This action might not be possible to undo. Are you sure you want to continue?
Courtesy of: Prof. Kevin L. Keller Amos Tuck School of Business Dartmouth College, USA
Adrian Monoranu email@example.com www.monoranu.ro http://twitter.com/monoranu http://youtube.com/monoranu http://facebook.com/monoranu
What is a Brand?
A brand is a name, term, sign, symbol, or design which is intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.
New Branding Challenges
Brands are important as ever
Consumer need for simplification Consumer need for risk reduction
Brand management is as difficult as ever
Savvy consumers Increased competition Decreased effectiveness of traditional marketing tools and emergence of new marketing tools Complex brand and product portfolios
The Customer/Brand Challenge
In this difficult environment, marketers must have a keen understanding of:
customers brands the relationship between the two creating brand equity*
*Brand equity refers to the marketing effects or outcomes that accrue to a product with its brand name compared with those that would accrue if the same product did not have the brand name ± Kevin Lane Keller ± 2003.
The Key to Branding
For branding strategies to be successful, consumers must be convinced that there are meaningful differences among brands in the product or service category. Consumer must not think that all brands in the category are the same. PERCEPTION = VALUE
and manage brand equity.Strategic Brand Management Strategic brand management involves the design and implementation of marketing programs and activities to build. measure. The strategic brand management process is defined as involving four main steps: 1) 2) 3) 4) Identifying and establishing brand positioning and values Planning and implementing brand marketing programs Measuring and interpreting brand performance Growing and sustaining brand equity 6 .
Strategic Brand Management Process STEPS Identify and Establish Brand Positioning and Values KEY CONCEPTS Mental maps Competitive frame of reference Points-of-parity and points-of-difference Core brand values Brand mantra Mixing and matching of brand elements Integrating brand marketing activities Leveraging of secondary associations Brand Brand Brand Brand Value Chain audits tracking equity management system Plan and Implement Brand Marketing Programs Measure and Interpret Brand Performance Grow and Sustain Brand Equity Brand-product matrix Brand portfolios and hierarchies Brand expansion strategies Brand reinforcement and revitalization 7 .
com/brand-positioning-tips/ Chris Grams 8 . Acknowledge! http://darkmattermatters.Bookmark. Read.
9 . as compared to if the same product or service did not have that name. Brand equity is defined in terms of the marketing effects uniquely attributable to the brand. Brand equity relates to the fact that different outcomes result in the marketing of a product or service because of its brand name.The Concept of Brand Equity The brand equity concept stresses the importance of the brand in marketing strategies.
uni-svishtov.pdf 10 .The Concept of Customer-Based Brand Equity Customer-based brand equity Differential effect Customer brand knowledge Customer response to brand marketing http://mktg.bg/ivm/resources/CustomerBasedbrandEquityModel.
and unique brand associations in memory 11 . favorable.Determinants of Customer-Based Brand Equity Customer is aware of and familiar with the brand Customer holds some strong.
.Building Customer-Based Brand Equity Brand knowledge structures depend on . . The initial choices for the brand elements The supporting marketing program and the manner by which the brand is integrated into it Other associations indirectly transferred to the brand by linking it to some other entities 12 .
Brand Elements A variety of brand elements can be chosen that inherently enhance brand awareness or facilitate the formation of strong. favorable. and unique brand associations: Brand Name Logo Symbol Character Packaging Slogan 13 .
Brand Elements Choice Criteria: General Considerations Memorable Easily Recognized Easily Recalled Adaptable Flexible & Updateable Protectable Legally Competitively Meaningful Credible & Suggestive Rich Visual & Verbal Imagery Transferrable Within & Across Product Categories Across Geographical Boundaries & Cultures 14 Appealing Fun & Interesting Aesthetics .
and affinity Command larger price premiums Receive greater trade cooperation & support Increase marketing communication effectiveness Yield licensing opportunities Support brand extensions.Benefits of Customer-Based Brand Equity Enjoy greater brand loyalty. usage. 15 .
Customer-Based Brand Equity as a Bridge Customer-based brand equity represents the added value endowed to a product as a result of past investments in the marketing of a brand. Customer-based brand equity provides direction and focus to future marketing activities 16 .
Motivation for Customer-Based Brand Equity Model Marketers know strong brands are important but aren t always sure how to build one. CBBE model was designed to be comprehensive cohesive well-grounded up-to-date actionable 17 .
Rationale of Customer-Based Brand Equity Model Basic premise: Power of a brand resides in the minds of customers Challenge is to ensure customers have the right types of experiences with products & services and their marketing programs to create the right brand knowledge structures: Thoughts Feelings Images Perceptions Attitudes 18 .
