Its a Brand Brand Brand World.doc - HSB-LHS

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It’s a Brand, Brand, Brand World
Project #3 :: She Sells Cell Phones at the Cell Store
Principles of Marketing
Mrs. Schroeder
So What?
–A company’s brand involves a lot more than its name and logo
–A brand has a distinct identity
–A brand is made up of all the associations and impressions consumers have about a
particular company or product
–All employees contribute to the shaping of a brand in the ways they do their jobs
and interact with customers
–Whatever career path you choose, you will be important to your employer’s brand
–Much thought and effort goes into the creation of a brand
–To better understand how brands work, it is important to understand how
companies – large and small – make powerful and lasting connections with their
customers
–These connections are a business’s most valuable asset
Definition of Brand
–More than a name or logo
–All the combined impressions and experiences associated with a particular company,
good, or service
–Example:
–The Gap – cool, comfortable trends
–Nike – energy, effort, and persistence
–Taco Bell – fun food at low prices
–We buy because of style, fit, or taste, but we also relate to brands on more of an
emotional level
–Feelings, images, and experiences work together with a name and logo
Brand Representations
–Make up a brand’s identity
–Elements work together to project a consistent image and are instantly recognizable
–Brand names can be spoken
–They may include words, letters, or numbers
–Examples
–Levi’s 501 jeans
–BMW 325is
–Brand symbols, or logos, cannot be spoken
–Example: the Nike “swoosh” is instantly recognized across the globe – even
without the Nike name
–Characteristics of a good brand name:
–Short and memorable
–Examples:
–Dell
–Apple
–May describe product features and benefits
–Examples:
–Rollerblade
–Sunkist oranges
–May give the brand meaning if made up or borrowed from other fields
–May be computer-generated
–Example: Nike, the Greek goddess of victory, was “fleet of foot” – something Nike
has come to stand for
–Some brands use trade characters
–Personified symbols that are used to reinforce their brand identities
–Example: Joe Camel was one of the most successful and controversial trade
characters
–Effectively symbolized the Camel brand of cigarettes, but appealed most to children
and adolescents
–Public pressure and legal rulings forced R.J. Reynolds to stop using Joe Camel
Brand Image
–The brand image projected by a well-integrated brand identity is based on
characteristics and values that a company product stands for
–Values are what we believe in and hold dear
–Brand values help brands connect with consumers’ heads, as well as their hearts
–Example:
–Dogs like Purina Puppy Chow, but on an emotional level, it appeals to pet owners
who love their puppies and want to given them the best
–Purina name and logo are integrated into Puppy Chow packaging and advertising
–Shoppers respond to these brand cues, or reminders, by thinking and feeling about
their beloved pets
The Essence of a Brand
–Brand elements work together as a distinct brand personality
–Brand personality encompasses brand values and emotional connections with
consumers
–A brand’s personality is at the heart of what it is and what it stands for, how it
behaves, and the characteristics it projects
–Examples:
–Purina Puppy Chow’s personality is “warm and fuzzy”
–The jewelry Tiffany’s is “elegant”
–Clothier Ralph Lauren is “upscale and all-American”
Touch Points
–Brands connect with customers at touch points
–Companies take advantage of hundreds of everyday opportunities, or touch points, to
connect with customers and reinforce their brands
–Brand values and brand cues are interjected into every facet of company operations
–Every contact with customers is a chance for the business to live up to its
characteristics
–When customers call customer service
–When customers receive a bill
–When customers return merchandise
–These become the customer’s perceptions and experiences, which are the brand
foundations in the customer’s mind
–Disney demonstrates its brand values at every one of its thousands of touch points
–Quality, wholesome, family entertainment values are demonstrated through a
clean, well-maintained environment and friendly, well-groomed employees
–Disney Chairman Michael Eisner said that a brand is the “product of a thousand
gestures”
–Every business – large and small – is a brand with touch points
–Printing company that claims “fastest service in town with no mistakes”
