Product and Brand Management

Module 5
 Topics
• Brand Identity, Launching New Brands,
Developing and Managing Brands, Sustaining a
Brand, Handling Name Changes and Brand
Transfers, Brand Extension and Strategies,
Globalizing Brands, Decline, Ageing and
Revitalization of Brands.
 Brand Identity
• “Brand identity is a unique set of the brand
associations that the brand strategist aspires
to create or maintain .” Aaker
• These associations represent what the brand
stands for and imply a promise to customers
from organizational members.
 Brand Identity
• The purpose is to specify the brand’s meaning,
aim and self image.
• Brand identity is on the sender’s (company)
side.
• Brand image is on the receiver's (consumer)
side.
 Brand Identity
• Brand Identity provides direction, purpose and
meaning for the brand.
• It is central to a brand’s strategic vision.
 Aaker’s Framework
He defined Brand Identity as sum of the brand expressed
as a product , organization , person and symbol.
1. Brand as a product: deals with the acceptance of the brand
as a product itself.
2. Brand as an organisation: emphasizes that a brand is
successful among other things because of the organizational values
it holds.
3. Brand as person: deals with the question “ What happens to
this brand when it becomes a person ? “
4. Brand as Symbol: deals with heritage and what the brands
stand for.
 Brand as a Product
• Product-related associations will almost be an
important part of a brand identity
– They are directly linked to brand choice decisions/use experience

• The product scope

• Product related attributes
• Quality / Value
• Association with use occasion
• Association with users
• Link to a country or region
 Brand as an Organization
• This perspective focuses on attributes of organization
rather than those of the product

• Organizational attributes are enduring / resistant to

competitive claims than are product attributes
– It is much easier to copy a product than to duplicate an
organization with unique people, values & programmes
– Organizational attributes usually apply to set of product class, &
competitor in 1 product class may find difficult to compete
– Organizational attributes like being innovative is hard to
evaluate / communicate and it is difficult for competitors to
demonstrate that they have overcome any perceived gap
 Brand as a Person
• This perspective suggests brand identity that’s richer/
more interesting than one based on product attributes

• Brand personality can create a stronger brand in

several ways:
– Help create a self-expressive benefit that becomes a vehicle
for customer to express his/her personality
– Can be the basis of relationship between customer and
brand
– Help communicate a product attribute and thus contribute
to a functional benefit
 Brand as a Symbol
• This perspective can provide cohesion and structure
to an identity and make it easier to gain recognition
and recall

• Elevating symbols to the status of being part of the

identity reflects their potential power
– Visual Imagery: Nike’s swoosh, McDonald’s arches
– Metaphors: Energizer bunny, Rin’s lightening
– Heritage: Amul, Vicks, Doordarshan
 Brand Identity Prism
• The conception of brand identity was
mentioned for the first time in Europe by
Kapferer,1986.
 Brand Identity Prism
Brand identity should be represented by an
hexagonal prism.
– A Brand has physical qualities and specifications, a
set of salient objective features that come to mind
when the brand is mentioned. They can also be
latent, emerging
• Coca-Cola – bottle, color
• Absolut Vodka- bottle , product color (e.g. no color)
• Old Spice Shaving Lotion – smell, tingling
sensation.
 Brand Identity Prism
• According to J. Kapferer, brand identity could be de-
fined by answering the following questions:
- What is the aim and individual vision of a brand?
- What makes a brand distinguished?
- How satisfaction could be achieved?
- What is brand's equity?
- What are brand competence, validity and
legitimacy?
- What are the features of its recognition?
 Facets of Brand Identity Prism
• Physique
• Personality
• Culture
• Relationship
• Reflection
• Self Image
 Factors (contd) - Physique
A Brand has physical qualities and specifications,
a set of salient objective features that come to
mind when the brand is mentioned. They can
also be latent, emerging
• Coca-Cola – bottle, color
• Absolut Vodka- bottle , product color (e.g. no
color)
• Old Spice Shaving Lotion – smell, tingling
sensation.
 Factors (contd) - Personality
• Brand personality are those traits of human
personality that can be attributed to brands.
This is the personality facet of the Sender.
• It should not be confused with the customer
reflected image, which is a picture of the ideal
receiver.
• Deals with the question “ What happens to
this brand when it becomes a person ? “
 Factors (contd) - Personality
• The easy way to build a personality is to use a
spokesman a star or an animal.
• E.g: The Vodafone ‘Pug’ shown in their
advertisements.
 Factors (contd) - Relationship
• Brands are often the object of transactions
between people, of exchanges. This is critical for
services and for retailers.
• Relationship is the hand-shake between the
consumer and the organization.
Nike – provocation : “Just Do It”
Vodafone – friendliness, caring
IBM - Building a Smarter Planet
Saffola- Safety, Health
 Factors (contd) - Reflection
• It is the consumer’s perception of what the brand stands for
• Reflection :If asked for views on car brands consumers
identify them on the perceived client type: for young people,
for family fathers, for show offs…out of the communication
history and most representative products brands build an
image of the buyer or user they seem to target.
• However the reflection and the target (potential purchasers
or users) are different:
• Customer should be reflected as he /she wishes to be seen
as a result of using the brand e.g. in ready to wear the
obsession of looking younger concern’s reflection Coca Cola
targets a much wider target then Pepsi does the same.
 Factors (contd) – Self Image
• If reflection is the target’s outward mirror (they are), self
image is the target’s own internal mirror (I am, I feel).
• Many Porsche owners in buying one want to prove to
themselves that they can do it! (Betting on their career).
The brand works like an obligation to push to the limits.
However its customer reflection was a car for show-offs.
• A user of SURF is telling herself that she is conscious of
not just price but value as well
• The internal mirror , inner reward
• Is what the consumer thinks of himself
 Factors (contd) – Culture
• Culture plays the essential role in brand
differentiation as it indicated what moral
values are embodied in goods and services.
• This feature helps identifying the strongest
brands because sources, basic ideals and a set
of values are revealed.
 Sources of Brand Identity
• Logos and Symbols
• Characters
• Slogans
• Packaging
 Sources of Brand Identity – Logos and Symbols

