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BRANDING DECISIONS
BRAND

Meaning

Brand is a name, term, symbol or a design or a combination
of them which is intended to identify the goods or services of
one seller or group of sellers and to differentiate them from
those of competitors.
E.g..
Lux
555 cigarette
Bata shoes
Coca-cola
Pepsi
McDonalds
HP
Honda
Rado
   BRANDING


       Branding is the process of identifying the name of a
    producer with his product by affixing to the product or its
    container the trade name or brand represented by words or
    design.
   BRAND NAME

    A Brand name consists of words letters or numbers which
    may be vocalized or pronounced , e.g.. Pepsi, Whirlpool
    etc.
   BRAND MARK


    Brand mark is the part of brand which appears in the form
    of a symbol, design or distinctive coloring or lettering. It
    could be recognized only by sight but may not be
    pronounceable, e.g.. The symbol of Air India, symbol of
    Vodafone etc.
   TRADE MARK

      When a brand name or brand mark is registered and
    legalized it becomes a trade mark.
•TRADE NAME

A trade name is the name of business, preferably the name of
the organisation itself. A trade name may also be a brand
name.

Eg. TATAs Jasmine soaps, hair oil, powder etc.

    MTR Pickle, Rasam Powder etc.
BRAND EQUITY

The overall strength of a brand in the marketplace and its
value to the company that owns it.


BRAND LOYALTY

The level of commitment that customers feel toward a given
brand as represented by their continuing purchase of that
brand.
Functions of Branding

• Product Identification
• Product Differentiation
• Eliminates Imitation
• Denotes standard or quality of the product
• Trade mark ensures legal right
• Helps for brand loyalty
• Helps in packaging
• Helps advertising
• Helps salesmanship
• Helps for price differentiation
• Helps to sell the products easily
• Helps for repeated sales
METHODS OF BRANDING
•Using the name of the manufacturer
Godrej furniture, Ford motors, Britannia biscuits, Bata shoes,
Tata hair oil etc.

•Using a special Name
Hamam soap, Prince blade, Parker pen, Camel pencil etc.

•Using a number
501 bar soap, 30 beedies, 555 cigarette etc.

•Using a special symbol or a design
Monkey brand toothpowder, Key brand kerosene, Elephant
brand cigarette, Scissors cigarette, Camel brand ink, stag
brand umbrella.
BRANDING STRATEGIES

Brand strategy is an indication as to how a concern chooses
to use branding as an integral part of its overall marketing
strategy.

Different brand strategy options

•Single-Brand or Blanket Brand or Family Brand or Umbrella
Brand Product strategy:

It refers to the use of a single brand name by a concern for all
the products sold by it, whether the brand name is that of a
family, firm or an individual.
Eg.
Godrej- Soap, Refrigerator, Almirah, Hair dye, Cosmetics
Kissan- Squashes, sause, jams, ketch up
Vimal- Suiting, Shirting, accessories.
Maggi- Noodles, sause
Tata- Steel, oil, watches, salt, tea, machinery, automobiles
L&T- switches, control gears, change over switches,
telecommunication equipments.
Bata- Shoes and socks
Ponds- cold cream, soap, talcum powder
• Multi Brand Product Strategy:

It refers to the practice of offering each product in a product
category under a separate brand name.
Eg. HLLs Lux, Pears, Rexona, Lifebuoy etc.

• Distributors Brand or Private Brand Strategy:

It is a brand strategy under which a manufacturer may opt to
introduce his products under a distributors brand name.

• Mixed Brand Strategy:

It is a brand strategy under which a manufacturer offers his
products to consumers partly under his own brand name and
partly under distributors brand name.
BRANDING DECISIONS IN INTERNATIONAL
                MARKETING

   Branding has become management technique as it
  involves considerations of alternatives and choosing
  the best alternative.

1.TO BRAND OR NOT TO BRAND
Branding- costly and risky
Difficult to identify the product without branding
In advanced countries people shift to non branded
   goods- look at reasonable price.
BRANDING DECISIONS IN INTERNATIONAL
                 MARKETING

     2. MANUFACTURER’S BRAND OR PRIVATE
  BRAND
Many Indian firms are manufacturing products for
  private brands of the foreign sellers.

