BRANDING

Definition: The marketing practice of creating a name, symbol or design that

identifies and differentiates a product from other products.

An effective brand strategy gives you a major edge in increasingly

competitive markets. But what exactly does "branding" mean? Simply put, your
brand is your promise to your customer. It tells them what they can expect from
your products and services, and it differentiates your offering from that of your
competitors. Your brand is derived from who you are, who you want to be and
who people perceive you to be. Are you the innovative maverick in your
industry? Or the experienced, reliable one? Is your product the high-cost, high-
quality option, or the low-cost, high-value option? You can't be both, and you
can't be all things to all people. Who you are should be based to some extent on
who your target customers want and need you to be.

The foundation of your brand is your logo. Your website, packaging and
promotional materials--all of which should integrate your logo--communicate
your brand. Your brand strategy is how, what, where, when and to whom you
plan on communicating and delivering on your brand messages. Where you
advertise is part of your brand strategy. Your distribution channels are also part
of your brand strategy. And what you communicate visually and verbally is part
of your brand strategy, too.

Consistent, strategic branding leads to a strong brand equity, which

means the added value brought to your company's products or services that
allows you to charge more for your brand than what identical, unbranded
products command. The most obvious example of this is Coke vs. a generic
soda. Because Coca-Cola has built powerful brand equity, it can charge more for
its product--and customers will pay that higher price. The added value intrinsic
to brand equity frequently comes in the form of perceived quality or emotional
attachment. For example, Nike associates its products with star athletes, hoping
customers will transfer their emotional attachment from the athlete to the
product. For Nike, it's not just the shoe's features that sell the shoe.
 Defining your brand is like a journey of business self-discovery. It can be
difficult, time-consuming and uncomfortable. It requires, at the very least, that
you answer the questions below:
 What is your company's mission?
 What are the benefits and features of your products or services?
 What do your customers and prospects already think of your company?
 What qualities do you want them to associate with your company?

Do your research. Learn the needs, habits and desires of your current and
prospective customers. And don't rely on what you think they think. Know what
they think. Once you've defined your brand, how do you get the word out? Here
are a few simple, time-tested tips:
Get a great logo. Place it everywhere.
Write down your brand messaging. What are the key messages you want to
communicate about your brand? Every employee should be aware of your brand
attributes.
Integrate your brand. Branding extends to every aspect of your business--
how you answer your phones, what you or your salespeople wear on sales calls,
your e-mail signature, everything.
Create a "voice" for your company that reflects your brand. This voice
should be applied to all written communication and incorporated in the visual
imagery of all materials, online and off. Is your brand friendly? Be
conversational. Is it ritzy? Be more formal. You get the gist.
Develop a tagline. Write a memorable, meaningful and concise statement that
captures the essence of your brand.
Design templates and create brand standards for your marketing
materials. Use the same color scheme, logo placement, look and feel
throughout. You don't need to be fancy, just consistent.
Be true to your brand. Customers won't return to you--or refer you to
someone else--if you don't deliver on your brand promise.
Be consistent. This tip involves all the above and is the most important tip on
this list. If you can't do this, your attempts at establishing a brand will fail.
Branding is a marketing strategy that involves creating a differentiated name
and image -- often using a logo and/or tag line -- in order to establish a
presence in the consumer’s mind and attract and keep customers.

The Importance of Brand Awareness

First Step:
Creating brand awareness is usually the first step in building advertising
objectives. Before you can create a favorable impression or motivate customers
to buy, they have to become aware of your brand and its meaning. Marketing
messages delivered through various media are often used to communicate the
brand name and important messages tied to its products. Making people aware
that you exist helps drive traffic to your business and create a buzz in the
market.

Top of Mind:
The highest level of brand awareness is top of mind awareness. This is
when customers think of you first when they need to make a purchase within
your product category. You can build top of mind awareness through repeated
exposure and consistent delivery of a good product or service over time. This is
a huge advantage in the market when customers enter a buying situation and
your brand immediately comes to mind first.

Build Equity:
Equity is the value of your brand beyond your physical assets like
buildings and equipment. To develop a strong brand equity you have to develop
a high level of brand awareness. The more people are aware of you and the
stronger your reputation, the greater your profit potential and overall brand
value. Word of mouth in the market plays a strong role in helping your brand
grow its customer base and develop loyal relationships with top customers.

Digital Impact:
The importance of brand awareness has become increasingly significant
with the evolution of the Internet and digital technology. The public is more
equipped with mobile and social media tools to communicate quickly about your
brand -- good or bad. This means that establishing a strong reputation for good
products or services, integrity in your business practices and community
involvement are even more critical to long-term success.

Characteristics of a good brand name :

Characteristics of a Good Brand Name – A good brand name should

possess as many of the following characteristics as possible

1) It should be distinctive: The market is filled with over-worked names and

over-used symbols. A unique and distinctive symbol is not only easy to
remember but also a distinguishing feature. “North star” shoes have a distinct
name.
2) It should be suggestive: A well-chosen name or symbol should be suggestive
of quality, or may be associated with superiority or a great personality. The
name VIP Classic for travelers is suggestive of a superior quality for a distinct
class of people. Promise is suggestive of an assurance tooth health.
3) It should be appropriate: Many products are surrounded by a certain
mystique in the minds of the consumers. Carefree is an appropriate brand name
of a sanitary towel.
4) It should be easy to remember: It should be easy to read, pronounce and
spell. Tide, Surf, Gold Spot are examples of such brand names.
5) It should be adaptable to new products: Videocon is was good brand name
for TVs and VCRs but when it is extended to refrigerators and washing machines,
some of the sales appeal is lost. Hotline was a good name for gas stoves, but
definitely not a suitable name for TVs.
6) It should be registerable under the Indian laws of Trade Marks and
Copyrights.

