Brands-FromCommodity to BrandsFrom just Products to BrandsFrom Ideas to Brands
Meaningful Differentiation from MeaninglessAttributes/Names/IdentityBrand = Product + Image
The Case of the CommodityTrap…….• Most product-markets in our country are still atearly stages of evolution.Therefore there areopportunities for companies to embark onstrategic brand building exercises, thereby creatingbarriers to competition.
HOWTHEN,TO BUILD A STRONG BRAND??•What benefits do customers seek in a specificproduct or service? (For ex. Retailing could be abenefit where brands are being sold by differentchannel.)There could be different sets of benefitsthat are sought. Brand building can begin here.•What attributes and features provide thebenefits sought by customers?A goodunderstanding of such attribute-benefit linkagesis also required for brand building.•How does one deliver through your brand whatcustomers seek? Either you do or you don’t. But ifyou do, there would be lot changes in internalsystems and processes to deliver value throughthe brands.
BEWATCHFUL…..•DO NOTTRY PEICEMEAL EFFORT OF DEVELOPINGBRANDS. ITWOULDTAKEYOU NOWHERE.•DO NOTTRYTO FIT DECISIONSTO ISSUES.•BRANDS ARE NEVER BUILT BY ONE SINGLE ACT.•They are build through a well thought out strategylinked to customer value.•It is customers who build the brands and company canonly provide inputs that the customer would appreciateas value.
What is Brand Equity =It suggests the willingness to pay a price premiumTangible and Intangible assets associated with thebrandAre the brands able to generate future cash flow?It is measured in terms ofBrandAwarenessPerceived QualityLoyaltyHowever they are not indicators of finalpurchasing decisions of a consumerWhy is it important to calculate BE?
Brand are built block by block.It is act of patience and takes lot of time to bebuiltIt requires a team ofProduct, Brand, R&D, Production, Sales, Consumer Insight, Marketing to make it successful!
Forming a Consideration set of Brand Choice AlternativesAll brands in product classUnknown brands Familiar brandsBrands foundaccidentallyBrands foundthroughintentionalsearchEvoked set(brandsactivatedfrommemory)UnrecalledbrandsConsideration set of brand choice alternatives