“Name, term, symbol or design, or a combination of them, intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of the competition.”
Different components that identifies and differentiates a brand
(Name, logo, symbol, package design, or other characteristic)
Anything available in the market for use or consumption, that may satisfy a need or want
Functions to Consumers
Identify the source or maker of the product
Simplify product decisions
Lower the search costs for products internally and externally
Helps set reasonable expectations about what consumers may not know about the brand
Signal product characteristics and attributes
Reduce risks in product decision
Functions to Firms
Simplify product handling and tracing
Help organizing inventory and accounting records
Offer the firm legal protection for unique features or aspects of the product
Provide predictability and security of demand for the firm and creates barriers of entry for competitors
Provide a powerful means to secure competitive advantage
Source of financial returns
Levels of product
Core benefit, generic product, expected product, augmented product
Fundamental need to be satisfied
Basic version of product
Attributes buyers normally expect
Increased competition and costs, savvy customers, economic downturn, and brand proliferation
Strategic brand management process
Design and implementation of marketing programs to build measure, and manage brand equity
Brand positioning model
Describes how to guide integrated marketing to maximize competitive advantages
Brand resonance model
Describes how to create intense, activity loyalty relationships with customers
Brand value chain
Means to trace the value creation process for brands, to better understand the financial impact of brand marketing expenditures and investments
Comprehensive examination of a brand to, assess its health, uncover its sources of equity, and suggest ways to improve and leverage that equity
Brand tracking studies
Collect information from consumers on a routine basis over time, typically through quantitative measures of brand performance on a number of key dimensions marketers can identify in the brand audit or other means
Brand equity management system
Set of organizational processes designed to improve the understanding and use of the brand equity concept within a firm
Customer Based Brand Equity
Approaches brand equity from the perspective of the consumer
Stresses that the power of a brand lies in what resides in the minds and hearts of customers
Differential effect that brand knowledge has on consumer response to the marketing of that brand
Key to create brand equity
Creates the differential effect that drives brand equity
Consumers’ perceptions about a brand based on strength, favorability, and uniqueness of brand assocaitions
Divides the market into distinct groups of homogeneous consumers who have similar needs and consumer behavior
Established through defining competitive framework, points of parity (POPs) and points of difference (PODs), determining brand’s mantra, and updating/changing a brand’s position
Steps of Brand Building
Brand salience, brand performance, brand imagery, brand judgment, brand feelings, brand resonance, and brand-building implications
Measures various aspects of the awareness of the brand:
To what extent is the brand top-of-mind and easily recalled or recognized.
What types of cues or reminders are necessary?
How pervasive is this brand awareness?
Attributes and benefits that underlie brand performance:
Primary ingredients and supplementary features.
Product reliability, durability, and serviceability.
Based on user profile, purchase and usage situations, brand personality and values, brand history, heritage, and experiences
Based on quality, credibility, consideration, and superiority
Customers’ emotional responses and reactions to the brand
Relate to the social currency evoked by the brand
Feelings can be:
Experiential and immediate, increasing in level of intensity
Private and enduring, increasing in level of gravity
Consisting of behavioral loyalty, attitudinal attachment, sense of community, and active engagement
Customers own the brand
Don’t take shortcuts with brands
Brands should have a duality
Brands should have richness
Brand resonance provides important focus
Types of brand elements
Brand names, URLs, logos and symbols, characters, slogans, jingles, and packaging
Captures the central theme or key associations of a product in a very compact and economical fashion
Most difficult element for marketers to change
Closely tied to the product in the minds of consumers
Logos and symbols
Indicate origin, ownership, or association
Range from corporate names or trademarks written in a distinctive form, to abstract designs that may be completely unrelated to the corporate name or activities
Special type of brand symbol
One that takes on human or real-life characteristics
Introduced through advertising and can play a central role in ad campaigns and package designs
Short phrases that communicate descriptive or persuasive information about the brand
Function as useful “hooks” or “handles” to help consumers grasp the meaning of a brand
Indispensable means of summarizing and translating the intent of a marketing program
Musical messages written around the brand
Have catchy hooks and choruses that become permanently registered in the minds of listeners
Enhance brand awareness by repeating the brand name in clever and amusing ways
Activity of designing and producing containers or wrappers
From the perspective of both the firm and consumers, packaging must:
-Identify the brand
-Convey descriptive and persuasive information
-Facilitate product transportation and protection
-Assist in at-home storage
-Aid product consumption
Criteria for choosing brand elements
Memorable, meaningful, likable, transferable, adaptable, protectable
Promotes a product by communicating a product’s features and benefits and connecting it with unique and interesting consumer experiences
Attempts to provide a more holistic, personalized brand experience to create stronger consumer ties
Making products to fit the customer’s exact specifications.