• Symbols help to reduce brand parity.

• Recognition and recall elements help to build brand
equity.
• Helps to create:
Awareness
Attribute Associations
Multiple Associations
A liking or,
Positive Feelings,
• Which in turn can affect loyalty and perceived quality.
 Sources of Brand Identity – Logos and Symbols

• Symbols are indicators of brands and product

class.
Examples
 Sources of Brand Identity – Characters

• Represent a special type of brand symbol that

takes on human or real life characteristics.
• Typically introduced through advertising.
• Helps to break the market place clutter.
• Reinforces the company’s key reliability
product association.
• Enhances likeability for a brand.
• Easily transferrable across product categories.
Michelin Man ‘ Bibendum’
Sources of Brand Identity – Slogans
• Short phrases that communicate descriptive
or persuasive information about the brand.
• Help consumers to grasp the meaning of a
brand.
• Helps to summarize and translate the intent of
a marketing program in a few short words or
phrases.
 Sources of Brand Identity – Packaging
• Activity of designing and producing containers
or wrappers for a product.
• Helps to identify the brand - Coca Cola Bottle
• Convey descriptive and persuasive information.
• Facilitate product transportation and
protection.
• Assist at home storage
• Aid product consumption.
 Managing Brand Image
Strength of Brand Associations:
• Brand Attribute and Brand Benefit associations
are strongest in cases of direct experiences.
• E.G: ‘Word of Mouth’ is particularly helpful for
service related brands like banks and
restaurants.
 Managing Brand Image
Favourability of Brand Associations:
• Favourable Associations for a brand are those
that are desirable for the customer and
successfully delivered by the product.
• Desirability depends on 3 factors:
How Relevant,
How Distinctive and
How Believable the associations are…
 Managing Brand Image
Favourability of Brand Associations:
• Deliverability depends on 3 factors:
 The actual or potential ability of the
product to perform,
 The current or future prospects of
communicating that performance and,
 Sustainability of the actual and
communicated performance over time.
Maruti Fuel Efficient Cars
 Managing Brand Image
Uniqueness of Brand Associations:
• A brand’s USP (Unique Selling Proposition) is
the compelling reason as to why a consumer
should buy a product.
 Brand Lifecycle Stages
• Introduction
• Elaboration
• Fortification
 Brand Lifecycle Stages
Introduction:
• The brand needs to be positioned to the
intended target audience.
• The brand must be well differentiated so that the
prospective customer finds it useful and
attractive.
• It is imp to synchronize various elements of the
marketing mix with the intended brand
positioning.
 Brand Lifecycle Stages
Elaboration:
• The brand encounters severe competition.
• Must establish superiority over others.
• Can sharpen its image or even reposition itself
in order to continue enjoying customer
patronage.
 Brand Lifecycle Stages
Fortification:
• Brand Image is firmly established in the
customer’s mind.
• There may be brand extensions.
 Functional Brand
• A functional brand goes through all the stages of its
brand lifecycle by primarily positioning itself along its
functional and tangible parameters.
• In the Introduction stage, it can position itself as a
brand that offers the basic functional elements of the
product.
• In the Elaboration stage, the brand needs to fortify at
least one of the specific needs of the category or
extend its usefulness to various other occasions.
• In the Fortification stage, the brand can go in for
brand extensions.
 Evolution of Dove Brand
• 1940’s – Formula for Dove Bar (Mild Soap)
• 1950’s – Refined to original Dove Beauty Bar
• 1970’s – Popularity Increased as a milder soap
• 1980’s – Leading brand recommended by
Physicians
• 1990’s – Dove beauty wash successfully launched
• 1995-2001 – Extension of Dove’s range of
products
 Symbolic Brand
• Goes through all the stages of the brand lifecycle
by firmly establishing itself as a brand that
draws differential advantage from symbolism.
• Establishes a strong emotional connect.
• Introductory stage it establishes a strong image.
• Elaboration Stage it defends its position.
• Foritfication Stage it enters new categories.
 Experiential Brand
• In the introductory stage it positions itself as a
brand that provides sensory pleasures.
• In the elaboration stage it reinforces the
experiences.
• In the fortification stage it extends into other
categories where similar experiences can be
provided.
 Forces Affecting and Challenges Facing the
Brands
• Globalization of Competition and Greater Openness
of Markets.
• Strategic Alliances. E.g: MarutiSuzuki, TATASky
• Collaborating with competitors.
• Designing Products for Global Acceptance.
• The Increasing Openness of Markets.
• Impact of Technologies Change.
• Product Innovation.
• Convergence of product- markets.
 Forces Affecting and Challenges Facing the
Brands
• Time-based Competition (Market entry timing).
• The Increased Power of Distribution and the
Evolution of Channels.
• Changing Consumer Markets.
• The value imperative.
 Brand Revitalization and Elimination
• In virtually every product category, there are
examples of once prominent brands that have
fallen on hard times and in some cases even
completely disappeared.
• Some of these Brands manage to turnaround
and come back – --- Readers Digest, Kelvinator,
Cuticura
• Brands sometime have to return to their roots
to recapture its lost source of brand equity
 Brand Revitalization and Elimination
• Reversing a fading brand’s fortunes require either  recapturing the
lost sources of brand equity or bringing in new sources of brand
equity.

