Branding helps a company to distinguish it’s product offerings from competitionBranding allows customers to associate with the brand and its products and can ease the purchase decision
companies can rely on their brand identity – this can give them longevity in the market place Makes it easier for the consumer in their purchase decisions – they might have string connections with certain brandsBrand Values are very beneficial to a company – can create barriers to competition – can contribute towards being a profitable business.Buzzel and Gale – a strong brand can result in a greater profit – this may be because consumers are willing to pay premium prices for the more popular brands. Examples of strong brands – Apple – Coca –Cola, BMW.
A brand can help differentiate a company from its competitors – it can also create a USP for its products giving consumers more reason to buy them.A brand can contribute towards the sustainability of a company and result in longevity.A strong brand adds value to the company and can have many benefits to it and its consumers.A strong brand creates a distinctive image which sets it apart from its competitors.A strong brand can enable a company to compete in the market place. Generates value in many ways – to the consumer but also to the company profitablyThe brand can create an emotional connection with the consumers and the company – can result in brand loyalty.A brand makes a company or product easy to identify amongst its competition.
Creates company value which will result in longevity and profits. – differentiates the productHelps the company to reach its target audience and create a strong loyal customer base. enabled customers to understand features and benefits of the products. - helps consumers to decide between alternative products - Creates an interest and a connection to the brand or the product.A strong brand creates a barrier to competition and to new entrants in the market place.If the brand is strong and creates an emotional appeal towards its consumers then this can result in high profits – maybe premium pricing as well.Creating a strong brand might allow the company to enter other markets – even if they are not known in that particular market the strong brand name will allow them to be recognised
The brand must be communicated to the consumer through all offeringsThe brand must be fully integrated into the company – through its website, logo, ads, products – the message must be clear to the consumer.Through branding a company is making a promise to the customer to deliver them a certain experience.
Diet coke will make them feel a certain way. Strong packaging-easily recognisable. Delivers a certain experience. Promises to achieve a certain result.This branding is used throughout the diet coke campaigns and is easily recognisable.
Family Brand Names:Eg CadburyGoodwill attached to the family brand name benefits the companyIndividual brand name:Does not identify a brand with a particular companyEgpringles – proctor and gamble product. Each brand requires a different identityCombination brand names:EgKellogsCornFlakesCapitalises on the reputation of the company while allowing the individual brands to be distinguished and identified.
Brand Domain – the brands target market, where it competes in the market placeBrand Heritage – the background to the brand and its culture. How it has achieved its success.Brand value – The core values and characteristics if the brand.Brand assets – what makes the brand distinctive from competing brands.Brand personality – the character of the brand described in terms of other entities eg people, animals or objects. - celebrity endorsements can be used for this.Brand reflection – how the brand relates to self-identity, how the customer perceives themselves as a result of buying the brand.
Brandt and Johnson suggested a set of guidelines for building a successful brand and managing the brand.
Brand image can enable a company to portray its functional or emotional values – communicate personally with the consumer.Brand image is all about how the brand is perceived by the customer – what does the brand say to them?Creates a clear identity and differentiates the product from competition.Brand image is what is perceived by the consumer – the message they receive about a brand
Brand personality are the brands characteristics – these can be humanised. It’s all about feelings and emotions.Example of google chrome – dear hollie – emotional and consumers can connect with the brand – the brand has characteristics that we can relate to.
Brand values must be integrated fully into the organisation – starting with marketing comms.The brand values need to be clear in advertising and marketing activity – they need to be consistent.The values can be created through the positioning of the brand.It’s important to consider the customer when building brand values – what do they want from a brand?Brand values take the brand personality into account as well
Brand extension – the use of an established brand name on a new brand within the same broad market – eg dove soap brand had been extended into shower gels, deoderants etc.Companies do this so they can capitalise on brand awareness.Good example is dove
Brand Stretching – When an established brand name is used for brands in unrelated markets Less risk of launching a new product if it has a strong brand name to support it.Customers are used to the brand and its values therefore are more comfortable buying the products even if they were in different markets.Less promotional costs as brand is already well established and customer has awareness alreadyExample virgin – travel, money, music, tv
Some companies can rely on the strong brand name to rescue them if problems occurProblems and issues however can affect the strength of the brand and damage its reputation therefore companies must have other contingency plans.
