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Brand Management 14 Sep

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    Whats in aWhats in a

    Brand?Brand?

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    A brand experience is an activity thatallows consumers to become immersed inthe qualities of a brand, and renders themmuch more likely to embrace the brand's

    values as their own.

    Martin Puris,Chairman, Chief Executive

    Officer and Chief Creative

    Officer, APL Worldwide

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    I have

    ambition,fierceambition,

    but I keep itto myself. Itis not wise

    to exposeit."

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    How many times have you

    dreamt ofdemolishingtheopposition much the same way

    this Young Masterdid?

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    What does this Brand stand for?

    Total dominance of the opposition;Instills fear andrespect.

    Modesty that wears well on young shoulders.

    During the last 5 years Sachin has grownleaps and bounds .Not just because of hisperformance on the field.Its also about him offthe field.-Mark Mascarenhas ,President,World Tel

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    And the Brand Value?

    World Tel deal-$17mill(Rs 80

    Crores)Invaluable to millions

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    Mother Teresa1910-97

    "It is not howmuch we do,but how muchlove we put inthe doing.

    It is not howmuch wegive, but howmuch love weput in the

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    Rajnikanth

    Naan Oru

    Vaatisonnal,Nooru

    vaati sonna

    mathiri-Baasha

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    Amitabh Bachan

    The angry young man

    Protector of the

    weaker sex Rishte mein tho hum

    thumare baap lagthey

    hainNaam hai

    Shahen Shah

    Shahen Shah

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    What is a brand ?

    Is it the name on the product?

    Is it just an indication of the parentage of

    the product?

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    What is a brand ?

    Brand is the proprietary visual, emotional,

    rational, and cultural image that you associate

    with a company or a product. A brand is the collective experience of your key

    constituenciescustomers, suppliers, investors,

    and employeesand is defined more by deeds

    than by words. It's what your company stands forand how it behaves with each of these groups.

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    What is a brand ?

    Abrand is the right mix offunctionaland

    dysfunctional benefits which move the

    consumer to associate positively with itand willingly pay the premium that it

    commands.

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    Branddecisions

    aresometimes

    taken this

    way

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    with

    disastrousconsequences

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    Where does the Branding begin ?

    To create a successful brand-customerrelationship, you must develop acompelling brand identity and customer

    value proposition, rely on customerperspective, and have the ability to listenand respond appropriately to evolve yourcompany's offerings to meet customers'

    needs and desires.

    Martin Puris,Chairman, Chief Executive

    Officer and Chief CreativeOfficer, APL Worldwide

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    Pre-requisites to get the right

    identity framework ? A deep understanding of Customer needs

    & motivations,VABs

    Understanding of Current trends

    .. And some crystal gazing.

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    What is Brand Identity?

    1. Brand Image ?

    2. Brand Positioning?

    3. Brand Personality?4. Brand Associations?

    AnswerAnswera. 1.

    b. 1&2

    c. 2,3&4

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    What is Brand Identity?

    Brand Identity is a unique set of brandassociations that the brand strategistaspires to create or maintain. These

    associations represent what the brandstands for and imply a promise tocustomers from the organizationmembers.

    David A.Aaker,Professor,Marketing

    Strategy,Haas School of

    Business,Univ. of California

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    Key Considerations-the 5 Cs

    Category-Customer Relationship

    Customer Mind and its portals

    Company Vision

    Cost of the building the identity

    Cash flows in future likely with theidentity

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    Category-Customer Relationship

    Servant >e.g.Detergent,Dish washer

    Medical Expert >Drugs

    Knowledgeable friend >Soap,Shampoo Doctor > Health Beverages

    Expert consultant>Bank,Beauty Product

    Sports Trainer> Sports Gear Close Companion > Cigaratte,Apparel

    and so on

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    Identity Vs Image

    What we would like the brand to beeventually

    VsWhat is the picture of the brand in the

    Customers mind today

    The Destination

    Vs

    The Current Position

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    Five portals to the consumers

    mind 1st portal: Benefits and Promises

    2nd Portal: Norms and Values

    3rd Portal: Perceptions and Programmes

    4th portal: Identity and Self-Expression-

    5th portal: Emotions and Love

    Wolfram Wordemann

    Andreas Buchholz

    Marketing Consultants Ex P&G

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    The Brand Identity

    SystemThe Six sided Brand Prism

    By Jean Noel Kapferer,Professor atthe HEC School of Management

    ,Paris

    J N l K f B d

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    Brand Prism

    Physi

    que

    Self-I

    mage

    Personality

    Reflection

    Cu

    lture

    Re

    lati

    onshi

    p

    Jean Noel Kapferer Brand

    Identity Model

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    The Most Trusted Brand

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    Physique

    A combination of independent

    characteristics, which may be either

    prominent or dormant. Most Trusted Brand : Lux Soft,Feminine Beautiful

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    Personality

    A brand has a personality. It acquires

    a character. If we identify the brand

    with a person, we form a picture of

    that person by the way in which he

    speaks of products or services.. Sensuous,Confidence in self.

