Brand Management | Final Exam1Brand ManagementMelisa Carrasco
Brand Management | Final Exam2Brand Organization Question: Titleist CasePart A: Brand Portfolio StrategyAcushnet Process CompanyThe brand architecture that the Acushnet Process Company has is House of Brands. Acushnet is acompany that creates deresinating rubber and supplying rubber to finished goods manufacturers. Over theyears it grew and created a myriad of rubbers good to different brands (such as Titleist, Pinnacle, Cobra,BullsEye, and FootJoy) which competed among different product groups (golf balls, golf clubs, putters andgold gloves) as depecited in Exhibit 1 in the case. Acushnet is a House of Brands because there acompelling need for a separate brand because each of their brands they won can create their ownassociations, represent new offerings, avoid confusion and simplify channels. This is clearly evident by thefact that Acushnet owns different companies in which compete in many product ranges. Each brand is itsown driver (Acushnet does not play a driver role). The companies which Acushnet owns have anindependent set of stand-alone brands that each have responsibility for market impact.TitleistTitleist has the brand portfolio of Branded House: a single master brand with descriptive sub-brands wherethe master brand (Titleist) is the driver; driver role is linked to and reflects the value propositioncommunicated to as consumer. This applicable because Titleist is under Acushnet (House of Brands) andhas different products in different product categories (golf balls, golf clubs, putters and golf gloves). Themaster brand contributes to the offerings of these products because the association to Titleist, also theassociation enhances the CVP, credibility with organization, and visibility. Ultimately the master brand isstrengthened.Why?They chose to do the following brand architecture because Acushnet Process Company (as a House ofBrands) can reach different target markets in the segmented golf market with their different brands (Titleist,Pinnacle, etc). For example, Titleist is mostly associated with professional, moreover Titleist (a brand housecompany under the House of Brands: Acushnet can use the resources).NikeNike‟s brand portfolio is Branded House, as previously mentioned the master brand has the primary driverrole. As mentioned in the case “there is no bigger name, or company with deeper pickets in sports thanNike” the fact that Nike has such a big name in sports any product they launch will have a strongassociation with the brand name Nike and will play a big role as the driver. Also with Nike adding a newproduct it created credibility of the product due to Nike‟s credibility in the sport‟s world.Part B: Titleist’s Core and Extended Brand IdentityCore IdentityProduct quality, product innovation, premium pricing, #1 ball in golf, superior performanceExtended IdentityUser endorsement, x-ray technology, distribution strategy, golf clubs, putters, and golf glove
Brand Management | Final Exam3Part C: Titleist’s Brand’s Positioning Statement“Titleist combines best-in-class equipment [CVP] for golf players [target] with unmatched break-throughtechnology and design [advantage] to give you the best golfing experience [Kopp ladder]”.Part D: Kopp’s Brand Equity Model Audit: TitleistCustomer Value PropositionTitleist‟s offers its customers golf equipment with superior performance and quality at a premium price.Titleist equipment is made from the best material and latest innovative technology that have a competitiveadvantage worldwide. Lastly, as Kopp mentions: “Value is benefit for the money” customers receive greatvalue and benefit from the innovative Titleist technology however at a price.Value DeliveryTitleist is a global company that thinks local; Titleist has a global presence in the world‟s professional toursand is used in golf‟s most prestigious team events. Moreover as the case states, “110 players on the PGATour use Titleist balls today” as well as “During the 1999 Ryder Cup, golf‟s most prestigious team event, 17of the 24 players that comprised the United States and the International teams played Titleist balls”. AlsoTitleist has different distribution channels: on course and off course. On course sold mainly through pro-shops and off course sold through golf specialty and sporting goods stores (generally avoiding massmerchandisers).AuthenticityTitleist has a strong sense of authenticity, it has a reputation as “The #1 Ball in Golf” dominating the golfball industry on the world‟s professional tours and among the ranks of amateur and recreational participantsalike. The company has been around since 1935 (longevity) since the company has been around for awhile consumers can trust the company. The golf ball also carries integrity (emotional and self-expressivevalue) for the customer; the average golf player can play golf with the same golf balls the professionals use.
