4/16/2019
1
MONASH
BUSINESS
SCHOOL
MKB2706 Brand and
Product Management
Lecture 7: Leveraging
Secondary Associations
MONASH
BUSINESS
SCHOOL
Learning Objectives
• Explain the process by which a brand can
leverage secondary associations
• List and describe the methods of linking
secondary brand knowledge to a brand
• Discuss the impact of leveraging on both
existing brand associations and the formation
of new brand associations.
• Describe some of the key tactical issues in
leveraging secondary associations from
different entities
3.
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Leveraging Secondary Associations
• Brands can be linked to other entities that have their
own associations.
• A brand might borrow brand knowledge, and
therefore brand equity from another entity- other
brands, people, places, things.
An indirect approach to building brand equity by
leveraging secondary brand knowledge for a
brand.
4/16/2019
2
MONASH
BUSINESS
SCHOOL
Conceptualizing the Leveraging Process
• Linking the brand to some other entity may:
• Create a new set of associations from the brand to the
entity
• Affect the existing brand associations
• Most likely to affect evaluations when consumers
lack:
• Motivation
• Ability
• Cognitive consistency - What is true for the new
association must be true for the brand
MONASH
BUSINESS
SCHOOL
Figure 7.2- Understanding Transfer of Brand Knowledge
Linking the
brand to some
other entity may
not only create
new brand
associations to
the entity but
also affect
existing brand
associations.
MONASH
BUSINESS
SCHOOL
Three Factors of Leveraging
• Awareness and knowledge of the entity
• Meaningfulness of the knowledge of the entity
• Transferability of the knowledge of the entity
4/16/2019
3
MONASH
BUSINESS
SCHOOL
• Fig. 7-1 Secondary sources of Brand knowledge
Brand
Other
brands
People Places
Things
Country
of origin
Channels
Third party
endorsementsCauses
Events
Endorsers
Employees
Alliances
Ingredients Company
Extensions
MONASH
BUSINESS
SCHOOL
8
Secondary sources of Brand knowledge
▪ The main methods by which we can link secondary
brand knowledge to the brand
1. Company
2. Country of origin and other geographic areas
3. Channels of distribution
4. Co-branding
5. Licensing
6. Celebrity endorsement
7. Sporting, cultural or other events
8. Third party sources
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BUSINESS
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Company
• Existing brands can be related to a
corporate or family brand as they
can be a source of brand equity
• Leveraging a corporate brand may
or may not be useful
– Can you think of any reason
why corporate branding may
not work?
4/16/2019
4
MONASH
BUSINESS
SCHOOL
Country of Origin or Geographic Location
• Can be linked to the brand to generate
secondary associations
• Consumers choose brands originating in
different countries based on:
– Their beliefs about the quality of certain
types of products from certain countries
– The image t ...
1. 4/16/2019
1
MONASH
BUSINESS
SCHOOL
MKB2706 Brand and
Product Management
Lecture 7: Leveraging
Secondary Associations
MONASH
BUSINESS
SCHOOL
Learning Objectives
• Explain the process by which a brand can
leverage secondary associations
• List and describe the methods of linking
secondary brand knowledge to a brand
• Discuss the impact of leveraging on both
2. existing brand associations and the formation
of new brand associations.
• Describe some of the key tactical issues in
leveraging secondary associations from
different entities
3.
MONASH
BUSINESS
SCHOOL
Leveraging Secondary Associations
• Brands can be linked to other entities that have their
own associations.
• A brand might borrow brand knowledge, and
therefore brand equity from another entity- other
brands, people, places, things.
An indirect approach to building brand equity by
leveraging secondary brand knowledge for a
brand.
4/16/2019
2
MONASH
3. BUSINESS
SCHOOL
Conceptualizing the Leveraging Process
• Linking the brand to some other entity may:
• Create a new set of associations from the brand to the
entity
• Affect the existing brand associations
• Most likely to affect evaluations when consumers
lack:
• Motivation
• Ability
• Cognitive consistency - What is true for the new
association must be true for the brand
MONASH
BUSINESS
SCHOOL
Figure 7.2- Understanding Transfer of Brand Knowledge
Linking the
brand to some
other entity may
not only create
new brand
4. associations to
the entity but
also affect
existing brand
associations.
