BRAND

MANAGEMENT

Mohammadhossein Eftekhar
87215011

1
 What is a Brand?
 A brand is a name, term, sign, symbol, or
design which is intended to identify the goods
or services of one seller or group of sellers
and to differentiate them from those of
competitors.

2
 New Branding Challenges
 Brands are important as ever
 Consumer need for simplification
 Consumer need for risk reduction
 Brand management is as difficult as ever
 Savvy consumers
 Increased competition
 Decreased effectiveness of traditional marketing
tools and emergence of new marketing tools
 Complex brand and product portfolios

3
 The Customer/Brand
Challenge

 In this difficult environment,

marketers must have a keen
understanding of:
 customers
 brands
 the relationship between the two

4
 The Concept of Brand Equity
 The brand equity concept stresses
the importance of the brand in
marketing strategies.
 Brand equity is defined in terms of
the marketing effects uniquely
attributable to the brand.
 Brand equity relates to the fact that different
outcomes result in the marketing of a
product or service because of its brand
name, as compared to if the same product or
service did not have that name.
5
 The Concept of
Customer-Based Brand
Equity
 Customer-based brand equity
 Differential effect
 Customer brand knowledge
 Customer response to brand marketing

6
 Determinants of
Customer-Based Brand
Equity
 Customer is aware of and familiar with
the brand
 Customer holds some strong, favorable,
and unique brand associations in
memory

7
 Building
Customer-Based Brand Equi
 Brand knowledge structures depend on . . .
 The initial choices for the brand elements
 The supporting marketing program and
the manner by which the brand is
integrated into it
 Other associations indirectly transferred
to the brand by linking it to some other
entities
8
 Benefits of
Customer-Based Brand
Equity
 Enjoy greater brand loyalty, usage, and
affinity
 Command larger price premiums
 Receive greater trade cooperation &
support
 Increase marketing communication
effectiveness
 Yield licensing opportunities
 Support brand extensions.
9
 Customer-Based Brand
Equity
as a “Bridge”
 Customer-based brand equity
represents the “added value”
endowed to a product as a result of
past investments in the marketing of a
brand.
 Customer-based brand equity provides
direction and focus to future marketing
activities

10
 The Key to Branding
 For branding strategies to be
successful, consumers must be
convinced that there are meaningful
differences among brands in the
product or service category.
 Consumer must not think that all
brands in the category are the same.
 PERCEPTION = VALUE
11
 Strategic Brand
Management
 Strategic brand management involves the
design and implementation of marketing
programs and activities to build, measure, and
manage brand equity.
 The strategic brand management process is
defined as involving four main steps:
1) Identifying and establishing brand positioning and
values
2)  Planning and implementing brand marketing
programs
3)  Measuring and interpreting brand performance
4)  Growing and sustaining brand equity

12
 Strategic Brand Management Process

STEPS KEY CONCEPTS

Identify and Establish
Brand Positioning and Values
Mental maps
Competitive frame of reference
Points-of-parity and points-of-difference
Core brand values
Brand mantra

Mixing and matching of brand elements

Plan and Implement Integrating brand marketing activities
Brand Marketing Programs Leveraging of secondary associations

Brand Value Chain

Measure and Interpret Brand audits
Brand tracking
Brand Performance
Brand equity management system

Brand-product matrix
Brand portfolios and hierarchies
Grow and Sustain Brand expansion strategies
Brand Equity Brand reinforcement and revitalization
13
 Motivation for
Customer-Based Brand Equity
Model
 Marketers know strong brands are
important but aren’t always sure how
to build one.
 CBBE model was designed to be …
 comprehensive
 cohesive
 well-grounded
 up-to-date
 actionable 14
 Rationale of
Customer-Based Brand Equity
Model
 Basic premise: Power of a brand resides in the
minds of customers
 Challenge is to ensure customers have the right
types of experiences with products & services
and their marketing programs to create the
right brand knowledge structures:
 Thoughts
 Feelings
 Images
 Perceptions
 Attitudes

15
 Building
Customer-Based Brand Equity
 Building a strong brand involves a series of
steps as part of a “branding ladder”
 A strong brand is also characterized by a
logically constructed set of brand “building
blocks.”
 Identifies areas of strength and weakness
 Provides guidance to marketing activities

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CUSTOMER-BASED BRAND EQUITY PYRAMID

4.4. RELATIONSHIPS
RELATIONSHIPS ==
RESONANCE What
Whatabout
aboutyou
you&&me?
me?

3.3. RESPONSE
RESPONSE ==
JUDGMENTS FEELINGS
What
Whatabout
aboutyou?
you?

2.2. MEANING
MEANING ==
PERFORMANCE IMAGERY What
Whatare
areyou?
you?

1.1. IDENTITY
IDENTITY ==
SALIENCE
Who 17
Whoare
areyou?
you?
 Salience Dimensions
 Depth of brand awareness
 Ease of recognition & recall
 Strength & clarity of category
membership
 Breadth of brand awareness
 Purchase consideration
 Consumption consideration

18
 Performance Dimensions
 Primary characteristics & supplementary
features
 Product reliability, durability, and
serviceability
 Service effectiveness, efficiency, and
empathy
 Style and design
 Price 19
 Imagery Dimensions
 User profiles
 Demographic & psychographic characteristics
 Actual or aspirational
 Group perceptions -- popularity
 Purchase & usage situations
 Type of channel, specific stores, ease of purchase
 Time (day, week, month, year, etc.), location, and context of
usage
 Personality & values
 Sincerity, excitement, competence, sophistication, &
ruggedness
 History, heritage, & experiences
 Nostalgia
 Memories
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 Judgment Dimensions
 Brand quality
 Value
 Satisfaction
 Brand credibility
 Expertise
 Trustworthiness
 Likability
 Brand consideration
 Relevance
 Brand superiority
 Differentiation

21
 Feelings Dimensions
 Warmth
 Fun
 Excitement
 Security
 Social approval
 Self-respect

22
 Resonance Dimensions
 Behavioral loyalty
 Frequency and amount of repeat purchases
 Attitudinal attachment
 Love brand (favorite possessions; “a little pleasure”)
 Proud of brand
 Sense of community
 Kinship
 Affiliation
 Active engagement
 Seek information
 Join club
 Visit web site, chat rooms

23
Customer-Based Brand Equity
Model

Consumer- INTENSE,
INTENSE,ACTIVE
ACTIVE
LOYALTY
LOYALTY
Brand
Resonance

RATIONAL
RATIONAL&&
Consumer Consumer EMOTIONAL
EMOTIONAL
Judgments Feelings REACTIONS
REACTIONS

POINTS-OF-
POINTS-OF-
PARITY
PARITY&&
Brand Brand POINTS-OF-
POINTS-OF-
Performance Imagery DIFFERENCE
DIFFERENCE

DEEP,
DEEP,BROAD
BROAD
Brand Salience BRAND
BRAND
AWARENESS 24
AWARENESS