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 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 It is the sellers promise to deliver the same bundle of benefits/services consistently to buyers

Principles of Brand Management

A good brand name should:  be protected under Trademark law.  be easy to pronounce, remember & recognize  be easy to translate into all languages in the markets where the brand will be used.  attract attention.  suggest product benefits or suggest usage  suggest the company or product image.  distinguish the product's positioning relative to the competition.  be attractive.  stand out among a group of other brands.

Functions of A Brand
For consumers  Identification of source of product  Assignment of responsibility to product maker  Risk reducer  Search cost reducer  Symbolic device: Signal of quality  Speak personality  Deliver its value qualitatively and quantitatively  Live up to consumer expectations

 

  

 

For Manufacturers Means of identification to simplify handling and tracing Means of legally protecting unique features Signal of quality level to satisfied customers Means of endowing products with unique associations Source of competitive advantage Source of financial returns

Evolution of The Branding Concept

 

The English Potter J.Wedgwood was the one who built the first modern business brand in 1759. He created a brand, a reputation, a relationship with the consumer that was built around quality, elegance, and social stature. Wedgwood was able to stimulate demand for his more profitable tablewares and command premium price over comparable tableware and other products. Those were the days of the 18th century when the term branding was not known. By the 1920s branding as a discipline had emerged as one of the key tools of marketing. Pioneers in the development of this discipline were Procter & Gamble and Lever Brothers.

Stages Of Brand Evolution



Stage I: Unbranded Goods in early days, goods were unbranded. Stage II: Brand as a Reference with the emergence of mass production, customer had a choice. This forced companies to differentiate their offerings to customers. Stage III: Brand as a Personality with the passage of time, it became extremely essential for companies to differentiate brands on rational or functional attributes, as many products started making the same claim. E.g: LuxBeauty soap for film star

Stage IV: Brand as an Icon In this stage it appeared as if consumer owned the brands and they used it to create self-identity. Stage V: Brand as a Company Brand as a company is a stage where a company considers strengthening the total access of information about product and services with a customerenhancing relationship. Eg: Websites, blogs ( Sunsilk Gang of Girls initiative)

Stage VI: Brand as a Policy Today, a few companies have entered this stage, wherein their brands are closely identified with ethical, social and political issues that are the constituent elements of the brand as a policy. Eg: United colours of Benetton aims at promoting racial unity, Nokia initiative to promote recycling

Components of branding
The whole meaning of the brand includes business name, logo, color scheme and design style that expresses the product and service, in symbols along with words and images the target audience understands. These are the basic Components of branding:  PERSONALITY. This is the specialty, the trademark, an area of expertise. In a market full of sameness, what are the points of comparison the customers will depend on to set a brand apart from the competition?

NAME, LOGO DESIGN & SLOGAN. A strong brand name and tag line must be easy to say and readily remembered. Does it clearly communicate the offer of promise? While the name and logo paint a subconscious picture of what a company is doing, a slogan puts it right out in the open for all to see. PACKAGING. This includes the website, blog or storefront, the color scheme, design elements as well as the ads, flyers, business cards, sales letters and other business materials.

STANDARDS. This will determine the business objectives. It decides how the business will develop, behave and react in the social set up. PRODUCT RANGE. What does the business have to offer the public? Is there just one flagship product or a range of products under the same brand name? Does the brand provide just locally or to several other states or countries?

PERFORMANCE. The way the business is promoted, the selling style, the approach in customer service, how the business responds to emails or answers the phone, how they negotiate contracts, how they meet client deadlines, how they pay up their bills, how they treat their employees and how their staff thinks of them all totals up to the entire image.

