Learning Objectives• Branding: the importance of brands as an aid to product trial and repeat purchase• Product differentiation: the need to differentiate a product/service from others, given the level of competition
Logo• What is a Logo? A symbol or picture that represents the business
Starter• You will see a series of logos• Write the name of the company / product in your books• Choose two and tell me what you know about that company.
Brand• A product with a unique character, for example a design or image• Branding gives identity to a product. Branding gives customers an idea of what they are paying for.• It can be the name of the product, or the name of a company‘Products are made in a factory, logos are printed on shirts and brands are created in the mind.’
Branding Advantages DisadvantagesCustomer Loyalty High costs associated with promotions to instigate product trial and repeat purchaseHigher Prices Constant promotion is necessary A single bad event may affect all the brand’s products Brand names need to be registered world wide
Types of Branding• Family Branding Family branding is where products are distinguished under a company heading • iPod, iPhone, iPad, etc are all distinguished under the Apple logo• Line Branding Line branding is where products are distinguished from other producers’ products. • Such as Wrigleys Extra, Extra Thin Ice, Juicy Fruit, Hubba Bubba• Own Label Branding When retailers use their name on the product – e.g. Sainsbury ‘Taste the Difference’• Global Brands Sold in lots of countries (Coca-Cola, BMX, Apple)
Product Differentiation• How do you make your product seem different? – Logo – Name – Quality – Content – Packaging Or a combination
Homework• A-Z GCSE Worksheets: Branding and Differentiation
Unique Selling Point• Co-Operative Bank• Bounty chocolate bar• Canbury School Use a catalogue to find a product with a USP.