Brand Management | Final Exam4Thinking-BasedThoughtsBrand PersonalityOther Brand AssetTitleist brand name and logo is their biggest asset due to their reputation of being the best in the golf ballsegment. Their advertising tagline, “The #1 Ball in Golf”.Lastly, Titleist‟s endorsement of professionalplayers such as Tiger Woods for instance.Part E: RecommendationsBased on my analysis Titleist seems to be a strong company with a trustworthy reputation. Their majorissue they are facing is new entrants into the golf ball industry. My suggestion for Mr. Uihlein would be takea similar approach Minoli took with Ducati. Titleist clearly has solid functional benefits (superior quality andperformance) however it cannot compete solely on its functional benefits. Especially since Nike is enteringthe market (Nike is a company that has a strong emotional connection with the consumers of the sportsworld). Titleist can win this race/maintain its lead position by infusing the Titleist brand personality of thebeing the best and #1 into their marketing profile. Because strong brands make a connection with peopleand communicate a distinct advantage. This connection is personality which as Kopp defines: Often,personality is the only thing between your brand and the competition. If Mr. Uihlein is able to communicatethe brand personality of Titleist it will clearly make a difference in the market place and Titleist will be ableto compete even with the new entrants.Feelings-BasedThoughts“Titleist, the best”Says you enjoy high quality golfequipment at a premium priceMutually supportive and consistentPremium, quality withsuperior performanceBest in market,sophisticated, professional
Brand Management | Final Exam5Question 2: The White Glove Approach QuestionPart ARefer to Exhibit 2A & 2B and explain the potential impact of the described decisions upon thereferenced consumer and retailer brands as to each of their brand equity within each of theorganizations. In other words: who wins, who loses, (perhaps no one) and why?Luxury is defined in MKT4515 Dictionary as follows: when a product, service and/or brand after satisfyingthe necessity criterion, generates levels of emotion that parallels consumers aspiration for a better life –usually creates a strong set of self-expressive characteristics. Upon reading the two exhibits (2A & 2B) onecan conclude that the brands Marni and Missoni can be classified as luxury brands.As of recent the brands Marni and Missoni have increased their brand architecture by undergoing brandextensions; specifically endorsed brand: Marni for H&M and Missoni for Target. Both luxury brands havestretched their brand architecture in a vertical extension: “down market”. Stretching the brand down marketis a common tactic for premium (luxury) brands due to competition increase and new emerging markets.Each brand most likely took the approach of brand extension instead of a new brand due the size of theopportunity. With the brand extension both Marni and Missoni are creating a small collection to each of theirrespective retailers, their products do not speak to a “new category” which would require a new brand. Infact the products that will be sold at each retailer tend to have a “me too” comparison; an extension of themain brand (clothing and other accessories). Marni and Missoni are not creating a completely new product;they are creating similar products at lower price and quality. Both brands most likely chose to do a brandextension due to the fact that a new brand screams innovation which require a big idea in a big categoryand requires a lot of capital; 3 times more expensive to launch a new brand. With a brand extension itoffers both Missoni and Marni a quick, relatively low-cost option to cover value and perceptual map and it isalso less costly and less risky (Exhibit 1).Moreover, when expanding a brand‟s brand architecture it is important to take into account the potentialimpact of on the brand equity of the consumer and retailer‟s brand. Brand equity can be defined as a set ofassets and liabilities linked to a brand‟s name/symbol that adds to or subtracts from the value provided by aproduct or service to a consumer awareness, association, quality, loyalty and other. Once thecollaboration between Marni for H&M and Missoni for Target is launched certain associations may occur, orloyalty may change and so on and so forth. Furthermore, brand managers have to take into considerationhow they will execute the idea with a white glove approach in order for the brand to not to be tarnished.Marni for H&MMarniMarni is an Italian fashion label founded by Consuelo Castiglioni in 1994, the company produces a full arrayof ready-to-wear clothing, handbags, jewelry, and eyewear in over 16 countries. Marnis collections are anaesthetic of "European-inflected bohemianism" other descriptors that have been applied to Marni designsinclude "quirky," "feminine," "off-beat," and "funky."11http://en.wikipedia.org/wiki/Marni_(clothing)