–Brand values – speedy and accurate customer service – must be demonstrated at
every touch point
–This includes how printing jobs are completed, responding to customer inquiries, and
making sure billing is accurate
–Customers then believe the printer’s brand
–Dentist office specializing in children
–Brand values include making children less fearful and teaching them how to take care
of their teeth
–These translate into forging an emotional bond with patients at a variety of touch
points
–Specific demonstrations of brand values could include:
–How the office is decorated
–How the staff talk to children
–Staff’s brightly colored smocks
Brand Promise
–Brands “promise” that they will consistently delivery on their values and defined
characteristics
–Example:
–Holiday Inn promises family-friendly lodging at reasonable prices
–All Holiday Inns must provide the same consistent service to make the promise
believable
–Customer loyalty results from customers’ belief and trust in a brand’s promise
–Brand loyalty means that consumers are willing to pass up other brands for the one
they want most
–Example:
Holiday Inn hopes that satisfied customers will keep driving – past a
Hampton Inn, a Red Roof Inn, and a Super 8 Motel – until they reach a Holiday
Inn
–There are various levels, or degrees, of how consumers feel about brands
–Brand recognition
–Consumers are aware of a brand and know something about it
–Example:
a consumer may know about Red Roof Inns but has never had a personal
Red Roof Inn brand experience
–Brand preference
–Consumers would rather have a particular brand but will buy something else if it is
not available
–Example:
a family may be looking for a Holiday Inn, but since they are tired, they
stop at a Red Roof Inn
–Brand insistence
–Consumers absolutely, positively want one brand and one brand only
–Example: it’s late, and the driver is tired but determined to make it to the next
Holiday Inn; this person won’t stay anywhere else!
–Consumers move through these levels by having repeated, positive experiences with
particular brands
–When expectations for quality and consistency are met
–When their attitudes and feelings are reinforced, making them likely to try this
brand again
Different Brands Different Objectives
–Companies use different types of brands in different ways to accomplish different
objectives
–Corporate and product brands represent companies
–Example: The Gap is the name of the company as well as the products it sells
–Product brands represent the products themselves
–The Gap (company) also ahs Banana Republic and Old Navy stores and products
–Coca-Cola is a corporate brand and a product brand
–The PepsiCo company owns the Tropicana and Gatorade product brands
–Examples of service brands include Jiffy Lube and TruGreen ChemLawn
–Private, or distributor, brands are sold by a business exclusively for a manufacturer
–These brands are effective in building customer loyalty for the retailer who sells
them
–Examples:
–Martha Stewart is a private brand sold by Kmart
–Kenmore appliances are sold exclusively at Sears, even though they are
manufactured by Whirlpool Corp.
–Generic brands are usually packaged plainly and sold at prices lower than private
brands
–Generic brands are popular in categories such as vitamins, auto parts, packaged
food, and pharmaceuticals
Brand Strategies
–Brand strategies are effective business tools
–The ways in which companies use brands to help achieve their business objectives are
known as brand strategies
–Some of the most common brand strategies are:
–Family branding
–Involves naming a group of related products the same
–Example: all of Nike’s athletic shoes and clothing – even Niketown stores – bear
the Nike name
–Individual branding
–Involves different products with different names owned by one company
–Example: PepsiCo, the company, owns not only the Pepsi brand but also
Tropicana fruit juices and Gatorade sports drinks
–Brand extensions
–An existing brand name is used for a new or improved product line
–Example: Starbucks has extended its successful coffee brand to ice cream and
candy
–Brand extensions can also be an effective way to address special markets
–Example: Gatorade has launched its fruity Gatorade X-tremo in Latino markets
–Brand licensing
–Allows one company to use another’s brand name, logo, or character for a fee
–Examples:
–McDonald’s frequently licenses the use of Disney characters for special
promotions
–Fashion designers, such as Donna Karan and Tommy Hilfiger, license their
names to manufacturers of fashion-related products, such as jewelry and
perfume
–Even though licensees produce and sell the products, they become, in effect,