MONASH
BUSINESS
SCHOOL
Three Factors of Leveraging
• Awareness and knowledge of the entity
• Meaningfulness of the knowledge of the entity
• Transferability of the knowledge of the entity
4/16/2019
3
MONASH
BUSINESS
SCHOOL
• Fig. 7-1 Secondary sources of Brand knowledge
Brand
5. Other
brands
People Places
Things
Country
of origin
Channels
Third party
endorsementsCauses
Events
Endorsers
Employees
Alliances
Ingredients Company
Extensions
MONASH
BUSINESS
SCHOOL
8
Secondary sources of Brand knowledge
▪ The main methods by which we can link secondary
6. brand knowledge to the brand
1. Company
2. Country of origin and other geographic areas
3. Channels of distribution
4. Co-branding
5. Licensing
6. Celebrity endorsement
7. Sporting, cultural or other events
8. Third party sources
MONASH
BUSINESS
SCHOOL
Company
• Existing brands can be related to a
corporate or family brand as they
can be a source of brand equity
• Leveraging a corporate brand may
or may not be useful
– Can you think of any reason
why corporate branding may
not work?
7. 4/16/2019
4
MONASH
BUSINESS
SCHOOL
Country of Origin or Geographic Location
• Can be linked to the brand to generate
secondary associations
• Consumers choose brands originating in
different countries based on:
– Their beliefs about the quality of certain
types of products from certain countries
– The image that these brands or products
communicate
• Can create strong points-of-difference
MONASH
BUSINESS
SCHOOL
Channels of Distribution
8. • Retail stores can indirectly affect brand equity
through an “image transfer” process
• Retailers have their own brand images in consumers’
minds due to the following associations
– Product assortment
– Pricing
– Credit policy
– Quality of service
• Customer base can be expanded by tapping into
new channels of distribution
– Sometimes this may have negative effects.
– Can you provide some reasons why this might happen?
•
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Co-branding
• When two or more existing brands are
combined into a joint product or are
marketed together in some fashion
• Examples:
10. BUSINESS
SCHOOL
Licensing
• Creates contractual arrangements whereby
firms can use:
– Names, logos, and characters of other brands to
market their own brands for some fixed fee
• What are the benefits and the risks?
4/16/2019
6
MONASH
BUSINESS
SCHOOL
Celebrity Endorsement
• Rationale
– A famous person can:
• Draw attention to a brand
• Shape brand perceptions
11. • Celebrity endorsers should have:
– A high level of visibility
– A rich set of potentially useful associations,
judgments, and feelings
• What are the potential problems?
•
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BUSINESS
SCHOOL
Celebrity Endorsement
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BUSINESS
SCHOOL
18
Celebrity Endorsement
▪ Can you find some examples of celebrity endorsement
gone bad?
4/16/2019
12. 7
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Sporting, Cultural or Other Events
• Have their own set of associations that may become linked
to a sponsoring brand under certain conditions
• How does this contribute to brand equity?
• Potential problems?
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BUSINESS
SCHOOL
Third Party Sources
• Involves linking the brand to various
third party sources
• Examples –
MONASH
BUSINESS
SCHOOL
13. Lecture summary
• Consistency is the key to creating brand
awareness and strong brand associations.
• Brands can “borrow” equity from their
association with people, places, programs,
and other non-product-based sources.
• The extent to which an entity can be
leveraged as a source of equity depends on:
– Consumer knowledge of the entity
– How easily the appropriate associations or
responses to the entity transfer to the brand
MKB2706 Brand and Product Management
Tutorial 7: Leveraging Secondary Associations, S1 2019
After completing the workshop activities you should be able to:
• Explain the process by which a brand can leverage secondary
associations
• Outline the eight main ways to leverage secondary
associations
• Describe some of the key tactical issues in leveraging
secondary associations from
different entities
14. Discussions and class activities:
Activity 1 (10 minutes)
Briefly discuss a brand management issue that is current in the
media this week.
