CH 5 Branding.pdf
Transcript of CH 5 Branding.pdf
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 1/37
Chapter 5
Brands and Brand Management
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 2/37
What is a Brand
• Think about the following statement and see
what extent you agree or disagree with them:
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 3/37
What is a Brand
• Is it the personification of an organization, product orservice?
• Is it a source of a promise to the customer?
• is it a trust mark?• Is it a set of associations that enhance product or service?
• Is it the main source of emotional connection withcustomers?
•
Is it something that should drives the design of the “totalcustomer service”?
• Is it the single ideal or concept that is imbedded in themind of the customer?
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 4/37
What is a Brand
• According to American Marketing Association
(AMA): A brand is a name, sign, symbol or
design or a combination of them, intended to
identify the goods and services of one seller or
group of sellers and to differentiate them from
those of competitors.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 5/37
Brands VS Products
• What is a Product: a product is anything that can beoffered to a market for attention, acquisition, use orconsumption that might satisfy a need or want.
Levels of product:
1. The core benefit level
2. The generic product level
3. The expected product level
4. The augmented product level
5. The potential product level
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 6/37
Example (levels of products)
Air Conditioner1. Core Benefit: Cooling and Comfort.
2. Generic Product: Sufficient cooling capacity, an acceptable energyefficient rating etc.
3. Expected Product: Consumer report states that for a typical largeair conditioner it should have removable filters, power chord atleast 60 inches long and warranty etc.
4. Augmented Product: Optional features might include electric
touch pad, display for outdoor and indoor temperatures etc.
5. Potential product: This is up to the marketer and the technologyinnovation.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 7/37
Why do brands matter
•
What functions do brand perform that makethem so valuable to consumers and
marketers?
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 8/37
Importance of Brands to Consumers
• Identification of the source of the product
• Assignment of responsibility to product maker
•
Risk reducer• Search cost reducer
• Promise, bond, or pact with product maker
• Symbolic device• Signal of quality
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 9/37
Importance of Brands to Firms
• Identification to simplify handling or tracing
• Legally protecting unique features
•
Signal of quality level• Endowing products with unique associations
• Source of competitive advantage
• Source of financial returns
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 10/37
Can Anything Be Branded
• To brand a product consumers need to know “who” theproduct is (by giving it a name and other brand elements)as well as what product does.
•
Need to provide label to the product (here’s how you canidentify the product)
• Provide meaning for the brand to consumers (here’s whatthis particular product can do for you and why it is different
and special from other brand name products)
• Ultimately a brand is something that resides in the minds of consumers.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 11/37
Can Anything Be Branded
• The key to branding is that consumers
perceive differences among brands in a
product category.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 12/37
What is branded?
• Physical goods
• Services
•
Retailers and distributors• Online products and services
• People and organizations
• Sports, arts, and entertainment• Geographic locations
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 13/37
Top 10 Brands for 2011
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 14/37
Customer Based Brand Equity
•
CBBE is formally defined as the “differentialeffect that the brand knowledge has on
consumer responses to the marketing of that
brand”.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 15/37
Four Questions Customers ask of
Brands
1. Who are you? (brand identity)
2. What are you? (brand meaning)
3. What about you? What do I think or feel about you?(brand responses)
4. What about you and me? What kind of associationand how much of a connection would I like to havewith you? (brand relationships)
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 16/37
Customer-Based Brand Equity Pyramid
RESONANCE
SALIENCE
JUDGMENTS FEELINGS
PERFORMANCE IMAGERY
4. RELATIONSHIPS =
What about you and me?
3. RESPONSE =
What about you?
2. MEANING =
What are you?
1. IDENTITY =
Who are you?
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 17/37
Brand Salience
• Brand Salience relates to aspects of theawareness of the brand, for example, howoften and easily the brand is evoked under
various situations.
• To what extent brand has top of the mind
recall?
• How pervasive is the brand awareness?
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 18/37
Breadth and Depth of Awareness
• The depth of brand awareness concerns the
likelihood that the brand will come to mind
and the ease with which it does so.
• The breadth of brand awareness concerns the
range of purchase and usage situation in
which the brand comes to mind.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 19/37
Product Category Structure
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 20/37
Brand Performance
• Brand performance relates to the ways inwhich product or service attempts to meetcustomer’s more functional needs.