Brand Management | Final Exam6H&MH&M is a Swedish retail-clothing company, known for its fast-fashion clothing offerings for women, men,teenagers and children.2 Since November 2004 the company has had guest-designer collaborationsoffering collections from iconic fashion designer Karl Lagerfeld to fashion houses such as Lanvin andVersace. The guest-designer collaborations have proven quite successful for H&M, the collections havesold approximately on the first day of each guest-collaborations collection launch.Win or Lose?Taking into consideration the past designer collaborations with H&M, I would have to say both Marni forH&M is a win. Marni for H&M does not tarnish either brand‟s brand image or brand equity. Marni‟s downmarket extension to retailer H&M allows Marni to cover multiple points on the perceptual map (Exhibit 1).Taking the Brand Equity tool into account:Awareness: The public is aware of past collaboration with fashion house and is aware H&M does a greatjob with these guest-desinger collaborations.Association: H&M appeals to consumers of all classes and the association to a premium luxury brand ismore of an asset than a liability. There is no negative association with either brands in this collaboration.Quality: Consumers received good quality clothing at a reasonable and affordable price.Loyalty: In the case for H&M and Marni each company‟s customer base may not be shifting their loyalties totheir respective companies.Other: H&M is known for their trendy clothing at an affordable price so for a luxury brand to expand in adownward market; H&M is a great place to create a collection launch.Furthermore, for H&M it has improved their brand image; their CVP would be affordable trendy clothingwhich is kept in balanced with the endorsement of Marni. With the collaboration with Marni is adds apremium and exclusivity aspiration for its current and potentially new customers. As for Marni the highend retail of clothing, their brand image isn‟t hurt too much by creating a collection for H&M, because H&Mis a trendy stores that has consumers from all classes. Moreover, Marni is only creating a small collectionthat will be disbursed among limited stores. In a sense it‟s only a small number of items that are availablefor the public so there is still a sense of exclusivity.Missoni for TargetMissoniMissoni is an Italian fashion house founded in 1953. Missoniis known for its multitude of patterns suchas stripes, geometrics, and abstract floral, in a kaleidoscope of colors. They are also known for the liberaluse of many different fabrics such as wool, cotton, linen, rayon and silk.3TargetTarget, is an American retailing company headquartered in Minneapolis, Minnesota. It is the second-largest discount retailer in the United States behind Walmart.4 The company offers a large variety of goodsranging from groceries, to electronics to house appliances, and etc.2http://en.wikipedia.org/wiki/H%26M#Guest-designer_collaborations3http://en.wikipedia.org/wiki/Missoni4http://en.wikipedia.org/wiki/Target_Corporation
Brand Management | Final Exam7Win or Lose?The brand extension of Missoni for Target, would ultimately have to be a loss. For one, the extensioncreates too much distance from base meaning of both brands. Missoni is high-end luxury store and Targetis low end retailer. Missoni offers clothing and accessories and Target also offers clothing and accessoriesare not something they are widely known for; Target is mostly known for home electronic devices and homestorage devices.The brand equity and brand image for Missoni is tarnished. The master brand (Missoni) in this case getsdiluted and consumers could start to develop a certain perception of Missoni; a negative perception.Brand Equity Tool:Awareness: The public is aware of the collaboration between the two companies and now there is a linkedassociation.Association: Missoni is now linked to a lower end retailer store, which may cause a loss of aspirations fromits customers.Quality: The perceived quality of Missoni overall could be perceived as being poorer due to the associationthe company now has with Target.Loyalty: With all the negative association with Target, Missoni could be losing some of their loyal customerbase in the long run.Other: N/AConclusionWhen a brand manager choses to expand their brand architecture with a brand extension in a downmarket; they have to usetheir white gloves strategically. This can work in favor for the master brand in thiscase both Marni and Missoni because an asset these two brands have is aspiration. Many people wouldlike to own items from these respective companies and cannot do so because of high prices linked with theluxury brands. So with a down market brand extension it opens the door to many consumers to purchasethe