extensions of the brand
–Co-branding
–Increasingly, companies join forces to increase brand recognition, customer
loyalty, and sales for both brands
–Examples:
–Starbucks sells coffee and pastry in Barnes & Noble stores because the two
brands are complementary and view themselves equally
–Pizza Hut and Taco Bell have both benefited from their co-branding
arrangement, in which Pizza Hut products are sold in Taco Bell stores
Branding Internationally
–When launching a new product, companies must incorporate international
considerations into their branding process and brand strategies
–It is important that all aspects of goods and services – names, packaging, and
promotional elements – translate well into other languages and cultures
–This is especially true since the Internet has made it possible for anyone to buy and
sell products all over the world
–Many names do not translate into other languages
–Many companies have discovered that a product name or slogan becomes
something unintended, unpleasant, or even x-rated when translated into a
foreign language
–Examples:
–Coca-Cola introduced Coke as Ke-kou-ke-la, which in different dialects meant “a
female horse stuffed with wax”
–Braniff promoted its luxurious upholstery with “Fly in leather,” which meant “Fly
naked” in Spanish
–Companies need to have an understanding of and sensitivity to other cultures, values,
and customs
–Products and lifestyles that are accepted in one culture often are not in others
–Example: cosmetics company Clinique ran an ad that depicted a snake crawling
over the head of an image of Buddha; this was an insult to Buddhists, because
they consider the head the most revered part of the body
–Companies may need to change actual product characteristics, as well as introduce a
new name and promotional strategies
–The entire McDonald’s brand is built on hamburgers, which is not a popular choice
in India where cows are sacred and people do not eat beef
–McDonald’s India has developed a special vegetarian menu to suit Indian tastes and
preferences
–A special “100% Veg” symbol is also used in McDonald’s communications and on
product wraps in India
–Doing business internationally also presents opportunity to strong, highly visible brands
to take advantage of their strength through product extensions
–This is especially true when companies are entering new and emerging markets,
such as Eastern Europe and China
–Example:
–Candy-bar maker Mars has introduced ice cream and a soft drink internationally
under its popular brand name
Branding on the Internet
–The Internet also presents its own distinct set of challenges for brands
–It is more difficult to build a new brand on the Internet
–Interaction with customers is limited
–Loyalty is often fleeting
–Research shows that consumers spend more time online researching and comparing
products than actually buying
–Successful, Internet-specific brands, such as Amazon.com and Yahoo!, have worked
hard to build customer loyalty and brand equity with innovation and first-rate
customer service
–A strong, established brand does not have to spend lots of money to build its brand
and bring traffic to its site
–Starbucks has introduced an online magazine and website, Joemag.com
–Williams-Sonoma now offers most of its catalog items online
–Another site will sell Williams-Sonoma Pottery Barn products
–PepsiCo and Yahoo! Are examples of brands that have found that cyberspace is an
especially good place to build brand awareness and brand loyalty among teens
–Regardless of specific strategies, experts agree that “brand” is a requirement for
anyone doing business on the Internet
–As one Amazon.com executive explained, “The Internet is all about branding. It’s
more important here than it is offline. People have to remember your name and
type it in. There are no Golden Arches or Coke cans to remind them.”
Every Business is a Brand
–Large companies such as Coca-Cola, Nike, and Disney that have huge budgets and
staff and lots of products, stores, and advertising have successful, internationally
known brands.
–Your business does not have to be Disney or Nike to have a successful brand
–The corner market, the hair salon down the street, and the neighborhood dry
cleaner all have “brands”
–Their customers have perceptions and expectations against which they measure
their experiences
–Every business hold a place in its customers’ minds
–It may stand for friendly service or low prices – or, at the other end of the
spectrum – slow service, poor selection, and rude staff
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