Chapter 1

21/9/20
BRANDS & BRAND MANAGEMENT

CHAPTER 1:
Chapter Learning Objectives
Brands and brand management •Define “brand,” state how brand differs from a product,
and explain what brand equity is
Prof. Muhammad Ismail Hossain

•Summarize why brands are important
MBA (Dhaka), MIB (Melbourne)
PhD (Monash) •Explain how branding applies to virtually everything
Department of Marketing
University of Dhaka •Describe the main branding challenges and opportunities
•Identify the steps in the strategic brand management
process
©muhammad.hossain@du.ac.bd
Copyright © 2013 Pearson Education ©muhammad.hossain@du.ac.bd
Copyright © 2013 Pearson Education
1 2
BOTTOM LINE OF ALL MARKETING ACTIVITIES BRANDS & BRAND MANAGEMENT

• Creating Difference
• For Value Delightment

• To Have Competitive Edge
• Leading To Building Brands
• Building Brand Equity

• Creating & Retaining Consumer / Customer
Creating Value Competitive Creating Retaining

Difference Delightment Edge Consumers Consumers
3 4
What is a brand? What is a brand?
¨ Brand emerges from old norse (Scandinavian language) ¨ For the American Marketing Association (AMA), a brand is a
word brandr that means to burn “name, term, sign, symbol, or design, or a combination of them,
intended to identify the goods and services of one seller or
¨ “A brand is a storehouse of trust. That matters more and
group of sellers and to differentiate them from those of
more as choices multiply. People want to simplify their competition.”
lives.”
¨ These different components of a brand that identify and
¨ In technocrat and colorless items, brands bring warmth,
differentiate it are brand elements.
familiarity and trust.
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What is a brand name? What is a brand mark?
¨ That part of a brand which can be recognized

¨ That part of a brand which can be vocalized –
but is not utterable, such as symbol, design, or
the utterable.
distinctive coloring or lettering.
American Marketing Association
7 8
What is a trade mark? EXAMPLE OF A BRAND

MERCEDES BENZ = BRAND NAME
¨ A brand or part of a brand that is given legal
protection because it is capable of exclusive BRAND MARK =
appropriation. A trademark protects the
seller’s exclusive rights to use the brand
TRADE MARK = MERCEDES BENZ
name and/or brand mark.
BRAND NAME
+
BRAND MARK = BRAND
+
TRADE MARK ©muhammad.hossain@du.ac.bd
9 10
What is a brand? What is a Brand?
¨ Many practicing managers refer to a brand as more than

that— as something that has actually created a certain amount
of awareness, reputation, prominence, and so on in the Brand Elements
marketplace.
¨ We can make a distinction between the AMA definition of a
“brand” with a small b and the industry’s concept of a
“Brand” with a capital B.
Brands versus Products
1.11
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Brand Elements Brand Elements_People

¨ Different components that identifies and
differentiates a brand
¤ Name, logo, symbol, package design, or other
characteristic
¨ Can be based on people, places, things, and
abstract images
Copyright © 2013 Pearson Education Copyright © 2013 Pearson Education
13 14
Brand Elements_Place Brand Elements_Abstract
15 16
Brand versus Product Five Levels of Meaning for a Product

Brand Product For Smartphone
Has dimensions that differentiate it Anything available in the market

¨ The core benefit
in some way from other products for use or consumption, that may
(communication)
designed to satisfy the same need satisfy a need or want
¨ The generic product level
(talk)
Can be differentiated on the basis of: Can be categorized into five levels
• Packaging namely: ¨ The expected product level
• Services provided • Core benefit level (interactive talk)
• Customer advice • Generic product level ¨ Augmented product
• Financing • Expected product level (Siri for IOS, GT for Android)
• Delivery arrangements • Augmented product level ¨ The potential product level
• Warehousing • Potential product level
(nano technology)
• Other things valued by the customers
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Five Levels of Meaning for a Product Five Levels of Meaning for a Product
For Hotels & Resorts One night stay at the Presidential Suite at Raj Palace will cost you USD 43,000/night
¨ The core benefit

(accommodation)
¨ The generic product level
(soundless sleep)
¨ The expected product level
(comfortable stay)
¨ Augmented product
(> comfortable stay, customization)
¨ The potential product level
(>>>>>>!!!!!!)
19 20
Five Levels of Meaning for a Product Brand versus Product

