Marketing - Chapter 14

In brand licensing the licensee is responsible for

all manufacturing, selling and advertising functions and bears the cost if the licensed product fails

promotion of one item with the family brand promotes

all the firm's other products

A marketer should guard against

allowing a brand name to become a generic tern used to refer to a general product category

brand licensing

an agreement whereby a company permits another organization to use its brand on other products for a licensing fee

brand extension

an organization uses one of its existing brand to brand a new product in a different product category

protecting a brand: surnames and descriptive, geographic, or functional names

are difficult to protect because their designs, some brands can be legally infringed upon more easily than others

protecting a brand: generic brands

are not protectable

A brand is

as much an asset to a company as the building and machinery

A well managed brand is an assest to an organization. the value of the asset is often referred to as

brand equity

four major elements to brand equity

brand-name awareness, brand loyalty, perceived brand quality, and brand association

family branding

branding all of a firm's products with the same name or part of the same name

to capitalize on the brand equity of multiple brands we use?

co-branding

set of association

connect a particular lifestyle or in some instances a certain personality type with a specific brand Disney's slogan "where dreams come true" reminds customers that it is a brand associated with fun, fantasy, and childhood

Set of association - placing characters in advertisement and on packaging helps

customers link the ads and packages to brands

advantage of brand licensing

extra revenues and low-cost or free publicity to new images and trademark protection

by understanding how branding influences purchases, marketers can

facilitate customer loyalty

Kellogg's cereals exhibits what kind of branding? Kellogg's frosted flakes, Kellogg's Special K, Kellogg's etc..

family branding

Level of quality

received high brand quality helps support a premium price

the growth of private brands has been steady. one reason for this is that

retailer advertise the manufacturer brand, which brings customers to the store but sell private brands, especially to price- sensitive customers

a brand's overall economic value

rises and falls with the brand's profitability, brand awareness, brand loyalty, and perceived brand quality, and with the strength of positive brand association

To keep a brand name from becoming a generic term the firm should

spell the name with a capital letter and is it as an adjective to modify the name of the general product class, as Kool-Aid Soft Drink Mix - include the word brand just after the brand name can be helpful

infringement is determined by

the courts, decisions on whether a brand can cause customers to be confused, mistaken, or deceived about the source of the product

brand recognition

the degree of brand loyalty in which a customer is aware that a brand exists and views the brand as an alternative purchase if their preferred brand is unavailable

Brand preference

the degree of brand loyalty in which a customer prefers now brand over competitive offerings if the brand is not available the customer will accept a substitute brand rather than expending additional effort finding and purchasing row preferred brand

Brand insistence

the degree of loyalty in which a customer strongly prefers a specific brand and will accept no substitute

brand equity

the marketing and financial value associated with a brand's strength in a market

Brand name

the part of a brand that can be spoken, including letters, words, and numbers 7Up

Brand mark

the part of a brand that is not made up of words such as a symbol or design McDonald's golden arches

U.S companies actually have had to buy

their own brand rights from foreign countries because they foreign firm was the first user in that country

co-branding

using two or more brands on one product

brand equity represents the

value of a brand to an organization helps give a brand the power to capture and maintain a consistent market share

example of brand extensions

velveeta cheese brand and cheesy skillets

yielding a brand name

words, numbers, and letter are combines to avoid terms that have negative connotation use fabricated words that have no meaning

Brand licensing examples

NFL, NCAA, Disney, Major League Baseball, NASCAR

Generic Brand

a brand indicating only the product category aluminum foil

Private distributor brand

a brand initiated and owned by a reseller HEB brand products

manufacturer brand

a brand initiated by producers to ensure that producers are identified with their products at the point of purchase Clorox Levi's

individual branding

a branding strategy in which each product is given a different name

every aspect of a brand is subject to

a consumer's emotional involvement, interpretation, and memory

brand loyalty

a customer's favorable attitude toward a specific brand

Brand recognition

a familiar brand is more likely to be selected than an unfamiliar brand - the familiar brand is likely to be part of the customer's consideration set

Trademark

a legal designation of exclusive use of a brand

Brand

a name, term, design, symbol, or other feature that identifies one seller's product as distinct from those of other sellers Ford Motor Company's brand

selecting a brand name

first: name should be easy for customers to say, spell, and recall (Cheer) second: brand should indicate what the product's major benefits and suggest it in a positive way (Vanish toilet bowl cleaner) third: set it apart from competing brands, distinctive (Google) Lastly: brand should be designed so that it can be used and recognized in all types of media

Trade name

full legal name of an organization Ford Motor Company

not branding is often called

generic branding

Benefits of branding

helps customers identify specific products that they do and do not like reduce a buyer's perceived risk of purchase makes repeat purchasing easier for customers helps firms introduce a new product that carries the name of one or more of its existing products facilitates promotional efforts

a major advantage of individual branding is that

if organizations introduce a poor product, the negative images associated with it do no contaminate the company's other products

Brand loyalty

keeps its existing customers and avoid spending an enormous amount of resources gaining new ones provide brand visibility and reassurance to potential new customers

Examples of Co-branding

kraft's cheese lunchables - oscar mayer lunchmeats

major disadvantage of brand licensing

lack of manufacturing control, which could hurt the company's name, and bombarding customers with too many unrelated products bearing the same name poor timing, inappropriate distribution channels, or mismatch or product and name

The major characteristic of private brands is

manufactures are not identified on the products use private distributor brands

Nestle uses individual branding for

many of its 6,000 different brands, and nutrition company