Difficult to sell the products in the international market
   under local and unfamiliar brands.

Even goods exported under Indian brands are
  repacked abroad and sold under foreign brand
  names.
BRANDING DECISIONS IN INTERNATIONAL
                MARKETING

  3. SAME BRANDS OR DIFFERENT BRANDS

Same brands for all the countries
Different brands for the different countries
One brand for domestic country and same brand for
   all foreign countries.
BRANDING DECISIONS IN INTERNATIONAL
                MARKETING

  GLOBAL BRANDS
Pepsi, coca-cola, McDonalds, Philips.
Because of cultural differences, it is not possible to
  have same brands for all the countries.
E.g.- colors, numbers, symbols etc.- different
  meanings in different countries.

NOVA in Spanish means “It does not move”.
BRANDING DECISIONS IN INTERNATIONAL
                    MARKETING
Following points must be considered
• A word has/does not have dictionary meaning from
  canon to Kodak
• A word which projects quality or user advantage-
  Sleep well
• A word which is commonly spoken across the
  world- Good Year, Apple
• A word which is or not hyphenated- Coca-Cola,
  Pepsi
• A product technology understandable to the buyer-
  BSNL 3G
• A word which has the regional importance and can
  easily be made known to the international buyer
  Lenovo, IBM, Infosys, Wipro.
BRANDING DECISIONS IN INTERNATIONAL
                  MARKETING

    ADVANTAGES OF GLOBAL BRANDS
•   It makes market entry easy
•   It reduces the promotional expenses
•   It helps to generate good sales
•   Easy to compete
BRANDING PROBLEMS IN INTERNATIONAL
                        MARKETING
• It is difficult for a small firm to promote its brand
  internationally- because of heavy cost

• Established foreign importers and distributors
  discourage use of exporters brand- they have their
  own brand name

• Cultural differences make international branding
  difficult
BRANDING PROBLEMS IN INTERNATIONAL
                     MARKETING
• Sometimes world famous brands have been
  already registered by somebody else in a country
  where MNC is now entering.

• In some countries there is restriction in using
  foreign brands- prefixing or suffixing an Indian word
  is must.
E.g.- Lehar Pepsi, LML Vespa, Swaraj Mazda, Hero
  Honda, Maruti-Suzuki, Bajaj Alliance, etc.
SCOPE FOR USE OF INDIAN BRANDSIN
            INTERNATIONAL MARKETING
• Indian brand names may be used when niche
  marketing strategy is employed.
Niche marketing means concentrating on a market
  segment that is not satisfactorily served or
  which is ignored by the major players.
E.g.- In the US toothpaste market, dominated by
  large MNCs, Balsara identified a niche for a
  herbal dental product.
Vicco identified a niche for a sugar free
  toothpaste- Vicco SF
SCOPE FOR USE OF INDIAN BRANDSIN
            INTERNATIONAL MARKETING
• Indian brands may be used when the export is
  made to foreign firms who do not have their own
  brands- push strategy.
• After gaining experience in export business Indian
  firms can sell on their own brands, while exporting
  without brands.
• An Indian company may buy a foreign brand or a
  company
E.g.- In 1994 Arvind Mills acquired Europe's THE BIG
  MILL
SCOPE FOR USE OF INDIAN BRANDSIN
         INTERNATIONAL MARKETING

• Indian Companies can combine their brands with
  foreign brands. E.g. – Tata-Tetley

• Several firms may jointly promote a common brand

• Using logo along with brands will help the
  companies to promote their brands.

• E.g.- Tea board successfully promoted        the
  Darjeeling logo in the foreign market.
PACKAGING DECISIONS

Packing
   Packing means covering, wrapping and crating of goods
  into a package before they are transported or stored.

Packaging
  Packaging is the use of containers and wrapping materials
  plus decoration and labeling to protect the product, to help
  and promote its sales, and to make it convenient for the
  customers to use the product.
PACKAGING DECISIONS

In International marketing much attention should be
  given.

