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4.1
CHAPTER 4:
CHAPTER 4:
CHOOSING BRAND ELEMENTS TO
CHOOSING BRAND ELEMENTS TO
BUILD BRAND EQUITY
BUILD BRAND EQUITY
Kevin Lane Keller
Kevin Lane Keller
Tuck School of Business
Tuck School of Business
Dartmouth College
Dartmouth College
4.2
Building
Building
Customer-Based Brand Equity
Customer-Based Brand Equity
 Brand knowledge structures depend on:
Brand knowledge structures depend on:
 The initial choices for the brand elements
The initial choices for the brand elements
 The supporting marketing program and the manner
The supporting marketing program and the manner
by which the brand is integrated into it
by which the brand is integrated into it
 Other associations indirectly transferred to the brand
Other associations indirectly transferred to the brand
by linking it to some other entities
by linking it to some other entities
4.3
Criteria for Choosing Brand Elements
Criteria for Choosing Brand Elements
 Memorability
Memorability
 Meaningfulness
Meaningfulness
 Likability
Likability
 Transferability
Transferability
 Adaptability
Adaptability
 Protectability
Protectability
Marketer’s offensive strategy
and build brand equity
Defensive role for leveraging
and maintaining brand equity
4.4
Memorability
Memorability
 Brand elements should inherently be memorable
Brand elements should inherently be memorable
and attention-getting, and therefore facilitate
and attention-getting, and therefore facilitate
recall or recognition.
recall or recognition.
 For example, a brand of propane gas cylinders
For example, a brand of propane gas cylinders
named Blue Rhino featuring a powder-blue
named Blue Rhino featuring a powder-blue
animal mascot with a distinctive yellow flame is
animal mascot with a distinctive yellow flame is
likely to stick in the minds of consumers.
likely to stick in the minds of consumers.
4.5
Meaningfulness
Meaningfulness
 Brand elements may take on all kinds of meaning, with
Brand elements may take on all kinds of meaning, with
either descriptive or persuasive content.
either descriptive or persuasive content.
 Two particularly important criteria
 General information about the nature of the product category
General information about the nature of the product category
 Specific information about particular attributes and benefits
Specific information about particular attributes and benefits
of the brand
of the brand
 The first dimension is an important determinant of
The first dimension is an important determinant of
brand awareness and salience; the second, of brand
brand awareness and salience; the second, of brand
image and positioning.
image and positioning.
4.6
Likability
Likability
 Do customers find the brand element
Do customers find the brand element
aesthetically appealing?
aesthetically appealing?
 Descriptive and persuasive elements reduce the
Descriptive and persuasive elements reduce the
burden on marketing communications to build
burden on marketing communications to build
awareness.
awareness.
4.7
Transferability
Transferability
 How useful is the brand element for line or
How useful is the brand element for line or
category extensions?
category extensions?
 To what extent does the brand element add to
To what extent does the brand element add to
brand equity across geographic boundaries and
brand equity across geographic boundaries and
market segments?
market segments?
4.8
Adaptability
Adaptability
 The more adaptable and flexible the brand
The more adaptable and flexible the brand
element, the easier it is to update it to changes in
element, the easier it is to update it to changes in
consumer values and opinions.
consumer values and opinions.
 For example, logos and characters can be given a
For example, logos and characters can be given a
new look or a new design to make them appear
new look or a new design to make them appear
more modern and relevant.
more modern and relevant.
4.9
Protectability
Protectability
 Marketers should:
Marketers should:
1.
1. Choose brand elements that can be legally
Choose brand elements that can be legally
protected internationally.
protected internationally.
2.
2. Formally register chosen brand elements with the
Formally register chosen brand elements with the
appropriate legal bodies.
appropriate legal bodies.
3.
3. Vigorously defend trademarks from unauthorized
Vigorously defend trademarks from unauthorized
competitive infringement.
competitive infringement.
4.10
Tactics for Brand Elements
Tactics for Brand Elements
 A variety of brand elements can be chosen that inherently
A variety of brand elements can be chosen that inherently
enhance brand awareness or facilitate the formation of
enhance brand awareness or facilitate the formation of
strong, favorable, and unique brand associations.
strong, favorable, and unique brand associations.