Identifies areas of strength and weakness Provides guidance to marketing activities 19 .Building Customer-Based Brand Equity Building a strong brand involves a series of steps as part of a branding ladder A strong brand is also characterized by a logically constructed set of brand building blocks.
Consumer-Based Brand Equity Framework Brand Recognition Brand Awareness Non-Product-Related (e. User and Usage Imagery) Brand Recall Attributes Product-Related (e. Price. size.. color. and Uniqueness of Brand Association Benefits Functional Symbolic Overall Evaluation (Attitude) Experiential 20 .g. design features) Brand Knowledge Types of Brand Associations Brand Image Favorability. Strength.. Packaging.g.
PERFORMANCE IMAGERY MEANING = What are you? 1. IDENTITY = SALIENCE Who are you? 21 . RELATIONSHIPS = RESONANCE What about you & me? 3. RESPONSE = JUDGMENTS FEELINGS What about you? 2.CUSTOMER-BASED BRAND EQUITY PYRAMID 4.
Salience Dimensions Depth of brand awareness Ease of recognition & recall Strength & clarity of category membership Breadth of brand awareness Purchase consideration Consumption consideration 22 .
Performance Dimensions Primary characteristics & supplementary features Product reliability. and empathy Style and design Price 23 . durability. and serviceability Service effectiveness. efficiency.
Imagery Dimensions User profiles Demographic & psychographic characteristics Actual or aspirational Group perceptions -.popularity Purchase & usage situations Type of channel. competence.). etc. sophistication. location. excitement. & ruggedness History. and context of usage Personality & values Sincerity. month. year. & experiences Nostalgia Memories 24 . specific stores. week. ease of purchase Time (day. heritage.
Judgment Dimensions Brand quality Value Satisfaction Brand credibility Expertise Trustworthiness Likability Brand consideration Relevance Brand superiority Differentiation 25 .
Feelings Dimensions Warmth Fun Excitement Security Social approval Self-respect 26 .
a little pleasure ) Proud of brand Sense of community Kinship (the state of having common characteristics or a common origin) Affiliation Active engagement Seek information Join club Visit web site. chat rooms 27 .Resonance Dimensions Behavioral loyalty Frequency and amount of repeat purchases Attitudinal attachment Love brand (favorite possessions.
BROAD BRAND AWARENESS 28 . ACTIVE LOYALTY Consumer Judgments Consumer Feelings RATIONAL & EMOTIONAL REACTIONS Brand Performance Brand Imagery POINTS-OFPARITY & POINTS-OFDIFFERENCE Brand Salience DEEP.Customer-Based Brand Equity Model ConsumerBrand Resonance INTENSE.
& EXPERIENCES CATEGORY IDENTIFICATION NEEDS SATISFIED 29 . HERITAGE. EFFICIENCY.Sub-Dimensions of CBBE Pyramid LOYALTY ATTACHMENT COMMUNITY ENGAGEMENT QUALITY CREDIBILITY CONSIDERATION SUPERIORITY WARMTH FUN EXCITEMENT SECURITY SOCIAL APPROVAL SELF-RESPECT PRIMARY CHARACTERISTICS & SECONDARY FEATURES PRODUCT RELIABILITY. DURABILITY & SERVICEABILITY SERVICE EFFECTIVENESS. & EMPATHY STYLE AND DESIGN PRICE USER PROFILES PURCHASE & USAGE SITUATIONS PERSONALITY & VALUES HISTORY.
and unique brand associations 30 .Brand Positioning Define competitive frame of reference Target market Nature of competition Define desired brand knowledge structures Points-of-parity necessary competitive Points-of-difference strong. favorable.
Issues in Implementing Brand Positioning Establishing Category Membership Identifying & Choosing POP s & POD s Communicating & Establishing POP s & POD s Sustaining & Evolving POD s & POP s 31 .
Establishing Category Membership Product descriptor Exemplar comparisons 32 .
defensible & difficult to attack 33 .Identifying & Choosing POP s & POD s Desirability criteria (consumer perspective) Personally relevant Distinctive & superior Believable & credible Deliverability criteria (firm perspective) Feasible Profitable Pre-emptive.
Major Challenges in Positioning Find compelling & impactful points-ofdifference (MacMillan & McGrath. 97) How do people become aware of their need for your product and service? How do consumers find your offering? How do consumers make their final selection? How do consumers order and purchase your product or service? What happens when your product or service is delivered? How is your product installed? How is your product or service paid for? 34 . HBR.