Mostly a company develops several names for a product and makes a choice
later after debate and discussion.
The Importance of Building a Brand:

The brand is one of an organization’s most valuable assets. With brands

like Apple’s valued at $98.3 billion, Google’s at $93.3 billion, and Coca Cola’s at
$79.2 billion, it’s understandable why building and protecting a brand is a high
priority for marketing businesses of any size.
 A brand is far more than its outward representation, like a logo, or
advertising jingle and tagline. Marketing pundit Seth Godin’s defines a brand as,
“the set of expectations, memories…and relationships that account for a
consumer’s decision to choose one product or service over another.”

Strong brands can impact organizations across a variety of fronts:

 They support price premiums over competitors

 They attract new customers
 They help block new competitors, as loyal customers are less likely to
switch to new or different brands
 They help protect a business during economic downturns
 They create reservoirs of goodwill that can blunt the impact of business
crises
 They create a bigger footprint to enable expansion into new markets

Realizing such benefits takes a brand building strategy that is built around
trust, recognition and a positive image.

Who do you trust?

Consumers tend to favor and develop a high degree of loyalty to brands

they know they can trust. This requires establishing and communicating a brand
promise and building a customer experience that upholds the promise
consistently at every stage of the purchase cycle.

Trust comes with confidence in the underlies that define the brand: quality,
responsiveness, experience, credibility and innovation. It’s not just personal
experience that shapes the consumer’s trust and expectations that a brand will
deliver. Strong brands create evangelists who are not shy about sharing their
stories. Those types of peer endorsements are extremely powerful ways of
virally building a brand’s trust factor.

The importance of recognition.

When people are familiar with brands, they are more inclined to favor
them – provided there are positive associations inherent to that familiarity. The
visual representations are important. The look and feel that distinguish the
brand, from colors to logo to the name of the brand itself, need to be consistent
and easily recognized. This creates a comfort and confidence in the product or
service that the brand represents. It can also help differentiate the brand from
the increasing number of competitors in a crowded marketplace.

Shaping a positive image.

Above and beyond the visual image, there’s a broader and more
important matter at stake when it comes to a brand. It involves a reputation, or
perceptions of everything the brand represents, conveying a sense of the kind of
company that stands behind it. A number of factors and activities can help
achieve this over time. On one hand, there are the practical actions that a
business takes, and how brand-supporting they are. These include internal
practices and policies, like employment and advancement of minorities and
women or cultural nuances, like family friendly policies. They also include how
associates on the front lines deal with customers, from their responsiveness at
the purchase point to their helpfulness resolving complaints.

Another important contributor is the organization’s interest in and

generosity to the wider community, beyond its customers. In today’s world,
building the kind of vibrant and powerful brand that characterizes the strongest
businesses goes beyond mere products, names and logos. It takes a
sophisticated brand strategy that balances a diverse range of considerations to
deliver an overall customer experience that establishes and maintains a high
degree of trust and credibility.

Benefits of a Strong Brand:

A brand is the personality that identifies a product, service or company

(name, term, sign, symbol, design, or combination thereof); it also represents a
relationship to key constituencies: customers, staff, partners, investors etc.
Proper branding can yield higher product sales, and higher sales of products
associated with the brand (or brand association). For example, a a customer
who loves Pillsbury biscuits (and trusts the brand) is more likely to try other
products the company offers, such as chocolate chip cookies. Some people
distinguish the psychological aspect of brand associations (e.g., thoughts,
feelings, perceptions, images, experiences, beliefs, attitudes, etc.) that become
tied to the brand from the experiential aspect—the sum of all points of contact
with the brand, otherwise known as brand experience. Brand experience is a
brand's action perceived by a person. The psychological aspect, sometimes
referred to as the brand image, is a symbolic construct created within the minds
of people, consisting of all the information and expectations associated with a
product, service, or company providing them .

The branding process seeks to develop or align the expectations behind the
brand experience, creating an impression that a product or service associated
with a brand possesses certain qualities or characteristics that set it apart from
other (e.g., competitor) products or services. A brand is therefore one of the
most valuable elements in an advertising theme, as it demonstrates the
uniqueness of what the brand owner is able to offer in
the marketplace. Orientation of the whole organization towards its brand is
called brand orientation. Brand orientation is developed in response to market
intelligence. Brand strength analysis describes efforts to determine the strength
a brand has compared with its competitors. The art of creating and maintaining
a brand is called brand management. Careful brand management seeks to make
the product or services appealing and/or relevant to the target audience. Brands
should reflect more than mere differential of product cost versus selling price.
They should represent the sum of all valuable qualities of a product to the
consumer.

A brand which is widely known in the marketplace acquires brand

recognition. When brand recognition builds to the point of a critical mass of
positive sentiment in the marketplace, it is said to have achieved
brand franchise. Brand recognition is most successful when a brand is
recognized independent of the company's name, but rather
through visual signifiers like logos, slogans, and colors. Consumers may view
branding as an aspect of products or services, as it often serves to denote
certain attractive qualities or characteristics. From the perspective of brand
owners, branded products or services also command higher prices. Where two
products resemble each other, but one of the products has no associated
branding (such as a generic, store-branded product), people may often select
the more expensive branded product on the basis of the quality or reputation of
the brand or brand owner. Benefits of good brand recognition include facilitating
of new product acceptance, enabling market share penetration by advertising,
and resisting price erosion.

What is brand strategy?

