive relationship between high prices and high advertising was
the strongest in the later stages of the PLC, for market leaders and for
low cost products.
A A
d d
1 2
Ad Campaign
A A
d d
3 4
Brand Strategy Big Idea Execution Elements
Dhara Health Demonstrates that Kids are proud of their Creative tagline,
Sunflower Oil Dhara keeps fathers who are elements of wit and
Campaign: My Daddy consumers’ hearts & healthy and strong humour, selection of
Strongest health strong (due to Dhara) right
characters,gripping
stories
Mentos Communicates that Mentos gives ‘fresh Creative tagline,
Mentos refreshes ideas’ in our otherwise elements of wit and
consumers mundane lives humour, selection of
right characters,
gripping stories, apt
sound effects
Strategie
Tactics s
Situation Analysis
In situation analysis, the following broad areas are reviewed:
Company’s History and growth, product’s or services, sales
volumes etc
The current value and share trends for the category of the
concerned brand and competitive products need to be taken into
account
The brand’s share and volume objective (i.e., how much is to be
increased in a given period of time) has to be reviewed.
The specific changes that are required in a consumer behaviour
need to be looked at. This must answer whether the company is
looking at increasing trial, multiple use ( Hamdard’s Rogan
Badam Shirin), frequency of use, switching brands or
improving loyalty.
Situation Analysis
The past advertising of the company’s products needs to be reviewed,
that is, evaluation and impact studies, if conducted must be observed
and cues about changes in awareness, knowledge and attitudes must
be picked up.
The market structure needs to be taken into account. The consumer’s
point of view, how the product category in which the brand competes
is segmented has to be considered to learn about the brand’s primary
competition. Consider segmentation by product type, benefits, the
kind of people who use it, price and value both at tangible and
intangible levels.
The economic, political, social, technological or commercial
environment in which the company operates must be considered. This
means analysing the market trends affecting the brand, establishing
whether it is competition, political situation, economic situation, price
and packaging
Situation Analysis
The most relevant consumer trends, both demographic and
attitudinal affecting the brand must be observed.
The primary consumers of the product need to be established,
that is whether they are the rich, middle class, destitute, rural
or urban. Whether the brand’s consumers differ from the
average segment user has to be considered. If so, then the
reasons need to be looked at.
The brand’s physical, functional and psychological
characteristics, the primary benefits accrued to the consumers
(convenience, necessity, problem solving, emotional etc), and
the attributes which give it a competitive edge (heritage.
Quality, price, reliability etc) have to be considered as well.
Marketing Objectives
Marketing objectives are ideally ‘logical deductions from the review of
the company’s current situation, management’s prediction of future
trends and its understanding of the hierarchy of company’s objectives’
(Cravens et al. 1987)
The marketing objectives of a brand could be to:
Introduce the product to test the marketing in five new geographic
areas, so as to achieve 10 percent share in those markets in the first
year
Explore five new territories each in the second and third years. This
attempt may also be aimed at capturing 10 percent share in those
markets
Attempt all India penetration by the end of the third year
Acquire 30 percent share of the national market at the end of the third
year.
Marketing Strategy
Strategy is an important, section of the marketing
plan, a statement as to how the marketing objective
will be achieved. The marketing strategy is the total
directional thrust to achieve objective, marketing
choosing the most suitable, the ‘how’ of the marketing
plan.
Strategy also determines the right marketing mix and
positioning of the product, that is, ‘what the product
does and who is it for.’ (Ogilvy 1985)
Action Programme
Once the overall marketing objectives and strategy
have been clearly spelt out, it is time for the company
to determine the tactics or the action programme. In
other words, each input in the marketing mix, namely,
the product, price, promotion and place or distribution
decisions have to be determined before a product is
introduced in the market.
According to Bovee and Arens (1989), the objectives
of a company indicate where it wants to go, the
strategy indicates the method or the ‘intended route’,
and the tactics or the action programmes determine the
details of those methods and routes.
Control
The last step of the marketing planning and control
process is control, which forms a distinct process
itself. To implement a marketing strategy, the company
has to decide what level of marketing expenditures is
necessary to achieve the marketing objectives. The
total budget has to be allocated among the several
marketing activities the marketing objectives.
