Part 01: Introduction

Objectives Of The Report

The study has been undertaken with the Iollowing objectives:
To analysis the ideas oI global market analysis and branding
To have better orientation on global branding strategy.
To have a practical oriented experience regarding branding strategy.
To get an overall idea about the branding strategy oI a global brand

$cope of the Report
The study would Iocus on the Iollowing areas oI
oncept oI brand and its beneIits
ackground oI a global brand I
rand building model used by I
iIIerent advertisement programs oI I
comprehensive analysis oI advertising and other marketing campaigns launched by the
company
imitation of The Report
This report has been prepared based on the secondary sources oI inIormation. The Iollowing
inIormation were not properly Iocused because oI both time and data constraints:
uture ambitions oI the company regarding the brand
pricing policy oI the company Ior diIIerent categories oI services
ther Iirms reaction oI the companies branding strategies
Technological development oI the Iirms
The Iuture strategy oI the company
ustomer reactions regarding diIIerent strategy oI the company etc.

Report Organization
This report is divided in six chapters. Part 01 is the introduction oI the report. Part 02 is asic
oncepts oI the topics oI report. Part 03 deals randing model oI I. 8rand elemenLs of l8M Lo
bulld brand equlLy are critically analyzed in Part 04. Part 05 deals with Integrated arketing
Programs oI I to build rand Equity. We have our suggestions and recommendations in part
06.

Part 02: Basic Concepts
Definition of Brand
traditional deIinition oI a brand was: 'the name, associated with one or more items in the
product line that is used to identiIy the source oI character oI the item|1| .The merican
arketing ssociation deIines a brand as a "name, term, design, symbol, or any other Ieature
that identiIies one seller's good or service as distinct Irom those oI other sellers. The legal term
Ior brand is trademark. brand may identiIy one item, a Iamily oI items, or all items oI that
seller. II used Ior the Iirm as a whole, the preIerred term is trade name." |2|
Within this view, as Keller (2003a) says, 'technically speaking, then, whenever a marketer
creates a new name, logo, or symbol Ior a new product, he or she has created a brand |3| .He
recognizes, however, that brands today are much more than that. s can be seen, according to
these deIinitions brands had a simple and clear Iunction as identiIiers. eIore the shiIt in Iocus
towards brands and the brand building process, brands were just another step in the whole
process oI marketing to sell products. 'or a long time, the brand has been treated in an oII-hand
Iashion as a part oI the product|4| .Kotler (2000) mentions branding as 'a major issue in
product strategy . s the brand was only part oI the product, the communication strategy
worked towards exposing the brand and creating brand image. KapIerer (1997) mention ed that
'the brand is a sign -thereIore external - whose Iunction is to disclose the hidden qualities oI the
product which are inaccessible to contact|5| .
Benefits of global branding
In auuition to taking auvantage of the outstanuing giowth oppoitunities, the following
uiives the incieasing inteiest in taking bianus global:
O Economies oI scale (production and distribution)s
O ower marketing costs
O aying the groundwork Ior Iuture extensions worldwide
O aintaining consistent brand imagery
O "uicker identiIication and integration oI innovations (discovered worldwide)
O Preempting international competitors Irom entering domestic markets or locking you out
oI other geographic markets
O Increasing international media reach (especially with the explosion oI the Internet) is an
enabler
O Increases in international business and tourism are also enablers
panding role of brand
It was meant to make identiIying and diIIerentiating a product easier. ver time, brands
came to embrace a perIormance or beneIit promise, Ior the product, certainly, but
eventually also Ior the company behind the brand. Today, brand plays a much bigger
role. rands have been co-opted as powerIul symbols in larger debates about economics,
social issues, and politics. The power oI brands to communicate a complex message
quickly and with emotional impact and the ability oI brands to attract media attention,
make them ideal tools in the hands oI activists.|6|
Global brand variables
The Iollowing elements may diIIer Irom country to country:
O orporate slogan
O Products and services
O Product names
O Product Ieatures
O Positionings
O arketing mixes (including pricing, distribution, media and advertising execution)
These diIIerences will depend upon:
O anguage diIIerences
O iIIerent styles oI communication
O ther cultural diIIerences
O iIIerences in category and brand development
O iIIerent consumption patterns
O iIIerent competitive sets and marketplace conditions
O iIIerent legal and regulatory environments
O iIIerent national approaches to marketing (media, pricing, distribution, etc.)
Background of IBM
International usiness achines (I) (NYSE: I) is an merican multinational technology
and consulting Iirm headquartered in rmonk, New York. I manuIactures and sells computer
hardware and soItware, and it oIIers inIrastructure, hosting and consulting services in areas
ranging Irom mainIrame computers to nanotechnology.|7|
The company was Iounded in 1911 as the omputing Tabulating Recording orporation through
a merger oI Iour companies: the Tabulating achine ompany, the International Time
Recording ompany, the omputing Scale orporation, and the undy anuIacturing
ompany.|8||9| TR adopted the name International usiness achines in 1924, using a name
previously designated to TR's subsidiary in anada and later South merica. Its distinctive
culture and product branding has given it the nickname Big Blue.
In 2011, Fortune ranked I the 18th largest Iirm in the U.S.,|10| as well as the 7th most
proIitable|11| Globally, the company was ranked the 31st largest Iirm by Forbes Ior
2011.|12||13| ther rankings Ior 2011 include #1 company Ior leaders (Fortune), #2 best global
brand (Interbrand), #3 green company (Newsweek), #12 most admired company (Fortune), and
#18 most innovative company (Fast Company).|14| I employs more than 425,000 employees
(sometimes reIerred to as "Iers") in over 200 countries, with occupations including scientists,
engineers, consultants, and sales proIessionals.|15| I holds more patents than any other U.S.-
based technology company and has nine research laboratories worldwide.|16| Its employees have
garnered Iive Nobel Prizes, Iour Turing wards, nine National edals oI Technology, and Iive
National edals oI Science.
|12|
amous inventions by I include the automated teller machine
(T), the Iloppy disk, the hard disk drive, the magnetic stripe card, the relational database, the
Universal Product ode (UP), the Iinancial swap, R, and Watson artiIicial intelligence.
The company has undergone several organizational changes since its inception, acquiring
companies like SPSS (2009) and Pw consulting (2002), spinning oII companies like exmark
(1991), and selling oII product lines like ThinkPad to enovo (2005).
$ervices of IBM
I Global usiness Services is organized into six service lines:
O Strategy & TransIormation
O Enterprise pplications - SP
O Enterprise pplications - racle
O usiness nalytics and ptimization
O pplication Innovation Services
O pplication anagement Services
Main Competitors of IBM
O ccenture
O earingPoint
O apgemini
O ognizant Technology Solutions
O omputer Sciences orporation
O eloitte onsulting
O HP Enterprise Services
O H Technologies
O InIosys Technologies
O Siemens IT Solutions and Services
O Tata onsultancy Services
O Wipro

