MKTG 350 TEST #3 Chapter 11

Brand Licensing

-Is a contractual arrangement between firms whereby one firm allows another to use its brand name, logo, symbols and/or characters in exchange for a negotiated fee. -Common for toys, apparel, accessories , and entertainment products, such as video games. -The firm that provides the right to use its brand obtains revenues through royalty payments from the firm that has obtained the right to use the brand

When Frito-lay decided to introduce a salsa product line, it used the existing Tostitos brand. What advantages did this strategy provide Frito-Lay?

-Spend less on developing consumer brand awareness -Could Introduce the product sooner and more easily -The Tostitos brand already had brand associations that helped salsa

Brand Licensing:

1. Can be an effective way to attract visibility for a brand 2. is a way to generate additional revenue

The Risks associated with brand licensing include:

1. Diluting brand equity through overexposure 2. Undervaluing the brand in a licensing agreement

Risks in Co-branding include:

1. May fail when there are conflicts of interest between the Co- Brands 2. Customers for the two brands are being too different

Family Brand

A firm can use its own its own corporate name to brand all its product lines and products, Example: Kellogs Rice Krispies

The label is used for:

Branding/Promotion

Secondary Package

Is the wrapper or exterior carton that contains the primary package and provides the UPC label used by retail scanners

Consumer Products

are products and services used by people for their personal use. Marketers further classify consumer products by the way they are used and how they are purchased.

Shopping Products/Services

are products or services for which consumers will spend a fair amount of time comparing alternatives, such as furniture, apparel, fragrances, appliances, and travel alternatives

Unsought Products/Services

are products or services that consumers either do not normally think of buying or do not know about.

Convenience Products/services

are those products or services for which the consumer is not willing to expend any effort to evaluate prior to purchase

Firms should make sure the fit between the core brand and the extension: 2 of them

is credible, Makes sense

Primary Package

is the one consumer uses, such as the toothpaste tube.

Perceived Value

is the relationship between a products or service benefits and its costs Customers usually determine the offerings value in a relationship to that of its close competitors

Brand Ownership is a type of:

Branding Strategy

Brand Loyal consumers provide an important source of ______ for firms

Value

Which of the following are elements of "Product"?

Actual Product/ Associated Services

Retailer/Store Brands

Also called Private-label brands are products produced by retailers.

Product Lines

Are groups of associated items that consumers tend to use together or think

Specialty Products/Services

Are those for which customers express such a strong preference that they will expend considerable effort to search for the best suppliers

When a company goes out of business, it is sometimes able to sell its brand names to another company, based on the value of name recognition. This demonstrates that brands are:

Assets

Marketers Create brand awareness through repeated exposures of the various brand elements

Brand name, logo, symbol, character, packaging, or slogan

Actual Product

Attributes such as the brand name, features/design,quality level and packaging are important important, but the level of their importance varies, depending on the product

Products are Complex, with multiple components. A _______ product refers to the nonphysical aspects of the product, such as financing and support.

Augmented

If a Brand has high degree of Brand ______, it means that most consumers are familiar with the brand and what it stands for.

Awareness

If a brand has a high degree of brand ___________, it means that most consumers are familiar with the brand and what it stands for.

Awareness

The set of assets and liabilities linked to a brand that add to or subtract from the value provided by a service or product __________ Equity

Brand

The mental link customers make between a brand and its key product attributes is known as:

Brand Association

A company lives or dies based on _______

Brand Awareness

What makes a brand?

Brand Name, UrLS, Logos and Symbols, Characters(Snap, crack and pop), Slogans, Jingles/Sound

Which of the following are components of the actual product?

Brand Name/ Features and Design

The strategy in which marketers change a brands focus to target new markets, or realign the brand with chugging market preferences is known as:

Brand Repositioning

The use of an existing brand name in a different product line is called a:

Brand extension

Brands are Assets

Brands are also assets that can be legally protect through trademarks and copyrights and thus constitute a unique form of ownership. Firms sometimes have to fight to ensure their brand names are not being used, directly or indirectly, by others

Brand Ownership

Brands can be owned by any firm in the supply chain, whether manufacturers, wholesalers, and managed by the manufacturers.

A firms product mix_____ represents the number of product line offered by the firm

Breadth

One of Taco bells most successful new products has been its Doritos locos tacos , this is an example of:

Co-Branding

Which of the following is an example of product line extension?

Coke, in addition to its Diet coke flavors, introduces chocolate flavored Diet Cole Using the Coke name in part on the Product is extension

Because they include information like ingredients, dietary information, and the product benefits to a consumer, labels i this regard are _____ tools

Communication

Shopping Good

Compares alternatives and consumer spends moderate amounts of time and effort deciding among products, features, and brands

Specialty Good

Compares many alternatives, lots of time and effort involved in searching, and consumer has a good idea of the brand he or she will buy in advance

Product packaging offers a variety of benefits to which of the following?

Consumers, Retailers

Product are complex, with multiple components. _______ defines the basic problem solving benefits that consumers are seeking

Core Customer Value

Core Customer Value

Defines the basic problem solving benefits that consumers are seeking

Which of the following does NOT actually constitute a product and can be values by the consumer so he is willing to make an exchange?

Delivery of goods to Target Stores

The number of products within a product line is a firms product line:

Depth

Branding provides a way for a firm to _____ its product offerings from those of its competitors

Differentiate

Suppose that Toyota introduced a small, inexpensive car under its Lexus brand. This action might harm consumers current luxury-oriented brand associations for the Lexis brand. This is an example of Brand_______, a risk companies face when adding a new product to an existing brand.

