Retail Brand Management

Presenter:
Chandrmouli Singh
 Overview
 Introduction
 Concept
 Branding
 Retail Branding
 Growth
 Typology
 Brand Development Strategy
 Retail Value Chain
 Key Issues
 Lookalike own brands
 Brand Owner Verses Retailers Contd.

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 New Developments in Own Brand Strategy
 Own Brand and Its Impact on Retail Brand
 Brand Equity
 Brand Loyalty
 Quiz

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 Concept
 Branding
The intangible sum of product’s attributes; its name, packaging,
price, history, reputation and the way it’s advertised
- David Ogilvy
 Retail Branding
Retail branding does not only focus only on creation of private label.
In multi-brand retailers the task become more difficult as the retailer
needs to create a store identity which is different from that of
brands, he sold within the store

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 Growth
 Growth of retail brand aka own brands, own labels, private labels
and store brands, has paralleled growth esp. in grocery segment.

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 Typology
Own Brand Description Identification Positioning Range of Degree of
Type with in Products backward
retailers integration
Non Branded
1 Generics merchandise Limited Low Limited Low
Plain Packaging
Low price positioning
Replaced by budget
town
Controlled- Owned by
2 brands manufacturer None Low Limited None
Exclusive Given to exclusive
manufacturer retailer Medium
brands Limited Low
3 Counterbrands Owned by retailer None Low Limited Low
Differentiated by
category Medium
Fighting Identification with
4 /budget retailers strong Medium Limited Low
Brands Stress on retail itself Contd.
Low price positioning
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 5 Copycat Brands
Low cost-retailer
A Reengineered owned strong Low Wide High
brands Same functionally Medium
B Lookalikes Similar quality Medium Medium Limited High
Imitate visual features
Name of retailer
C House brands appears strong Medium Wide High
as separate brand
Exclusive Exclusively designed
6 Designer for strong High Limited High
retailers carry
Label designer's
name
7 Fascia brands Private labels Very strong Medium Wide High
Retailer's name is
strongly associated
High
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 Brand Development Strategy

 A retail brand is a combination of company’s heritage, merchandise

mix, store ambience, service strategy, advertising and promotion.
 Three major questions
- Can brand identified with lifestyle of customers?
- Is there any perceptible difference between retailers?
- Can a story be woven around the brand?

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 Pentagon Strategy
Product

Communication Place

Value People

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 Triangle Strategy

System

Suppliers Logistics

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 Retail value chain

Support Functions

Third Party Customer

Logistics management

Retail
Suppliers Customers
Operations

System

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 Key Issues
 Look alike own brands
Not only imitate trade marks, graphics, colours, lettering, words and
packaging but also name of branded products.
 Brand owner verses retailers
- Lookalike steals goodwill
- Gimmick to position
- Diminish consumer choice

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 New Developments in Own Brand Strategy
Low Extent of innovation High
High

House Fascia
Contribution to brand positioning

Brands Brands

Reengineered
Tactical
copycat

Counter brand

Budget/fighting

Generics
Low

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 Own brands and its impact
Trading Format, Total retail brand
Marketing
Communications,
Services, etc..

Manufacturer Own
brands brands

Fit and interaction with retailer Type and proportion of

image and positioning own brands

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 Managing Brand Equity
Customer Loyalty
Benefits the customers by
enhancing their confidence
B
in the purchase decision
Brand Awareness R
A
N
D
Perceived Quality
E
Q
U Provides value maximisation
Brand Association for the parent firm through
I
T enhanced brand loyalty, brand
Y extension, competitive
Proprietary Assets advantage etc.

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 Brand Loyalty

 Develop a positive deposition towards the brands on the basis of a

positive brand attitude
 Develop a store or brand preference
 Continue to patronise the retail outlet or brand over a period of time

Contd.

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 Monopoly loyalty
 Inertia loyalty
 Convenience loyalty
 Price loyalty
 Incentivised loyalty
 Emotional loyalty

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 The pyramid of brand loyalty
Committed
buyer, brand
equity is high
Like the brands-
clear brand assets,
considers brand as
a friend
Satisfied buyer with
switching cost-brand equity
with point of vulnerability

Habitual/satisfied buyer-no reason to

break off relations, brand equity diffuse

Brand switcher/price sensitive buyers/indifferent

to brand-no loyalty-no equity
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 Key terms
 Brand Value
 Brand Equity
 Brand Loyalty
 Brand Awareness
 Brand Association
 Perceived Quality

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 References
 Retail Management by S. C. Bhatia (pp 278-299)
 Retailing Management Text and Cases by Swapna Pradhan (pp 481-
516)
 Retail Management by Suja Nair (pp 401-412)
 Retail management by Gibson G. Vedamani (pp 191-203)

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