• Brand on the comeback trail needs revolutionary changes rather

than evolutionary changes.

• Brands most likely to respond to revitalization efforts are those that

have clear and relevant values that have been left dormant for a
long time.

• They still have lot of Brand equity left in them.

 Brand Revitalization and Elimination
Seven Avenues for Brand Revitalization.
1. Increasing Usage
2. Finding new uses
3. Entering new markets
4. Repositioning
5. Augmenting the Product/services
6. Obsoleting Existing Products
7. Extending the Brand
 Brand Revitalization and Elimination
1. Increasing the Frequency of Use
• Reminder Communications
• Position for frequent / regular use(clinic shampoo)
• Make the use easier (Araldite)
• Provide Incentives(frequent flier plans)
• Address any undesirable consequences attachedwith frequent use.
• (PH value of soft drinks, radiation hazards related to Microwave oven –Marketing
tactics deviating from the normal brand activities will have to be taken up here) 
• Use at Different Occasions / Locations(Coffee,Cola instead of Coffee/tea; soft
drinks at home)
 Brand Revitalization and Elimination
• Increasing The Quantity Used
Insurance customer reminded to cover more
items(household). 
• Positive associations with use(Frito-Lay “You just
can’t eat one”).
• Incentives can be used to increase the quantity
used / bought(quantity discounts).
• Communication efforts to change attitudes
related to usage quantity.
 Brand Revitalization and Elimination

2.Finding New Uses: 

Milkmaid. (recipes in cooking)
Arm & Hammer Baking Soda (to deodorizer).
 Brand Revitalization and Elimination
3. Entering New Markets:
• The target market for a particular brand may not comprise
of all the market segments.
• If firm may not have other Brands for these target segments,
then they become potential areas for the brand to expand.
• Johnson & Johnson baby shampoo promoted on gentleness
plank, taken to adults as a shampoo that can be used every
day.
• Van Heusen gained the edge over Arrow in theUS markets
by targeting 50% of its ad budgetto women
 Brand Revitalization and Elimination