Activity 2 (10 minutes)
Think of the country in which you live. What image might it
have with consumers in other
countries? Are their certain brands or products that are highly
effective in leveraging that
image in global markets.
Activity 3 (15 minutes)
(vi) If you were to select a celebrity endorser for the
following brands who would you pick?
Explain your recommendations.
Activity 4 (15 minutes)
Identify and justify co-branding opportunities for the following
brands.
15. Activity 5: Weekly Quiz (5 min test +5 min discussion= 10
minutes)
Test will be based on the pre- readings for this week (i.e. week
7).
Immediate feedback on the Quiz questions.
Name: William Luhana
Unit Name: Brand and Product Management
Unit Code: MKB2706
Assignment: Mini Task 2 – Positioning Strategies for new
product
1. New Product Concept
1.1. The new product being promoted in this organization is a
solidified dinner that can be served within minutes without a
feast being required. "Lemon Chicken Meal" bowl is a vaulted
16. dinner and will be available as the prepared, solidified food
item. The dinner has an extremely high granule content and is
made with high-quality, tender chicken, lemon sauce and other
related ingredients. We give the company a feast, this article
contains no additives, flavours and colour nuances, elements
that contain the healthiest benefits of their most popular diet at
a lower cost.
2. Positioning Strategies
2.1. Target Segments
"The position of the brand is an element of the brand's
personality and offer, a subset of the brand's character and an
incentive for targeted gatherings of people to be effectively
communicated and empowered ..." (Romaniuk & Sharp, 2000).
The main part is the definition of the objective parts of this
element. By definition, an objective market is "a group of
buyers to whom the retailer explicitly refers to his
demonstration efforts" (Paul and Krieger, 1993). The target
market for this "lemon chicken meal" is aimed at young people
under the age of five. It is unacceptable for people who have a
busy life and do not have time to prepare a meal.
2.2. Contenders
The competitors for the present "Lemon Chicken Meal" are
other frozen products of the brand. The biggest danger is the
rivalry between comparable products, especially handcrafted
brands like McCain. They are in a favorable position to be
noticed by consolidated dinner customers when delivering their
items early. In any case, these competing elements have their
disadvantages. They also have different flavors because they
17. have already been offered in the frozen food market
2.3. Points of Parity
the parity points of "Lemon Chicken Meal" with the other
articles of the brand. Parity points are the components that
apply to a mark as a mandatory requirement for a particular
class (Hoare & Bock, 2018). The parity points of this product
and other brands that offer a similar offer have the same taste as
"Lemon Chicken", although the taste and the other supplements
offered vary.
2.4. Points of Difference
The quality of "Lemon Chicken Meal" is the primary reason
which separate this item to other solidified feast item. Above all
else, it is a lot less expensive than different brands of
comparative offer. It is 97% fat free with lesser calories
contained. this product also packaged in more portion compared
with any other brand.
3. Brand Mantra
3.1. The last things is brand mantra for this item. brand mantra
viewed as a brand substance or a brand guarantee to its clients
(Tasgal, 2003). the brand mantra of this solidified feast put a
specific accentuation on keeping up a high caliber nutritious
supper for a bustling social orders. particularly Students are
typically excessively occupied or come up short on the aptitudes
to cook. "Lemon Chicken meal” will give those understudies a
nutritious, simple to prepare dinners that taste home-made and
is prepared in couple of minutes.
18. Reference
Romaniuk, J., & Sharp, B. (2000). Using Known Patterns in
Image Data to Determine Brand Positioning. International
Journal of Market Research, 42(2), 1–
10. https://doi.org/10.1177/147078530004200205
Tasgal, A. (2003). The Science of the Brands: Alchemy,
Advertising and Accountancy. International Journal of Market
Research, 45(2), 1–
27. https://doi.org/10.1177/147078530304500206
Paul, E. G., & Krieger, A. M. (1993). A Simple Approach to
Target Market Advertising Strategy. Market Research Society.