Major Challenges in Positioning Find compelling & impactful points-ofdifference (cont.) How is your product stored? How is your product moved around? What is the consumer really using your product for? What do consumers need help with when they use your product? What about returns or exchanges? How is your product repaired or serviced? What happens when your product is disposed of or no longer used? 35 .
Communicating & Establishing POP s & POD s Create POP s and POD s in the face of attribute & benefit trade-offs Price & quality Convenience & quality Taste & low calories Efficacy & mildness Power & safety Ubiquity & prestige Comprehensiveness (variety) & simplicity Strength & refinement 36 .
cobrand) Re-define the relationship from negative to positive 37 ..g.Strategies to Reconcile Attribute & Benefit Trade-Offs Establish separate marketing programs Leverage secondary association (e.
Sustaining & Evolving POP s & POD s Core Brand Values & Core Brand Proposition 38 .
Relate to points-of-parity and points-ofdifference Mental Map Core Brand Values Brand Mantra 39 .Core Brand Values Set of abstract concepts or phrases that characterize the 5-10 most important dimensions of the mental map of a brand.
Nike Authentic Athletic Performance Disney Fun Family Entertainment 40 . Brand mantras are short three to five word phrases that capture the irrefutable essence or spirit of the brand positioning and brand values.Brand Mantras A brand mantra is an articulation of the heart and soul of the brand.
cost. & quality Channel Strategy Blend channel push with consumer pull Develop & brand direct marketing options 41 . Product Strategy Deliver tangible and intangible benefits Add value through customer information Communication Strategy Mix & match communication options Pricing Strategy Understand perceptions of value Balance price.Integrating the Brand Into Supporting Marketing Programs Supporting marketing mix should be designed to enhance awareness and establish desired brand image.
Personalizing Marketing Relationship Marketing provide more holistic. personalized brand experiences to create stronger consumer ties Mass customization CRM After-marketing & loyalty programs Examples Experiential Marketing Permission Marketing One-to-One Marketing 42 .
Combine brand education & entertainment Distinctive and relevant 43 . promotions.Experiential Marketing Employ multiple touch points & multiple senses Often involves special events. etc. on-line activities. contests. sampling.
Permission Marketing (Seth Godin) Permission marketing encourages consumers to participate in a long-term interactive marketing campaign in which they are rewarded in some way for paying attention to increasingly relevant messages. Anticipated Personal Relevant Permission marketing can be contrasted to interruption marketing 44 .
obvious. teaching the consumer about the product or service Must reinforce the incentive over time Must increase the level of permission the marketer receives from the customer Must leverage permission to generate profits 45 . and clearly delivered incentive to prospect to volunteer Must offer a curriculum over time.5 Steps in Permission Marketing Must offer overt.
10 Questions to Evaluate Permission Marketing Program What s the bait? What does an incremental permission cost? How deep is the permission that so granted? How much does incremental frequency cost? What s the active response rate to communications? What are the issues regarding compression? Is the company treating the permission as an asset? How is the permission being leveraged? How is the permission level being increased? What is the expected lifetime of one permission? 46 .
One-to-One Marketing: Competitive Rationale Consumers help to add value by providing information Firm adds value by generating rewarding experiences with consumers Creates switching costs for consumers Reduces transaction costs for consumers Maximizes utility for consumers 47 .
One-to-One Marketing: Consumer Differentiation Treat different consumers differently Different needs Different values to firm current future (life-time value) Devote more marketing effort on most valuable consumers (and customers) 48 .
by value and needs Interact with them more cost-efficiently and effectively Customize some aspect of the firm s behavior Brand the relationship 49 . individually and addressably Differentiate them.One-to-One Marketing: Five Key Steps Identify consumers.
worse. Tell us what s new The message must be relevant and newsworthy for people to want to tell others about it. 50 . they can then communicate this to others.Buzz Marketing (Emanuel Rosen) Keep it simple Simple messages spread across social networks more easily. lead to negative buzz. Don t make claims you can t support Making false claims will kill buzz or. Listen to the buzz Monitoring consumer reaction can yield insights such as how to improve the product or service. Ask your customers to articulate what s special about your product or service If customers can explain why they like the product or service. Start measuring buzz This can help determine which strategies generate the most buzz.
and more favorable brand associations Relationship marketing has become a powerful brandbuilding force can slip through consumer radar may creatively create unique associations may reinforce brand imagery and feelings Nevertheless. richer.Personalizing Marketing All of these approaches are a means to create deeper. there is still a need for the control and predictability of traditional marketing activities Models of brand equity can help to provide direction and focus to the marketing programs 51 .
This action might not be possible to undo. Are you sure you want to continue?
We've moved you to where you read on your other device.
Get the full title to continue listening from where you left off, or restart the preview.