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Brand Management

Elective – 1
BBA- Marketing
Semester - VI
Strategic brand
building and
management process
Step - 5
Identify Brand Positioning
Identifying brand positioning
5 basis
 To communicate the value
proposition to the consumers we
consider positioning the brand in
their minds
 Positioning
 something targeted towards the minds
of the consumers
 Effective when customer thoughts =
core identity
Example

Started as coffee house


at Seattle waterfront
and with the seafaring
history of its home city,
the logo had
information about
products and a siren in
the center.
Example
Starbucks logo cleaned up a
bit in 1987. A more corporate
polished look and feel was
given to the design.
Despite of all the dramatic
changes made to the design,
like removing tea and spices
to lure coffee lovers from
everywhere, the logo retained
its original ‘Mermaid/ siren’
icon.
Example
Starbucks logo was further
redesigned to celebrate its
40th anniversary.
Streamlined logo design
featured the enlarged image of
the mermaid in green color.
The wordmark and the stars
disappeared.

2011
COFFEE
CUP
The Cup
Engineered with
paper finish outside The brew
but plastic coating From original 8
inside to prevent ounces to 12, 16, 20
leakage and 31 ounce cups are
available

The mascot
Intact in all it’s products
is the siren – greek
mythology or the The lid
mermaid. Recognized Engineered to avoid
by all – good brew, high spilling. In 2011 debut of
quality, coffee. the ‘Coffee lid Sip hole
plug stopper’ happened.
Positioning
The unique place the brand occupies in the minds of
the customers.

or

Arranging (logo, symbol, name, ambassadors, etc.) for a


product to occupy a clear, distinctive and desirable place
in the market and in the minds of the target consumers.
Positioning
 For successful positioning:
Firstly:

- Ensure brand is distinguished and distinct from other brands in the


market
Positioning
 For successful positioning:
Secondly:

- Brand needs to occupy a desirable place in consumer’s mind


Positioning
 Allows a brand to create top of mind recall
 Allows a brand to own an edge over competing ones
 Allows brands to develop unique marketing mix
 Allows services to overcome the burden of intangibility
 Allows a brand to own a unique position among consumers
Brands own unique position – within category

Example: Malt based drinks


Ad campaign – malt based drinks

Positioned as:
Pleasurable
nourishment to
increase performance
and growth
Ad campaign – malt based drinks

Positioned as: to
take on physical and
mental challenges
Ad campaign – malt based drinks

Positioned as: For


those picky eaters,
one drink to boost
physical growth
Ad campaign – malt based drinks

Positioned as: Complete


planned food
Focus areas: Positioning
 Brand values
 Coining the tagline after a carefully thought out positioning
statement
Brand values
 Develop a distinctive image
 Build competitive advantage for the brand
 Focus on positioning that leads to top of mind recall
Brand Values
 Technology level for safety and sturdy
vehicles
 Caring
 Comfortable
 Custom built as per market needs
 International name – Leyland
 From local place – Ashok
 Trust
 Relationship
Coining the positioning statement
 Winning statement:
 Short
 Compelling
 Declarative statements with one benefit
 Addresses target market’s No. 1 problem
Focus areas
 For (target customers)
 Who (have the _________ problem)
 Our product is a (product as a solution)
 That provides (breakthrough capability)
 Unlike (reference to a competition)
 Our product/ solution (key point of competitive
differentiation)
Developing an apt positioning
statement

win others with fresh breath as quick lifestyle seekers


between 18 – 24 years need it.

refreshing gel toothpaste

gives you confidence of fresh breath

• Others, for more than 12 hours


• Has deep action benefits for fresher breath + whiter teeth
• World Dental Federation recommends it
Taglines are created from the positioning statement
Example
Positioning
Positioning
Segmentation
• Consumer based
• Buying situation based
Selecting an apt
Targeting
• Evaluate market segment positioning strategy
• Select market segment

Identification of brand benefits

Changing Situational Analysis


consumer • Internal Corporate Analysis
trends Analysis of differentiation • Current Positioning
possibilities of the brand image • External Market analysis
• Points of differentiation o PESTEL
• Points of parity o SWOT
Competitor
Analysis

