Prelude: Iam Atif A. Farooqui Education Specialization Marketing Experience Course Instructor
Prelude: Iam Atif A. Farooqui Education Specialization Marketing Experience Course Instructor
Prelude: Iam Atif A. Farooqui Education Specialization Marketing Experience Course Instructor
I am Atif A. Farooqui
Specialization Marketing
Experience Asst. Brand Manager - BIC Razor (The Marketing Pvt. Ltd)
Trade Category Manager Modern Trade Unilever Pakistan Ltd
BRAND
Lets begin with the beginning
How did Brand come in to being ?
Advance Branding
Growing Brand
Age
Mass Media
Modern Branding
Brand Strategy
Brand Evolution
Position
Differentiation
Proper Trademark came in to being after fall of Rome Activation
Persuasion
Re-Vamp
Re Launch
COMMUNICATION
Stamping Livestock &
Typical mark on potteries in Rome ATL (Above the line activity)
BTL (Below the line activity)
What is a BRAND ?
A Brand is a name, term, sign, symbol, design or
combination of them, intend to identify the goods
and service of one seller or group of sellers an to
differentiate them from others
AMA. Ref Text Book
Can be identified by:
• Name • Abbreviation
• Colour • Texture
• Logo • Mold
• Music • Sound
• Slogan • Ambassador
A brand is a singular idea or
concept that you own inside the
mind of a prospect
The brand is nothing more than an
ongoing relationship in which a
customer exchanges financial value
with the marketing organization [your
business] for the use of the benefits
the brand provides
Brand Name Strategies
• Some Companies use their name for all of their
product “ Samsung” & “GE”
• Some Companies named their product as
Unilever : Lux, Sunsilk, Wall’s & Surf
Procter & Gamble: Pampers, Tide & Pantene
• Some Companies go for Brand name with
inherent product meaning as “British Airways” &
“Just Juice”
And so on
Brand Vs Product
Fundamental need
Examples of Product Concept
What else it does…
Some create competitive advantages with product performance .
Eg:
Wall’s: through innovation Gillette: Novelty & Innovation
Nokia: User friendliness Nike: Comfort & Durability
Develop intangible asset for the firm what is far ahead than tangible ones
Brand Creates value what may translate in to financial term / profit for
both consumer and firm
$
Does a brand have a dollar value?
Trust comes from meeting and beating customers expectations.
T = r + d
TRUST RELIABILITY DELIGHT
COCA-COLA CASE STUDY ALL TIME FAVORITE
Significance of Brands
Consumer Context Manufacturers Context
• Identification • Identification to
• Responsibility to simplify handling
product maker • Legally protected
• Risk Reducer unique features
• Search cost reduce • Quality level to
• Promise, bond with satisfied customer
maker of product • Competitive
• Signal of quality advantages
• Financial Returns
Reduces Risk In Product Decision
Consumer
Compare the brand
With other in the Difference
Same category Plays role
And develop In product
differences buying
Universality of Branding
Physical
Goods
Ideas Services
Retail
Places Branding
Stores
Online
Organization
Business
People
End of Session No.1
Why brands become
“Best Known Brand””
Where is singer
How often you buy Dentonic
May you all recall Rajput Tasty Bread
How many of you shave with Touch Me
Do we still wear on Jennifer Cosmetic
How many of you bought Wrangler
Do we still bath with Yardley
QUIZ:
Which of these brands are charismatic?
FORD HOMEDEPOT
NISSAN IKEA
Branding Challenges & Opportunities
Brand Proliferation
When Company introduce new brands in the same productlines
and hence try to cover each and every market segment for that
product line
Eg: Hero Honda & Hero Honda Splendor
Branding Challenges & Opportunities
Media Fragmentation
• Advertising is no more traditional.
• Marketer has to find consumer in bids and pieces so does he
communicate and advertise
Marketers are no more excited and delighted to have current TV
network…..Why…….because
Cost………………….
Clutter……………….
Fragmentation………
Technology…………
• Company has shrunk their advertising budget
• Companies are focusing on celebrities, sponsorship, sport & other
events
Branding Challenges & Opportunities
Increased Competition
• Consumer offers , Trade Incentive and other promotion are
encouraged to meet the competition depending upon the market
situation and market concentration
• Markets are matured due to globalization, deregulation and price
war. Marketers may grow their product by snatching competitor
share.
