CONTENTS Introduction Brand Equity Brand Elements Brand Value Chain Marketing Strategy Positioning Advertising Challenges to branding

BRANDING

A BRAND

HOW WAS I BORN

Began in old times Evolved steadily Was adopted as a distinguisher Was adopted as a quality mark Was adopted by big bodies Was adopted by even bigger firms Today I’m the omnipotent in corporate world

PSYCHOLOGIC

I’m not a product I’m not a label I’m not a symbol Nor a logo Nor a tag line I’m what all these make up

EMOTIONS AND CHOICE

Emotion are not same as feelings They may be good or bad Emotions can be short or ever lasting The latter, plus trust, build up a brand

WHY DO YOU GO FOR A BRAND?

Quality assurance Trust in the brand Social aspects ‘Feel good’ aspects

Types of branding

Service branding

Retail branding

Trade branding

Let’s watch a video now ;)

Brand Equity

definition

Basically, Brand equity is a phrase used in the marketing industry which describes the value of having a well-known brand name, based on the idea that the owner of a well-known brand name can generate more money from products with that brand name than from products with a less well known name, as consumers believe that a product with a well-known name is better than products with less well known names.

It’s the added value endowed upon products and services

The positive differential effect that knowing brand name has on customer response to the product or service.

Concept It stresses the importance of the brand in marketing

strategies Is defined in terms of marketing effects uniquely

attributable to brand. In time, a brand comes to embody a promise about

the goods it identifies—a promise about quality, performance, or other dimensions of value, which can influence consumers' choices among competing products. When a brand's promise extends beyond a particular product, its owner may leverage it to enter new markets. For all these reasons, a brand can hold tremendous value, which is known as brand equity.

Ways to measure the brand equity

Firm Level:

.Product Level:

Consumer Level:

ingredients Brand equity arises from the differences in

customer response., Differences in response are a result of customer’s

brand knowledge, all thoughts, feelings, images, experiences and beliefs associated with the brand

Brand equity is reflected in perceptions, preferences, and behaviour related to all aspects of the marketing of a brand.

Case Study

Lifebuoy made a conscious shift in its segmentation and positioning from its previous focus on men to a warmer and more versatile benefit of health for the entire family.

Brand equity has three models!!!

Models: Brand asset valuator Model ( Developed by

Advertising agency Young and Rubicam) It defines 4 pillars of Brand Equity: 1 Energised differentiation-It’s the degree to

which the brand is seen differently from others. 2 Relevance measures the appropriateness and

breadth of a brand’s appeal. 3 Esteem measures perceptions of quality and

loyalty. 4 Knowledge measures how aware and

consumers are with the brand.

Brandz mode is a model developed by Millward Brown and WPP which is based on brand strength at the

heart which lies the Brand Dynamics Pyramid. The Pyramid in next slide shows the number of consumers who have

reached what level. Presence- Active familiarity based on past trail, saliency or

knowledge of brand promise. Relevance- Relevance to consumer’s needs, in the right price range

or in the consideration set . Performance- Belief that it delivers acceptable product performance

and is on the consumer’s short list. Advantage- Belief that the brand has an emotional or rational

advantage over other brands in the category. Bonding- Rational and emotional attachments to the brand to the

exclusion of most other brands.

Customer Based Brand Equity Model(Brand Resonance Model)-

According to this model, enacting the four steps means establishing a pyramid of six. This model emphasizes on the duality od brands-the rational route of building brands is on the left side of the pyramid and emotional route on the right side.

Creating significant brand equity requires reaching the top of the brand pyramid, which occurs only if the right building blocks are put into place:

1 Brand Salience is how often and how easily customers think of the brand under various purchase or consumption situations.

2 Brand Performer is how well the product or service meets customers; functional needs.

3 Brand imagery describes the extrinsic properties of the product or service,.

4 Brand judgements focus on consumers’ own personal opinions and evaluations.

5 Brand feelings are customers’ emotional responses and reactions with respect to the brand.

6 Brand resonance describes the relationship customers have with the brand and the extent to which they feel they’re “in sync” with it.

