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160400414 Brand Failure

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    Brand Failures

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    Definition: Enhancing a brands equity directly through advertising campaigns and

    indirectly through promotions such as cause championing or event sponsorship is

    known as brand building.

    Branding is name, term, design, symbol or any other feature that identifies product Branding is the process of creating a name and look for your business.

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    Importance of Brands today

    Brand is a promise.

    Brand is a specific combination of logo, words,

    type font, design, colors, personality, price,

    service, etc.

    Bundle of attributes.

    Sometimes a brand is memorable because ofthe little things.

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    Consumer & their perspective

    Identification of Source of Product

    Assignment of Responsibility to Product Maker

    Risk Reducer

    Search cost Reducer

    Promise, Bond, or Pact with Maker of Product

    Symbolic Device

    Signal of Quality

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    Classic brand failure

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    NEW COKE

    Summary

    Created to compete with Pepsi

    New Coke was a top secret operation

    Large amount of money to market New Coke

    Public was overwhelmingly negative about New Coke

    Old Coke formula was returned with HFCS

    Objectives

    A large marketing campaign was created to compete with Pepsi.

    Coca-Cola attempted to make Coke taste more like Pepsi.

    Smoother

    Sweeter

    Bolder

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    Reason

    Campaign failed.

    Coca-Cola failed to ask critical questions to its beloved fan base:

    Do you want a new Coke?

    Mistake cost money and reputation for a moment in time.

    NEW COKE

    Purpose

    Coca-Cola invested a large amount of money into a failed campaign.

    The company assumed New Coke would be better.

    Removed a successful product, Old Coke.

    Coke drinkers should have been addressed.

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    Concentrate on the brands perception.

    Dont clone your rivals.

    Feel the costumer love and loyalty.

    Maintain the core quality of the product.

    Dont be scared to U-turn. Do the right market research.

    Lessons from New Coke (Solution)

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    Brand Extension

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    Using an established name of one product class for entering

    another product class.

    Using a successful brand name for launching a new or

    modified product or line is known as brand

    extension strategy.

    An expansion strategy in which firms use already established

    and successful brand name for introducing a new or modified

    product

    Brand Extension

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    Adversely affect value associated with brand.

    Brand extension that fails to make an impact may dilute

    equity of a reputable brand name.

    Brand extension may carry typical attributes of parent that

    may be dangerous to extended brand.

    Negative impact

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    BRAND EXTENSION FAILURES

    Harley Davidson perfume-The sweet smell of failure

    PONDS TOOTHPASTE- a failure owning to brand

    perception

    Cast Study

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    American motorcycle manufacturer

    distinctive design and exhaust note

    licensing of the Harley-Davidson logo amounts to approx. 5%of the companys net revenues.

    Long-term relationships with the customers

    Harley Davidson Perfume

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    T-shirts

    Jackets

    Caps

    Gloves helmets key chains

    socks

    ornaments etc.

    Brand Extension

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    Ponds is a unilever product

    Ponds made a smooth transition from a cold cream to Age

    defying creams, soap, face-wash, talc etc.

    The attributes required in toothpaste case were simply

    missing.

    To consumers the brand Ponds was nothing but fragrance

    & a consumer product for external application only

    Thus perception of cleanness and freshness is taken so

    differently in different

    products.

    Ponds toothpaste & extension failure

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    Know what creates core value for your brand

    Dont take something away that your most loyal consumers

    love

    To reach new audiences, start with your core brandpromise

    Failure helps you learn and come back stronger

    Bottom line: Know your brand. Your authenticity is what

    creates connection and authenticity and connection

    never go out of style even if the world around us

    changes.

    Case study learning

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    Every market has a different culture, failure to understand

    that culture while adapting a brand extension can lead tobrand failure

    Cultural Failure

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    McDonalds in India-

    Changed their menu to suit the Indian taste palate.

    They also began cooking their food in vegetable oil as opposed toanimal fat.

    Removed beef and pork from the menu to appease religious values.

    Dominos In India-

    Changed menu for Indian people- introduced variants like PeppyPaneer, Tandoori Chicken etc.

    Tupperware India- Introduced boxes keeping the Indian requirements in mind like 5kg

    rice box & masala box amongst others.

    Cultural Transitions

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    Rebranding is a marketing strategy.

    Rebranding efforts include a name change, new logo or

    packaging and image, marketing strategy,

    and advertising themes.

    Goal is to influence a customer's perception about a product

    Re-Branding Failure

    Not thinking carefully before rebranding can risk underminingtheir previous marketing efforts.

    Makes changes for the simple reason that this makes sense for

    the company.

    End up following in the ill-fated footsteps.

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    Tropicana Products is an American multinational company

    which primarily makes soft drinks.

    It was founded in 1947 by Anthony T. Rossi in

    Bradenton, Florida.

    The company specialises in the production of orange juice.

    TROPICANA

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    PepsiCo re launched Tropicana with new packaging and created

    a new advertisement to promote it.

    The old design of an orange with a straw in it was replaced with

    a glass of orange juice.

    The normal screw cap was replaced with a squeezable capwhich had the appearance of half an orange.

    TROPICANA Re-Branding

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    Labelling

    Information Structure

    Tone of Voice

    Typography

    Imagery

    Colour

    Brand Speak

    Affordances

    Re-Branding Failure

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    Never try to solve something which is not a

    problem in the first place

    Conclusion


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