Goods may be rejected because of poor packaging
 even though quality is good.
FUNCTIONS OF PACKAGING

   Protection from various kinds of damages
   Preservation
   Presentation
   Convenience
   Economy- prevents loss
   It explains about the product
   Projects popularity of the producer
   Provides innovational opportunities
   Acts as an advertisement
   It facilitates transportation, handling and storage
   Helps for legal requirements
FACTORS INFLUENCING PACKAGING DECISIONS

   Physical characteristics- weight, fragility, rigidity,
    surface finish etc.

   Physio-chemical characteristics- effect of moisture,
    oxygen, light, flame, bacteria, fungus, chemical action
    etc.

   Economy- cost must be reduced.

   Convenience- easy to open an close, easy to dispose,
    easy to recycle, easy to identify, easy to handle, easy
    to display etc.
SPECIAL CONSIDERATIONS IN INTERNATIONAL
  MARKETING

 Regulations in foreign countries- standards must be
  followed- local languages.
 Buyer’s specifications- Importers specifications
 Socio-cultural factors- customs, traditions, beliefs.

Blue- feminine and warm in Holland
       Masculine and cold in Sweden
Green- Favorite in Islamic countries
        In Malaysia associated with illness
White- Death and mourning in China and Korea
        Happiness and bridal dress in some countries
Red- Popular in communist countries
      National distaste in some African countries.
SPECIAL CONSIDERATIONS IN INTERNATIONAL
  MARKETING

   Retailing characteristics- In self service stores it should
    be attractive, describe product feature, give consumer
    confidence etc.

   Environmental factors- weather and climate factors-
    origin, transit and market.

   Disposability- Recyclability, Environment friendly,
    reusability etc.
IMPORTANCE AND REQUIREMENTS OF EXPORT
  PACKING

   Should ensure safe and easy transport of products
   Shipping company will not be responsible for poor
    packing
   Insurance company may not bear the risk

Packing should satisfy the following conditions
 Capable of withstanding the hazards of handling and
  transport
 Hooks, handles, grippers must be provided
 Position should be clearly indicated ‘ Side Up’
 Glass with care, fragile must be mentioned
 It should facilitate quick examination
 If possible contents must not be disclosed
 Guidelines must be strictly followed
IMPORTANCE AND REQUIREMENTS OF EXPORT
  PACKING

Three most important considerations in Packaging

   SAFETY
   CONVENIENCE
   ENVIRONMENTAL IMPACT
PACKAGING POLICIES AND STRATEGIES

• Strategy of Periodic Packaging Changes
A firm may make periodic changes in product
packages.

•Family Packaging
It is a kind of packaging strategy in which packages of
the entire product line closely resemble one another.

E.g.. Old Spice shaving cream, after shave lotion and
other related items have identical packages- picture of
a white bright ship on them.
   Re-use Packaging
     It is a strategy in which the marketer offers product in such
    a package which may be reused for other purposes after
    the product has been taken out of the package or
    exhausted.

   Multiple Packaging
       It is a strategy in which a number of heterogeneous
    products are placed and supplied in a single package.
    E.g. A shirt, tie and a kerchief
          tools
          thread, needle, scissors etc.
Ecological Packaging

  It is a kind of packaging strategy in which a firm formulates
  such a packaging strategy as to protect the physical
  environment.

  Returnable containers
  light weight materials
  Recycling materials
TYPES OF PACKAGING

   Transit Packaging
   Consumer Packaging
   Bulk Packaging
PACKAGING DECISIONS

     A decision taken in respect of packaging of product is
    known as packaging decisions.
   Need for protection
   Product differentiation
   Package design- colour, size, shape
   Package size
   Package cost
PACKAGING MATERIALS

   Earthen wares
   Straw baskets
   Paper bags
   Gunny bags
   Wooden boxes
   Cardboard boxes
   Glass wares
   Tin containers
   Plastic containers
   Metals
PACKAGING MATERIALS