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    Relationship

    A brand often provides the

    opportunity foran intangible

    exchange between persons. A beautiful friend who handles my

    beauty queries with lan.

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    Culture

    A brand has its own culture.Culture

    implies asystem of values, a source of

    inspiration and energy. Will never let you down. Generates feeling trust .

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    Reflection

    A brand reflects a customer's image.

    It reflects what the customer would

    like others to see him as. The target describes the brand's

    potential purchasers or users. Graceful,beautiful like my favourite

    star.

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    Self Image

    Through our attitude towards certain

    brands, we develop a certain type of

    inner relationship with ourselves. Confident of myself.

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    Brand Prism

    Physi

    que

    Self-I

    mage

    Personality

    Reflection

    Cu

    lture

    Re

    lati

    onsh

    ip

    Brand Customer NexusSENDER

    RECEIVER

    EXTERNALEXTERNAL

    INTERNALINTERNAL

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    PEPSI

    an exercise

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    Physique

    A combination of independent

    characteristics, which may be either

    prominent or dormant. PEPSI logo Blue &Red ball Maroon sugar water The Cola

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    Personality

    A brand has a personality. It acquiresa character. If we identify the brand

    with a person, we form a picture ofthat person by the way in which hespeaks of products or services..

    Fun The popular star with a sense ofhumor.

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    Relationship

    A brand often provides the

    opportunity foran intangible

    exchange between persons. A friend I like to be with.

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    Culture

    A brand has its own culture.Culture

    implies asystem of values, a source of

    inspiration and energy. Take life as it comes. Spirit of Youth.

    Live life to the fullest Dil Mange more

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    Reflection

    A brand reflects a customer's image.It reflects what the customer would

    like others to see him as. The target describes the brand's

    potential purchasers or users.

    Fun loving Disregard for rules Couldnt care less attitude

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    Self Image

    Through our attitude towards certain

    brands, we develop a certain type of

    inner relationship with ourselves. I am not a boring person I have taste

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    Where does one start?

    When you

    launch a product,you hope it will become a

    brand.

    Jean Noel Kapferer

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    Where does one start?

    It starts with the product.

    All brands begin by being great products.

    Benetton started its life as a colourful

    sweater.

    Colour--the physical facet of identity.

    Little by little, they moved to United

    Colors of Benetton

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    "The advent ofa genius is noaccident offate, for the

    juxtaposition oftalent,

    opportunityand labour insuch high

    measure in oneindividual cannever be an

    accident.

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    "From

    the ageof 12 to16, I

    practisedeight

    hours aday."

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    Built thru

    Passion

    Focus

    Dogged Determination

    Hard Work

    Love for the game

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    Brand Life Cycle

    1. Product Stage

    2. Formula for a set of benefits

    3. Brand represents a Know-how ,a technology,an expertise.

    4. Brand can be become a symbol of a specificInterest.

    5. At the Pinnacle is the stage when the Brand canbe replaced by its Philosophy.

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    JEAN NOEL KAPFERERS BRAND

    STRETCH MODEL

    Type of brand

    Philosophy/Attitude

    Interest

    Know-how

    Formula

    Product

    --------------------------------

    (A) (B) (C) (D) (E)Degree of produdissimilarity

    ------------------------

    ---------------------

    ----------------------

    -----

    ---

    Type of brand & ability to extend

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    PHILOSOPHY/ATTITUDE LINKED

    BRAND EXTENSION

    P/AIKHFP

    ----------------------

    A B C D E

    Such brands fit together very dissimilarproducts by looking at

    them from a higher source point Brand subscribes to an idealism and hasdepth Common to dissimilar products are:

    - Source of inspiration-

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    PHILOSOPHY/ATTITUDE LINKED BRAND

    EXTENSION (Contd...)

    Demerits of this approach:

    - Philosophy/Attitude may lose relevance and become

    abstract and vague

    - Brand may lose unifying power by over-stretching. e.g.

    Virgin, UK

    - Sustained effort required to keep the Philosophy/Attitude

    alive i.e. this approach is time consuming and expensive

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    PHILOSOPHY/ATTITUDE LINKED BRAND

    EXTENSION (Contd...)

