Building strong brand, addressing competition and driving growth ( unit 2) marketing
✋ What can be branded?
It's possible to brand anything! If you are a non-governmental agency, a curated night market, a music festival, a lifestyle product, a singer, or a corporation, the product or business will always be identified by people.
👉Define the brand?
A brand is defined as a " name, term, sign or symbol( or a combination of these) that identifies the maker or seller of the product or price".
Brands are used for identification in industry, marketing, and advertisement and, critically, for the benefit of the brand's consumers, its owners, and shareholders, to build and store value as brand equity for the item defined.
👉Importance of brand
Branding is important because it is not only what gives consumers a memorable experience, but it also enables your clients and customers to know what to expect from your company. It's a way to separate yourself from the competition and describe what you do that makes you the best choice.
👉Role of brands
- It helps to recognize the manufacturer's source of the product and assigns a branded product liability to an entity at the same time.
- Customer familiarity with products of the same brand lets them easily determine whether or not they want to make their buying choice easier or not.
- Brands carry a certain degree of quality assurance with them.
- When diversifying from one product line to another, brand loyalty allows companies to maintain their current customers. It offers demand protection and creates obstacles for other producers to tap current customers easily.
- They can copy the label, but the brand can't. When a brand is set up, it is an organization's invaluable asset.
✋ Brand equity
Brand equity refers to a value premium that, as opposed to a generic counterpart, a business produces from a commodity with a recognized name. By making them iconic, easily identifiable, and superior in quality and reliability, businesses can build brand value for their products.
✋Brand value chain
A brand value chain is a systematic approach to analyzing the origins and effects of brand equity and how brand value is generated through marketing activities. It offers insights to help the company's different decision-makers and emphasizes that each member of the company contributes to this branding effort.
1. Marketing investment program
It concerns the effect of the interested consumer's way of thinking. It is an investment in a given program that will affect the value of the company in the future. Customer input is crucial. It will determine how your brand perceives it, so it is vital to concentrate on successful business marketing through advertising, promotions, or marketing strategies tailored to the needs of the customer.
2. Customer Mindset
That is all the emotions, feelings, attitudes, and memories about a given brand that a client has in his mind. It is crucial at this point if consumers know the brand by name or logo, whether they are favorably based on it, whether they see the advantages of the brand, what is judged, among others, or whether it is distinctive and prestigious.
3. Brand Performance
Obviously, the success of the brand on the market consists of positive consumer views, strong ads, and advertising, but not profits or a good capital base are also the most important factor. If a brand has made a name for itself, operations such as increasing the price of goods or introducing new, more costly applications may be carried out.
This does not change the view of the consumer about the brand, but in the assumption that the brand is at the top, it may improve it. On the other hand, the brand is profitable, because you can reduce costs and save on ads since the consumer should already associate the brand with advertising with a successful marketing campaign.
4. Shareholder
The success of the market determines shareholder value. Brand value is based on industrial and strategic decisions made by management (such as, for example, growing value). The interests of shareholders need to be taken into account, since the higher the value for the shareholder, the better for the brand.
👉Multiplier
1. Quality Program
In the brand value chain, the first multiplier. The success of the program's expenditure depends on customers' positive views and thought. So it is necessary to invest in marketing so that, among other brands, the brand becomes identifiable, trendy, or unique.
2. Marketplace Conditions
At this point, what the brand gets from the customer, what advantage they have over the competition.
3. Investor Sentiment
The last multiplier already depends entirely on the investors and, more precisely, on their brand attitude. When the ability of the audience is better able to value the brand than the competitors. The level of risk that has already been or will be faced by the brand is also calculated here.
👉 Brand element
1. Brand name/ identity
The brand name refers to the word or words used to describe the business, product, service, or idea. Naming a brand may seem simple enough on the surface. But it is difficult to come up with an iconic brand name. To name a couple, think about Chevy, Coca Cola, Häagen-Dazs, and Target. Today, these words are monikers that are now a part of our daily vocabulary that is known. And because buyers are prepared to pay more for goods labeled with these iconic brand names, millions are worth those simple terms.
