Question Paper

Subject: Brand Management

(For Semester IV- Supplementary Exam)

Full marks : 50 Time: 2 Hours

I. Answer the following questions. Total marks: 18

1. Take a position: Line extensions can endanger brands versus line extensions are an
important brand growth strategy.

2. Consumers buy brands not products. Discuss the importance of branding in the light of
above statement with suitable examples of your choice.

3. Assume you are the manager of a retail store and has a target to achieve maximum
satisfaction of the customers within a stipulated time period. What would be your logical
method to achieve this? How would you determine which type of customer as regards
income and gender give you more sales? (Explain the procedures in both the cases clearly).

II. Answer the following (any 3). Total marks: 12

1. Importance of just noticeable difference (j.n.d.) and Weber’s Law in line filling.
2. Explain category-related positioning of ‘Red Label’ tea.
3. Develop a positioning statement for any product of your choice.

III. Study the following caselet and answer the questions given at the end. Total marks: 20.

Sona Chandi Chyawanprash

Emami, the personal and healthcare major decided to foray into the chyawanprash market in
1999.
A spoonful of chyawanprash twice a day, is consumed in India households (mainly in Northern & eastern
regions) as an essential tonic in winter. It builds immunity, protects from cough & cold, activates
digestion system and boosts energy and vitality, more so for the children and elderly.
Emami had a dual challenge – (1) creating an image of the company in the ayurvedic market and
(2) fighting the established brands in the market such as Dabur, Baidyanath, Zandu and many other
regional players.
Dabur was very aggressive in the media with a strong positioning of immunity, protection from
cough and cold for the family. Baidyanath and zandu were long time players with loyal consumer base.
Emami created a unique chyawanprash, which is softer, tastier and included gold and silver as
prime ingredients. It was given simple brand name, easy to remember – Sona Chandi Chyawanprash.
A unique square shaped, gold coloured packaging with gold foil label gave it a premium and
distinct look from the other brands.
The brand’s ad showcases Shah Rukh Khan in a double role, one physically strong and the other
mentally agile. The two go on to merge and form a perfect combination of 'Surakshit Tan, Tez Dimaag'.
In fact, Sona Chandi is the first Chyawanprash to promise mental agility, in addition to just physical
strength, states an official release. Sourav Ganguly and Sunny Deol have featured in earlier ad campaigns
of Sona Chandi Chyawanprash. Strong visuals with Kallaripet (traditional martial arts of Kerala) fight
with sword and shield were made.
Says Emami director Aditya V. Agarwal, "The new ad campaign truly communicates the rejuvenating
properties of Sona Chandi Chyawanprash. A healthy body and a stable mind are two very important
attributes for being successful in life. Shah Rukh Khan perfectly fits into this definition. His personality
and the brand promise of Sona Chandi synchronises well with each other."
It strived to earn consumer’s confidence through money-back offer.
Consumer study showed that there was some disbelief about real gold content. So, a gold challenge offer
was formulated: whoever proves that the product didn’t contain gold, will be given 1 kg of pure gold.
There is a common belief that chyawanprash produces heat in the body and so consumed in winter.
But need for immunity, energy and stamina is round the year. Subsequently, Sona Chandi Amritprash
was developed in 2002, which had all the goodness of chyawanprash but with cooling herbs.

1. Describe the brand personality of Sona Chandi Chyawanprash (2 marks)

2. Develop a positioning statement for Sona Chandi Chyawanprash. (4 marks)
3. Develop a hypothetical perceptual map using two most important attributes of chyawanprash. (6
marks)
4. Identify the critical factors that led to the success of this brand. (8 marks)
 ANSWERS:
Part II.

2 . ) When to use a category related positioning? – When the existing product category is too
crowded, take the same basic product and position it in another category provided the attributes
your product has can match consumer expectations from the target category. This is also referred
to as “macro-positioning” or “inter-set positioning”.

How to choose a category related positioning– Though there are no ready-made formulas, the
thing to be kept in mind is that your category related position defines your competition. So the
trick is to position yourself in a category where your brand is not reduced to the status of a “me-
too” brand.