By definition, brand strategy is a long-term plan for the development of a

successful brand in order to achieve specific goals. First, let's clear up the
biggest misconception about brand strategy: Your brand is not your product,
your logo, your website, or your name. In fact, your brand is much more than
that it's the stuff that feels intangible. But it's that hard-to-pin-down feeling that
separates powerhouse and mediocre brands from each other. So to help you rein
in what many marketers consider more of an art and less of a science, we've
broken down seven essential components of a comprehensive brand strategy
that will help keep your company around for ages.

Components for a Comprehensive Branding Strategy

1) Purpose

"Every brand makes a promise. But in a marketplace in which consumer

confidence is low and budgetary vigilance is high, it’s not just making a promise
that separates one brand from another, but having a defining
purpose," explains Allen Adamson, chairman of the North America region of
brand consulting and design firm Landor Associates.

While understanding what your business promises is necessary when

defining your brand positioning, knowing why you wake up everyday and
go to work carries more weight. In other words, your purpose is more
specific, in that it serves as a differentiator between you and your
competitors.

How can you define your business' purpose? According to Business Strategy
Insider, purpose can be viewed in two ways:

 Functional: This concept focuses on the evaluations of success in terms

of immediate and commercial reasons -- i.e. the purpose of the business
is to make money.
  Intentional: This concept focuses on success as it relates to the ability to
make money and do good in the world.

 When defining your business' purpose, keep this example in mind. While
making money is a priority, operating under that notion alone does little
to set your brand apart from others in your industry.

2) Consistency

 The key to consistency is to avoid talking about things that don’t relate to
or enhance your brand. Added a new photo to your business' Facebook
Page? What does it mean for your company? Does it align with your
message, or was it just something funny that would, quite frankly,
confuse your audience?

 In an effort to give your brand a platform to stand on, you need to be

sure that all of your messaging is cohesive. Ultimately, consistency
contributes to brand recognition, which fuels customer loyalty. (No
pressure, right?)

 To see a great example of consistency, let's look at Coca Cola. As a result

of their commitment to consistency, every element of their marketing
works harmoniously together. This has helped them become one of the
most recognizable brands in the world.

 Even on the surface of their social media accounts, for example, the
seamlessness of their brand is very apparent:

 To avoid leaving potential customers struggling to put the disconnected

pieces of your business together, consider the benefits of creating a style
guide. A style guide can encompass everything from the tone of voice
you'll use to the color scheme you'll employ to the way you'll position
certain products or services.

 By taking the time to define and agree upon these considerations, your
brand will benefit as a whole. Want to learn more about style
 guides? Check out this article my colleague Austin Knight published on the
web design style guides of big companies like Apple, Google, and
Starbucks.

3) Emotion

 Customers aren't always rational.

 How else do you explain the person who paid thousands of dollars more
for a Harley rather than buying another cheaper, equally well-made bike?
There was an emotional voice in there somewhere, whispering: “Buy a
Harley.”

 But why?

 Harley Davidson uses emotional branding by creating a community around

their brand. They began HOG -- Harley Owners Group -- to connect their
customers with their brand (and each other).

 By provided their customers with an opportunity to feel like they're part of

a larger group that's more tight-knit than just a bunch of motorcycle
riders, Harley Davidson is able to position themselves as an obvious
choice for someone looking to purchase a bike.

 Why? People have an innate desire to build relationships. Research from

psychologists Roy Baumeister and Mark Leary best describes this need in
their "belongingness hypothesis," which states: "People have a basic
psychological need to feel closely connected to others, and that caring,
affectionate bonds from close relationships are a major part of human
behavior."

 Not to mention, belongingness -- the need for love, affection, and being
part of groups -- falls directly in the middle of Maslow's hierarchy of
needs, which aims to categorize different human needs.
  The lesson to be learned? Find a way to connect to your customers on a
deeper, more emotional level. Do you give them peace of mind? Make
them feel like part of the family? Do you make life easier? Use emotional
triggers like these to strengthen your relationship and foster loyalty.

4) Flexibility

 In this fast-changing world, marketers must remain flexible to stay

relevant. On the plus side, this frees you to be creative with your
campaigns.

 You may be thinking, "Wait a minute, how am I supposed to remain

consistent while also being flexible?"

 Good question. While consistency aims to set the standard for your brand,
flexibility enables you to make adjustments that build interest and
distinguish your approach from that of your competition.

 In other words, "effective identity programs require enough consistency to

be identifiable, but enough variation to keep things fresh and
human," explains president of Peopledesign, Kevin Budelmann.

 Their secret? Flexibility.

 Between new commercials, a new website, new packaging, and new

product names, Old Spice managed to attract the attention of a new,
younger generation by making strategic enhancements to their already
strong brand.

 So if your old tactics aren’t working anymore, don’t be afraid to change.

Just because it worked in the past doesn't mean it's working now.

 Take the opportunity to engage your followers in fresh, new ways. Are
there some out-of-the-box partnerships your brand can make? Are there
attributes about your product you never highlighted? Use those to connect
with new customers and remind your old ones why they love you.
5) Employee Involvement

 As we mentioned before, achieving a sense of consistency is important if

you wish to build brand recognition. And while a style guide can help you
achieve a cohesive digital experience, it's equally important for your
employees to be well versed in the how they should be communicating
with customers and representing the brand.

 If your brand is playful and bubbly through Twitter engagements, then it

wouldn't make sense if a customer called in and was connected with a
grumpy, monotone representative, right?

 To avoid this type of mismatched experience, take note of Zappos'

approach.

