Copyright © 2003 by Marketspace LLC Mohammed, Fisher, Jaworski, Paddison Internet Marketing, 2 nd Ed Chapter 12 Lecture Slides Branding Exhibits and Tables

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Branding — Today’s Objectives  Objectives will be to: Understand what a brand is and how the 2is affect branding Understand what brand equity is and how it is measured Discuss how marketing programs build brand equity Examine the seven-step branding process Review two case studies in online branding Discuss the effects of brand on the four customer relationship stages

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Defining Brand and Examining How the 2is Affect Branding What Is Brand Equity, and How Is It Measured? How Marketing Programs Build Brand Equity The Seven-Step Branding Process Two Case Studies in Online Branding Effects of Brand on the Four Customer Relationship Stages EBay Case Study Conclusion Chapter 12: Branding

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Chapter 12: Branding Defining Brand and Examining How the 2is Affect Branding What Is Brand Equity, and How Is It Measured? How Marketing Programs Build Brand Equity The Seven-Step Branding Process Two Case Studies in Online Branding Effects of Brand on the Four Customer Relationship Stages EBay Case Study Conclusion

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Exhibit 12–1: Examples of Internet Brands

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Exhibit 12–2: Types of Online Branding Efforts Established as Traditional BrandEstablished as Online Brand

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Individualization Interactivity Branding Interactivity creates value because the brand is tailored to the individual. Customers gain a sense of control with respect to the nature and timing of their interactions with the brand. There is a danger that the brand will stray from its core personality. Responsiveness becomes a key brand attribute as customers recognize that their concerns are heard across multiple channels. The frequency of interaction is increased, leading to the need to freshen content and target messages to specific usage occasions. Customers expect the brand to evolve in response to their needs and desires. Exhibit 12–3: The 2Is and Branding

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Supporting Slide 12–A: Point-Counterpoint: Should Offline Firms Create New Online Brands? Point-Counterpoint

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Chapter 12: Branding Defining Brand and Examining How the 2is Affect Branding What Is Brand Equity, and How Is It Measured? How Marketing Programs Build Brand Equity The Seven-Step Branding Process Two Case Studies in Online Branding Effects of Brand on the Four Customer Relationship Stages EBay Case Study Conclusion

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Product, Price, Communication, Community, and Distribution Programs Wrap-Arounds Exhibit 12–4: A Simple Conceptual Model of Brand Equity Core Product / Service Source: Keller (1996), Aaker (1996), Strategic Market Research Group, Marketspace Analysis... provides positive consumer responses... A good brand... Customer Benefits Confidence Loyalty Satisfaction Customer Benefits Confidence Loyalty Satisfaction Firm Benefits Reduced marketing costs Increased margins Opportunity for brand extensions Firm Benefits Reduced marketing costs Increased margins Opportunity for brand extensions... and benefits both target customers and the firm Brand Awareness Depth Breadth Brand Awareness Depth Breadth Brand Associations Strength –Relevant –Consistent Valence Uniqueness –Memorable –Distinctive Brand Associations Strength –Relevant –Consistent Valence Uniqueness –Memorable –Distinctive

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Supporting Slide 12–B: Point-Counterpoint: Do Strong Online Brands Matter? Point-Counterpoint

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Fogdog Brand Perceptions Product, Price, Communication, Community, and Distribution Programs Wrap-Arounds Core Product / Service Emphasize prices and selection benefits Selective distribution Competitive pricing Exhibit 12–5: A Model of Fogdog Branding Gift shopping service Myfogdog discounts and benefits “How to buy” help Discussion groups by sport Fogdog fetch helps you find the right product Low prices Selection breadth and depth

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Source: 12 June 2002http:// Exhibit 12–6: Top 10 Internet Brands at Home and Work (May 20-May 26, 2002)

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Chapter 12: Branding Defining Brand and Examining How the 2is Affect Branding What Is Brand Equity, and How Is It Measured? How Marketing Programs Build Brand Equity The Seven-Step Branding Process Two Case Studies in Online Branding Effects of Brand on the Four Customer Relationship Stages EBay Case Study Conclusion

