branding management

Branding Management

Dr Nibras Hussein Mohammed PHD in marketing Management

Introduction to Branding

REMARKABLE

Apple Retail 2001Sorry Steve, Apple Stores Won‟t Work

(Business Week)

Apple Retail 2004: Fastest retailer ever to reach the

$1 billion mark a year

Apple Retail 2006Fastest retailer ever to reach

$1 billion/quarter mark

Apple Retail 2007Sales per sq.meter = $ 30,176

(as comparison: BestBuy = $10,643)

• Careful segmentation and focus on students, educators

and creative professionals (even now consumer appeal

broadens)

• A retail experience differentiated by service before,

during and after sales (Genius bar)

• Scenario or lifestyle Marketing & Sales vs. Product « What

do you want to do ? »

• Style & design

THE RESPONSE

•No commissions

•Team bonuses

•Focus on experience

•Fashion & design people to run computer retail

•Hire for personality, attitude and customer fit …

train the rest

•High identification: Tshirts, iPod, discounts, …

•3 week immersion at start of job ONLY on

customerrelationshipskills and

understandingcustomerneeds/lifestyle

• All product training is online

(exceptgeniuses)

• Training on store computers or

borrowedlaptop

Ron Johnson

Target

MickeyDrexler

The Gap

BREAKING ALL THE RULES

FUTURELAB

Source: Net Promoter ™ Economics: the Impact of WOM, Satmetrix, 2008

Apple: 2007 Net Promoter Performance and 5 Year Trend vs.

Overall B2C High Tech Computer Hardware Manufacturers

RESULTS

FUTURELAB

13,8

6,5

24,3

8,46,2

0,8

5,5

HP Dell Apple Xerox Sun NCR Pitney Bowes

Revenue Growth % 2007 vs 2008Source: Fortune Magazine, May 5,2008

RESULTSFUTURELAB

When both sides work together, you can build a

charismatic brand.

But first,

you have to master the FIVE DISCIPLINES

OF BRAND-BUILDING

DIFFERENTIATE

SOLUTION:

BE DIFFERENT

1

FOCUS2

IS THIS HOW YOUR CUSTOMERS SEE

YOU?

Who are you? What do you do?

Why does it matter?

Unless you have compelling answers to

these questions, you need Focus

COLLABORATE3

BUILDING A BRAND IS A

COLLABORATIVE PROJECT.

INNOVATE4

CREATIVITY IS WHAT GIVES

BRANDS THEIR TRACTION IN

THE MARKETPLACE.

Because creativity is right-

brained,

and strategy is left-brained.

VALIDATE4

A sustainable competitive advantage.

Brand stories and life

Summary of market positioning of mobile operators [1 of 2]

Mass market player with the largest community of subscribers

Large network investment (greatest coverage) - 73% of population in June 2010

“MTN, Ghana's most reliable voice and data network has variety of services tailored to suit your specific needs, lifestyle and economic situations”

Strong focus on corporate customers

In November 2010, it launched Blackberry services

However, it only has a WCDMA network hence its data services are inferior to those of MTN and Zain

GHS On-net Off-net

Domestic calls 0.10 0.10

Domestic SMS 0.04 0.05

GHS On-net Off-net



Functional

ValueEmotional

Functional

ValueEmotional

Summary of market positioning of mobile operators [2 of

2]

Tigo targets primarily the consumer segment Zain was rebranding to Airtel in November 2010

Bharti Airtel, the parent company of Airtel is renown for

aggressive pricing approach

Airtel operates an HSPA network

GHS On-net Off-net



GHS On-net Off-net



Functional

ValueEmotional

Functional

ValueEmotional

Zain and Sudani are in the position to base their value

proposition on quality & value for money

High quality & value for money are also the most appreciated attributes

MTN‟s strongest association is with convenience (easy to recharge)

Sudani is considered to have

good network coverage The company does also have a

good local connection to the Sudanese people and is referred to as the “proudly Sudanese” operator

Zain has the highest association with attributes that mobile users consider important (call quality, value for money and good

network coverage)

Good value for money

Poor value for money

High Quality (call quality &

network coverage)Low Quality

Expensive

brandOver-rated brand

Basic brandGreat value

brand

Good value for money

Poor value for money

High Quality (call quality &

network coverage)Low Quality

Expensive

brandOver-rated brand

Basic brandGreat value

brand

Call quality, network coverage and value for money are the most important attributes for mobile owners when selecting an operator in Sudan

http://www.sudani.sd/Public/Home

http://www.sd.zain.com/autoforms/portal/lang.en/home/About Zain

Brand Atlas

Brand

association

Brand value

Brand

image

Brand Equity

Brand

promise

Brand

Identity

Brand

Attribute

Brand

perception

Brand

activation

Brand

contact

Brand

Essence

Brand

Aartuchuers

Brand

awareness

Perceptiona

l map

Brand

personality

Brand Vision

Brand Call

and re-call

Brand

insight

Brand

engagemen

t

Brand

loyalty

Brand

extension

Brand Touch

Points

Branded

recognition

Grow the

core

Brand story

Introduction

The world of the mobile

phone market is crowded.

The diverse products

available range from the

simple to the complex and

every manufacturer offers the

latest features.

The market is crowded

with Nokia, Motorola, and

Ericsson fighting it out at

the top.

Also, several less

successful brands like

Samsung, Philips, Siemens

and Panasonic are trying

hard to make it into the

top competitors' market

share.

So what made Nokia

special from others? Why

did customers choose

Nokia? The answer lies in

what the „brand Nokia‟

means to customers.

However, Nokia replaced all its

competitors and it is now the number

one brand in many markets around

the world, effectively dislodging

Motorola from that position.

What is the brand

FIRST

A brand is not a logo.

SECOND

FINALL

YA brand is not a product.

So what exactly is a brand?

A BRAND IS A PERSON‟S

GUT FEELING ABOUT A

PRODUCT, SERVICE, OR ORGANIZATION.

It is a PERSON‟S gut

feeling, because brands

are defined by

individuals, not

companies, markets, or publics.

IT‟S NOT WHAT YOU SAY IT IS.

IT‟S WHAT THEY SAY IT IS.

WHY IS BRANDING SO HOT?

People have too many choices and

too little time

We tend to base our buying choices

on trust

Most offerings have similar quality and

features

What is a Brand?

Nokia brand promises „trust‟ and „strong

technology‟

The popular Starbucks has earned its brand image

from the opinions of its customers.

The brand Starbucks stands for bolder, more

flavorful coffee.

Thus, you can see that Brands are “what the

consumers buy”, while products are “what

concern/companies make”.

Brand is a promise that the product will perform as per customer‟s expectations.

It is a name, term, sign, symbol or a

combination of all these which differentiate the

goods/services of one seller or group of sellers from those of competitors.

Some examples of well known brands are

Wrangler, Audi, Samsung, Coca Cola, etc.

What is a Brand?Brand is the seller’s promise to

deliver the same bundle of

benefits/services consistently

to buyers.

A product is any offering by a

company to a market that serves

to satisfy customer needs and

wants. A product can be an

object, service, idea, etc.

On the other hand a name becomes a

brand when consumers associate it with a

set of tangible and intangible benefits that

they obtain from the product or service.

Brands are not

the same as

Products.

Brand name selecting

process may you find

trivial but it is not.

Some brand names

are so good that

contribute to the

success of product.

Brand differences are often related to attributes or benefits of product itself.

Brand Elements

Elements

Slogans

Brand

namesPromise

LogosPersonality

Characters

Brand Element Choice Criteria

Memorable

Meaningful

Likeability

Transferable

Adaptable

Protectable

Why do Brands Matter?