evels of IBM`s consulting services
Five product levels: product is anything that can be oIIered to a market Ior attention,
acquisition, or use, or something that can satisIy a need or want. ThereIore, a product can be a
physical good, a service, a retail store, a person, an organization, a place or even an idea.
Products are the means to an end wherein the end is the satisIaction oI customer needs or
wants. Kotler distinguished three components:
O need: a lack oI a basic requirement;
O ant a speciIic requirement Ior products or services to match a need;
O Demand a set oI wants plus the desire and ability to pay Ior the exchange.
ustomers will choose a product based on their perceived value oI it. SatisIaction is the degree to
which the actual use oI a product matches the perceived value at the time oI the purchase.
customer is satisIied only iI the actual value is the same or exceeds the perceived value. Kotler
deIined Iive levels to a product:|17|
1. Core Benefit The Iundamental need or want that consumers satisIy by consuming the product
or service.
2. Generic Product version oI the product containing only those attributes or characteristics
absolutely necessary Ior it to Iunction.
3.pected Product The set oI attributes or characteristics that buyers normally expect and
agree to when they purchase a product.
. Augmented Product Inclusion oI additional Ieatures, beneIits, attributes or related services
that serve to diIIerentiate the product Irom its competitors.
5. Potential Product all the augmentations and transIormations a product might undergo in the
Iuture.
Kotler noted that much competition takes place at the ugmented Product level rather than at
the ore eneIit level or, as evitt put it: New competition is not between what companies
produce in their Iactories, but between what they add to their Iactory output in the Iorm oI
packaging, services, advertising, customer advice, Iinancing, delivery arrangements,
warehousing, and other things that people value.'
Five levels of IBM`s consulting services
evel

IBM Consulting services

Core Benefit

onsulting services and business
solutions
Generic evel

Experienced technology problems that
I was able to solve.

pected evel

I is there with solutions Ior smaller
as well as larger, more complex
technology needs.

Augmented evel

Remained vigorous, innovative, and a
purveyor oI technology and solutions
while retaining its latent strengths oI
global scope, leadership, and reliability
usinesses solve problems in speciIic
areas
ustomizing business solutions and
improving processes based on the
uniqueness oI each individual Iirm.
Help companies innovate by changing
their processes and technology.

Potential evel

The most comprehensive provider oI
end-to-end solutions Ior e-business.
Help individual companies innovate,
capitalize on their inherent strengths
and redeIine their business processes to
diIIerentiate themselves versus their
competitors.
eveloped new ways oI doing business
Solutions are based on each Iirm`s
unique capabilities and possibilities.
Have developed new ways oI doing
business with I`s help and how this
has given them a competitive
advantage.
eans Ior companies to signiIicantly
change how they do business when
seeking ways to grow
ontinue to transIorm itselI into a
company that helps other Iirms run
their business in areas such as
accounting, human resources,
procurement and customer service


Part 03: Branding model of IBM
Branding model folloed by IBM
I Iollowed customer based brand equity (E) model Ior brand building. ustomer ased
rand Equity odel (E) approaches brand equity Irom the perspective oI the customer
whether customer is an individual or an organization. The E model provides a unique point
oI view as to what brand equity is and how it should best be built, measured and managed. The
power oI a brand lies in what customers have learned, Ielt, seen and heard about the brand as a
result oI their experiences over time. The big challenge Ior marketers is to ensure that customers
have the right type oI experiences with their products and services. In order to do this, marketers
must develop marketing programs in way that best Iit into customers' mind and linked the brand
to the desire customers' Ieelings, thoughts, actions and belieIs. So that customer-based brand
equity is deIined as, the diIIerential eIIect that brand knowledge has on consumer response to the
marketing oI that brand. |18|





Brand $alience:
It's means broad awareness oI the brand. The Iirst step in building brand equity is the brand
awareness that contains two parts;
Brand recognition (how easily customer identiIy a brand aIter exposing some cue or a physical
product) and brand recall (how easily customer recall the brand without showing a cue while
making purchase decision or thinking the product category). We must consider both the breadth
and depth oI the brand awareness; the depth is that how likely it is Ior a brand element to come to
mind and a breadth is the range oI purchase and the situations in which the brand comes to mind
oI the consumers. brand we easily recall has a deeper level oI brand awareness and breadth is
related to the product knowledge in the memory oI the consumer.
To established brand awareness the Iirst step taken by I to project a single brand identity
around the world was the launching oI a new advertising campaign in January 1995 with a
contemporary tone known as 'Subtitles. The goal oI the campaign was to communicate the
message that I delivers solutions that are simple and powerIul enough to manage inIormation
anywhere, anytime, and Ior anyone. The tagline Ior the campaign was '$olutions for a $mall
Planet. The goal of the advertising was to convey that IBM was capable of solving business
problems, not fust hardware and software issues .The campaign was eIIective in communicating
that technology aIIects even average people around the world and I is there with solutions Ior
smaller as well as larger, more complex technology needs.
ompanies must also consider or develop the product category structure Ior the brand or product
hierarchy because customers always make a hierarchical decision while purchasing some product
or service, the Iirst thing comes his/her mind is the product category then he/she goes Iurther. So
it is very important that consumers consider our brand in their desired product category while
making purchased decision.