brand name thus covering different points in the perceptual map.A more strategic move for Missoni would have been to create a collection for a different store one that issimilar to H&M such as Zara for example. Their brand image and CVP are now tarnished because it will beassociated with Target. A retail store like Zara has a very similar CVP and base meaning as Missoni(common meaning=common benefit). Thus consumers from both brands would allow this brand extensionas consumers have allowed luxury brands to expand into H&M. Moreover, current and future customers ofMissoni now have a new perception of Missoni and may not choose to shop there anymore because of thelinked association Missoni now has with Target. Furthermore, H&M was a strategic retailer for a high endluxury brand because the brand has an overall appeal to all classes in the market and H&M has a commonbase meaning as the Marni.The last point to consider is will the consumer give the brand permission to extend. For the example ofH&M for Marni its consumers allowed for both Marni and H&M to extend; because the consumers for bothbrand shared a lot of traits and the CVP of each company was kept in balance. Although Target sold out ofMissoni products of the first day of the collection launch I believe in the long run Missoni‟s extension intoretailer Target will have a negative impact. For one the extension into Target created too much distancefrom base meaning and created more liabilities than assets to Missoni which over all subtracted from thevalue the brand provides to consumers. Also I believe the downward extension will ultimately reduce thepremium nature of the brands‟ positioning; downward moves usually directly impact perceptions and
Brand Management | Final Exam8associations of the master brand such as its brand equity. Lastly, H&M for Marni was able to tacticallylaunch a collection that still kept the aspiration qualities of a luxury brand.Part BExhibit 3 is a WSJ article that deals with forecast ad-spend levels in 2012. Based on yourknowledge of the Shroer model what is likely to happen to brands that conform to the predictionscontained within the article and why?The WSJ article in Exhibit 3 delineates “that decelerating growth in ad spending in the first half of the yearcould shit to a decline in the third quarter” (WSJ Article). Companies choosing to decline their ad spendingcould have negative impact and alter the companies‟ share of market in a certain industry. Based the onShroer share of voice equals share of market (SOV=SOM). In other words, the more money one spends onadvertising the more share of market one attains a company choosing to conform to the prediction ofdecreasing their ad spending could face some negative consequences. First of all, if a company is the #1leader in their respective market they can lose their position if the #2 increases their ad spending.Secondly, another chart is the one below:SOV Effect and Ad Spending Priorities in Individual MarketsA company should spend accordingly to their respective share of market and their competitors‟ share ofvoice. The only instance a company should decrease their ad spending is if their share of market if low andthe competitors‟ share of voice is high – in this instance a company should decrease their ad spending andfind a defensible niche. In any other case a company should attack, increase or maintain their ad spending.Ad spending is indispensable because consumers should be constantly aware their product is in sale.
Brand Management | Final Exam9If a company chooses to conform to the trend of decrease ad spending the company could risk losing theirmarket share. This is due to the fact that the company‟s competitors either maintain or increase their adspending levels and therefore they obtain more awareness. So by decreasing ad spending level a companyloses awareness hence lose market share.Part CAs the number two brand in the frozen pizza industry, Momma Mia Frozen Pizza; your market andindustry research reveals the below information about the market leader, Giovanni’s Frozen Pizza.As brand manager for Mamma Mia – the #2 brand – In which market should you attack, how muchshould you spend and why?Giovanni’s Total Market RatiosMarket Spend Sales Spend Sales Spend SalesA 30 160 100 500 0.3 0.32B 48 256 160 800 0.3 0.32C 35 352 220 1100 0.159091 0.32D 42 448 280 1400 0.15 0.32E 40 192 120 600 0.333333 0.32F 50 288 180 900 0.277778 0.32G 55 320 200 1000 0.275 0.32H 75 384 240 1200 0.3125 0.32I 100 480 300 1500 0.333333 0.32J 40 224 140 700 0.285714 0.32K 85 416 260 1300 0.326923 0.32As the brand manager for Momma Mia Frozen Pizza I would attack in markets C and D.Shroer’s ModelThe rationale behind my decision is based off the Shroer‟s model which states that the market the #1leader (Giovanni‟s) is under-spending the #2 leader (Momma Mia) should launch a successful attack.