The advent of digital-age technology enables companies to offer customized products on a previously unheard-of scale.
Consumers help add value by providing information to marketers.
Marketers add value by taking that information and generating rewarding experiences for consumers.
The practice of marketing to consumers only after gaining their express permission.
An influential perspective on how companies can break through the clutter and build customer loyalty.
Customers’ perception of the overall quality or superiority of a product or service compared to alternatives and with respect to its intended purpose
To achieve the desired brand image: Product strategies should focus on both purchase and consumption.
Objective is to uncover the right blend of product quality, product costs, and product prices that fully satisfies the needs and wants of consumers and the profit targets of the firm
Sets and adjusts prices for appropriate market segments
Everyday low pricing (EDLP)
Has received increased attention as a means of determining price discounts and promotions over time
Means by which firms attempt to inform, persuade, and remind consumers about the brands they sell
The firm wants current brand knowledge to equal desired brand knowledge. Sometimes, however, there is a gap between the two and the firm needs to close this gap by means of communications
Information processing model of communications
For a person to be persuaded by any form of communication the following steps must occur: exposure, attention, comprehension, yielding, intentions, and behavior
Seeing or hearing communication/awareness
Understanding the intended message
Responding favorably to the message
Planning to act in the desired manner of communication
Actually acting in the desired manner
Types of communication
Primary and selective
Persuade consumers to use the product category
Persuade consumers to use a particular brand
Designed to change the choices, quantity, or timing of consumers’ product purchases.
Customer franchise building promotions like samples, demonstrations, and educational material.
Non-customer franchise building promotions such as price-off packs, premiums, sweepstakes, and refund offers.
Financial incentives given to channel members to facilitate the sale of a product through slotting allowances, point-of-purchase displays, contests and dealer incentives, training programs, trade shows, and cooperative advertising.
Designed either to secure shelf space and distribution for a new brand, or to achieve more prominence on the shelf and in the store.
Are short-term incentives to encourage trial or usage of a product or service.
Are designed to change the behavior of the trade or consumer
Online marketing communication
Advantages of marketing on the Web:
Low cost, greater level of detail and higher degree of customization.
Can accomplish almost any marketing communication objective .
Valuable in terms of solid relationship building.
Non-personal communications such as press releases, media interviews, press conferences, films, and tapes
Include annual reports, fund-raising and membership drives, lobbying, special event management, and public affairs feature articles, newsletters, photographs, films, and tapes
Various techniques marketers apply to get people notice and talk about the brand
Ways to optimize integrated marketing communications
Coverage, contribution, commonality, complementarity, versatility, and cost
An indirect approach to building brand equity by linking the brand to other entities that have their own knowledge structures
Country of origin or geographic location
Can be linked to the brand to generate secondary associations
Can create strong points-of-difference
Channels of distribution
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
-Quality of service
Customer base can be expanded by tapping into new channels of distribution
When two or more existing brands are combined into a joint product or are marketed together in some fashion
Example – Betty Crocker paired with Sunkist Growers to market a lemon chiffon cake mix
Creates brand equity for materials, components, or parts that are contained within other branded products
Branded ingredients are often a signal of quality
Uniformity and predictability of ingredient brands can reduce risks and reassure consumers
Creates contractual arrangements whereby firms can use:
Names, logos, and characters of other brands to market their own brands for some fixed fee
Can also provide legal protection for trademarks
A famous person can:
-Draw attention to a brand
-Shape brand perceptions, by virtue of consumers perceptions of the famous person
Celebrity endorsers should have:
-A high level of visibility
-A rich set of potentially useful associations, judgments, and feelings
Sporting, cultural, or other events
Have their own set of associations that may become linked to a sponsoring brand under certain conditions
Contribute to brand equity by:
-Becoming associated to the brand and improving brand awareness
-Adding new associations
-Improving the strength, favorability, and uniqueness of existing associations