Brand Management

Unit 1 - Introduction

What is a Brand? – Brand vs. Product – Functions of Brand – Branding Challenges

and Opportunities – Brand Equity Concept – Customer based Brand Equity –
Sources of Brand Equity – Strategic Brand Management Process.

CO1: Demonstrate understanding of key branding concepts and process to

develop brand strategy
 Learning Objectives
• Define Brand
• Distinguish between a product and a brand
• Explain the importance of Branding
• Examples of Strong Brands of India
• Understand Brand Equity and CBBE
• Brand Knowledge and Brand Image
• Strategic Brand Management Process
• Branding Challenges and Opportunities
 Product
• A product is anything we can offer to a market
for attention, acquisition, use, or consumption
that might satisfy a need or want. (p. 3)
– Physical Good
– Service
 Product Levels - Hotel
• Core Benefit – Rest or Sleep
• Generic Product – Bed, towels, bathroom,
mirror, wardrobe
• Expected Product – Clean Sheets, Clean
towels, Clean bathroom
• Augmented Product – Exceeding…..
• Potential Product – Customer Delight
 Augmented Product
• Additional feature, benefits, services
• An augmented product has been enhanced by its
seller with added features or services in order to
distinguish it from the same product offered by
competitors. Free service, fast delivery, and in-home
installation are examples of add-ons that
a retailer might offer to create an augmented
product.
• Customer Care, Warranties, Delivery, Finance,
Services, Installation etc
 What is a Brand?
The American Marketing Association defines a
brand as “name, term, sign, symbol, or design or
a combination of them, intended to identify the
goods and services of one seller or group of
sellers and to differentiate them from those of
the competitor”. P. 2
 
 Brand Elements
• Name
• Logo
• Symbol
• Package Design
• Other Characteristics
 Brand
• A brand is a set of associations linked to the
name, mark or symbol associated with a
product or service (Calkins, 2019)
• The difference between a name and a brand is
that a name doesn’t have associations: it is
simply a name. A name becomes a brand
when people link it to other things.
• Brand shapes perceptions.
 Brand (Refer P.3)
• According to Keller a brand is more than a
product, because it can have dimensions that
differentiate it in some way from other
products designed to satisfy the same need.
– Rational and tangible:
• Related to product performance of the brand
– Or may be more symbolic, emotional, and
intangible:
• Non product related
Brand Identity
 Brand Identity (Aaker)
• Brand Identity is a unique set of brand
associations that the brand strategist aspires
to create or maintain.
• Brand Identity generates value proposition
involving functional, emotional or self-
expressive benefits.
Source: Building Strong Brands by David Aaker
 Brand Relevance vs Brand Differentiation
(p23)
• First person chooses a category
• Selects a set within the category
• Brand is selected from the set based on
differential strength on functional attribute or
emotional or self expressive benefits
• https://youtu.be/yNAHeqPIGN0
https://www.youtube.com/watch?
v=t72nquFeCQQ&t=26s
Importance/Functions of Branding
 Importance of Brands to Consumers
.
 Identification of the source of the product
. Assignment of responsibility to product maker
 Search cost reducer
 Risk reducer
 Signal of quality
 Symbolic device
 Promise, bond, or pact with product maker
 Manufactures (p. 6-8)
• Means of identification to simplify handling or tracing
• Means of legally protecting unique features (Trademark)
• Signal of quality level to satisfied customers
• Means of endowing products with unique associations
• Source of Competitive Advantage
• Source of Financial Returns
 Benefits of building and maintaining a strong brand.

• Customer recognition.
• Competitive edge in market.
• Easy introduction of new products.
• Customer loyalty and shared values.
• Enhanced credibility and
• Ease of purchase.
• Higher Margins
 Brand Equity (Page 31)
• Branding is all about creating differences.
• Difference arise from the “adding value” to a
product through marketing activity.
• The value can be created for a brand in many
ways.
 Brand Equity
• Brand equity is a set of assets (and liabilities)
linked to a brand’s name and symbol that adds to
(or subtracts from) the value provided by a
product or service to a firm and/or that firm’s
customers. (Aaker, p 8)
– Major Assets
• Brand Name Awareness
• Brand Association
• Perceived Quality
• Brand Loyalty
 Customer Based Brand Equity
• CBBE is the differential effect that brand
knowledge has on consumer response to the
marketing of the brand.
– Brand Knowledge Components
• Brand Awareness
• Brand Image

