Branding
Branding: Definitions
What is Branding ?
The marketing practice of creating a name,
symbol or design that identifies and
differentiates a product from other
products
Product & Brand Management\
By Srikanth venkataswamy
Branding: Definitions
• Entire Process involved in creating a
unique name and Image for a Product
(good or Service) in the Consumers'
mind, through Advertising campaign with
a Consistent theme.
• Branding aims to Establish a significant
and differentiated presence in the Market
that attracts and retains loyal Customers.
Product & Brand Management\
By Srikanth venkataswamy
Brand: Definition
The American Marketing Association
(AMA) defines a brand as a "name, term, sign, symbol or
design, or a combination of them
intended to identify the goods and
services of one seller or group of sellers
and to differentiate them from those of
other sellers.
Product & Brand Management\
By Srikanth venkataswamy
The Benefits Of A Strong Brand
Here are just a few benefits you will enjoy when
you create a strong brand:
1. A strong brand influences the buying decision
and shapes the ownership experience.
2. Branding creates trust and an emotional
attachment to your product or company. This
attachment then causes your market to make
decisions based, at least in part, upon
emotion-- not necessarily just for logical or
intellectual reasons.
3. A strong brand can command a premium price
and maximize the number of units that can be
sold at that premium.
Product & Brand Management\
By Srikanth venkataswamy
The Benefits Of A Strong Brand
4. Branding helps make purchasing
decisions easier. In this way, branding
delivers a very important benefit.
In a commodity market where features
and benefits are virtually
indistinguishable,
a strong brand will help your customers
trust you and create a set of expectations
about your products without even
knowing the specifics of product
features.
Product & Brand Management\
By Srikanth venkataswamy
The Benefits Of A Strong Brand
5. Branding will help you "fence off" your
customers from the competition and protect
your market share while building mind share.
Once you have mind share, you customers
will automatically think of you first when they
think of your product category.
6. A strong brand can make actual product
features virtually insignificant.
A solid branding strategy communicates a
strong, consistent message about the value of
your company.
A strong brand helps you sell value and the
intangibles that surround your products.
Product & Brand Management\
By Srikanth venkataswamy
The Benefits Of A Strong Brand
7. A strong brand signals that you want to
build customer loyalty, not just sell product.
A strong branding campaign will also signal
that you are serious about marketing and
that you intend to be around for a while.
A brand impresses your firm's identity upon
potential customers, not necessarily to
capture an immediate sale but rather to
build a lasting impression of you and your
products.
Product & Brand Management\
By Srikanth venkataswamy
The Benefits Of A Strong Brand
8. Branding builds name recognition for your
company or product.
9. A brand will help you articulate your
company's values and explain why you are
competing in your market.
10. People do not purchase based upon
features and benefits but get acquitted
with the brand
Product & Brand Management\
By Srikanth venkataswamy
Brand Name Selection
Process
Brand Name Selection
• A brand has the power to evoke positive
feelings about your product and generate
goodwill in the mind of the customer.
• Your brand is your most valuable asset as it
creates an emotional connection between
you and your customers.
• Your brand name is therefore a critical
component of your marketing agenda.
Product & Brand Management\
By Srikanth venkataswamy
Brand Name: First step
Defining your brand is like a journey of business self-discovery. It can
be difficult, time-consuming and uncomfortable.
First step:
It requires, at the very least, that you answer the questions below:
a) What is your company's mission?
b) What are the benefits and features of your products or services?
c) What do your customers and prospects already think of your
company?
d) What qualities do you want them to associate with your company?
Do your . Learn the needs, habits and desires of your current and
prospective customers.
And don't rely on what you think they think. Know what they think.
Once you've defined your brand, how do you get
the word out?
Product & Brand Management\
By Srikanth venkataswamy
We can select names from three vantage points.
1. Strategic Impact: This is the ability of a new name to
get attention (within a category), generate interest, and
deliver a new message.
2. Semantic Value: Too often a name is selected simply
by its literal meaning or rejected because of a few
personal associations. In our selection process, we
look beyond a word’s literal meaning and analyze
other possible associations that the name might
suggest. Is the name multifaceted? Can it deliver new
energy to the category?
3. Phonetic Structure: Does the name look and sound
natural or artificial? Does it offer a pleasing, rhythmic
quality? Is it constructed to create a balance between
vowels and consonants? Is it likely to be memorable
because of its stress patterns? Does it help to convey
the right tone?