R

The main reason consumers flock to some brands and ignore others is that behind the brand stands an unspoken promise of value.

B

Brands have become important drivers of growth for any organization, good or service.

N

A brand helps make a mark and differentiate a good or service from others in marketplace.

D

A strong brand makes people aware of what the company represents and about the different offerings of the company.

S

Brands help customers to connect to the product or service on an emotional level.

A

A Brand is a promise that the product will perform as per customer’s expectations.

Goods Service

PlacePhysical goods

Services A store

A person A placeAn

organization

An Idea

http://www.crystalpower.co.uk/usrimages/Post-Office-Logo.jpg

http://images.google.co.uk/imgres?imgurl=http://www.newtonnewtonflags.com/flags_banners_images/corporate-flag-holiday-inn.jpg&imgrefurl=http://www.newtonnewtonflags.com/corporate-flag-holiday-inn.htm&h=273&w=398&sz=23&hl=en&start=3&tbnid=KZGTN1GcN7nfgM:&tbnh=85&tbnw=124&prev=/images?q=holiday+inn&svnum=10&hl=en&lr=

Brands for Consumers and Sellers

Symbolic device

Lower risk

Less cost of searching for

a choice

Symbol of Quality

The word „Brand‟ signifies different things to consumers and sellers.

Consumers

Source of

product


Symbolic

device

Lower risk


a choice

Symbol of Quality

Consumers

Source of product

Consumers can easily make a purchase decision based on brands. Consumers usually find brands which satisfy their need.


Symbolic

device


a choice

Symbol of Quality


Consumers

Source of product

Brands mean lower purchase risk to consumers as they are dealing with a product or organization that they trust.Lower risk


Symbolic

device

Symbol of Quality


Consumers

Source of product

If the consumers recognize a particular brand and have knowledge about it, they make quick purchase decision and save lot of time. Also, they save search costs for product.

Lower risk


a choice


Symbolic

device


Consumers

Source of product

Consumers see ‘brands’ as a symbol of quality and remain committed and loyal to a brand as long as they believe that the brand will continue meeting their expectations and perform in the desired manner consistently.

Lower risk


a choice

Symbol of Quality



Consumers

Source of product

Brands play a significant role in signifying certain product features to consumers.

Lower risk


a choice

Symbol of Quality

Symbolic

device



Seller

Means of

Profits

Legal protection of

products‟ features

Satisfied customer

Means of Competitive Advantage

A brand helps the firms to provide consistently a unique set of characteristics, advantages, and services to the buyers/consumers.



Seller

Means of

Profits

Satisfied customer


Brands help to protect the unique features/traits of products by legal copyrights.

Legal protection of




Seller

Means of

Profits


Brand represents values, ideas and even personality and hence leads to an assortment of memories in customers’ mind and hence satisfied customers.

Legal protection of


Satisfied customer



Seller


Brands form the basis of purchase decision among consumers and thus are a means of financial profits.

Legal protection of


Satisfied customer

Means of

Profits

Brandpositioning

1)It is the heart of marketing strategy.

2. It is the act of designing the company‟s offer and image so that it occupies a distinct and value place in the target customer minds.

3.How it is unique and how it is similar to competitive brands, and why consumer buy and use it.

BRAND PURPOSE

To champion Redfern as a

landmark destination

demonstrating respectful and

positive transformation;

BRAND PROMISE

Redfern is a special place in Sydney and the

world. Building on our foundation as the heart of

urban Aboriginal Australia, we are alive with

art, music, culture and ideas.

BRAND ESSENCE

Our brand essence is ―Welcoming Spirit‖

Welcoming Means

BRAND VALUES

Vibrant

Diverse

Living culture

Forward thinking

Unique place to live , work , play

and learn

Open to all –current and

future residents

Embracing the future with an

understanding of the past

Socially responsible

Addressing fragmentation

Increasing advertising spending during

economic expansion often yields no

improvement in market share

Because 80% of your competitors are

also increasing their spending

Pull back and let the competition eat your brand

Stand firm be aggressive eat your competition lunch

We're toast : go home and save every penny

A soft media market means your ad dollars will go further

The Role of Brands

Identify the maker

Simplify product handling

Organize accounting

Offer legal protection

Signify quality

Create barriers to entry

Serve as a competitive advantage

Secure price premium

A brand promise sets an expectation of an experience.

It answers the question – What‟s in it for the customer?

An effective promise is concise, relevant, sells a benefit (not just a feature), and is backed up by the product / service.

In the best case, your brand IS a promise.

Southwest Airlines

Nordstrom‟s

Disney

What is a Brand Promise?

How Are Brand Promises Delivered?

Advertising

◦ Controlled messaging

◦ Aligned messaging

Horizontally - Across media types

Vertically – Up/Down thru Tier 1, II &

III

Experiential

◦ Branded Lifestyle / Off-line content

and programming

◦ Retailer / On-site transaction-based

experience

◦ 1 to 1 issue resolution via Consumer

Affairs / Help desk

Nissan‟s Brand Promise is – “Innovation that Excites”

Key Product proof points

Nissan LEAF – the world‟s first mass produced 100% electric, zero-emissions car.

370Z / GT-R

Key Marketing proof points

GT-Academy

Heisman partnership

Pathfinder Kinect

Prod & Mktg Innovation Labs

Key Organizational proof points

French-owned, Japanese company where US is largest player… with a Brit as our Chairman of the Americas and a Spaniard is our SVP, Sales & Mktg

Key Operational proof points

Dedicated Social Engagement / CRM team and Agencies

Does Nissan Deliver its Brand Promise?

Brand Management

What is Brand Management?

Now, that you have learnt about ‘brands’, let us see what is brand management.

Brand management is the process of building, managing and improving a brand.

It begins by having a thorough knowledge of the term “brand”.

Hence, brand management includes developing a promise, making that promise and maintaining it.

It means defining the brand, positioning the brand, and delivering the brand. It is an art of creating and sustaining the brand.

What is Brand Management?

The tangible and

intangible characteristics

of brand are managed

through Brand

management.

The tangibles for product brands

include the product itself, its

characteristics, features, price, p

ackaging, etc.

Whereas, in case of

service brands, the

customers‟ experience

forms the tangibles.

The intangibles are made up of

the emotional connections with

the product / service.

Thus, you can see that

brand management is all

about Branding.

Branding is assembling of various

marketing mix medium into a

whole so as to give the product

an identity.

It is building a

brand name

that captures

the customer‟s

mind.

Purpose of Brand Management

The main aim of branding is to differentiate a company’s products and services from its competitors.

Branding aims to convey a brand message vividly, create customer loyalty, persuade the buyer for the product, and establish an emotional connectivity with the customers and form customer perceptions about the product.

Brand management plays a crucial role to form brands. The brand management strategies also provide good support to the brand so that it can sustain itself in long run.

Also, through brand management, brands are managed and brand equity is built over a period of time. It helps in building a corporate image. Thus, only a competent brand management system can create a successful brand.

Strategic Brand Management Process

The Strategic Brand Management Process consistsof the following four

steps:

Strategic Brand Management Process

Identifying

and Establishing

Brand Position

Building a Strong

Brand: Four Steps of Brand Building

Brand Positioning

Identify and

Establishing

Brand Position

Positioning

Guidelines

Customer Based Brand

Equity

Step 1: Identifying & Establishing Brand Position

Building a Strong Brand: Four Steps of

Brand Building

Brand Positioning

Identify and

Establishing

Brand Position

Positioning

Guidelines

Identifying and

Establishing

Brand Position


Equity


Customer Based Brand Equity

The Brand position can be identified and established by

determining the customer-based brand equity using the

pyramid.

