Chapter 9

Informational labeling

- helps make proper selections - lowers cognitive dissonance - includes use/care

Brand strength

- leadership (25%) - stability 15 - market 10 Geographic spread 25 Trend 10 Support 10 Protection 5

Benefits to consumers (BE)

- search cost reducer - signal of quality - risk reducer - symbolic device

BE benefits to companies

- source of comp advantage - predictability and security of demand - barriers to entry - financial returns

4 connecting attributes of a strong brand

1. Consistent brand message 2. Focus on long-term growth 3. manage customer experience 4. meaningful, memorable, likable

Functions of packaging.

1. contain and protect 2. promote 3. facilitate storage, use and convenience 4. facilitate recycling

Brand Elements

A brand is an identifying name, term, design, symbol or any other feature that identifies one marketer's product as distinct from those of other marketers. Branding helps buyers identify and evaluate products. It also benefits sellers by facilitating product introduction, repeat purchasing, and promotional efforts.

Brand

A name, term, sign, symbol, or design, or a combo of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors

Attributes of a strong brand

A strong brand occupies a distinct position in consumer's minds based on relevant benefits and creates an emotional connection between businesses and consumers

Interbrand's Brand Equity formula

Brand Earnings = - brand sales - cost of sales - marketing costs - overhead expenses - remuneration of capital charge - taxation

How can we measure this intangible value?

Brand Equity. If MV/Tangible Assets > 1 then we've created intangible value Coke... stock price x shares divided by tangible assets is 5 then it is intangible

Branding Strategies

Brand/No brand Manufacturer's brand - Private brand - Individual brand, family brand, combo

The role of Brands

Branding within the middle... 1. Higher perceived quality 2. Price premium 3. Greater market share 4. Financial strength 5. Brand expansion

Branding

Core benefit... What is the customer really buying? Value proposition...What does the brand deliver that customers value? Must be competitively superior

Brand Asset Valuator (BAV)

Differentiation, Relevance, Esteem, Knowledge

Building brands

How do marketers strategically attempt to create a stronger brand in the marketplace? Concepts such as brand image, brand personality, and co-branding will be investigated to illustrate this process

Your brand isn't what YOU say it is...

It's what THEY say it is

Marketing and branding

Marketing creates, communicates, and delivers the product

Building strong brands

Provides identity, projects the right messages, saves time

Brand personality frmaework

Sincerity, excitement, competence, sophistication, ruggedness sincerity: down to earth, honest, wholesome cheerful Excitement: daring, spirited, imaginative, up to date

Brand Elements (collection that differentiates you)

Slogans, brand names, websites, characters, color scheme, logos

Aaker's five levels of customer attitude toward a brand

TOP TO BOTTOM 1. Devoted to brand 2. Values the brand (brand as friend) 3. Satisfied and Switching Cost 4. Satisfied Customer(no reason to change) 5. No brand loyalty (customer will change)

Brands are the touch points to a consumer

They stand for something. brands are a promise to deliver specific benefits associated with products or services to consumers. (Nike, apple, MD)

Brands are intangible...

but they have tangible impact on consumers product experience

Package shape and size

can package size accelerate usage volume? - people our from 15-40% more from large vs. small containers Shape = people perceive tall, slender glasses to hold more than short, wide glasses. pouring drinks.

Persuasive labeling

focuses on promotional theme consumer information is secondary

Marketing creates

intangible value

Building strong brands starts with

positioning

Brand equity is...

reflective of long-term trust built by brand in consumers' mind indicative of "strength" of brand and brand "fit" with consumers can be so strong that brand name becomes the category name(master brand)

Brand image

salient and feeling-related associations

Brand personality

specific "personality-type" traits or characteristics ascribed by consumers to different brands *Comes through in the things you decide to TALK about

Packaging and labeling

the final goal is to understand how packaging and labeling is used in marketing strategies. Effective packaging offers protection, economy, safety, and convenience. Labeling is used for identification, promotional, and information and legal purposes.

Brand Equity

the marketing and financial value associated with a brand's strength. The major components of a brand equity include brand name awareness, brand loyalty, perceived brand quality, and brand associations.