   Netherlands forbids the use of straw packing

   South Africa and New Zealand both insist on declarations
    that timber used in packing is free from certain diseases
   Export of Food products to USA must conform to the
    provisions of US Food and Drugs Act.
   Australia bans the import of any packing material
    containing vegetable matters.
ROLE OF IIP IN EXPORT PACKAGING

   Cardamom- Half, One and Two Kgs in Plastic containers
   Mangoes- Paper Board packaging
   Handicrafts- Using plastic foams
   Grapes- Paper based packaging
Branding packaging

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Branding packaging

  • 1. BRANDING DECISIONS BRAND Meaning Brand is a name, term, symbol or a design or a combination of them which is intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.
  • 3. BRANDING Branding is the process of identifying the name of a producer with his product by affixing to the product or its container the trade name or brand represented by words or design.  BRAND NAME A Brand name consists of words letters or numbers which may be vocalized or pronounced , e.g.. Pepsi, Whirlpool etc.
  • 4. BRAND MARK Brand mark is the part of brand which appears in the form of a symbol, design or distinctive coloring or lettering. It could be recognized only by sight but may not be pronounceable, e.g.. The symbol of Air India, symbol of Vodafone etc.  TRADE MARK When a brand name or brand mark is registered and legalized it becomes a trade mark.
  • 5. •TRADE NAME A trade name is the name of business, preferably the name of the organisation itself. A trade name may also be a brand name. Eg. TATAs Jasmine soaps, hair oil, powder etc. MTR Pickle, Rasam Powder etc.
  • 6. BRAND EQUITY The overall strength of a brand in the marketplace and its value to the company that owns it. BRAND LOYALTY The level of commitment that customers feel toward a given brand as represented by their continuing purchase of that brand.
  • 7. Functions of Branding • Product Identification • Product Differentiation • Eliminates Imitation • Denotes standard or quality of the product • Trade mark ensures legal right • Helps for brand loyalty • Helps in packaging • Helps advertising • Helps salesmanship • Helps for price differentiation • Helps to sell the products easily • Helps for repeated sales
  • 8. METHODS OF BRANDING •Using the name of the manufacturer Godrej furniture, Ford motors, Britannia biscuits, Bata shoes, Tata hair oil etc. •Using a special Name Hamam soap, Prince blade, Parker pen, Camel pencil etc. •Using a number 501 bar soap, 30 beedies, 555 cigarette etc. •Using a special symbol or a design Monkey brand toothpowder, Key brand kerosene, Elephant brand cigarette, Scissors cigarette, Camel brand ink, stag brand umbrella.
  • 9. BRANDING STRATEGIES Brand strategy is an indication as to how a concern chooses to use branding as an integral part of its overall marketing strategy. Different brand strategy options •Single-Brand or Blanket Brand or Family Brand or Umbrella Brand Product strategy: It refers to the use of a single brand name by a concern for all the products sold by it, whether the brand name is that of a family, firm or an individual.
  • 10. Eg. Godrej- Soap, Refrigerator, Almirah, Hair dye, Cosmetics Kissan- Squashes, sause, jams, ketch up Vimal- Suiting, Shirting, accessories. Maggi- Noodles, sause Tata- Steel, oil, watches, salt, tea, machinery, automobiles L&T- switches, control gears, change over switches, telecommunication equipments. Bata- Shoes and socks Ponds- cold cream, soap, talcum powder
  • 11. • Multi Brand Product Strategy: It refers to the practice of offering each product in a product category under a separate brand name. Eg. HLLs Lux, Pears, Rexona, Lifebuoy etc. • Distributors Brand or Private Brand Strategy: It is a brand strategy under which a manufacturer may opt to introduce his products under a distributors brand name. • Mixed Brand Strategy: It is a brand strategy under which a manufacturer offers his products to consumers partly under his own brand name and partly under distributors brand name.
  • 12. BRANDING DECISIONS IN INTERNATIONAL MARKETING Branding has become management technique as it involves considerations of alternatives and choosing the best alternative. 1.TO BRAND OR NOT TO BRAND Branding- costly and risky Difficult to identify the product without branding In advanced countries people shift to non branded goods- look at reasonable price.