Product & Brand Management\
By Srikanth venkataswamy
1. Integrate your brand. Branding extends to every aspect
of your business--how you answer your phones, what
you or your salespeople wear on calls, your e-mail
signature, everything.
2. Create a "voice" for your company that reflects your
brand. This voice should be applied to all written
communication and incorporated in the visual imagery
of all materials, online and off. Is your brand friendly?
Be conversational. Is it ritzy? Be more formal. You get
the gist.
3. Develop a tagline. Write a memorable, meaningful and
concise statement that captures the essence of your
brand.
4. Design templates and create brand standards for your
marketing materials. Use the same color scheme, logo
placement, look and feel throughout. You don't need to
be fancy, just consistent.
Product & Brand Management\
By Srikanth venkataswamy
5. Develop a tagline. Write a memorable,
meaningful and concise statement that
captures the essence of your brand.
6. Design templates and create brand standards
for your marketing materials. Use the same
color scheme, logo placement, look and feel
throughout. You don't need to be fancy, just
consistent.
7. Be true to your brand. Customers won't return
to you--or refer you to someone else--if you
don't deliver on your brand promise.
8. Be consistent. This tip involves all the above
and is the most important tip on this list. If you
can't do this, your attempts at establishing a
brand will fail.
Product & Brand Management\
By Srikanth venkataswamy
Qualities For A Brand Name:
Desirable qualities for a brand name include:
(1) It should suggest something about the product’s
benefits and qualities.
Examples: Safe pack Pvt ltd , DieHard, EasyOff, Craftsman, Sunkist, Spic and Span,
Snuggles, Merry Maids, NationsBank.
(2) It should be easy to pronounce, recognize, and
remember. Short names help.
Examples: Tide, Aim, Puffs. Rin
But longer ones are sometimes effective.:
Ex-Love My Carpet” carpet cleaner; “I Can’t
Believe It’s Not Butter” margarine, Better
Business Bureau.
Product & Brand Management\
By Srikanth venkataswamy
(3) The brand name should distinctive. Examples:
Taurus, Kodak, Exxon.
(4) The name should translate easily into foreign
languages.
Before spending $100 million to change its name to
Exxon, Standard Oil of New Jersey tested several
names in 54 languages in more than 150 foreign
markets. It found that the name Enco, when
pronounced in Japanese, referred to a stalled
engine.
(5) It should be capable of registration and legal
protection. A brand name cannot be registered if it
infringes on existing brand names.
Product & Brand Management\
By Srikanth venkataswamy
Positioning of a Brand
Positioning of a Brand
• Position is that one descriptive sentence
or slogan or image the brand is known
for.
• That one specific idea that first comes to
mind about the product.
• That one characteristic that sets the
service apart from competitors.
For the brand Volvo, that one thing is "Safety.
Product & Brand Management\
By Srikanth venkataswamy
Brand Positioning
Brand Positioning has come to mean the
process by which marketers try to create
an image or identity in the minds of their
target market for its product, brand, or
organization
Product & Brand Management\
By Srikanth venkataswamy
5 Factors of Brand Positioning
The 5 main factors that go into defining a brand
position :
1. Brand Attribute :
What the brand delivers through features and
benefits to consumers.
2. Consumer Expectation:
What consumers expect to receive from the
brand.
3. Competitor Attributes:
What the other brands in the market offer
through features and benefits to consumers.
Product & Brand Management\
By Srikanth venkataswamy
5 Factors of Brand Positioning
4. Price
An easily quantifiable factor – Your
prices vs. your competitors’ prices.
5. Consumer perceptions
The perceived quality and value of your
brand in consumer’s minds (i.e., does
your brand offer the cheap solution, the
good value for the money solution, the
high-end, high-price tag solution, etc.?).
Product & Brand Management\
By Srikanth venkataswamy
5 Factors of Brand Positioning
Take some time to create a thorough
picture of the current market and how
your brand fits in that market to
determine your brand’s current position.
If that’s not the position you want for your
brand, take the necessary steps to
change it based on the gaps defined
when you analyzed the five factors
above.
Product & Brand Management\
By Srikanth venkataswamy
Positioning: Product
Differentiation
Product differentiation
• Product differentiation focuses on the elements
of a product that makes it different from the
competing brands.
