Topic 1: Brand Value

Traditional vs. Integrative Advertising

A Basic One-Way Communication Model Basic Two Way Integrative Communication Models

Brand Loyalty:

A consumer's commitment using or advocating a brand.

What is advertising?

Advertising is a paid, mediated form of communication from an identifiable source, designed to persuade the receiver to take some action, now or in the future.

Difficulties in Measuring Marcom Effectiveness: Choosing a Metric

Change in brand awareness Improvement in attitudes toward the brand Increased purchase intentions Larger sales volume

Alternative Brand Equity Model: Brand Asset Valuator

Differentiation Relevance Esteem Knowledge

Effects of Brand Equity Increases

Higher market share Increased brand loyalty Premium pricing Revenue premiums

Integrated Marketing Communications (IMC)

IMC is a communications process for planning, creation, integration, and implementation of diverse forms of marcom delivered to a brand's targeted customers and prospects. IMC should help create and enhance brand value.

Brand concept

Is the specific meaning that brand managers create and communicate to their target market: Functional needs Symbolic needs Experiential needs

Return on Marketing Investment (ROMI)

Measures the effect of marcom, or of its specific elements such as advertising, in terms of whether it generates a reasonable revenue return on the marcom investment.

The Tools of Marketing Communications

Media Advertising Direct Response and Interactive Advertising Place Advertising Store Signage and Point-of-Purchase Advertising Trade- and Consumer-Oriented Promotions Event Marketing and Sponsorships Marketing-Oriented Public Relations and Publicity Personal Selling

Leveraging Brand Meaning from Various Sources

People (employees, endorsers) Places (channels, origin of country) Things (events, third party endorses) Other Brands (related brands)

Evaluating Advertising Effectiveness

Perceive/Perception Believe/Persuasion Undertstand/Cognition Feel/Emotion Connect/Assoication Act/Behaviour

Brand image associations that build brand equity

Positive Attributes Perceived Benefits Favorable Attitude

Dimensions of Brand Personalities developed by Jennifer Aaker

Sincerity Competence Ruggedness Sophistication Excitement

Alternative Brand Equity Models Brand Halo

Small to big Tangible attributes Symbols Benefits Personality Values

Enhancing Brand Equity

Speak-for-Itself Message-Driven Leveraging

Example of Brand Equity Model: The Brand Awareness Pyramid

Top: Top of mind Brand Recall Brand Recognition Bottom: Unaware of Brand