Product Brand
One night stay at the Lover’s Deep British Submarine hotel will cost you USD • Anything we can offer to a • More than a product since it has
150,000/night market for attention, acquisition, some dimensions that differentiate
use, or consumption that might it from other products
satisfy a need or want
• A tangible/intangible entity that • A perceptual entity that lives in the

lives in the real world minds of consumers
• Provides only functional value • Provides functional and
physiological (social, emotional,
and epistemic) values
• Can be copied by competitors • Is unique
Copyright © 2013 Pearson Education • Comes and goes with time Copyright © 2013 •Pearson
Is timeless???
©muhammad.hossain@du.ac.bd Education
21 22
What is Brand? Making a Brand Leader: An Example

Understanding consumer motivations and desires and creating
A brand is therefore a product, but one that adds relevant and appealing images surrounding the products make a
brand leader
other dimensions that differentiate it in someway
from other products designed to satisfy the same
need.
(K.L. Keller, 2013)
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Day before yesterday… Yesterday…

A brand was name, term, sign, symbol or
design, or a combination of them, A brand was a bundle of benefits
intended to identify the goods or delivered by products/services to
services of one seller or group of sellers consumers…
and to differentiate them …
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Today… Are you a brand????
A brand is an experience that real Yes, you all are brands in your
people enjoy (hopefully) everyday… individual right!
And it has a name, a personality and
lots more which fits with me.
27 28
What Is Branding? Why Is Brand So Important?
The act of transforming a product into ‘customer satisfying As perceptions of all tangible
value-added propositions’ to create preferences in one’s and intangible elements, brands
favor and against rivals have…
• Shaping the perception of a

product or company …the power that can …the ability to capture
• Everything a marketer does to its transcend the attributes and attention and loyalty far
offer characteristics of products above others
• Making an emotional connection
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Why Is Brand So Important? Brands Are Customer Possessed
• Because it is an intangible and a

Brands can have POWER…
perceptual entity that remains in
minds
Coca-Cola Is it more than cola beans, corn sweetener,
spices, and food coloring mixed together? Brand is possessed • Knowledge structure which lives in
Is it more than a beverage? by customers but customer’s mind in form of a
Coors Light Is it more than hops, malted barley, owned by firms universe of associations which
mushroom, and water? – Stores information
Starbucks Is it more than coffee? – Creates brand awareness and
brand associations
USA Is it more than 50 states united? – Elicits customer response
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Brands Are Customer Possessed To Sum Up ....

Thirst
Urban Refreshing
Orange
Cola Black Through branding, organizations:
Fun
Fanta • Create perceived differences amongst products

Pepsi Coke
Good • Develop loyal customer franchise
Times US Mirinda
Young
• Create value that can translate to financial profits
Sweet
S. Khan
Rebel
Fig: Associative Network for Pepsi

33 34
Why Do Brands Matter? Consumers

¨ Encompass all types of customers, including
individuals as well as organizations
• What FUNCTIONS do brands perform? ¨ Functions provided by brands to consumers
¤ Identify the source or maker of the product
• More specifically, what brands DO to:
¤ Simplify product decisions
a) CONSUMERS ¤ Lower the search costs for products internally and
b) MANUFACTURERS externally
¤ Helps set reasonable expectations about what
consumers may not know about the brand
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Consumers Consumers
¨ Functions provided by brands to consumers ¨ Functions provided by brands to consumers
¤ Play a religious role of sorts and substitute for religious ¤ Play a religious role of sorts and substitute for religious
practices and help reinforce self-worth practices and help reinforce self-worth
37 38
Consumers Consumers
¤ Play a religious role of sorts and substitute for religious ¤ Play a religious role of sorts and substitute for religious
practices and help reinforce self-worth practices and help reinforce self-worth
39 40
Consumers Firms
¤ Signal product characteristics and attributes ¨ Brands provide valuable functions
n On the basis of attributes products can be classified as: ¤ Simplify product handling and tracing
n Search goods
n Experience goods
¤ Help organizing inventory and accounting records
n Credence goods ¤ Offer the firm legal protection for unique features or
¤ Reduce risks in product decision aspects of the product
n These risk can be categorised as ¤ Provide predictability and security of demand for the
n Functional ,physical, financial, social psychological, and time firm and creates barriers of entry for competitors
¤ Provide a powerful means to secure competitive
advantage
© Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

muhammad.hossain@du.ac.bd muhammad.hossain@du.ac.bd
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Figure 1.3 - Roles that Brands Play Can Anything Be Branded????

