30
DESIGNING AND IMPLEMENTING BRANDING STRATEGIES Zeenat Jabbar 11.1

DESIGNING AND IMPLEMENTING BRANDING STRATEGIES

  • Upload
    jag

  • View
    95

  • Download
    0

Embed Size (px)

DESCRIPTION

DESIGNING AND IMPLEMENTING BRANDING STRATEGIES. Zeenat Jabbar. Branding strategy. Branding strategy is critical because it is the means by which the firm can help consumers understand its products and services and organize them in their minds. - PowerPoint PPT Presentation

Citation preview

Page 1: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

DESIGNING AND IMPLEMENTING BRANDING STRATEGIES

Zeenat Jabbar

11.1

Page 2: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Branding strategy

• Branding strategy is critical because it is the means by which the firm can help consumers understand its products and services and organize them in their minds.

• Two important strategic tools: The brand-product matrix and the brand hierarchy help to characterize and formulate branding strategies by defining various relationships among brands and products.

11.2

Page 3: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Branding Strategy or Brand Architecture

• The branding strategy for a firm reflects the number and nature of common or distinctive brand elements applied to the different products sold by the firm.– Which brand elements can be applied to which

products and the nature of new and existing brand elements to be applied to new products

11.3

Page 4: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

The role of Brand Architecture

• Clarify: brand awareness – Improve consumer understanding and

communicate similarity and differences between individual products

• Motivate: brand image – Maximize transfer of equity to/from the brand to

individual products to improve trial and repeat purchase

11.4

Page 5: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Brand-Product Matrix

• Must define:– Brand-Product relationships (rows)

• Line and category extensions– Product-Brand relationships (columns)

• Brand portfolio

11.5

1 2 3 4

A

B

C

Products

Brands

Page 6: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Important Definitions• Product line– A group pf products within a product category that

are closely related• Product mix (product assortment)– The set of all product lines and items that a

particular seller makes available to buyers• Brand mix (brand assortment)– The set of all brand lines that a particular seller

makes available to buyers

11.6

Page 7: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Breadth of a Branding Strategy• Breadth of product mix– Aggregate market factors– Category factors– Environmental factors

• Depth of product mix– Examining the percentage of sales and profits

contributed by each item in the product line – Deciding to increase the length of the product line

by adding new variants or items typically expands market coverage and therefore market share but also increases costs

11.7

Page 8: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Depth of a Branding Strategy• The number and nature of different brands

marketed in the product class sold by a firm• Referred to as brand portfolio• The reason is to pursue different market

segments, different channels of distribution, or different geographic boundaries

• Maximize market coverage and minimize brand overlap

11.8

Page 10: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Designing a Brand Portfolio

• Basic principles:– Maximize market coverage so that no potential

customers are being ignored– Minimize brand overlap so that brands aren’t

competing among themselves to gain the same customer’s approval

11.10

Page 11: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Brand Roles in the Portfolio• Flankers• Cash cows• Low-end entry-level• High-end prestige brands

11.11

Page 12: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Brand Hierarchy• A means of summarizing the branding strategy

by displaying the number and nature of common and distinctive brand elements across the firm’s products, revealing the explicit ordering of brand elements

• A useful means of graphically portraying a firm’s branding strategy

11.12

Page 13: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Brand Hierarchy Tree: Toyota

11.13

Toyota Corporation

Toyota(Trucks)

Toyota(SUV/vans)

LexusToyotaFinancialServices

Toyota(Cars)

Corolla PriusAvalon Celica ECHO MatrixMR2

SpyderCamry

CESLE

SELEXLE

Platinum EditionXLXLS

SESLE

Page 14: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Brand Hierarchy Levels

11.14

Family Brand (Buick)

Corporate Brand (General Motors)

Modifier: Item or Model (Ultra)

Individual Brand (Park Avenue)

Page 15: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Corporate Brand Equity• Occurs when relevant constituents hold

strong, favorable, and unique associations about the corporate brand in memory

• Encompasses a much wider range of associations than a product brand

11.15

Page 16: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Family Brands• Brands applied across a range of product

categories• An efficient means to link common

associations to multiple but distinct products

11.16

Page 17: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Individual Brands• Restricted to essentially one product category• There may be multiple product types offered

on the basis of different models, package sizes, flavors, etc.

11.17

Page 18: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Modifiers• Signals refinements or differences in the brand

related to factors such as quality levels, attributes, functions, etc.

• Plays an important organizing role in communicating how different products within a category that share the same brand name are

11.18

Page 19: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Corporate Image Dimensions• Corporate product attributes, benefits or attitudes– Quality– Innovativeness

• People and relationships– Customer orientation

• Values and programs– Concern with the environment– Social responsibility

• Corporate credibility– Expertise– Trustworthiness– Likability

11.19

Page 20: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Brand Hierarchy Decisions• The number of levels of the hierarchy to use

in general• How brand elements from different levels of

the hierarchy are combined, if at all, for any one particular product

• How any one brand element is linked, if at all, to multiple products

• Desired brand awareness and image at each level

11.20

Page 21: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Number of Hierarchy Levels• Principle of simplicity– Employ as few levels as possible

• Principle of clarity– Logic and relationship of all brand elements

employed must be obvious and transparent

11.21

Page 22: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Levels of Awareness and Associations

• Principle of relevance– Create global associations that are relevant across

as many individual items as possible• Principle of differentiation– Differentiate individual items and brands

11.22

Page 23: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Linking Brands at Different Levels

• Principle of prominence– The relative prominence of brand elements affects

perceptions of product distance and the type of image created for new products

11.23

Page 24: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Linking Brands Across Products

• Principle of commonality– The more common elements shared by products,

the stronger the linkages

11.24

Page 25: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Brand Architecture Guidelines

• Adopt a strong customer focus• Avoid over-branding• Establish rules and conventions and be

disciplined• Create broad, robust brand platforms• Selectively employ sub-brands as means of

complementing and strengthening brands• Selectively extend brands to establish new

brand equity and enhance existing brand equity

11.25

Page 26: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Corporate Brand Campaign

• Different objectives are possible:– Build awareness of the company and the nature of its

business– Create favorable attitudes and perceptions of company

credibility– Link beliefs that can be leveraged by product-specific

marketing– Make a favorable impression on the financial community– Motivate present employees and attract better recruits– Influence public opinion on issues

11.26

Page 27: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Using Cause Marketing to Build Brand Equity

• The process of formulating and implementing marketing activities that are characterized by an offer from the firm to contribute a specified amount to a designated cause when customers engage in revenue-providing exchanges that satisfy organizational and individual objectives

11.27

Page 28: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Advantages of Cause Marketing• Building brand awareness• Enhancing brand image• Establishing brand credibility• Evoking brand feelings• Creating a sense of brand community• Eliciting brand engagement

11.28

Page 29: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Green Marketing• A special case of cause marketing that is

particularly concerned with the environment• Explosion of environmentally friendly products

and marketing programs

11.29

Page 30: DESIGNING  AND IMPLEMENTING  BRANDING STRATEGIES

Crisis Marketing Guidelines

• The two keys to effectively managing a crisis are that the firm’s response should be swift and that it should be sincere.

11.30