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Advertising – Rajesh.

UNIT III

Branding management- brand image, brand personality, brand


awareness, brand extension & brand equity; brand positioning
strategies; Unique selling proposition (USP); media strategy; developing
media strategy; media mix; Advertising research- purpose & objectives
of advertising research; Advertising campaign- translation of ideas into
campaigns & from conception to execution

3.1 Brand:

A brand is a name or symbol used to identify the source of a


product. When developing a new product, branding is an
important decision. The brand can add significant value when
it is well recognized and has positive associations in the
consumer's mind. There are at least three perspectives on
brand equity, they are;
• Financial: One way to measure brand equity is to
determine the price premium that a brand commands
over a generic product. For example, if consumers are
willing to pay 100 more for a branded television over the
same unbranded television, this premium provides
essential information about the brand's value. However,
expenses such as promotional costs must be considered
when using this method to measure brand equity.
• Brand Extensions: A successful brand can be used as a
platform to launch related products. The benefits of
brand extensions are leveraging existing brand
awareness, thus reducing advertising expenditures and a
lower risk from the consumer's perspective.
Furthermore, appropriate brand extensions can enhance
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the core brand. However, the value of brand extensions is


more difficult to quantify than direct financial measures
of brand equity.
• Consumer-based: A strong brand increases the
consumer’s attitude towards the product associated with
the brand. Attitude strength is built by experience with a
product. This importance of understanding by the
customer implies that trial samples are more effective
than advertising in the early stages of building a solid
brand. The consumer's awareness and associations lead
to perceived quality, inferred attributes, and brand
loyalty.

3.2 Branding Management:

Branding management is maintaining, improving, and


upholding a brand so that the name is associated with
positive results. Brand management involves many essential
aspects, such as cost, customer satisfaction, in-
store presentation, and competition. Brand management is
built on a marketing foundation but focuses directly on the
brand and how that brand can remain favorable to customers.
Proper brand management can result in higher sales of one
product and other products associated with that brand.

3.2.1 Brand Image:

Brand image is the current view of the customers about a


brand. It can be defined as a unique bundle of associations
within the minds of target customers. It signifies what the
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brand presently stands for. It is a set of beliefs held about a


specific brand. In short, it is the consumer’s perception of the
product. It is how a particular brand is positioned in the
market.

Brand image conveys emotional value and is not just a mental


image, and it is nothing but an organization’s character. It is
an accumulation of contact and observation by people
external to an organization. It should highlight an
organization’s mission and vision to all. The main elements of
a positive brand image are a unique logo reflecting the
organization’s image, a slogan describing the organization’s
business in brief, and a brand identifier supporting the
fundamental values.

3.2.2 Brand Personality:

Brand personality is the way a brand speaks and behaves. It


means assigning human personality characteristics to a brand
to achieve differentiation. These characteristics signify brand
behavior through both individuals representing the brand
and through advertising, packaging, etc. When a brand image
or brand identity is expressed in terms of human traits, it is
called brand personality. For instance, the Allen Solley brand
speaks to the personality and makes the individual who wears
it stand apart from the crowd. Infosys represents uniqueness,
value, and intellectualism.

Brand personality is nothing but a representation of the


brand. It sets the brand attitude. It is a crucial input into the
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look and feel of any communication or marketing activity by


the brand. It helps gain a thorough knowledge of customer's
feelings about the brand. Brand personality and celebrity
should supplement each other. Brand personality includes not
only personality features or characteristics but also
demographic features like age, gender, class, and
psychographic attributes. Brand personality results from all
the consumer’s experiences with the brand. It is unique and
long-lasting.

3.2.3 Brand Awareness:

Brand awareness is the probability that consumers are


familiar with the life and availability of the product. It is the
degree to which consumers accurately associate the brand
with the specific product. Brand awareness includes both
brand recognition as well as brand recall.
• Brand Recognition: The ability of the consumer to
recognize prior knowledge of a brand when they are
asked questions about that brand or when they are
shown that specific brand, i.e., the consumers can
differentiate the brand as having been earlier noticed or
heard.
• Brand Recall: The customer's potential to recover a
brand from his memory when given the product category
needs satisfying by that category or buying scenario as a
signal. In other words, it means that consumers should
correctly recover the brand from memory when given a
clue, or he can recall the specific brand when the product
category is mentioned.
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Brand awareness is improved to the extent to which brand


names are selected that is simple and easy to pronounce or
spell. For instance, Coca-Cola has come to be known as Coke.
There are two types of brand awareness, they are;
• Aided awareness: By mentioning the product category,
the customers recognize the brand from the lists of
brands shown.
• Top-of-mind awareness (Immediate brand recall):
This means that the first brand that the customer recalls
from his mind on mentioning the product category.