Brand Management | Final Exam10According the ratios depicted above markets C has a SOV of 0.159 and a SOM of 0.32 and market D has aSOV of .15 and a SOM of 0.32. Giovanni‟s Frozen Pizza is clearly under-spending in these two markets(because SOV does not equal SOM; Shroer‟s Model states that SOV=SOM and this is not the case formarkets C & D.As brand manager for Momma Mia, I would launch an attack markets C& D and I would spend twice asmuch as Giovanni‟s is spending in each respective market. I would spend in market C: 70 and Market D: 84(in $000,000). I would spend twice as much because it will allow Momma Mia to reach the equilibriumposition where SOV=SOM.
Brand Management | Final Exam11Question #3: Brand Strategy Decision QuestionPart AShould Saucony pursue a new brand launch or execute a line extension? What should Saucony doregarding their volleyball shoe and how should they proceed? Based upon your recommendationwhat are the risks and rewards of your decision?With the development of a new shoe for the sport of volley, the brand manager has many questions toanswer before deciding how to launch the new product in respect to the brand‟s architecture: line extensionor new brand.What role will the master brand play?Size of the opportunity?o “Me too” comparison Line Extensiono “New category” New BrandNew Brando Does product screams innovation?o Big idea in a big/small categoryLine Extensiono Afford to launch a new brand? If not, brand extension is the best optiono Not a big idea in a big categoryIn the case of whether Saucony should pursue a new brand or execute a line extension; the brand managershould decide to do a new brand for the volleyball shoe.The product speaks to a new category; instead of niche running shoe market this new product speaks to anew market: the sport of volleyball. From the description in the final exam this product seems to be a bigidea (Newly developed rubber outer sole compound that offers great on court traction, very light weight andoverall superior cushioning properties) in a small category (the sport of volleyball), so a new brand launchshould be successful. The marketing costs in the small category can be held down by niche or guerillamarketing. This new volleyball shoe product seems to be aligning with product breakthrough. Moreover thisproduct innovation fills a gap in function and benefit. With a new brand Saucony could be successful increating their own base meaning from which extensions can then be launched in the future.Negatives of brand extensionA brand extension can be another option because it‟s more affordable because Saucony does not have theresources bigger companies such as Nike has. However, a brand extension has more negatives thanpositives. For example creating a brand extension can confuse customers because of the increase inSKU‟s, frustrate retailers, translate as a “me-too” product, and cloud the CVP of the base product.5Customers can associate the volleyball shoe as just another running shoe due to the master brandassociation (niche running shoe company).Moreover, the description of the new shoe for the sport volley seems to be a great innovative product: abeach head and if Saucony chooses to do a brand extension it can forego the opportunity to create a beachhand. Such as what happened in the case of Toyota with the brand extension of Toyota Prius (they had a“big idea” in a “big category”). Furthermore, with a brand extension Saucony could be foregoing an5Powerpoint Slide
Brand Management | Final Exam12opportunity for the product to maximize its potential; which wouldn‟t be a problem if Saucony underwent anew brand.Risks & RewardsWith a new brand launch there are many risks and rewards. The risk could be failure; the innovativeproduct could not be as big as I have perceived it to be. It could also fail because Saucony is a smallercompany and it is very expensive to launch a new brand (3 times as expensive). However, if the idea is asinnovate (beach head) as described in the exam, this could create a great opportunity for Saucony. Theycould be the market leaders in the volley shoe market segment with their big idea because the volleyballshoe segment is in a small category. If the marketing promotion plan is executed tactically by the marketingteam of the Saucony, this new product could be a big breakthrough in the market and receive greatcompensations. With a brand extension there will be too much association to the master brand and justcreate confusion which will cause the product to over-looked by consumers. All in all, this product seems tobe a beach head and Saucony should launch a new brand for this volleyball shoe in order to gain maximumshare of market in the small category (volleyball shoes). Lastly, this new product carries a clear and solidCVP which can stand alone as a new brand.Part BWhat case study in the course best illustrates the “Silver Bullet” concept and why?The case which best illustrates the “Silver Bullet” concept is the Black & Decker (B&D) Case. The Black &Decker case deals with the aspect that an umbrella brand (Black & Decker) can be very efficient: spending,sales, distribution and manufacturing but can suffer is certain segments. B&D is a successful