A Brand is a PERSON's gut feeling about a product, service, OR ORGANIZATION. A strong brand makes people aware of what the company represents and about the different offerings of the company. Consumers flock to some brands and ignore others because behind the brand stands an unspoken promise of value.
A Brand is a PERSON's gut feeling about a product, service, OR ORGANIZATION. A strong brand makes people aware of what the company represents and about the different offerings of the company. Consumers flock to some brands and ignore others because behind the brand stands an unspoken promise of value.
A Brand is a PERSON's gut feeling about a product, service, OR ORGANIZATION. A strong brand makes people aware of what the company represents and about the different offerings of the company. Consumers flock to some brands and ignore others because behind the brand stands an unspoken promise of value.
A Brand is a PERSON's gut feeling about a product, service, OR ORGANIZATION. A strong brand makes people aware of what the company represents and about the different offerings of the company. Consumers flock to some brands and ignore others because behind the brand stands an unspoken promise of value.
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Branding Management
What is the brand
FIRST A brand is not a logo. SECOND FINALL Y A brand is not a product. So what exactly is a brand? A BRAND IS A PERSONS GUT FEELING ABOUT A PRODUCT, SERVICE, OR ORGANIZATION. It is a PERSONS gut feeling, because brands are defined by individuals, not companies, markets, or publics. ITS NOT WHAT YOU SAY IT IS. ITS WHAT THEY SAY IT IS. WHY IS BRANDING SO HOT? People have too many choices and too little time We tend to base our buying choices on trust Most offerings have similar quality and features What is a Brand? Brand is the sellers promise to deliver the same bundle of benefits/services consistently to buyers. A product is any offering by a company to a market that serves to satisfy customer needs and wants. A product can be an object, service, idea, etc. On the other hand a name becomes a brand when consumers associate it with a set of tangible and intangible benefits that they obtain from the product or service. Brands are not the same as Products. Brand name selecting process may you find trivial but it is not. Some brand names are so good that contribute to the success of product.
Brand differences are often related to attributes or benefits of product itself. Brand Elements Elements Slogans Brand names Promise Logos Personality Characters Brand Element Choice Criteria
Why do Brands Matter? The main reason consumers flock to some brands and ignore others is that behind the brand stands an unspoken promise of value. Brands have become important drivers of growth for any organization, good or service. A brand helps make a mark and differentiate a good or service from others in marketplace. A strong brand makes people aware of what the company represents and about the different offerings of the company. Brands help customers to connect to the product or service on an emotional level. A Brand is a promise that the product will perform as per customers expectations. Brands for Consumers and Sellers
Symbolic device
Lower risk
Less cost of searching for a choice
Symbol of Quality
The word Brand signifies different things to consumers and sellers. Consumers
Source of product
Brands for Consumers and Sellers Symbolic device Lower risk Less cost of searching for a choice Symbol of Quality Consumers Source of product Consumers can easily make a purchase decision based on brands. Consumers usually find brands which satisfy their need. Brands for Consumers and Sellers Symbolic device Less cost of searching for a choice Symbol of Quality The word Brand signifies different things to consumers and sellers. Consumers Source of product Brands mean lower purchase risk to consumers as they are dealing with a product or organization that they trust. Lower risk Brands for Consumers and Sellers Symbolic device Symbol of Quality The word Brand signifies different things to consumers and sellers. Consumers Source of product If the consumers recognize a particular brand and have knowledge about it, they make quick purchase decision and save lot of time. Also, they save search costs for product. Lower risk Less cost of searching for a choice Brands for Consumers and Sellers Symbolic device The word Brand signifies different things to consumers and sellers. Consumers Source of product Consumers see brands as a symbol of quality and remain committed and loyal to a brand as long as they believe that the brand will continue meeting their expectations and perform in the desired manner consistently. Lower risk Less cost of searching for a choice Symbol of Quality Brands for Consumers and Sellers The word Brand signifies different things to consumers and sellers. Consumers Source of product Brands play a significant role in signifying certain product features to consumers. Lower risk Less cost of searching for a choice Symbol of Quality Symbolic device Brands for Consumers and Sellers The word Brand signifies different things to consumers and sellers. Seller Means of Profits Legal protection of products features Satisfied customer Means of Competitive Advantage A brand helps the firms to provide consistently a unique set of characteristics, advantages, and services to the buyers/consumers. Brands for Consumers and Sellers The word Brand signifies different things to consumers and sellers. Seller Means of Profits Satisfied customer Means of Competitive Advantage Brands help to protect the unique features/traits of products by legal copyrights. Legal protection of products features Brands for Consumers and Sellers The word Brand signifies different things to consumers and sellers. Seller Means of Profits Means of Competitive Advantage Brand represents values, ideas and even personality and hence leads to an assortment of memories in customers mind and hence satisfied customers. Legal protection of products features Satisfied customer Brands for Consumers and Sellers The word Brand signifies different things to consumers and sellers. Seller Means of Competitive Advantage Brands form the basis of purchase decision among consumers and thus are a means of financial profits. Legal protection of products features Satisfied customer Means of Profits Brand positioning 1)It is the heart of marketing strategy. 2. It is the act of designing the companys offer and image so that it occupies a distinct and value place in the target customer minds. 3.How it is unique and how it is similar to competitive brands, and why consumer buy and use it.
