Principles of Marketing (Chapter 11)

Brand Equity
The added value a brand name gives to aproduct beyond the functional benefits provided
Brand Licensing
A contractual agreement whereby one company (licenser) allows its brand name(s) or trademark(s) to be used with products or services offered by another company (licensee) for a royalty or fee
Brand Name
Any word, device (design, sound, shape, or color), or combination of these used to distinguish a seller’s goods or services
Brand Personality
A set of human characteristics associated with a brand name
Branding
A marketing decision in which an organization uses a name, phrase, design, symbols, or combination of these to identify its products and distinguish them from those of competitors
Label
An integral part of the package that typically identifies the product or brand, who made it, where and when it was made, how it is to be used, and package contents and ingredients
Market Modification
Strategies in which a company tries to find new customers, increase a product’s use among existing customers, or create new use situations
Mixed Branding
A branding strategy where a firm markets products under its own name(s) and that of a reseller because the segment attracted to the reseller is different from its own market
Multibranding
A branding strategy that involves giving each product a distinct name when each brand is intended for a different market segment
Multiproduct Branding
A branding strategy in which a company uses one name for all its products in a product class
Packaging
A component of a product that refers to any container in which it is offered for sale and on which label information is conveyed
Private Branding
A branding strategy used when a company manufactures products but sells them under the brand name of a wholesaler of retailer. Also called private labeling or reseller branding
Product Class
Consists of the entire product category or industry
Product Form
Consists of variations of a product within the product class
Product Life Cycle
Describes the stages a new product goes through in the marketplace: introduction, growth, maturity, and decline
Product Modification
Strategies that alter a product’s characteristic, such as its quality, performance, or appearance, to increase the product’s value to customers and increase sales
Trade Name
A commercial, legal name under which a company does business
Trademark
Identifies that a firm has legally registered its brand name or trade name so the firm has its exclusive use, thereby preventing others from using it
Trading Down
Reducing the number of features, quality, or price
Trading Up
Adding value to the product (or line) through additional features or higher-quality materials
Warranty
A statement indicating the liability of the manufacturer for product deficiencies