Building brand awareness is essential for building brand


equity. Creating a reliable brand image, slogans, and taglines
is crucial to brand awareness. Strong brand awareness leads
to high sales and high market share.

3.2.4 Brand Extension:

Brand Extension is using an established brand name in new


product categories. This new category to which the brand is
extended can be related or unrelated to the existing product
categories. A renowned or successful brand helps an
organization to launch products in new categories more
easily. For instance, Nike’s brand core product is shoes. But it
is now extended to sunglasses, soccer balls, basketballs, and
golf equipment.

An existing brand that gives rise to a brand extension is


the parent brand. If customers of a new business have values
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and aspirations matching the core business, and if these


values and aspirations are embodied in the brand, it is likely
to be accepted by customers in the new industry.

Extending a brand outside its core product category can be


beneficial because it helps evaluate product category
opportunities, identifies resource requirements, and
measures the brand’s relevance and appeal. The Brand
extension may be successful or unsuccessful based on
marketing strategies.
• Wipro: Originally into computers has extended into
shampoo, powder, and soap, an example of successful
brand extensions.
• Rasna: It is one of the famous soft drink companies in
India. But when it experimented with the fizzy fruit
drink ‘Oranjolt,’ the brand bombed even before it could
take off, which is an example of unsuccessful brand
extensions.

3.2.4.1 Advantages of Brand Extension:

Brand Extension has the following advantages:


• It increases and enhances the image of the parent brand
image.
• The risk perceived by the customers reduces.
• An established brand name increases consumer interest
and willingness to try new products having the
established brand name.
• Advertising, selling, and promotional costs are reduced.

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• The cost of developing a new brand is saved.


• Consumers can now seek a variety.
• The expense of introductory and follow-up marketing
programs is reduced.
• Customer associate original or core brands with a new
product, hence they also have quality associations

3.2.4.2 Disadvantages of Brand Extension:

Brand Extension has the following disadvantages:


• Brand extension in unrelated markets may lead to a loss
of reliability if a brand name is extended too far.
• There is a risk that the new product may generate
implications that damage the image of the core or original
brand.
• There are chances of less awareness and trial because the
management may not provide enough investment for
introducing a new product, if the spin-off effects from the
original brand name will compensate.
• It will fail if the brand extensions have no advantage over
competitive brands in the new category.

3.2.5 Brand Equity:

Brand Equity is the value and strength of the Brand that


decides its worth. It can also be defined as the differential
impact of brand knowledge on consumer response to Brand
Marketing. Brand Equity exists as a function of consumer
choice in the marketplace.
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The concept of Brand Equity comes into existence when a


consumer chooses a product or a service. It occurs when the
consumer is familiar with the brand and holds some favorable
positive, strong, and distinctive brand associations in the
memory. Brand Equity can be determined by measuring the
following, they are;
• We are evaluating the Brand’s earning potential in the
long run.
• By evaluating the increased sales volume created by the
brand compared to other brands in the same class.
• The price premium charged by the brand over non-
branded products.
• From the prices of the shares that an organization
commands in the market (specifically if the brand name is
identical to the corporate name or the consumers can
easily co-relate the performance of all the individual
brands of the organization with the organizational
financial performance.
• An amalgamation of all the above methods

3.2.6 Brand Associations:

Brand Associations are not benefits but are images and


symbols associated with a brand or a brand benefit. For
example, The Nike Swoosh, Nokia sound, Film Stars with ‘Lux,’
signature tune ‘Ting-ting-ta-ding with Britannia, blue color
with Pepsi, etc.

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Associations are not ‘reasons-to-buy’ but provide associate


and differentiation that is not replicable. It relates the
perceived qualities of a brand to a known body. For instance,
Hyatt Hotel is associated with luxury and comfort; BMW is
associated with sophistication, fun driving, and superior
engineering. Similarly, the most popular brand associations
are with the brand owners, such as Bill Gates and Microsoft,
Reliance and Dhirubhai Ambani, etc. Brand associations are
formed on the following basis;
• Customers contact the organization and its employees;
• Advertisements;
• Word of mouth publicity;
• Price at which the brand is sold;
• Celebrity or significant entity association;
• Quality of the product;
• Products and schemes offered by competitors;
• Product class or category to which the brand belongs;
• Point of purchase displays, etc.