Dilution

What are the Values of Branding for the customer? (5 of them)

Facilitate Purchasing Establish Loyalty Protect from Competition Are Assets Impact Market Value

Kelloggs's sells a variety of products under its own corporate name to brand all of it product lines, this is known as _______ brands

Family

Increase Depth

Firms might add items to address changing consumer preferences or to preempt competitors while boosting sakes

Increase Breath

Firms often add new product lines to capture new or evolving markets and increase sales

Decrease Depth

From time to time, it is also necessary to delete products within a product line to realign the firms resources

Which of these is the best example of a convenience product/service? Running shoes, Apartment, Gas, Jewelry

Gas

Since brands are easily recognized by consumers and signify a certain quality level to buyers, Brands:

Help consumers make quick decisions

Depth

In contrast equals the number of products within a product line

Toyota sells cars under several brands: Lexus, for luxury cars, Scion for targeting young consumers, and Toyota for its mid market cars. Toyota is using a _______ brand naming strategy to target different market segments

Individual

Co- Branding

Is the practice of marketing two or more brands together on the same package, promotion, or store.

Line Extension

Is the use of the same brand name within the same product line and represents an increase in a product lines depth

Give me an example of a corporate and product line brands

Kelloggs Corn Flakes

Manufacturer Brands

Known as national Brands are owned and managed by the Manufacturer ... Nike Coca-cola, sony Manufacturer develops the merchandise, produces it to ensure consistent quality, and invests in a marketing program to establish an appealing brand

Two basic brand ownership strategies

Manufacturer brands and retailer/store brands

Brand Awareness

Measures how many consumers on a market are familiar with the brand and what it stands for and have an opinion about it

Product lines are a part of a product_____

Mix

The complete set of all products and product lines offered by a firm is called its product assortment, or product__________

Mix

The value of a company is its overall _______

Monetary worth

Give me an example of an Individual Line?

Mr. Clean (Proctor and Gamble)

Individual Brand

Names for each of its products (Cheeze its is own by kelloggs but its not on the front like the cereals)

Branding Includes:

Naming, Slogans, Logos

Manufacturer brands such as Nike and Coca-Cola are also known as ______ Brands

National

Brand Loyalty

Occurs when a consumer buys the same brands product or service repeatedly over time rather than buy from multiple suppliers within the same category

Brand Dilution

Occurs when the brand extension adversely affects consumer perceptions about the attributes the core brand is believed to hold. Examples: Cheetos Lip Balm was based on the idea that if you like cheetos, you would want to wipe it all over your lips Lifesaver soda

Used BOTH to protect and to market the item, _______ is an important element of the brand that has significant or physical benefits that influence how buyers perceive it.

Packaging

From the Customers Perspective, the relationship between a products or services benefits and costs is called

Perceived Value

Good Marketing increases ______ by raising customers quality perceptions relative to price.

Perceived value

Another Name for a store brand is _____ Brand

Private label

A _____ Is anything that is of value to a consumer and can be offered through a voluntary marketing exchange

Product

The ____ Reflects the Breath and Depth of the companies product lines

Product Mix

Examples of Communication Media that firms use to create Brand awareness include:

Publicity, Advertising

By measuring the extent to which consumers in a market are familiar with a brand and what it stands for, marketers can asses the level of brand_________

Recognition/ Awareness

Brand Extension

Refers to the use of the same brand name in a different product line - Its an increase in the product mix's breadth Colgate sells toothpaste, tooth brushes and all kind of dental hygiene products even though there main one is toothpaste

Brand Associations

Reflect the mental and emotional links that consumers make between a brand and its key product attributes, such as a logo and its color, slogan, or famous personality

Firms Decrease Depth to: 2 things

Refocuses marketing efforts on profitable items Eliminate unprofitable items

A brand such as T-Mobile can build awareness through ______ exposure of the brands logo, symbol, and slogans

Repeated

Product Mix breadth

Represents a count of the number of product lines offered by the firm

_________ Products/services are typically consumer durables like a dryer of refrigerator. Buyers spend a fair amount of effort and time to make the comparisons before purchasing and usually do not know which one or which brand they will buy in advance of the process.

Shopping

Decrease Breath

Sometimes it is necessary to delete entire product lines to address changing market conditions or meet internal strategic priorities

______ products/services are those such as an apple iPod, a harley, or a Starbucks latte for which the consumer shows a fairly strong preference and loyalty and will go out of the way to find that specific brand

Specialty

Product are complex, with multiple components. ______ refers to attributes like the brand name, features/design, quality level, and packaging.

The Actual Product

Which of the following describes the core customer value of a product?

The Basic Benefits consumers are seeking

Give me an example of a Corporate or family brand?

The Gap

Product Mix

The complete set of all products and services by a Firm - The product mix typically consists of various product lines

Brand Equity:

The set of of assets and liabilities linked to a brand that add to or subtract from the value provided by the product or service.

Brand Repositioning or Rebranding

The strategy in which marketers change a brands focus to target new markets or reign the brands care emphasis with changing market preferences

Because a brand name is already well established, a firm can spend_____ to develop consumer brand awareness when introducing a brand extension.

fewer resources

Associated services/ Augmented Product

includes the nonphysical aspects of the product, such as product warranties, financing, product support, and after-sale service