 If you've ever been on the line with a customer service representative

from Zappos, you know what I'm talking about. If you haven't, check out
this SlideShare which details some of their most inspiring customer
support stories.

 Zappos is so committed to ensuring that not only their brand, but all
brands, remain consistent across digital and human interactions that
they've dedicated an entire department to the cause called Zappos
Insights.

 By holding all Zappos employees to their core values and helping other
companies implement the same approach, Zappos has built a strong
reputation for solid, helpful, and human customer service.

6) Loyalty

 If you already have people that love you, your company, and your brand,
don’t just sit there. Reward them for that love.

 These customers have gone out their way to write about you, to tell their
friends about you, and to act as your brand ambassadors. Cultivating
 loyalty from these people early on will yield more returning customers and
more profit for your business.

 Sometimes, just a thank you is all that's needed. Other times, it's better
to go above and beyond. Write them a personalized letter. Sent them
some special swag. Ask them to write a review, and feature them
prominently on your website. (Or all of the above!)

 When we reached 15,000 customers here at HubSpot, we wanted to say

thank you in a big way, while remaining true to our brand . so we dropped
15,000 orange ping pong balls from our fourth floor balcony and spelled
out thank you in big metallic balloons:

 And while it may have seemed a little out of the ordinary to some folks,
for those who know our brand, the gesture made perfect sense.

 Loyalty is a critical part of every brand strategy, especially if you're

looking to support your sales organization. At the end of the day,
highlighting a positive relationship between you and your existing
customers sets the tone for what potential customers can expect if they
choose to do business with you.

7) Competitive Awareness

 Take the competition as a challenge to improve your own strategy and

create greater value in your overall brand. You are in the same business
and going after the same customers, right? So watch what they do.

 Do some of their tactics succeed? Do some fail? Tailor your brand

positioning based on their experience to better your company.

 A great example of how to improve your brand by learning from your

competitors comes fromPizza Hut:
Brand Positioning :

Brand positioning refers to “target consumer’s” reason to buy your brand

in preference to others. It is ensures that all brand activity has a common aim;
is guided, directed and delivered by the brand’s benefits/reasons to buy; and it
focusses at all points of contact with the consumer.

Brand positioning must make sure that:

 Is it unique/distinctive vs. competitors ?

 Is it significant and encouraging to the niche market ?
 Is it appropriate to all major geographic markets and businesses ?
 Is the proposition validated with unique, appropriate and original products
?
 Is it sustainable - can it be delivered constantly across all points of contact
with the consumer ?
 Is it helpful for organization to achieve its financial goals ?
 Is it able to support and boost up the organization ?

In order to create a distinctive place in the market, a niche market has to be

carefully chosen and a differential advantage must be created in their mind.
Brand positioning is a medium through which an organization can portray it’s
customers what it wants to achieve for them and what it wants to mean to
them. Brand positioning forms customer’s views and opinions.

Brand Positioning can be defined as an activity of creating a brand offer in

such a manner that it occupies a distinctive place and value in the target
customer’s mind. For instance-Kotak Mahindra positions itself in the customer’s
mind as one entity- “Kotak ”- which can provide customized and one-stop
solution for all their financial services needs. It has an unaided top of mind
recall. It intends to stay with the proposition of “Think Investments, Think
Kotak”. The positioning you choose for your brand will be influenced by the
competitive stance you want to adopt.

Brand Positioning involves identifying and determining points of similarity and

difference to ascertain the right brand identity and to create a proper brand
image. Brand Positioning is the key of marketing strategy. A strong brand
positioning directs marketing strategy by explaining the brand details, the
uniqueness of brand and it’s similarity with the competitive brands, as well as
the reasons for buying and using that specific brand. Positioning is the base for
developing and increasing the required knowledge and perceptions of the
customers. It is the single feature that sets your service apart from your
competitors. For instance- Kingfisher stands for youth and excitement. It
represents brand in full flight.

There are various positioning errors, such as-

1. Under positioning- This is a scenario in which the customer’s have a

blurred and unclear idea of the brand.
2. Over positioning- This is a scenario in which the customers have too
limited a awareness of the brand.
3. Confused positioning- This is a scenario in which the customers have a
confused opinion of the brand.
4. Double Positioning- This is a scenario in which customers do not accept
the claims of a brand.

Brand Identity :

Brand identity stems from an organization, i.e., an organization is

responsible for creating a distinguished product with unique characteristics. It is
how an organization seeks to identify itself. It represents how an organization
wants to be perceived in the market. An organization communicates its identity
to the consumers through its branding and marketing strategies. A brand is
unique due to its identity. Brand identity includes following elements - Brand
vision, brand culture, positioning, personality, relationships, and presentations.
Brand identity is a bundle of mental and functional associations with the brand.
Associations are not “reasons-to-buy” but provide familiarity and differentiation
that’s not replicable getting it. These associations can include signature tune(for
example - Britannia “ting-ting-ta-ding”), trademark colours (for example - Blue
colour with Pepsi), logo (for example - Nike), tagline (for example - Apple’s
tagline is “Think different”),etc.
 Brand identity is the total proposal/promise that an organization makes to
consumers. The brand can be perceived as a product, a personality, a set of
values, and a position it occupies in consumer’s minds. Brand identity is all that
an organization wants the brand to be considered as. It is a feature linked with a
specific company, product, service or individual. It is a way of externally
expressing a brand to the world. Brand identity is the noticeable elements of a
brand (for instance - Trademark colour, logo, name, symbol) that identify and
differentiates a brand in target audience mind. It is a crucial means to grow your
company’s brand.