3.2.7 Brand Loyalty:

Brand Loyalty is when the consumer fears purchasing and


consuming a product from another brand he does not trust. It
is measured through word-of-mouth publicity, repetitive
buying, price sensitivity, commitment, brand trust, customer
satisfaction, etc.

Brand loyalty is the extent to which consumers constantly buy


the same brand within a product category. Consumers remain
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loyal to a specific brand as long as it is available. They do not


buy from other suppliers within the product category. Brand
loyalty exists when the consumer feels the brand consists of
suitable product characteristics and quality at the right price.
Even if the other brands are available at cheaper or superior
quality, the loyal consumer will stick to his brand.

Greater loyalty leads to less marketing expenditure because


loyal customers promote the brand positively. Also, it acts as a
means of launching and introducing more products targeted
at the same customers at less expense. Brand loyalty can be
developed through various measures such as quick service,
ensuring quality products, continuous improvement, a vast
distribution network, etc.

3.3 Brand Positioning Strategies:

Brand positioning refers to the target consumer’s reason to


buy the brand in preference to others. An effective brand
positioning strategy will maximize customer relevancy and
competitive distinctiveness in maximizing brand value. It
ensures that all brand activity has a common aim; it is guided,
directed, and delivered by the brand’s benefits or reasons to
buy and focuses on all contact points with the consumer.

A niche market has to be carefully chosen to create a unique


place in the market, and a differential advantage is made in
their mind. Brand positioning is a medium through which an
organization can portray to its customers what it wants to
achieve for them and what it wants to mean.
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Key objectives of brand positioning include relevance,


differentiation, and credibility or attainability, as described
here;
• Relevance: Customers must find the brand appealing. If
not, the brand will not make it into the consideration set,
regardless of how differentiated or credible it is.
• Differentiation: Differentiation is a critical driver of
positioning success.
• Credible or attainable: It is the final measure. The
customer is left with an empty promise if they do not
credibly provide the offering.

It’s critically important when developing a brand positioning


strategy to deliver on all three positioning objectives at the
same time. Similarly, brands that are highly differentiated,
though not particularly relevant, become position providers.

There are various positioning errors, such as-


• Under positioning: This is a scenario in which the
customers have a blurred and unclear idea of the brand.
• Over positioning: This is a scenario in which the
customers have too limited awareness of the brand.
• Confused positioning: This is a scenario in which the
customers have a confusing opinion of the brand.
• Double Positioning: This is a scenario where customers
do not accept a brand's claims.

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3.4 Unique Selling Proposition (USP):

A unique selling proposition (USP) is a factor that


differentiates a product from its competitors, such as the
lowest cost, the highest quality, or the first-ever product of its
kind. A USP could be thought of as ‘what you have that
competitors don’t have.’

A successful USP promises a clearly articulated benefit to


consumers, offers them something that competitive products
can’t or don’t provide, and is compelling enough to attract
new customers. The process of developing a very effective
USP for any product is as follows, they are;
• Get into their heads: Customers do not just look at the
products and decide whether they want them. They may
have lists of desired features or problems resolved by
the benefits conferred by buying the product. Beyond
this, when looking at the product, they compare what the
product has from the competitors.
• Select the key variables: The USP typically focuses on
specific variables, such as speed, size, convenience, safety,
style, or ease of use. It does not focus on price or value for
money. The USP says ‘what is different’ about the
product, particularly in comparison with significant
competitors. Thus take a range of variables and produce a
table to determine which is better or worse than
competitors.
• Research: Research plays a vital role in determining USP.
It is always better to do proper research before picking a

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factor from the product that seems to be very strong. Find


out what criteria customers use to compare products
against one another. Buy the competitor’s products and
make a scientific comparison. Better to get an
independent agency to research so that this can quote in
promotions. Customer surveys also help.
• Position: The USP of a product needs to be positioned not
just for the customer’s needs but also against the
competing products. The USP thus explains what
is unique about what has to sell.
• Comparison words: Positioning against a competitor can
often be done using words that compare, such as better,
faster, stronger, and so on.

3.5 Media Strategy:

Media strategy is a plan of action that helps businesses reach


their target audience and improve their overall conversion
rate. When trying to capture the attention of a position
market, it's essential to know the exact demographic and
what will get their attention most effectively.

