OBJECTIVES To understand the meaning of a brand and various modes of branding. To understand the concept of brand equity and a framework for its enhancement. To identify and assess various methods of corporate branding strategy. To understand the meaning of brand extensions and their implications.
BRAND VALUE "Well-managed brands have extraordinary economic value and are the most effective and efficient creators of sustainable wealth." -- Rita Clifton in Brands and Branding
WHAT IS A BRAND?A brand is a “name, term, sign, symbol, or design,or a combination of them,” intended to identify one seller’s products as distinct from those of other sellers seeking to satisfy the same need.
CUSTOMER-BASED BRANDEQUITY KK describe it as “the differential effect that brand knowledge has on consumer response” to the marketing of that brand and its products.
BUILDING BRAND EQUITY Based on all brand-related contacts whether marketer-initiated or not. 1. Initial choices for brand elements. 2. The product, ancillary services, and other accompanying marketing mix activities. 3. Other secondary associations.
A BLUEPRINT FOR BRAND EQUITY Assetts Liabilities Brand Awareness Dissatisfaction Brand Loyalty Environmental Brand Relevance Disasters Perceived Quality Product Failures Other Positive Lawsuits / Boycotts Associations Questionable Business Practices
BRANDING STRATEGYOne of the great benefits of brand equity is theability to leverage the “goodwill” of customersto grow your business…Portfolio Considerations Brand LeverageMultiproduct Branding Line ExtensionMultibranding Category ExtensionCombination Co-Branding
IN-DEPTH: MULTIPRODUCTBRANDING Multiproduct Branding (aka Blanket Family Names) occurs when a single name serves as the base brand name across all product categories. Examples? Advantages? Disadvantages?
IN-DEPTH: MULTIBRANDING Multibranding (aka Individual Names or Separate Family Names) occurs when a company uses different brand names to represent different products, product lines, product categories, or even SBUs. Examples? Advantages? Disadvantages?
IN-DEPTH: COMBINATION A combination of branding strategies is used when a company combines a corporate-wide (or parent brand) name with a sub-brand name for a distinct product or line of products. There are many variations of this, such as using model names or numbers.
IN-DEPTH: BRAND EXTENSIONS Line extensions are new same-branded products that allow for expanding your offering in a product category that you already serve.
GOOD BRANDS LISTEN The best brands follow their stakeholders’ journeys so that they provide effective, consistent and appropriate messaging throughout the experience.
BRANDS ANTICIPATE Having foresight helps companies make informed choices about their brand and frees leaders up to make bold moves in the full knowledge of the implications.
THE IMPORTANCE OF BRANDS"Of all the things that your company owns, brands are far and away the most important and the toughest. Founders die. Factories burn down. Machinery wears out. Inventories get depleted. Technology becomes obsolete. Brand loyalty is the only sound foundation on which business leaders can build enduring, profitable growth." -- --Jim Mullen