1. Chapter 9: Branding, Packaging and Other Product Features

2. Brands and Branding
a brand identifies and differentiates the products or services of a particular company; it’s more than the name
branding is the process of a company or product name acquiring meaning over time; closely related to reputation and image
a brand name is the words, letters or, numbers that can be vocalized
a brand mark involves a symbol, logo, or design that identifies a brand

3. Who Owns the Brand?
a trademark is the brand name and brand mark that are the legally-registered property of a specific company or organization
many major brands are owned by large companies and are referred to as national brands or producer brands
often large retailers have their own brands which are generally known as private labels
some retailer brands become so popular that they achieve national brand status; many consumers place as much trust in them as they do in “national” brands

4. Stages of Brand Development
basic thinking suggests that a brand must acquire awareness and recognition
then, it must be associated with certain brand characteristics or attributes
then, may feel that a brand is able to take on a certain personality
finally, many now suggest that consumers develop lasting relationships with brands

5. Brand Equity
the value that a brand adds to a product is known as brand equity; companies now realize that popular brands are valuable assets
equity increases as a growing number of consumers develop loyalty to the brand
a well-known brand can create a differential advantage for the brand’s owner
it will create a barrier to other firms wishing to enter the market with competing products
it can help a product survive market changes

6. Brand Success
many national and international brands, such as Hallmark, Sony, and McCain, have dominated their product categories for many years
for many companies, their brands are among their most valuable assets
companies launch brand extensions to trade on the equity in established brands and to reduce the risk of new product introductions
think about how far a brand can be extended

7. The Role of the Brand
brands may be applied to companies and other entities as well as to their products or services; thus, Roots is a brand, as is Avril Lavigne
brands are important in promoting products and in giving customers confidence in quality
companies have to support their brands
it is difficult to brand services successfully because of their intangibility

8. To Brand or Not to Brand?
some companies will not brand their products if they don’t wish to promote them or if their quality is not consistent or high
products that are not easily differentiated, such as industrial raw materials, are often not branded
a brand offers the consumer protection as it names the owner of the brand and allows their products and services to be identified

9. Characteristics of a Good Brand
says something about the product’s characteristics
is easy to pronounce, spell, and remember
is distinctive - not always the case!
is adaptable when new products are added to the company’s product line
is capable of registration under the Trade Marks Act and other laws
some brands are lost because of generic use

10. Branding Strategies
manufacturers may brand under their own labels, under private labels, or as parts and materials for other manufactured products
intermediaries may carry producers’ brands only, private brands only, or a combination
several possible approaches to product line branding: family branding, separate name for each product, brands for groups of products, or family brand combined with a product name

11. Branding of Services
many consider the branding of services to be more difficult because of intangibility
but, the principles of good branding apply
brand names should be relevant to the service being provided or to its benefits
should be easy to pronounce and remember
should be adaptable to other situations

12. Packaging
packaging has functional and promotional value; often represents a major part of a marketing program
services are often packaged through bundling
packaging decisions are very much influenced by external forces, including environmentalism
many companies are moving toward recycling
packaging is often criticized and is subject to a great deal of regulation in Canada
strategic use of packaging can be effective

13. Labeling
the function of the label is to communicate; both image and functional information
many types of labeling: brand labels present the brand, grade labels communicate quality levels, descriptive labels provide information
often an issue over how much information the label should carry to protect the consumer
much labeling legislation in Canada
growing use of eco-labeling

14. Other Strategic Product Features
product design and colour are often used to distinguish products from competing offerings
high quality levels are important in products and services to ensure customer satisfaction
some companies offer warranties on their products and increasingly on services
post-purchase service is important to deal with repairs, maintenance, customer questions and complaints; a major satisfaction-building tool