BraBrandingnding for b2b [p]

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Prof. A. K. Biswas 1


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Many business marketing managers thinkthat branding is not relevant to B2Bmarkets.They argue that industrial products donot need branding as it adds little valueto functional products and that customersknew a great deal about their products aswell their competitors products.To them, brand loyalty is non-rational behaviour which do not apply to rational world of B2B products.

Why B2B Branding?


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The evaluation and selection process inB2B market can be described as beingdivided into several parts.First , buyers select a smaller number ofsuppliers among the total array of firmsthat are able to deliver what isrequested.

This group of selected firms may bereferred to as the evoked set , theconsideration set or, simply, the shortlist.

Why B2B Branding?


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Second , once further information hasbeen gathered, this initial list can bereduced to form a choice set. Finally , buyers need to choose whichsuppliers in the choice set to engage.

Various types of information andsources are used by industrial buyers inconducting an initial screening,evaluation and selection of availablesuppliers.

Why B2B Branding?


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But, customers in B2B market are oftento make buying decisions under a greatdeal of pressure, and buyers, under suchsituation, would like to evaluate andchoose from reputed suppliers .Research on industrial buying behaviorhas indicated a wide variety of factorsthat can affect buyers during stages ofsupplier nomination, evaluation andselection.

Why B2B Branding?


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Research has shown that price is aminor issue when buyers evaluatesuppliers of components and complexproducts.Quality , delivery and performancehistory are more important criteriaThe fact that history matters impliesthat the buyers image of a supplier caninfluence a decision regardless of thecurrent offer.

Why B2B Branding?


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Buyers need security particularly whenplanning for long-term contracts andtherefore vendors perceptions are moreimportant higher the risk attributed to apurchase situation.New task purchasing is open to greatbrand influence, as the buyer has no

experience of that particular purchase.The new task/new supplier situation isquite frequent and significant.

Why B2B Branding?


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For the B2B marketer then, a brand can be defined as a distinctiveidentity that differentiates arelevant, enduring, and crediblepromise of value associated with a

product, service, or organizationand indicates the source of thatpromise.

What Is B2B Branding?



Steps for Building Strong

B2B BrandThe first step in building a strong brandis to ensure correct brand identity .The purpose is to create anidentification of the brand withcustomers, and an association in theirminds with specific product class orneed.

To do this the brand must have salience in the sense that how often and easilythe brand is evoked under variouspurchase or consumption situations.


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The second step is to establish brandmeaning by linking tangible and

intangible brand associations.Brand meaning is characterized infunctional ( brand performance ) andabstract ( image related ) associations.Brand performance relates to how theproduct or service meets customers functional needs.


B2B Brand


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Functional attributes are primaryingredients and supplementary

features; product reliability,durability and serviceability; serviceeffectiveness; style and design; andprice.

Image associations relate tocompanys standing in the industryand their overall reputation.


B2B Brand


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The reputation a supplier company has can serve to reduce this risk.The company then must endeavourto create that positive intangibleimage for this brand through

promotions, public relations, and inevery interaction with theircustomers.


B2B Brand


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In B2B market, the name of thecompany stand for many kinds of

assurances such as: Assurance of product quality. Assurance of service availability anddependability.

Assurance of timely and reasonableupgrades.

Assurance of priority attention to arelationship.


B2B Brand


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In the pre-selection phase of thebrand commitment, organizational

decision-makers face three problems:How to find eligible suppliers?How to judge which of them are mosttrustworthy?

How to provide evidence to otherconcerned persons in the company tosupport the rationality of this choice?


B2B Brand


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The next step to B2B brand building isto create favourable response to thebrand (including the company) bymanaging customer experiences .Through their contacts with the brandand the company (its personnel,channel members), and the resultantexperiences , the customers form their judgments about the brand (and alsothe company) which include its overallquality, credibility, consideration andsuperiority.


B2B Brand


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Elements Of Brand Trust

Brand TrustCompetence

Probity

Continuity

Caring ValueResonance


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Competence: technical capabilityto completely make the product, oreffectively deliver the service, theyare offering.Probity: belief that the company

will conduct its transactions with acustomer in an honest and fairway.



