Escolar Documentos
Profissional Documentos
Cultura Documentos
The term brand means different things to the different roles of buyer and seller, with buyers generally associating brand with a product or service, and merchants associating brand with identity. Brand can also identify the company behind the specific product -- that's not just a biscuit, that's Britannia biscuit. This use of brand puts a "face" behind the name, so to speak, even if the "face" is the result of advertising copy and television commercials. This use of brand also says nothing of quality, just the buyer's exposure to the brand's PR and media hype. For the typical merchant, branding is a way of taking everything that is good about the company -- positive shopping experience, professionalism, superior service, product knowledge, whatever the company decides is important for a customer to believe about the company -- and wrapping these characteristics into a package that can be evoked by the brand as signifier.
inventory and accounting records. The brand name can be protected registered trademarks. The intellectual property rights ensure that the firm can safely invest in the brand and can reap the benefits over a long period of time. Brands can signal a certain level of quality so that satisfied buyers can easily choose the product again. Brand loyalty provides predictability and security of demand for the firm and creates barriers to entry that makes it difficult for other firms to enter the market. This brand loyalty can translate into willingness to pay higher price. In this sense branding can be seen as powerful means to secure a competitive advantage. Brands represent enormously valuable pieces of legal property that can influence consumers behavior. Strong brand results in better earnings and profit performance for firms, which in turn, creates greater value for shareholders. How do you BRAND a product? Although firms provide the impetus to brand creation through marketing programs and other activities, ultimately a brand is something that resides in the mind of the consumers. A brand is a perpetual identity that is rooted in reality but reflects the perceptions and perhaps even the ultimate choice of the consumers. Branding is endowing products and services with the power of brands. To brand a product, it is necessary to teach the consumers who the product -by giving a name. Branding involves creating mental structures and helping consumers organize their knowledge about products and services in a way that clarifies their decision making and in process provides value to the firm Branding can be applied virtually anywhere a consumer has a choice. It is possible to brand:
A physical good (Nestle soup, Pantene shampoo or Maruti Swift), A service (Kingfisher Airlines, TATA AIG medical insurance), A store (Big Bazaar, BATA stores), A place (The state of Kerala, Pushkar Mela), A person (Shahrukh Khan, Sachin Tendulkar), An organization (UNICEF or BCCI),
Brand is the proprietary visual, emotional, rational, and cultural image that you associate with the company or a product. When you think of Volvo, you think of safety. When you think of Nike, you think of Michael Jordon or Just Do It. When you think of IBM, you think of Big Blue. The fact that you remember the brand name and have positive associations with that brand makes your product selection easier and enhances the value and satisfaction you get from product
While Brand X cola or even Pepsi-Cola may win blind taste tests over Coca-Cola, the fact is that more people buy Coke than any other Cola. The fond memories of childhood and refreshment that people have when they drink Coke is often more important than a little bit better cola taste. It I this emotional relationship with brands that make them so powerful.
Brand associations are the attributes that costumer thinks of when they hear or see the brand name. McDonalds television are a series of one brand association after another, starting in yellow arches in the low right corner of the screen and following with associations of Big Mac, Ronald MacDonald, kids, happy meal, food quality etc. The first step in creating a brand for your company is branding workshop. How do we determine our Brand Identity? Brand has been called the most powerful idea in commercial world, yet few companies create a brand identity.
Do you want your companys brand identity created for you by competitors and unhappy customers? Of course not. Our advice to executives is to research their customers and find the top ranked reasons that the customers buy their product rather than their competitors. Then, pound that message in every ad, in every news release, in communications with employees and in every sales call or media interview. By continuous repetition of messages customer will think of your product and then buy it.
