CHAPTER 4: CHOOSING BRAND ELEMENTS TO BUILD BRAND EQUITY

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 1. Think different ( _____) 2. The worlds local bank ( ____) 3. Only a surfer knows the feeling (___________) 4. Vorsprung durch technik (_______) 5. Taste the rainbow (___________) 6. Because you are worth it. (______________) 7. The Power of Dreams (__________) 8. The car in front is a (___________) 9. You know who your mates are (___________) 10. Have it your way. (___________) 11. Top bombing (___________) 12. When it absolutely, positively has to be there overnight. (________) 13. Impossible is nothing (___________) 14. Snap! Crackle! Pop! (__________) 15. Finger lickin good. (___________) 16. Extraordinary purity (___________) 17. Believe in better (___________) 18. It neednt be hell with (___________) 19. Dont just book it. (___________) it Powerpoint Templates 20. Live unbring. (___________)

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 21. Every little helps (___________) 22. Supporting teachers, inspiring students (___________) 23. Not for girls (___________) 24. It does exactly what it says on the tin (___________) 25. Simples (____________) 26. Once you pop, you just cant stop (___________) 27. Making the unmissable unmissable (___________) 28. Somethings in life are priceless, for everything else theres (__________) 29. Ahhhhhhh (___________) 30. Reassuringly Expensive - (___________)
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Why Brands fail?

If its something new, its going to sell. Strong brands protect products.

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Why Brands fail?

Brand amnesia- For old brands, as for old people, memory becomes an increasing issue. When a brand forgets what it is supposed to stand for, it runs into trouble. The most obvious case of brand amnesia occurs when a venerable, long-standing brand tries to create a radical new identity, such as when Coca-Cola tried to replace its original formula with New Coke.The results were disastrous.

Brand ego-- Brands sometimes develop a tendency for overestimating their own importance, and their own capability. This is evident when a brand believes it can support a market singlehandedly, as Polaroid did with the instant photography market. It is also apparent when a brand enters a new market for which it is clearly ill-suited, such as Harley Davidson trying to sell perfume.
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Why Brands fail?

Brand megalomania- Egotism can lead to megalomania. When
this happens, brands want to take over the world by expanding into every product category imaginable. Some, such as Virgin, get away with it. Most lesser brands, however, do not.

Brand deception- Human kind cannot bear very much reality,

wrote T S Eliot. Neither can brands. Indeed, some brands see the whole marketing process as an act of covering up the reality of their product. In extreme cases, the trend towards brand fiction can lead to downright lies. For example, in an attempt to promote the film A Knights Tale one Sony marketing executive invented a critic, and a suitable quote, to put onto the promotional poster. In an age where markets are increasingly connected, via the Internet and other technologies, consumers can no longer be deceived.

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Why Brands fail?

Brand fatigue- Some companies get bored with their own brands. You can see this happening to products which have been on the shelves for many years, collecting dust. When brand fatigue sets in creativity suffers, and so do sales. Brand paranoia- This is the opposite of brand ego and is most likely to occur when a brand faces increased competition. Typical symptoms include: a tendency to file lawsuits against rival companies, a willingness to reinvent the brand every six months, and a longing to imitate competitors. Brand irrelevance- When a market radically evolves, the brands associated with it risk becoming irrelevant and obsolete. Brand managers must strive to maintain relevance by staying ahead of the category, as Kodak is trying to do with digital photography
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Positioning of a Brand
Why? - Brand Promise and Consumer
Benefit Aspect

Brand Positioning

For Whom?- Target Aspect When? Occasion when the product

will be consumed
Why

Against Whom? Competitors

A Brand Position is the part of the brand identity and value proposition that is to be actively communicated to the target audience and that demonstrate an advantage over competing brands.
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When

Example of Positioning by Attributes

Market Segments
Toothpaste Attributes Children Teens, Young Adults Family Adults

Flavor
Color Whiteness of teeth Fresh breath Decay prevention

Price
Plaque prevention Stain prevention Principal Brands Ultra Brite, Aim, Stripe Powerpoint Templates McCleans