PROMISE. This is the assurance, the guarantee for meeting customer expectations. This will include product benefits, price value, and overall customer shopping experience. To build a strong brand, every marketing communication must be clear and should consistently deliver the offered promise. When customer expectations are met, the brand is strengthened, instilling long-lasting customer confidence and loyalty to the brand

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 The premium a brand can command in the market The difference between the perceived value and the intrinsic value

Brand Equity Pyramid

 

Salience Dimensions Depth of brand awareness

Ease of recognition & recall Strength & clarity of category membership

Breadth of brand awareness

Purchase consideration Consumption consideration

Performance Dimensions
    

Primary characteristics & supplementary features Product reliability, durability, and serviceability Service effectiveness, efficiency, and empathy Style and design Price

Imagery Dimensions


User profiles Demographic & psychographic characteristics Actual or aspirational Group perceptions -- popularity Purchase & usage situations Type of channel, specific stores, ease of purchase Time (day, week, month, year, etc.), location, and context of usage Personality & values Sincerity, excitement, competence, sophistication, & ruggedness History, heritage, & experiences Nostalgia Memories

Judgment Dimensions


Brand quality Value Satisfaction Brand credibility Expertise Trustworthiness Likeability Brand consideration Relevance Brand superiority Differentiation

Feelings Dimension  Warmth  Fun  Excitement  Security  Social approval  Self-respect

Resonance Dimensions


Behavioral loyalty Frequency and amount of repeat purchases Attitudinal attachment Love brand (favorite possessions; a little pleasure ) Proud of brand Sense of community Kinship Affiliation Active engagement Seek information Join club Visit web site, chat rooms

Brand Equity Competitive Advantages

    

Reduced marketing costs Trade leverage Can charge a higher price Can easily launch brand extensions Can take some price competition

Building Brand Equity



Target your audience : Decide who are the most likely users of your product and develop marketing materials that speak exclusively to that group Get the consumers attention: Creation of brand awareness through advertising & promotional strategies Make the public remember your brand: Make the consumers feel an emotional attachment to the brand. Plan your marketing campaign around the most distinctive feature of your product, such as its authenticity, high cost or reliability

Build a solid brand image: Combine your products special feature to that the character of your company to reinforce an image of the product that reflects favorably on its manufacturer or provider. Reinforce the brand image within the company: Make sure employees at every level of your organization work and behave in a way that reinforces your brand image.

Measuring Brand equity

A robust brand equity measurement system will accomplish the following objectives:


Measure the brands equity across a variety of dimensions at different points in time over time Provide diagnostic information on the reasons for the changes in brand equity Gauge and evaluate the brands progress against goals Provide direction on how to improve brand equity

Provide insight into the brands positioning in relation to its major competitors including its strengths, weaknesses, opportunities and threats Provide direction on how to reposition the brand for maximum effect

Methods Of Brand Equity Measurement



Firm Level: Firm level approaches measure the brand as a financial asset. In short, a calculation is made regarding how much the brand is worth as an intangible asset Product Level: The classic product level brand measurement is to compare the price of a no-name or private label product to an "equivalent" branded product. The difference in price, assuming all things equal, is due to the brand.

Consumer Level: This approach seeks to map the mind of the consumer to find out what associations with the brand the consumer has. This approach seeks to measure the awareness (recall and recognition) and brand image (the overall associations that the brand has).

Benefits Of Brand equity



  

 

Enjoy greater brand loyalty, usage, and affinity Command larger price premiums Receive greater trade cooperation & support Increase marketing communication effectiveness Yield licensing opportunities Support brand extensions

Brand strategy
 

Line extension Existing brand name extended to new varieties in the existing product category Brand extension brand name extended to new product categories Multibrands new brands in the same product category New brands new product in a different product category Co brands brands bearing two or more well known brand names

Brand Repositioning


Re-positioning involves changing the identity of a product, relative to the identity of competing products, in the collective minds of the target market. This may be required after a few years to face new competition and changing customer preferences

Top Reasons to Reposition a Brand

Brand repositioning is necessary when one or more of the following condition exists:
 

Your brand has a bad, confusing or nonexistent image. The primary benefit your brand "owns" is no longer a differentiating benefit Your organization is significantly altering its strategic direction. Your organization is entering new businesses and the current positioning is no longer appropriate. A new competitor with a superior value proposition enters your industry. Competition has usurped your brand's position or rendered it ineffectual.

 

Your organization has acquired a very powerful proprietary advantage that must be worked into the brand positioning. Corporate culture renewal dictates at least a revision of the brand personality You are broadening your brand to appeal to additional consumers or consumer need segments for whom the current brand positioning won't work.

THANK YOU!!