Brand identity is the aggregation of what all you (i.e. an organization)

do. It is an organizations mission, personality,promise to the consumers and
competitive advantages. It includes the thinking, feelings and expectations of
the target market/consumers. It is a means of identifying and distinguishing an
organization from another. An organization having unique brand identity have
improved brand awareness, motivated team of employees who feel proud
working in a well branded organization, active buyers, and corporate style.
Brand identity leads to brand loyalty, brand preference, high credibility, good
prices and good financial returns. It helps the organization to express to the
customers and the target market the kind of organization it is. It assures the
customers again that you are who you say you are. It establishes an immediate
connection between the organization and consumers. Brand identity should be
sustainable. It is crucial so that the consumers instantly correlate with your
product/service.

Brand identity should be futuristic, i.e, it should reveal the associations

aspired for the brand. It should reflect the durable qualities of a brand. Brand
identity is a basic means of consumer recognition and represents the brand’s
distinction from it’s competitors.

Brand Loyalty:

Brand Loyalty is a scenario where the consumer fears purchasing and

consuming product from another brand which he does not trust. It is measured
through methods like word of mouth publicity, repetitive buying, price
sensitivity, commitment, brand trust, customer satisfaction, etc. Brand loyalty is
the extent to which a consumer constantly buys the same brand within a product
category. The consumers remain loyal to a specific brand as long as it is
available. They do not buy from other suppliers within the product category.
Brand loyalty exists when the consumer feels that the brand consists of right
product characteristics and quality at right price. Even if the other brands are
available at cheaper price or superior quality, the brand loyal consumer will stick
to his brand.

Brand loyal consumers are the foundation of an organization.

Greater loyalty levels lead to less marketing expenditure because the

brand loyal customers promote the brand positively. Also, it acts as a means of
launching and introducing more products that are targeted at same customers at
less expenditure. It also restrains new competitors in the market. Brand loyalty
is a key component of brand equity.

Brand loyalty can be developed through various measures such as quick

service, ensuring quality products, continuous improvement, wide distribution
network, etc. When consumers are brand loyal they love “you” for being “you”,
and they will minutely consider any other alternative brand as a replacement.
Examples of brand loyalty can be seen in US where true Apple customers have
the brand's logo tattooed onto their bodies. Similarly in Finland, Nokia customers
remained loyal to Nokia because they admired the design of the handsets or
because of user- friendly menu system used by Nokia phones.

Brand loyalty can be defined as relative possibility of customer shifting

to another brand in case there is a change in product’s features, price or
quality.

As brand loyalty increases, customers will respond less to competitive

moves and actions. Brand loyal customers remain committed to the brand, are
willing to pay higher price for that brand, and will promote their brand always. A
company having brand loyal customers will have greater sales, less marketing
and advertising costs, and best pricing. This is because the brand loyal
customers are less reluctant to shift to other brands, respond less to price
changes and self- promote the brand as they perceive that their brand have
unique value which is not provided by other competitive brands.
 Brand loyalty is always developed post purchase. To develop brand
loyalty, an organization should know their niche market, target them, support
their product, ensure easy access of their product, provide customer satisfaction,
bring constant innovation in their product and offer schemes on their product so
as to ensure that customers repeatedly purchase the product.

What is Brand Value

Branding has emerged as a corporate strategy in the recent times. All

business organizations in all sectors have embraced the strategy of building their
identity through their corporate brands besides the product related brands.
Branding is definitely a marketing strategy. However the strategy of investing
into brand building and managing the reputation of the corporate brand goes
beyond marketing. Branding is considered to be a strategy that is driven and
managed by the CEO or the organization along with the senior management as
well as marketing heads. Over the recent years, we see new concepts of brand
value, brand power and brand equity etc. being coined and measured.

If marketing professionals found it difficult to justify and obtain sanctions

for the brand promotional activity, today they no longer need to worry. Brand
value and expenses towards brand building have become an accepted part of the
balance sheet. Capitalizing the brand value and the expenses towards meeting
the brand promotion are budgeted and accounted for in the balance sheets and
in many cases the ROI of a brand is also calculated to reflect the brand value
status over time.

Brand management has gained prominence in recent times. The fact that
we have global brands that have been well established for over fifty years goes
on to prove the fact that brands certainly have the power to make or break in
the markets. Goodyear, Coco Cola, Gillette, Nestle, Kelloggs, Schweppes, Brooke
bond etc have been around for a very long time and have gained certain brand
power to drive growth through brand reputation and relationship with the
consumers.

Marketers have realized the growing power of brands and have begun to
nurture the brand image and cultivate value through brand
ambassadors.
 Most of the lifestyle and luxury brands globally and locally have well
known actors and sports persons etc as brand ambassadors. Through the
persona of the brand ambassadors, the marketers derive the power to connect
with the consumers and build brand loyalty. Realizing the brand power also calls
for working on the product quality and continuous modification both in the
product as well as in the promotion of brand ambassadors. Building and growing
strong brand at a global level calls for the entire organization to be brand
oriented. The best example of building and realizing strong brand power and
unleashing the brand value is Apple. If you think that the entire world outside is
an Apple fan, you are right. But the entire organization within also worship their
brand too. All of the strategies, decisions as well as day to day business
decisions at all levels are directed towards promotion of and strengthening of the
apple brand. The entire organization believes in the brand and all business
processes are driven to build the brand and deliver superior customer experience
through the brand. Apple as a global brand is perhaps the best example of a
successful corporate brand.

As much as the corporate strategy has got to account for the branding
strategy, the marketing has also to ensure that they work on the different
aspects of the brand packaging, design, etc and keep working on the brand so
that it is consistent with the changing times, markets, consumer expectations
and taste etc.