Brand performance:
It is describes how well the product or service meets customers' more Iunctional needs. rand
perIormance directly related with the Ieatures oI the product that diIIerentiate it Irom others.
Iten, the strongest brand positioning relies on perIormance advantages oI the brand. Important
types oI attributes and beneIits oIten underlie brand perIormance. The important attributes and
beneIits oI I are as Iollows as Iollows:
remained vigorous, innovative, and a purveyor oI technology and solutions while
retaining its latent strengths oI global scope, leadership, and reliability
customizing business solutions and improving processes based on the uniqueness oI each
individual Iirm.
help companies innovate by changing their processes and technology.
the most comprehensive provider oI end-to-end solutions Ior e-business.
help individual companies innovate, capitalize on their inherent strengths and redeIine
their business processes to diIIerentiate themselves versus their competitors.
developed new ways oI doing business
solutions are based on each Iirm`s unique capabilities and possibilities.
have developed new ways oI doing business with I`s help and how this has given
them a competitive advantage.
means Ior companies to signiIicantly change how they do business when seeking ways to
grow
continue to transIorm itselI into a company that helps other Iirms run their business in
areas such as accounting, human resources, procurement and customer service

Brand Imagery:
It is the second part oI brand meaning and also called the emotions part oI brand meaning (rand
perIormance is the logic part). It mainly depends on the intrinsic properties oI the product or
service, including the way how well the brand attempts to meet the customers' psychological or
social needs. Imagery reIers to more intangible aspects oI the brand, and customers can Iorm
imagery associations directly Irom their own experiences or through advertising or some other
source oI inIormation indirectly. Intangible aspects oI the brand are as:
O User proIiles
O Purchase and usage situation
O Personality and values
O History, heritage and experiences
emographics Iactors (gender, age, race, income, Iamily) aIIect the Iirst two types oI aspects
while psychographics aIIect on the personality and values.

'$olutions for a $mall Planet campaign launched by I originated Irom a Iocus group in
Paris where a participant made the observation that: 'It`s as iI technology is making the world
smaller and bringing everyone closer together because we all share the same problems. The
commercials developed Ior the campaign used the same imagery but were varied Ior each
country by the use oI subtitles in the local language. The campaign targeted '-level
executives, such as Es, Is, and s, rather than the previous target audience oI
procurement and inIormation technology executives.

The campaign communicated an important message that I remained vigorous, innovative,
and a purveyor oI technology and solutions while retaining its latent strengths oI global scope,
leadership, and reliability. Several oI the print ads Irom the 'Solutions Ior a Small Planet
campaign as well as a photo board oI the 'Nuns TV commercial are shown in the power point
Iile that accompanies the case. Several oI the print ads Irom the 'Solutions Ior a Small Planet
campaign as well as a photo board oI the 'Nuns TV commercial are shown in the power point
Iile that accompanies the case.
While the 'Subtitles campaign was a step in the right direction, I needed to go Iurther
creatively by showing prospective customers that the company was hip to new technologies,
understood their needs and issues, and had the solutions to make a diIIerence. Key to developing
this kind oI advertising was the need to build a creative group that had a deep understanding of
business and technology issues. In 1997, I published a 3,000-word maniIesto in The Wall
$treet Journal and The New York Times, using copy written in business terms a E or I
would use, rather than tech-heavy terminology. It illustrated to potential customers that I
understood their business, spoke their language and had the expertise to help them solve their
problems so they could perIorm better. The photography was very 'street level, providing the
perspective that I was out oI the ivory tower and in the trenches working with its clients to
help them solve their business problems.
Brand judgments:
It is the third stage oI the E model which has also two parts or routes; brand judgment and
brand Ieelings. rand judgments are customers' personal opinions about and evaluations oI the
brand, which customers Iorm by putting together all the diIIerent brand perIormance and
imagery associations. ustomers usually make Iour types oI judgments as:
1.Brand Quality; brand attitudes generally depend on speciIic attributes and beneIits oI the
brand. To established s quality brand I oIIer the Iollowing services:

experienced technology problems that I was able to solve.
I is there with solutions Ior smaller as well as larger, more complex technology needs.
business consulting and not just technology consulting
businesses solve problems in speciIic areas
help companies innovate by changing their processes and technology.
solutions are based on each Iirm`s unique capabilities and possibilities.
2. Brand Credibility; judgments about the company or organization behind the brand.
ustomers may see that whether the brand is competitive, innovative and market leader. The
company always considers customers` priorities in mind and creates interest and Iun so that
customers enjoying while consuming the brand.

remained vigorous, innovative, and a purveyor oI technology and solutions while
retaining its latent strengths oI global scope, leadership, and reliability
businesses solve problems in speciIic areas
customizing business solutions and improving processes based on the uniqueness oI each
individual Iirm.
help companies innovate by changing their processes and technology.