BRAND PURPOSE To champion Redfern as a landmark destination demonstrating respectful and positive transformation; BRAND PROMISE Redfern is a special place in Sydney and the world. Building on our foundation as the heart of urban Aboriginal Australia, we are alive with art, music, culture and ideas. BRAND ESSENCE Our brand essence is Welcoming Spirit Welcoming Means BRAND VALUES Vibrant Diverse Living culture Forward thinking Unique place to live , work , play and learn Open to all current and future residents Embracing the future with an understanding of the past Socially responsible Addressing fragmentation The Role of Brands Identify the maker Simplify product handling Organize accounting Offer legal protection Signify quality Create barriers to entry Serve as a competitive advantage Secure price premium A brand promise sets an expectation of an experience. It answers the question Whats in it for the customer? An effective promise is concise, relevant, sells a benefit (not just a feature), and is backed up by the product / service. In the best case, your brand IS a promise. Southwest Airlines Nordstroms Disney
What is a Brand Promise? How Are Brand Promises Delivered? Advertising Controlled messaging Aligned messaging Horizontally - Across media types Vertically Up/Down thru Tier 1, II & III
Experiential Branded Lifestyle / Off-line content and programming Retailer / On-site transaction-based experience 1 to 1 issue resolution via Consumer Affairs / Help desk
What is Brand Management? Now, that you have learnt about brands, let us see what is brand management. Brand management is the process of building, managing and improving a brand. It begins by having a thorough knowledge of the term brand. Hence, brand management includes developing a promise, making that promise and maintaining it. It means defining the brand, positioning the brand, and delivering the brand. It is an art of creating and sustaining the brand. What is Brand Management? The tangible and intangible characteristics of brand are managed through Brand management. The tangibles for product brands include the product itself, its characteristics, features, price, packaging, etc. Whereas, in case of service brands, the customers experience forms the tangibles. The intangibles are made up of the emotional connections with the product / service. Thus, you can see that brand management is all about Branding. Branding is assembling of various marketing mix medium into a whole so as to give the product an identity. It is building a brand name that captures the customers mind. Purpose of Brand Management The main aim of branding is to differentiate a companys products and services from its competitors. Branding aims to convey a brand message vividly, create customer loyalty, persuade the buyer for the product, and establish an emotional connectivity with the customers and form customer perceptions about the product. Brand management plays a crucial role to form brands. The brand management strategies also provide good support to the brand so that it can sustain itself in long run. Also, through brand management, brands are managed and brand equity is built over a period of time. It helps in building a corporate image. Thus, only a competent brand management system can create a successful brand. Strategic Brand Management Process The Strategic Brand Management Process consists of the following four steps: Strategic Brand Management Process Identifying and Establishing Brand Position Building a Strong Brand: Four Steps of Brand Building Brand Positioning Identify and Establishing Brand Position Positioning Guidelines Customer Based Brand Equity Step 1: Identifying & Establishing Brand Position Building a Strong Brand: Four Steps of Brand Building Brand Positioning Identify and Establishing Brand Position Positioning Guidelines Identifying and Establishing Brand Position Customer Based Brand Equity (Keller) Step 1: Identifying & Establishing Brand Position Identifying and Establishing Brand Position Brand Positioning Identify and Establishing Brand Position Positioning Guidelines Step 1: Identifying & Establishing Brand Position Brand Positioning The Brand Positioning is further divided into two parts Identify and Establishing Brand Position
Positioning Guidelines Identify and Establishing Brand Position:
It is necessary to decide: Who the target consumer is Who the main competitors are How the brand is similar to these competitors How the brand is different from these competitors Basic Concepts Brand Positioning - Identify and Establishing Brand Position The Target Market can be decided based on two considerations: Segmentation Bases: a) Behavioral b) Demographic c) Psychographic d) Geographic Segmentation Criteria: a) Identifiability b) Size c) Accessibility d) Responsiveness Target Market
The following are some of the positioning guidelines that firms should follow for an effective brand positioning:
Defining and Communicating the Competitive Frame of Reference Choosing Points of Parity and Points of Difference Establishing Points of Parity and Points of Difference Updating Positioning Over Time Positioning Guidelines: Brand Positioning - Positioning Guidelines Step 2: Planning & Implementing Brand Marketing Programs Planning & Implementing Brand Marketing Programs Designing Marketing Programs to Build Brand Equity Choosing Brand Elements to Build Brand Equity Co-branding Celebrity Endorsement Criteria for Choosing Brand Elements Options and Tactics for Brand Elements Product Strategy Channel Strategy Pricing Strategy Leveraging Secondary Brand Associations to Build Brand Equity Licensing Step 2: Planning & Implementing Brand Marketing Programs Planning & Implementing Brand Marketing Programs Choosing Brand Elements to Build Brand Equity Criteria for Choosing Brand Elements Options and Tactics for Brand Elements Celebrity Endorsement Designing Marketing Programs to Build Brand Equity Co-branding Product Strategy Channel Strategy Pricing Strategy Leveraging Secondary Brand Associations Licensing Choosing Brand Elements Brand Elements are sometimes called Brand Identities. They are the trademark devices that help to identify and differentiate brands.
Nike Logo, Kingfisher, the rings of Audi etc. are brand elements.
Choosing Brand Elements to Build Brand Equity is further divided into two parts:
Criteria for Choosing Brand Elements Options and Tactics for Brand Elements
Choosing Brand Elements to Build Brand Equity - Criteria for Choosing Brand Elements Criteria for Choosing Brand Elements : The following criteria should be met to choose relevant brand elements such as: Memorability Easily Recognized, Easily Recalled Meaningfulness Descriptive, Persuasive Likability Fun and Interesting, Aesthetically Pleasing Transferability Within Cross Product Categories, Across Geographical Boundaries and Cultures Adaptability Flexible, Updateable Protectability Legally Protected, Competitively Protected Choosing Brand Elements to Build Brand Equity - Options and Tactics for Brand Elements
Options and Tactics for Brand Elements: The following are few options and tactics for Brand Elements: Brand Names: Descriptive brand names in which the function is described literally in brand name. Suggestive brand names in which the name is suggestive of a benefit provided by the brand to the customer. URLs: Keep the URLs as simple as possible, Avoid clichs, Use a new term for the real word Use catchy phrases Logos and Symbols: Various kinds that can be used are: Family Shields Fonts Symbols Abstract shapes and image Choosing Brand Elements to Build Brand Equity - Options and Tactics for Brand Elements
Options and Tactics for Brand Elements: The following are few options and tactics for Brand Elements: Jingles: These are musical slogans that help in reminding by repetition.