The brands have their own value. The market leadership and
profitability of a certain product or business is realized through the
brand value.

Growing the brand power and using the brand value as a driver to
increase profitability as well as the market calls for expert management of
branding. Maintaining the leadership of a brand calls for strategic planning in the
long term perspective.

Brand Extension

Brand Extension is the use of an established brand name in new product

categories. This new category to which the brand is extended can be related or
unrelated to the existing product categories. A renowned/successful brand helps
an organization to launch products in new categories more easily. For instance,
Nike’s brand core product is shoes. But it is now extended to sunglasses, soccer
balls, basketballs, and golf equipments. An existing brand that gives rise to a
brand extension is referred to as parent brand. If the customers of the new
business have values and aspirations synchronizing/matching those of the core
business, and if these values and aspirations are embodied in the brand, it is
likely to be accepted by customers in the new business.

Extending a brand outside its core product category can be beneficial in a

sense that it helps evaluating product category opportunities, identifies resource
requirements, lowers risk, and measures brand’s relevance and appeal.

Brand extension may be successful or unsuccessful.

Instances where brand extension has been a success are-

i. Wipro which was originally into computers has extended into shampoo,
powder, and soap.
ii. Mars is no longer a famous bar only, but an ice-cream, chocolate drink
and a slab of chocolate.

Instances where brand extension has been a failure are-

i. In case of new Coke, Coca Cola has forgotten what the core brand was
meant to stand for. It thought that taste was the only factor that
consumer cared about. It was wrong. The time and money spent on
research on new Coca Cola could not evaluate the deep emotional
attachment to the original Coca- Cola.
ii. Rasna Ltd. - Is among the famous soft drink companies in India. But when
it tried to move away from its niche, it hasn’t had much success. When it
experimented with fizzy fruit drink “Oranjolt”, the brand bombed even
before it could take off. Oranjolt was a fruit drink in which carbonates
were used as preservative. It didn’t work out because it was out of
synchronization with retail practices. Oranjolt need to be refrigerated and
it also faced quality problems. It has a shelf life of three-four weeks, while
other soft- drinks assured life of five months.
Advantages of Brand Extension

Brand Extension has following advantages:

1. It makes acceptance of new product easy.

a. It increases brand image.
b. The risk perceived by the customers reduces.
c. The likelihood of gaining distribution and trial increases. An
established brand name increases consumer interest and
willingness to try new product having the established brand name.
d. The efficiency of promotional expenditure increases. Advertising,
selling and promotional costs are reduced. There are economies of
scale as advertising for core brand and its extension reinforces each
other.
e. Cost of developing new brand is saved.
f. Consumers can now seek for a variety.
g. There are packaging and labeling efficiencies.
h. The expense of introductory and follow up marketing programs is
reduced.
2. There are feedback benefits to the parent brand and the organization.
a. The image of parent brand is enhanced.
b. It revives the brand.
c. It allows subsequent extension.
d. Brand meaning is clarified.
e. It increases market coverage as it brings new customers into brand
franchise.
f. Customers associate original/core brand to new product, hence they
also have quality associations.

Disadvantages of Brand Extension

1. Brand extension in unrelated markets may lead to loss of reliability if a

brand name is extended too far. An organization must research the
product categories in which the established brand name will work.
2. There is a risk that the new product may generate implications
that damage the image of the core/original brand.
 3. There are chances of less awareness and trial because the management
may not provide enough investment for the introduction of new product
assuming that the spin-off effects from the original brand name will
compensate.
4. If the brand extensions have no advantage over competitive brands in the
new category, then it will fail.

Brand Association :

Brand Associations are not benefits, but are images and symbols
associated with a brand or a brand benefit. For example- The Nike Swoosh,
Nokia sound, Film Stars as with “Lux”, signature tune Ting-ting-ta-ding with
Britannia, Blue colour with Pepsi, etc. Associations are not “reasons-to-buy” but
provide acquaintance and differentiation that’s not replicable. It is relating
perceived qualities of a brand to a known entity. For instance- Hyatt Hotel is
associated with luxury and comfort; BMW is associated with sophistication, fun
driving, and superior engineering. Most popular brand associations are with the
owners of brand, such as - Bill Gates and Microsoft, Reliance and Dhirubhai
Ambani.

Brand association is anything which is deep seated in customer’s mind

about the brand.

Brand should be associated with something positive so that the customers

relate your brand to being positive. Brand associations are the attributes of
brand which come into consumers mind when the brand is talked about. It is
related with the implicit and explicit meanings which a consumer
relates/associates with a specific brand name. Brand association can also be
defined as the degree to which a specific product/service is recognized within it’s
product/service class/category. While choosing a brand name, it is essential that
the name chosen should reinforce an important attribute or benefit association
that forms it’s product positioning. For instance - Power book.

Brand associations are formed on the following basis:

 Customers contact with the organization and it’s employees;

 Advertisements;
  Word of mouth publicity;
 Price at which the brand is sold;
 Celebrity/big entity association;
 Quality of the product;
 Products and schemes offered by competitors;
 Product class/category to which the brand belongs;
 POP ( Point of purchase) displays; etc

Positive brand associations are developed if the product which the brand
depicts is durable, marketable and desirable. The customers must be persuaded
that the brand possess the features and attributes satisfying their needs. This
will lead to customers having a positive impression about the product. Positive
brand association helps an organization to gain goodwill, and obstructs the
competitor’s entry into the market.