• Brand Salience: This relates to aspects of awareness of the brand.

• Brand Performance: This relates to ways in which product/ service meets customers‟ needs.

• Brand Imagery: It‟s how customers visualize a brand abstractly, with no relevance to what the brand

actually does.

• Brand Judgments: The customers‟ personal opinions and evaluations with regard to the brand.

• Brand Feelings: The customers‟ emotional responses and reactions with respect to the brand.

• Brand Resonance: The ultimate relationship &level of identification that the customer has with the brand.

Identifying

and

Establishing

Brand Position

Building a Strong Brand: Four Steps of

Brand Building

Brand Positioning

Identify and

Establishing

Brand Position

Positioning

Guidelines


Equity


Building a Strong Brand: Four Steps of Brand BuildingThe Four Steps of Brand Building are as follows:

• Identity (Who are you?)• Meaning (What are you?)• Response (What about you?)• Relationship (What about you & me?)

Identifying

and

Establishing

Brand PositionBrand

Positioning

Identify and

Establishing

Brand Position

Positioning

GuidelinesBuilding a

Strong Brand: Four Steps of

Brand Building

Customer Based

Brand Equity


Brand Positioning

The Brand Positioning is further

divided into two parts –

• Identify and Establishing Brand

Position

• Positioning Guidelines

Let us look at each one in detail.

Identify and Establishing Brand Position:

It is necessary to decide:

• Who the target consumer is

• Who the main competitors are

• How the brand is similar to these competitors

• How the brand is different from these

competitors

Basic Concepts

Brand Positioning - Identify and Establishing Brand Position

The Target Market can be decided based on two

considerations:

• Segmentation Bases: a) Behavioral b)

Demographic c) Psychographic d) Geographic

• Segmentation Criteria: a) Identifiability b) Size c)

Accessibility d) Responsiveness

Target Market

The following are some of the positioning

guidelines that firms should follow for an effective

brand positioning:

• Defining and Communicating the

Competitive Frame of Reference

• Choosing Points of Parity and Points of

Difference

• Establishing Points of Parity and Points of

Difference

• Updating Positioning Over Time

Positioning Guidelines:

Brand Positioning - Positioning Guidelines

Step 2: Planning & Implementing Brand Marketing Programs

Planning &

Implementing Brand Marketing

Programs

Designing Marketing

Programs to Build

Brand Equity

Choosing Brand

Elements to Build Brand

Equity

Co-branding

Celebrity

Endorsement

Criteria for

Choosing

Brand

Elements

Options and

Tactics for

Brand

Elements

Product

Strategy

Channel

Strategy

Pricing

Strategy

Leveraging Secondary Brand

Associations to Build Brand Equity

Licensing


Planning &

Implementing

Brand

Marketing

Programs

Choosing Brand


Equity

Criteria for

Choosing

Brand

Elements

Options and

Tactics for

Brand

Elements

Celebrity

Endorsement

Designing Marketing

Programs to

Build Brand Equity

Co-branding

Product

Strategy

Channel

Strategy

Pricing

Strategy

Leveraging Secondary

Brand Associations to

Build Brand Equity

Licensing

Choosing Brand Elements to Build Brand EquityBrand Elements are sometimes called „Brand

Identities‟. They are the trademark devices that

help to identify and differentiate brands.

For example, the logo of tick mark of Nike, the

Indian Maharaja of Air India, the rings of Audi etc.

are brand elements.

Choosing Brand Elements to Build Brand Equity is further divided into two parts:• Criteria for Choosing Brand Elements • Options and Tactics for Brand Elements


Choosing Brand Elements to Build Brand Equity - Criteria for

Choosing Brand Elements

Criteria for Choosing Brand Elements :

The following criteria should be met to choose relevant brand elements such as:

•Memorability – Easily Recognized, Easily Recalled

• Meaningfulness – Descriptive, Persuasive

• Likability – Fun and Interesting, Aesthetically Pleasing

• Transferability – Within Cross Product Categories, Across Geographical Boundaries and

Cultures

• Adaptability – Flexible, Updateable

•Protectability – Legally Protected, Competitively Protected

Choosing Brand Elements to Build Brand Equity - Options and

Tactics for Brand Elements

Options and Tactics for Brand Elements:

The following are few options and tactics for Brand Elements:

Brand Names:

Descriptive brand names in which the function is described

literally in brand name.

Suggestive brand names in which the name is suggestive of a benefit provided by the brand to the customer.

URLs:

• Keep the URLs as simple as possible, • Avoid clichés, • Use a new term for the real word•Use catchy phrases

Logos and Symbols:

Various kinds that can be used are:• Family Shields

• Fonts

• Symbols

• Abstract – shapes and image

Choosing Brand Elements to Build Brand Equity - Options and

Tactics for Brand Elements

Options and Tactics for Brand Elements:

The following are few options and tactics for Brand Elements:

Jingles:

These are musical

slogans that help in reminding by repetition.

Examples: The axe song and

O Fortuna, the Old Spice Theme Song.

Characters:

Characters can also be used as brand elements.

Slogans:

Slogans are short

phrases that are descriptive or persuasive in nature and provide more info about the brands.

Packaging:

Packaging is an important brand element. It helps to identify the brand, convey

descriptive and persuasive information through labelling, allows protection, transportation, storage and consumption of product .


Planning &

Implementing

Brand

Marketing

Programs

Designing Marketing

Programs to

Build Brand Equity

Product

Strategy

Channel

Strategy

Pricing

Strategy

Choosing Brand


Equity

Co-branding

Celebrity

Endorsement

Criteria for

Choosing

Brand

Elements

Options and

Tactics for

Brand

Elements



Build Brand Equity

Licensing

Designing Marketing Programs to Build Brand EquityBrand Equity can be built by focussing on designing effective marketing programs keeping the following in consideration:• Product Strategy• Pricing Strategy• Channel Strategy


Designing Marketing Programs to Build Brand Equity

Designing Marketing Programs to Build Brand Equity

Planning &

Implementing

Brand

Marketing

Programs

Designing Marketing

Programs to Build

Brand Equity

Product

Strategy

Channel

Strategy

Pricing

Strategy

Businesses should ensure that they have an effective product strategy to remain competitive in the cutting edge markets. An efficient product strategy would ensure that the product remains updated

with the latest features, technology and enhancements and has something extra to offer to the customers.

Product Strategy

Businesses can ensure profitability and longevity by paying close attention to their pricing strategy. An efficient pricing strategy helps companies to best position themselves within the market.

Pricing Strategy

Channel Marketing is the practice of applying appropriate marketing methods to distribution channels to reach customers. It involves developing go-to-market plans, educating channel marketers or

middlemen about products or services, and motivating the members of the marketing channel to promote products and services. Hence, marketing and sales alignment is critical to an effective channel strategy.

Channel Strategy


Designing Marketing

Programs to

Build Brand Equity

Choosing Brand


Equity

Criteria for

Choosing

Brand

Elements

Options and

Tactics for

Brand

Elements

Product

Strategy

Channel

Strategy

Pricing

Strategy

Planning & Implementing

Brand Marketing Programs

Co-branding

Celebrity

Endorsement



Build Brand

Equity

Licensing

Leveraging

Secondary Brand

Associations to

Build Brand EquityThe Leveraging

Secondary Brand

Associations to

Build Brand Equity is

further divided into

three parts –

• Co-branding

• Licensing

• Celebrity

Endorsement

Leveraging Secondary Brand Associations to

Build Brand Equity


Associations to Build Brand

Equity

Planning & Implementing

Brand Marketing Programs

Co-branding

Celebrity

Endorsement


Associations to

Build Brand Equity

Licensing

Co-branding occurs when two or more existing brands are

combined into a joint product or are marketed together in some fashion. A few examples are: Sony Ericsson, Yoplait Trix Yogurt, Nestle‟s Cheerios Cookie Bars

Co-branding

Licensing involves contractual arrangements whereby firms can use the names, logos, characters, and so forth of other brands for some fixed fee. A few examples are: Entertainment (The Matrix, Shrek, etc.), Television and cartoon characters (Mickey Mouse), Designer apparel

and accessories (Gucci, Armani, etc.)