- A brand is something that resides in the minds of the
consumers
- Branding involves creating mental structures and helping
consumers to organize their knowledge
- The key to branding is that consumers perceive
differences (tangible & intangible) among brands in a
product category.
- Marketers can benefit from branding whenever
consumers are in choice situation in comparison to a non-
choice situation.
Choice results in branding
43 44
Can Anything Be Branded Physical Goods
Business-to-Consumers
Products
Physical Goods Business-to-Business
Products
Services
High-tech Products

45 46
B2B products B2B products
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High-Tech Products: Branding Challenges

Guidelines for Branding B2B products
and Mistakes
• Adopt corporate perspective
• Branding is challenging due to the speed and
matter”
−Ensure that company supports branding
initiatives brevity of technology PLCs
−Create a positive brand image and reputation • Common mistakes
“brands don’t
for the company as a whole
−Brand only by naming
• Frame value perceptions −Promote brands based on a list of attributes
• Link relevant non-product-related brand −See brand as a technical feature
associations.
Different view:
−Brands are owned by engineers
• Find relevant emotional associations for the brand.

49 50
Guidelines for Branding High-Tech Products Services

• Financial success depends not • Focus on trust which is
only on innovation driver but critical
also on marketing skills
• Use less mkt. budget but
• CEOs are the dominant more expenditures on Role of Branding with Services
factors mkt. comms. (classical mkt
techs)
• Technology categories are Professional Services
created by customers and • Recognize that building
external forces, not by the BE and selling brands
company are two different
exercises

51 52
Services: Branding Challenges Guidelines for Branding Services
• Branding services is very much challenging • Address intangibility and variability problems
because
−Tanagibilize the intangible services
−Services are less tangible
−Establish brand symbols to make the abstract nature of
−Services are more variable in quality depending services more concrete
upon:
−Identify and provide meaning to different services
üwho provide them
−Provide competitive edge to the services and
ühow, when, where it is provided communicate it

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Professional services Guidelines for Branding Professional Services
• Create corporate credibility • Use referrals and

in terms of expertise, testimonials, powerful tools
trustworthiness, and when services are
likeability intangible and subjective
• Overcome variability issue • Create emotions which can
with professional services play a big role in terms of
sense of security and
• Focus on individual
social approval
employees who have a lot
more equity in the firm

55 56
Guidelines for Branding Retailers and Distributors Guidelines for Online products and services
• Link service quality, product assortment, • Avoid unusual or • Ensure that brands
pricing, and credit policy to stores expensive ads that fail perform satisfactorily
to create awareness in other areas like
• Use store names customer service,
• Create unique aspects
• Create new names credibility and
of the brand on some
personality
dimensions
• Rely more on WOM
• Offer unique features
and publicity
and services

57 58
Guidelines for People and Organizations Guidelines for Sports, Arts, and Entertainment
• Build up a name and reputation in a business • Apply creative combination of ad, promotions,
context sponsorship, direct mail, digital, and other forms of
com.
• Create right awareness and image
• Check who the person is and what kind of • Build up brand awareness, image, and loyalty
person he is in terms of skills, talents, attitude, • Establish brand symbols and logos
and so forth
• Use cues which are used to judge quality (people
• Ensure right programs, activities, and products
involved, WOM, critical reviews, etc.)

