A Brand is any...A Brand is any...

term…term… CokeCokeCokeCoke

symbol…symbol…or combination…or combination…

name...name... Coca-ColaCoca-ColaCoca-ColaCoca-Cola

sign…sign…

design…design…

…that distinguishes a product from its competition.…that distinguishes a product from its competition.

Brand ImageBrand Image

A mental image that reflects the way consumers perceive a brand.A mental image that reflects the way consumers perceive a brand. Physical: design, letters, shapes, art, colorsPhysical: design, letters, shapes, art, colors Psychological: emotions, beliefs, valuesPsychological: emotions, beliefs, values

A mental image that reflects the way consumers perceive a brand.A mental image that reflects the way consumers perceive a brand. Physical: design, letters, shapes, art, colorsPhysical: design, letters, shapes, art, colors Psychological: emotions, beliefs, valuesPsychological: emotions, beliefs, values

Characteristics of Good Brand NamesCharacteristics of Good Brand Names

Easy to say and rememberEasy to say and rememberPronounceable in only one wayPronounceable in only one wayPositive in connotationPositive in connotationCommunicative of product attributesCommunicative of product attributesShort and distinctiveShort and distinctiveLegally protectableLegally protectable

Virginia SlimsVirginia SlimsSpic and SpanSpic and Span

AngelAngelDuracellDuracellJiffyJiffy

Fruit 'n FibreFruit 'n Fibre

Basic Branding StrategiesBasic Branding Strategies

ToothpasteToothpaste

Private Label BrandsPrivate Label Brands

Manufacturer BrandsManufacturer Brands Manufacturer DiscountManufacturer DiscountBrandsBrands

Generics (no brand)Generics (no brand)

MintFlavor Toothpaste

Brand EquityBrand Equity

Brand Equity is a set of assets (and Brand Equity is a set of assets (and liabilities) linked to a brand’s name and liabilities) linked to a brand’s name and symbol that adds to (or substracts from) symbol that adds to (or substracts from) the value provided by a product or the value provided by a product or service to a firm and/or that firm’s service to a firm and/or that firm’s customers.customers.

Categories of AssetsCategories of Assets

Brand name awarenessBrand name awareness

Brand loyaltyBrand loyalty

Perceived QualityPerceived Quality

Brand AssociationsBrand Associations

Other Proprietary Brand Assets (e.g., Other Proprietary Brand Assets (e.g., channel relationships, patents,…)channel relationships, patents,…)

Brand Equity Increases ValueBrand Equity Increases Value

BrandEquity

Brand Loyalty

Brand Awareness

Perceived Quality

Brand Associations

Other Brand Assets

Value to Customer

Value to Firm

Brand Name AwarenessBrand Name Awareness

Anchor to which other associations can Anchor to which other associations can be attachedbe attachedFamiliarity-likingFamiliarity-likingSignal of substance/commitmentSignal of substance/commitmentBrands to be consideredBrands to be consideredExamples:Examples: Coke: Coke: sealseal DuPont: DuPont: strategicstrategic

Brand LoyaltyBrand Loyalty

Reduced marketing costsReduced marketing costs

Trade leverageTrade leverage

Attracting new customersAttracting new customers Create awarenessCreate awareness ReassuranceReassurance

Time to respond to competitive threatsTime to respond to competitive threats

Examples:Examples: Delta adDelta ad

Perceived QualityPerceived Quality

Reason-to-buyReason-to-buy

Differentiate/PositionDifferentiate/Position

PricePrice

Channel member interestChannel member interest

ExtensionsExtensions

Examples:Examples: Jack in the box: COPSJack in the box: COPS American ExpressAmerican Express

Brand AssociationsBrand Associations

Help process/retrieve informationHelp process/retrieve information

Reason-to-buyReason-to-buy

Create positive attitude/feelingsCreate positive attitude/feelings

Extensions – Gerber SinglesExtensions – Gerber Singles

Examples:Examples: Nordstrom: ReinventNordstrom: Reinvent 7-Eleven: Belly-flop7-Eleven: Belly-flop

Brand Equity and Brand ValueBrand Equity and Brand Value

Brand Equity provides value to customers:Brand Equity provides value to customers: Interpretation/processing of informationInterpretation/processing of information Confidence in the purchase decisionConfidence in the purchase decision Use satisfactionUse satisfaction

Brand Equity and Brand ValueBrand Equity and Brand Value

Brand Equity provides value to firm:Brand Equity provides value to firm: Efficiency and effectiveness of marketing Efficiency and effectiveness of marketing

programsprograms Brand loyaltyBrand loyalty Prices/marginsPrices/margins Brand extensionsBrand extensions Trade leverageTrade leverage Competitive advantageCompetitive advantage

Brand Building InhibitorsBrand Building Inhibitors

Pressure to compete on pricePressure to compete on price

Proliferation of competitorsProliferation of competitors

Fragmenting markets and mediaFragmenting markets and media

Complex brand strategies and relationshipsComplex brand strategies and relationships

Bias toward changing strategiesBias toward changing strategies

Bias against innovationBias against innovation

Pressure to invest elsewherePressure to invest elsewhere

Short-term pressuresShort-term pressures

Brand Equity and Brand Brand Equity and Brand IdentityIdentity

BrandIdentity

BrandAssociations

BrandEquity

Brand IdentityBrand Identity

A brand identity provides direction, A brand identity provides direction, purpose and meaning for the brand. It is purpose and meaning for the brand. It is central to a brand’s strategic vision and central to a brand’s strategic vision and the driver of one of the four principal the driver of one of the four principal dimensions of brand equity: associations, dimensions of brand equity: associations, which are the heart and soul of the brand.which are the heart and soul of the brand.