The total budget has to be allocated among the several
marketing activities and tools in the marketing mix
(kotler 1988).
Control
During the implementation of activities, the company
has to review the process of marketing and sales
activities regularly throughout the year. These reviews
provide an opportunity to listen to weak signals and to
redirect any parts of the planned action program that
are off target (Hopkins 1983). The controls can be
broadly categorized under the following heads (Kotler
2005):
Annual Plan Control
Profitability Control
Strategic Control
Planning Spectrum and Linkages
Refer to slides 68 &69
s Mix Relations
• Sales
• Objecti • Produ Promotions
• Direct
ves ct Marketing
• Exhibitions
• Strategi • Price • Social Media
es • Place
• Events
• Merchandisi
• Tactics ng
• Control • Prom • Retail
• Corporate
s otion identity
Functions of Objectives
The first function is to operate as communication and
coordination devices. They provide a vehicle by which
the client, the agency account executive and the
creative team communicate. They also serve to
coordinate the efforts of such groups as copywriters,
radio specialists, media buyers and research specialists.
Second function of objectives is to provide a criterion
for decision making. If 2 alternative campaigns are
generated, one must be selected. Not relying on an
executive’s esthetic judgment she/he should be able to
turn to the objective and select the criterion that will
most readily achieve it.
A relative function of an objective is to evaluate results. It
implies that there needs to be a measure such as market share or
brand awareness associated with the objective. At the of the
campaign, that pre selected measure is employed to evaluate
the success of the campaign.
Criterion for setting objectives
Establish a quantitative benchmark: objectives for advertising are
measurable only in the context of quantifiable variables. Advertising
planners should begin with quantified measures of the current status of
market share, awareness, attitude or other factors that advertising is
expected to influence. The measurement of effectiveness in quantitative
terms requires a knowledge of the level of variables of interest before an
advertising effort and then afterward. For example, a statement of
objectives in quantified terms might be increase the market share of
heavy users of the product category using the brand from 22 to 25%. In
the quantifiable and measurable market share objective is specified.
Specify measurement methods and criteria for success: it is
important that the factors being measured be directly related to the
objectives being pursued. It is of little use to try to increase the
awareness of a brand with advertising and then judge the effects based
on changes in sales.
If change in sales are expected, then measure sales. If
increased awareness is the goal, the change in consumer
awareness is the legitimate measure of success. This may
seem obvious, but in a classic study of advertising objectives,
it was found the claim of success for advertising were
unrelated to the original statements in 69% of the cases. In
this research, firms cited increase in sales as proof of success
of advertising when the original objectives were related to
factors such as awareness, conviction to a brand or product
use information.
Specify a time frame: objectives for advertising should
include a statement of the period of time allowed for the
desired results to occur. In some cases, as with direct response
advertising, the time frame may be related to a seasonal
selling opportunity like the Diwali period.
Advertising Objective
Advertising objectives lay the framework for the
subsequent tasks in advertising plan and take many
different forms. Objectives identify the goals of the
advertiser in concrete terms.
Advertising Objectives
To increase consumer awareness and curiosity about
its brand
To change consumer’s beliefs or attitudes about the
product
To influence the purchase intent of its customers
To stimulate trial use of its product or service
To convert one time product users into repeat
purchasers
To switch consumers from a competing brand to its
brand
To increase sales
We can also put advertising adjectives under the following
heads:
Creating or maintaining brand awareness
Creating, changing or reinforcing attitudes
Purchase intent
Trial usage
Repeat purchase
Brand switching
Type of Objective Specific Task End Result
Example: As the owner of a brand new restaurant, the entrepreneur decided that one of his
specific marketing objectives would be to distinguish his food and eatery as the premier
Italian option, with the most distinctive and authentic regional Italian food to be found in the
Seacoast area where the restaurant was located.