Colgate, Crest Topol, Rembrandt, Page Close-up 9

Building Brand equity

Twenty top CEOs boarding an airplane are told that the flight that they are about to take is the first-ever to feature pilotless technology. Each one of the CEOs is then told, privately, that the software being used to fly the aircraft is the same one that they use to run their companies. Nineteen of the CEOs promptly leave the aircraft, each offering a different excuse. One CEO alone remains on board the jet, seeming very calm indeed. Asked why he is so confident in this first pilotless flight, and why he isn't afraid of crashing, he replies ,"If it's the same software that runs my company's IT systems, then this plane won't even take off."

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Some Positioning Methods

By benefit By price v/s quality By use By product user By product class Using culture By competition

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Strategic Brand Decisions

Brand Extension Multi-Brand Strategies Global Branding

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McDonalds Core Identity

Core Identity:
Value Offering: Mc Donalds Provide value as defined by the product, special offers, and buying experience given the price. Food Quality: Consistently hot, good-taste at any McDonalds in the world Service: Fast, accurate, friendly and hassle free Cleanliness: The operation are always spotless on both sides of the counter User: Families and kids are a focus but serves a wide clientele.
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McDonalds Extended Identity

Extended Identity:
Convenience: McDonalds is the most convenient quick-service restaurant located close to where people live, work and gather; feature efficient, time saving service; and serve easy to eat food Product Scope: Fast food, Hamburgers, childrens entertainment, Subbrands: Big Mac, Egg Mcmuffin, Happy Meal, Extra Value Meals and others Corporate Citizenship: Ronald McDonald Childrens Charities, Ronald McDonald House Brand Personality: Family oriented, all-American, genuine, wholesome, cheerful, fun Relationship: The Ronald McDonald Childrens Charities engender respect, liking and admiration Logo: Golden Arches Character: Ronald McDonald; McDonalds dolls & Toys
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Building Customer-Based Brand Equity

Brand knowledge structures depend on:

The initial choices for the brand elements

The supporting marketing program and the manner by which the brand is integrated into it Other associations indirectly transferred to the brand by linking it to some other entities
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Criteria for Choosing Brand Elements

Memorability Meaningfulness Likability Transferability Adaptability Protectability

Marketers offensive strategy and build brand equity

Defensive role for leveraging and maintaining brand equity

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Memorability

Brand elements should inherently be memorable and attention-getting, and therefore facilitate recall or recognition. For example, a brand of propane gas cylinders named Blue Rhino featuring a powder-blue animal mascot with a distinctive yellow flame is likely to stick in the minds of consumers.

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Meaningfulness
Brand elements may take on all kinds of meaning, with either descriptive or persuasive content. Two particularly important criteria General information about the nature of the product category Specific information about particular attributes and benefits of the brand The first dimension is an important determinant of brand awareness and salience; the second, of brand image and positioning.
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Likability
Do customers find the brand element aesthetically appealing? Descriptive and persuasive elements reduce the burden on marketing communications to build awareness. Pepsi Co Nimbooz- refreshing nimbu paani with asli lemon juiceEkdam asli Indian

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Transferability
How useful is the brand element for line or category extensions? To what extent does the brand element add to brand equity across geographic boundaries and market segments? e.g Amazon Pepsi , marketing in China Pepsi brings you back to life in chinese meant Pepsi brings your ancestors back from the grave

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Adaptability
The more adaptable and flexible the brand element, the easier it is to update it to changes in consumer values and opinions. For example, logos and characters can be given a new look or a new design to make them appear more modern and relevant.

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Protectability
Marketers should:
1. Choose brand elements that can be legally protected internationally. 2. Formally register chosen brand elements with the appropriate legal bodies. 3. Vigorously defend trademarks from unauthorized competitive infringement.

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Tactics for Brand Elements

A variety of brand elements can be chosen that inherently enhance brand awareness or facilitate the formation of strong, favorable, and unique brand associations. Brand names URLs Logos and symbols Characters

Slogans
Packaging

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Brand Names
Like any brand element, brand names must be chosen with the six general criteria of memorability, meaningfulness, likability, transferability, adaptability, and protectability in mind.