Brand IdentityBrand Identity

Brand identity is a unique set of brand Brand identity is a unique set of brand associations that the brand strategist associations that the brand strategist aspires to create or maintain. These aspires to create or maintain. These associations represent what the brand associations represent what the brand stands for and imply a promise to stands for and imply a promise to customers from the organization customers from the organization members.members.

Brand Identity is more than...Brand Identity is more than...

Brand image (how the brand is perceived Brand image (how the brand is perceived now)now)

Brand position (the part of the brand Brand position (the part of the brand identity and value proposition to be actively identity and value proposition to be actively communicated to a target audience)communicated to a target audience)

Product attributesProduct attributes

An external perspective (i.e., customer-An external perspective (i.e., customer-based)based)

Brand Identity SystemBrand Identity SystemA brand’s identity can be viewed from four A brand’s identity can be viewed from four perspectives:perspectives: brand as productbrand as product brand as organizationbrand as organization brand as personbrand as person brand as symbolbrand as symbol

When we view a brand from all these perspectives, When we view a brand from all these perspectives, it is easier to develop/reinforce a Value it is easier to develop/reinforce a Value Proposition, Credibility and, ultimately, a Proposition, Credibility and, ultimately, a Relationship with the customer.Relationship with the customer.

HARLEY DAVIDSON SITE

Brand Identity SystemBrand Identity System

Brand Identity

Brand asProduct

Brand asOrganization

Brand asPerson

Brand asSymbol

Value Proposition Credibility

Brand-Customer Relationship

Dimensions of Brand IdentityDimensions of Brand Identity

Brand as ProductBrand as Product Product ScopeProduct Scope Product AttributesProduct Attributes Quality/valueQuality/value UsesUses UsersUsers Country of OriginCountry of Origin

Timex AdHarley Site

Dimensions of Brand IdentityDimensions of Brand Identity

Brand as OrganizationBrand as Organization Organization attributes (e.g., innovation, Organization attributes (e.g., innovation,

consumer concern, trustworthiness)consumer concern, trustworthiness) Local vs. globalLocal vs. global

Enbridge Home ServicesHarley Site

Dimensions of Brand IdentityDimensions of Brand Identity

Brand as PersonBrand as Person Personality (e.g., genuine, energetic, rugged,Personality (e.g., genuine, energetic, rugged,

…)…) Brand-customer relationships (e.g., friend, Brand-customer relationships (e.g., friend,

adviser,…)adviser,…)

Chevy Monte Carlo AdHarley Site

Dimensions of Brand IdentityDimensions of Brand Identity

Brand as symbolBrand as symbol Visual imagery and metaphorsVisual imagery and metaphors Brand heritageBrand heritage

Apple AdHarley Site

Value PropositionValue Proposition

Functional Benefits: A BMW car handles Functional Benefits: A BMW car handles well, even on ice.well, even on ice.

Emotional Benefits: Excited in a BMW.Emotional Benefits: Excited in a BMW.

Self-Expressive Benefits: Sophisticated Self-Expressive Benefits: Sophisticated and successful in a BMW.and successful in a BMW.

Brand PositionBrand Position

Brand position is the part of the brand Brand position is the part of the brand identity and value proposition that is to be identity and value proposition that is to be actively communicated to the target actively communicated to the target audience and that demonstrates an audience and that demonstrates an advantage over competing brandsadvantage over competing brands JC Penney’s position JC Penney’s position Girl Scouts positionGirl Scouts position

Brand PositionBrand Position

What elements of BI to include? What elements of BI to include? Candidates:Candidates: Core identity: central, timeless essence of the Core identity: central, timeless essence of the

brand (most unique, valuable aspects)brand (most unique, valuable aspects) Points of leverage: specific keys to success Points of leverage: specific keys to success

(e.g., Ronald McDonald)(e.g., Ronald McDonald) The value proposition: a key benefit part of The value proposition: a key benefit part of

the value proposition (functional, self-the value proposition (functional, self-expressive,…)expressive,…)

Brand identity & position provide Brand identity & position provide valuevalue

Guides and enhances brand strategyGuides and enhances brand strategyImproves brand memorabilityImproves brand memorabilityProvides meaning and focus to the Provides meaning and focus to the organizationorganizationProvides extension optionsProvides extension options Co-branding at YahooCo-branding at Yahoo

In sum, provides:In sum, provides: value propositionvalue proposition credibility to other brandscredibility to other brands basis of relationshipbasis of relationship