4. Repositioning:
• One strategic option for revitalizing a fading
brand is simply to abandon the consumer group
that supported the brand in the past to target a
completely new segment.
• To revive – Brylcream Gel was launched, a clear
gel withnewer packaging enlisting soccer
stars (now Beckham) toendorse --- younger
audience
 Brand Revitalization and Elimination
• Changing Associations
• A Positioning Strategy can become in-appropriate as the target market ages,
the association becomes less appealing as tastes and fashions change.
(Horlicks, Milkmaid, Rasna, Levis, Mercedes, Omni)
• A positioning strategy can simply wear out as the target segment becomes
saturated
(sales start to stagnate/decline – Scissors, Esteem). 
• New associations and associated segments are needed to generate growth. 
(Rexona, Maruti Omni van)
 Brand Revitalization and Elimination

• New Associations – Add Value by

Differentiation.
• Sometimes, as it matures a product becomes a
commodity and the price pressure makes the
product unprofitable.
• One approach is to attempt to reposition the
commodity.
 Brand Revitalization and Elimination

5. Augmenting The Product

• As product categories mature, once strong brand
associations which differentiated your product
are now matched by most of competition.
• Customers seem more and more concerned
about price and most are not willing to pay
premium price for a brand.
• The temptation is to become resigned to a very
competitive environment.
 Brand Revitalization and Elimination
• Theodore Levitt: When the product is close to
becoming a commodity, consider augmenting it by
providing services or features not expected by the
customer as they go beyond anything being offered.
• Two ways–Do something better or do something extra
/ different.
• With a mature product it is more feasible to do
something extra than better.
• Improving or innovations in packaging is a way to
provide this differentiation.
 Brand Revitalization and Elimination
• Improving package -- Nestle packaged its chocolates in
tiny tubs, so that children can use it to make chocolate
fudge or sundaes in a microwave oven.
• Clinic shampoo’s special packaging for children which
provided the right quantity per squeeze(meant for five
rinses).
• A new package can solve a customer problem. Eg:
sachets enabled packing of shampoos, toothpaste,
coconut oil to be packed for the use of travelling lot
and also for rural population.
 Brand Revitalization and Elimination

Customer Involvement: 
• Involving customer can be key to the process
of finding ways to augment the product or
service.
• Customer involvement not only helps to
identify the most appropriate areas to work on
but also makes the effort visible to the
consumer.
 Brand Revitalization and Elimination
6. Obsoleting existing product with new-generation technologies
• Sometimes a sleepy industry segment can be revitalized by a product which
obsoletes the existing installed base and accelerates the replacement cycle.
• Yamaha Disklavier, FM-radio are eg.’s.
• Introduction of CD’s virtually saw a rebirth for the audio and
video entertainment industry with the sales of audio & video systems surging.
• Market leader who has vested interest in the old technology, faces competitive
threat and will opt for a delay strategy.
• Gillette (1960’s) resisted the stainless steel technology knowing the durability of
the new material will reduce the volumes and also the cost to change over its
manufacturing.
• Small players such as Wilkinson(UK) and Schick (US) made permanent inroads
into the market. Gillette’s share fell from 70% to 55%and ROI from 40% to 30%.
 Brand Revitalization and Elimination
7. Brand Extensions:
• A Brand Extension occurs when a firm uses an
established brand name to introduce a new product.
• When a new brand is combined with an existing brand,
the brand extension can also be a sub-brand.
• An existing brand that gives birth to a brand extension
is the parent brand.
• If the parent brand is already associated with multiple
products through brand extensions, then it may also be
called a family brand.
 Brand Revitalization and Elimination

Brand Elimination:
Retiring a brand may involve the following
options:
• Milking
• Permanent Discontinuance/ Obsolescence.
 Brand Revitalization and Elimination

Milking:
• Avoiding investment in the brand, attempting
instead to generate additional cash flow from
it.
• Milking strategy will accept a decline in sales
and profits and the risk that the brand will
eventually go under.
 Brand Revitalization and Elimination
Situational characteristics that lead to milking strategy rather than exit:
• 1. Industry decline rate is not exceedingly steep. Pockets of demand exist.

• 2. Price structure will be stable allowing efficient firms to make profits.

• 3. Brand has enough customer loyalty in certain pockets, to generate

enough sales /profits. Risk of losing relative position due to milking is low.

• 4. Milking strategy can be successfully managed.

 Brand Revitalization and Elimination
Risks involved in Milking:
• Suspicion that milking strategy is implemented can
upset the plan.
• Customers may lose faith in the brand.
• Competitors may attack more vigorously.
• Most managers will not be experience
or orientation to handle the situation.
• To minimize such effects it is better to keep the
milking route inconspicuous.
 Brand Revitalization and Elimination

Permanent Discontinuance/ Obsolescence:

• When prospects for the brand are bad and a
milking strategy does not seem feasible, the
final alternative – divestment or liquidation is
considered.