Licensing

Firms can also use a celebrity to endorse their brands to help build brand equity. Celebrity endorsement helps to draw attention to the brand and to shape the

perceptions of the brand. A celebrity should be greatly popular and have a high level of visibility. He or she should also have a rich set of useful associations, judgments, and feelings associated with him/her by the general public.

Celebrity Endorsement

Step 3: Measuring & Interpreting Performance

Measuring & Interpreting Brand

Performance

Measuring Sources of

Brand Equity

Developing Brand Equity

Measurement

& Management

System

Measuring Outcomes of Brand Equity

Qualitative

Research

Techniques

Quantitative

Research

Techniques

Comparative

Methods

Holistic

Methods

Brand Value

Chain

Establishing a

Brand Equity

Management

SystemDesigning

Brand

Tracking

Studies


Measuring &

Interpreting

Brand

Performance


Measurement

& Management

SystemBrand Value

Chain

Establishing a

Brand Equity

Management

SystemDesigning

Brand

Tracking

Studies


Brand Equity


Qualitative

Research

Techniques

Quantitative

Research

Techniques

Comparative

Methods

Holistic

Methods

Developing a Brand Equity Measurement & Management System

The Developing a Brand Equity Measurement and Management System is further divided into three parts –• Brand Value Chain• Designing Brand Tracking Studies • Establishing a Brand Equity Management System



Measuring &

Interpreting

Brand

PerformanceMeasuring Sources of

Brand Equity

Qualitative

Research

Techniques

Quantitative

Research

Techniques


Measurement

& Management

System


Comparative

Methods

Holistic

Methods

Brand Value

Chain

Establishing a

Brand Equity

Management

SystemDesigning

Brand

Tracking

Studies

Measuring Sources of Brand Equity: Capturing

Customer Mind-Set

There are two methods that are used for

measuring the sources of brand equity or to

capture the customer‟s mind-set, which are as

follows:

• Qualitative Research Techniques

• Quantitative Research Techniques


Measuring Sources of Brand Equity –

Quantitative Research Techniques

Awareness

Brand awareness is related to the strength of the brand in

memory. Brand awareness is reflected by consumers‟ ability to

identify various brand elements.

The following factors must be taken into consideration while

measuring brand awareness:

• Recognition: This relates to consumers‟ ability to identify the

brand under different circumstances.

• Recall: „Unaided recall‟ means the identification with

minimal cues. „Aided recall‟ means various cues were used

to assist recall.

• Corrections for Guessing: The research data collected for

measure must consider the issue of consumers „making up‟

responses or „guessing‟. These may affect strategic brand

decisions.

• Strategic Implications: It is important that researchers

understand that recognition and recall is essential in

analyzing formation of consideration sets and product

decisions made by consumers.



Brand Equity


Measurement

& Management

System

Qualitative

Research

Techniques

Quantitative

Research

Techniques

Brand Value

Chain

Establishing a

Brand Equity

Management

SystemDesigning

Brand

Tracking

Studies

Measuring &

Interpreting

Brand

Performance Measuring Outcomes of Brand Equity

Comparative

Methods

Holistic

Methods

Measuring Outcomes of Brand Equity: Capturing Market PerformanceThere are two methods that are used for measuring the outcomes of brand equity or to capture the market performance, which are as follows: • Comparative methods• Holistic methods


Step 4: Growing and Sustaining Brand Equity

Growing and

Sustaining

Brand EquityDesigning and

Implementing Branding Strategies

Introducing & Naming

Products and Brand

Extensions

Managing Brands over

Time

Brand

Architecture

Brand

Hierarchy

Reinforcing

Brands

Revitalising

Brands

New Products

and Brand

Extensions

Disadvantage

s of Extensions

Advantages

of Extensions


Growing and

Sustaining

Brand EquityDesigning and


Brand

Architecture

Brand

HierarchyIntroducing & Naming

Products and Brand

Extensions


Time

Reinforcing

Brands

Revitalising

Brands

New Products

and Brand

Extensions

Disadvantage

s of Extensions

Advantages

of Extensions

Designing and Implementing Branding StrategiesMost brands are part of a wider organization. The Designing and Implementing Branding Strategies is further divided into two parts –• Brand Architecture • Brand hierarchy

Designing and Implementing Branding Strategies –

Brand Architecture

Brand Architecture It is the structure and organization of brands.

Breadth of Product Mix: Three factors determine the inherent attractiveness of a product category:

1. Aggregate market factors2. Category factors3. Environmental factors

Depth of Product Mix: An important rule to remember to decide the depth of the product mix is: “A product line is too short if the manager can increase long-term profits by adding items; the line is too long if the manager can increase profits by dropping items”.

Breadth of a Branding Strategy

Flankers: Flanker brands are used to create stronger points of parity with

competitors‟ brands.

Cash Cows: In firms, there are some brands that retain loyal customers and

generate healthy profits with virtually no market support.

Low-end Entry-level / High-end Prestige Brands: The first category low-end entry-

level are called “traffic builders” and they are able to “trade up” customers to the

higher-priced brands.

Depth of a Branding Strategy:

Designing and Implementing Branding Strategies –

Brand Hierarchy

Brand Hierarchy It is a means of summarizing the branding strategy by displaying the number and nature of common and distinctive brand elements across the firm‟s products. It helps to reveal the explicit ordering of brand

elements.

A simple representation of possible brand elements and thus, potential levels of a brand hierarchy might be as follows:

1. Corporate brand e.g. Chrysler-Daimler2. Family brand e.g. Mercedes-Benz

3. Individual Brand e.g. 1000 SEL4. Modifier (designating item or model) LX / VX

Potential Levels of Brand Hierarchy:

Brand hierarchy is a means of summarizing the branding strategy by displaying the number and nature of common and distinctive brand elements across the firm‟s products. It helps to reveal

the explicit ordering of brand elements.

Let us now look at how brand hierarchy can be built within a firm. This can be done in two ways:By Building Equity at Different Hierarchy LevelsBy Creating Corporate Image Dimensions

Brand Hierarchy Built within a Firm:


Growing and

Sustaining

Brand Equity


Products and Brand

ExtensionsNew Products

and Brand

Extensions

Disadvantage

s of Extensions

Advantages

of Extensions

Designing and



Time

Brand

Architecture

Brand

Hierarchy

Reinforcing

Brands

Revitalising

Brands

Introducing and Naming New Products and Brand ExtensionsThe Introducing and Naming New Products and Brand Extensions is further divided into three parts –• New Products and Brand Extensions• Advantages of Extensions• Disadvantages of Brand Extensions


Designing and



Products and Brand

Extensions

Brand

Architecture

Brand

Hierarchy

New Products

and Brand

Extensions

Disadvantage

s of Extensions

Advantages

of Extensions

Growing and

Sustaining

Brand EquityManaging

Brands over Time

Reinforcing

Brands

Revitalising

Brands

Managing Brands over Time

It is very important to understand the long term effects of marketing activities on the brand equity. Firms should carefully consider the consumer response to past marketing activities, the brand awareness and image, as well as the customer response to current marketing activities and to predict the response to future activities. Analyzing this information will help firms to manage the brands over a long period of time. There are various strategies that are used to manage the brands over a long period of time which are as follows:• Reinforcing Brands• Re-vitalising Brands

Brand Management Guidelines

Establish and Maintain the BrandIt is necessary that for establishing and maintaining a brand, a

holistic approach, or an “overall brand strategy” is used. 1

Maintain Consistency between the Brand Strategy and Overall Business GoalsThe brand strategy should be in line with the overall business goals of the organization.