Examples: The axe song and O Fortuna, the Old Spice Theme Song. Characters: Characters can also be used as brand elements. Slogans: Slogans are short phrases that are descriptive or persuasive in nature and provide more info about the brands. Packaging: Packaging is an important brand element. It helps to identify the brand, convey descriptive and persuasive information through labelling, allows protection, transportation, storage and consumption of product . Step 2: Planning & Implementing Brand Marketing Programs Planning & Implementing Brand Marketing Programs Designing Marketing Programs to Build Brand Equity Product Strategy Channel Strategy Pricing Strategy Choosing Brand Elements to Build Brand Equity Co-branding Celebrity Endorsement Criteria for Choosing Brand Elements Options and Tactics for Brand Elements Leveraging Secondary Brand Associations to Build Brand Equity Licensing Designing Marketing Programs to Build Brand Equity Brand Equity can be built by focussing on designing effective marketing programs keeping the following in consideration: Product Strategy Pricing Strategy Channel Strategy
Designing Marketing Programs to Build Brand Equity
Designing Marketing Programs to Build Brand Equity Planning & Implementing Brand Marketing Programs Designing Marketing Programs to Build Brand Equity Product Strategy Channel Strategy Pricing Strategy An efficient product strategy would ensure that the product remains updated with the latest features, technology and enhancements and has something extra to offer to the customers. Product Strategy An efficient pricing strategy helps companies to best position themselves within the market. Pricing Strategy It involves developing go-to-market plans, educating channel marketers or middlemen about products or services, and motivating the members of the marketing channel to promote products and services. Hence, marketing and sales alignment is critical to an effective channel strategy. Channel Strategy Step 2: Planning & Implementing Brand Marketing Programs Designing Marketing Programs to Build Brand Equity Choosing Brand Elements to Build Brand Equity Criteria for Choosing Brand Elements Options and Tactics for Brand Elements Product Strategy Channel Strategy Pricing Strategy Planning & Implementing Brand Marketing Programs Co-branding Celebrity Endorsement Leveraging Secondary Brand Associations to Build Brand Equity Licensing
Leveraging Secondary Brand Associations to Build Brand Equity The Leveraging Secondary Brand Associations to Build Brand Equity is further divided into three parts Co-branding Licensing Celebrity Endorsement
Leveraging Secondary Brand Associations to Build Brand Equity
Leveraging Secondary Brand Associations to Build Brand Equity Planning & Implementing Brand Marketing Programs Co-branding Celebrity Endorsement Leveraging Secondary Brand Associations to Build Brand Equity Licensing Co-branding occurs when two or more existing brands are combined into a joint product or are marketed together in some fashion. A few examples are: Sony Ericsson, Tata - Fiat, SBI GE Co-branding Licensing involves contractual arrangements whereby firms can use the names, logos, characters, and so forth of other brands for some fixed fee. A few examples are: Entertainment (Ra1), Television and cartoon characters (Britannia Tom and Jerry), Licensing Celebrity endorsement helps to draw attention to the brand and to shape the perceptions of the brand. A celebrity should be greatly popular and have a high level of visibility. He or she should also have a rich set of useful associations, judgments, and feelings associated with him/her by the general public. Celebrity Endorsement Step 3: Measuring & Interpreting Performance Measuring & Interpreting Brand Performance Measuring Sources of Brand Equity Developing Brand Equity Measurement & Management System Measuring Outcomes of Brand Equity Qualitative Research Techniques Quantitative Research Techniques Comparative Methods Holistic Methods Brand Value Chain Establishing a Brand Equity Management System Designing Brand Tracking Studies Step 3: Measuring & Interpreting Performance Measuring & Interpreting Brand Performance Developing Brand Equity Measurement & Management System Brand Value Chain Establishing a Brand Equity Management System Designing Brand Tracking Studies Measuring Sources of Brand Equity Measuring Outcomes of Brand Equity Qualitative Research Techniques Quantitative Research Techniques Comparative Methods Holistic Methods Developing a Brand Equity Measurement & Management System
The Developing a Brand Equity Measurement and Management System is further divided into three parts Brand Value Chain Designing Brand Tracking Studies Establishing a Brand Equity Management System
Let us look at each one in detail.
Step 3: Measuring & Interpreting Performance Measuring & Interpreting Brand Performance Measuring Sources of Brand Equity Qualitative Research Techniques Quantitative Research Techniques Developing Brand Equity Measurement & Management System Measuring Outcomes of Brand Equity Comparative Methods Holistic Methods Brand Value Chain Establishing a Brand Equity Management System Designing Brand Tracking Studies Measuring Sources of Brand Equity: Capturing Customer Mind-Set There are two methods that are used for measuring the sources of brand equity or to capture the customers mind-set, which are as follows: Qualitative Research Techniques Quantitative Research Techniques
Let us look at each one in detail.
Measuring Sources of Brand Equity Quantitative Research Techniques Awareness Brand awareness is related to the strength of the brand in memory. Brand awareness is reflected by consumers ability to identify various brand elements. The following factors must be taken into consideration while measuring brand awareness: Recognition: This relates to consumers ability to identify the brand under different circumstances. Recall: Unaided recall means the identification with minimal cues. Aided recall means various cues were used to assist recall. Corrections for Guessing: The research data collected for measure must consider the issue of consumers making up responses or guessing. These may affect strategic brand decisions. Strategic Implications: It is important that researchers understand that recognition and recall is essential in analyzing formation of consideration sets and product decisions made by consumers. Step 3: Measuring & Interpreting Performance Measuring Sources of Brand Equity Developing Brand Equity Measurement & Management System Qualitative Research Techniques Quantitative Research Techniques Brand Value Chain Establishing a Brand Equity Management System Designing Brand Tracking Studies Measuring & Interpreting Brand Performance Measuring Outcomes of Brand Equity Comparative Methods Holistic Methods Measuring Outcomes of Brand Equity: Capturing Market Performance There are two methods that are used for measuring the outcomes of brand equity or to capture the market performance, which are as follows: Comparative methods Holistic methods
Let us look at each one in detail.