Implications – So the implications of using a Category Related Position –

1) Modification in Product – Based on the new category you are “entering”, the product
features need to be tweaked to meet consumer expectations as well as to provide a sensible cost-
benefit trade-off to prospects

2) Packaging – Based on the category you select, the packaging of your product may change
drastically. E.g. If you sell dairy milk and decide to reposition it as a summer drink, you may
have to switch from selling it in packets to bottles which can be carried around by consumers

3) Distribution – Using the same example given above, you may have to extend the distribution
of your milk to departmental stores and even the neighborhood pan-bidi shop

Red label Tea-category related positioning

Recently they launched an ad featuring Anupam Kher as a grandfather who is been prodded by
his grandson into doing some exercise to maintain his fitness. Kher retorts saying his grandson
may be doing weights to maintain his health while he drinks his morning cup of Brooke Bond
Label Tea to keep himself fit. Effectively the message here to the consumer is to not look at
Brooke Bond Tea as only an early morning drink but also as an “health and fitness drink”
effectively opening up a whole new category for it. Let us look at another slightly older ad –

if we see this ad it not only tries to position Brooke Bond Red Label Tea as a “health drink” but
also tries to break the age-old Indian belief that drinking tea is not good for children. Classic case
of trying to boost sales by trying to add new consumer segments.
 1.) Importance of just noticeable difference (j.n.d.) and Weber’s Law in line filling.

1. The term 'j.n .d.'is widely used and very significant one which a marketer
can use appropriately to market his product by influencing the customer's perception
about the product and its attributes. The minimal difference that can be detected between
two stimuli is called the differential threshold or the just noticeable difference, j.n.d. The
j.n.d. between two stimuli is not an absolute amount but an amount relative to the
intensity of the first stimulus. For example, if the price of a car is increased by
Rs.1000/-/- it would probably not be noticed i.e., the increament would fall below the
j.n.d. it may take an increase of Rs.5000/-/- or more before a differential in price would
be noticed. However even an one rupee increase in oil price would be noticed very
quickly because it is a significant percentage of the initial amount So an additional level
of stimuli equivalent to the j.n.d. must be added for the majority of people to perceive a
difference between resulting stimulus and the initial stimulus. The principle of j.n.d. has
important applications in marketing, manufacturers and marketers endeavor to determine
the relevant j.n.d. for their product because of several reasons like,..the negative changes
well noticeable without being wastefully extravagant. For example, in some cases where
the manufacturer wants to give an 'extra' to face the ever increasing competition often fall
in a dilemma as to how much extra he has to deliver so that the consumers easily detect
the positive change and the company wants to put the extra amount which is exactly
equal to the j.n.d. amount nothing less or nothing more. If they opt for a less than j.n.d.
amount, consumer's will unable to notice the change and there by the whole effort fails,
and for the other option of a greater than j.n.d. amount, the company would result in
sacrificing a good deal of repeat purchase.

Products Line Filling

Products line :- is the marketing strategy of offering for sale several related products.
Line Filling :- Line filling is the process of adding a new product within the current range of an
incomplete line.
weber’s law:- Customers are more attuned to relative than absolute difference.

3. ) A positioning statement for any product

Colgate Junior-“Ab Bacche Toothwash karega” is positioned as offering to kids a

toothpaste made especially for those kids who don’t like to brush with the competitive
advantage of a mild fruit taste and lower foaming
Part III

1. Brand personality of Sona Chandi Chyawanprash- Sona Chandi Chyawanprash is the premier
brand from the house of Emami

i) Sona Chandi Chyawanprash takes great pride in providing its consumers an effective
immunity builder that fortifies the entire system and an ideal rejuvenator for our body
and mind.
ii) Gold Since ancient times Gold has been known to fight toxic elements within the body. It
also tones up cardiac muscles and improves blood circulation. By boosting immunity
system, it protects the body from diseases. Thus gold acts as complete rejuvenator.

iii) Silver It is an excellent toner of the brain and nervous system. It activates neurons in the
brain to enhance memory power, increases mental energy and improves
concentration. It helps in making brain sharp & alert.

2.) Positioning statement for Sona Chandi Chyawanprash-“Pao Susth Sarir aur Tez Dimag”

Sona chandi is positioned in the health platform offering both

physical and intellectual well being.

4. ) Identify the critical factors that led to the success of this brand

Emami created a unique chyawanprash, which is softer, tastier and included gold and silver as
prime ingredients. It was given simple brand name, easy to remember – Sona Chandi Chyawanprash

The brand’s ad showcases Shah Rukh Khan in a double role, one physically strong and the other
mentally agile. The two go on to merge and form a perfect combination of 'Surakshit Tan, Tez Dimaag'.
In fact, Sona Chandi is the first Chyawanprash to promise mental agility, in addition to just physical
strength, states an official release. Sourav Ganguly and Sunny Deol have featured in earlier ad campaigns
of Sona Chandi Chyawanprash. Strong visuals with Kallaripet (traditional martial arts of Kerala) fight
with sword and shield were made.

It strived to earn consumer’s confidence through money-back offer. Consumer study showed that
there was some disbelief about real gold content. So, a gold challenge offer was formulated: whoever
proves that the product didn’t contain gold, will be given 1 kg of pure gold.

There is a common belief that chyawanprash produces heat in the body and so consumed in winter. But
need for immunity, energy and stamina customer will use Sona Chandi Chawanprass throughout the year.