umbrellacompany that is successful in many segments however the company had low market shares in theTradesmen segment due to consumer perception and personality, which is described in the B&D case.B&D was able to resolve this conflict by extending one of their acquired brands: DeWalt. According to themarket research completed by B&D personnel, B&D found that DeWalt had good consumer perception andhad personality and it only had one product (no power drills). B&D was doing poorly in the Tradesmensegment because their power drills had poor consumer perception and no personality.B&D then launched DeWalt “Sudden Impact” in the Tradesmen segment and was able to be quitesuccessful. This is an example of a silver bullet because it‟s an example of brand extension that reshapes abrand‟s image and/or identity. B&D employed this launch of brand extension: DeWalt as a tactic to changean already existing brand image of the master brand. After the launch of DeWalt in the Tradesmensegment, B&D gained large market share as a result and continued to be the leaders in power tools andaccessories. DeWalt is a perfect example of silver bullet because it was able to refresh and revitalize theimage and association of the Master Brand from which it was extended; DeWalt had good consumerperception (although the company did not offer power drills the good perception led to sales) andpersonality (tradesmen were proud to wear a bright yellow power drill on their power tool belt). B&D wasnot the leader in the three segments of the power drilling tools and accessories because they were able tobuild their brand architecture and cover different areas of the perceptual and value map.Part CUsing the research tools we studied this semester, select two and describe how you would applyeach of them to help determine what is wrong with your brand.
Brand Management | Final Exam13Over the course of the semester we have used a number of research tools to determine imperfections andflaws brands have and then found solutions with what the brand is doing wrong. For the case of SkippyPeanut Butter I will be using the following Decision Support Systems (DSS) research tools:1. Perceptual MapPerceptual Mapping allows brand managers to see how consumers perceive or “see” the brand; a multi-brand analysis. Moreover, perceptual maps establish relationships between brands, consumers are able torate brands on dimensions, produces correlation map with arrows which collapse attributes which arehighly correlated. The output that is generated is a map of brands depicted in attribute space, yielding apictorial representation of statistical market data.6 With this perceptual map as a brand manager I cantactically plan and understand consumer attitudes and beliefs towards the product. I can see howconsumers perceive different brands and see what I am doing wrong as brand manager. Perhaps I amtarget the Skippy Peanut Butter brand at a wrong target market. Moreover, it will give me a betterunderstanding Skippy‟s current position and market structure. From these result I can then find a way tobest manage the brand in order to stop the market share decline the brand has been suffering.2. Conjoint AnalysisA conjoint analysis measures value of trade-offs and/or options to a given concept it is more expensive,complex and time consuming than concept testing, but more predictive (PowerPoint Class 2). Also thisdoesn‟t just examine reactions to a group of attributes; but delves into what may lie behind a consumer‟sresponse to a concept or set of concepts. Examines a product as a bundle of attributes; acknowledges thatindividuals place different levels of values to individual attributes (PowerPoint Class 2). This research willallow me as the brand manager to receive an in depth look of what consumers are thinking. Additionally,this can help predict the market share and see what I am doing wrong as a brand manager and ultimatelyfind out what is wrong with my brand and why it has lost market share.6 Class 2 PowerPoint
Brand Management | Final Exam14Question #4: Traditional vs. New QuestionPart AExplain why you as Launch Team manager may include “new media” tools as part of the $55 millionlaunch program. Include risks and rewards of new media which may be faced by H-80 byimplementing new media as part of the launch budget.New media is a great marketing tool that companies have been using lately to gain media exposure; themarketing world is transforming to include different forms of mediums in which companies and advertise tothe greater public. New media has great advantages, firstly traditional marketing campaigns based onmassmedia advertising, are declining in effectiveness:only 18% of television advertising campaignsgenerate a positive return on annual investment (Class 20 PowerPoint). Moreover, “Internet is the #1 massmedia vehicle for branding messages (#1 in the workplace and #2 in the home), consumers are turned offto traditional sources and social media allows bridge to levels of „brand trust‟” (Class 20 PowerPoint). Newmedia is also low cost, the CPM is lower when compared with traditional media and there is somemeasurability. Moreover, there is targeting options that can target a certain