2

Select Proper License PartnersThe profile of the ideal license partner should be developed and

the focus should be to ensure long-term relationships with the licensors and licensees.

Maximize the Strategic Advantage of the BrandIt is important that organizations focus on maximizing the leverage of the brand.

3

Decide about License Agreements: The decision of whether the license agreement should be

exclusive or non–exclusive will have important implications for all of the business.

4

Enforce Key Provisions through License agreements Enforcing various important concerns such as quality control standards and reporting standards can be done through a properly charted out license agreements.

5

7

8

6

Affix Products & ServicesAn effective strategy of brand management is

to ensure that the brand is associated to the most popular products and services offered by

the licensee’s products and services.

Actively Integrate the Brand Management Strategy into Product Development and Launch ActivitiesIt is important that the Companies actively integrate the brand strategy into product development and launch activities by using a clear and proactive strategy.

The following key points provide some strategic brand management guidelines that should beadapted when developing and implementing a brand management strategy.

Brand Strategy Defined

The purpose of a brand

strategy is to provide a plan

for the systematic

development of a strong

coherent brand in order to

enhance revenue and profits.

The strategy should be driven

by the principles of

differentiation and sustained

consumer appeal.

The brand strategy should influence the total operation of a business to

ensure consistent brand behavior in the marketplace and consistent brand

experiences for the customer.Trends

Motivations/”Sweet spots”

Decision-making process/criteria

Higher level benefits

Image/Identity gaps

New Segments

Unmet needs

Where to Find Insights

The purpose of a target insight is to

describe how a meaningful connection

can be established between what the brand offers and the target‟s explicit or

implicit needs in order to help identify a

relevant brand promise.

Branding

Who are you

PositioningIdentity

Core values, core purpose, core

attributesand business model

Definition of your

customers, competitors, differentiationand brand touch points

Your brand name, Brand design

standards, and key touch point

concepts

Communication

Internal

External

Living the brand

Marketing plan

Product/service design,

Systems and procedures and

brand culture maintenance

Website, Collateral, Packag

ing, PR, Advertising, Environ

ments, Interactive, Media,

etc.

Operations

Marketing

Core

Brand

Core

Brand

80Brand Strategy and Marketing Strategy

Brand Strategy is separate from the

4P‟s. It guides and inform decisions

about every aspect of the

marketing mix.

I. Corporate Objectives & Brand Portfolio

II. Marketing Objectives

III. Brand Strategy

Communications Strategy

Product and Pricing Strategy

Channel and Distribution Strategy

IV. Marketing Execution & Monitoring

Strategic Marketing Process

Brand Strategy is an integral part of the overall strategic

marketing process. It helps to bridge the gap between business

strategy and marketing strategy.

Brand Strategy Process

Target & Insight

Brand Execution

Brand Elements

Competitive Assessment

Brand Inventory

Equity Pyramid

Positioning

Objectives & Metrics

Personality

CommunicationsStrategy

Brand Experience Map

Brand Strategy

Brand Audit

CRM &Community

Building

Points of Parity and Difference

The process of creating a brand strategy begins with a brand audit and ends with

a plan for executing the brand across all touch points. It can be generally thought

of as having three stages..

Insights Examples

Mastercard “Priceless” campaign

“What we found was that people buy things because of how those things make them feel… So the idea is that the item allows you to get to some other place in your life that makes you feel good.”

National Youth Anti-Drug Program “Above the

Influence” campaign

“We wanted to elevate the conversation to make it more „pro-me‟

than anti-drug. We know teens are very sensitive to influences, positive and negative, from peers and the media. That‟s why we positioned it so teens would see influence as the enemy and marijuana as one of the influences that gets in their way. It‟s a way of empowering them so they can stand on their own at a key moment

of choice – seeing that they could be above the influence.”

Points of Parity and Difference

Brand

Consumers

Competition

Our

PODs

Potential Brand Differences

POPs• Points of Parity (Category Benefits)

Competitive Brand Differences

Their

PODs

Wants and Needs

The purpose of a POD‟s analysis is to identify what ideas from our brand and competitive brands are most meaningful and potentially differentiating.

The purpose of a POP‟s analysis is to identify which category benefits are critical for establishing credibility.

Brand Pyramid

Resonance

Consumer Judgments Consumer

Feelings

Brand ImageryBrand Performance

Salience

The purpose of the brand equity pyramid is to outline the basic building blocks of a what the brand should stand for in order to guide the process of building brand equity. It is the basis for determining key elements of the brand strategy – brand vision, brand positioning, and brand personality and brand measurement.

Identity

Relationship

Response

Meaning

Brand Equity Pyramid The model was developed by Kevin Keller, professor of brand strategy at Dartmouth, based on his „Customer Based Brand Equity Model‟ (CBBE). Keller is the author of two definitive texts on brand

building. The pyramid is just one of 4-5 leading representations of the components of brand equity. Other models include Y&R‟s Brand Asset Valuator, Millward Brown‟s BrandDynamics model, etc. While each model has its adherents, upon closer scrutiny, they are all very similar in their content and purpose. Whichever is

selected, what is important is that it provide a shared basis for understanding what is meant by „brand equity‟ and how this construct applies to your brand.

Brand Positioning

The purpose of brand positioning is to explain how the brand will create a sustainable competitive advantage in the minds of prospects & customers in order to win loyal customers and ensure revenue and

profits.

For (Target), (Brand/Company) is the only/best (consumer frame of

reference) that (statement of key benefit or guiding value), because/by

(reason to believe, key credibility point).

Evaluation Criteria: Brand Fit, Customer Relevance, Uniqueness, Sustainability, Credibility

Positioning Building Blocks

SUPPORT

BENEFIT

Category definition

Need state or problem

Product quality or value

Most Reputable Company

Service or delivery difference

Homeowners/Business owners

Adults 35+; HHI $50,000+

Aware of ------

Experiencing -----

Branding stage

Vision

Brand Strateg

y

Conception

Design

Production

Launch

Branding and Stage Gate Process

Your logo

Ideation Preliminary

investigation

Detailed

investigationDevelopment Testing and

validation

Full product

and market

launchPIRGate

1

Gate

2

Gate

3Gate

4

Gate

5

Postimplementation

review

Initial

screenSecond

screenDecision on

business

case

Postdevelopment

reviewPrecommunication

business analysis

4. Design brand strategy

2. Map existing brand culture

Advertising public relations

corporate communications

pricing promotions

personal selling channels/ retail

1. Identify goals that branding can address

3. Analyze competition and environment to

identify branding opportunity

5. Preliminary evaluation of

brand

6. Full evaluation of brand

Branding and Stage Gate Process

Your logo

Ideation Preliminary

investigation

Detailed

investigationDevelopment Testing and

validation

Full product

and market

launchPIRGate

1

Gate

2

Gate

3Gate

4

Gate

5

Postimplementation

review

Initial

screenSecond

screenDecision on

business

case

Postdevelopment

reviewPrecommunication

business analysis

Advertising public

relations corporate

communications pricing

promotions personal selling

channels/ retail

5. Preliminary evaluation of

brand

4. Design brand strategy

3. Analyze competition and environment to

identify branding opportunity

1. Identify goals that branding can address

6. Full evaluation of brand

2. Map existing brand culture

Strategic Brand Assessment

An “Inside Out” Look At Brand

Opportunities and Vulnerabilities

Most marketers have a good “Outside In” perspective on their

brands.