The key components that need to be considered while


creating the media strategy are as follows, they are;
• Identify the Target Market: The target audience's
demographics should be considered. Knowing more
about the target market will make the marketing strategy
more effective. So, it is necessary to identify the market,
where and how they spend their time, and how the

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audience can most effectively be reached. For example,


mobile apps and social media marketing would be more
effective for getting the teenage demographic than print
and traditional media.
• Importance of Measurable Objectives: The overall
marketing objectives and goals are considered during the
strategy. They need to be measurable and specific. For
example, if the goal is ‘make more money,’ then it cannot
be measured because there are no tactics involved; at the
same time, if the goal is ‘increase profit by 20% in three
months,’ it is a more specific and realistic goal. Marketing
creates a sense of the ability to measure and draft a
workable timeline.
• Determine the Marketing Budget: In media strategy, it
is a must to consider the marketing budget because,
without a proper budget, money will be wasted without
getting a clear solution. So, setting a budget encourages
thinking more creatively in problem-solving and
protecting from overspending or correctly spending
money.
• Learning from Results: The most effective media
strategies evolve. If a company launches one system that
does not have the expected results, it can learn from
where it went wrong and improve subsequent launches.
This is why measuring results are essential; they provide
valuable data that can be implemented into future media
strategies to improve them.

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3.5.1 Developing Media Strategy:

Every work needs a plan of action to be done in a desired and


correct manner. Media Strategy plays a significant role in
Advertising. Media Strategy's role is to find the right path to
transfer or deliver the message to the targeted customers.

How many people see, hear, or read all the advertisements or


promotional offers and buy the product or service? The
primary intention of media strategy is not only procuring
customers for their product but also placing the right message
to the right people at the right time. So, here the
organization's planners decide on the Media Strategy to be
used but always keep the budget in mind. The Media Strategy
is developed based on the following process; they are;
• Where to place advertisement: It means the
geographical area from where it should be visible to the
customers who use or are most likely to use the product
or services offered. The place does not only mean TV or
radio; it can also be newspapers, blogs, sponsorships,
hoardings on roads, ads in the movie break in theatres,
etc. The area varies from place to place; it can be on a
national or state basis, and for local brands, it can be on a
city basis.
• When to place advertisement: The ad should be
delivered perfectly when most customers like to buy the
product. For example, raincoat ads cannot be shown in
the winter or summer. Instead, the raincoat ad should be
shown at the end of the summer, and the rainy season is
about to begin. Different products have different time
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lengths for advertisements. Some products need a year-


long ad as they have nothing to do with seasonal
variations (biscuits, soaps, vehicles, etc.), and some
products are required for three or four months
(umbrellas, cold creams, etc.). So, the planners have to
plan the budget according to the time length so that there
is no shortage of money at any time in this process.
• How to place advertisement: There are two media
approaches, they are;
o Media Concentration Approach: The number of
categories of media is less. The money is spent on
concentrating only on a few media types. This
approach is generally used for those companies that
are not very confident and have to share the place
with the other competitors. They do not want anyone
confused with their brand name, so this is the safest
approach as the message reaches the target
consumers.
o Media Dispersion Approach: In the media
dispersion approach, more media categories are used
for advertising. This approach is considered and
practiced by only those who know fewer media will
not reach their target. So, they place their product ads
in many categories like TV, radio, internet,
distributing pamphlets, sending messages to mobiles,
etc.

3.5.2 Selection of Media Category:

Whatever category is selected by the agency's planners, they


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should choose the proper media to convey their message.


• If the product is for many customers, a mass media option
can be selected, such as TV, radio, or newspaper. The best
examples of this type are detergent ads, children's health
drinks, and regularly used products such as soap,
shampoo, toothpaste, etc.
• If the planners want to change the mind of people doing
window shopping or just doing shopping for the sake of a
name, then the company can choose the point of purchase
type. The media category helps the company explain its
significance to the buyers and convince them to go for its
product.
• If the planners want to sell their product on a one-to-one
basis, then the third option is the direct response type.
Here, the company people directly contact the customers
via emails, text messages, phone calls, or meeting to give
demos. They go to their customers, explain what it is all
about and try to convince them.

Thus, this process of media strategy plays a vital role in the


field of Advertising.

3.6 Media Mix:

A media mix is a marketing term for the combination of


channels a business uses to meet its marketing goals. It can
include billboards, email, websites, and social media.
Companies might refer to their marketing mix when
considering how to hit future campaign goals. A media mix is

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another term for an overview of the channel’s businesses


choose to execute their marketing strategies. Ultimately,
media mix optimization is the process of analyzing the
performance of those channels.