Selecting the strategy


1 Segmentation
 2 ways to segment market

Segmentation

Consumer-based Buying situation-based

Occasion
Geographic Demography
Location

Special Benefit
Psychographic
Factors
Regular
Consumer based eg: Brand name
change
Consumer based segmentation
 Geographic location:
 Metros
 Cities
 Demography
 Urban India
 Middle class
 Psychographic Factors:
 Cricket
 Seek new things +++++
Birth
of
Zoo
zoo
Buying situation-based segmentation
FRAGRANCE CATEGORY

Special
Regular
Benefit
Targeting
 Focus: Segment attractiveness 2
 Factors affecting attractiveness:
 Competition: direct and substitute
 Bargaining power of buyers
 Bargaining power of suppliers
 Company objectives
 Available resources: sales, legal, delivery, etc.
Segmentation
• Consumer based
• Buying situation based
Selecting an apt
Targeting
• Evaluate market segment positioning strategy
• Select market segment

Identification of brand benefits

Changing Situational Analysis


consumer • Internal Corporate Analysis
trends Analysis of differentiation • Current Positioning
possibilities of the brand image • External Market analysis
• Points of differentiation o PESTEL
• Points of parity o SWOT
Competitor
Analysis

Selecting the strategy


Brand benefits –
3 Product category
 Identify the benefits target consumers seek

Acquiring
Features cost

?
PRICE
Brand Benefits - example

COOKING OIL
Early habits – late 1980’s

Major Drawback: non-refined


Habit change – 1990 onwards
Refined oil
Brand benefits changed
Re-thinking ‘oily-creativity’
Segmentation
• Consumer based
• Busing situation based Selecting an apt
Targeting strategy
• Evaluate market segment
• Select market segment

Identification of brand benefits

Changing Situational Analysis


consumer • Internal Corporate Analysis
trends Analysis of differentiation • Current Positioning
possibilities of the brand image • External Market analysis
• Points of differentiation o PESTEL
• Points of parity o SWOT
Competitor
Analysis

Selecting the strategy


Consumer behavior and trends
 Follow consumer changing habits closely

Input4
Example

Would you buy a mask worth NRs. 3200/- onwards?


Compatible production line with latest trends (late 2019 –
early 2020)

Chinese electric car maker BYD said it's operating the world's largest
face mask factory less than a month after starting production in
response to the COVID-19 outbreak, according to a press release
issued Friday and first reported by Bloomberg.

"[BYD] has created the world's largest mass-produced face masks


plant. The plant is now running at full capacity and is able to produce
5 million masks and 300,000 bottles of disinfectants per day," the
release said.
Competitor analysis
 Purpose of analyzing the competition:
 Identify their positioning base
Input4
 Make informed decision
 Develop ability to differentiate in consumers’ mind
 Differ within category
Segmentation
• Consumer based
• Busing situation based Selecting an apt
Targeting strategy
• Evaluate market segment
• Select market segment

Identification of brand benefits

Changing Situational Analysis


consumer • Internal Corporate Analysis
trends Analysis of differentiation • Current Positioning
possibilities of the brand image • External Market analysis
• Points of differentiation o PESTEL
• Points of parity o SWOT
Competitor
Analysis

Selecting the strategy


Example
Constraints
 Media dark areas
 Unaware rural population
 Products that meet rural needs
 How to reach?
 How to make consumers aware?
Free entertainment with ads
Balance POP & POD mix
Example
Segmentation
• Consumer based
• Busing situation based Selecting an apt
Targeting strategy
• Evaluate market segment
• Select market segment

Identification of brand benefits

Changing Situational Analysis


consumer • Internal Corporate Analysis
trends Analysis of differentiation • Current Positioning
possibilities of the brand image • External Market analysis
• Points of differentiation o PESTEL
• Points of parity o SWOT
Competitor
Analysis

Selecting the strategy


5 Selecting the strategy

 Organization decides on its key POPs and PODs


 It should add value to brand to build brand equity
Consumer’s changing needs/ habit
 Avg. minutes women spend in front of mirror
 Avg. minutes men spend in front of mirror

20 minutes
versus
18 minutes
Become best: meet consumer needs
Enter a new category
Become best: overcome competitor’s move

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