Building Brand equity

Marketers build brand equity by creating the right brand knowledge structures with the right customers.

1 Identifying initial choices for the brand elements 2 The product and service and all accompanying

marketing activities and supporting marketing programs

3 Other associations indirectly transferred to the brand by linking it some other entity

Examples: Recently, Airtel changed its logo so that the “a” in the brand

name represents “air” and the deeper red has a positive meaning, especially in Africa where the brand is developing strong footprints.

Virgin mobile , one of the later entrants in the mobile service space in India, uses edgy and humorous advertisements that depict pranks and mischievous acts by youngsters. They connect the young consumers and help the brand in creating an edgy attitude with a touch of irreverence.

Microsoft chose the big name Bing for its new search engine because it felt it unambiguously conveyed search and the “aha” moment of finding what the a person is looking for.

BRAND ELEMENTS

Definition Brand elements ( brand identities) :are those

devices,which can be trademarked,that identify and differentiate the brand. Example:

BRAND ELEMENT CHOICE CRITERIA

Memorable : Easily recognized, Easily recalled. Example : LG , Taj

Meaningful : Descriptive and Persuasive. Example : Fair and lovely face cream

Likeable : Fun and interesting, Rich visual and verbal imagery ,Aesthetically pleasing. Example : Maharaja, Scorpio

Transferable : Within and across product categories, Across geographic boundaries and cultures. Example: Amazon

Adaptability : Flexible and Updateable. Example : Nano

Protectable : Legally and competitively. Example : Dalda

Distinguishness,Association

TACTICS for BRAND ELEMENTS

Brand NAME : captures central theme. Naming guidelines Brand Awareness: SHORT names,example Coca-Cola

known as coke . Meaning should be clear. Example: Vaner,Randal Pronounciation – Faconnable clothing

Brand ASSOCIATION : Communication, abstract,fanciness.

EXAMPLE: Apple’s powerbook

Nissan’s Xterra SUV ESPN’s X Games

URLs

LOGOS and SYMBOLS

Logos indicate origin,ownership.Example of Strong Word mark : KIT-KAT

Examples of Abstract logos

Attributes of LOGO Complex and elaborate

Familiar LOGOS

STUDY by Henderson and Cote

SLOGANS : Are short phrases that communicate descriptive or

persuasive information about brand. EXAMPLE : State Farm Insurance’s “ Like a Good

Neighbour, State Farm is There”

What does this represent?

Designing Slogans Creates awareness and image.

CHARACTERS Excellent protectability , more useful for brand

recognition. BUDDY LEE SELLS LEE DUNGAREES: LEE faced perception problem amongst youth. The word DUNGAREES appealed to youth again through

aggressive promotion.

MEASURING BRAND EQUITY

The BRAND VALUE CHAIN :

Is a structured approach to assessing the sources and outcomes of brand equity and the way marketing activities create brand values.

VALUE STAGES

How is the BRAND valued by the financial community and how is it influencing customers- is BRAND VALUE CREATION.

MARKETING PROGRAM INVESTMENT: any marketing program that potentially can be attributed to BRAND VALUE DEVELOPMENT.

Can there be any Failure?

YES! There can be.

Failure of MILLER Brewing in 1990s benefitted Anheuser-Busch,Heineken and Corona in capture in BEER category.

Its the Quality Aspects of the marketing pragram which creates the DIFFERENCE!

PROGRAM MULTIPLIER Quality of the marketing program depends on the

quality of that program investment. Four important factors:

CLARITY RELEVANCE DISTINCTIVENESS CONSISTENCY

CUSTOMER MINDSET

It includes everything that exists in the minds of the customers with respect to a BRAND.