• Mature Brand needs blood injection interm of new packaging,
offering. This may be termed as “Brand Rejuvenation”.
Brand Rejuvenation:
When marketer identifies that the decline stage for a brand has
come and the concern Brand is going to die marketer injects life
The Brand Equity Concept
• Potential marketing concept started in 1980.
• Good news about the Brand equity concept it elevates
the brand. Bad news about the concept It has not not
any specific definition. This concept is defined in various
ways.
• Most of the marketers and gurus believing :
Brand Equity consists of marketing effects uniquely attributable to a
brand.
Brand Equity explains why different outcomes result from the
marketing of a branded product or services than if it were not
branded.
K. Keller
Brand Equity
A positive differential effect that knowing the
brand name has on customer response to
the product or service.
• Brand equity results in customers showing
a preference for one product over another
when they are basically identical.
Internet Engine Google
BRAND ASSOCIATION
• Brand association are the other
informational nodes linked to the brand
node in memory and contain the meaning
of the brand for consumers.
Brand Equity
Building Strong Brand
CBBE
brand
Brand
Knowledge Consumer
response
Note: Consumer reports different opinion about branded & unbranded version of identical
product. Because of the Marketing activity. This what they have got the perception of the product.
This happens with every type of product.
QUICK TEST
Discussion
Brand Knowledge
NODES
Brand
Awareness
Brand
recall
Brand
Knowledge
Attribution
Brand Type of
image Brand association
Benefit
Appropriateness of Attitude
Brand association
Strength of
Brand association
Uniqueness of
Brand association
BRAND
RESONANCE
Consumer Emotional Response
to the Brand
BRAND
JUDEGEMENTS BRAND
Consumer personal FEELINGS
opinion
BRAND IMAGERY
BRAND Extrinsic property
PERFORMANCE
Psychological need
Satisfying functional need
BRAND SALIENCE
the extent to which a brand visually stands out from its competitors
Brand Positioning
Chapter # 3
BRAND POSITIONING & VALUE
• “Brand Positioning is the act of designing
the company’s offer and image so that it
occupies a distinct and valued place in the
target customer’s minds.”
- Kotler
It is all about identifying the optimal location
of a brand and it’s competitors in the minds
of consumers to maximize potential benefit
to the firm.
Brand Positioning Statement
The Cornerstone
• The brand positioning statement is the
single most important item in all of
marketing.
NO REASON WHY!
Why?
• It helps to guide marketing strategy by
clarifying
– What a brand is all about?
– How it is unique?
– How it is similar to competitive brands?
– Why consumers should purchase and use the
brand?
Prerequisites of positioning
• Who the target consumer is?
• Who the main competitors are?
• How the brand is similar to these
competitors ?
• How the brand is different to these
competitors?
Target market
• Segmentation – It involves dividing the market into distinct group of
homogeneous consumers who have similar needs and consumer
behavior and thus require similar marketing mixes..
• Criteria to guide segmentation and target market decisions.
– Identifiably-Can segment identification be easily determined?
– Size-Is there any adequate sales potential?
– Accessibility-Are specialized distribution outlets and
communication media available to reach the segment?
– Responsiveness-How favorably will the segment respond to
a tailored marketing program?
Segmentation Bases
Geographic
International
Regional
Exercise by class
Nature of competition
• To target a certain type of consumer
often, at least implicitly, defines the
nature of competition because certain
firms have also decided to target that
segment in the past (or plan to do in
the future) or because consumers in
that segment already may look to
certain brands in their purchase
decisions.