• A product can be differentiated on the basis of
its physical form, features and product quality,
apart from its other attributes such as price.
• The physical form of the product includes its
size and shape.
• Product features are the characteristics that
allow a product to perform certain functions.
Product & Brand Management\
By Srikanth venkataswamy
• A firm can differentiate its product by adding
or removing certain features from the
product.
• Product quality refers to the overall
characteristics that enable the product to
perform according to the expectations of
customers while also satisfying their needs.
Product & Brand Management\
By Srikanth venkataswamy
• Sometimes, it becomes difficult for the
marketer to differentiate on the basis of
the product alone.
• Therefore, marketers introduce
differentiation based on services offered
with the product.
• These services include ease of order,
delivery, installation, financial
arrangements, customer training,
warranties, repair services, maintenance
and disposal of the product.
Product & Brand Management\
By Srikanth venkataswamy
Product positioning
• Products can also be differentiated on the
basis of positioning.
• A product's position is the customer's
perception about the product's attributes in
relation to the attributes of competing brands.
• Product positioning becomes a natural choice
when a firm indulges in market segmentation.
• A company should develop a unique selling
proposition (USP) for each of its brands.
Product & Brand Management\
By Srikanth venkataswamy
Errors In Positioning
• Positioning is a challenging task for marketers
and any error in positioning or improper
planning can hamper the credibility of the
company and lead to a loss of the product's
position in the market.
• Hence, marketers need to take utmost care
while positioning their products.
• Major positioning errors that can occur include
under positioning, over positioning, doubtful
positioning and confused positioning.
Product & Brand Management\
By Srikanth venkataswamy
Classic examples:
• Modi Xerox with its collaboration with
Rank Xerox as its differentiation s.
• Garden Silk through Design s
• L&T , the engineering firm , recruits
engineers with excellent qualification and
claims superiority in executing projects s
• DuPont’s leadership in chemical
technology lends its product highly
differentiated position
Product & Brand Management\
By Srikanth venkataswamy
Product Differentiation based on
Ingredients
Product Differentiation based on ingredients
1. HUL’s Close-up based on gel used Glycerine
while others use calcium carbonate . S
2. Properties of Toothpaste and Mouth wash –
HUL secured differentiation and Colgate
compelled to copy the same .
3. TTK group launched prestige range of frying
pans as non-stick cookware…..
4. Dupont Teflon, the best material available for
Nonstick property.
Product & Brand Management\
By Srikanth venkataswamy
Product Differentiation based on
Ingredients
• Balsara Promise Toothpaste with Clove
oil…. A traditional herbal remedy for
tooth/gum complaints .
• Dabur Vatika with herbal ingredients used
by woman for hair care -Coconut oil
,Brahmi’ , Lime and Mehandi etc.
• P&G introduced New Ariel Microshine – a
new technology Detergent incorporating
carezyme far beyond conventional
cleaning (1990) in India and gained some
market share
Product & Brand Management\
By Srikanth venkataswamy
Product Differentiation through
Functional values
• Videocon computer controlled fridge,450 lts , 6
door with quick freezing corner and Deodorizer
at a touch of finger
• Indecor Paints launched ‘Vinycide’ Paints with
an insecticides , Innovation with unique
formula from Artlin of france , Paint that has
already turned interiors in Europe beautiful and
insect free Attempt to make hotels and lodging
houses the special market for this product
• Roti Chef for making instant Chapatti : Speed
and ease of cooking as a differentiation plank
Product & Brand Management\
By Srikanth venkataswamy
Product Differentiation through
Additional feature
• Mega Feature – BPL , Videocon , Onida , Philips
Large screen features Godrej – 300 Lt. Sumo
refrigerator …. 390 ltr. Double door
• model Aristocrat suitcases with wheels , a
unique convenience to users
• Dunlop's Olympus car Tyres claimed that they
studied each car separately , for Maruti tyre
designed specially for front wheel drive , extra
wide tyre for the Premier , Tyre with extra
rubber to take care of extra weight for
Ambassador
Product & Brand Management\
By Srikanth venkataswamy
Product Differentiation by
Packaging
•
•
•
•
Frooti in Tetra pack s
Brylcream in handy tube s
Le sancy in see thru pack s
Harpic Toilet cleaner with an application
friendly nozzle s
• Hit for cockroach with sleek nozzle for
hidden areas
s
Product & Brand Management\
By Srikanth venkataswamy
Product & Brand
Valuation Paper Format
4thsem 2011
The Adoption Process
“Adoption is the decision of an individual
to become a regular user of a product”
Kotler.