Step 4: Growing and Sustaining Brand Equity Growing and Sustaining Brand Equity Designing and Implementing Branding Strategies Introducing & Naming Products and Brand Extensions Managing Brands over Time Brand Architecture Brand Hierarchy Reinforcing Brands Revitalising Brands New Products and Brand Extensions Disadvantage s of Extensions Advantages of Extensions Step 4: Growing and Sustaining Brand Equity Growing and Sustaining Brand Equity Designing and Implementing Branding Strategies Brand Architecture Brand Hierarchy Introducing & Naming Products and Brand Extensions Managing Brands over Time Reinforcing Brands Revitalising Brands New Products and Brand Extensions Disadvantage s of Extensions Advantages of Extensions Designing and Implementing Branding Strategies Most brands are part of a wider organization. The Designing and Implementing Branding Strategies is further divided into two parts Brand Architecture Brand hierarchy
Designing and Implementing Branding Strategies Brand Architecture Brand Architecture It is the structure and organization of brands.
Breadth of Product Mix: Three factors determine the inherent attractiveness of a product category: 1. Aggregate market factors 2. Category factors 3. Environmental factors Depth of Product Mix: An important rule to remember to decide the depth of the product mix is: A product line is too short if the manager can increase long-term profits by adding items; the line is too long if the manager can increase profits by dropping items. Breadth of a Branding Strategy Flankers: Flanker brands are used to create stronger points of parity with competitors brands. Cash Cows: In firms, there are some brands that retain loyal customers and generate healthy profits with virtually no market support. Low-end Entry-level / High-end Prestige Brands: The first category low-end entry- level are called traffic builders and they are able to trade up customers to the higher-priced brands. Depth of a Branding Strategy: Designing and Implementing Branding Strategies Brand Hierarchy Brand Hierarchy It is a means of summarizing the branding strategy by displaying the number and nature of common and distinctive brand elements across the firms products. It helps to reveal the explicit ordering of brand elements.
A simple representation of possible brand elements and thus, potential levels of a brand hierarchy might be as follows: 1. Corporate brand e.g. Chrysler-Daimler 2. Family brand e.g. Mercedes-Benz 3. Individual Brand e.g. 1000 SEL 4. Modifier (designating item or model) LX / VX Potential Levels of Brand Hierarchy: Brand hierarchy is a means of summarizing the branding strategy by displaying the number and nature of common and distinctive brand elements across the firms products. It helps to reveal the explicit ordering of brand elements.
Let us now look at how brand hierarchy can be built within a firm. This can be done in two ways: By Building Equity at Different Hierarchy Levels By Creating Corporate Image Dimensions Brand Hierarchy Built within a Firm: Step 4: Growing and Sustaining Brand Equity Growing and Sustaining Brand Equity Introducing & Naming Products and Brand Extensions New Products and Brand Extensions Disadvantage s of Extensions Advantages of Extensions Designing and Implementing Branding Strategies Managing Brands over Time Brand Architecture Brand Hierarchy Reinforcing Brands Revitalising Brands Introducing and Naming New Products and Brand Extensions The Introducing and Naming New Products and Brand Extensions is further divided into three parts New Products and Brand Extensions Advantages of Extensions Disadvantages of Brand Extensions
Step 4: Growing and Sustaining Brand Equity Designing and Implementing Branding Strategies Introducing & Naming Products and Brand Extensions Brand Architecture Brand Hierarchy New Products and Brand Extensions Disadvantage s of Extensions Advantages of Extensions Growing and Sustaining Brand Equity Managing Brands over Time Reinforcing Brands Revitalising Brands Managing Brands over Time
It is very important to understand the long term effects of marketing activities on the brand equity. Firms should carefully consider the consumer response to past marketing activities, the brand awareness and image, as well as the customer response to current marketing activities and to predict the response to future activities. Analyzing this information will help firms to manage the brands over a long period of time. There are various strategies that are used to manage the brands over a long period of time which are as follows: Reinforcing Brands Re-vitalising Brands
Brand Management Guidelines Establish and Maintain the Brand It is necessary that for establishing and maintaining a brand, a holistic approach, or an overall brand strategy is used. 1 Maintain Consistency between the Brand Strategy and Overall Business Goals The brand strategy should be in line with the overall business goals of the organization. 2 Select Proper License Partners The profile of the ideal license partner should be developed and the focus should be to ensure long-term relationships with the licensors and licensees. Maximize the Strategic Advantage of the Brand It is important that organizations focus on maximizing the leverage of the brand. 3 Decide about License Agreements: The decision of whether the license agreement should be exclusive or nonexclusive will have important implications for all of the business. 4 Enforce Key Provisions through License agreements Enforcing various important concerns such as quality control standards and reporting standards can be done through a properly charted out license agreements. 5 7 8 6 Affix Products & Services An effective strategy of brand management is to ensure that the brand is associated to the most popular products and services offered by the licensees products and services. Actively Integrate the Brand Management Strategy into Product Development and Launch Activities It is important that the Companies actively integrate the brand strategy into product development and launch activities by using a clear and proactive strategy. The following key points provide some strategic brand management guidelines that should be adapted when developing and implementing a brand management strategy. Brand Strategy Defined The purpose of a brand strategy is to provide a plan for the systematic development of a strong coherent brand in order to enhance revenue and profits. The strategy should be driven by the principles of differentiation and sustained consumer appeal.
The brand strategy should influence the total operation of a business to ensure consistent brand behavior in the marketplace and consistent brand experiences for the customer. Trends Motivations/Sweet spots Decision-making process/criteria Higher level benefits Image/Identity gaps New Segments Unmet needs Where to Find Insights The purpose of a target insight is to describe how a meaningful connection can be established between what the brand offers and the targets explicit or implicit needs in order to help identify a relevant brand promise. Branding Who are you Positioning Identity Core values, core purpose, core attributes and business model Definition of your customers, competitors, differentiation and brand touch points Your brand name, Brand design standards, and key touch point concepts Communication Internal External Living the brand Marketing plan Product/service design, Systems and procedures and brand culture maintenance Website, Collateral, Packaging, PR, Advertising, Environments, Interactive, Media, etc. Operations Marketing Core Brand Core Brand 53 Brand Strategy and Marketing Strategy Brand Strategy is separate from the 4Ps. It guides and inform decisions about every aspect of the marketing mix.