  • 13. BRANDING DECISIONS IN INTERNATIONAL MARKETING 2. MANUFACTURER’S BRAND OR PRIVATE BRAND Many Indian firms are manufacturing products for private brands of the foreign sellers. Difficult to sell the products in the international market under local and unfamiliar brands. Even goods exported under Indian brands are repacked abroad and sold under foreign brand names.
  • 14. BRANDING DECISIONS IN INTERNATIONAL MARKETING 3. SAME BRANDS OR DIFFERENT BRANDS Same brands for all the countries Different brands for the different countries One brand for domestic country and same brand for all foreign countries.
  • 15. BRANDING DECISIONS IN INTERNATIONAL MARKETING GLOBAL BRANDS Pepsi, coca-cola, McDonalds, Philips. Because of cultural differences, it is not possible to have same brands for all the countries. E.g.- colors, numbers, symbols etc.- different meanings in different countries. NOVA in Spanish means “It does not move”.
  • 16. BRANDING DECISIONS IN INTERNATIONAL MARKETING Following points must be considered • A word has/does not have dictionary meaning from canon to Kodak • A word which projects quality or user advantage- Sleep well • A word which is commonly spoken across the world- Good Year, Apple • A word which is or not hyphenated- Coca-Cola, Pepsi • A product technology understandable to the buyer- BSNL 3G • A word which has the regional importance and can easily be made known to the international buyer Lenovo, IBM, Infosys, Wipro.
  • 17. BRANDING DECISIONS IN INTERNATIONAL MARKETING ADVANTAGES OF GLOBAL BRANDS • It makes market entry easy • It reduces the promotional expenses • It helps to generate good sales • Easy to compete
  • 18. BRANDING PROBLEMS IN INTERNATIONAL MARKETING • It is difficult for a small firm to promote its brand internationally- because of heavy cost • Established foreign importers and distributors discourage use of exporters brand- they have their own brand name • Cultural differences make international branding difficult
  • 19. BRANDING PROBLEMS IN INTERNATIONAL MARKETING • Sometimes world famous brands have been already registered by somebody else in a country where MNC is now entering. • In some countries there is restriction in using foreign brands- prefixing or suffixing an Indian word is must. E.g.- Lehar Pepsi, LML Vespa, Swaraj Mazda, Hero Honda, Maruti-Suzuki, Bajaj Alliance, etc.
  • 20. SCOPE FOR USE OF INDIAN BRANDSIN INTERNATIONAL MARKETING • Indian brand names may be used when niche marketing strategy is employed. Niche marketing means concentrating on a market segment that is not satisfactorily served or which is ignored by the major players. E.g.- In the US toothpaste market, dominated by large MNCs, Balsara identified a niche for a herbal dental product. Vicco identified a niche for a sugar free toothpaste- Vicco SF
  • 21. SCOPE FOR USE OF INDIAN BRANDSIN INTERNATIONAL MARKETING • Indian brands may be used when the export is made to foreign firms who do not have their own brands- push strategy. • After gaining experience in export business Indian firms can sell on their own brands, while exporting without brands. • An Indian company may buy a foreign brand or a company E.g.- In 1994 Arvind Mills acquired Europe's THE BIG MILL
  • 22. SCOPE FOR USE OF INDIAN BRANDSIN INTERNATIONAL MARKETING • Indian Companies can combine their brands with foreign brands. E.g. – Tata-Tetley • Several firms may jointly promote a common brand • Using logo along with brands will help the companies to promote their brands. • E.g.- Tea board successfully promoted the Darjeeling logo in the foreign market.
  • 23. PACKAGING DECISIONS Packing Packing means covering, wrapping and crating of goods into a package before they are transported or stored. Packaging Packaging is the use of containers and wrapping materials plus decoration and labeling to protect the product, to help and promote its sales, and to make it convenient for the customers to use the product.
  • 24. PACKAGING DECISIONS In International marketing much attention should be given. Goods may be rejected because of poor packaging even though quality is good.