The adoption Process:
“the Mental process through which an
individual passes from first hearing about
a innovation to final adoption”
Diffusion: Refers to the spread of a new
idea from the source of invention or
creation to its Ultimate users or adopters
Product & Brand Management\
By Srikanth venkataswamy
“An innovation refers to any good, service
or idea that is perceived by something as
new”
Innovation takes time to spread
Product & Brand Management\
By Srikanth venkataswamy
Stages in the Adoption Process
39
Awareness
Interest
Evaluation
Trial
Adoption
Product & Brand Management\
By Srikanth venkataswamy
Understanding marketing
communication
• What we see is the result of a complex social
process
• There are many different and divergent targets in
this process
• Buying is mostly a problem solving process
• Interpretation and creation of meanings is
important in buying decisions
• Interpretation and meaning are results of living,
acting, and thinking people
• As in every communication the influence of the
marketing communication is only an indirect one
• As in every communication process getting
feedback and changing the rolls of speaker and
hearer is essential
Product & Brand Management\
By Srikanth venkataswamy
Consequences for Marketing
Communication
• Supervising the decision process with
respect to a communication and/or a
marketing goal is crucial
• Marketing needs a integrated model for
describing the ongoing interpretation
process of the target groups
• Instruments for gaining feedback or even
better achieving a hearer roll for the
company become success factors
• New media can help to generate these
instruments
Product & Brand Management\
By Srikanth venkataswamy
Product & Brand Management\
By Srikanth venkataswamy
Brand Rejuvenation
•
•
•
•
Brand rejuvenation involves adding value to an existing brand by improving product
attributes and enhancing its overall appeal. It is intended to re-focus the attention of
consumers on an existing brand. Brand rejuvenation helps overcome the consumer’s
boredom in seeing the same product on the shelves year after year. A consumer’s
psychological desire for changing is one key factor behind brand rejuvenation.
Quite often, we see ongoing brands appearing as; ’new’, ‘super’, ‘special’ ‘premium,’
deluxe, ‘extra strong’ and ‘fresh’,. They appear in new shapes, new pack sizes, new
containers, new colors and flavors. Basically what happens here is an updating of brands.
Corn Products reintroduced Rex jam with pieces of fruit in it and packed them in new
containers. Cadbury’s 5 star chocolate bar received a fill up through a new creamier and
smoother version.
Given below points presents some example of brands reappearing with the tag “New”:
* New Burnol: Burnol became ‘New’ and appeared in a new pack.
* New Horlicks : HMM its New Horlicks the New Horlicks claimed more nourishment
through additional protein and calcium, eight essential vitamins and iron.
* New Nescafe: Nestle rejuvenated Nescafe and brought in the New Nescafe. New
Nescafe was made using the new agglomeration coffee process, instead of the fine
powder form and the coffee now came in small round goblets.
* New Bournvita: To give a push Bournvita, Cadbury’s came out with New Bournvita, with
extra glucose in a new packing.
* New Vicks Vapour: P&G’s 100 year old Vicks Vaporub has almost become a generic
name for cold cure. Still P&G does not keep quiet. New packages appear, new promotion
campaigns are launched and improvements in product formulation area also made. In late
1990s, the brand received one such facelift and appeared as New Vicks Vaporub.
Product & Brand Management\
By Srikanth venkataswamy
Brand Extension
•
•
•
•
•
•
•
•
•
Brand Extension is the use of an established brand name in new product categories. This new
category to which the brand is extended can be related or unrelated to the existing product
categories. A renowned/successful brand helps an organization to launch products in new
categories more easily. For instance, Nike’s brand core product is shoes. But it is now extended to
sunglasses, soccer balls, basketballs, and golf equipments. An existing brand that gives rise to a
brand extension is referred to as parent brand. If the customers of the new business have values
and aspirations synchronizing/matching those of the core business, and if these values and
aspirations are embodied in the brand, it is likely to be accepted by customers in the new business.
Extending a brand outside its core product category can be beneficial in a sense that it helps
evaluating product category opportunities, identifies resource requirements, lowers risk, and
measures brand’s relevance and appeal.
Brand extension may be successful or unsuccessful.
