Presentation on theme: "Unit 2 Brands Teaching & Learning Objectives To enable Ss to talk about brands To familiarize Ss with vocabulary related to brands To develop Ss listening."— Presentation transcript:
Unit 2 Brands
Teaching & Learning Objectives To enable Ss to talk about brands To familiarize Ss with vocabulary related to brands To develop Ss listening and reading skills To improve Ss meeting techniques To cultivate Ss problem-solving ability To enhance Ss business writing techniques by writing a memo
OVERVIEWOVERVIEW Starting up: Favorite Brands Vocabulary: Brand Management Listening: What is branding? Reading: Fashion Piracy Discussion: Three Promotions Skills: Taking part in Meetings Case Study: Caferoma
What is brand? A brand is a product, service, or concept that is publicly distinguished from other products, services, or concepts so that it can be easily communicated and usually marketed. A brand name is the name of the distinctive product, service, or concept. Branding is the process of creating and disseminating the brand name. Branding can be applied to the entire corporate identity as well as to individual product and service names.
Brands are usually protected from use by others by securing a trademark or service mark from an authorized agency, usually a government agency. Before applying for a trademark or service mark, you need to establish that someone else hasnt already obtained one for your name. Although you can do the searching yourself, it is common to hire a law firm that specializes in doing trademark searches and managing the application process, which, in the United States, takes about a year. Once youve learned that no one else is using it, you can begin to use your brand name as a trademark simply by stating it is a trademark. After you receive the trademark, you can use the registered symbol after your trademark. What is brand?
Brands are often expressed in the form of logos, graphic representations of the brand. In computers, a recent example of widespread brand application was the Intel Inside label provided to manufacturers that use Intels microchips. A companys brands and the publics awareness of them is often used as a factor in evaluating a company. Corporations sometimes hire market research firms to study public recognition of brand names as well as attitudes toward the brands. What is brand?
Here is the famous advertising copywriter and ad agency founder David Ogilvys definition of a brand: The intangible sum of a products attributes: its name, packaging, and price, its history, its reputation, and the way its advertised. What is brand?
David MacKenzie Ogilvy ( June 23, 1911– July 21, 1999 ), was a notable advertising executive. He has often been called The Father of Advertising. In 1962, Time called him the most sought-after wizard in todays advertising industry. He was known for a career of expanding the bounds of both creativity and morality. David Ogilvy
Quotation The most distinctive skill of professional marketers is their ability to create, maintain, protect and enhance brands. P. Kotler, American marketing guru
Philip Kotler Philip Kotler (born 27 May 1931 in Chicago) is the S.G. Johnson & Son Distinguished Professor of International Marketing at the Kellogg School of Management at Northwestern University. He received his masters degree at the University of Chicago and his Ph D at Massachusetts Institute of Technology, both in economics. He did postdoctoral work in mathematics at Harvard University and in behavioral science at the University of Chicago.
He was selected in 2001 as the #4 major management guru by the Financial Times (behind Jack Welch, Bill Gates, and Peter Drucker,) and has been hailed by the Management Centre Europe as the worlds foremost expert on the strategic practice of marketing. In 2008, the Wall Street Journal listed him as the 6th most influential person on business thinking. Philip Kotler
Kotler has consulted many major U.S. and foreign companies, including IBM, Michelin, Bank of America, Merck, General Electric, Honeywell, and Motorola - in the areas of marketing strategy, planning and organization, and international marketing. He presents seminars in major international cities around the world on the latest marketing developments to companies and other organizations.
Starting up A. List some of your favorite brands and answer the following questions: Are they international or national brands? What image and qualities does each one have? Do the products have anything in common? How loyal are you to the brands you have chosen? If you dont buy branded goods, explain why.
Starting up B. What are the advantages of branded goods for a) the manufacturer b) the consumer
Advantages for the manufacturer Having a product which is instantly recognisable and thus more likely to be bought Being able to associate specific qualities with the brand, e.g. value for money, safety, prestige The possibility of launching related products under the same (established) brand Greater customer loyalty
Advantages for the consumer A reliable productyou know what youre getting for your money High prestige brands give you an opportunity to enhance your standing
Starting up C. The worlds top ten brands: Which do you think is number one? Rank the others in order. Marlboro AT & T Ford General Electric Intel IBM Microsoft Coca-Cola McDonalds Disney
Top 10 Global Brands Source: Interbrand/Citibank Coca-Cola 2. Microsoft 3. IBM 4. General Electric 5. Ford 6. Disney 7. Intel 8. McDonalds 9. AT & T 10. Marlboro Companies ranked according to: Weight (market share) 35% Breadth (cross section of society reached) 30% Depth (brand loyalty) 20% Length (brand-stretching ability) 15%
The influence or dominance that a brand has over its category or market (more than just market share) Assessing BRAND POWER POWER BRANDS Interbrand BRAND WEIGHT
The stretch or extension that the brand has achieved in the past or is likely to achieve in the future (especially outside its original category). Assessing BRAND POWER POWER BRANDS Interbrand BRAND LENGTH
The breadth of franchise that the brand has achieved both in terms of age spread, consumer types and international appeal. Assessing BRAND POWER POWER BRANDS Interbrand BRAND BREADTH
Assessing BRAND POWER POWER BRANDS Interbrand BRAND DEPTH The degree of commitment that the brand has achieved among its customer base and beyond. The proximity, the intimacy and the loyalty felt for the brand.