Direct and Indirect objectives
Direct Objectives Indirect Objectives
That seek an overt Aimed at communication
behavioral response tasks that need to be
accomplished before overt
from the audience. For
behavioral responses can be
example, Trail or achieved. For example
Purchase creating brand awareness,
disseminate information and
create knowledge in order to
establish a particular image,
create brand attitudes etc
Budgeting for Marketing Communication
Budget should be determined by the objectives laid out for
communication function,
Budgets for a promotional programme are based on several
internal and external issues and there are various methods to
estimate and arrive at the budget.
A problem often encountered in budgeting practices is that the
budgeting decision tends to become routine and institutionalised
and a standard operating procedure or rule develops based on
how the decision was made last time.
Budgets are set for a year, reviewed at year end and fresh
allocations are made the year after.
Theoretical approaches to budget setting
Researcher Gary Lilien has proposed to reflect on three
important issues before making advertising budget decisions:
1. Economies of scale: is there some relevant range in which
increments of advertising yield increasing returns?
2. Threshold effects: is there some minimum level of
exposure that must be exceeded for advertising to have a
discernible effect?
3. Interaction effects: does advertising interact with each
element of the marketing mix, especially personal selling, to
produce effects that are greater than the sum of their
separate effects?
Marginal Analysis
Marginal analysis is a concept of economics, widely used in
business decision making to allocate scarce resources such as
IMC budgets, in order to maximize output produced, such as
sales.
It focuses on studying whether the communication budget
should be increased by one more unit or not, so as to maximize
profit.
It is understood that as promotion expenditure increase, sales and
gross margins also increase up to a point, after which they start
levelling off. Profit which is the difference between gross
margins and advertising or promotion expense, is maximum
when marginal revenue is equal to the marginal cost.
Marginal revenue is the increase in gross revenue by the addition
of one more unit of promotional expenditure, whereas marginal
cost is the increase in total cost with the addition of one more
unit of promotional expenditure.
When marginal revenue is higher than marginal costs, there
is scope for increasing promotional expenditure as it would
add to the profit.
If marginal costs are higher than the marginal revenues,
promotional expenditures should be reduced.
Limitations of the analysis
Considering sales as a direct result of promotions : It
takes time to convince a consumer to purchase the product.
Ignoring the impact of other variables on sales: sales are
affected by other marketing mix elements too other than
promotional tools.
Difficulty in predicting the marginal sales function:
estimating the exact rate at which sales will change in
response to advertising and promotion is a difficult task.
Factors Influencing Budget Setting
A. Product: Various factors related to product affect the budget
setting like: product type, stage in the PLC, complexity of
features, brand differentiation etc. for example, a newly
introduced product requires more budget to create awareness
and generate trial. On the other hand the reminder advertising
for mature brands usually comes at a cheaper cost. If the
product is very complex it needs more explanation and
frequent exposure. With the increase in frequency,
expenditures increases as well. Also products with little or
more differentiation, can call for heavy advertising. If a
product is a near commodity, it needs to advertise more if it
wants to establish a distinct image.
For example: Captain Cook salt established itself as the
premium salt brand and differentiated itself from Tata Salt
through heavy advertising. The advertising helped in
building an image permitted it to charge Rs 3/kg of salt;
double of what Tata was priced at. On the other hand, if a
product has unique features or exclusive benefits, then again
it needs to advertise more to establish those differences.
Allocation of Budget
Specifying the amount of money required for each activity and task company has to
perform
Methods of Setting Good Advertising Budget
Affordable Method
Percentage of Sales method
Competitive Parity method
Objective and task method
Brand
A brand by definition is a sign of identity, the mark or label which
differentiates one product from another. A brand is also a symbol
encompassing the key features of a product such as its physical features,
its price and its image.
According to Sir Anthony Tennant (1994), ‘A brand name is particularly
important for functional products which operate in such in such market
sectors as household goods, motor oil and stationary, where rival brands
all perform the same practical purpose and there is little, other than the
name, to distinguish between them.”
According to Stobart (1994) the brand or label given to a representational
product is equally important. Consumers, he writes, ‘purchase perfumes,
Scotch Whisky and luxury cars not so much for their practical purpose,
but more for the inherent qualities and image they project. Clearly these
intangible messages can say as much about the purchaser as about the
product.
