Brand management requires a long-term view of marketing decisions as– Any action of its marketing program has the

potential to change consumer knowledge about the brand

– Consumer brand knowledge from current (or change in the current) marketing activity has an indirect effect on the success of future marketing activities

MANAGING BRANDS OVER TIME

STEPS FOR MANAGING BRANDS

OVER TIME1. Reinforcing brands

2. Revitalizing brands

3. Adjusting brand portfolio

Reinforcing

Brands

• Brand equity is reinforced by marketing actions that consistently convey the MEANING of the brand to consumers in terms of BRAND AWARENESS and BRAND IMAGE.

• Reinforced marketing actions, along with product development, branding strategies etc. also help in keeping the brand meaning in terms of products, benefits and needs as well as in terms of product differentiation intact.

Reinforcing Brands

ReinforcingBrands

MaintainingBrand Consistency

Protecting Sources of Brand Equity

Maintain brand consistency

the amount and nature of support necessary to maintain strength and favorability of brand associations. – Invest in R&D (to avoid

obsolescence)– Marketing and communication

programs (to not be out-of-date, irrelevant, forgotten)

– Adequate budgets to do the above

Maintain brand consistency

Market Leader & Failures Maintaining customers loyalty through associations Adequate marketing support to level with market

expectancy Clever pricing strategy

Market leader’s complacency and greed results in lostLoyalty because of : marketing support shrinking unrealistic price hikes

VS

SINCE 199240% market share

SINCE 197025% market share

Campina Loss of market share caused by drop in ad and marketing support. while Walls continuously

innovate products & marketing support (30 billion /year to promote product)

Maintain brand consistency

Consistency & ChangeConsistency - Maintain desired knowledge structure Change - Tactical shifts needed to maintain strategic thrust and direction Price can move up or downProduct features can be added and droppedAd campaigns can have different – creative slogansExtensions can be introduced or withdrawn

No need to deviate from a positioning unless there is a change in consumers, competition, or company, that makes it less powerful.

Many brands have kept a key creative element in their marketing communication programs over the years and, as a result, have effectively created some “advertising equity”

Yamaha make changes to advertising slogans. previous slogan was “one heart", then changed to “semakin di depan“ and “yang lain makin ketinggalan” because they want to show yamaha innovation (aspect acceleration).

Protecting Sources of Brand Equity

Key sources of brand value should be enduring, and guarded and nurtured

Value of sources get eroded -• when the brand is expanding to include new

associations (product and non-product related) • Over time there is change

No need to deviate from a positioning unless there is a change in consumers, competition, or company, that makes it less powerful.

VSThere is similarity brand name between ExtraJOSS and EnerJOS that harm Extrajoss

Revitalizing

Brands

Revitalizing Brands

• Reversing a brand’s fortunes involves –Revitalization and Reinvention

– Recapturing lost sources of brand equity

– Identifying and establishing new sources of brand equity

Revitalization efforts – is possible for brands that have clear, relevant values that have been left dormant for a long time

• Revitalization strategy - tap into existing sources of brand equity– product strategy– pricing strategy– channel strategy– communication strategy

Revitalizing Brands

RevitalizingBrands

Expanding Brand Awareness

Improving Brand Image

Expanding Brand Awareness

• Expand Breadth – Increased Usage– Quantity (how much consumers use the brand)• Difficult to change• Function of particular beliefs• Exception – Impulse Consumption (availability)

– Frequency (how often consumers use the brands?• New opportunities• New Ways

Improving Brand Image

• Changes in Brand Awareness not sufficient

• A new Marketing Program• Old positive associations to

bolstered• New positive associations to

be created• Negative associations to be

neutralized

Repositioning

Changing Brand Elements

– Establishing more compelling points of difference– Remind consumers of virtues of brands that have been

taken for granted– Nostalgia and heritage– Establish a point of parity on key image dimension– Negative product-related associations due to changes in

consumer tastes

Repositioning

Fatigon were originally positioned as a multivitamin, but did not succeed because it was quite a lot of

multivitamins on the market. Then it became successful after repositioning as a busting

tired multivitamin . So differentiation Fatigon well received by consumers.

– Modification of Brand name– Other Brand Elements – Packaging, logos etc.– Moderate and evolutionary in nature– Preserve salient aspects of Brand elements

mcdonald's Indonesia change its one of brand one elements , that is slogan. Previously, slogan was "Mana Lagi selain di McD” . but in 2003, the slogan was changed to “I’m Lovin’ it”

Changing Brand Elements

Adjusting

BrandsPortfol

io

Adjustments to the Brand Portfolio

Migration Strategy

Retiring Brands

Brand Migration Strategy is designed and implemented to accommodate changes in brands and consumers (particularly important in rapidly changing technology product brands)

– Migrating customers within the portfolio -• To switch as needs and desires change - Brands

should be organized logically in the mind – Alpha numeric system for cars for consumers to

trade up

Brand Migration Strategy

Retiring brands - Obsoleting existing products

Decision to Retire a brand depends on a number of factors (existing and latent equity of a brand)• If BE is damaged• If BE has dried up

beyond repair

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