 Brand names
Brand names
 URLs
URLs
 Logos and symbols
Logos and symbols
 Characters
Characters
 Slogans
Slogans
 Packaging
Packaging
4.11
Brand Names
Brand Names
 Like any brand element, brand names must
Like any brand element, brand names must
be chosen with the six general criteria of
be chosen with the six general criteria of
memorability, meaningfulness, likability,
memorability, meaningfulness, likability,
transferability, adaptability, and protectability
transferability, adaptability, and protectability
in mind.
in mind.
4.12
Brand
Brand Naming Guidelines
Naming Guidelines
 Brand awareness
Brand awareness 
 
 Simplicity and ease of pronunciation and spelling
Simplicity and ease of pronunciation and spelling
 Familiarity and meaningfulness
Familiarity and meaningfulness
 Differentiated, distinctive, and uniqueness
Differentiated, distinctive, and uniqueness
 Brand associations
Brand associations
 The explicit and implicit meanings consumers
The explicit and implicit meanings consumers
extract from it are important. In particular, the brand
extract from it are important. In particular, the brand
name can reinforce an important attribute or benefit
name can reinforce an important attribute or benefit
association that makes up its product positioning.
association that makes up its product positioning.
4.13
Brand
Brand Naming Procedures
Naming Procedures
 Define objectives
Define objectives
 Generate names
Generate names
 Screen initial candidates
Screen initial candidates
 Study candidate names
Study candidate names
 Research the final candidates
Research the final candidates
 Select the final name
Select the final name
4.14
URLs
URLs
 URLs (uniform resource locators) specify
URLs (uniform resource locators) specify
locations of pages on the web and are also
locations of pages on the web and are also
commonly referred to as
commonly referred to as domain names.
domain names.
 A company can either sue the current owner of
A company can either sue the current owner of
the URL for copyright infringement, buy the
the URL for copyright infringement, buy the
name from the current owner, or register all
name from the current owner, or register all
conceivable variations of its brand as domain
conceivable variations of its brand as domain
names ahead of time.
names ahead of time.
4.15
Logos and Symbols
Logos and Symbols
 Play a critical role in building brand equity and
Play a critical role in building brand equity and
especially brand awareness
especially brand awareness
 Logos range from corporate names or
Logos range from corporate names or
trademarks (word marks with text only) written
trademarks (word marks with text only) written
in a distinctive form, to entirely abstract designs
in a distinctive form, to entirely abstract designs
that may be completely unrelated to the word
that may be completely unrelated to the word
mark, corporate name, or corporate activities
mark, corporate name, or corporate activities
4.16
Characters
Characters
 A special type of brand symbol—one that takes on
A special type of brand symbol—one that takes on
human or real-life characteristics
human or real-life characteristics
 Some are animated like Pillsbury’s Poppin’ Fresh
Some are animated like Pillsbury’s Poppin’ Fresh
Doughboy, Peter Pan peanut butter’s character, and
Doughboy, Peter Pan peanut butter’s character, and
numerous cereal characters such as Tony the Tiger,
numerous cereal characters such as Tony the Tiger,
Cap’n Crunch, and Snap, Crackle & Pop.
Cap’n Crunch, and Snap, Crackle & Pop.
 Others are live-action figures like Juan Valdez
Others are live-action figures like Juan Valdez
(Colombian coffee), the Maytag repairman, and Ronald
(Colombian coffee), the Maytag repairman, and Ronald
McDonald. Notable newcomers include the AOL
McDonald. Notable newcomers include the AOL
running man, the Budweiser frogs, and the AFLAC
running man, the Budweiser frogs, and the AFLAC
duck.
duck.
4.17
Slogans
Slogans
 Slogans are short phrases that communicate
Slogans are short phrases that communicate
descriptive or persuasive information about the
descriptive or persuasive information about the
brand.
brand.