is repeated in every ad they use. Here are some well-known brands slogans, which people on the street may easily recall or recognize: Colors It helps for a company or a brand to use a consistent set of color to and in the brand recognition. Caterpillar paints all its construction equipments yellow. Yellow is the color of Kodak film. IBM uses blue in its publications, and IBM is called Big Blues. Symbols and Logos Companies would be wise to adapt a symbol or logo to use in their communications. Many companies hire a well-known spokesperson, hoping that his or her quality transfer to the brand. Nike uses Michael Jordon who has worldwide recognition and likableness, to advertise its shoes. Sporting goods
manufacturers sign contracts with top athletes to serve as their symbols, even naming the product after them. Cartoons and Animations A less expensive approach is to develop a character, animated, to etch the brands image into customers mind. The advertising agency Leo Burnett has successfully created a number of memorable animated characters. Here are some well known brand cartoons which people may recognize: Company ICICI Prudential Amul Butter McDonalds All Out mosquito Repellent Pillsbury 7 Up Objects Still another approach is to choose an object to represent a company or brand. The travelers insurance company uses an umbrella, suggesting that buying insurance is equivalent to having an umbrella available when it rains. The prudential insurance company features the rock of Gibraltar, suggesting that buying an insurance is equivalent to owing a peace of rock which is of course, solid ad dependa ble. Companies have developed many logos or abstracts, which are easily remembered by people. Even the way the brand name is written makes a brand recognizable and memorable. Cartoon or Animation Chintamani Utterly Butterly Girl Ronald Louis Doughboy Fido Dido
the Premium Products. Marketers who match their brand with customers needs will have a sustainable competitive advantage.
Distinctiveness: your brand should be distinct when compared to your competitors and to all spoken and visual communications to which your target audiences will be exposed. The more unique and distinct your communications, the wider the filed of effective competitive strength it will have. There are simple means to apply to test the distinctiveness of your brand.
Differentiation: the brand strategy and brand assets must set youre offering apart and clearly articulate the specific positioning intent of your offering. Defendable: you will be investing in creating your brand assets and in all cases your brand must have proprietary strength to keep others from using close approximations. This applies to your trade names and other proprietary words as well as to your logos, symbols and other visual assets.
Digit-able: in most businesses there is strong and growing element of electronic communications and commerce that dictate all brand assets be leveraged effectively in tactile and electronics form. This goes for all brand assets.
Much of the brand managers work is to build a brand image. But its job doesnt stop there. The brand manager needs to make sure that brand experience matches the brand image. Much can go wrong. A fine brand of canned soup described in a full page color ad may be found in dented and dusty condition in the bottom shelf of a supermarket. The ad describing a gracious hotel chain is belied by the behavior of a surly concierge. Building brand therefore calls for more than brand image building. It calls for managing every brand contact that customer might have with brand. Since all the employees, distributors and dealers can affect brand experience.
Perceiving the brand: An individual builds up his perceptions of a brand via a wide range of communications channels. They are as follows:
Experience: The most powerful influence is experiential. This is when the individual actually has a "Brand experience". The most obvious are: -
He visits a McDonalds restaurant or a Shell petrol station. He buys a Coca-Cola branded product or service. He views a Coca-Cola bottler's facility. He visits a corporate website. He attends an interview at the company. He contacts the company office for information. He meets an employee of the company. He buys a share in the company, etc.
Advertising: Over time an individual who lives in a country in which the company/brand is active, or travels to one on business or vacation, will be exposed to their advertising. This advertising may be in a wide range of media:
TV commercials for products and services Recruitment ads inviting employment applications "Corporate" TV commercials promoting the company's "reputation" Web based advertising An ad for the companys branded products or services in a wide variety of print media. Billboards on highways Radio Point of sale etc.
Media reports and stories: Individuals will be exposed to a wide variety of reports about companies in the media (print and broadcast) where the editorial content is only partly influence able by the company (in some cases) or not at all (in most cases). These stories will come from a variety of primary and secondary sources: -
Press releases Press conferences Reporting of "events" Investigative journalism Stories passed to the media by third parties (Non governmental organizations etc.)
Professional/business interest: For some individuals to interface professionally, or from a specific business need, with famous companies (or to observe them) is part of their job. They will usually procure their information from a variety of sources and via a variety of channels of communication. These individuals have a special interest in the companies and they include: -
Financial analysts and journalists with an interest in share performance Existing or potential suppliers of products and services Existing or potential industrial/commercial customer.
the person (Honda, Calvin Klein), location (American airlines), quality (Safety stores, Healthy choice), or an artificial name (Exxon, Kodak). Among the desirable qualities of a brand name. Some are:
It should suggest something about the product benefits. It should suggest product qualities such action or color It should be easy to pronounce, recognize and remember; short names help a lot to recognize the product to the customers. It should be distinctive. It should not carry poor meanings in other countries and languages etc.
Building Positive Associations The best known brand names carry associations. For example, here is a list of words that people say they associate with McDonalds:
In trying to build a rich set of positive associations for a brand, the brand builder should consider five dimensions that can communicate meaning:
Attributes: A strong brand should trigger in buyers mind certain attributes. Thus a Mercedes automobile attributes a picture of well-engineered car that is durable, rugged and expensive. If a car brand does not trigger any attribute, then it would be a weak brand.