3. Brand Consideration; customers think or consider the brand while making purchase
decisions.
I targeted '-level executives, such as Es, Is, and s, rather than the target
audience oI procurement and inIormation technology executives. The goal oI the advertising
was to convey that I was capable oI solving business problems, not just hardware and
soItware issues
Brand $uperiority; customers view the brand as unique and better that other. To make the
brand unique and better than other the Iollowing services are oIIered by I :
the most comprehensive provider oI end-to-end solutions Ior e-business.
help individual companies innovate, capitalize on their inherent strengths and redeIine
their business processes to diIIerentiate themselves versus their competitors.
developed new ways oI doing business
solutions are based on each Iirm`s unique capabilities and possibilities.
have developed new ways oI doing business with I`s help and how this has given
them a competitive advantage.
means Ior companies to signiIicantly change how they do business when seeking ways to
grow
continue to transIorm itselI into a company that helps other Iirms run their business in
areas such as accounting, human resources, procurement and customer service

Brand Feelings:
These are customers' emotional responses and reactions to the brand. The emotions evoked by a
brand can become so strongly associated that they are accessible during product consumption or
use. The Iollowing are six important types oI brand-building Ieelings.
O armth; the brand makes consumers Ieel a sense oI calm or peaceIulness.
O Fun; makes consumers Ieel amused, lighthearted, joyous, playIul, cheerIul, and so on.
O citement; makes consumers Ieel energized and they Ieel something special.
O $ecurity; the brand produces a Ieeling oI saIety, comIort, and selI-assurance.
O $ocial approval; consumers Ieel that others look Iavorably on their experience, behavior
and so on.
O $elf-respect; consumers Ieel a sense oI pride, accomplishment, or IulIillment.
The Ieeling evoked by the I is security. I provides service Ior business and technology
in a variety oI areas such as:
usinesses solve problems in speciIic areas
Help companies innovate by changing their processes and technology
eveloped new ways oI doing business
eans Ior companies to signiIicantly change how they do business when seeking ways to
grow
Solutions are based on each Iirm`s unique capabilities and possibilities
ustomizing business solutions and improving processes based on the uniqueness oI each
individual Iirm
y these services the company using the services Ieels one kind oI security in them.

Brand Resonance:
The Iinal step oI the model Iocuses on the ultimate relationship and level oI the identiIication
that the customer has with the brand. rand resonance describes the nature oI the relationship.
1. Behavior loyalty in terms oI repeat purchase and the amount or share oI category volume
attributed to the brand. The clients use the services oI I repeatedly. That is why the company
making revenue every year i.e. revenue Ior 2010 is US$56.4 billion
2. Attitudinal attachment customers should go beyond having a positive attitude to viewing
the brand as something special in a broader context. The clients seems the brand something
special Ior the Iollowing attributes:
Remained vigorous, innovative, and a purveyor oI technology and solutions while
retaining its latent strengths oI global scope, leadership, and reliability
The most comprehensive provider oI end-to-end solutions Ior e-business.
Help individual companies innovate, capitalize on their inherent strengths and redeIine
their business processes to diIIerentiate themselves versus their competitors.
3. $ense of community; customers Ieel kinship or aIIiliation with other people associated with
the brand. To establish a sense oI community the company uses the Iollowing tactics:
e-culture which Iocused on helping companies adapt to doing business on the web,
e-business people which Iocused on I`s global consulting services and
'e-business tools which included I`s products such as the ThinkPad personal
computer and servers.
The umbrella campaign recast all I communications in relation to doing business
online and helped the company come to own the 'e-business label.
. Active engagement; brand loyalty occurs when customers are engaged, or willing to invest
time, energy, money or other resources in the brand beyond those expended during purchase or
consumption oI the brand.|19|
IBM`s ebsite is designed to move prospects through the buying cycle Irom generating
awareness and initial interest, to providing inIormation such as case studies and testimonials, to
converting interest into a purchase decision.
Some oI the online tools I uses include webcasts, podcasts, virtual meetings, and sending
customized e-mails, as well as e-catalogs, and e-newsletters. Interested customers opt-in to
receive relevant inIormation. So the customers actively engage and invest time, energy Ior the
brand.

Part 0: Brand elements of IBM to build brand equity
Criteria of choosing brand elements

1. Memorable: necessary condition Ior building brand equity is achieving a high level oI
brand awareness. rand elements that promote that goal are inherently memorable and thereIore
Iacilitate recall and recognition. I is memorable because the brand element is easily recalled
and recognized, and short brand names.

2. Meaningful: brand elements may take on all kinds oI meaning with either prescriptive or
persuasive contents . The particular important criteria oI I are:

Inherent meaning: I means International usiness achines
General information about the nature of product category : International usiness
achines indicate that I provide services related to business
$pecific information about particular attributes and benefits of the brand : I
communicates a message that it is a business machines that means it provides services Ior
all business problems

3. ikable: ikeability indicates how aesthetically appealing is the brand element.I is
likeable because it has a concrete brand names.

. Transferable: an the brand element be used to introduce new products in the same or
diIIerent categories. rand equity across geographic boundaries and market segments. I is
transIerable because it can transIer into diIIerent business category such as at Iirst it was only
hardware and soItware services now it also provides anagement consulting services,
Technology consulting.

