Branding Branding is a marketing practice of creating and developing a brand that leads to customer loyalty. A brand is …… - ppt download

Brands A brand refers to a well known name, logo, sign, symbol, design, slogan or a combination of them that allows consumers to easily identify and differentiate a product from others. When a brand is registered, it is known as a brand mark or trademark. This gives legal protection to the registered firm on the exclusive use of the brand.
When a brand is registered, it is known as a brand mark or trademark. This gives legal protection to the registered firm on the exclusive use of the brand..
Many products are recognized by their colour. Examples include Colgate white and blue, IKEA yellow. Size. This can make a product stands out. E.g. Big Mercedez, pocket size mobile phone. Design. A proper design can be attractive to customers. E.g. Apple Packaging. Presentation can make a product different. E.g. Pizza Hut box. Service. Hotels and air lines differentiate themselves by the quality of their services..
The customers prefers the brand over its rivals..
This is usually done by constantly advertising and promoting the brand. Brand development can be very costly.
leads to higher sales and larger market share as customers are loyal and less sensitive to changes in price Differentiation. Enables consumers to easily identify and differentiate a product from others. Premium pricing. Allows a firm to charge a higher price as customers do not find close substitutes to choose from. Distribution. Enables easy placement (distribution) as retailers tend to accept and sell the product. Supermarkets are more willing to provide space on their shelves for such products..
It is the brand that sells the product and not the other way round. Development. A strong brand enables a business to develop other products or markets Timeless. Over time a product can become obsolete but the brand can be used for new product. E.g. walkman and Sony. Legal instrument. Brand creates a legal identity for a product and protects it against imitation. It makes it more difficult for others to enter the market.
They are better known by the name of the product rather than by a brand name. Examples include aluminium foil, apples, carrots, chips, etc. Not all markets are suited to brands. Some people buy wine according to the region it is produced rather than on the brand name. Meat is another example. Branding is expensive. Once a brand is introduced in the market, it must continuously be promoted and maintained or else it is no longer recognized..
Types of brands or branding strategies There are five main types of brands: – Individual product branding – Family branding – Corporate branding – Manufacturers brand – Own label branding
Examples: Omo, Persil and Ariel are separate brands of products in the same company Unilever. Lexus is a separate brand within Toyota. Fanta and Darsani are separate brands within Coca cola company Most brands started as an individual product brand.
Lexus). Failure by one brand will not affect other products of the business. It is also easier to sell part of the business. The main disadvantage is that it is costly to develop individual brand and economies of scale cannot be achieved as each product has to be promoted separately..
Here, a firm will launch new products under an existing strong brand. It is the opposite of individual product branding. E.g. Windows softwares, Lu biscuits, etc Company or corporate branding is a form of family branding. It uses the name of the business as the brand name and includes a whole range of related and unrelated products of the business. E.g.: Virgin, Ikea.
The manufacturer is often involved in the production, distribution, promotion and even pricing of these products. They usually do not produce for other suppliers Examples include Heinz baby food, Kellogg corn flake, Gilette razors, Levi’s jeans, or Dell computers..
- Family manufacturer corporate individual Coca Diet Darsani Sweppes
This means that a whole range of products can be promoted using a single advertisement. A new product in a successful family has a higher chance of success and survival. A further benefit is that it can help to build customer trust and loyalty. The brand enables future product development as it is not tied up in a particular product..
For example, poor quality in one product can lead to a fall in the sales of all other products since customers will relate the poor quality to the family brand. The individual qualities of each product cannot be fully exploited as promotion focuses on the family name and does not highlight the characteristics of individual product..
These products usually cannot compete with branded products and therefore cheaper. They are marketed under the distributor’s name to acquire a form of branding in order to improve sales. Examples include Wal-Mart wines, Tesco baked beans, Fair price etc..
This is because they can be bought in large quantities directly from manufacturers at a lower price. Very little is spent on packaging and promotion but promotes the company’s name. They are often perceived as better and more reliable than non branded goods. A key drawback is that private labels tend to be seen as low quality products that are catered for budget consumers..
Coca Cola producing Coca Diet. Brand stretching occurs when an existing brand is used for a new product into an unrelated market, e.g. Virgin brand has been used to enter a variety of businesses such as music shop, airlines, and financial services..
Examples include Coca Cola, Microsoft, Dell, etc. Firms with global brands can market their products throughout the world with almost the same marketing strategy and therefore benefit from economies of scale. Global brands enable consumers to travel around the world without missing out opportunities to consume their favourite products, e.g. Big Mac..
These are brands created and sold bearing the name of the __________. In both cases, the products are produced and sold under the __________ brand name..
For example their computers were not ______ enough and were not allowing …… Burberry, a previously up-market ______ brand slowly became associated with ______ market trends. For example, ………….
Branding enables the products of both businesses to be differentiated from others. For example, HP products…….. Branding enables businesses to charge a ________ price. This is the case for Berburry who ………. Branding creates brand ______ in existing _______ and therefore increases ________. It can also create new markets. For example HP is ………. and Berburry is ……
For example, if _________ also introduce the same features as HP, its products will not be ________. Businesses may lose a profitable market in trying to reposition a brand. For example, Berburry……. Brand development requires _________ promotion which may exceed the resulting ________..