Benefits: A strong brand should suggest benefits, not just features. Thus Mercedes triggers the idea of well performing car that is enjoyable to drive and prestigious to own. Company Values: A strong brand should connote values that the company holds. Thus Mercedes is proud of its engineers and engineering innovations and is very organized and
efficient in its operations. The fact that it is a German company adds more pictures in the mind of the buyers about the character and the culture of the brand. Personality: A strong brand should exhibit some personality traits. Thus if Mercedes were a person we would think of someone who is middle age, serious, well-organized and somewhat authoritarian. If Mercedes were an animal we might think of lion or its implied personality. Users: A strong brand should suggest the type of people who buy the brand. Thus we would expect Mercedes to draw buyers who are older, affluent and professional.
In summary, brands when their very name connotes positive attributes, benefits, company values, personality and users in the buyers mind. The brand builders job is to create a brand identity that builds on those dimensions.
Memorable: How easily is the brand element recalled? How easily recognized? Is this true at both purchase and consumption? Short brand name like tide, Nike can help. Meaningful: To what extent is brand element credible and suggestive of the corresponding category? Does it suggest something about a product ingredient or a type of person who might use the brand?
Likeability: How aesthetically appealing does consumers find the brand element? Is it inherently likeable visually, verbally, and in other ways? Concrete brand names such as Wheel, Sunsilk etc evoke much imagery.
Transferable: Can a brand element be used to introduce new products in the same or different categories? To what extent does the brand element add to brand equity across geographic boundaries and market segments?
Adaptable: How adaptable and updatable is the brand element? Betty corker received 8 makeovers through the years-although she is 75 yrs old, she doesnt look a day over 35. Protectable: How legally protectable is the brand element? How competitively protectable? Can it be easily copied? It is important that names that become synonymous with product categories such as Kleenex, Xerox, Jell-O, etc retain their trademarks rights and not become generic. Brand elements can play a number of roles. If consumers do not examine much information in making their product decisions, brand elements should be easily recognized and recalled and inherently descriptive and persuasive. Memorable or meaningful brand elements can reduce the burden on marketing communications to build awareness and link brand associations. The different associations that arise from likeability and appeal of the brand elements may also play a critical role in the equity of brand.
Lance Leuthesser, et al (1995) writes that " brand equity represents the value (to a consumer) of a product, above that which would result for an otherwise identical product without the brand's name. In other words, brand equity represents the degree to which a brand's name alone contributes value to the offering (again, from the perspective of the consumer)."
The Marketing Science Institute (1988) defines brand equity as, "The set of associations and behaviors on the part of the brand's customers, channel members, and parent corporations that permit the brand to earn greater volume or greater margins than it could without the brand name and that gives the brand a strong, sustainable, and differentiated advantage over competitors."
Of those three concepts, the first can be classified as "brand valuation," the second "brand loyalty," and the third "brand description." Brand loyalty will be a factor that affects the overall brand value, and brand description will usually affect or explain some of the brand loyalty. Because of the importance of each of these elements of brand equity, they will each be briefly explained.
Price/demand measures--focus on a brand's ability to command a higher price or make consumers less sensitive to price increases than price increases for competing brands. Behavioral measures--focus on consumers' behavior. Attitudinal measures--focus on general evaluative measures such as 'liking' or 'disliking.' Awareness measures--focus on identifying a brand as being associated with a product category. Brand Loyalty and Equity refer to the notion that some brands are "stronger" or better than others.
An example of this sort of belief is: If the businesses were split up, I would take the brands, trademarks and goodwill, and you could have all the bricks and mortar - and I would fare better than you. The optimism for the concept can be stated on the fact that when one would say as a predictor of future financial performance, brand equity, if reported, would be valuable for capital marketers and shareholders. Brand equity has the potential to become the set of measures of business performance that matter most. The motivation for brand equity comes from the observation that many marketing efforts "realize" benefits; such as sales or profit and these are accounted for in the firms profit and loss figures. However, there is the possibility that management might choose between taking realized benefits and "storing" them future. One of the most common times this argument is used is when discussing the role of advertising versus sales promotion. You could spend lots of money on advertising, see no immediate effects, but you could save your job by saying that you had "built the brand". At least one advertising agency offers to partner companies in this sort of activity.