5. Adaptable: It indicates How adaptable and updatable is the brand element and hanged
to synchronize with the changing consumer perceptions and preIerences. I updates it logo
and name over time.
Updating oI logo over time


Updating oI name
lexander ey invented the dial recorder in 1888, and a year later Herman Hollerith patented
the Electric Tabulating achine, and Willard undy invented a time clock to record a
worker's arrival and departure time on a paper tape.|n June 16, 1911, these technologies and
their respective companies were merged by harles Ranlett lint to Iorm the Computing-
Tabulating-Recording Company (-T-R). In 1924 TR was renamed under International
usiness achine (I)
. Protectable: How legally protectable is the brand element. How competitively protectable.
Names that becomes synonymous with product categories. I is legally protectable.
Options and tactics of Brand elements
Brand name
The brand name is Iundamentally important choice because it oIten captures the central themes
or key association oI a product in a very compact and economical Iashion. rand names can be
an extremely eIIective shorthand means oI communication. The name I is a Iavorite brands
because oI
Simplicity and ease oI pronunciation and spelling
amiliarity and meaningIulness
iIIerentiated distinctive and unique
ogos and $ymbols
lthough the brand name is the central element oI the brand visual elements typically also play
a critical role in building brand equity and especially brand awareness. ogos have a long history
as a means to indicate origin, ownership, or association. To9 make logo eIIective and attractive
to all I changed its logo over time. It was shown below:



$logans
Slogans are short phrases that communicate descriptive or persuasive inIormation about the
brand. Slogans are powerIul branding devises because like brand names they are extremely
eIIicient and shorthand means to builds brand equity. I updates slogans over the time period.
They are :
Solutions Ior a Small Planet
N emand
The ther I
Help esk
Innovation That atters













Part 05: Integrated Marketing Programs of IBM to build Brand quity
1.$olutions for a $mall Planet:
The Iirst step taken by I to project a single brand identity around the world was the launching
oI a new advertising campaign in January 1995 with a contemporary tone known as 'Subtitles.
Objectives of the campaign
The goal oI the campaign was to communicate the message that I delivers solutions that are
simple and powerIul enough to manage inIormation anywhere, anytime, and Ior anyone. The
tagline Ior the campaign was 'Solutions Ior a Small Planet. It originated Irom a Iocus group in
Paris where a participant made the observation that: 'It`s as iI technology is making the world
smaller and bringing everyone closer together because we all share the same problems. The
commercials developed Ior the campaign used the same imagery but were varied Ior each
country by the use oI subtitles in the local language.
Targeted audience
The campaign targeted '-level executives, such as Es, Is, and s, rather than the
previous target audience oI procurement and inIormation technology executives. The goal oI the
advertising was to convey that I was capable oI solving business problems, not just hardware
and soItware issues
Information communicated by the campaign
The campaign was eIIective in communicating that technology aIIects even average people
around the world and I is there with solutions Ior smaller as well as larger, more complex
technology needs. This new campaign was in line with ou Gerstner`s strategic vision Ior the
company which was Ior I to be recognized as 'a provider oI solutions. |23|The campaign
also communicated an important message that I remained vigorous, innovative, and a
purveyor oI technology and solutions while retaining its latent strengths oI global scope,
leadership, and reliability. Several oI the print ads Irom the 'Solutions Ior a Small Planet
campaign as well as a photo board oI the 'Nuns TV commercial are shown in the power point
Iile that accompanies the case.
While the 'Subtitles campaign was a step in the right direction, I needed to go Iurther
creatively by showing prospective customers that the company was hip to new technologies,
understood their needs and issues, and had the solutions to make a diIIerence.
Key concept to develop the campaign
Key to developing this kind oI advertising was the need to build a creative group that had a deep
understanding oI business and technology issues. In 1997, I published a 3,000-word
maniIesto in The Wall Street Journal and The New York Times, using copy written in business
terms a E or I would use, rather than tech-heavy terminology. It illustrated to potential
customers that I understood their business, spoke their language and had the expertise to help
them solve their problems so they could perIorm better. The photography was very 'street
level, providing the perspective that I was out oI the ivory tower and in the trenches
working with its clients to help them solve their business problems.
2. The -business Campaign
The 'Subtitles campaign had one oI the most successIul runs oI any image-oriented advertising
campaign ever done by I. However, by the late 90s, the Internet was growing as more
companies were using it to conduct business and I was working with them to support their
electronic business processes such as advertising, merchandising, inventory management, order
IulIillment and customer service. Thus, I decided to position itselI as the most
comprehensive provider oI end-to-end solutions Ior e-business. This led to the introduction oI the
'e-business campaign,
Other sub campaigns under e-business campaign,
'e-business campaign, had several sub-campaigns to support diIIerent pieces oI I`s
business. These included
e-culture which Iocused on helping companies adapt to doing business on the web,
e-business people which Iocused on I`s global consulting services and
'e-business tools which included I`s products such as the ThinkPad personal
computer and servers.
The umbrella campaign recast all I communications in relation to doing business
online and helped the company come to own the 'e-business label.
ffects of -business Campaign
The campaign was give a contemporary look by producing television spots in black and white
with a horizontal, oblong Irame that created a screen with movie-type dimensions. The visual
was Iramed in I`s blue logo color, which evoked the brand`s longtime equity, but at the same
time, portrayed I in a Iresh, new way. The spots were 'slice oI business scenes in which
business people experienced technology problems that I was able to solve. The commercials
were witty and displayed a sense oI humor (traits that were not previously associated with I),
thereby projecting a much hipper, 'with it, and in-tune image onto the brand. Iemale voice-
over was used, which was another symbolic departure Irom its previous staid imagery, and
diIIerent Irom most other business technology advertising. The print ads were also done in black
and white with only the appearing in color (red).
Advertising under -business Campaign
s part oI the E-business campaign, I utilized testimonials around the theme oI 'XYZ
ompany is an I e-business. arge, well-known Iirms such as ercedes enz and
otorola, as well as others that were smaller and less known, were Ieatured in the testimonials.
pool oI print ads, illustrating the diversity oI e-business customers, appeared in magazines,
wild postings, outdoor billboards, and at airports. The campaign communicated the message that
I worked with companies oI all sizes across a wide range oI industries and its broad expertise
made them the most knowledgeable advisers Ior almost any business. ompanies started
approaching I asking to be included in the campaign as being portrayed as an 'e-business
enhanced the way they were perceived by their customers. Great synergy accrued to I Irom
putting all their communications behind a uniIied and relevant message. t the end oI 1998,
I did something Iormerly unheard oI in newspaper advertising. gilvy & ather created a
32-page color insert on heavy stock paper with a compilation oI the e-business print executions.
It included some surprising new content sprinkled throughout to create interest, a speciIic
explanation oI what e-business was all about, and a call to action Ior those interested in Iinding
out more about I solutions Ior e-business.
Business results of -business Campaign
The timing Ior the campaign was right, as e-commerce and all things 'e were starting to
explode. oreover, I`s association oI e-business with their brand in a big way at the outset
oI this explosion resulted in the company pre-emptively owning the term. hris Wall oI gilvy
& ather noted that:|24| 'The eIIect oI this simple decision was that I became one oI the
deIiners oI how the world would talk about internet-based business, and this became a
competitive advantage. y association, I became known as being at the IoreIront oI
developing ideas and recognizing technology trends: in short, it became a brand that 'got it.
Prior to this campaign, I was constantly in the position oI living down their 'stodgy past,
making it harder to compete against icrosoIt and other hot, young tech brands. ut aIter e-
business, I became one oI the leaders oI the pack. The crash oI the dot-coms made everyone
skeptical oI 20 something change-architects. I`s combination oI steadIastness, depth, and
its new, hipper, more cutting edge, and more 'in the trenches, image helped the company once
again be viewed as a stalwart, in contrast to so many other Ily-by-night high tech operations.
Within 18 months oI running the e-business campaign, the I brand had turned the corner and
was on its way back up. In 1998 I`s sales topped $80 billion Ior the Iirst time ever and
earnings were $6.3 billion. Even more impressive was the growth in I`s stock price which
had risen Irom a low oI $41 in the dark days oI early 1993 to nearly $125 by the summer oI
1999. ortune ran another cover story on I in 1999. However, this time the headline read
'rom inosaur to e-business animal.
3. The ON Demand Campaign
The 'e-business campaign ran Ior several years and was Iollowed by 'ON Demand, which
was the Iirst advertising campaign under Samuel Palmisano, I`s new hieI Executive who
took over the leadership oI the company when ou Gerstner retired in 2002.