 Slogans are powerful branding devices because,
Slogans are powerful branding devices because,
like brand names, they are an extremely efficient,
like brand names, they are an extremely efficient,
shorthand means to build brand equity
shorthand means to build brand equity
4.18
Classic Slogans
 “
“Melts in your mouth, not in your hands”
Melts in your mouth, not in your hands”
(M&M’s)
(M&M’s)
 “
“Sometimes you feel like a nut, sometimes you
Sometimes you feel like a nut, sometimes you
don’t” (Almond Joy/Mounds)
don’t” (Almond Joy/Mounds)
 “
“Where’s the beef?” (Wendy’s)
Where’s the beef?” (Wendy’s)
 “
“A mind is a terrible thing to waste” (United
A mind is a terrible thing to waste” (United
Negro College Fund)
Negro College Fund)
 “
“Can you hear me now?” (Verizon)
Can you hear me now?” (Verizon)
Source: Monty Phan, “Celebrating Their Sweet Success,” Newsday, 21 September 2004, A43.
4.19
Jingles
Jingles
 Jingles are musical messages written around
Jingles are musical messages written around
the brand. Typically composed by professional
the brand. Typically composed by professional
songwriters, they often have enough catchy
songwriters, they often have enough catchy
hooks and choruses to become almost
hooks and choruses to become almost
permanently registered in the minds of listeners
permanently registered in the minds of listeners
—sometimes whether they want them to or not!
—sometimes whether they want them to or not!
 Jingles are perhaps most valuable in enhancing
Jingles are perhaps most valuable in enhancing
brand awareness.
brand awareness.
4.20
Packaging
Packaging
 From the perspective of both the firm and
From the perspective of both the firm and
consumers, packaging must achieve a number of
consumers, packaging must achieve a number of
objectives:
objectives:
 Identify the brand
Identify the brand
 Convey descriptive and persuasive information
Convey descriptive and persuasive information
 Facilitate product transportation and protection
Facilitate product transportation and protection
 Assist at-home storage
Assist at-home storage
 Aid product consumption
Aid product consumption
Susan B. Bassin, “Value-Added Packaging Cuts through Store Clutter,”
Susan B. Bassin, “Value-Added Packaging Cuts through Store Clutter,”
Marketing News,
Marketing News, 26 September 1988, 21.
26 September 1988, 21.
4.21
Packaging Can Influence Taste
Packaging Can Influence Taste
 Our sense of taste and touch is very suggestible,
Our sense of taste and touch is very suggestible,
and what we see on a package can lead us to
and what we see on a package can lead us to
taste what we think we are going to taste.
taste what we think we are going to taste.
4.22
Packaging Can Influence Value
Packaging Can Influence Value
 Long after we have bought a product, a
Long after we have bought a product, a
package can still lead us to believe we bought
package can still lead us to believe we bought
it because it was a good value.
it because it was a good value.
4.23
Packaging Can Influence
Packaging Can Influence
Consumption
Consumption
 Studies of 48 different types of foods and
Studies of 48 different types of foods and
personal care products have shown that people
personal care products have shown that people
pour and consume between 18% and 32% more
pour and consume between 18% and 32% more
of a product as the size of the container doubles.
of a product as the size of the container doubles.
Valerie Folkes, Ingrid Martin and Kamal Gupta,
Valerie Folkes, Ingrid Martin and Kamal Gupta,
“
“When to Say When: Effects of Supply on Usage,”
When to Say When: Effects of Supply on Usage,”
Journal of Consumer Research
Journal of Consumer Research, 20 December 1993, 467-477.
, 20 December 1993, 467-477.
4.24
Packaging Can Influence How a
Packaging Can Influence How a
Person Uses a Product
Person Uses a Product
 One strategy to increase use of mature products
One strategy to increase use of mature products
has been to encourage people to use the brand
has been to encourage people to use the brand
in new situations, like soup for breakfast, or new
in new situations, like soup for breakfast, or new
uses, like baking soda as a refrigerator
uses, like baking soda as a refrigerator
deodorizer.
deodorizer.
 An analysis of 26 products and 402 consumers
An analysis of 26 products and 402 consumers
showed that twice as many people learned about
showed that twice as many people learned about
the new use from the package than from
the new use from the package than from
television ads.
television ads.
4.25
Putting It All Together
Putting It All Together
 The entire set of brand elements makes up the
The entire set of brand elements makes up the
brand identity,
brand identity, the contribution of all brand
the contribution of all brand
elements to awareness and image.
elements to awareness and image.