So marketing strategies could be putting money into (or out of) the brand equity bank account. But the question is as always how do we know? That is are we actually building the brand with all our advertising (or other brand building 4 ps decisions e.g., limited / premium distribution rights, high price, fancy packing, after sales service, extended warranties).So, hopefully you have got the idea - theories about brand loyalty and equity are used to represent aspects of brand strength. This "strength" can take a number of forms, e.g., consumers predominantly buying your brand, which might be represented by a high share of category requirements, or high proportion of sole-buyers. Consumers saying good things about your brand, e.g., having a positive brand Attitude, it might be the ability to charge a price premium. It might be the ability to not be substituted when out of stock. Future strength might be in terms of some sort of long-term competitive advantage or the ability to sustain brand extensions. One of the things is that as with many concepts in marketing, is that there are many different definitions and viewpoints on what exactly brand equity is and how to measure it. So that is a problem. We need to be clear just what people mean when they talk about brand equity or brand loyalty, or building brands.
Loyalty
Price Premium: A basic indicator of loyalty is the amount a customer will pay for a product in comparison to other comparable products. A price premium can be determined by simply asking consumers how much more they would be willing to pay for the brand. Customer Satisfaction: A direct measure of customer satisfaction can be applied to existing customers. The focus can be the last use experience or simply the use experience from the customer's view.
Leadership/Popularity has three dimensions. First, if enough consumers are buying into the brand concept it must have merit. Second, leadership often taps innovation within a product class. Third, leadership taps the dynamics of consumer acceptance. Namely, people are uneasy swimming against the tide are a likely to buy a popular product. This can be measured by asking consumers about the product's leadership position, its popularity and its innovative qualities.
Awareness Measures
Brand awareness reflects the salience of the product in the consumer's mind and involves various levels including recognition, recall, brand dominance, and brand knowledge and brand opinion.
Price and Distribution indices: Market share can prove deceptive when it increases as a result of reduced prices or promotions. Calculating market price and distribution coverage can provide or more accurate picture of the product's true strength. Relative market price can be calculated by dividing the average price at which the product was sold during the month by the average price at which all the brands were sold.
If management feels it is necessary to change the direction of a brand or change a product it must be careful not to change too quickly. There are many examples of companies that have changed a product or brand too much or too quickly. On these occasions, consumers met changes with adverse reactions. The most famous example is Coca-Cola. They changed the formula of their flagship product Coke, and consumers reacted so poorly to the new product that the old formula was reintroduced and the new formula eventually was discontinued. The consumer through the product experiences brand equity. The product has certain attributes or characteristics that deliver the equity to the consumer. If any of these attributes are changed or eliminated, the equity delivered to the consumer is also changed. Managing brand equity is a continual process with long-term implications. Unfortunately, many brand managers are forced to focus on short-term goals such as market share and profits. Many programs that are implemented to boost short-term sales or market share may be detrimental to the long-term viability of the brand. For example, Proctor & Gamble has started to test market a program to move away from using coupons to a system of every day low prices. This is, in part, because consumers may become loyal to the coupon or promotion and not to the product itself. Constant promotional programs erode margins and eventually brand loyalty. Ultimately, brand equity is damaged. In 1988, Graham Phillips, Chairman of Ogilvy and Mather Worldwide, said, "I doubt that many would welcome a commodity marketplace in which one competed solely on price, promotion and trade deals, all of which can be easily duplicated by competition. This would lead to ever decreasing profits, decay, and eventual bankruptcy. About the only aspect of the marketing mix that cannot be duplicated is a strong brand image." This quote clearly demonstrates the importance of managing brand equity. In many categories, brand equity is the only point of differentiation between products.
Many people may think that building and maintaining brand equity is solely the responsibility of brand managers, but it is actually a cross-functional team effort. Financial managers are important because they can fully analyze the costs of maintaining and building brand equity. For example, launching a new brand is extremely consuming in terms of money and time. It may be more cost effective to extend a current brand than introduce a new brand. Marketing research is critical for many obvious reasons. It develops most, if not all, of the research and data that companies will use for deciding strategic issues. Marketing research can also help determine how brand equity is actually measured. Once a definition of brand equity is established, the responsibility of tracking
Help buyers identify the product that they like/dislike. Identify marketer Helps reduce the time needed for purchase. Helps buyers evaluate quality of products especially if unable to judge products characteristics. Helps reduce buyers perceived risk of purchase.
Buyer may derive a psychological reward from owning the brand, i.e., Rolex or Mercedes.