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Guidelines for Geographic Locations Guidelines for Ideas and Causes
• Use of ad, direct mail, and other comm. tools to

promote cities, states, regions, and countries • Use phrase or slogan or symbols for branding
through (AIDS Ribbons)
−This will create awareness and a favorable • Make them more visible and concrete
image of a location that will entice visitors

61 62
To Sum up.... Strong Brands

¨ Branding is universal and pervasive in different
product categories • Strong brands are market leaders in their
categories for decades
¨ Applicable to both tangible and intangible
−Any brand is vulnerable and susceptible to poor brand
offerings of an organization
management
¨ Technological developments have impacted the way
−The appeal of brand is not timeless if it is not properly
firms market their offerings managed
¨ Organizations reap financial benefits from positive
brand images

63 64
Strong Brands_Once_Bangladesh Strong Brands_Now_Bangladesh
© Copyright © 2013 Pearson Education ©muhammad.hossain@du.ac.bd

muhammad.hossain@du.ac.bd
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Strong Brands_Now_Bangladesh Strong Brands_2007
67 68
Strong Brands_2019 Strong Brands_2019_Growth wise
69 70
Strong Brands_2018_B2B Strong Brands_2019
Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

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Factors Responsible for Branding Factors Responsible for Branding

Challenges Challenges
Brand proliferation
Savvy customers
Economic downturns
Brand proliferation
© Copyright © 2013 Pearson Education ©muhammad.hossain@du.ac.bd

73 74
Factors Responsible for Branding Factors Responsible for Branding

Challenges Challenges
Brand proliferation Brand proliferation
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Factors Responsible for Branding Figure 1.9- Challenges to Brand Builders

Challenges
Media transformation
Increased Competition
Increased costs
Greater accountability
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Brand Equity Principles of Branding and Brand Equity
§ The added value endowed § The premium a brand can • Differences in outcomes arise from the “added
to products command in the market value”
§ Marketing effects uniquely § Reflected • “Added value” can be created in many different
attributable to the brand – in how consumers think, feel, ways
and act with respect to brand
§ The difference between the • BE provides a common denominator for interpreting
– in the prices, market share,
perceived value and the and profitability the brand
mkt. strategies and assessing brand value
intrinsic value of a brand commands
• There are different ways in which the value of a
brand can be exploited to benefit the firm
No common definition
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Strategic Brand Management

Brand Equity– Competitive Advantages Process
• Reduced marketing costs Identifying and Developing Brand Plans
• Trade leverage Designing and Implementing Brand

• Can charge a higher price Marketing Programs
• Can easily launch brand extensions Measuring and Interpreting Brand

Performance
• Can take some price competition
Growing and Sustaining Brand Equity
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Identifying and Developing Brand Designing and implementing Brand Marketing

Plans Program
Brand Positioning Model

Describes how to guide integrated marketing to maximize Choosing Brand Elements
competitive advantages.
Brand Resonance Model Integrating the Brand into Marketing

Describes how to create intense, activity loyalty relationships with
Activities and the Supporting Marketing
customers. Program
Brand Value Chain

Means to trace the value creation process for brands, to better
Leveraging Secondary Associations
understand the financial impact of brand marketing expenditures
and investments.

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Measuring and Interpreting Brand Measuring and Interpreting Brand

Performance Performance
• To manage brands profitably, managers must Brand Audits

develop and implement a brand equity • A comprehensive examination of a brand, to assess
measurement system (BEMS) its health, uncover its sources of equity, and suggest
−BEMS is a set of research procedures designed to ways to improve and leverage that equity
provide timely, accurate, and actionable information for
marketers so that they can make the best possible
tactical and strategic decisions

85 86
Measuring and Interpreting Brand Measuring and Interpreting Brand

Performance Performance
Brand Tracking Studies
•Collect information from consumers on a regular basis over time on
BE Management System
key dimensions identified in the brand audit • Set of organizational processes designed to improve
•Provide descriptive and diagnostic info (how brands and mkt.
the understanding and use of the brand equity
programs are performing)
concept within a firm
•Where, how much, and in what ways BV is created • Steps involved:
– What to track? (product–brand tracking or corporate/family brand a) Create BE charters (company view of BE into a document)
tracking or global brand tracking) b) Assemble BE reports
– How to conduct tracking?
c) Define BE responsibilities (organizational responsibilities
– Who to track (target market)? and processes with respect to the brand)
– When and where to track (frequency)?
– How to interpret track?
©
87 88
Growing and Sustaining Brand Equity Growing and Sustaining Brand Equity
Brand portfolio: The set of

Brand architecture different brands that a firm
• Defining brand architecture
Provides its general offers to its buyers in a
• Managing BE over time guidelines about branding particular category
• Managing BE over geographic strategy and which brand Brand hierarchy: Displays the
boundaries, cultures, and market elements to apply across all number and nature of common
segments the different products sold by and distinctive brand elements
the firm across the firm’s set of brands