What is Brand Personality

Brand personality is the way a brand speaks and behaves. It means

assigning human personality traits/characteristics to a brand so as to achieve
differentiation. These characteristics signify brand behaviour through both
individuals representing the brand (i.e. it’s employees) as well as through
advertising, packaging, etc. When brand image or brand identity is expressed in
terms of human traits, it is called brand personality. For instance - Allen Solley
brand speaks the personality and makes the individual who wears it stand apart
from the crowd. Infosys represents uniqueness, value, and intellectualism.

Brand personality is nothing but personification of brand. A brand is

expressed either as a personality who embodies these personality traits (For
instance - Shahrukh Khan and Airtel, John Abraham and Castrol) or distinct
personality traits (For instance -Dove as honest, feminist and optimist; Hewlett
Packard brand represents accomplishment, competency and influence). Brand
personality is the result of all the consumer’s experiences with the brand. It is
unique and long lasting.

Brand personality must be differentiated from brand image, in sense that,

while brand image denote the tangible (physical and functional) benefits and
attributes of a brand, brand personality indicates emotional associations of the
brand. If brand image is comprehensive brand according to consumers’ opinion,
brand personality is that aspect of comprehensive brand which generates it’s
emotional character and associations in consumers’ mind.
Brand personality develops brand equity. It sets the brand attitude. It is a
key input into the look and feel of any communication or marketing activity by
the brand. It helps in gaining thorough knowledge of customers feelings about
the brand. Brand personality differentiates among brands specifically when they
are alike in many attributes. For instance - Sony versus Panasonic. Brand
personality is used to make the brand strategy lively, i.e, to implement brand
strategy. Brand personality indicates the kind of relationship a customer has with
the brand. It is a means by which a customer communicates his own identity.

Brand personality and celebrity should supplement each other.

Trustworthy celebrity ensures immediate awareness, acceptability and optimism
towards the brand. This will influence consumers’ purchase decision and also
create brand loyalty. For instance - Bollywood actress Priyanka Chopra is brand
ambassador for J.Hampstead, international line of premium shirts.

Brand personality not only includes the personality

features/characteristics, but also the demographic features like age, gender or
class and psychographic features. Personality traits are what the brand exists
for.

Corporate Branding

Today branding as an image building and identity building process has

been adopted by virtually every segment of the society. Though we are more
aware of branding in the products and services sectors, corporate branding as
well as branding by different sectors such as sports, NGO, Cultural and religious
organizations including country and regional brand building by nations can be
witnessed in different fields. Branding and image building has become an
important exercise for all Organizations as well as institutions.

As far as the organizations go, brand building has become a strategic

move, one that is not owned and crafted by their marketing departments. It is
the CEOs and the senior management who own and manage the corporate brand
identity. In fact in some cases, the promoters of the Organizations have their
own individual brand identity coupled with having to build and manage their
Business or corporate identity as well. Richard branson is perhaps the best
example where he is a brand in himself as well as owns the corporate brand of
‘Virgin’ Group.

Corporate brand is not just a brand identity for the organization. It is

actually representative of the core values, ethics and the value
proposition that the organization stands for in relation to its business
and its customers.

To a large extent the corporate brand is also the ambassador of the

culture and value system of the Organization and its reputation. Brand value or
measure of a corporate brand has to be evaluated in terms of its relevant to the
customers, its value proposition to its customers as well as its value as
perceived by the investors as well. The stock market sentiments are perhaps
reflectors of the brand image and value of a corporate brand. As far as the
investors are concerned, they measure the company’s performance in terms of
brand value too, besides the balance sheet performance. Industry experts have
created models to measure the brand equity of an organization as well as to
measure the brand value in the eyes of investors etc.

Maintaining the core brand value, the brand image lies with the
management of the Organization. Creating and delivering the brand value
experience is an activity that encompasses the entire Organization including all
business processes and employees of the Organization? In the changing market
environment, the customer perceptions and requirements keep changing as well.
The Corporate branding has got to be managed keeping in line with the new
developments as well. There has got to be continuous enhancement of value
offering by the Corporate brand keeping in line with the changing markets and
consumer perceptions. Take the case of IBM. The corporate brand image took a
beating for some time when the Organization which was a leader in its industry
segment lost touch with the changing environment and failed to keep up with
the changing needs. It took a while for the Organization to realize its mistake
and make the required changes to divest certain businesses and strengthen their
focus on the key business segment and once again rise to the challenge of
becoming a leader in its segment. Though the corporate brand did take a
beating, the brand image and value certainly helped the organization charter its
new course and make that course correction without losing its reputation in the
market.

Today’s consumers and customers are highly aware and make their
informed choices. To be able to build customer loyalty and sustain the
leadership position in the long run, the organization has got to work on
its corporate brand value and deliver superior brand experience at all
times.

The brand experience is a mixture of real time experience that is the

outcome of interaction with the customer as well as his perception of the brand
experience which is a cumulative impression of his past and present experience,
knowledge as well as the perception of the Organizational value and reputation.

Brand Promise

Brand evokes the responses. There are many people who love their Apple
iPod or love their car etc. There are certain feelings that come to your mind
when you think about your favorite brands. People expect that these brands
should demonstrate brand promises every time whenever they are, encountered.
Inconsistencies in the performance of services can lead to damage in further
relations. This can cause a customer to select some other brand.

Brand promise is what you say to the customer and what is to be

delivered.

If you are not able to meet the expectations of the customer, your
business will either flounder or die. If you are not able to deliver the brand
promise you will not be able to meet the expectations that have been created in
the customers mind.