I. Corporate Objectives & Brand Portfolio
II. Marketing Objectives
III. Brand Strategy Communications Strategy Product and Pricing Strategy Channel and Distribution Strategy IV. Marketing Execution & Monitoring Strategic Marketing Process Brand Strategy is an integral part of the overall strategic marketing process. It helps to bridge the gap between business strategy and marketing strategy.
Brand Strategy Process Target & Insight Brand Execution Brand Elements Competitive Assessment Brand Inventory Equity Pyramid Positioning Objectives & Metrics Personality Communications Strategy Brand Experience Map Brand Strategy Brand Audit CRM & Community Building Points of Parity and Difference The process of creating a brand strategy begins with a brand audit and ends with a plan for executing the brand across all touch points. It can be generally thought of as having three stages.. Insights Examples Mastercard Priceless campaign What we found was that people buy things because of how those things make them feel So the idea is that the item allows you to get to some other place in your life that makes you feel good.
National Youth Anti-Drug Program Above the Influence campaign We wanted to elevate the conversation to make it more pro-me than anti-drug. We know teens are very sensitive to influences, positive and negative, from peers and the media. Thats why we positioned it so teens would see influence as the enemy and marijuana as one of the influences that gets in their way. Its a way of empowering them so they can stand on their own at a key moment of choice seeing that they could be above the influence.
The purpose of a PODs analysis is to identify what ideas from our brand and competitive brands are most meaningful and potentially differentiating.
The purpose of a POPs analysis is to identify which category benefits are critical for establishing credibility. Brand Pyramid
Resonance Consumer Judgments
Consumer Feelings
Brand Imagery
Brand Performance
Salience
The purpose of the brand equity pyramid is to outline the basic building blocks of a what the brand should stand for in order to guide the process of building brand equity. It is the basis for determining key elements of the brand strategy brand vision, brand positioning, and brand personality and brand measurement. Identity Relationship Response Meaning Brand Equity Pyramid The model was developed by Kevin Keller, professor of brand strategy at Dartmouth, based on his Customer Based Brand Equity Model (CBBE). Keller is the author of two definitive texts on brand building. The pyramid is just one of 4-5 leading representations of the components of brand equity. Other models include Y&Rs Brand Asset Valuator, Millward Browns BrandDynamics model, etc. While each model has its adherents, upon closer scrutiny, they are all very similar in their content and purpose. Whichever is selected, what is important is that it provide a shared basis for understanding what is meant by brand equity and how this construct applies to your brand. Brand Positioning The purpose of brand positioning is to explain how the brand will create a sustainable competitive advantage in the minds of prospects & customers in order to win loyal customers and ensure revenue and profits. For (Target), (Brand/Company) is the only/best (consumer frame of reference) that (statement of key benefit or guiding value), because/by (reason to believe, key credibility point). Evaluation Criteria: Brand Fit, Customer Relevance, Uniqueness, Sustainability, Credibility
Positioning Building Blocks
SUPPORT BENEFIT
Category definition Need state or problem
Product quality or value Most Reputable Company Service or delivery difference Homeowners/Business owners Adults 35+; HHI $50,000+ Aware of ------ Experiencing ----- Branding stage Vision Brand Strateg y Conception Design Production Launch Branding and Stage Gate Process Your logo Ideation Preliminary investigation Detailed investigation Development Testing and validation Full product and market launch PIR Gate 1 Gate 2 Gate 3 Gate 4 Gate 5 Postimplementation review Initial screen Second screen Decision on business case Postdevelopment review Precommunication business analysis 4. Design brand strategy 2. Map existing brand culture Advertising public relations corporate communications pricing promotions personal selling channels/ retail 1. Identify goals that branding can address 3. Analyze competition and environment to identify branding opportunity 5. Preliminary evaluation of brand 6. Full evaluation of brand Branding and Stage Gate Process Your logo Ideation Preliminary investigation Detailed investigation Development Testing and validation Full product and market launch PIR Gate 1 Gate 2 Gate 3 Gate 4 Gate 5 Postimplementation review Initial screen Second screen Decision on business case Postdevelopment review Precommunication business analysis Advertising public relations corporate communications pricing promotions personal selling channels/ retail 5. Preliminary evaluation of brand 4. Design brand strategy 3. Analyze competition and environment to identify branding opportunity 1. Identify goals that branding can address 6. Full evaluation of brand 2. Map existing brand culture Strategic Brand Assessment An Inside Out Look At Brand Opportunities and Vulnerabilities Most marketers have a good Outside In perspective on their brands. Awareness Trial Penetration Consumer Attitudes Brand Ratings Preference Scores All important measures of marketing effectiveness. But Increasingly, the success of a brand is not just the result of well crafted marketing programs. Strong brands are those that have achieved alignment of values with both internal and external audiences. Think: Starbucks, Southwest Airlines, Google, Nordtroms. A strong brand is the result of effective marketing plus: Corporate vision. Culture and Structure. Management. Internal Communications. Customer Services The Strategic Brand Assessment delivers an Inside Out perspective by providing insights and perceptions An Inside Out Perspective From three critical audiences: Executives, Employees, Channel Partners A brand is a name or symbol used to identity the source of the product. The brand can add significant value when it is well recognized and has positive associations in the mind of the consumer. This concept is known as brand equity. BRAND EQUITY NEED FOR BRAND EQUITY Values of brand equity ? Value to the customer ? Value to the firm ? PERSPECTIVES OF BRAND EQUITY Financial Brand extension Consumer based Brand is an intangible asset that produces added benefits for the business. This is the domain of strategic brand management : how to create value with brand management. Loyalty (price premium, satisfaction). Perceived quality (popularity). Association (brand personality, organizational association). Awareness (brand awareness). Market behavior (market share). Brand equity is a set of brand assets and liabilities linked to a brand Earning wealth and recognized through the power of brand name or symbol. A brand is a name or symbol used to identity the source of the product. The brand can add significant value when it is well recognized and has positive associations in the mind of the consumer. This concept is known as brand equity. NEED FOR BRAND EQUITY Values of brand equity ? Value to the customer ? Value to the firm ?