Approaches to measure this : Brand Awareness Brand Association Brand Attitudes Brand Attachment Brand Activity

CUSTOMER MULTIPLIER Contextual factors external to the costumer plays key

role. Three such factors : Competitive superiority Channel and other intermediary support Customer size and profile

SOME EXAMPLES :

MARKET PERFORMANCE Reaction to Price premiums and price elasticities. Change in demand with change in price. Market Share Brand extension Cost Structure Profitable sales value

MARKET MULTIPLIER Contextual factors external to the brand itself. Financial analysts and investors consider these

considerations : Market dynamics Growth potential Risk profile Brand contribution

Example :

Numerous dot com brands such as PRICELINE , eTOYS.

BRAND VALUE CHAIN for STARBUCKS

Identify the brand

DESIGNING BRAND TRACKING STUDIES

It involves information collected from consumers on a routine basis over time

It employs quantitative measures It estimates how well a positioning has been achieved

PRODUCT BRAND TRACKING

Brand awareness and usage Brand judgements Brand performance Brand imagery Brand feelings Brand resonance

McD

Brand equity management system

Brand equity charter Formulizing the Co. View of brand equity into a

document – the brand equity charter – that provides relevant guidelines to marketing managers

Eg. Ad agency personnel

Brand equity report Assemble the results of the tracking survey for the

brand into a brand equity report to be distributed to management on a regular basis.

Branding Strategy

A firm’s branding strategy-often called brand architecture reflects the number and nature of both

common and distinctive brand elements.

Deciding how to brand a product is especially critical

A firm has three main choices It can develop new brand elements for the new

products It can apply some of its existing brand elements It can use combination of new and existing brand

elements

On the part of firm it should involve into:

o Branding Decisions Assuming a firm decides to brand its products and

services, it must choose which brand names to useo Brand Portfolios It is the set of all brands and brand lines a particular

firm offers for sale in a particular category or market segment

o Brand Extension Two main advantages of brand extensions are that

they can facilitate new product acceptance and provide positive feedback to parent brand and company.

BRAND POSITIONING

Positioning

Positioning is the act of designing the company’s offers and image so that it occupies a distinct and valuate place in the minds of the target customer.

Approaches to Positioning:1. Focussing on the consumers2. Focussing on the competitors

The elements of Positioning:

The Product The Company The Competition The Consumer

While positioning, the following could be the offerings:

Better Offering Newer Offering Faster Offering Cheaper Offering

What is positioning actually ???

Positioning is owing a piece of customer’s mind. Positioning is not what you do to the product but

what you do to the mind of the prospect. As said by Ries & Trout (THE MARKETING GURUS) It’s incorrect to call it Product Positioning.

How to approach to the consumer through brand positioning

The easy way to get into the person’s mind is to be the first one to introduce a particular product.

Eg Kodak, Surf, Colgate The basic approach is not create something new but

to manipulate what is already in mind differently. To find a unique position, we must ignore the

conventional logic. You wont find an uncola idea inside 7-up; you find it

inside the cola drinker’s head.

Paco Underhill-An environmental psychologist

“It is difficult to change the behaviour but easy to work with it.”

What is needed ????

Understand the role of words and how do they affect people.

Be careful of change. Need Vision- It should be long term and not on

technology or fad. Courage-To slug it out when others wait and watch. Objectivity- You need a backboard.

Simplicity- Not to be complicated or convoluted. Subtlety- Unique position and appeal that’s not

narrow. Willingness to sacrifice Patience Global outlook

Some guidelines to positioning:-

Start by looking not on the product but at the position in the market that you wish to occupy, in relation to competition.

Think about how the brand will answer the main consumer questions.

1. What will it do for me which others would not do?2. Why should I believe you? Try to keep it short and make every word count and be as specific

as possible as vagueness opens the way to confused executions. Keep the positioning upto date. Look for a Key Insight. Insight expresses all that we know from

seeing inside the customer.

Key insights

My soap leaves the skin feeling dry and tight.

Fragrance of my current talc does not last long and I miss the opportunity of enjoying life.