Objectives of the ON Demand Campaign
Palmisano`s vision was to transIorm I by dramatically increasing its Iocus on the Iast-
growing usiness Services market. Palmisano accelerated the shiIt in Iocus Irom 'component
value (Ps and machines) to business value which involved providing end-to-end integrated
solutions. This expanded vision oI 'N emand business was based on the idea oI how the
world would work when businesses were Iully wired with broadband, all systems were
integrated, consumers had inIinite choice, trends happened Iaster, companies provided better
service and were more responsive to customer needs and business opportunities on a global
scale.
Information effects of The ON Demand Campaign
Richard Ryan, oI gilvy & ather, noted that: 't its simplest level, N is about getting your
company to run better. N means your company runs like clockwork. usiness is smoother.
iIe is good. ut people have heard all that beIore, so our Iirst step was to create customer
testimonials hina is N, Napster is N- to let people know that N emand is real and
making a diIIerence right now. ther executions-ighting cancer is N. lying Phones are N-
speak to innovation and strategic expertise. ong copy executions let us get to the meat and
potatoes oI speciIic business issues. N works across all oI I`s product divisions. It`s a
rallying cry Ior I`s 300,000 employees. It`s the marketing spearhead Ior Sam Palmisano`s
vision. eing N means you`re responsive and Ilexible. It means being on your game: on
budget, on track, on schedule. We wanted people to associate I with that new, N emand
way oI doing business. eirdre igley, |25|Vice President, Worldwide dvertising &
Interactive at I noted that 'while e-business` was all about e-commerce and the Internet,
N emand was all about the technology and movements such as supply chain optimization.
Business effects The ON Demand Campaign
The red N button used in the ads, combined with the words EN USINESS became the
brand signature in all marketing materials. The slogan also became the rallying cry Ior all
company divisions that cross-sell various I`s products and services in an attempt to improve
their customers` business perIormance. ll oI I`s sales representatives - Irom its server
division, to soItware, to outsourcing were selling the on-demand concept along with their own
products. N emand`s task was to drive the development oI all oI I`s soItware and
hardware, to make them capable oI mixing with and managing applications Irom other vendors.
ver time, I began to deIine themselves less and less through their speciIic hardware and
soItware products, and more as a total business solutions company in which consulting services
was the key part oI the '3-legged stool and a means to sell the company`s hardware and
soItware. E-business was all about the Internet and became too limiting Ior I as the they
needed to broaden their positioning. n I executive noted: 'usiness automation has blurred
the customary demarcation between business and inIormation technology, put IT at the heart oI
corporate strategy, and elevated the understanding oI the possibilities. s a result, companies
increasingly look Ior partners who can skillIully combine business insight with technology
expertise.
I purchased the consulting Iirm Price Waterhouse oopers in 2002 to enhance their expertise
in consulting services, their credibility, and to increase their client base. I Ielt it was now
uniquely positioned to provide the combination oI IT and business consulting expertise that Iirms
oI nearly every size and in virtually every industry need in order to grow market share and
revenue. They believed that no other Iirm in the world could deliver better on the combination
oI IT and business consulting to companies all over the world. s Wall Street analyst, avid
earley described it: 'I is morphing Irom a computer company into a business expert, selling
well-connected experts. I is changing its deIinition Irom International usiness achines, to
international business models.
major challenge Ior gilvy & ather in evolving the advertising Ior I was communicating
the expanding scope oI what the I brand stands Ior and the breadth oI its business. The
creative group had been given the task oI describing I`s oIIerings in a way that sounds
proprietary, but at the same time was understandable, to an ever-larger group oI business
proIessionals. With the acquisition oI Price Waterhouse oopers and the increased Iocus on
business services consulting, I no longer was targeting primarily IT users. Rather it was
marketing a broad line oI products and services to top-level decision makers at companies and
organizations oI all sizes.