There are three major mistakes that the business leaders make while
executing and developing the brand promise:

The first mistake is when you refuse to recognize the customer

expectations that are created in customers mind before it comes in contact
 with that particular brand. The customers are very easily able to realize your
brand promise by the business you are dealing with. For example, if you have
a gourmet restaurant then the customers will have a image in their mind that
it will different from the local restaurant. This is one of the major reason, why
one should work for every smallest detail. For example, the image of a
gourmet restaurant does not include plastic menus or paper placemats.

The second major mistake is to implement a system which gives a negative

experience to the customer. Business leaders work on creating efficient
results for saving time and money. Human beings are self-centered creatures
with a thought in their mind to save money and time for us. For example, a
customers asks do you accept credit card? Do you accept all credit cards or
only master card and visa? If you don’t accept these cards, does it make any
difference in the cost? Its just that you are losing sales. Then what are the
other services you are giving to the customer in place which is the attraction
for the customers. Any small inconvenience which will force the customer to
say that “you are not completely service oriented” and encourages the
customer to some other brand.

The third major mistake is that when you are not able to hire the best
candidate. You easily hire anyone who applies and don’t even put some
efforts to train them gives a really terrible experience to the customers.
Brand promises are delivered by the staff. If your goal is to be a business
leader you will invest time to train the staff. If you select a person who is
very polite and does not even know how to dress up for an interview then
you competition should send a thank you card for all the business you will
send his way.

People who want to become the business leader understand they are a great
product brands. They are authentic, dependable and reliable. Their icon is their
name. Delivering the best of themselves is their brand promise. Do you want to
become winner at working? Then, deliver the brand promise.
Steps in Building a Brand Name Product or Service

At times, organizations are often inspired by a variety of ideas to create

products and services which can be offered locally or globally. Generally, such
products or services require the establishment of a brand or company name.
Often these brands include both logo and lettering and can do a long way in
advertising such products or services. Therefore, one of the most important
steps in building a Brand is decide upon a brand name for the product or service
one wishes to sell.

Branding is a process that allows an individual or a group of individuals

the ability to provide a brand image and lettering to an idea.

Upon doing so, one has a better chance of selling such items to a broader
audience whether that be on a local or global level. Therefore, while the old
adage “nothing happens until somebody sells something,” still stands true to
some extent, at times almost seems as if the process of advertising and
branding has overtaken the desire to sell.

Although branding generally identifies the company and philosophies

behind same, it can also be representative of those working for such a company.
This is a good thing as it generates the right type of audience to the product or
service being sold based on personal relationships with those running the
company. Therefore, benefiting both the organizations selling the branded
product or service and the dealers buying same.

One of the most important steps in selling any product or service is

the belief one holds in relation to the item. Therefore, only those who strongly
believe in the products and services offered by the company are going to be
good at selling same. Otherwise, one may want to work from an advertising or
graphic artist perspective in relation to advertising rather than sales when it
comes to time to market same.

Another step is to build a brand that maintains loyalty with its customer
base and has a strong customer service department. For, having such a
department in today's world where one is both experienced and knowledgeable
when it comes to helping others can be a rare find. So, companies who
represent oneself has having a strong customer base and even stronger
customer service department are often more successful than those who do not.

A very important step in marketing a brand is to identify the target

audience before creating the logo and lettering in relation to marketing. This is
because different age groups react differently to a variety of logo and lettering
especially as so much is misrepresented by a variety of gangs and others using
such material inappropriately. Therefore, if one can define the brand name, logo
and lettering and present same to a marketing research review panel or the like,
one may be able to gain a better understanding of which audience one needs to
direct their product or service to in order to create the most sales. Still, if one
can communicate the use of their product or service clearly, establish trust
within the community, be that locally or globally, aim marketing at the right
audience, build a base of buyers and customer loyalty and offer great customer
service, then one is on their way to not only creating and advertising an
excellent brand but selling one as well.

Therefore, when looking for steps in building a brand, there are many
steps which one can complete to help make the creation of such brand an easier
task. These include, knowing your audience, building your brand, finding a great
logo and lettering to represent same, targeting the appropriate audience and
placing a number of ads in as many online and offline advertising venues one
can find. For, after doing so, one may just find that they are selling even more
products and services than one had ever dreamed possible.

Tips for Successful Brand Management

The internet has changed the way that companies present themselves to
the masses, whether or not they actually have web properties to manage. Every
time a company does something bad it seems to find its way online. Managing
perception among internet users is nearly impossible because once something
gets out, it has a tendency to spread like wildfire.

Letting Followers Do the Talking

Generating regular content for web properties is difficult. Coming up with

new things to say on a consistent basis is harder than it looks. Rather than force
out updates, the following that a web property garners can do all the talking.
Word-of-mouth advertising is one of the most effective ways to promote a
company. Good or bad, let them say what they have to say. Positive feedback in
this arena can do more for a business than pretty much anything.

Unifying Web Properties

Since there are so many ways for a company to present its message, it’s
natural for companies to have multiple properties on different websites. Clients
and customers should get a consistent message no matter what property they
visit. All of the properties should also feed into each other in an effort to increase
their growth. The demands of the audience for each web property are different
and the content should reflect that.

Interacting with Customers

It makes no sense for a company to have a web presence and never use it
as a means of opening up the lines of communication with customers. Some
companies even disable the ability of their customers to send messages on
Facebook or they take forever to reply if they have the function enabled. This
approach will only lead to discontent among the customer base. Receiving
feedback can help companies figure out their shortcomings and fix them.

Knowing the Audience

All companies have a demographic that follows their every move. As a

result, all content that’s posted on the internet should address that audience.
Additional advances should be made to people who are unaware of the brand.
The content should circle back around to the original message intended for the
main audience.