2. Logo
Simply put, the visual trademark representing the company is a logo. The Nike swoosh has become so well recognized that it no longer needs to appear with the word "Nike" for recognition. Since 1914, the Morton Salt girl has been remembered, even though she has been updated six times. You know the brand without a word when you see a device with a lit-up apple on the back of its screen.
3. Brand positioning
Positioning is how a commodity is placed on the market. It determines practically what parts of the market it is targeting. Virginia Slims is, for example, a cigarette aimed at women. Both cigarettes have the same basic ingredients, but this one has been designed to attract women by making them slimmer in size and making the packaging sleeker.
4. Brand personality
The brand personality is much like that of human beings. We connect those emotional or personal characteristics with a specific brand. We may equate youthfulness with Pepsi, for instance, or with Wrangler ruggedness. Each aspect of the brand identity adds to the personality, including the color of the logo and the typography of the brand name.
5. Brand experience
Brand experience is a mixture of everything a consumer goes through while buying and using the brand. How does one feel, for instance, when ordering food and eating at KFC? How are the employees behaving and how quickly are they delivering and how did the food taste, of course? Also, as it has many channels all over the world, it is expected that all of them can uphold uniform experience standards.
6. Brand equity
Brand equity is a brand's reputation. It may include a tangible financial value such as market share and sales as well as intangible factors such as the brand's strategic advantages. Apple, for instance, is a big technology brand and people consider it to be a premium, cutting-edge quality product manufacturer.
7. Brand Differentiation
As the word suggests, the distinction is how a brand in the crowd stands out. For example, Dell Computers allows individuals to pick their components and assemble their own device, making it different from those that only sell ready-made machines at the store with no customization scope.
8. Brand communication
The message it delivers through different channels, such as commercials, brochures, punchlines, and hoardings, is brand communication. It must be able to clearly articulate its core benefits to the consumers if the brand has to expand.
9. Brand gap
The discrepancy between what a company promises to achieve in its communications and what it actually does is a bandgap. The distance ought not to be too large for its own sake. A popular brand must be able to deliver what it promises. A poor product cannot be rescued by any amount of ads or content marketing activities.
10. Brand extension
Basically, brand extension is the process of moving beyond one's roots and discovering new fields. Google started out as a search engine, for example. Yet it now offers many other services, including smartphone operating systems and emails. This is how the brand has been expanded, but it must be achieved in such a way that the current activities complement the latest initiatives.
✋Brand strategies
To accomplish clear objectives, brand strategy is a long-term plan for the creation of a profitable brand. All facets of a company are influenced by a well-defined and implemented brand strategy and are directly related to customer desires, emotions, and competitive environments.
✋House of brands Vs Branded house
👉Branded house
- Generic competition- competition among products that are different, but solve the same problem or provide the same benefit or utility. Such as DVDs and CDs.
- Form competition- A product or service that serves the same purpose. e.g. transportation: Road, railways, seas, etc.
- Industry competition- competitors who make the same product or class of product but at very different price points/quality level /features. Such as the car industry, the mobile phone industry, etc.
- Brand competition - competitors who offer similar products and services to the same customers at a similar price. Such as Sirf excel of HUL Vs Ariel of P&G.
- Market Leaders
- Market Followers
- Challengers
- Niche players
- brand loyalty.
- perceived value,
- distribution coverage,
- image, price, promotional spending, and profit
- Different types of skin creams, Different types of Ice creams,
- Different colors /styling of clothing,
- Different types of shoes: Formal, Casual, Office wear,
- Walking,
- Different types of watches, jewelry, spectacles
- Car sizes: Second car TVs: Second TV
- Strong market positioning
- Heavy advertising
- A generally proactive stance
- Strong customer relations, including channel partners
- Continuous product and process innovation
- The development and refinement of meaningful competitive advantage(s)
- Heavy advertising Improve distribution
- Price incentives
- NPD
- Mergers
- Acquisitions
- A market follower is a company that follows what the leader in its sector does.
- A market follower does not like taking risks, i.e., it is the opposite of a maverick.
- Instead, it waits and observes what its competitors do, especially the market leader.
- A Market Follower Strategy is a strategy used by an organization that imitates what the market leader does.
- These companies do not overtake or challenge the market leader.
- Also, these companies earn a lot of profit as they do not bear the expenses of innovation.
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