MANAGING BRANDS OVER TIME

BY GROUP NO. 4 Devang Bhavsar Bhavik Tahiliani Abhishek Krishna

SUBMITTED TO PROF. PREM DEWANI

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Flow Of Presentation :
 Dfinition of Brand  Brand Equity  Brand Reinforcement  Brand Concept Management  Brand Knowledge  Brand Portfolio

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BRAND :
A name, term, sign, symbol, and

design used to identify the products of one firm and to differentiate them from competitive offerings.
Something used to show customers

that one product is different than the products of another manufacturer.

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Words, letters, or symbols that make up a name used to identify and distinguish the firms offerings from those of its competitors.
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CONCEPT OF BRAND EQUITY

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BRAND EQUITY
The differential effect that brand knowledge has on consumer response to the marketing of that brand Concept Improves perception of product performance Makes company less vulnerable to competitive or environmental shocks Larger margins Increase marketing communication effectiveness Greater trade cooperation and support

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Long-Term Effects of Marketing Actions on Brand Equity

Consumer response to past marketing activity Brand knowledge Consumer response to current marketing activity Changed brand knowledge Consumer response to Future Marketing Activity
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BRAND REINFORCEMENT

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Brand Reinforcement
Reinforce brand equity by marketing actions that consistently convey the meaning of the brand to consumers in terms of brand awareness and brand image.

And for that Marketers should consider following two questions

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 What products does the brand represent, what benefits does it supply, and what needs does it satisfy? Example :- Nutri-Grain has expanded from cereals into granola bars and other products, cementing its reputation as makers of healthy breakfast and snack foods.  How does the brand make those product superior? What strong, favourable and unique brand associations exist in the mind of consumers? Example :- Through product development and the successful introduction of brand extensions, Bajaj Auto, Ford motors, Yamaha, etc..are now seen as offering innovative designs in its products.
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Maintaining Brand Consistency

The most important consideration in reinforcing brands is the consistency of nature and amount of marketing support the brand receives. Brand consistency is critical to maintaining the strength & favourability of brand associations.

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Market Leaders & Failures

Inadequate marketing support is an especially dangerous strategy when combined with price increases. Market Failures Example :- Delta faucet (device that controls the flow of liquid or gas from a pipe or container) Which is the first company to advertise faucet on television in 1970s. And it has more than 30% market share in 1980s. And however 1990s two major factors contributed to decline in market share.
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 First, Delta had Built a strong business model based on the loyalty of professional plumbers, the advent of hardware superstores and internet shopping empowered consumers to make their own choices and repaires. Second, Deltas support for its brand through innovation and advertising diminished during this time. And this combined factors Moen the rival of Delta to gain market share and by 2005 each company held 25% of the U.S. faucet market. After that Delta raising its advertising Budget by 60% and lots of R&D and conducting interviews of consumers to gain market share.
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Market Leaders
 If company is consistent to their branding & marketing strategy than We can easily identify from cursory examination of the brands that some big company maintained market leadership for the last 50 or 100 years without changing their strategies once they achieved a preemeinent market leadership position.

Example :- Coca- Cola, Hershey, Budweiser, etc

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Brand Concept Management (BCM)

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Brand Concept Management (BCM)

Brand Concept Management (BCM) for selecting, implementing and controlling brand image over time to enhance market performance. The framework consists of a sequential process of selecting, introducing, elaborating and fortifying a brand concept.

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Stages Of BCM
The brand concept guides positioning strategies, and hence the brand image, at each of these stages. Three types of brand concepts are developed based on consumer needs namely,
 Functional Needs  Symbolic Needs  Experiential Needs.

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 Functional Needs:- (physiological and safety needs)

A brand with a functional concept is defined as one designed to solve externally generated consumption needs or in other words a product that fulfills immediate consumption needs should be driven by a functional concept.

Symbolic Needs:A brand with a symbolic concept is one designed to associate the individual with a desired group, role or self-image. This is ideal for products that fulfill internally generated needs like self-enhancement or ego identification.
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 Experiential Needs:A brand with an experiential concept is designed to fulfill internally generated needs for stimulation or variety. Products that fulfill experiential needs and provide sensory pleasure, variety or cognitive stimulation should be driven by an experiential concept. Conclusion:The BCM model ensures a continuity of interaction with the brand and an increasing array of choices as it goes from the introduction to the elaboration and fortification stage. The three different concepts provide clarity to the brand and the successive stages help increase consumer loyalty and involvement with the brand. Staying true to a single concept can help a brand build a consistentant unambiguous long-term relationship with the consumers. Page 20

