branding marketing objective 2.06. questions why do companies develop brands? how do they come up...

BrandingMarketing Objective 2.06

Questions

• Why do companies develop brands?

• How do they come up with brands?

• What makes a brand successful?

What is a Product Brand?

• A name, term, symbol or design that identifies a product and distinguishes it from a competitor.

• Product brands are trade names, brand names, brand marks, and trade characters.

Types of brands

• Manufacture

• Private

• Family

• Individual

Characteristics Effective Brands

• Easy to read, pronounce, and remember

• Create appealing images

• Distinctive

• Adaptable

• Appropriate packaging and advertising

• Known benefits from products

• Legally available

What is a Brand Promise

• A business’s agreement (spoken or unspoken) with customers that it will consistently meet their expectations and deliver on its brand characteristics and values.– A company’s brand promise establishes a base line

of customer service to be expected.– It reflects the core values of the company and

develops a long term business relationship with customers.

What do these brands promise?

• FORD• Volvo• Ollie's • Allstate

• First Alert• Michelin • Scrubbing Bubbles• Timex Watches

What can affect Brand name?

• Bad publicity

• Health scare

• Disaster

• Miracle

• Endorsement

Why create a brand?

• Product is easily identified

• If you have $ to Promote…

• Could be more profitable

• Build loyalty and recognition

• Creates jobs!!!!

Steps to brand creation

• Brainstorm ideas

• Set objectives

• Brand acceptance across cultures

• Test Marketing

• Legal issues

• Research names & Web addresses

• Choose the best brand name for product

Brand strategies• Extension – using an

existing brand to promote a new or improved product in a company’s product line.

• Licensing – allowing other organizations to use their brand, brand mark or trade character. EX – Pepsi uses the NFL name and logo in their promotions to attract customers loyal to the NFL

• Co-Branding – Kellogg’s Pop-Tarts made with Smucker’s fruit filling. Starbuck’s in B&N Bookstores.

What is Company Image?

• A corporate image is the perception the public holds about a particular business.

• Companies invest time and resources in an effort to influence the opinion customers hold about the business and its products.

• Images are based on different characteristics such as:– Quality of products– Solid and positive reputation of the company– Highly trained sales team– Lowest prices in town– Integrity of staff– Customer service

Corporate Image

• The basic way of shaping a corporate image is establishing and maintaining positive relationships with the public.– This effort usually begins by offering products

that successfully meet the needs of customers.

What affects the corporate image?

• Interaction with:– Consumers– The media– Journalists– Labor unions– Industrial associations– Environmental organizations

• As consumers come to know and trust the product lines offered by the business, they share their opinions with others and make it easier to establish a favorable perception in the minds of more people.

Why is company image important?

•Correlates directly to the success of the company and its future growth.•Companies with strong corporate images, such as Sony and Nike have an advantage in the market place because their names add value to their products and reduces uncertainty in the eyes of distributors, retailers and consumers.

How can employees reinforce company image?

• Should be trained and motivated to project a positive image.

• Training employees on answering telephones, how daily decisions are made, establishing dress code requirements shows that companies understand how important communicating a positive image is to the company’s success.