• Brand Performance Dimensions can serve as ameans by which the brand is differentiated.
• Five important dimensions or attributes thatunderlie brand performance are:
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 21/37
Brand Performance Dimensions
• Primary ingredients/characteristics andsupplementary features
• Product reliability, durability, andserviceability
• Service effectiveness, efficiency and empathy
• Style and design
• Price
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 22/37
Brand Imagery
• Brand imagery deals with the extrinsicproperties of the product or service.
• Brand imagery is how people think about thebrand abstractly, rather then what the brandactually does.
• Imagery is related to more intangible aspectsof the brand.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 23/37
Imagery Dimensions/Categories
• User profiles – Demographic and psychographic characteristics
– Actual or aspirational
•
Purchase and usage situations – Type of channel, specific stores, ease of purchase
– Time (day, week, month, year, etc.), location, and context of usage
• Personality and values – Sincerity, excitement, competence, sophistication, and ruggedness
• History, heritage, and experiences – Nostalgia
– Memories
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 24/37
Brand Judgment
•
Brand judgment focus customer personalopinions and evaluations with regard to the
brand.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 25/37
Brand Judgment Dimension
Brand Quality
• Value
• Satisfaction
Brand Credibility
• Expertise (Competent, innovative and market leader)
• Trustworthiness (dependable and keeping customerinterest in mind)
• Likeability (Fun, interesting and worth spending timewith)
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 26/37
Brand Judgment Dimension
Brand Consideration
• Brand consideration is more then mereawareness.
• Brand consideration depends on how appropriateand meaningful customer find the brand.
• Brand consideration largely depends on howbrand association is created.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 27/37
Brand Judgment Dimension
Brand Superiority
•
Superiority relates to the extent to whichcustomer view the brand as unique and better
then others. (Differentiation)
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 28/37
Feelings Dimensions
• Warmth : Consumer may feel sentimental,warmhearted or affectionate about the brand.
• Fun: Brand makes consumer feel amused, lighthearted,
playful and cheerful etc.
• Excitement: Brand make consumer feel energized orfeeling of something special.
• Security: Brand produces the feeling of safety, controland self-assurance.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 29/37
Feelings Dimensions
• Social Approval: Brand results in having
positive response from others.
• Self-respect: Brand makes consumer feel
better about themselves.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 30/37
Brand Resonance
• Brand resonance is the ultimate relationship
and level of identification the consumer has
with the brand.
• Resonance is the depth of psychological bond
the consumer has with the brand.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 31/37
Brand Resonance
Dimensions/CategoriesBehavioral Loyalty
• The first dimension of brand resonance is behavioral loyaltyin terms of repeat purchases
Attitudinal Attachment• Consumer should go beyond having positive attitude to
viewing the brand as something special.
• Example: Consumer may state that they “love” their brand,describe it as their “favorite possessions” view the brand as“little pleasures” that they look forward to.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 32/37
Brand Resonance
Dimensions/Categories
Sense of Community
• Brand community describes consumers as a partof certain community.
• Identification with a brand community mayreflect an important social phenomena.
• Consumer feel kinship or affiliation with otherpeople associated with the brand.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 33/37
Brand Resonance
Dimensions/Categories
Active Engagement
• Strongest affiliation of brand loyalty is when
consumer are willing to invest time, energy,
money and other resources.
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 34/37
Product Systems and Mixes
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 35/37
Product and Service Decisions
Product line is a group of products that are closely
related because they function in a similar manner,
are sold to the same customer groups, aremarketed through the same types of outlets, or fall
within given price ranges
Product Line Decisions
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 36/37
Product and Service Decisions
Product line length is the number of items in the
product line
• Line stretching (Stretching the line upward ordownward)
• Line filling (adding more items to the line)
Product Line Decisions
8/17/2019 CH 5 Branding.pdf
http://slidepdf.com/reader/full/ch-5-brandingpdf 37/37
Product and Service Decisions
Product mix consists of all the products and items that aparticular seller offers for sale.
• Width (Number of different product line/categories
that company carries)• Length (Total number of items company carries in
the product line)
• Depth (Total number of versions offer of each
product in the line)
• Consistency (How closely related the product various
product line are)
Product Mix Decisions