Manufacturers brands are created by producers and bear their own chosen brand names. The responsibility for marketing the brand lies in the hands of the producer. Own brands are created and owned by distributors. Sometimes the entire product mix of a distributor may be own-labelOwn brands can provide consistent high value for the customer and be a source of retail power therefore can compete with manufacturer brands.Brand extension – the use of an established brand name on a new brand within the same broad market – eg dove soap brand had been extended into shower gels, deoderants etc.Brand Stretching – When an established brand name is used for brands in unrelated markets – eg celebrities do this often – Jennifer Lopez – perfume, clothes, accessories.Pan European – successfully penetrated the european market. Versus Global penetrationPenetrating both markets results in benefits such as economies of scale. However national differences may make it difficult to enter other markets.
Principle of Marketing : Branding
Marketing Principles and
Practice : Branding
Miss Sakinah Shukri
• To look at branding and the role it plays in a business
• To discuss the benefits of branding
• To consider how brands are built
• To understand brand image, personality and values
• To look at Brand Stretching and Brand Extension
• Consider how a business uses brand protection
• To understand the different brand management issues a business
What is Branding?
• “A name, term, design, symbol, or any other feature that
identifies one seller’s good or service as distinct from
those of other sellers”
• “Branding is offering a distinctive product created by use
of a name, symbol, design, packaging or some
combination of these, intended to differentiate from it’s
Jobber and Fahy
The Role of the Brand
Helps sustain and develop the product or business
Helps consumers to distinguish products
Represents commercial value to the company
Buzzell and Gale (1987) – strong brands achieve
significantly more profit than their weaker counterparts –
this shows the significance of developing a strong brand
What makes a Brand?
Benefits of Branding
• Company Value
• Consumer preference and loyalty
• Barrier to Competition
• High profits
• Base for brand extensions
Integrity of a Brand
• A brand is a promise to achieve certain results, deliver a certain
experience, or act in a certain way
- Developing Brands
1. Customer focus, from start of planning
2. Champions of the brand, companies really need to be
leaders in their field
3. Capability, in terms of the organisation and resources
4. Common practices and policies
5. Consciousness of brand issues guiding everyday
6. Consistency of message
Brandt and Johnson (1997)
• Functional and emotional values of a product
• How brand is perceived in the consumers’ minds and
meets their expectations
• Creates a clear identity for the product
• Differentiates the product
• Brand identity is communicated/sent by the marketer
while brand image is perceived/received by the
• The total impression created in the consumer’s mind by
a brand and all its associations – functional and nonfunctional
• A set of human characteristics associated with a brand
• It reflects people’s feelings and emotions about a brand
and the way those brands transmit those feelings back to
Identifying and Building
• Interacting with marketing communications
• Values and expectations of the brand need to be
clearly identified and portrayed through
• Brand position is considered – perceptual map
• Market research to explore consumer
• What is the personality of the product?
• Established brand name on a new brand within
a broad market
• Capitalise on brand awareness
• Example Dove Soap
• Established brand name is used for brands in unrelated
• Distributers may perceive there is less risk with a new
product if it carries a familiar brand name
• Customers will associate the quality of the established
brand name with the new product
• The new product will attract quicker customer awareness
• Promotional launch costs (particularly advertising) are
likely to be substantially lower
• Example Virgin
• If positive values associated with a brand are
strong it will enable the owner to overcome
major problems with product quality.
• A positive approach needs to be taken in dealing
with product issues in order to protect brand –
PR and Advertising.
• Manufacturer brands versus own-label brands
• Brand Extension and Stretching
• Pan–European and global branding
• Brand dilution
• The role of a brand is to sustain and develop the product
• Branding offers benefits to consumers, manufacturers
• The key aspects involved in building brands include
brand name and developing and positioning the brand
• The key issues involved in brand management include
challenges presented by own-label brands, brand
extension decisions, pan-European and global branding