Brands are supported and nurtured by advertising and
promotional initiatives. From brands the emphasis has shifted
to ‘power brands’ and ‘super brands’. Power brands and super
brands are supposed to be all pervasive. They are comfortable
at home and on the international turf.
Michael Levine (2003) reiterates this when he says that
branding is not simply giving a name to a product or creating a
logo, it is not an advertising campaign or a marketing slogan.
Quoting Karn Benezra, editor of Brand Week who said, ‘There
are so many parity products out there that the only way to
differentiate yourself from the others is to create an aura, an
image, around your brand. Consumers need a road map; they
need to find a way to get from their need to a product purchase
that’s simple, easy, not full of a lot of noise and most brands get
lost somewhere between the shelf and the consumer mindset.’
Basic Concepts of a Brand
Product Line: It means a cluster of products that may be
closely related by functional benefits such as price, place of
purchase, or the customer group. For example, Surf has Surf
Excel, Surf Supermatic, surf Bar all in the detergent
category. A product line can also comprise products in
various denominations based on price or packaging for
example, Head & Shoulders shampoo in packaged in 200
ml, 500 ml and also in sachets.
Product Mix: It refers to a group of various product lines
and items that a shop may offer, such as Westside has
jewelery, clothing line, household items and cosmetics etc or
a company like the Tata Group has steel, motors, tea, hotels,
consultancy. Etc
Depth of Product Line: This refers to various variants a
product may have, for example, Maruti Suzuki has many sizes
of cars with a view to appeal to every age, pocket and class at
various prices. Depth is also seen as an expression for the way
the line spreads outward in many directions, designed to attract
other buyers from other sectors of society.
Line consistency: This refers to how closely related the
products are in end use. For example, Tata has cars, trucks and
Suvs under the same banner. Line consistency, in short can be
defined as the way external products relate back to the core
product.
Width of Product Mix: A product mix can be defined as a
mix of length, width and depth of products of a company. For
instance, P&G produces many product lines: Hair care
products, health care products, personal hygiene products,
detergents, beverages, food etc.
Line Extension: When the seller adds a new product to a line, it
is referred to as a line extension, for example, IFFCO added
insurance to its portfolio.
Product Line Decisions: companies follow product line
analysis, product line length, line modernization decisions and
line pruning decisions. The companies keep in view product
cycle stage, competition, sales and profits in order to determine
which product needs to be built, sustained or divested. For
example Maruti 800 was gradually eliminated and replaced by
Alto.
Product Line Analysis: This is basically the comparison of
product line sale and profit with that of competitors. For instance,
Chevrolet Spark’s price was reviewed in its lowest segment to be
in tune with competitive cars.
Product line Sales and Analysis: the product line manager
learns about the percentage of total sale and profit contributed by
each item in the product line. This enables the product line
manager to decide upon the kind of marketing strategy to
undertake. Sometimes, competitive brands adjust their prices just
to be competition. For instance, Honda, Maruti Suzuki and
Toyota started a virtual price war after a dip in their sales in July
2011 ( The economic Times, August 8, 2011)
G
June Valladares (Author of ‘Ideate with June a Valladares) : in
creative thinking the system often fails and the mind refuses
to work perhaps it is log jammed with information and over
ideation or just plumb weary.
A big idea cannot be forced it can only be wooed.
Bernstein’s Double ended funnel model of the creative
process
Types of Headlines
1. Benefit: Most effective of all, direct benefit headlines do not
beat around the bush. They straightaway tell you why you
should use the product. Garnier Pure asks,
‘ Sudden Pimples? Zap them in just 24 hours’
Alternatively, reverse benefit headlines tell you what you will lose
if you don’t buy the advertised product.
2. News: news headlines are not only used for new introductions
but also for modifications, reformations, new styles and new
uses. New is the most powerful word in a copywriter’s
dictionary. It can be alternated with introducing, presenting,
now improved etc. inappropriate and over use must be avoided.
“Now, 3 daily morning flights between Mumbai and Delhi
within just one hour. Only with Jet Airways.”
3. Factual: Trivia too can generate interest as people love to read
interesting tidbits. They may forget the details but remember
the larger picture that the ad draws.
“ Best actor. Best actress. Best writer. Best director.
Sholay won none of these.”