Date post: | 20-Sep-2014 |
Category: |
Business |
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Marketing Principles and Practice : Branding
Miss Sakinah Shukri @msumalaysia
Lecture Objectives• To look at branding and the role it plays in a business
• To discuss the benefits of branding
• To consider how brands are built
• To understand brand image, personality and values
• To look at Brand Stretching and Brand Extension
• Consider how a business uses brand protection
• To understand the different brand management issues a business might face
What is Branding?
• “A name, term, design, symbol, or any other feature that identifies one seller’s good or service as distinct from those of other sellers”
Yeshin
• “Branding is offering a distinctive product created by use of a name, symbol, design, packaging or some combination of these, intended to differentiate from it’s competitors.”
Jobber and Fahy
The Role of the Brand
• Helps sustain and develop the product or business• Helps consumers to distinguish products• Represents commercial value to the company• Buzzell and Gale (1987) – strong brands achieve
significantly more profit than their weaker counterparts – this shows the significance of developing a strong brand
What makes a Brand?
Brand
Identifiable
Differential advantage
Sustainable
Distinctive image
Perceived Value
Emotional Appeal
Generating Value
Sustaining in Competition
Benefits of Branding
• Company Value
• Consumer preference and loyalty
• Barrier to Competition
• High profits
• Base for brand extensions
Integrity of a Brand
• A brand is a promise to achieve certain results, deliver a certain experience, or act in a certain way
CompanyProduct A
Product B
Product Packaging Websites
Advertisements
Logo
Brand integrity – Diet Coke
Building Brands – Brand Name
Brand name strategies
Family brand names
Individual brand names
Combination brand names
E.g. Cadbury E.g. Pringles E.g. Kellogg’ s Corn Flakes
Building Brands – Brand Positioning
Brand domain
BrandPositioning
Brand values
Brandreflection
Brand personality
Brand assets
Brand heritage
Building Brands - Developing Brands
1. Customer focus, from start of planning
2. Champions of the brand, companies really need to be leaders in their field
3. Capability, in terms of the organisation and resources
4. Common practices and policies
5. Consciousness of brand issues guiding everyday activities
6. Consistency of message
Brandt and Johnson (1997)
Brand image
• Functional and emotional values of a product
• How brand is perceived in the consumers’ minds and meets their expectations
• Creates a clear identity for the product
• Differentiates the product
• Brand identity is communicated/sent by the marketer while brand image is perceived/received by the consumer
Brand Personality• The total impression created in the consumer’s mind by
a brand and all its associations – functional and non-functional
• A set of human characteristics associated with a brand
• It reflects people’s feelings and emotions about a brand and the way those brands transmit those feelings back to them
Identifying and Building Brand Values
• Interacting with marketing communications• Values and expectations of the brand need to be
clearly identified and portrayed through advertising
• Brand position is considered – perceptual map• Market research to explore consumer
expectations• What is the personality of the product?
Brand Extension
• Established brand name on a new brand within a broad market
• Capitalise on brand awareness
• Example Dove Soap
Brand Stretching
• Established brand name is used for brands in unrelated markets
• Distributers may perceive there is less risk with a new product if it carries a familiar brand name
• Customers will associate the quality of the established brand name with the new product
• The new product will attract quicker customer awareness• Promotional launch costs (particularly advertising) are
likely to be substantially lower• Example Virgin
Brand Protection
• If positive values associated with a brand are strong it will enable the owner to overcome major problems with product quality.
• A positive approach needs to be taken in dealing with product issues in order to protect brand – PR and Advertising.
Brand Management Issues
• Manufacturer brands versus own-label brands
• Brand Extension and Stretching
• Pan–European and global branding
• Brand dilution • http://www.youtube.com/watch?v=ga_c2el-_lM
Summary
• The role of a brand is to sustain and develop the product or business
• Branding offers benefits to consumers, manufacturers and retailers
• The key aspects involved in building brands include brand name and developing and positioning the brand
• The key issues involved in brand management include challenges presented by own-label brands, brand extension decisions, pan-European and global branding