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Brand Equity Exhibit 12–7: Marketing Programs to Build Brand Equity Product Pricing Promotional Program Promotional Program Distribution

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Chapter 12: Branding Defining Brand and Examining How the 2is Affect Branding What Is Brand Equity, and How Is It Measured? How Marketing Programs Build Brand Equity The Seven-Step Branding Process Two Case Studies in Online Branding Effects of Brand on the Four Customer Relationship Stages EBay Case Study Conclusion

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Exhibit 12–8: Seven-Step Branding Process Step 1 Clearly Define the Target Audience Understand Target Consumers Understand the Competition Design Compelling Brand Intent Identify Key Leverage Points in Customer Experience Execute the Branding Strategy Establish Feedback Systems Step 3 Step 2 Step 4 Step 5 Step 6 Step 7

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Exhibit 12–9: Similarities and Differences in Offline Vs. Online Branding

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Chapter 12: Branding Defining Brand and Examining How the 2is Affect Branding What Is Brand Equity, and How Is It Measured? How Marketing Programs Build Brand Equity The Seven-Step Branding Process Two Case Studies in Online Branding Effects of Brand on the Four Customer Relationship Stages EBay Case Study Conclusion

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Exhibit 12–10: Citibank Online

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Online Branding Best-in-ClassComparison Citibank OnlineChase CVc = very low= low= moderate= high= very high Exhibit 12–11: Assessment of Key Branding Elements

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Online Branding Best-in-ClassComparison Citibank OnlineChase CVc = very low= low= moderate= high= very high Exhibit 12–12: Assessment of Key Brand Attributes

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Exhibit 12–13: CBS MarketWatch.com

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Online Branding Best-in-ClassComparison CBS MarketWatch.comBloomberg.com Exhibit 12–14: Assessment of Key Branding Elements CVc = very low= low= moderate= high= very high

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Online Branding Best-in-ClassComparison CBS MarketWatch.comBloomberg.com CVc = very low= low= moderate= high= very high Exhibit 12–15: Assessment of Key Brand Attributes

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Chapter 12: Branding Defining Brand and Examining How the 2is Affect Branding What Is Brand Equity, and How Is It Measured? How Marketing Programs Build Brand Equity The Seven-Step Branding Process Two Case Studies in Online Branding Effects of Brand on the Four Customer Relationship Stages EBay Case Study Conclusion

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Exhibit 12–16: Brand as a Moderating Variable Marketing Levers Relationship Stages For advertising, brand can enhance awareness Brand Enhances or Detracts

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Chapter 12: Branding Defining Brand and Examining How the 2is Affect Branding What Is Brand Equity, and How Is It Measured? How Marketing Programs Build Brand Equity The Seven-Step Branding Process Two Case Studies in Online Branding Effects of Brand on the Four Customer Relationship Stages EBay Case Study Conclusion

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Supporting Slide 12–C: eBay

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Exhibit 12–17: Assessment of Key Branding Elements for EBay and Amazon Auctions CVc = very low= low= moderate= high= very high

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC CVc = very low= low= moderate= high= very high Exhibit 12–18: Assessment of Key Brand Attributes for eBay and Amazon Auctions

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Chapter 12: Branding Defining Brand and Examining How the 2is Affect Branding What Is Brand Equity, and How Is It Measured? How Marketing Programs Build Brand Equity The Seven-Step Branding Process Two Case Studies in Online Branding Effects of Brand on the Four Customer Relationship Stages EBay Case Study Conclusion

Last Updated: 07/11/03 Copyright  2003 by Marketspace LLC Branding — Conclusion Branding is fundamentally different from the other marketing activities — product, pricing, communication, community and distribution — in three ways: –Brands are reflections or outcomes of the firm’s marketing activities –Unlike the other activities, branding is an integral part of every marketing activity and strategy –Strong brands can be used to enhance the effectiveness of all other marketing activities The branding process includes seven steps: 1) clearly define the brand audience, 2) understand target customers, 3) understand the competition, 4) design compelling brand intent, 5) identify key leverage points in customer experience, 6) execute the branding strategy and 7) establish feedback systems. The presence of a strong brand enhances positive marketing activities such that awareness, exploration and commitment are more effectively established.