MANAGING BRANDS OVER TIME

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Managing Brand Equity

Brand Reinforcement

Brand Revitalization

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Managing Brands over Time

The health and well-being of a brand can be significantly affected by both external forces (related to consumer behavior, channel structure and power, competitive intensity and strategy, government regulation, and other facets of the marketing environment) and internal forces (related to a companys commitment to and stewardship of a brand).
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Managing Brands over Time

Effective brand management requires taking a long-term view of marketing decisions

Any action that a firm takes as part of its marketing program has the potential to change consumer knowledge about the brand.

These changes in consumer brand knowledge from current marketing activity also will have an indirect effect 3/22/12 on the success of future marketing

Consumer response to past marketing activities Brand awareness and brand image Consumer response to current marketing activities Changed brand awareness and brand image Consumer response to future marketing activities

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Brand Reinforcement
As the companys major enduring asset, a brand needs to be carefully managed so that its value does not depreciate. Brand equity is reinforced by marketing actions that consistently convey the meaning of the brand to consumers in terms of: 1. What products the brand represent? What core benefits it supply? What needs it satisfy? 3/22/12

Reinforcing Brands

Maintaining brand consistency

Consistent marketing support in amount and nature Consistency does not mean uniformity with no changes Little need to deviate from a successful positioning unless there is some change in the marketing environment.

When change is necessary, preserve and Protect sources of brand equity (critical point-of-parity and point-of3/22/12 difference)

Brand Awareness What products does the brand represent? What benefits does it supply? What needs does it satisfy?

Innovation in product Design, & manufacturing

Consistency in amount and nature of marketing support

Brand Reinforcement Strategies Brand Image How does the brand make products superior? What strong, favorable, and unique brand associations exist in customers minds?

Continuity in brand meaning; changes in marketing tactics

Relevance in user and usage imagery

Protecting sources of brand equity Trading off marketing activities to fortify vs. leverage brand equity

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Brand Revitalization

Changes in consumer tastes and preferences, the emergence of new competitors or new technology, or any new development in the marketing environment could potentially affect the fortunes of a brand. Reversing a fading brands fortunes requires either that brands return to their roots (back to basics) and lost sources of brand equity are restored or that new sources of brand equity are established. 3/22/12

Revitalizing Brands

If a brand loses its luster, a revitalization strategy may be required to return it to prominence. This entails either taking a brand back to its roots to recapture lost sources of equity, or identifying and establishing new sources of equity. Sometimes a brands misfortunes arise from a lack of breadth in consumer awareness levels caused by a tendency of consumers to think of it in very narrow ways. In such cases marketers can identify ways to use the brand more frequently, use more of the brand when it is consumed, or use the brand 3/22/12

Expand depth and Breadth of awareness And usage of brand

Increase quantity of consumption (how much) Increase frequency of consumption (how often)

Identify additional opportunities to use Brand in Same basic way

Brand Revitalization Strategies

Refresh old sources Of brand equity Create new sources Of brand equity

Identify completely new and different ways to use

Bolster fading associations Improve strength, favorability, and uniqueness of brand associations Neutralize negative associations Create new associations

Retain vulnerable customers Recapture lost customers Identify neglected segments Attract new customers

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Strategies to Revitalize Brands

Expanding brand awareness

Breadth challenge Repositioning the brand Changing brand elements

Improving brand image

Entering new markets

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Expanding Brand Awareness

Increasing usage

Increasing the level or quantity of consumption Increasing the frequency of consumption

Identifying new or additional usage opportunities

Communicate appropriateness of more frequent use in current situations Reminders to use

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Identifying new and completely

Improving the Brand Image

Repositioning the brand ( Reinvention strategy)

Establish more compelling points of difference In some cases, a key point of difference may turn out to be nostalgia and heritage rather than any product-related difference. Other times we need to reposition a brand to establish a point of parity on some key image dimension.

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Changing brand elements

Improving the Brand Image

Go back to basics and tap into existing sources of brand equity (Retain the same positioning or create a new one, and if so, which new one. Sometimes, the actual marketing program is the source of the problem, because it fails to deliver on the brand promise

Product strategy (brand revitalization of almost any kind starts with the product) Pricing strategy

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Entering New Markets

One strategic option for revitalizing a fading brand is simply to more orless abandon the consumer group that supported the brand in the past to target a completely new market segment.

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Adjustments to Brand Portfolio

Migration strategies

Companies with more than one brand in a product line should develop migration strategies that rationalize the movement of consumers across franchises as their needs and wants change or as the features and positions of the brands change. If a brand fails to maintain or build equity over time, a milking strategy to extract maximum profits before retirement may be in order.
A corporate or family branding strategy in which 3/22/12 brands are ordered in a logical manner could

Summary:

Effective brand management requires taking a long-term view of marketing decisions. Managing brands for the long run involves reinforcing brands or, if necessary, revitalizing brands. Reinforcing brands involves ensuring innovation in product design, manufacturing, and ensuring relevance in user and usage imagery. Another critical consideration in

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