Journal., 35(2), 1–
9. https://doi.org/10.1177/147078539303500201
Butler, D. (1994). Market Structure, Brand Effectiveness and
the Profitable Approach to New Products and Line
Extensions. Market Research Society. Journal., 36(1), 1–
14. https://doi.org/10.1177/147078539403600101
19. Hoare, J., & Bock, T. (2019). A brand’s eye view of
correspondence analysis. International Journal of Market
Research, 61(1), 12
21. https://doi.org/10.1177/1470785318801480
Mini-task 3
Name : William Luhana
Student ID : 28999401
1. Product Concept and Positioning Strategy
To counteract increasing competition and satisfy evolving
customers’ needs, many firms are changing the positioning of
their product concepts, from being product-based into service-
based (Casia, Ugolini, Cobelli, 2015). The concept of the
product is frozen meal which can be served less than 1 minutes,
meaning that the customer can put the meal to the microwave
instantly. The target market of this product is diverse, depends
on the needs of the customer such as student who does not have
enough time to prepare food in the morning or worker who
facing the same situation.
2. Name of the Product
Researchers agree that the choice of brand name for a
product can alter the consumers ' judgment about the product
and their purchase decision-making process (Hillendbrand,
2013). Name branding can be crucial when it comes to diverse
target market which make the creator of the brand name must
think wisely to be acceptable to anyone. In order to sure the
customer that the product is not only fast served, it has also
healthy composition inside it. The brand name is “Zoom
Healthy”, which customer will have a curiosity thought when
the customer can have a fast-served meal and healthy at the
same time.
20. 3. Logo
The chosen logo would make “eye catching” to the
customer which it has green color on it which mean it is a
healthy meal and also “zoom” word where can be defined as
fast-served. It has also orange color to make the balance of
green color but still has the same meaning.
4. Slogan
Vignette advertising slogans were manipulated to achieve
different level of vagueness (Strutton, 2014). Zoom Healthy
slogan is “Eat healthy, be nutrition-wealthy.” It has simple
words but right in the heart, meaning that the words will wake
the customer up to realize how important their healthiness is.
Also, it is adaptable where the slogan can be applied to anyone
who seeks for healthiness in fast-served meal.
5. Packaging
The importance of packaging design and the role of packaging
as a vehicle for consumer communication and branding are
necessarily growing (Silayoi, 2007). It is one of the most
important factors where it is the media from the producer to talk
to the customer to ensure them.
Materials:
The product should be inside the refrigerator which it has to be
made from BOPP or PPE materials to avoid food contamination.
BOPP and PPE materials are chosen since the material is
durable to water-contact, thus it would not get wet easily. Also,
these 2 materials are the best material when it comes to frozen-
product meal. It is crucial to choose the right material to keep
the meal stay healthy and not reducing the quality of the meal.
Color:
The right chosen color would be as crucial as the material
chosen, where it should be “eye catching” to the customer. The
Zoom healthy would proudly choose yellowish color which can
21. be perfectly match with the logo.
Information:
It is fundamental to let know the customer about the company,
therefore these are the information below:
· Product name
· Address of the company
· Best before date
· List of the ingredients
· How to cook the meal
References:
David Strutton, Widyarso Roswinanto, (2014) "Can vague brand
slogans promote desirable consumer responses?", Journal of
Product & Brand Management, Vol. 23 Issue: 4/5, pp.282-294,
Fabio Cassia, Marta Maria Ugolini, Nicola Cobelli, Liz Gill,
(2015) "Service-based vs. goods-based positioning of the
product concept: Effects on customer perceived value", The
TQM Journal, Vol. 27 Issue: 2, pp.247-255
Philipp Hillenbrand, Sarael Alcauter, Javier
Cervantes, Fernando Barrios, (2013) "Better branding: brand
names can influence consumer choice", Journal of Product &
Brand Management, Vol. 22 Issue: 4, pp.300-308
Pinya Silayoi, Mark Speece, (2007) "The importance of
packaging attributes: a conjoint analysis approach", European
Journal of Marketing, Vol. 41 Issue: 11/12, pp.1495-1517