Instances where brand extension has been a success areWipro which was originally into computers has extended into shampoo, powder, and soap.
Mars is no longer a famous bar only, but an ice-cream, chocolate drink and a slab of chocolate.
Instances where brand extension has been a failure areIn case of new Coke, Coca Cola has forgotten what the core brand was meant to stand for. It
thought that taste was the only factor that consumer cared about. It was wrong. The time and
money spent on research on new Coca Cola could not evaluate the deep emotional attachment to
the original Coca- Cola.
Rasna Ltd. - Is among the famous soft drink companies in India. But when it tried to move away
from its niche, it hasn’t had much success. When it experimented with fizzy fruit drink “Oranjolt”,
the brand bombed even before it could take off. Oranjolt was a fruit drink in which carbonates were
used as preservative. It didn’t work out because it was out of synchronization with retail practices.
Oranjolt need to be refrigerated and it also faced quality problems. It has a shelf life of three-four
weeks, while other soft- drinks assured life of five months.
Product & Brand Management\
By Srikanth venkataswamy
Line Extension
line extension:
Definition
• Multiproduct branding strategy whereby a firm
markets one or more new products under an
already established and well known brand name.
• The objective is to serve different customer needs
or market segments while taking advantage of the
widespread name recognition of the original brand.
• For example, maker of a popular perfume may
introduce shampoos, bath soaps, body powders,
etc., under the perfume's name. Line extension is
encouraged by some marketing experts and
frowned upon by others. Also called brand
extension.
Product & Brand Management\
By Srikanth venkataswamy
Product line extension
• A Product line extension is the use of an
established product’s brand name for a new item in
the same product category.
• Line Extensions occur when a company introduces
additional items in the same product category
under the same brand name such as new flavors,
forms, colors, added ingredients, package sizes.
This is as opposed to brand extension which is a
new product in a totally different product
category.Line extension occurs when the company
lengthens its product line beyond its current range.
The company can extend its product line downmarket stretch, up-market stretch, or both ways.
Product & Brand Management\
By Srikanth venkataswamy
Brand Proliferation
• Brand Proliferation is when a firm puts out
new brand names under the same product
lines.
For example, Huggies is a firm owned by
Kimberley-Clark. Huggies is best known for
producing disposable diapers, and has
different product lines such as Pull-Ups and
Little Swimmers.
Product & Brand Management\
By Srikanth venkataswamy
Multi-Brand Strategy
Multi-Brand strategy:
Definition
• Entering a new segment with a new brand.
• Helps in striking a right balance with brand
extension
Product & Brand Management\
By Srikanth venkataswamy
Lay
future
Plans
Idea
Screening
Concept
development
&
testing
Marketing
Strategy
Business
Analysis
Product
Development
Test
Marketing
Should we send
the idea back for
product
development?
Commerali
-zation
Would it help to
modify the product
or marketing
program?
DROP
The New-Product development Decision Process
49
Product & Brand Management\
By Srikanth venkataswamy
Product Portfolio Strategy Introduction to the Boston Consulting Matrix
The Business portfolio is the collection of
businesses and products that make up
the company.
The best Product portfolio is one that fits
the company's strengths and helps
exploit the most attractive opportunities.
Product Portfolio Strategy
Contd….
The company must:
(1) Analyze its current business portfolio
and decide which businesses should
receive more or less investment, and
(2) Develop growth strategies for adding
new products and businesses to the
portfolio, whilst at the same time
deciding when products and businesses
should no longer be retained
The Boston Consulting Group Box
("BCG Box") /matrix
Product & Brand Management\
By Srikanth venkataswamy
Marcom or IMC
• Marketing Communications (or MarCom
or Integrated Marketing Communications)
are Messages and related media used to
communicate with a Market.
• Marketing communications is the
"promotion" part of the "Marketing Mix"
or the "four Ps": price, place, promotion,
and product.
Marcom includes dealing with
•advertising,
•branding,
•brand language
•direct marketing,
•graphic design,
•marketing,
•packaging,
•promotion,
•publicity,
•sponsorship,
•public relations,
•sales,
•sales promotion And online marketing
Goal of an IMC
The primary goal of an IMC program is to support
perceptual values:
Vc = Value to customer
Qp = Quality of product
Qs = Quality of service
I = Image and status
T.c.o = Total cost of ownership
Vc =
QP + Qs + I
T.C.O