BRANDING

Product Life Cycle

Introduction

You introduce your ice block to the market

Not many people have heard of your product so sales are low and there are no competitors

Advertising would be high at this stage as you would need to let people know about the product

You would do a lot of market research, free samples etc to encourage customers to buy

Growth

More and more people start hearing about your product and buying it

Sales start to increase The price would reduce slightly but

would still be quite high

Maturity

Everyone now knows your product and sales figures are at their peak and fairly constant

There would be no need to advertise at this stage

Price would be lower as you are selling much more units than before

There might be quite a lot of competition in the market

Decline

People now start to get fed up with your product

Other companies might have more modern designs

You would need to do market research to find out what consumers want so you could create a new product

What is a brand?

A brand is a product or a range of products with a unique and easily recognisable character

A company logo is one way of allowing us to recognise a company

Logos

Can you identify the following well known logos?

LOGO 1

LACOSTE

LOGO 2

COCA COLA

LOGO 3

NIKE

LOGO 5

MERCEDES-BENZ

LOGO 8

APPLE

LOGO 9

MCDONALDS

But …..

Its not just the logo which get the bigger companies a good reputation

There are other features which encourage buyers such as

- packaging - taste - advertising

Slogans

A lot of companies use slogans to advertise their product

These are designed to be catchy and immediately recognisable to the consumer

In pairs, complete Exercise 1 on Slogans

You will have 5 minutes to complete this task

1. Eat fresh – subway 2. I’m lovin’ it – mcdonalds 3. It gives you wings – red bull 4. Taste the rainbow – skittles 5. Because I’m worth it – l’oreal 6. Snap Crackle Pop – rice bubbles 7. The best a man can get – gillette 8. Connecting people – nokia

9. Have a break – kit kat 10. Finger lickin’ good – KFC 11. Once you pop you can’t stop –

pringles 12. Melts in your mouth not in your

hand – M&M 13. Just do it – Nike

Benefits of Brand Names

Brand Loyalty Customers buy the product again

and again as they know the name and like it

They believe that this make is better than other similar makes so buy it instead of them

Company can charge higher prices as customers automatically link the produict to quality

This is called charging a premium price

They would relate new products to older ones which were successful / popular

OWN BRANDS

These are products which are sold under the brand name of a supermarket chain or other retailer

BRAND V NON BRAND

Do the branded products really taste better than the unbranded?

Would you be able to tell the difference between them?

We are about to find out – lets take the TASTE TEST.

TASTE TEST

You are going to sample branded and non branded crisps and coca-cola

Once you have tried and tasted each you will complete a questionnaire answering 1) which one you think tasted better and 2) which one you think is the branded product