When a company combines multiple marketing channels in a


media mix, it becomes easier to communicate with numerous
customer demographics at various stages of purchasing. With
a media mix, we can tailor the channels to the consumer base
we are trying to reach. For example, if we want a national
consumer base, we could create a media mix that includes
national newspapers, television, and radio. If targeting a
specific consumer group, like pet owners, you may wish to
have magazines that cater to animal lovers in your media mix.

3.7 Advertising Research:

Research conducted to improve the efficiency of an


advertisement is known as advertising research. Research
carried out to assist with the development of effective
advertising, whether for TV, radio, press, poster, or internet.
The research could focus on one advertisement or be
conducted in general to know the impact of advertising on
consumer behavior. Different types of research approaches
used in advertising are;
• Psychographic studies: To know the attitude and
behavior of a consumer towards a particular product, to
target these attitude characteristics through ads.
• Market segmentation: Consumers are divided into
different groups based on quality, like age, income, etc.
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Their tastes regarding various product features are


studied, and advertisements are thus made.
• Audience size and composition studies: It is used to
know the reach and frequency of an ad.
• Market share studies: These are used to study the
company's market share changes before and after the
launch of an ad campaign.
• Competitor’s studies: The strategies that the competitor
is using are thoroughly studied, and their effects on the
products and markets of the company are noted.
• Popularity research: Used to know the popularity of a
particular advertisement.

After the data is collected, mathematical tools like regression


and relationship can be used to study the data and obtain the
results. This type of research allows companies and
advertising agencies to evaluate many advertisings creative
concepts at different stages before production to identify a
winning image and prevent the investment of many person-
hours and production resources in ineffective advertisements.

3.7.1 Benefits of Advertising Research:

• Asses an ad’s ability to create awareness, generate leads,


and increase conversion.
• Measure how effectively different ads draw attention,
build brand image, elicit emotion, communicate a
message, etc.
• Pinpoint weak elements within an ad and how to improve
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its performance.
• Identify elements that can be part of an integrated ad
campaign using different media.
• Provide a framework for the creative team to create
effective ads.
• Allow exploring different creative concepts before
production.
• Indicate which creative elements and content appeal to
different target segments.

3.7.2 Purpose of Advertising Research:

• Idea Generation: An agency often invents new,


meaningful ways of presenting a brand to a target
audience.
• Concept Testing: seeks feedback designed to screen the
quality of new ideas or concepts.
• Audience Definition: Once target segments have been
identified, planning proceeds with developing a
meaningful message.
• Audience Profiling: Creative need to know as much as
possible about the people their ads will speak to.

3.7.3 Objectives of Advertising Research:

The advertising research is undertaken to attain the following


objectives:

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• The demographics of who is buying the product at


present compared to the demographics of people buying
competitors’ products.
• Satisfaction of customers and potential customers with
the products they are buying.
• Attitudes of customers and potential customers towards
the products' value for money from different suppliers.
• Features about the product that customers would like to
see improved.
• The awareness amongst potential customers of the
product.
• Factors that would prompt potential customers to buy
from the company.

3.8 Advertising Campaign:

An advertising campaign is a designed strategy carried out


across different mediums to achieve desired results, such as
increased brand awareness, sales, and communication within
a specific market. Many entrepreneurs think carrying out an
advertising campaign means simply creating an ad.

3.8.1 Advertising Campaign- conception to execution:


• Set a Campaign Goal: Typically, when we think about
‘goals,’ most people think of sales. But the truth is that
there are many other advertising objectives to focus on.
The most common goals include acquiring new clients,
promoting current products, and launching new
products.
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• Define a Target: Part of a campaign’s success is directly


tied to your target audiences. It is much easier to
accomplish and measure your goals if you have a well-
defined target market or audience.
• Audience Segmentation: Once you have clearly defined
your target audience, you should then segment the
audience, dividing them into various groups based on the
products or services you want to sell and their multiple
demographics.
• Deciding Advertising Mediums: Many helpful tools can
get your campaign's message to your target segment. Let
us review the different types of advertising options that
exist.
• Communication: The message of an advertising
campaign is also fundamental. Even though each
company and each strategy are different, the copy should
always be natural sounding, well organized, clear,
concise, fluid, and coherent.
• Paying Attention to Design: The design is just
as important as the message. Utilize responsive design
and friendly websites to win over the audience. Delight
them first by sight and then through everything else we
must tell them.
• Track Metrics and KPIs: Measuring is essential in many
different fields, but it is crucial in advertising. If we do
not track our results, we will not know what is going well
or what we could improve on.

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