Professor Takada6b-1 Creating Brand Equity 6b

Professor Takada6b-2 Key Questions What is a brand and how does branding work? What is brand equity? How is brand equity built, measured, and managed? What are the important decisions in developing a branding strategy?

Professor Takada6b-3 Google Brand of the Year

Professor Takada6b-4 Brand A name, term, sign, symbol or design, or a combination of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.

Professor Takada6b-5 Attributes of Strong Brands Excels at delivering desired benefits Stays relevant Priced to meet perceptions of value Positioned properly Communicates consistent brand messages Well-designed brand hierarchy Uses multiple marketing activities Understands consumer-brand relationship Supported by organization Monitors sources of brand equity

Professor Takada6b-6 The Role of Brands Identify the maker Simplify product handling Organize accounting Offer legal protection

Professor Takada6b-7 The Role of Brands Signify quality Create barriers to entry Serve as a competitive advantage Secure price premium

Professor Takada6b-8 Branding Endowing products and services with the power of a brand.

Professor Takada6b-9 Brand Equity The differential effect that brand knowledge has on consumer response to the marketing of that brand.

Professor Takada6b-10 Brand Knowledge Knowledge Thoughts Experiences Beliefs Images Feelings

Professor Takada6b-11 Brand Associations Strong Unique Favorable

Professor Takada6b-12 Marketing Advantages of Strong Brands Improved perceptions of product performance Greater loyalty Less vulnerable to competition Less vulnerable to crises Larger margins Inelastic consumer response to price increases Elastic consumer response to price decreases Greater trade cooperation Increase in effectiveness of IMC Licensing opportunities Brand extension opportunities

Professor Takada6b-13 Branding a Place

Professor Takada6b-14 Brand Promise The marketer’s vision of what the brand must be and do for Consumers.

Professor Takada6b-15 The Virgin Brand

Professor Takada6b-16 Brand Equity Models Brand Asset Valuator Aaker Model BRANDZ Brand Resonance

Professor Takada6b-17 Brand Asset Valuator (BAV) Differentiation Relevance Esteem Knowledge Brand Equity

Professor Takada6b-18 BAV Power Grid

Professor Takada6b-19 Aaker Model – Brand Identity Brand-as-product Brand-as-personBrand-as-symbol Brand-as-organization

Professor Takada6b-20 Aaker Model – Brand Assets Brand loyalty Brand associations Perceived quality Brand awareness Proprietary assets

Professor Takada6b-21 The BRANDZ Model Presence Relevance Performance Advantage Bonding

Professor Takada6b-22 Brand Resonance Pyramid

Professor Takada6b-23 Drivers of Brand Equity Brand Elements Marketing Activities Meaning Transference

Professor Takada6b-24 Brand Elements Elements Slogans Brand names URLs Logos Symbols Characters

Professor Takada6b-25 Brand Elements

Professor Takada6b-26 Brand Element Choice Criteria Memorable Meaningful Likeability Transferable Adaptable Protectible

Professor Takada6b-27 The cupped hands are an element of Allstate’s brand

Professor Takada6b-28 Slogans Like a good neighbor, State Farm is there Just do it Nothing runs like a Deere Help is just around the corner Save 15% or more in 15 minutes or less We try harder We’ll pick you up Nextel – Done Zoom I’m lovin’ it Innovation at work This Bud’s for you Always low prices

Professor Takada6b-29 Designing Holistic Marketing Activities Personalization Integration Internalization

Professor Takada6b-30 Secondary Sources of Brand Knowledge

Professor Takada6b-31 Measuring Brand Equity Brand Audits Brand Tracking Brand Valuation

Professor Takada6b-32 The 10 Most Valuable Brands Brand2004 Brand Value (Billions) Coca-Cola$67.39 Microsoft$61.37 IBM$53.79 GE$44.11 Intel$33.50 Disney$27.11 McDonald’s$25.00 Nokia$24.04 Toyota$22.67 Marlboro$22.13

Professor Takada6b-33 Interbrand’s Brand Equity Formula Brand earnings Brand sales Costs of sales Marketing costs Overhead expenses Remuneration of capital charge Taxation Brand strength Leadership (25%) Stability (15%) Market (10%) Geographic spread (25%) Trend (10%) Support (10%) Protection (5%)

Professor Takada6b-34 Bucky Lasek for Campbell’s Soup at Hand

Professor Takada6b-35 Managing Brand Equity Brand Reinforcement Brand Revitalization Brand Crises

Professor Takada6b-36 Surviving a Brand Crisis

Professor Takada6b-37 Devising a Branding Strategy Develop new brand elements Apply existing brand elements Use a combination of old and new Use a combination of old and new

Professor Takada6b-38 Branding Terms Brand line Brand mix Brand extension Sub-brand Parent brand Family brand Line extension Category extension Branded variants Licensed product Brand dilution Brand portfolio

Professor Takada6b-39 Brand Naming Individual names Blanket family names Separate family names Corporate name- individual name combo

Professor Takada6b-40 Crest Whitestrips