. The Other IBM and elp Desk Campaigns
Since its inception, the name I has signiIied technology. However as the inIormation
technology consulting industry matured and web services were being built on open standards,
organizations were shiIting their deIinition oI business value to include processes and enterprise
optimization. In analyzing this new trend, I Iound itselI Iaced with one oI the biggest
opportunities in its history: the $1.2 trillion usiness Process TransIormation Services (PTS)
market. emand Ior PTS had escalated as companies increasingly realized the value oI
teaming with a strategic partner to help redesign their Iunctions and processes to become more
proIitable, eIIicient and competitive.
Objectives of the campaign
In 2005, I set upon a mission to position itselI as the leader oI the PTS market by increasing
awareness oI and consideration Ior its capabilities in this area to senior business executives. I
looked to gilvy & ather to develop an integrated marketing communications campaign to
help establish awareness, credibility, and ultimately preIerence Ior I as a provider oI business
consulting services. chieving this objective was not an easy task as it required maintaining
I`s equity oI superior technology and adding to it an equally strong perception that I
oIIers superior business consulting services as well. hris Wall noted that 'I has a strong
heritage as a technology company. lot oI people don`t realize they also do business consulting
and not just technology consulting. Thus, a major challenge Ior the I campaign was to get
-level executives to recognize that there is another 'side to I that provides business
transIormation services. s
The Other IBM campaign
In pril 2005 a campaign was launched using the tagline 'The ther I which was designed
to position the company as a provider oI business consulting services and communicate its
expertise in areas not typically associated with I.|26| The creative used in the television
commercials Ior the new campaign used imagery that alternated between scenes oI King
rthur`s Knights oI the Round Table wrangling with age-old business problems with
counterparts at a contemporary business conIerence table doing the same. The metaphor oI Sir
rthur`s usiness Roundtable allowed Ior real issues to be discussed in a manner that was both
inIormative and entertaining and to show how I usiness onsulting could help businesses
solve problems in speciIic areas.
'The ther I campaign was unveiled during television coverage oI the asters GolI
Tournament on S. The asters was the ideal platIorm Ior the launch due to the large number
oI senior business executives tuning in Ior the event. lso, since the asters only allowed
advertising Irom three sponsors, I was able to deliver its message with high Irequency and
without the clutter that typically hinders breakthrough during normal programming.
The TV launch was Iollowed by an eight-page maniIesto in The Wall Street Journal which was
used to set the premise oI 'The ther I and deIine it in the context oI business consulting
services. dditional print executions were used to elaborate on the King rthur metaphor as
well as to Iocus on speciIic areas in the PTS such as human resources, Iinance and accounting,
supply chain and procurement, sales and marketing, and strategy and change management. ll oI
the advertising directed prospects to a micro web site where users could explore content in areas
such as leadership and innovation, learn more about I`s speciIic capabilities in Iunctional
areas, read case studies and locate additional contact inIormation.
elp Desk campaign
In addition to advertising promoting 'The ther I, another integrated campaign called
'Help esk was run concurrently to show how I`s on demand computing solves real
problems and touches real people. The Iirst phase oI the integrated campaign Iocused on how
I helps the world at large, while the second phase Iocused on more industry and customer-
speciIic solutions.
Advertising media for elp Desk
To underscore I`s ability to deliver value-added services to a customer, the advertising used
the quick-problem solution metaphor oI a 'help desk across television, print and online
executions. or example, in the TV spots, the 'help desk appears in improbable places such as
a golI course where a group oI scientists needs help aIter its solar-powered golI cart runs amok
or in the middle oI a busy Ireeway where a motorcycle policeman stops to learn how I can
assist with traIIic control. The print ads Ieatured beautiIul photographs oI landscapes with
stylized help desk stickers attached to show a problem-solution scenario. The online execution
used an interactive component Ieaturing a large white room with classical columns where
visitors would encounter a number oI industry-speciIic scenarios Ior which the I help desk
representative devised a solution. The 'Help esk campaign received a 'to est ward
Irom to magazine,|27| a leading trade publication, as the outstanding integrated business-to-
business campaign oI 2005.
5. The Innovation That Matters Campaign
I was pleased with the results Irom 'The ther I and 'Help esk campaigns as they
demonstrated the company`s expertise in the area oI usiness onsulting Services and gained
credibility Ior I among business executives without negatively impacting its strong
technology heritage.
Objectives of the campaign
However, in arch 2006 the advertising moved in a new direction with the launch oI the
'Innovation That atters campaign that is designed to position I as a means Ior companies
to signiIicantly change how they do business when seeking ways to grow. The campaign was
developed in response to a major research study I had conducted which showed that aIter
years oI retrenchment, corporations were embracing change and planned to radically transIorm
themselves over the next several years.
The new campaign uses the tagline 'What makes you special? and its objective is to start a
business conversation and to open the door to exploring how I can help individual
companies innovate, capitalize on their inherent strengths and redeIine their business processes
to diIIerentiate themselves versus their competitors. The value proposition is that I can help
companies innovate by changing their processes and technology. The advertising Ieatures
companies that have developed new ways oI doing business with I`s help and how this has
given them a competitive advantage. The 'What makes you special? message also
communicates customization and that there is no one size Iits all prescription, as solutions are
based on each Iirm`s unique capabilities and possibilities.