 The cohesiveness of the brand identity depends
The cohesiveness of the brand identity depends
on the extent to which the brand elements are
on the extent to which the brand elements are
consistent.
consistent.

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kellersbm304-130514104825-phpapp02.pdf

  • 1. 4.1 CHAPTER 4: CHAPTER 4: CHOOSING BRAND ELEMENTS TO CHOOSING BRAND ELEMENTS TO BUILD BRAND EQUITY BUILD BRAND EQUITY Kevin Lane Keller Kevin Lane Keller Tuck School of Business Tuck School of Business Dartmouth College Dartmouth College
  • 2. 4.2 Building Building Customer-Based Brand Equity Customer-Based Brand Equity  Brand knowledge structures depend on: Brand knowledge structures depend on:  The initial choices for the brand elements The initial choices for the brand elements  The supporting marketing program and the manner The supporting marketing program and the manner by which the brand is integrated into it by which the brand is integrated into it  Other associations indirectly transferred to the brand Other associations indirectly transferred to the brand by linking it to some other entities by linking it to some other entities
  • 3. 4.3 Criteria for Choosing Brand Elements Criteria for Choosing Brand Elements  Memorability Memorability  Meaningfulness Meaningfulness  Likability Likability  Transferability Transferability  Adaptability Adaptability  Protectability Protectability Marketer’s offensive strategy and build brand equity Defensive role for leveraging and maintaining brand equity
  • 4. 4.4 Memorability Memorability  Brand elements should inherently be memorable Brand elements should inherently be memorable and attention-getting, and therefore facilitate and attention-getting, and therefore facilitate recall or recognition. recall or recognition.  For example, a brand of propane gas cylinders For example, a brand of propane gas cylinders named Blue Rhino featuring a powder-blue named Blue Rhino featuring a powder-blue animal mascot with a distinctive yellow flame is animal mascot with a distinctive yellow flame is likely to stick in the minds of consumers. likely to stick in the minds of consumers.
  • 5. 4.5 Meaningfulness Meaningfulness  Brand elements may take on all kinds of meaning, with Brand elements may take on all kinds of meaning, with either descriptive or persuasive content. either descriptive or persuasive content.  Two particularly important criteria  General information about the nature of the product category General information about the nature of the product category  Specific information about particular attributes and benefits Specific information about particular attributes and benefits of the brand of the brand  The first dimension is an important determinant of The first dimension is an important determinant of brand awareness and salience; the second, of brand brand awareness and salience; the second, of brand image and positioning. image and positioning.
  • 6. 4.6 Likability Likability  Do customers find the brand element Do customers find the brand element aesthetically appealing? aesthetically appealing?  Descriptive and persuasive elements reduce the Descriptive and persuasive elements reduce the burden on marketing communications to build burden on marketing communications to build awareness. awareness.
  • 7. 4.7 Transferability Transferability  How useful is the brand element for line or How useful is the brand element for line or category extensions? category extensions?  To what extent does the brand element add to To what extent does the brand element add to brand equity across geographic boundaries and brand equity across geographic boundaries and market segments? market segments?
  • 8. 4.8 Adaptability Adaptability  The more adaptable and flexible the brand The more adaptable and flexible the brand element, the easier it is to update it to changes in element, the easier it is to update it to changes in consumer values and opinions. consumer values and opinions.  For example, logos and characters can be given a For example, logos and characters can be given a new look or a new design to make them appear new look or a new design to make them appear more modern and relevant. more modern and relevant.
  • 9. 4.9 Protectability Protectability  Marketers should: Marketers should: 1. 1. Choose brand elements that can be legally Choose brand elements that can be legally protected internationally. protected internationally. 2. 2. Formally register chosen brand elements with the Formally register chosen brand elements with the appropriate legal bodies. appropriate legal bodies. 3. 3. Vigorously defend trademarks from unauthorized Vigorously defend trademarks from unauthorized competitive infringement. competitive infringement.