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Continuity: belief that the company hasthe resources and commitmentnecessary to remain in the businessarea relevant to the customer.This is particularly important in relationto products which have a long lifetime.

Caring: the companys employees aresufficiently motivated to care about thequality of service or performance theydeliver.



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Value Resonance has two levels: A basic level of corporate good conduct in the sense that the company do notviolate the value consensus on ethicaland environment issues.

A personalized level of life -styleappropriateness and is concerned with

whether or not the vendor companyexpresses values, which the individualconsumer aspires to incorporate intheir personal life style.

ELEMENTS OF BRAND TRUST


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Brand imagery deals with themanufacturers reputation in the

market.Brand judgments focus on customers own personal opinions andevaluations .Brand feelings are customers emotional responses and reactions with respect to the brand (and thecompany).

B2B Brand Equity


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In the B2B world, the most importantcharacteristic is technical

competence.The most effective strategy for thesupplier firm should be case-basedcommunications strategy, which willshow how the firm has successfullyapplied their competence to thebenefit of previous customers.

Communications Strategy

For B2B Brand Building


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Communication can be divided intocontent and methods.For fashion-driven consumerproducts content can becharacterized as iconic , i.e., the

content is likely to consist largelywith imagery aimed at elicitingemotional responses .




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For technology-driven B2Bproducts, however, the content can

be described as instrumental andpedagogic , meaning that it isdesigned to communicateinformation targeted at peoplewho are looking for a product tofulfill a specific, often well-definedneed.




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The ideal method of communicationfor fashion products is broadcasting,

i.e., addressing a mass audience withmessages designed for isolatedindividuals.The messages are likely to elicit

direct emotional responses , i.e.,people are going to respondfavourably to them or they are not.




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For technology-driven products,however, the initialtelecommunication are more likely toinitiate a formal group process withinthe targeted organization, and themessage itself will be instrumental

and/or pedagogic in nature directlyreferring to benefits which theproduct has to offer.




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The main sources for information

about B2B suppliers are as follows:Based on personal relationshipsBased on media sources




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Previous direct positive experiences of the company and its products is

certainly the firmest basis on whichto build a relationship of trust with acustomer.Moreover, all personal interactions ,which the customer has with thecompany, must be consistentlymanaged well.




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After direct experience, the nextstrongest influence is word-of-mouth .The word-of-moth advice , which isacted on, is most likely to come frompeople who have high status within therelevant industry and /or organization,e.g., top managers, consultants,technical experts, etc.B2B marketer must influence them sothat they in turn influence others.




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Sales people can have a powerfulinfluence over purchase decisions andbrand commitment because their effectis based on a personal relationship.Sales force should not onlycommunicate value , but must alsocreate value by providing benefits atreasonable trade-off to costs.

Value here can equate to problemsolving providing innovative solution.




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In most B2B markets, the primary formof brand communication is through thesales force and their ability to adaptsales strategies and messages toaccommodate customer interactions.Successful B2B brand communicationrequires sales strategies thatincorporate brand values appealing tothe emotional and the rational concernsof organizational buyers.




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Successful communication outcomesare dependent on sellers having a clearunderstanding of the motivations andbehaviour strategies of individualswithin buying centres and buyingteams.Industrial buyers often have fourcategories of communication styles;

Amiable, Expressive, Analytical orDriver.




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Analytical buyers who are low inassertiveness and responsiveness.They are driven by logic and fact andactively seek detailed productinformation.They tend to be formal and precise intheir interactions and their risk-takingapproach is calculated.

Salespeople dealing with Analyticalbuyers need to ensure that salespresentations are logical and objective and ideally backed up by experttestimonials and guarantees.




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Building strong brand equity is arelatively long-term process thatrevolves around building value forcustomers first, from which comespositive associations about the productand the company, and building broader

associations.The most powerful associations comefrom customers direct experiences.

Difficulties In B2B

Branding


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Every time customers interact witha supplier , with its products, or

interact with customer serviceperson, impressions are formedabout the company, the products,

and its employees.Strong B2B brands are, therefore,built one customer at a time.

Difficulties In B2B

Branding

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BraBrandingnding for b2b [p]

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