The three C’s in positioning

Be crystal clear. Be customer based.1. Be relevant and credible to the customer2. Write in consumer language and from consumer’s point of

view.Be competitive.3. Be distinctive4. Focus on building brand elements5. Be persuasive6. Be sustainable

Constructing a Brand Positioning Bull’s Eye

A brand bull’s eye provides content and context to improve everyone’s understanding of the positioning of a brand in the organization. Here we describe the components of a brand bull’s eye, illustrating with a hypothetical Starbucks example.

Points-of-Difference

Substantiators

Values/Personality/Character

Executional

Properties

Visu

al Id

entit

y

Consumer TargetDiscerning coffee drinker

Consumer InsightCoffee drinking experience is often unsatisfying

Consumer Need StateDesire for better coffee and a better consumption experience

Competitive Product SetLocal Cafes, fast-food restaurants,& convenience shops

Consumer TakeawayStarbucks gives me the richest possible sensory experience drinking coffee

In the inner two circles is the heart of the bull’s eye- key points of parity and points of difference as well as the Brand Mantra.

Points of parity:1. Responsible2. Locally involved3. Fairly priced

Points of difference:1. Relaxing, rewarding moments2. Rich sensory consumption experience3. Convenient friendly service4. Fresh and high quality coffee5. Varied, exotic coffee drinks

Brand Mantra: Rich rewarding coffee experience.

In the next outer circle are the substantiators or the reasons to believe(attributes or benefits that provide factual or demonstrable support):

1. 24-hour training of baristas2. Totally integrated system3. Stock options/health benefits for baristas4. Triple filtrated water.

Finally, the outer most circle contains two useful branding concepts:

1. Brand value/personality/character2. Executional properties and visual 3. identity.

A video summarizing Positioning

Advertising Advertising is a form

of marketing communication used to encourage, persuade, or manipulate an audience to

take or continue to take some action

Advertising Medium

Television- Most powerful medium. it has two important strengths1. Demonstrating product attributes and explaining

consumer benefits.2. For dramatically portraying non product related user

and usage imagery, brand personality and so on.

Understanding the effects of Advertising

General Principles concerning advertising and promotion effectiveness.

T.V advertising weight alone is not enough T.V advertising is more likely to work when there are

changes in copy or media strategy. When successful advertising-impact lasts the period

of peak spending.

For example- Sprite

Re-launch of sprite

Other Mediums

RADIO- Advantages- local coverage, low cost, high frequency, flexible.

MAGAZINES- quality reproduction, high information content, longevity.

DIRECT RESPONSE- high selectivity, high information content, opportunities for repeat exposure.

Case Study- Sketchers

BRAND AWARENESS

PREREQUISITE OF FAME AND FORTUNE IS ACKNOWLEDGEMENT

Levels – brand unaware Aided awareness Unaided awareness Top-of-the mind awareness Dominant brand awareness

Creating Brand Awareness

Select an apt brand name Adopt eye-catching brand symbols Develop memorable ads Use promotions Leverage the brand extension

Brand loyalty

Repeated purchase made by the consumer out of commitment to the brand

Levels - non-committed customer Habituated customer Satisfied customer Delighted customer Devoted customer

Creating brand loyalty

Keep the brand relevant for its loyal customers Allow customer participation Create a truly differentiated brand Provide ‘real’ value to the customer Make it a verb

International branding

Building brands across national boundaries Global branding & local branding

Utilization of global opportunities Build up a prestigious brand Make brand extension easier

Challenges to branding

1. Fragmentation of mass media2. Proliferation of brands3. Rise of consumerism4. Rise in private retailers5. Volatile markets and cutomers

brand ubs

Tag-line

Any Questions????????????

Thank you

ReferencesBooks- 1. brand management – shweta johri 2. strategic brand management - richard elliot, larry percy 3. marketing management – philip kotler 4.building, measuring and managing brand equity – kevin lane keller

Internet- 1. www.google.com 2. www.wikipedia.com 3. www.youtube.com