3. REVIVAL OF A DEAD BRAND
• Less costly and risky than
launching a new brand
• Dead brands may still have
significant brand equity in
terms of high brand awareness
& a strong brand image
5. 1.Analysing examples of Brand decline
2.Investigating leading causes of brand decline
3.Identification of signs which are precursors to impending
decline
4.Looking at the guidelines to revitalize Brands
6. EXAMPLES OF BRAND DECLINE
• Pan American
World Airways
• Oldsmobile,
General Motors
9. THEORIES OF BRAND EVOLUTION
Product Life Cycle
• Tautological nature for
managers
Product Evolutionary Cycle
• Generative Force
• Selective Force
• Meditative Force
11. Product Quality
Huge impact in long run
Ex. Cadillac
Price Increases
Customers abandon brand
Volkswagen failed its
Rabbit model
12. Price Cut
Can damage the Brand
Ex. Lacoste
Brand Neglect
Need constant nurturing
Can result when
organizational shake-ups
result in less attention
Ex.DeWalt,KingFisher
Inability to stay
with the target
market
Ex. St. John
18. BRAND EQUITY
The Differential effect that the consumer Brand
knowledge has on the customer's response to
marketing activity
When a Brand has High awareness and consumers
hold strong, favourable and unique brand
associations, it is considered to have strong equity
22. Brand Awareness
Popular brand will have
high aided recall and
high top of mind recall
Brand Image
More challenging and expensive to
track because of its abstract nature
Never milk a weakening brand
24. BRAND SWITCHING
Useful indicator of a
brand’s performance
Triggered by variety of
reasons such as entry
of a new competitor,
increase in price,
negative news
25.
26. Brand’s Equity: Most valuable asset
Brand may expand coverage, provide protection,
extend an image & fulfil a variety of roles for the
company
28. Questions to Ponder!!!
• Can the brand regain some of its former glory?
• Can its old equity be enhanced through new
positioning that is relevant and stand out?
• Can the company effectively deal with the logistical
issues?
Brands that commanded a premium in the recent past, and had a singular
focus with a well-defined differentiation, can be revitalized.
30. Branding: An exercise in
Patience
Brand revitalization can be started by addressing the causes of
the decline, understanding the brand’s promise-and why it may
have failed to maintain its relevance; adjusting this and
educating the market about it
After Investment:
Subscribers increased from 3 million in
2006 to 4 million in 2007
Online program comprised of 10.4% of
Blockbuster’s total movie revenue in
2007 from 4.9%
32. INVESTMENT ON A BRAND
GM invested $4 billion on Cadillac brand in a make or
break overhaul, redesigned them for the global market and
offered models like CTS, the STS, and the DTS
34. Rebuild Quality
Harley-Davidson uses Japanese
management principles to improve
quality, extended its product line.
Hyundai undertook significant financial
investment in quality and backed with
a 100,000 mile service warranty
Resist temptation to milk
Company made significant investments in
MP3 player technology to launch the iPod
Aggressive form of “milking” is a reflection of
brand’s weakened position
35. Pursue a carefully defined target
market
A line extension with a sub-brand
can be very effective strategy. For
example, St. John might introduce
“Youth by St. John” to target the
growing younger market.
It could use St. John as a bridge to
support introduction of the new line
and continue to cater its old
audience.