The creative used for the campaign
The creative used Ior the campaign is very diIIerent Irom previous I ads and Irom other high
tech, business-to-business advertising. It uses bold, saturated colors and simple images Irom
everyday liIe (a radish, a pill, a car, a house) in a two-page print spread. The layout shows an
item by itselI on the leIt page oI the spread and a 'special item on the right so that readers are
drawn in to Iind out what`s special about it. Rather than using 'high-tech language, the copy
describes business applications in terms that are relatively easy to understand. The choice oI
lower case letters in the headlines and tagline conveys a lack oI pretension and shows that I
wants to communicate that discussions with clients will be 'down-to-earth and not intimidating.
bove all, the campaign speaks to customizing business solutions and improving processes
based on the uniqueness oI each individual Iirm. The message is that with the combination oI
I`s unparalleled consulting and technology expertise, customers can leverage their
capabilities and strengths to gain a competitive advantage in their industries.
Advertising under the campaign
I launched the new campaign, as they did with others by running a multi-page maniIesto in
The Wall Street Journal, the print media vehicle with the highest reach among -level
executives. The newspaper advertising broke a Iew days beIore the TV ads, which began airing
the Iollowing weekend, and magazine ads appeared two to three weeks later. dditional eight
page maniIestos were run to allow I to explain the new campaign more completely and also
provide examples oI how their products and services apply to a range oI diIIerent size companies
and diIIerent industries. The television commercials Ior the new campaign include a spot called
'nthem in which Ilower petals seem to inspire groups oI men and women to sing along with
an obscure song by the Kinks, 'I`m not like everybody else, that speaks to the new positioning.
The spot ends with a series oI questions that appear on the screen in white type such as 'What
makes you diIIerent? What makes you unique? What makes you special? nother spot takes a
Iairy tale approach by showing a stream oI oIIice plants Ileeing commoditized companies aIter
realizing that they will only be watered at companies that are growing. In addition to television
and print advertising, the global campaign includes 15 out-oI-home executions, a dedicated web
site (www.ibm.com/innovation), Internet banner ads and huge decals placed on the tarmacs oI
two anhattan helipads which hris Wall describes as 'metaphorical illustrations designed to
target corporate decision makers. The goal Ior the integrated campaign is to convey a sense oI
imagination and possibility as well as to communicate I`s ability to help companies do
special things.
. Internet Marketing
s with most high tech marketers oI business-to-business products and services, the Internet is
an ideal, cost-eIIective, targeted marketing tool used by I to help identiIy prospects and
provide inIormation about its products and services.
IBM`s ebsite is designed to move prospects through the buying cycle Irom generating
awareness and initial interest, to providing inIormation such as case studies and testimonials, to
converting interest into a purchase decision. Some oI the online tools I uses include
webcasts, podcasts, virtual meetings, and sending customized e-mails, as well as e-catalogs, and
e-newsletters. Interested customers opt-in to receive relevant inIormation.
IBM`s ebsite includes in-depth articles, reports written by technology experts, blogs Irom
people inside and outside the company and press releases. Topics covered include the range oI
I products, services and business processes that can be improved or transIormed, such as
innovation, growth, operations, customer loyalty, team perIormance, and corporate governance.
The products and services I provides that relate to each topic are elaborated on in the site.
Great care has gone into developing a site that is easy to navigate so customers can Iocus on
areas oI interest or where they are most likely to be seeking help. Prospects answer questions
online to provide I`s salespeople with data and inIormation that can be used to address each
customer`s speciIic needs. I`s internet marketing also includes paid search Ior keywords that
relate to speciIic topics and issues oI relevance to their customers on search engines such as
Google, Yahoo! and SN. I also has developed web sites to support its integrated marketing
communications campaigns which have included making commercials available Ior viewing by
visitors to the site as well as relevant case studies and testimonials. or example the web site
created to support the 'Innovation That atters campaign included a section where visitors
could view commercials, a Global E Study that could be downloaded, and a report on I`s
Global Innovation utlook.
Part 0: $uggestions and Conclusion
$uggestions and Recommendations
The branding strategy oI I is an eIIective strategy but marketers operating technologically
intensive market Iace a number oI unique challenges. So as a high-tech company I should
Iollow the Iollowing guidelines to improve company`s brand strategy:
It is important to have a brand strategy that provides a roadmap Ior the Iuture
Understand own brand hierarchy and manage it over appropriate time
Know who are the customers and build an appropriate brand strategy
Realize that building brand equity and selling products are two diIIerent exercises
rand are owned by the customers not engineers
rand strategies need to account Ior the attributes oI the E and adjust accordingly
rand building on a small budget necessitates leveraging every possible positive
association
Technology categories are created by customers and external Iorces , not by company
itselI
The rapidly changing environment demands the company stay in tune with internal and
external environment
Invest time to understands technology and value proposition and do not be aIraid to ask
questions
It is important Ior I as technology marketers to ask questions in order to educate itselI and
build credibility with the company`s engineers corps and with customers. To build trust among
engineers and customers I must strive to learn as much as they can out the technology.




Conclusion
The branding strategy oI I is an eIIective strategy over time. ecause oI being a strong brand
it now stand Ior the most innovative brand in the world. It Iollows customer based equity model
(E) to established brand equity. The diIIerent advertising campaigns Iollowed by I over
time were a very strong tool Ior establishing a strong brand. Since service innovation provides
the growth drivers Ior technology companies brand equity is sometimes built in the service
innovation. In the quest oI service innovation new technology companies have a tendency to
reinvent the wheel and claim they have created a new category. Yet only two groups can truly
create categories: analysts and customers. or this reason it is also important Ior the company to
manage the relationship with analysts in order to attract new customers.












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