  • 25. FUNCTIONS OF PACKAGING  Protection from various kinds of damages  Preservation  Presentation  Convenience  Economy- prevents loss  It explains about the product  Projects popularity of the producer  Provides innovational opportunities  Acts as an advertisement  It facilitates transportation, handling and storage  Helps for legal requirements
  • 26. FACTORS INFLUENCING PACKAGING DECISIONS  Physical characteristics- weight, fragility, rigidity, surface finish etc.  Physio-chemical characteristics- effect of moisture, oxygen, light, flame, bacteria, fungus, chemical action etc.  Economy- cost must be reduced.  Convenience- easy to open an close, easy to dispose, easy to recycle, easy to identify, easy to handle, easy to display etc.
  • 27. SPECIAL CONSIDERATIONS IN INTERNATIONAL MARKETING  Regulations in foreign countries- standards must be followed- local languages.  Buyer’s specifications- Importers specifications  Socio-cultural factors- customs, traditions, beliefs. Blue- feminine and warm in Holland Masculine and cold in Sweden Green- Favorite in Islamic countries In Malaysia associated with illness White- Death and mourning in China and Korea Happiness and bridal dress in some countries Red- Popular in communist countries National distaste in some African countries.
  • 28. SPECIAL CONSIDERATIONS IN INTERNATIONAL MARKETING  Retailing characteristics- In self service stores it should be attractive, describe product feature, give consumer confidence etc.  Environmental factors- weather and climate factors- origin, transit and market.  Disposability- Recyclability, Environment friendly, reusability etc.
  • 29. IMPORTANCE AND REQUIREMENTS OF EXPORT PACKING  Should ensure safe and easy transport of products  Shipping company will not be responsible for poor packing  Insurance company may not bear the risk Packing should satisfy the following conditions  Capable of withstanding the hazards of handling and transport  Hooks, handles, grippers must be provided  Position should be clearly indicated ‘ Side Up’  Glass with care, fragile must be mentioned  It should facilitate quick examination  If possible contents must not be disclosed  Guidelines must be strictly followed
  • 30. IMPORTANCE AND REQUIREMENTS OF EXPORT PACKING Three most important considerations in Packaging  SAFETY  CONVENIENCE  ENVIRONMENTAL IMPACT
  • 31. PACKAGING POLICIES AND STRATEGIES • Strategy of Periodic Packaging Changes A firm may make periodic changes in product packages. •Family Packaging It is a kind of packaging strategy in which packages of the entire product line closely resemble one another. E.g.. Old Spice shaving cream, after shave lotion and other related items have identical packages- picture of a white bright ship on them.
  • 32. Re-use Packaging It is a strategy in which the marketer offers product in such a package which may be reused for other purposes after the product has been taken out of the package or exhausted.  Multiple Packaging It is a strategy in which a number of heterogeneous products are placed and supplied in a single package. E.g. A shirt, tie and a kerchief tools thread, needle, scissors etc.
  • 33. Ecological Packaging It is a kind of packaging strategy in which a firm formulates such a packaging strategy as to protect the physical environment. Returnable containers light weight materials Recycling materials
  • 34. TYPES OF PACKAGING  Transit Packaging  Consumer Packaging  Bulk Packaging
  • 35. PACKAGING DECISIONS A decision taken in respect of packaging of product is known as packaging decisions.  Need for protection  Product differentiation  Package design- colour, size, shape  Package size  Package cost
  • 36. PACKAGING MATERIALS  Earthen wares  Straw baskets  Paper bags  Gunny bags  Wooden boxes  Cardboard boxes  Glass wares  Tin containers  Plastic containers  Metals
  • 37. PACKAGING MATERIALS  Netherlands forbids the use of straw packing  South Africa and New Zealand both insist on declarations that timber used in packing is free from certain diseases  Export of Food products to USA must conform to the provisions of US Food and Drugs Act.  Australia bans the import of any packing material containing vegetable matters.
  • 38. ROLE OF IIP IN EXPORT PACKAGING  Cardamom- Half, One and Two Kgs in Plastic containers  Mangoes- Paper Board packaging  Handicrafts- Using plastic foams  Grapes- Paper based packaging