PERSPECTIVES OF BRAND EQUITY Financial Brand extension Consumer based
Elements of Brand Equity: Brand Loyalty Brand Awareness Perceived Quality Brand Associations Measuring Brand Loyalty Purchase Behavior Patterns Switching Cost Analysis Satisfaction Measurement Strategic Value of Brand Loyalty Reduce marketing cost Trade (channel distribution) leverage Attracting new customers
Brand Strategy Developing Brand Vision Establishing Brand Position Fulfilling Brand Contract Communicating Brand Position ASPECTS OF BRAND EQUITY Brand Brand awareness Brand association Brand loyalty Brand position Brand proposition Brand equity MEASURING BRAND EQUITY Loyalty (price premium, satisfaction). Perceived quality (popularity). Association (brand personality, organizational association). Awareness (brand awareness). Market behavior (market share). What does the brand stand for? (brand essence) Health, vitality, enhanced water, enhanced lifestyle, trendy Not your ordinary bottled water Hydration for every occasion tagline What are the respective brand images? Healthy, rejuvenating miracle elixir, for people on the go, status symbol (you want to be seen with Vitamin Water) What perceptions does the brand seek to establish? There is a new kid on the block a delicious, nutritious, flavoured water one for every need Brand Equity Concept Brand Equity Customer- based Market - based Brand Equity is the value, both tangible and intangible, that a brand adds to a product/service; the added value a brand name identity brings to a product or service beyond the functional benefits provided. The customer based brand equity focuses exclusively on the relationship customers have with the brand The market based brand equity aims at producing measures in dollars, euros or yen. The concept of brand equity is measured in two terms:
Brand Equity Concept You can see that when a commodity becomes a brand, it is said to have equity. Brand equity is the premium a brand can command in the market or the difference between the perceived value and the intrinsic value. Brand equity can be thought of as the "added value" endowed to a product in the thoughts, words, and actions of consumers. There are many different ways that this added value can be created for a brand. Therefore, it is important that Brand Equity should be nourished and replenished. Brand Equity Concept Companies must take care of its brands so that the brand equity is not diluted or dissipated. A few examples of products with excellent brand equity include Google, Nike and Starbucks. Let us now look at the process of building brands. Measuring Brand Equity Brand Audits Brand Tracking Brand Valuation Steps in Calculating Brand Equity Market segmentation Financial analysis Role of branding Brand strength Brand value calculation WHAT IS BRAND EQUITY Awareness Familiarity Image and personality Associations Availability Preference Loyalty Building a Strong Brand a great product Building a Strong Brand a great product brand image Building a Strong Brand a great product brand image customer experience Building a Strong Brand a great product brand image customer experience GREAT PRODUCT BRAND IMAGE CUSTOMER EXPERIENCE Building a Strong Brand CUSTOMER-CENTRIC MARKET STUDY BRAND IMAGE CUSTOMER EXPERIENCE GREAT PRODUCTS Building a Strong Brand CUSTOMER-CENTRIC MARKET STUDY BRAND IMAGE CUSTOMER EXPERIENCE MARKETING SUPPORT AND PEOPLE DEVELOPMENT GREAT PRODUCTS High Brand Equity CUSTOMER-CENTRIC MARKET STUDY BRAND IMAGE CUSTOMER EXPERIENCE MARKETING SUPPORT AND PEOPLE DEVELOPMENT GREAT PRODUCTS #1
BRAND BUILDING PRINCIPALS 1. Brand Asset Valuator Differentiation Energy Relevance Esteem Knowledge
2. Brandz Presence Relative Performance Advantage Bonding High Loyalty Low Loyalty Building brand equity Marketing communication programs Adv Sales prom Event Experience PR Direct Marketing Word of mouse Personnel selling Brand equity Brand awareness Brand Image Brand responses Brand relationships Measuring Brand Equity Measuring Brand Equity The Brand's unique points of difference relates to premium margins How appropriate the brand to you relates to market penetration Differentiation Relevance Strength How well regarded the brand is relates to its delivery on promise A deep understanding of the brand relates to overall customer experience Esteem Knowledge Strength What makes a Brand Strong? A strong brand is a major driver of shareholder value. A strong brand is like an asset. It can be used as collateral for financial loans , buying and selling as an asset. A strong brand has strong attributes, values and personality that the consumers associate with the brand. A strong brand is a means of attaining higher customer loyalty. It is important that in order to make a strong impact, a brand should be strong. There are a few characteristics that make a strong brand, which are as follows: A strong brand always delivers the benefits that customers truly desire. A strong brand makes use of and coordinates full range of marketing activities to build equity. A strong brand has the right blend of product quality, design, features, costs and prices. A strong brand is properly positioned and occupies a particular niche in consumers' minds. A strong brand compels consumers to willingly pay a substantial and consistent premium price for the brand versus a competing product and service. Gillette as a Strong Brand Gillette is one of the strongest brands in the market of mens personal care products. It has tied the actual quality of its products to various intangible factors such as: The type of person who uses Gillette, the type of situations in which the brand is used, the type of personality Gillette portrays etc. User Imagery Its razor blades are as technologically advanced as possible through continuously spending millions of dollars in R&D. Technology It has developed several sub brands such as Trac II, Altra, Sensor, Mach3 to remain on top of its competitors. Sub-branding It makes constant improvements with modifiers like Altra Plus, Sensor Excel. Enhancements Insight about branding Your brand represents your future earnings Successful companies both innovate and build brands Branding is about customer perceptions Strong brands are worth a lot of money Keep your brand consistent A brand is not just a name or Logo A brand with multiple positioning may confused The Customer is anyone involved in the purchase decision Perceived value is the maximum your customer will pay all marketing is the management of perceived value Disney Wal Mart Fedex McDonalds Apple Google Toyota Family Fun Entertainment Low Prices and Good Values Guaranteed Overnight Delivery Food and Fun Innovation Simplicity Reliability Some Metrics to Measure Return on Brand Investment:
Brand name knowledge, awareness, recognition, recall: measures strength of the brand as reflected by customer's ability to identify the brand under varying conditions Contract fulfillment: measures the degree to which your brand is upholding its Brand Contract
Some Metrics to Measure Return on Brand Investment: Acquired customers: counts customers claiming they have come to your company based on the strength of the brand Customer loyalty: measures the degree to which customers continue to purchase your brand and how long that loyalty has lasted Financial value: reports the financial value of your brand in the marketplace Price premium: finds the percentage of price premium your brand is able to command over private-label brands, as well as key competitor brands Definition The Marketing Communications Mix The specific mix of advertising, personal selling, sales promotion, and public relations a company uses to pursue its advertising and marketing objectives. Introduction to Marketing Communications (Marcom) Business-to-Consumer (B2C) Business-to-Business (B2B) Integrated Marcom B2C&B Integrated Marketing Communication (IMC) Programs The Tools of Marketing Communications Table 1.1 1. Media Advertising TV Radio Magazines Newspapers 2. Direct Response and Interactive Advertising Direct mail Telephone solicitation Online advertising 3. Place Advertising Billboards and bulletins Posters Transit ads Cinema ads 4. Store Signage and Point-of- Purchase Advertising External store signs In-store shelf signs Shopping cart ads In-store radio and TV 5. Trade- and Consumer-Oriented Promotions Trade deals and buying allowances Display and advertising allowances Trade shows Cooperative advertising Samples Coupons Premiums Refunds/rebates Contests/sweepstakes Promotional games Bonus packs Price-off deals 6. Event Marketing and Sponsorships Sponsorship of sporting events Sponsorship of arts, fairs, and festivals Sponsorship of causes 7. Marketing-Oriented Public Relations and Publicity 8. Personal Selling Marketing Communications Mix Advertising Public Relations and Publicity Sales Force Direct and Interactive Marketing Word-of- Mouth Events and Experiences Sales Promotion Integrated Marketing Communications Advertising Direct Response Sales Force Events and Experiences Clarity Consistency Maximum Impact Integrated Marketing Communications A planning process designed to assure that all brand contacts received by a customer or prospect for a product, service or organization are relevant to that person and consistent over time. Marketing Communication Effects Outdoors Active Rugged SUBARU TV Ads Sponsorship Communications Process Models Macromodel Micromodel Sender Receiver Consumers Response Precondition for promotion: communication Encoding Process Decoding Process Source Medium of Trans- mission Receiver or Audience NOISE NOISE Feedback Source/Sender Ad agency Intends to share meaning translating meaning of message into some form (Got Milk?) Means of reaching target (print ad, T.V., salesperson) Target makes sense of message anything decreases clarity (different markets see same message differently Fragility of Communication Process Awareness Knowledge Conviction Purchase Preference Liking 50% 50% 50% 50% 50% 50% Probability .5 X .5 X .5 X .5 X .5 X .5 = 1.56% Developing Effective Communications Identify target audience Determine objectives Design communications Select channels Establish budget The Basics Identify the Target Audience Potential Buyers Current Users Deciders or Influencers Determine Objectives Brand Purchase Intention Category Needs Positive Negative Brand Awareness Brand Attitude Design Communications How to say it? (Creative Strategy) What to say? (Message Strategy) Who should say it? (Message source) Select Channels Personal Communications NonPersonal (Mass) Communications Establish Budget Affordable Method Percentage-of-Sales Competitive- Parity Objective-and-Task Marketing Communications Mix Characteristics Factors Measuring Factors in Setting the Mix Type of Product Market Buyer-Readiness Stage Product Life-Cycle Stage Cost-Effectiveness / Buyer-Readiness Measuring Communication Results Attitudes Frequency Reach Awareness Consumer States for Two Brands Promotion Mix Over The PLC
Time Industry Sales D o l l a r s
Introduction Growth Maturity Decline 0 Publicity Advertising Advertising PR; Selling; Promotions Advertising PR; Selling Advertising Promotions; Selling Objectives of communication PROVIDE INFORMATION Goal is informing the market about the availability of a product. INCREASE DEMAND May increase primary demand, or desire for a particular product category. May increase selective demand, or desire for a specific brand. ACCENTUATE THE PRODUCTS VALUE Greater value helps justify a higher price in the marketplace. Marketers advise staying away from these wordsquality, value, service, caring, and integritybecause they are overused and vague.
DIFFERENTIATE THE PRODUCT Differentiation allows firms more control over marketing variables such as price. STABILIZE SALES Can help make demand more consistent throughout the year. Making Brand-Level Marcom Decisions and Achieving Desired Outcomes Steps in Developing Communication Program 1. Identifying the Target Audience 2. Determining the Response Sought 3. Designing a Message 4. Choosing Media 5. Selecting the Message Source 6. Collecting Feedback Promotional Program Situation Analysis Analysis of the Communications Process Budget Determination Develop Integrated Marketing Communications Programs Review of Marketing Plan Advertising Sales Promotion PR/ Publicity Personal Selling Direct Marketing Advertising Objectives Sales Promotion Objectives PR/ Publicity Objectives Personal Selling Objectives Direct Marketing Objectives Message Strategy Sales Promotion Strategy PR/ Publicity Strategy Personal Selling Strategy Direct Marketing Strategy Integration & Implementation of Marketing Communications Strategies Monitor, Evaluate & Control Promotional Program Internet/ Interactive Internet/ Interactive Objectives Internet/ Interactive Strategy Integrated Marketing Communications Planning Model IMC Program Situation Analysis External Factors Environmental analysis Technological Political/Legal Demographic Socio/Cultural Economic Competitive Analysis Direct and indirect competitors Position relative to competitors Size of competitors advertising/ promotional budgets IMC strategies being used by competitors Analyze best combination of source, message and channel factors for communicating with target audience.
