Brand and Branding

Brand• Brand : A name, word, mark,symbol,device or a combination

thereof, used to identify some product or service of one seller and to differentiate them from those of competitors

• Brand Name : The part of brand consisting of a word, letter or group of words or letters that can be vocalized.• Brand Mark : The part of brand consisting a mark, design,

distinctive logotype , colouring scheme of picture used for purpose of identification.• Brand Identity : It is unique set of brand associations the

company aspires. It establishes a relationship between the brand and the customer by generating a value proposition involving functional, emotional and self expressive benefits.• Brand Image : Customer perception about the brand is

called brand image.• Brand Equity : is a set of brand assets and liabilities linked to

a brand.

Branding Strategy

• Leveraging the power of the brand name to cover the market more effectively• Brand associations

• Why do we do it?• Phenomenally expensive to create and promote a new brand name.• Too many brands out there• Increase productivity of current marketing programs

Sub-branding

• Creating new brands which are part of the parent brand family – expressed as suffixes of the parent brand.

• e.g. Apple I-Pod, I-Pod Mini, I-Pod Shuffle and now the I-Pod Nano

• Sony , Sony Pictures , Sony Vaio , Sony Walkman, Sony Music , Sony Bravia

Umbrella branding

• When you have many sub-brands, each linked to a common brand, then the common brand is known as the umbrella brand• E.g. Sunfeast - Cookies ,Biscuits ,Cream, Pasta ,Noodles• Tata Sumo,Tata Safari ,Tata Winger ,Tata Indigo , Tata Nano

Flanker Brand• Different brand name – same product• Purpose: Pre-empt competition, cover the market more completely

(protect your flanks)• E.g. Sprite , Limca, Coke, Mazza and Fanta

Brand Extension

• Same brand name, new product line e.g. Reebok shoes and Reebok water. Nike shoes and Nike casuals. • The concept of congruence determines the success of a brand

extension strategy. E.g. Johnson’s baby powder and Johnson’s baby oil – high congruence.

Line Extension

• Same brand name, different product in the same product line. • E.g. IBM PCs and IBM laptops , Dell

• Line extensions are safer strategies than brand extensions since congruence is always higher.

• Ingredient branding: Branding an ingredient of the main brand, which is often manufactured by a different company.

• E.g. Intel Inside is an ingredient brand on IBM, Dell, Compaq, etc.

• Complementary Branding OR Co-branding – when two or more mutually reinforcing brands get together to jointly promote themselves (one is not an ingredient of another).

Product-Market Matrix

NEW

OLD

OLD NEW

Product

Market

DiversificationBrand extension

Product DevelopmentCo-branding

Ingredient branding

Market DevelopmentBrand extensionLine extension

Market PenetrationSub-branding

Flanker brandsCo-branding

Product Line-Brand Matrix

BrandName

ProductLine

EXISTING

EXISTING

NEW

NEW

LineExtension

FlankerBrand

Brand Extension

Diversification