UCE Business School

Markoms B 2002-3

presentation #B304

Branding Background

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Learning Outcomes By the end of the session, students will

be able to list 5 benefits of branding describe why branding works better than

non-branding list 5 examples of how different brands

communicate different dimensions describe with examples how the perception

of a corporate brand varies dependent upon the stakeholder — product brand,employer brand etc.

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Part 1

GeneralRevision

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Stakeholder Communications

identify stakeholders

identify needs and satisfaction

identify current communication methods

prioritise and set objectives

build a consistent message

implement

control and evaluate

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Identification of Stakeholders

External Stakeholders shareholders and Financial Stakeholders customers distribution channels pressure groups media

Internal Stakeholders staff management

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Stakeholder Satisfactionand Attitudes

If a stakeholder's needs are being met, they will be satisfied and have a positive attitude

If a stakeholder’s needs are not being

met, they will be unhappy and have a negative attitude

NB: Communication Needs only

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Part 2 Branding Overview

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Meeting the Customer’sNeeds and Wants

her requirements£50

the customer

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our offer? physical attributes? price? psychological attributes? channel

competitor offer? physical attributes? price? psychological attributes?? channel

The Offer: the Customer’s Perspective on Buying

£30

£70

£60

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What the Customer Perceives: The Brand

The totality of what the consumer takes into consideration before making a

purchase decision(Picton & Broderick 2001)

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Perceiving More Than Just the Product …

Levi’s Jeans

Product

Brand

Five pocket western heavyweight denim jeans

The original and definitive jeans. The embodiment of jeans values (freedom,

individuality, rebellion, sex,masculinity, originality and youth).

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Basic Definition

A Brand is defines as a name, logo or symbol that distinguishes a product from other products or commodities,

and which is protectable in lawthrough intellectual property rights

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Brand = Brand Image

• Brand Image is defined as

“the perception of the brand held by the market”

• NB– brands do not exist in isolation– the perception depends on the audience

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Exercise #1

How do you view the following ‘brands’ as a customer and as a prospective employee? Virgin Rail or Central Trains UCE Unilever

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Dimensions of Brand Perceptions

Brand dimensions comprise connative (physical functionality)

(size, colour, etc. of Dyson) cognitive (logical)

(cyclone vortex) affective (emotional)

(trustworthiness of the Dyson brand)

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What We Perceive

Basic Brand

Augmented Brand

CoreBenefit

Brand Potential

Much Markoms communicates information on attributes and benefits. This creates awareness and reinforces/change attitudes

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Part 3 Branding Strategy

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The Company Perspectiveof The Brand

The totality of what the consumer takes into consideration before making a

purchase decision(Picton & Broderick 2001)

The totality of what a distribution channel takes into account when considering stocking our brand

The totality of what a potential shareholder takes into account before investing in a company

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Benefits of Brandingto the Company

Benefits include asset value

(brand financial value, brand equity) higher profit margins protectable competitive advantage resilience in a recession facilitates experiential, vicarious and

cognitive learning

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Benefits of Brandingto the Customer

Benefits include reduces the “misery of choice” facilitates routine buying

(key part of packaging) useful when cognitive buying

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Brand Strategy

• Brand Strategy is defined as

“to differentiate products and companies and to build economic value for both the consumer and owner”

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Branding Strategy Options

Branding Strategy Options include Corporate Branding Sony Family Branding Kelloggs Rice

Krispies Product Line Branding Gillette, Heinz Individual Branding Unilever, P&G Own Label Tesco

aka Private Label Component Branding Intel

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Successful Brands

Have superior physical attributes/benefits

Have superior psychological attributes/benefits

Are perceived as different from the competition

Have frequent and positive media coverage

Match the perceptual Field of the Target Audience(s)

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Our Aims: Brand Equity andBrand Financial Value

• Brand Equity is defined as

“the value of the brand’s name, symbols, associations and reputations to all target audiences who interact with it”

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Our Aims: Brand Equity andBrand Financial Value

• Brand Financial Value is defined as

“the financial expression of brand equity”

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Building Brand Imageand Brand Values

Brand Identity

Brand Personality

Brand Image

Brand Values

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Brand Personality

• Brand Personality is defined as

“the fundamental essence of the brand”

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Brand Identity

• Brand Identity is defined as

“the message cues used to convey the brand personality to create the brand image”

• Marketing and Markoms can thus be thought of as the process of building Brand Identity

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What We Want to Create:Brand Values

• Brand Values are defined as

“the meaning or meanings that brand generates in the minds of its target audiences”

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Part 4 Communicating The

Brand

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Message Cues

Anything and everything communicates through Intended and Unintended Message Cues intended corporate ID, adverts unintended fat cat salaries

Must have integrated communications strategy integrated message

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‘On Brand’

It is vital for all communications to be consistent and communicate ‘shared meaning’ to each stakeholder group

The message should be consistent across as many stakeholders as possible

i.e. all messages must be ‘On Brand’

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Successful brands communicate consistent messages based on Core Message Themes which communicate to all stakeholders to all customers in a particular geographic

region (regiocentric) or on a global basis (global or geocentric

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Elements of a Good Message “Good” messages

are consistent have impact and gain attention demonstrate how the brand is different remind or persuade are of practical value and relevant to the

perceiver use the same imagery and vocabulary as

that used by the perceiver (match their perceptual field)

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positioningstrategy

creativestrategy

Markoms Branding Process

Message Themesquality, valuehelpfulness

exciting, cooletc.

appeals &executions

interpretationlanguage, visuals andsounds to enter intothe perceptual field

of the target audience

etc.

brand personalityapproach

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How Does a Brand Communicate?

Corporate Identity logo, colours, fonts, signage etc.

Communications letters, web pages, adverts

Behaviour sales staff, customer service staff etc. the product, the directors etc. (unintended

and usually no control by marketing communications department)

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Remember …

Different stakeholders have different perceptions of a brand making different interpretations (meanings) of an action

For example, 500 redundancies … … is perceived as bad news by employees

and the local community … is perceived as good news by

shareholders and city analysts

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The Different ‘Brands’

CorporateBrand

ProductBrand

InvestorBrand

ChannelBrand

EmployerBrand

Internal CommunicationsStrategy

Pull Strategy

Push Strategy

Profile Strategy

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Some Final Thoughts

Many people, especially young people are switching away from high visibility status brands (Melanie Klein No Logo)

2003 fashions will have much smaller and more discreet brand labels

Love them or hate them, brands have been around for over 2000 years and are here to stay

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Learning Outcomes By the end of the session, students will

be able to list 5 benefits of branding describe why branding works better than

non-branding list 5 examples of how different brands

communicate different dimensions describe with examples how the perception

of a corporate brand varies dependent upon the stakeholder — product brand,employer brand etc.