  • 10. 4.10 Tactics for Brand Elements Tactics for Brand Elements  A variety of brand elements can be chosen that inherently A variety of brand elements can be chosen that inherently enhance brand awareness or facilitate the formation of enhance brand awareness or facilitate the formation of strong, favorable, and unique brand associations. strong, favorable, and unique brand associations.  Brand names Brand names  URLs URLs  Logos and symbols Logos and symbols  Characters Characters  Slogans Slogans  Packaging Packaging
  • 11. 4.11 Brand Names Brand Names  Like any brand element, brand names must Like any brand element, brand names must be chosen with the six general criteria of be chosen with the six general criteria of memorability, meaningfulness, likability, memorability, meaningfulness, likability, transferability, adaptability, and protectability transferability, adaptability, and protectability in mind. in mind.
  • 12. 4.12 Brand Brand Naming Guidelines Naming Guidelines  Brand awareness Brand awareness     Simplicity and ease of pronunciation and spelling Simplicity and ease of pronunciation and spelling  Familiarity and meaningfulness Familiarity and meaningfulness  Differentiated, distinctive, and uniqueness Differentiated, distinctive, and uniqueness  Brand associations Brand associations  The explicit and implicit meanings consumers The explicit and implicit meanings consumers extract from it are important. In particular, the brand extract from it are important. In particular, the brand name can reinforce an important attribute or benefit name can reinforce an important attribute or benefit association that makes up its product positioning. association that makes up its product positioning.
  • 13. 4.13 Brand Brand Naming Procedures Naming Procedures  Define objectives Define objectives  Generate names Generate names  Screen initial candidates Screen initial candidates  Study candidate names Study candidate names  Research the final candidates Research the final candidates  Select the final name Select the final name
  • 14. 4.14 URLs URLs  URLs (uniform resource locators) specify URLs (uniform resource locators) specify locations of pages on the web and are also locations of pages on the web and are also commonly referred to as commonly referred to as domain names. domain names.  A company can either sue the current owner of A company can either sue the current owner of the URL for copyright infringement, buy the the URL for copyright infringement, buy the name from the current owner, or register all name from the current owner, or register all conceivable variations of its brand as domain conceivable variations of its brand as domain names ahead of time. names ahead of time.
  • 15. 4.15 Logos and Symbols Logos and Symbols  Play a critical role in building brand equity and Play a critical role in building brand equity and especially brand awareness especially brand awareness  Logos range from corporate names or Logos range from corporate names or trademarks (word marks with text only) written trademarks (word marks with text only) written in a distinctive form, to entirely abstract designs in a distinctive form, to entirely abstract designs that may be completely unrelated to the word that may be completely unrelated to the word mark, corporate name, or corporate activities mark, corporate name, or corporate activities
  • 16. 4.16 Characters Characters  A special type of brand symbol—one that takes on A special type of brand symbol—one that takes on human or real-life characteristics human or real-life characteristics  Some are animated like Pillsbury’s Poppin’ Fresh Some are animated like Pillsbury’s Poppin’ Fresh Doughboy, Peter Pan peanut butter’s character, and Doughboy, Peter Pan peanut butter’s character, and numerous cereal characters such as Tony the Tiger, numerous cereal characters such as Tony the Tiger, Cap’n Crunch, and Snap, Crackle & Pop. Cap’n Crunch, and Snap, Crackle & Pop.  Others are live-action figures like Juan Valdez Others are live-action figures like Juan Valdez (Colombian coffee), the Maytag repairman, and Ronald (Colombian coffee), the Maytag repairman, and Ronald McDonald. Notable newcomers include the AOL McDonald. Notable newcomers include the AOL running man, the Budweiser frogs, and the AFLAC running man, the Budweiser frogs, and the AFLAC duck. duck.
