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the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2010
Strategic Brand Management
Designing and implementing branding strategies
Dr. Klairoong Phairor
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Brand Architecture
Brand architecture is used to describe branding strategies.
It involves defining both brand boundaries and complexity.
Which products should share the same brand name? How many variations of that brand name should be
employed?
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Brand Architecture
The role of defining brand strategies is two-fold:
Clarify brand awareness: improve customer understanding and communicate similarities and differences between products.
Motivate brand image: maximise transfer of equity from the brand to products to improve trial and repeat purchase.
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Breadth of Branding Strategies
It concerns the number and nature of products linked to the brands sold by a company
Which products the firm should manufacture or sell?
How many product lines a company should carry?
How many variants should be offered in each product line?
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Depth of Branding Strategy
It concerns the number and nature of brands marketed in product class sold.
Why might a firm have several brands int he same product category?
The primary reason relates to market coverage.
Although multiple branding was pioneered by General Motors, Procter & Gamble is widely recognised as popularising the practice.
Hair care: e.g. head & shoulders, Herbal Essences, Pantene Pro-V and Wella.
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Depth of Branding Strategy
It concerns the number and nature of brands marketed in product class sold.
Why might a firm have several brands int he same product category?
The primary reason relates to market coverage.
Although multiple branding was pioneered by General Motors, Procter & Gamble is widely recognised as popularising the practice.
Hair care: e.g. head & shoulders, Herbal Essences, Pantene Pro-V and Wella.
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Brand Hierarchy
General Motors’ brand hierarchy in the USA
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Building Equity at Different Hierarchy Levels
Corporate brand level: Colgate-Palmolive
Family brand: Colgate
Individual brand: Colgate Total
Determinants of corporate image
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009Determinants of corporate image
Determinants of Corporate Image
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009Determinants of corporate image
Designing a Branding Strategy
There is no agreement on the type of strategy that should be adopted by all firms for all products.
LaForet and Saunders analysed the strategies of 20 brands sold by each of 20 of the biggest suppliers of product to Tesco and Sainsbury
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Designing a Branding Strategy
Branding Strategy Percentage of Occurrence
Corporate Dominant1. Corporate brands: corporate name or subsidiary name used 5
11
Mixed brands1. Dual brands: two or more names given equal prominence2. Endorsed brands: brand endorsed by corporate identity
38.513.5
Brand Dominant1. Mono brands: Single brand name used2. Furtive brands: Single brand name used and corporate
identity not disclosed
1913
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Miller Beer
Even within one firm, different branding strategies may be adopted for different products.
Beer: Miller High Life, Miller Lite and Miller Genuine Draft
No-alcohol beer: Sharp’s
Iced Beer: Icehouse
Low-priced beer: Milwaukee’s Best
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Guidelines for Brand Hierarchy Decision
• Decide on the number of level.• Simplicity• Clarity
• Decide on the levels of awareness and types of associations to be created at each level.• Relevance• Differentiation
• Decide on how and which products to be introduced.• Growth• Survival• Synergy
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Guidelines for Brand Hierarchy Decision
• Decide on how to link brands from different levels for a products• Relative prominence of brand elements affects
perceptions of product distance and the type of image created by the new brand
• Decide on how to link a brand across products.• Commonality: The more common elements are
shared by products, the stronger the linkages.
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Corporate Image Campaigns
Create associations with the corporate brand as a whole
Ignore or downplay products or sub-brands
Often criticised as an ego-stroking waste of time.
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Objectives of Corporate Image Campaigns
Building awareness of the company and the nature of its business
Building company trustworthiness and credibility
Creating corporate image associations that can be leveraged by product-specific marketing ‘Let’s make things better’ ‘ Sense and Simplicity’
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Using Cause Marketing to Build Brand Equity
In 1983, American Express launched a campaign to restore the Statue of Liberty.
Donating a small amount of money for every credit card transaction and each new card issued, Amex gave 1.6 million Euro to the restoration.
Transactions for Amex rose 30% and the issuance of new cards increased by 15%.
In the next 5 years, Amex supported more than 70 causes in 18 countries, ranging from preservation of the national bird of Norway to protection oft he Italian coastline.
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Using Cause Marketing to Build Brand Equity
Amex initiated ‘Charge against Hunger’ in 1993.
Bono and his Aids organisation project Red = Amex Red card.
Visa created a transaction-based donation scheme to support the 1988 Olympics.
MasterCard tied the use of its credit card to donations to six charities with its ‘Make a difference’ campaign.
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Green Marketing
Green marketing is a special case of cause marketing.
Concern for the environment is a trend that is reflected in the attitudes and behaviour of both consumers and companies.
From branding perspective, green marketing campaigns have not been entirely successful.
Despite reported public interest in environmental responsibility, many of these products and campaigns were unsuccessful.
What obstacles did the green marketing movement encounter?
the BUSINESS SCHOOLthe UNIVERSITY of GREENWICHStrategic Brand Management 2009
Green Marketing
Overexposure and lack of credibility So many companies made environmental claims
that the public became sceptical. E.g. Degradability of bin bags This backlash = Gimmicks
Consumer behaviour Products need to achieve points of parity on
quality and price and credible environmental claims for green marketing to work.
Poor implementation Possible solutions