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Brand Naming Guidelines

Brand awareness Simplicity and ease of pronunciation and spelling Familiarity and meaningfulness Differentiated, distinctive, and uniqueness Brand associations The explicit and implicit meanings consumers extract from it are important. In particular, the brand name can reinforce an important attribute or benefit association that makes up its product positioning.

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Brand Naming Procedures

Define objectives Generate names Screen initial candidates Study candidate names Research the final candidates Select the final name

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URLs
URLs (uniform resource locators) specify locations of pages on the web and are also commonly referred to as domain names. A company can either sue the current owner of the URL for copyright infringement, buy the name from the current owner, or register all conceivable variations of its brand as domain names ahead of time. E.g Andersen Consulting

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Logos and Symbols

Play a critical role in building brand equity and especially brand awareness Logos range from corporate names or trademarks (word marks with text only) written in a distinctive form, to entirely abstract designs that may be completely unrelated to the word mark, corporate name, or corporate activities

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Characters
A special type of brand symbolone that takes on human or real-life characteristics Some are animated like Pillsburys Poppin Fresh Doughboy, Peter Pan peanut butters character, and numerous cereal characters such as Tony the Tiger, Capn Crunch, and Snap, Crackle & Pop. Others are live-action figures like Juan Valdez (Colombian coffee), the Maytag repairman, and Ronald McDonald. Notable newcomers include the AOL running man, the Budweiser frogs, and the AFLAC duck.

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Slogans
Slogans are short phrases that communicate descriptive or persuasive information about the brand. Slogans are powerful branding devices because, like brand names, they are an extremely efficient, shorthand means to build brand equity

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Classic Slogans
Melts in your mouth, not in your hands (M&Ms) Sometimes you feel like a nut, sometimes you dont (Almond Joy/Mounds) Wheres the beef? (Wendys) A mind is a terrible thing to waste (United Negro College Fund) Can you hear me now? (Verizon)

Source: Monty Phan, Celebrating Their Sweet Success, Newsday, 21 September 2004, Powerpoint Templates 4.31 Page 31

Jingles
Jingles are musical messages written around the brand. Typically composed by professional songwriters, they often have enough catchy hooks and choruses to become almost permanently registered in the minds of listenerssometimes whether they want them to or not! Jingles are perhaps most valuable in enhancing brand awareness.

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Packaging
From the perspective of both the firm and consumers, packaging must achieve a number of objectives: Identify the brand Convey descriptive and persuasive information Facilitate product transportation and protection Assist at-home storage Aid product consumption

Susan B. Bassin, Value-Added Packaging Cuts through Store Clutter, Marketing News, 26 September 1988, 21. Powerpoint Templates 4.33 Page 33

Packaging Can Influence Taste

Our sense of taste and touch is very suggestible, and what we see on a package can lead us to taste what we think we are going to taste.

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Packaging Can Influence Value

Long after we have bought a product, a package can still lead us to believe we bought it because it was a good value.

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Packaging Can Influence Consumption

Studies of 48 different types of foods and personal care products have shown that people pour and consume between 18% and 32% more of a product as the size of the container doubles.

Valerie Folkes, Ingrid Martin and Kamal Gupta, When to Say When: Effects of Supply on Usage, Journal of Consumer Research, 20 December 1993, 467-477. Powerpoint Templates 4.36 Page 36

Packaging Can Influence How a Person Uses a Product

One strategy to increase use of mature products has been to encourage people to use the brand in new situations, like soup for breakfast, or new uses, like baking soda as a refrigerator deodorizer. An analysis of 26 products and 402 consumers showed that twice as many people learned about the new use from the package than from television ads.

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Putting It All Together

The entire set of brand elements makes up the brand identity, the contribution of all brand elements to awareness and image. The cohesiveness of the brand identity depends on the extent to which the brand elements are consistent.
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