BRAND MANAGEMENT UNIT I

syllabus Basics Understanding of Brands Definitions Branding Concepts Functions of Brand Significance of Brands Different Types of Brands Co branding Store brands.

What is a brand? According to AMA - A brand is a name, term, sign, symbol, design or a combination of the above to identify the goods or service of a seller and differentiate it from the rest of the competitors

CHARACTERISTICS OF A SUCCESFUL BRAND Superior product quality: bose speakers Additional services: maruthi –never far away Differentiation: anti dandruff Pioneers: walkman Long term communication strategy :sensodyne

Brand concept ATTRIBUTES BENEFITS PERSONALITY CULTURE VALUES USER

Brand communicates Attributes:Brand attributes are a bundle of features that highlight the physical and personality aspects of the brand. Benefits: volvo : safety Values: producer’s values Culture: The Mercedes represents German culture: organized, efficient, high quality. pizza Personality: Ex: Allen Solley brand speaks the personality and makes the individual who wears it stand apart from the crowd. Infosys represents uniqueness, value, and intellectualism. Channel -elegance User: Hilfiger Denim, a premium-upscale denim collection for men and women.denim

Elements of the Brand Theme and tagline Name and colors College Logo Department/Program Logos Typefaces/Fonts Language Photography/Imagery

Features of a Good Brand Name It should be unique / distinctive (for instance- Kodak, Mustang) It should be extendable. It should be easy to pronounce, identified and memorized. (For instance-Tide) It should give an idea about product’s qualities and benefits (For instance- Swift, Quickfix, Lipguard). It should be easily convertible into foreign languages. It should be capable of legal protection and registration. It should suggest product/service category (For instance Newsweek). It should indicate concrete qualities (For instance Firebird). It should not portray bad/wrong meanings in other categories. (For instance NOVA is a poor name for a car to be sold in Spanish country, because in Spanish it means “doesn’t go”).

Why brand? To differentiate the product To aid advertising To build loyalty To facilitate recall To communicate value of the product To target segment To aid recognition To protect the product To promote the product To convey the image of the product

Benefits of branding Differentiation- distinguish from rivals Vehicle for communication and promotion Aid’s recognition Goodwill value Builds strong image Repels competition Legal protection Further segmentation

Brand Benefits Functional - intrinsic advantage (Head & Shoulders eliminates my dandruff) Symbolic - extrinsic advantage - (H&S makes me beautiful) Badge brands fulfill needs for self esteem Experiential - usage imagery (H&S tingles when I lather it onto my scalp)

Brand functions Kapferer addressed several brand functions which justify the attractiveness and value of the brand from a customer perspective (Kapferer, 2007:22-23): 1. Identification Primarily a mechanical function to make sure that the brand is clearly seen and recognized. Identification concerns the essence of the brand and facilitates the purchaser in his/her decision process and consideration set; swift choice and gain time. 2. Practicality Primarily a mechanical function to make sure that the brand is practical and recognized. Practicality concerns the essence of the brand and facilitates the purchaser in his/her purchase process for rebuy and straight rebuy; swift choice and gain time. 3. Guarantee The base brand guarantee function is to reduce the perceived risk irrespective of the place and time of purchase and consumption. 4. Optimization The base brand optimization function is to reduce the perceived risk by offering the best product against the lowest total cost of ownership, the best solution in its category. Kapferer addressed several brand functions which justify the attractiveness and value of the brand from a customer perspective (Kapferer, 2007:22-23): 1. Identification Primarily a mechanical function to make sure that the brand is clearly seen and recognized. Identification concerns the essence of the brand and facilitates the purchaser in his/her decision process and consideration set; swift choice and gain time. 2. Practicality Primarily a mechanical function to make sure that the brand is practical and recognized. Practicality concerns the essence of the brand and facilitates the purchaser in his/her purchase process for rebuy and straight rebuy; swift choice and gain time. 3. Guarantee The base brand guarantee function is to reduce the perceived risk irrespective of the place and time of purchase and consumption. 4. Optimization The base brand optimization function is to reduce the perceived risk by offering the best product against the lowest total cost of ownership, the best solution in its category. BRAND FUNCTIONS

5. Badge The base brand badge function is to reduce the perceived risk by confirmation of self image and/or brand image. 6. Continuity Continuity is an emotional satisfaction function created by brand intimacy over a long period of time due to loyalty. 7. Hedonistic Hedonistic is an emotional satisfaction function; pleasure created by brand attractiveness, its logo, its communication and experiential remuneration. 8. Ethical Ethical is an emotional satisfaction function towards the brand responsibility related to its stakeholders and environment. 5. Badge The base brand badge function is to reduce the perceived risk by confirmation of self image and/or brand image. 6. Continuity Continuity is an emotional satisfaction function created by brand intimacy over a long period of time due to loyalty. 7. Hedonistic Hedonistic is an emotional satisfaction function; pleasure created by brand attractiveness, its logo, its communication and experiential remuneration. 8. Ethical Ethical is an emotional satisfaction function towards the brand responsibility related to its stakeholders and environment.

BRAND COMPONENTS Brand identity is how brand strategists want the brand to be perceived. It is a set of unique brand associations that represent what the brand stands for. These associations imply a promise to customers from organization members. Brand image is a key component in the formation of a clear and recognizable brand identity in the market. Brand image is related to how the brand is currently perceived by consumers. In other words what is the reputation of the brand in the marketplace. Brand character is related to its internal constitution, how it is perceived in terms of integrity trustworthiness and honesty. This is also related with the promise of the brand to deliver the experience associated with its name. BRAND COMPONENTS Brand identity is how brand strategists want the brand to be perceived. It is a set of unique brand associations that represent what the brand stands for. These associations imply a promise to customers from organization members. Brand image is a key component in the formation of a clear and recognizable brand identity in the market. Brand image is related to how the brand is currently perceived by consumers. In other words what is the reputation of the brand in the marketplace. Brand character is related to its internal constitution, how it is perceived in terms of integrity trustworthiness and honesty. This is also related with the promise of the brand to deliver the experience associated with its name.

Brand culture is about the system of values that surround a brand much like the cultural aspects of a people or a country. Brand personality is the set of human characteristics that are associated with the brand. It includes such characteristics as gender, age, socioeconomic class, as well as human personality traits such as warmth and sentimentality. Brand essence (brand soul) represents the emotional elements and values of the brand. Essence should be part of a long term positioning that does not change with every communication Brand culture is about the system of values that surround a brand much like the cultural aspects of a people or a country. Brand personality is the set of human characteristics that are associated with the brand. It includes such characteristics as gender, age, socioeconomic class, as well as human personality traits such as warmth and sentimentality. Brand essence (brand soul) represents the emotional elements and values of the brand. Essence should be part of a long term positioning that does not change with every communication

TYPES OF BRAND INIDIVIDUAL BRAND FAMILY BRAND MANUFACTURERS BRAND COMPANY NAME BRAND GENERIC BRAND SUB BRANDS