Example by Class
Proper Positioning Requires
a) Point of Parity Association (POP)
b) Point of Differentiation Association (POD)
Competition
USP
Not unique to the Brand but may share
Attributes or benefits that consumer strongly
With other Brands
Associates with a Brand. They believe that
Could not find to the same extent with a
Competitive brand
Category Point of Parity
Represent necessary but not
Necessarily sufficient condition Sustainable Competitive Advantages (SCA)
Ability to achieve an advantage in delivering
Competitive Points of Parity Superior value in the market for longer period of time
Associations designed to negate
Competitor’s Point of Differentiation Attribute Base:
Points of Difference
• Strong
• Favorable
• Unique brand associations
Based on
• Attribute
• Benefit
• Develop a USP & a Sustainable Competitive
Advantage (SCA)
Points of Difference
• Attributes – Kraft cheese – more milk
• Benefit - Ikea – reasonably priced furniture and
home furnishings for the mass market, TV’s with
remote locators
• USP –
Dettol vs.Savlon – does not burn
Iodex vs. Moov – does not leave stains
Crocin vs. Vicks Action 500 – fast relief
Lays chips vs. Bingo chips
Positioning Guidelines - Steps
1. Define & communicate a competitive
frame of reference
2. Choose POP and/or POD
3. Establish these POP/POD
4. Update Positioning over time
Step 1
Establish a competitive Frame of reference
1. Desirability Criteria
• Relevance
• Distinct
• Believable
2. Deliverability Criteria
• Feasible
• Communicable
• Sustainable
Step 3
Establish POD & POP
• Taste vs. low calories
• Low price vs. quality
• Powerful vs. safe
• Family & Fun
• Nutritious vs. taste
Establish POD & POP
1. Separate the attributes – Head &
Shoulders – 2 attributes – dandruff
removal & sleek, shine and healthy hair
2. Leverage equity of another entity – brand
ambassadors – Sachin Tendulkar &
Boost, Reid & Taylor
3. Redefine relationships – Apple’s
Mackintosh – user friendly & powerful
Step 4
Update Positioning over time
1. Laddering – move from low level needs to
higher level needs - Involves a progression
from attributes to benefits to value creation –
(Maslow’s Heirarchy)
• Cream/lotions – moisturizes skin- healthy &
glowing skin- beauty & confidence
2. Reacting –
• Do nothing
• Defensive
• Offensive
Updating brand positioning
• Laddering – Product functions >>> core
values
Abstract values
Motivations
Benefits
Attributes
Brand Mantras
• Short phrase that captures the spirit of positioning
• Provides guidance to all the activities of the brand
• Emotional modifier>> descriptive modifier>> Brand function
• McD – “Food, folks and Fun
• Nike – “Authentic Athletic Performance”
• Disney – “Fun Family Entertainment”
• Zee Cinema – “Movies Masti Magic”
• Its should
– Communicate the category and boundaries
– Simplify.. To make brand memorable
– Inspire – Should stand out with a higher meaning
Brand Mantras
• A brand mantra is an articulation of the
“heart and soul” of the brand.
– Brand mantras are short three to five word
phrases that capture the irrefutable essence or
spirit of the brand positioning and brand
values.
• Nike
– Authentic Athletic Performance /Just do it
• Disney
– Fun Family Entertainment
Brand Mantras
Designing a brand mantra:
Emotional Modifier
(Disney ……. Fun)
Descriptive Modifier
(Disney……. Entertainment)
Brand Mantras
Communicate brand mantra:
Communicate (setting boundaries …… eg)
Simplify (crisp, lively, retainable…… eg)
Inspire (patriotic, rebellious …… eg)
Brand Mantras
• Expression of “Heart and soul” of brand
• Short 3-5 word phrases that capture the essence & spirit of brand
positioning & values
• Creates a mental filter to screen out inappropriate marketing
activities
• Communicate the category and boundaries
• Simplify.. To make brand memorable
• Inspire – Should stand out with a higher meaning
Marketing
Distributor
Consumer
Customer
Retailer
Functionally Specialized Marketing
Product Manufacturer
Technology
Consumer
Marketing
Marketing
Consumer
Customer
Retailer
Designing Marketing Programs to Build
Brand Equity
• Personalizing Marketing
– Experimental Marketing
– One – to – one marketing
– Permission marketing
• Reconciling the new marketing approaches
Product Strategy
• Perceived Quality and Value
– Product quality dimensions
• Performance, features, conformance quality, reliability,
durability, serviceability, style and design
– Brand Intangibles
– Total quality management and return on quality
– Value chain
• Relationship marketing
– Mass customization
– After marketing
– Loyalties programs
TQM tenets
Pricing Strategy
• Consumer price perception
– Price bands
– Value – based pricing strategies
• Setting prices to build brand equity
– Value pricing
• Product design and delivery
• Product costs
• Product prices
– Everyday low pricing (EDLP)
Price tiers in the ice cream market
Channel Strategy
• Channel design
– Indirect channels
• Push and Pull strategies
• Channel support
– Retail segmentation
– Co-operative advertising
– Direct channels
• Company owned stores
• Other means
– Web strategies
Services provided by channel members