To Seller:
Differentiate product offering from competitors Helps segment market by creating tailored images, i.e., Contact lenses Brand identifies the companies products making repeat purchases easier for customers. Reduce price comparisons Brand helps firm introduce a new product that carries the name of one or more of its existing products...half as much as using a new brand, lower co. designs, advertising and promotional costs. Example, BPL telephones.
Easier cooperation with intermediaries with well known brands Facilitates promotional efforts. Helps foster brand loyalty helping to stabilize market share. Firms may be able to charge a premium for the brand.
With a string of animated commercials such as Pepsodent (Bhoot Police). ICICI Prudentials Chintamani and Anand Rathi Securities happening in the past few months, companies across sectors are more willing than ever before to use animation in their ad films. The number of animation ad films produced per year in the past five years has increased at least eight times and feature films like Hum Tum (had cartoons of Saif Ali Khan And Rani Mukherjee coming in between the film)are backing the overall trend around animation. We used to do three animation ad films a year five years ago, now its two every month, says, E.Suresh. Creative director. Famous House of Animation, a division of Famous Studios. Animation is no kid stuff anymore. One sees a fair number of youth and adult targeted content happening in the form of animation in films and TV shows these days, says Rahul Welde, general manager, media. Hindustan Unilever Limited. Mr.Welde claims to have used animation where it could add to the creative quotient of the commercial which give something unexpected to the audience. Gross thinks at time look cute in animation rather than the real thing, say in case of a fat man, the Chintamani ad was initially a radio jingle. With Claymation (clay + animation), it broke the clutter and became likeable in a very non-financial advertising style, says Abhishekh Bhatia, director marketing, Prudential Assurance, Malaysia, who was then involved in launching the campaign from ICICI Prudential. The contribution to the sales of pension schemes of the group rose 30% after the campaign. The popularity of cartoons among youngsters- a gradual transformation over the past few years- Kill Bill, Lion King, Shrek, Run Lola Run, all of which have cutting edge animation. Moreover, most of the global award winning campaigns have used animation extensively, be it Euro RSCGs Waterboy, Grrr Honda, Unileaf Tea or Levis Mr.Lova Lova. However a real character interacting with an animated character is not a novelty. It is a style and a lot of people are catching on it but this is not the end of it, points Ashish Chakravarty, head creative, Contract Advertising. There are other viewpoints too. Its a nice way of doing a boring script. But there are scripts that needs animation to prove the point as in the case of Oye Bubbly (Pepsi Commercial) last year, says Anuja Chauhan, VP and Senior Creative Director at JWT.
Besides the advantage of visual appeal, many complex issues, such as stunts, can be done away with, with the use of animation- for instance the stunt in the Lux Commercial couldnt be done so perfectly by the real character (here Aishwarya Rai) vis--vis the animated character. Animation ad also helps keep costs down. Industry sources say a simple animation ad is less expensive than an ad with decent production quality that costs around Rs. 70-80 Lakh. Animated ones cost around Rs. 30-40lakh on an average. However, what creative directors hate about animation is the fact that it takes a lot more time For A Fido itself, we need to work for three weeks to get it absolutely right, says. BRANDING-SPECIAL FOCUS ON TOON BRANDING QUESTIONAIRE Q1. Indentify the following toon mascots and their products or either of the one:
____________________________________________
___________________________________________
____________________________________________
____________________________________________
_______________________________________________
_______________________________________________
1 page of questionnaire
st
Q2. Can you recognize a product on the basis of its brand mascot alone?
Always Sometime
Q4. Do you think nowadays brand mascots are losing importance to brand personality?
Yes
No Dont Know
Q5. Which is your most memorable toon mascot? Amul Butter Girl Fido Dido Chintamani (ICICI) Any other __________________
Q6. Why do you think this brand mascot is the most memorable one? A6. _____________________________________________________________________________________ ___________________________________________________________
2 page of questionnaire
nd
Q7. If you are to launch a new product will you depend on a brand personality of a toon mascot to build the brand image of your product? Give reasons? A7. ________________________________________________________________________ ________________________________________________________________________
Q8. Toon Mascot is more popular in the rural or urban areas? Give reasons? A8. ________________________________________________________________________ ________________________________________________________________________
Q9. What features do you think a toon mascot should possess so as to remember over a long period of time?
Cute
Happy Face Suitable to the product Innovative Entertaining Any other _____________________
`Q10. Would you like if toon mascots are also advertised through clothing, accessories, bags etc?