    Imperative that Philosophy/Attitude be

    articulated:- Product ads

    - Activities in marketplace

    Examples: Cartier, Gucci

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    EXAMPLES OF

    PHILOSOPHY/ATTITUDE

    ARTICULATION

    Philips : Lets make things

    better Nike : Just do it

    ik

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    Nike

    Nike was not born a brand; it wasthe name on a new pair of shoes

    And people said these shoes are

    fun, they are fashionable.Today Just do it is a thePhilosophy that cuts across theglobe.

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    Nike

    Niketowns, the huge stores across thecountry dedicated to the Nike brand.

    Niketowns are kinetic, dynamic, and

    entertaining. Consumers absorb through osmosis

    what Nike philosophy represents -sports, accomplishment, teamwork,

    fitness and energy. A Niketown is as much a brand

    statement as a Nike product.

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    INTEREST LINKED BRAND

    EXTENSION

    To make diverse products compatible, brand

    defines its centre of interest - its focal point Examples:

    - Gillette: on mens toiletries

    - Adidas: on sports- Johnson&Johnson: Baby Care specialist

    - Sony (initially): on high - fidelity soundsystems

    P/AI

    KHFP

    A B C D E

    --------------

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    EXAMPLES OF INTEREST

    ARTICULATION

    Van Heusen : Power dressing for the next

    millennium J&J : Baby Care

    Palmolive :Softness

    Liril : Freshness Lux :Beauty Soap of film stars

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    KNOW-HOW LINKED BRAND

    EXTENSIONP/AIKHFP

    A B C D E

    -----------------

    Specific know-how(s) /competenc(ies)ylinks the dissimilar products

    The know-how may be in the areas of:- Manufacturing infrastructure

    - R & D- Low cost production capability- Acquired seal of authority in quality assur

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    KNOW-HOW LINKED BRAND EXTENSION (Contd....)

    Merits of this approach:

    - Product functionality is not questioned

    - Reassuring factor to VFM buyers

    - Eminently suited to industrial products Demerits of this approach:

    - Restriction in premium image association

    - Cant support a very dissimilar product portfolio adds

    gentleness to everything it touches)

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    EXAMPLES OF KNOW-HOW

    ARTICULATION

    Jockey : Clothing mankind since 1876

    Videocon: Bring home the

    leader Du Pont : Better things for better living

    through chemistry

    Bose Sound System: Better sound through

    research

    FORMULA LINKED BRAND EXTENSION

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    FORMULA LINKED BRAND EXTENSION

    This is a close extension to current

    portfolio Examples:

    - Dhara: a new oil

    - Bajaj: a new small and compact scooter In real and imaginary terms, the new

    product relates to same formula or value

    P/AI

    KHFP

    A B C D E

    ---------

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    CONCLUSION ABOUT TYPE OF

    BRAND

    Philosophy/Attitude & Interest brands- Concept oriented

    - Symbolic connotations

    Know-how, Formula & Product brands

    - Function oriented

    - Origin/factory connotation

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    What it takes to create a brand?

    Creating and nurturing brands in a

    demanding environment is afrighteningly

    complex challenge. What is called for is aperfectblend of left-brain logic, process

    and rigor together with right-brain

    passion, chaos and creativity.

    Martin Puris,Chairman, Chief Executive

    Officer and Chief CreativeOfficer APL Worldwide

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    CHIKA Case Study

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    Case Study-CHIKShampoo

    Situation in 1996

    Declining brand :Market Share droppedfrom 12 % in 1994 to 4% in 1996

    Sales Turnover declining by 10%+ everyyear.

    Consumer opinion:Bad Product ;Cheap

    Brand image.Internal Management and employees

    had given up.

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    Consumer opinion.

    Poor Perceived Product Quality.

    Cheap Brand image.

    Did not deliver value for money

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    Category Characteristics

    High Involvement product:Consumers will

    not trust their hair to an unknown and poor

    brand. High Voltage MNC competition.

    The Brand Image 1996

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    CHIK

    Sach

    et,Jasmi

    ne

    perfu

    me

    ??

    Woman

    withoutsubstance

    ??

    No

    exper

    tise

    Unpop

    ular

    Neighbour

    The Brand Image-1996

    Desired Brand Identity 1999

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    CHIK

    Hasb

    ottlesa

    s

    wella

    ssach

    ets

    Ikno

    w

    Value

    when

    Isee

    it.

    Smart,Lively

    Beautifulas

    welldiscerning

    Exper

    t,

    Trustable

    Friendly

    Mento

    r

    Desired Brand Identity-1999

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    The Result

    Sales doubled in 6 months.

    Brand registered 100% growth 2 years insuccession.

    Market Share touched 14 % in 11/2 years

    Pushed MNC brands Clinic All Clear & sunsilkbrands to move to No.2.

    From the smallest and most unwanted brand,became the largest brand of CKL

    Caused Reaction from HLL.


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