group, customization is involvedand lastly it offers interactivity with consumers (education, experience, feedback and gratification). With allthe advantages new media offers there are still risks that are involved. As a brand manager the mostimportant job is to handle your company with white gloves, with new media the brand manager shares thewhite gloves with the consumers which can work to the companies advantage (Dove Case) ordisadvantage. There is varying adoption rate among demographics groups, measurability is still somewhatskeptical, and there are low penetration rates: not all forms equal reach of traditional media. Furthermore,there is data accuracy due to 3rd party collections and fraudulent „clicks‟.Part BIdentify two specific “new media” options that you feel would contribute to H-80’s Year I goal andwhen should these tools be used in the calendar.Two new media options that would be beneficial for the H-80 launch would be a Facebook page andadvertising on online news websites. As team launch manager these two new media options have hightraffic of H-80‟s target market: Women of larger households between the ages of 18 and 35. I believe thesetwo websites will have the high traffic of our target market.These two new media options should be launched in February once the 70% distribution levels have beenreached. With these two new media options available to the public it will hopefully gain some buzz amongconsumers which will then translate to sales. Secondly, there should be a new media launch campaign onthe same websites just different advertising technique in the second half of the year around June.According my promotional calendar I will be having a Price Pack and new media would be a great way toadvertise the Price Pack. In February new media will be used to create awareness of the new brand as wellas advertise the sampling the will be given out to households around the US.Part CWhat options of traditional promotions and media would they replace if any and why?With the option I stated above: Facebook and online news website during the month of February and Juneit will not replace any traditional promotional events such as Price Packs, sweepstakes, etc. The cost of thenew media would replace some of the traditional advertising (TV, magazine and radio) I have listed in my
Brand Management | Final Exam15proposed promotional calendar for H-80. I would replace the traditional advertising with the new mediabecause new media has proven to be more effective than traditional. Also I expect to see high volume ofmy target market on Facebook and online news media.
Brand Management | Final Exam16Question #5: Wall Street Journal QuestionAd Title: Kenneth Cole Pulls AdWebLink:http://online.wsj.com/article/SB10001424052702303916904577376573731056932.html#printModeBrief Summary: A Kenneth Cole billboard has been taken down due to the controversy linked with the ad.This ad struck a nerve with the public particularly with labor leaders and public-education activists whointerpreted the ad as insulting teacher rights.This brief article covers many topics discussed in the Brand Management course throughout the semester:Market ResearchKenneth Cole did not conduct proper market research for their advertisement; if they had they would haveseen that this ad would have struck a negative nerve with the public and that it will result in taking down thebillboard ad and losing money.Brand EquityThe brand equity of Kenneth Cole is damaged due to this ad. People now have awareness that theyKenneth Cole insulted teacher‟s rights. They will now have this negative association with this companybecause of this advertisement. This ad created liabilities to Kenneth Cole which subtracts from their valueprovided because now consumers have a negative perception of the company. Opinions of teachers arecommonly regarded highly because they are an educator and are doing good in the community. WithKenneth Cole launching an ad that insults teachers it could really hurt their company/brand image in thelong run because of this negative association the public now has.SOV=SOMWith the loss of this ad Kenneth Cole loses share of voice which according to the Shroer model it should bekept at equilibrium as much as possible. With the loss of ad Kenneth Cole‟s competitors could eithermaintain their advertisements (keep their awareness present while Kenneth Cole loses awareness) or theycan increase their ad spending thus increase their SOV and ultimately obtaining a greater SOM.BuzzAlso the article states that there was an online petition protesting the billboard which garnered hundreds ofname. This is buzz Negative buzz. As we learned, good news travels and bad news travels faster. Thisad insulted teachers‟ rights could struck a powerful nerve with the public. This can ultimately cost KennethCole a lot of money to rebuild their brand image due to one ad that could have and should have beenavoided in the first place.
Brand Management | Final Exam17EXHIBITSExhibit #1: Perceptual MapHigh QualityLow Price High PriceLow Quality*Note: Both Marni and Missoni have similar quality and price (could not overlap on perceptual map)this for forMarni for H&M and Missoni for Target.