  • 17. 4.17 Slogans Slogans  Slogans are short phrases that communicate Slogans are short phrases that communicate descriptive or persuasive information about the descriptive or persuasive information about the brand. brand.  Slogans are powerful branding devices because, Slogans are powerful branding devices because, like brand names, they are an extremely efficient, like brand names, they are an extremely efficient, shorthand means to build brand equity shorthand means to build brand equity
  • 18. 4.18 Classic Slogans  “ “Melts in your mouth, not in your hands” Melts in your mouth, not in your hands” (M&M’s) (M&M’s)  “ “Sometimes you feel like a nut, sometimes you Sometimes you feel like a nut, sometimes you don’t” (Almond Joy/Mounds) don’t” (Almond Joy/Mounds)  “ “Where’s the beef?” (Wendy’s) Where’s the beef?” (Wendy’s)  “ “A mind is a terrible thing to waste” (United A mind is a terrible thing to waste” (United Negro College Fund) Negro College Fund)  “ “Can you hear me now?” (Verizon) Can you hear me now?” (Verizon) Source: Monty Phan, “Celebrating Their Sweet Success,” Newsday, 21 September 2004, A43.
  • 19. 4.19 Jingles Jingles  Jingles are musical messages written around Jingles are musical messages written around the brand. Typically composed by professional the brand. Typically composed by professional songwriters, they often have enough catchy songwriters, they often have enough catchy hooks and choruses to become almost hooks and choruses to become almost permanently registered in the minds of listeners permanently registered in the minds of listeners —sometimes whether they want them to or not! —sometimes whether they want them to or not!  Jingles are perhaps most valuable in enhancing Jingles are perhaps most valuable in enhancing brand awareness. brand awareness.
  • 20. 4.20 Packaging Packaging  From the perspective of both the firm and From the perspective of both the firm and consumers, packaging must achieve a number of consumers, packaging must achieve a number of objectives: objectives:  Identify the brand Identify the brand  Convey descriptive and persuasive information Convey descriptive and persuasive information  Facilitate product transportation and protection Facilitate product transportation and protection  Assist at-home storage Assist at-home storage  Aid product consumption Aid product consumption Susan B. Bassin, “Value-Added Packaging Cuts through Store Clutter,” Susan B. Bassin, “Value-Added Packaging Cuts through Store Clutter,” Marketing News, Marketing News, 26 September 1988, 21. 26 September 1988, 21.
  • 21. 4.21 Packaging Can Influence Taste Packaging Can Influence Taste  Our sense of taste and touch is very suggestible, Our sense of taste and touch is very suggestible, and what we see on a package can lead us to and what we see on a package can lead us to taste what we think we are going to taste. taste what we think we are going to taste.
  • 22. 4.22 Packaging Can Influence Value Packaging Can Influence Value  Long after we have bought a product, a Long after we have bought a product, a package can still lead us to believe we bought package can still lead us to believe we bought it because it was a good value. it because it was a good value.
  • 23. 4.23 Packaging Can Influence Packaging Can Influence Consumption Consumption  Studies of 48 different types of foods and Studies of 48 different types of foods and personal care products have shown that people personal care products have shown that people pour and consume between 18% and 32% more pour and consume between 18% and 32% more of a product as the size of the container doubles. of a product as the size of the container doubles. Valerie Folkes, Ingrid Martin and Kamal Gupta, Valerie Folkes, Ingrid Martin and Kamal Gupta, “ “When to Say When: Effects of Supply on Usage,” When to Say When: Effects of Supply on Usage,” Journal of Consumer Research Journal of Consumer Research, 20 December 1993, 467-477. , 20 December 1993, 467-477.
  • 24. 4.24 Packaging Can Influence How a Packaging Can Influence How a Person Uses a Product Person Uses a Product  One strategy to increase use of mature products One strategy to increase use of mature products has been to encourage people to use the brand has been to encourage people to use the brand in new situations, like soup for breakfast, or new in new situations, like soup for breakfast, or new uses, like baking soda as a refrigerator uses, like baking soda as a refrigerator deodorizer. deodorizer.  An analysis of 26 products and 402 consumers An analysis of 26 products and 402 consumers showed that twice as many people learned about showed that twice as many people learned about the new use from the package than from the new use from the package than from television ads. television ads.
  • 25. 4.25 Putting It All Together Putting It All Together  The entire set of brand elements makes up the The entire set of brand elements makes up the brand identity, brand identity, the contribution of all brand the contribution of all brand elements to awareness and image. elements to awareness and image.  The cohesiveness of the brand identity depends The cohesiveness of the brand identity depends on the extent to which the brand elements are on the extent to which the brand elements are consistent. consistent.