Keller Page 42 - 45
 Customer Based Brand Equity
• Brand Knowledge is the key to create brand
equity---- it creates differential effect.
• Customer Knowledge drives the difference
that manifest themselves in terms of brand
equity.
 Brand Awareness
• Brand Recognition – ability to confirm prior
exposure to the brand when given the brand
as a cue.
• Brand Recall – ability to retrieve the brand
from memory when given the product
category the needs fulfilled by the category or
purchase or usage situation as a cue.
 Brand Image
• Brand Image is consumer perception of and
preferences for a brand, measured by various
types of brand associations held in memory.
(p549)
• Strong, favorable, unique associations to the
brand in memory with the help of marketing
programs. (p50-51)
Associative Network Memory Model (pp.45 -
47)
• How brand knowledge exits in customer
minds?
• ANMM views memory as a network of nodes
and connecting links, in which nodes
represent stored information or concepts and
links represent the strength of association
between the nodesl
 Sources of Brand Equity
• Brand Awareness
• Brand Image
Secondary Sources of Brand Knowledge
 Strategic Brand Management Process
• Strategic brand management involves the design
and implementation of marketing programs and
activities to build, measure and manage brand
equity. (page 32)
• It involves four steps
– Identifying and developing brand plans
– Designing and implementing brand marketing programs
– Measuring and interpreting brand performance
– Growing and sustain brand equity
Identifying and Developing Brand Plans
• The brand management process starts with a clear
understanding of what the brand is to represent
and how it should be positioned with respect to
competitors.
• Brand planning involves three interlocking models
– Brand positioning model (competitive advantages)
– Brand resonance model (create loyalty relationships
with customers)
– Brand value chain (financial impact)
Strategic Brand Management Process
Branding Challenges (pp 26 -30) (Self-Study)

• Savvy Customers – Knowledgeable / difficult to persuade

• Economic Downturns / Maturing markets
• Brand Proliferation / brand extentions
• Increased Competition / Difficulty in differentiating
• Media Transformation /Fragmented Media coverage
• Increased Cost
• Greater Accountability (Short term benefits)
Read Figure 1-9 Challenges to Brand Builders
Read Brand Focus 1.0 History of Branding
 Product Category
• Products are defined by their attributes – what the
product does, what it looks like, its features, etc. However,
marketers should see products differently. Products should
be defined not be their attributes, but by the benefits they
provide.
• The product categories can be defined as groups of
products that offer similar benefits. The product
categories provide a starting point for market
segmentation.
• Product categories help marketers identify potential
sources of competition and by extension, opportunity.
 Soft Drink Product Category
• A nonalcoholic, flavored, carbonated
beverage, usually commercially prepared and
sold in bottles or cans.
• Cola
• Non- Cola
– Flavored
– Non Flavored
 Beverages
• Bottled Water
• Carbonated Soft Drinks
• Juice
• Sports Drinks / Energy Drinks
• Tea & Coffee
• Alcohol Drinks
 Biscuit
• Parle • McVities
• Britannia • Anmol
• Sunfeast • Unibic
• Priya • Dukes
• Patanjali • Rose
• Cremica • Haldirams
• Cadbury Oreo • Nature valleyPillsbury
Strong Brands
Interbrand's Best Global Brands
Most Trusts Brands India

Source: https://brandequity.economictimes.indiatime
s.com/news/industry/most-trusted-brands-2020/748
00967
Tata Group
• https://
www.visualc
apitalist.co
m/ranked-
the-most-
innovative-
companies-
in-2021/
Relevance and Differentiation
New Product Category
 How Pepsi continues to stay relevant and connect with every
generation

• https://www.businessinsider.in/advertising/
brands/article/how-pepsi-continues-to-stay-
relevant-and-connect-with-every-generation/
articleshow/81573612.cms
 Why are Indian brands transporting consumers to older times with their
campaigns?

• Why are brands tapping into old memories?

Experts share why nostalgia marketing sells