Awareness Trial Penetration

Consumer Attitudes

Brand Ratings

Preference Scores

All important measures of marketing

effectiveness.

But…

Increasingly, the success of a brand is not just the result of well crafted marketing programs.Strong brands are those that have achieved alignment of values with both internal and external audiences.

Think: Starbucks, Southwest

Airlines, Google, Nordtrom’s.

A strong brand is the result of effective

marketing plus:

Corporate vision.Culture and

Structure.Management.

Internal Communications.

Customer Services…

The Strategic Brand Assessment delivers

an “Inside Out” perspective by providing

insights and perceptions

An “Inside Out” Perspective

From three critical audiences:Executives, Employees, Channel Partners

A brand is a name or symbol used to

identity the source of the product. The

brand can add significant value when it

is well recognized and has positive

associations in the mind of the

consumer. This concept is known as

brand equity.

BRAND EQUITY

NEED FOR BRAND EQUITY

Values of brand equity ?

Value to the customer ?

Value to the firm ?

PERSPECTIVES OF BRAND EQUITY

Financial

Brand extension

Consumer based

Brand is an intangible asset that

produces added benefits for the

business. This is the domain of

strategic brand management : how

to create value with brand

management.

•Loyalty (price premium, satisfaction).

• Perceived quality (popularity).

• Association (brand personality, organizational

association).

• Awareness (brand awareness).

• Market behavior (market share).

Brand equity is

a set of brand assets and liabilities

linked to a brand

Earning wealth and recognized through the power of

brand name or symbol.

A brand is a name or symbol used to identity

the source of the

product. The brand can

add significant value when it is well recognized

and has positive

associations in the mind

of the consumer. This

concept is known as

brand equity.

NEED FOR BRAND EQUITY

Values of brand equity ?

Value to the customer ?

Value to the firm ?

PERSPECTIVES OF BRAND

EQUITY

Financial

Brand extension

Consumer based

Elements of Brand Equity:

Brand Loyalty

Brand Awareness

Perceived Quality

Brand Associations

Measuring Brand Loyalty

• Purchase Behavior Patterns

• Switching Cost Analysis

• Satisfaction Measurement

Strategic Value of Brand Loyalty

• Reduce marketing cost

• Trade (channel distribution)

leverage

• Attracting new customers

Brand Strategy

Developing Brand Vision

Establishing Brand Position

Fulfilling Brand Contract

Communicating Brand Position

ASPECTS OF BRAND EQUITY

Brand

Brand awareness

Brand association

Brand loyalty

Brand position

Brand proposition

Brand equity

MEASURING BRAND EQUITY

Loyalty (price premium, satisfaction).

Perceived quality (popularity).

Association (brand personality,

organizational association).

Awareness (brand awareness).

Market behavior (market share).

What does the brand stand for? (brand

essence)

• Health, vitality, enhanced water, enhanced

lifestyle, trendy

• “Not your ordinary bottled water” “Hydration

for every occasion” – tagline

What are the respective brand images?

Healthy, rejuvenating “miracle elixir”, for

people on the go, status symbol (you want to

be seen with Vitamin Water)

What perceptions does the brand seek to

establish?

There is a new kid on the block – a

delicious, nutritious, flavoured water – one for

every “need”

Brand Equity Concept

Brand Equity

Customer-

basedMarket -

based

Brand Equity is the value, both tangible and intangible, that a brand adds to a product/service; the added value a brand name identity brings to a product or service beyond the functional benefits provided.

The customer – based brand equity focuses exclusively on the relationship customers have with the brand

The market – based brand equity aims at producing measures in dollars, euros or yen.

The concept of brand equity is measured in two terms:


You can see that when a commodity becomes a brand, it is said to have

equity. Brand equity is the premium a brand can

command in the market or the difference

between the perceived value and the intrinsic

value.

Brand equity can be thought of as the "added

value" endowed to a product in the

thoughts, words, and actions of consumers.

There are many different ways that this added

value can be created for a brand.

Therefore, it is important that Brand Equity should

be nourished and replenished.


Companies must take care of its brands so that the brand equity is not diluted or dissipated.

A few examples of products with excellent

brand equity include Google, Nike and

Starbucks.

Let us now look at the process of building

brands.

Measuring Brand Equity

Brand Audits

Brand Tracking

Brand Valuation

Steps in Calculating Brand Equity

Market segmentation

Financial analysis

Role of branding

Brand strength

Brand value calculation

WHAT IS BRAND EQUITY

Awareness

Familiarity

Image and personality

Associations Availability

Preference

Loyalty

Building a Strong Brand

a great

product


a great

product

brand image


a great

product

brand image customer

experience


a great

product

brand image customer

experience

GREAT PRODUCT

BRANDIMAGE

CUSTOMEREXPERIENCE


CUSTOMER-CENTRIC MARKET STUDY

BRANDIMAGE

CUSTOMEREXPERIENCE

GREAT PRODUCTS



BRANDIMAGE

CUSTOMEREXPERIENCE

MARKETING SUPPORT AND PEOPLE DEVELOPMENT

GREAT PRODUCTS

High Brand Equity


BRANDIMAGE

CUSTOMEREXPERIENCE

MARKETING SUPPORT AND PEOPLE DEVELOPMENT

GREAT PRODUCTS

#1

BRAND BUILDING PRINCIPALS

1. Brand Asset Valuator

Differentiation

Energy

Relevance

Esteem

Knowledge

2. Brandz

Presence

Relative

Performance

Advantage

Bonding

High Loyalty

Low

Loyalty

Building brand equity

Marketing

communication

programs

Adv

Sales

prom

Event

Experience

PR

Direct

Marketing Word of

mouse

Personnel

selling

Brand equity

Brand

awareness

Brand

Image

Brand

responses

Brand

relationships


The Brand's

unique points

of difference

relates to

premium

margins

How

appropriate

the brand to

you relates to

market

penetration

Differentiation Relevance

Strength

How well

regarded the

brand is relates

to its delivery

on promise

A deep

understanding

of the brand

relates to

overall

customer

experience

Esteem Knowledge

Strength

What makes a Brand Strong?

A strong brand is a major driver of shareholder value.

A strong brand is like an asset. It can be used as collateral for financial loans , buying and

selling as an asset.

A strong brand has strong attributes, values and personality that the consumers associate with the brand.

A strong brand is a means of attaining higher customer loyalty.

It is important that in order to make a strong impact, a brand should be strong.

There are a few characteristics that make a „strong‟ brand, which are as follows:

A strong brand always delivers the benefits that customers truly desire.

A strong brand makes use of and coordinates full range of marketing activities to build equity.A strong brand has the right blend of product quality, design, features, costs and prices.

A strong brand is properly positioned and occupies a particular niche in consumers' minds.A strong brand compels consumers to willingly pay a substantial and consistent premium

price for the brand versus a competing product and service.

Gillette as a Strong Brand

Gillette is one of the strongest brands in the market of men‟s personal care products. It has tied the actual quality of its products to various intangible factors such as:

The type of person who uses Gillette, the type of situations in which the brand is used, the type of personality Gillette portrays etc.

User Imagery

Its razor blades are as technologically advanced as possible through continuously spending millions of dollars in R&D.