Establish communication goals and objectives. Potential Communications Objectives Sales Customer loyalty Company image Brand image Store patronage Service contract An inquiry A visit by a prospect Product trial Recommendation Adoption of the product AIDA: Attention? Attention-> Interest-> Desire ->ACTION!!! It gets harder as you go. Attention (e.g., sign-flippers, clowns) Headline (New York Post; only part read) Visuals (sex) Layout Colors Size (Times Square) Electronic: sound; music; animation Gross images (this nasty eyeball gets your attention!) AIDA: Interest? Keep Interest difficult in our ADD world Tactics: Drama/story (Dos Equiss ) Cartoons (M&Ms) Dialog (its a Diet Coke Thing; Wusssssup?)
AIDA: Desire? Arouse desire Tactics: USP: Unique selling proposition (Gillette razor; clear deodorant, clear soda) Provide a rationale (Im worth it) Address you with their needs/problems (Do you want to make more $?; Have you been injured in an accident?)
Federal Express: When it absolutely, positively has to be there overnight. AIDA: Action? Action if consumers desire, hope action is natural (and realistic for them): Ask consumers to do something (log on to; call..) Imperative: Drink Coke, Fly the Friendly Skies Facilitate: 1-800 or web Direct competitive: supplies are limited!! Do you view ads after purchasing that product?: Why?
Marketing - Communication Instruments Comparisson of the classical (above the line) and the non-classical (below the line) communication instruments Classical marketing- recognizable for everybody Above The Line (ATL) Below The Line (BTL) Alternative marketing- mainly visible only for targeted groups Classical advertisement Print media Radio / TV / Movies Outdoor advertisement / Billboard advertisement Public relations
Word of Mouth Communication HOW TO USE WORD-OF-MOUTH MARKETING (WOMM) TECHNIQUES AND SOCIAL MEDIA TO DRIVE GROWTH BY CREATING A POSITIOVE BUZZ AROUND YOUR PRODUCT OR SERVICE. ONLY 18% OF TV ADS GENERATE POSITIVE ROI 84% OF B2B CAMPAIGNS RESULTED IN LOWER SALES 100% INCREASE IN AD SPENDING JUST TO ADD 1% - 2% IN SALES ONLY 14% TRUST ADS the JESUS PHONE rocks! ..I got to have an phone LAW OF FEW 10% INFLUENCE PURCHASING BEHAVIOR OF OTHER 90% 91% LIKELY TO BUY ON RECOMMENDATION BRAND ADVOCATES AVERAGE CUSTOMERS, CLIENTS, CONSUMERS WOMM = C2C CONVERSATION Consumer-to-consumer conversation 76% of consumers dont believe that companies tell the truth in advertisements Yankelowich,2006 Multi-Channel-Marketing Display of different marketing channels Multi-Channel Marketing Personal Sales Database Marketing Direct Mail Marketing Telemarketing Social Media E-Mail Marketing Search Engine Marketing Online Advertising Mapping Customer experience Customer experienc e elements Getting to know Buying Activa ting Using Paying Contacti ng Customer expectation s Functional areas Brand awareness Offer availability What ? And where
MAKT Sales Customer service
Offer Availability Value of money Acquisitio n MAKT Logistic Sales Customer service IT Usability Coverage Reliability Quality Roaming Speed Convinced Getting started
MAKT Sales Customer service Network IT Portals Network IT Customer service Accuracy Control Choice Convinced
Sales IT Customer service Leaving Responsive ness Friendly Consistency Helpfulness Resource fullness Customer service Sales IT Portals Flexibility Loyalty
MAKT Sales Customer service IT
Branded Customer experience Brand essence Translates into Brand promise Translates into Branded Customer experience (BCE) What you communicate to the marketplace The value you commit to deliver to customers Delivery of your brand promise through every interaction your customer have with your people , processes and products Tow routes to create branded customer experience Experiencing the brand Branding the experience Different in starting point Experiencing the brand Market Opportunity Conceived customer VP Create customer experience Develop the route to market Design the brand to communicate Customer realization of the BCE Branded Customer experience Branded customer experience Translates into Brand value Translates into Brand image Creating a unique experience through every interaction your customers have with your people , processes and product The value your customers come to expect and rely on What you become known for in the marketplace Branding the experience Is powerful driver of customer loyalty steps To Customer Centric Retail Innovation 1. Take the Customer Perspective 2. Get the Customer Heartbeat 3. Focus Your Efforts 4. Make Sure your People Are With You 5. Start Swimming #5 START SWIMMING YOU CUSTOMER PERSPECTIVE Flipchart Time Which are the steps in the customer journey when booking a holiday?
How could you innovate on them? THE CUSTOMER JOURNEY 1. I dream of going on holiday 2. I research my holiday 3. I plan my holiday 4. I select my holiday 5. I purchase my holiday 6. I receive travel documents & tickets 7. I anticipate departure 8. I prepare my trip 9. I travel to my destination 10.I discover my destination 11.I experience my destination 12.I record my memories 13.I share my experience 14.I travel back home 15.I share my memories CUSTOMER PERSPECTIVE THE CUSTOMER JOURNEY How Can You Innovate Now? GET THE CUSTOMER HEARTBEAT WHICH EMOTIONS ?
ARE ALL EMOTIONS EQUALLY STRONG? WHAT DO YOUR CUSTOMERS REALLY CARE ABOUT? 1. I dream of going on holiday 2. I research my holiday 3. I plan my holiday 4. I select my holiday 5. I purchase my holiday 6. I receive travel documents & tickets 7. I anticipate departure 8. I prepare my trip 9. I travel to my destination 10.I discover my destination 11.I experience my destination 12.I record my memories 13.I share my experience 14.I travel back home 15.I share my memories Customer Relationship Management Your Logo Get Quote Your Text Goes here. D o w n l o a d t h i s awes ome di agr am. Bring your presentation t o l i f e . Prospect Advanced Forecasting Quality Product Catalog Service Catalog Quote Integrated Quotes/Proposals Document Management Document Publishing Suspect Mass Email Website Hosting Search Engine Optimization Lead Lead Dashboard Intranet Sales & Marketing Tools Meet Group Calendaring Resource Availability Order Integrated Order Mgmt. Bookings Dashboard Incentive Management Service Delivery Customer Portal Project Tracking Time & Expense Repurchase Upsell/ Cross-sell End of the training