BRAND KNOWLEDGE

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Brand Knowledge

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Brand Awareness : In general, means the extent to which a brand related with a particular product is recognized by positively or negatively. It Create brand awareness is the primary goal of advertising at the beginning of any product's life cycle it target markets. In fact, brand awareness has influence on buying behavior of a buyer. Brand awareness can be measured by showing a consumer the brand and asking whether or not they knew of it beforehand. However, in common market research observation Brand Recall : Is the extent to which a brand name is recalled as a part of a brand, product or service class, as different from brand recognition. Brand Recognition: Brand Recognition is the level to which a brand is recognized for stated brand attributes Page 23 or communications.

Brand Image : Brand image is defined as awareness about a brand as reflect by the brand relation help the consumer memory. Brand image are the other informational nodes linked to the brand node in memory and contain the meaning of the brand for consumers. The favorability, strength, and uniqueness of brand associations are the dimensions distinguishing brand image Types of brand associations Favorability of brand associations Strength of brand associations Unique of brand associations
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Types of brand associations:There are three types. 1. Attributes 2. Benefits 3. Attitudes

 Attributes

Descriptive features that distinguish product or service what a consumer thinks about product or service or what is involved with its purchase or consumption.

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There are two types of Attributes:  Product-related Performance Association:This is primary attributes or benefits, innovation in product design, manufacturing, and merchandising is especially critical to maintaining brand equity. Example:- Hp laptop  Non-Product- Related Imagery Association:
   

Price Packaging usage imagery, use imagery

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 Benefits:Benefits are the personal value of consumers attach to the product or service what consumers think the product or service Benefits can be further distinguished into three categories
 Functional:-A.C, Washing machine  Experiential:- Caf Coffee Day  Symbolic:- Film star Ranbir Kapoor

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Strength Of Brand Association

There are two factors that strengthen association to any piece of information are its personal relevance and the consistency with which it is presented over time. The particular association we recall and their salience will depend not only on the strength of the association, but also on the retrieval cues present and the context in which we consider the brand.

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Favourability Of Brand Association

Marketers create favourable brand association by convincing consumers that the brand possesses relevant attributes and benefits that satisfy their needs and wants, such that they form positive overall brand judgments. So in this association brand are desirable to consumers-convenient, reliable, effective, efficient, colorful- successfully delivered by the product, and conveyed by the supporting marketing program.

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Uniqueness Of Brand Association

The essence of brand positioning is that the brand has sustainable competitive advantage or Unique Selling Proposition that gives consumers a compelling reason why they should buy it. Marketer make uniqueness by comparision with competitors product and also base by non and product related attributes.

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BRAND PORTFOLIO

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Brand Portfolio
Brand Portfolio is the set of all brands and brand lines that a particular firm offers for sale to buyers in a particular category. Managing brand equity and the brand portfolio requires taking a long-term view of the brand. As part of this long-term perspective, it is necessary that the role of different brands and introduction of new brands in the portfolio be carefully considered over time.

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Adjustments To The Brand Portfolio

Acquiring new customers Multiple marketing communication programme Brand extensions and sub- brands New distribution outlets Obsoleting existing products

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Acquiring new customers

All firms face tradeoffs in their marketing efforts between attracting new customers and retaining exist ones. For that company should try to building loyalty for brand. Example:- Dove soap, Pears soap

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Multiple marketing communication programme

This approach to attracting a new market segment and satisfying current ones is to create separate advertising campaigns and communication programs for each Example:- Beer companies have adopted this type of approaches.

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Brand Extensions and subBrands

This approach to attracting new customers to a brand and keeping the brand modern and upto-date is to introduce a line extension or establish a new sub-brand. These can incorporate new technology, features, and other attributes to satisfy the needs of new customers as well as satisfy the changing desires of existing customers.

Example:- Jeep introduced new SUV with a V8 Hemi engine that featured three rows of seating
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New Distribution Outlets

A new market segment may be as simple as making the product more available to the group. Example:- Sunglasses industry, Automobile industry

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Obsoleting existing products

How do you decide which brands to attempt to revitalize and which ones to obsolete? By market prospectus, Competitive intensity, brand strength and organizational capabilities. Example:- Bajaj auto , Yamaha Bikes etc.

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Conclusion
Managing brands in the long-term and some of these include: Understanding and fostering the role of employees as brand Champions, managing change and moving from brand awareness to brand knowledge, usage and loyalty, Brand portfolio, reinforcement etc.

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