Technology

It has developed several sub brands such as Trac

II, Altra, Sensor, Mach3 to remain on top of its competitors.

Sub-branding

It makes constant improvements with modifiers like Altra Plus, Sensor Excel.

Enhancements

Insight about branding

Your brand represents your future earnings

Successful companies both innovate and

build brands

Branding is about customer perceptions

Strong brands are worth a lot of money

Keep your brand consistent

A brand is not just a name or Logo

A brand with multiple positioning may

confused

The Customer is anyone involved in

the purchase decision

Perceived value is the maximum your

customer will pay – all marketing is the management of perceived value

Disney

Wal – Mart

Fedex

McDonalds

Apple

Google

Toyota

Family Fun Entertainment

Low Prices and Good Values

Guaranteed Overnight Delivery

Food and Fun

Innovation

Simplicity

Reliability

Some Metrics to Measure Return

on Brand Investment:

• Brand name

knowledge, awareness, recog

nition, recall: measures

strength of the brand as

reflected by customer's ability

to identify the brand under

varying conditions

• Contract fulfillment: measures

the degree to which your

brand is upholding its Brand

Contract

Some Metrics to Measure

Return on Brand Investment:

Acquired customers: counts customers claiming

they have come to your company based on

the strength of the brand

• Customer loyalty: measures the degree to

which customers continue to purchase your

brand and how long that loyalty has lasted

• Financial value: reports the financial value

of your brand in the marketplace

• Price premium: finds the percentage of

price premium your brand is able to

command over private-label brands, as well

as key competitor brands

Definition

The Marketing Communications Mix

The specific mix of advertising, personal selling, sales promotion, and public relations a company uses to pursue its advertising and marketing objectives.

Introduction to Marketing Communications

(Marcom)

Business-to-Consumer(B2C)

Business-to-Business

(B2B)Integrated Marcom

B2C&B

Integrated Marketing

Communication (IMC)

Programs

The Tools of Marketing CommunicationsTable 1.1

1. Media Advertising

• TV

• Radio

• Magazines

• Newspapers

2. Direct Response and Interactive

Advertising

• Direct mail

• Telephone solicitation

• Online advertising

3. Place Advertising

• Billboards and bulletins

• Posters

• Transit ads

• Cinema ads

4. Store Signage and Point-of-

Purchase Advertising

• External store signs

• In-store shelf signs

• Shopping cart ads

• In-store radio and TV

5. Trade- and Consumer-Oriented

Promotions

• Trade deals and buying

allowances

• Display and advertising

allowances

• Trade shows

• Cooperative advertising

• Samples

• Coupons

• Premiums

• Refunds/rebates

• Contests/sweepstakes

• Promotional games

• Bonus packs

• Price-off deals

6. Event Marketing and

Sponsorships

• Sponsorship of sporting events

• Sponsorship of arts, fairs, and

festivals

• Sponsorship of causes

7. Marketing-Oriented Public

Relations and Publicity

8. Personal Selling

Marketing Communications Mix

Advertising

Public Relations and

Publicity Sales Force

Direct and Interactive

Marketing

Word-of-

Mouth

Events and Experiences

Sales

Promotion

Integrated Marketing Communications

Advertising

Direct Response

Sales Force

Events and Experiences

ClarityConsistency

Maximum Impact

Integrated

Marketing Communications

A planning process designed to assure that all brand

contacts received by a customer or prospect for a product, service or organization are relevant to that

person and consistent over time.

Marketing Communication

Effects

“Outdoors”

“Active”

“Rugged”

SUBARU

TV Ads Sponsorship

Communications Process Models

Macromodel Micromodel

Sender Receiver Consumers‟Response

Precondition for promotion: communication

Encoding

ProcessDecoding

ProcessSource

Medium

of

Trans-

mission

Receiver

or

Audience

NOISE NOISE

Feedback

Source/SenderAd agencyIntends to share meaning

translating

meaning of

message into

some form

(Got Milk?)

Means of

reaching

target (print

ad, T.V., sales

person)

Target makes

sense of

message

anything decreases

clarity

(different markets

see same message

differently

Fragility of Communication Process

Awareness

Knowledge

Conviction

Purchase

Preference

Liking

50%

50%

50%

50%

50%

50%

Probability

.5 X .5 X .5 X .5 X .5 X .5 = 1.56%

Developing Effective Communications

Identify target

audience

Determine

objectivesDesign

communications

Select channelsEstablish budget

The Basics

Identify the Target Audience

Potential Buyers

Current Users

Deciders or Influencers Determine Objectives

Brand Purchase Intention

Category

Needs

Positive

Negative

Brand

Awareness

Brand Attitude

Design Communications

How to say it? (Creative Strategy)

What to say?(Message Strategy)

Who should say it?

(Message source)

Select Channels

Personal Communications

NonPersonal (Mass) Communications

Establish Budget

Affordable Method

Percentage-of-Sales

Competitive-

Parity

Objective-and-Task

Marketing Communications Mix

Characteristics

Factors

Measuring

Factors in Setting the Mix

Type of Product Market

Buyer-Readiness Stage

Product Life-Cycle Stage

Cost-Effectiveness / Buyer-Readiness

Measuring Communication Results

Attitudes

FrequencyReach

Awareness

Consumer States for Two Brands

Promotion Mix Over The PLC

Time

Industry

Sales

Do

lla

rs

Introduction Growth Maturity Decline

0

Publicity

Advertising

AdvertisingPR; Selling;

Promotions

AdvertisingPR; Selling

Advertising

Promotions;

Selling

Objectives of communication

PROVIDE INFORMATION

• Goal is informing the market about the availability of a

product.

INCREASE DEMAND

• May increase primary demand, or desire for a

particular product category.

• May increase selective demand, or desire for a

specific brand.

ACCENTUATE THE PRODUCT’S

VALUE

• Greater value helps justify a higher

price in the marketplace.

• Marketers advise staying away from

these words—

quality, value, service, caring, and

integrity—because they are overused

and vague.

DIFFERENTIATE THE PRODUCT

• Differentiation allows firms more control over

marketing variables such as price.

STABILIZE SALES

• Can help make demand more

consistent throughout the year.

Making Brand-Level Marcom Decisions and Achieving Desired

Outcomes

Steps in Developing Communication Program

1. Identifying the Target Audience

2. Determining the Response Sought

3. Designing a Message

4. Choosing Media5. Selecting the Message Source

6. Collecting Feedback

Promotional Program Situation Analysis

Analysis of the Communications Process

Budget Determination

Develop Integrated Marketing Communications Programs

Review of Marketing Plan

AdvertisingSales

PromotionPR/

PublicityPersonalSelling

DirectMarketing

AdvertisingObjectives

SalesPromotionObjectives

PR/Publicity

Objectives

PersonalSelling

Objectives

DirectMarketingObjectives

MessageStrategy

SalesPromotionStrategy

PR/PublicityStrategy

PersonalSelling

Strategy

DirectMarketingStrategy

Integration & Implementation of Marketing Communications Strategies

Monitor, Evaluate & Control Promotional Program

Internet/Interactive

Internet/InteractiveObjectives

Internet/InteractiveStrategy

Integrated Marketing Communications Planning Model

IMC Program Situation AnalysisExternal Factors

Environmental analysis

– Technological Political/Legal

– Demographic Socio/Cultural

– Economic

Competitive Analysis

– Direct and indirect competitors

– Position relative to competitors

– Size of competitors’ advertising/

promotional budgets

– IMC strategies being used by competitors

Analyze best combination of source,

message and channel factors for

communicating with target audience.

Establish communication goals and objectives.