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Brand Architecture Example Brand Architecture Example
A strategic roadmap for present and future success of all brands

A strategic roadmap for present and future success of all brands
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Brand Architecture Example Brand Hierarchy Example

93 94
Growing and Sustaining Brand Equity Managing Brand Equity Over Time
Managing Brand Equity Over Time PROACTIVE STRATEGIES ..(a) what products it
represents, what core benefits
• Recognizes that any changes in the
Brand reinforcement it supplies, and what needs it
supporting mkt. program for a brand satisfies, and
may affect the success of future mkt. requires the brand be
Long-term perspective programs moving forward and ..(b) how the brand makes
of brand • Produces proactive strategies to
consistently conveying the products superior, and which
management brand’s meaning in terms strong, favorable, and unique
enhance CBBE and reactive strategies
of… brand associations should exist
to revitalize a brand that encounters
in consumers’ minds.
problems

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Managing Brand Equity Over Time Managing Brand Equity Over Time
PROACTIVE STRATEGIES REACTIVE STRATEGIES
Brand revitalization:
First, understand what the sources of BE were to begin with.
− Are positive associations losing their strength or uniqueness?
− Have negative associations become linked to the brand?
Second, decide whether to retain the same positioning or

create a new one

97 98
Managing Brand Equity over Geographic

Managing Brand Equity Over Time Boundaries, Cultures, and Market Segments
REACTIVE STRATEGIES
Brand revitalization: • In expanding a brand overseas, managers need

to build BE…
…by relying on specific knowledge about the
experience and behaviors of those market
segments

99 100
Figure 1.12 - Strategic Brand

Management Process
WE ARE DONE FOR THIS CHAPTER

101 102

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21/9/20

BRANDS & BRAND MANAGEMENT

Prof. Muhammad Ismail Hossain

BOTTOM LINE OF ALL MARKETING ACTIVITIES BRANDS & BRAND MANAGEMENT

• For Value Delightment

• Building Brand Equity

Creating Value Competitive Creating Retaining

What is a brand? What is a brand?

What is a brand name? What is a brand mark?

¨ That part of a brand which can be recognized

American Marketing Association

What is a trade mark? EXAMPLE OF A BRAND

What is a brand? What is a Brand?

¨ Many practicing managers refer to a brand as more than

Brand Elements Brand Elements_People

Brand Elements_Place Brand Elements_Abstract

Brand versus Product Five Levels of Meaning for a Product

Has dimensions that differentiate it Anything available in the market

¨ The core benefit

Five Levels of Meaning for a Product Brand versus Product

• A tangible/intangible entity that • A perceptual entity that lives in the

• Can be copied by competitors • Is unique

What is Brand? Making a Brand Leader: An Example

(K.L. Keller, 2013)

What is a brand? What is a brand?

Day before yesterday… Yesterday…

What is a brand? What is a brand?

Today… Are you a brand????

What Is Branding? Why Is Brand So Important?

• Shaping the perception of a

Why Is Brand So Important? Brands Are Customer Possessed

• Because it is an intangible and a

Brands Are Customer Possessed To Sum Up ....

Fanta • Create perceived differences amongst products

Fig: Associative Network for Pepsi

Why Do Brands Matter? Consumers

Copyright © 2013 Pearson Education Copyright © 2013 Pearson Education

Copyright © 2013 Pearson Education Copyright © 2013 Pearson Education

© Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

Figure 1.3 - Roles that Brands Play Can Anything Be Branded????

Can Anything Be Branded Physical Goods

© Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

B2B products B2B products

Copyright © 2013 Pearson Education Copyright © 2013 Pearson Education

High-Tech Products: Branding Challenges

© Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

Guidelines for Branding High-Tech Products Services

© Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

Services: Branding Challenges Guidelines for Branding Services

© Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

Professional services Guidelines for Branding Professional Services

• Create corporate credibility • Use referrals and

© Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

© Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

© Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

Guidelines for Geographic Locations Guidelines for Ideas and Causes

• Use of ad, direct mail, and other comm. tools to

© Copyright © 2013 Pearson Education © Copyright © 2013 Pearson Education

To Sum up.... Strong Brands