Potential Communications

Objectives

Sales

Customer loyalty

Company image

Brand image

Store patronage

Service contract

An inquiry

A visit by a prospect

Product trial

Recommendation

Adoption of the product

AIDA: Attention?

Attention-> Interest-> Desire ->ACTION!!!

It gets harder as you go….

Attention (e.g., sign-flippers, clowns)

Headline (New York Post; only part read)

Visuals (sex)

Layout

Colors

Size (Times Square)

Electronic: sound; music; animation

Gross images (this nasty eyeball gets your

attention!)

AIDA: Interest?

Keep Interest – difficult in ―our ADD

world‖

Tactics:

Drama/story (Dos Equiss )

Cartoons (M&Ms)

Dialog (it’s a Diet Coke Thing;

Wusssssup?)

AIDA: Desire?

Arouse desire

Tactics:

USP: Unique selling proposition

(Gillette razor; clear

deodorant, clear soda)

Provide a rationale (―I’m worth it‖)

Address ―you‖ with their

needs/problems

(―Do you want to make more $?‖;

―Have you been injured in an

accident?‖)

Federal Express: When it

absolutely, positively has to be

there overnight.

AIDA: Action?

Action – if consumers’ desire, hope action is natural

(and realistic for them):

Ask consumers to do something (log on to…; call..)

Imperative: ―Drink Coke,‖ ―Fly the Friendly Skies‖

Facilitate: 1-800 or web

Direct competitive: supplies are limited!!

Do you view ads after purchasing that product?: Why?

Marketing - Communication InstrumentsComparisson of the classical (above the line) and the “non-classical”

(below the line) communication instruments

Classical marketing-recognizable for everybody

Above The Line (ATL)

Below The Line (BTL)Alternative marketing-mainly visible only for targeted groups

Classical advertisement

Print media

Radio / TV / Movies

Outdoor advertisement / Billboard

advertisement

Public relations

Sponsoring

Event marketing

Exhibitions / Trade fair

Product placement

Promotions

Direct marketing

Mobile marketing

Online marketing / Search engines

Viral marketing / Guerilla marketing

Word of Mouth Communication

HOW TO USE WORD-OF-MOUTH MARKETING

(WOMM) TECHNIQUES AND SOCIAL MEDIA TO

DRIVE GROWTH BY CREATING A POSITIOVE

BUZZ AROUND YOUR PRODUCT OR SERVICE.

ONLY 18% OF TV ADS

GENERATE POSITIVE ROI

84% OF B2B CAMPAIGNS

RESULTED IN LOWER SALES

100% INCREASE IN AD

SPENDING

JUST TO ADD 1% - 2% IN

SALES

ONLY 14% TRUST ADS…the

JESUS

PHONE

rocks!

..I got to

have an

phone

LAW OF FEW

10% INFLUENCE PURCHASING BEHAVIOR OF OTHER 90%

91% LIKELY TO BUY ON RECOMMENDATION

BRAND ADVOCATES

AVERAGE

CUSTOMERS,

CLIENTS,

CONSUMERS

WOMM = C2C CONVERSATION

Consumer-to-consumer conversation

76% of consumers don‟t believe that

companies tell the truth in

advertisementsYankelowich,2006

Multi-Channel-Marketing Display of different marketing channels

Multi-Channel

Marketing

Personal Sales

Database Marketing

Direct Mail Marketing

Telemarketing

Social Media

E-Mail Marketing

Search Engine Marketing

Online Advertising

Mapping Customer experience

Customer

experienc

e elements

Getting to

know Buying

Activa

ting Using Paying

Contacti

ng

Customer

expectation

s

Functional

areas

•Brand

awareness

•Offer

availability

•What ?

And where

•MAKT

•Sales

•Customer

service

•Offer

Availability

•Value of

money

•Acquisitio

n

•MAKT

•Logistic

•Sales

•Customer

service

•IT

•Usability

•Coverage

•Reliability

• Quality

•Roaming

•Speed

•Convinced

•Getting

started

•MAKT

•Sales

•Customer

service

•Network

•IT

•Portals

•Network

•IT

•Customer

service

•Accuracy

• Control

•Choice

•Convinced

•Sales

•IT

•Customer

service

Leaving

•Responsive

ness

•Friendly

Consistency

•Helpfulness

•Resource

fullness

•Customer

service

•Sales

•IT

•Portals

•Flexibility

•Loyalty

•MAKT

•Sales

•Customer

service

•IT

Branded Customer experience

Brand essence Translates

into Brand promise

Translates

into

Branded Customer

experience (BCE)

•What you

communicate to the

marketplace

•The value you commit

to deliver to customers

•Delivery of your brand promise

through every interaction your

customer have with your people

, processes and products

Tow routes to create branded customer

experience

Experiencing the brand

Branding the experience Different in

starting point

Experiencing the brand

Market

Opportunity

Conceived

customer

VP

Create

customer

experience

Develop the

route to

market

Design the

brand to

communicate Customer realization

of the BCE

Branded Customer experience

Branded customer

experience Translates

into Brand value

Translates

into Brand image

•Creating a unique

experience through

every interaction your

customers have with

your people

, processes and

product

•The value your

customers come to

expect and rely on

•What you become

known for in the

marketplace

Branding the experience

Is powerful driver of

customer loyalty

steps

To Customer

Centric Retail

Innovation

1. Take the Customer Perspective

2. Get the Customer Heartbeat

3. Focus Your Efforts

4. Make Sure your People Are With You

5. Start Swimming

#5 START SWIMMING

YOU

CUSTOMER PERSPECTIVE

Flipchart Time

Which are the steps in the

customer journey when

booking a holiday?

How could you innovate

on them?THE CUSTOMER JOURNEY

1. I dream of going on holiday

2. I research my holiday

3. I plan my holiday

4. I select my holiday

5. I purchase my holiday

6. I receive travel documents &

tickets

7. I anticipate departure

8. I prepare my trip

9. I travel to my destination

10.I discover my destination

11.I experience my destination

12.I record my memories

13.I share my experience

14.I travel back home

15.I share my memories

CUSTOMER PERSPECTIVE

THE CUSTOMER JOURNEY

How Can You Innovate Now?

GET THE CUSTOMER HEARTBEAT

WHICH EMOTIONS ?

ARE ALL EMOTIONS EQUALLY

STRONG?

WHAT DO YOUR CUSTOMERS

REALLY CARE ABOUT?

1. I dream of going on holiday

2. I research my holiday

3. I plan my holiday

4. I select my holiday

5. I purchase my holiday

6. I receive travel documents &

tickets

7. I anticipate departure

8. I prepare my trip

9. I travel to my destination

10.I discover my destination

11.I experience my destination

12.I record my memories

13.I share my experience

14.I travel back home

15.I share my memories

Customer Relationship Management

Your Logo

Get Quote

Your Text Goes here.

D o w n l o a d t h i s

aweso me dia gra m.

Bring your presentation

t o l i f e .

Prospect• Advanced

• Forecasting

Quality• Product Catalog

• Service Catalog

Quote• Integrated

Quotes/Proposals

• Document Management

• Document Publishing

Suspect• Mass Email

• Website Hosting

• Search Engine

Optimization

Lead• Lead

Dashboard

• Intranet Sales &

• Marketing Tools

Meet• Group Calendaring

• Resource Availability

Order• Integrated Order

Mgmt.

• Bookings Dashboard

• Incentive

Management

Service Delivery• Customer Portal

• Project Tracking

• Time & Expense

Repurchase

• Upsell/ Cross-sell

End of the training

branding management

Business

retail experience

remarkableapple retail

yearapple retail

computer retail hire

marketing management

brand stories

disciplines of brand

charismatic brand