Assessing BRAND POWER POWER BRANDS Interbrand BRAND DEPTH BRAND WEIGHT BRAND LENGTH BRAND BREADTH POWER
Vocabulary: Brand Management A. Match the definitions to the word partnerships with the word brand. 1.A brand associated with expensive, high quality products 2.The person responsible for planning and managing a branded product 3.The brand with the largest market share 4.A famous brand with a long history luxury brand brand manager brand leader classic brand
Vocabulary: Brand Management 5. The ideas and beliefs which consumers have about a brand 6. The tendency of a customer to continue buying a particular product 7. Using a successful brand name to launch a product in a new category 8. The knowledge which consumers have of a brand brand image brand loyalty brand stretching brand awareness
Listening: What is branding? What is Branding? Branding is the activity of giving brand names to products, developing peoples awareness of them etc. Listen to an authentic interview with Lynne Fielding, a marketing specialist, and do the exercises. What is Branding? Branding is the activity of giving brand names to products, developing peoples awareness of them etc. Listen to an authentic interview with Lynne Fielding, a marketing specialist, and do the exercises.
A. Listen to the first part of the interview and complete the extract with the words below.Listen to the first part A. Listen to the first part of the interview and complete the extract with the words below.Listen to the first part money name differentiate synergy quality competitors What is branding and why do we need brands? A brand can be a _______, a term or a symbol. It is used to ____________ a product from ____________ products. The brands guarantee a certain __________ level. Brands should add value to products. Its a _________ effect whereby one plus one equals three. But customers must believe they get extra value for _________. name differentiatecompetitors quality synergy money Listening: What is branding?
differentiate v. to recognize or express the difference between things or people differentiate between…(and)… differentiate sth/sb from synergy n. the extra energy, power, success, etc that is achieved by two or more people or companies working together, instead of on their own
B. Listen to the second part of the interview and complete the chart.Listen to the second part Listening: What is branding?
BRANDS Stand-along or ___________ brands Ariel Corporate or ________ brands Heinz individual family Haagen Daz Direct Line Insurance Malboro Virgin Marks and Spencer Levis
C. Listen to the last part and complete the summary.Listen to the last part 1. Customers want: a) _____________ b) ____________ c) ____________________ 2. Customers like to: a) rely on the _____________ guaranteed by the company b) __________ products. c) __________ with brands. new brandschoice different products quality levels trust identify Listening: What is branding?
Reading: Fashion Piracy A. Pre-reading: Before you read, discuss these questions. 1.Do you own a product which is an illegal copy of a well known brand? If so, what is it? Where did you buy it? How much does it cost? 2.How can manufacturers protect their brands from piracy (illegal copying)?
B. Match the words and phrases with the definitions. 1. global offensive 2. counterfeiter 3. copyright abuse 4. a network 5. merchandise 6. corporate strategy 7. logo 8. licensing rights 9. rip off 10. restructure a) plans of a company to achieve its objectives b) agreements which allow a company to make and sell a registered product locally c) taking strong action all over the world d) a person who copies goods in order to trick people e) copy someone elses work, e.g. their designs, without permission f) a large amount of people or organisations working together as a system g) goods for sale f) change the way something is organised g) the symbol of a company or other organisation h) sell illegal copies of a brand as if they are the real thing
Reading: Fashion Piracy 1.global offensive c 2.counterfeiter d 3.copyright abuse e 4.a network f 5.merchandise g 6.corporate strategy a 7.logo i 8.licensing rights b 9.rip off j 10.restructure h 1.global offensive c 2.counterfeiter d 3.copyright abuse e 4.a network f 5.merchandise g 6.corporate strategy a 7.logo i 8.licensing rights b 9.rip off j 10.restructure h
Reading: Fashion Piracy C. Read the article quickly to find out: 1. which Calvin Klein products are commonly copied. 2. why the problem is getting worse. 3. how the company is dealing with it.
1.Which Calvin Klein products are commonly copied T-shirts, jeans and baseball caps. Reading: Fashion Piracy
2. Why is the problem getting worse Because Calvin Klein has become a more well-known brand, and is therefore more profitable to copy. Reading: Fashion Piracy
3. How is the company dealing with it By establishing a network of employees and external specialists.
Reading: Fashion Piracy D. Read the article and answer the questions. 1.What was Calvin Kleins attitude to counterfeiting in the past? 2.Why has the company changed its way of dealing with counterfeiters? 3.What has the company done to change the way its business operates and to increase its size?
Reading: Fashion Piracy 1.What was Calvin Kleins attitude to counterfeiting in the past? It took a passive approach.
Reading: Fashion Piracy 2. Why has the company changed its way of dealing with counterfeiters? Because of the increase in counterfeiting and because it reduces the companys sales and damages its brand image.
Reading: Fashion Piracy 3. What has the company done to change the way its business operates and to increase its size? It has expanded its business outside North America, increased spending on advertising and signed licensing deals with partners for whole regions rather than individual countries, the previous practice.
Language review: Past simple and present perfect A. Memo completion. 1. launched 2. increased 3. have fallen 4. have copied 5. has become 6. organised 7. have found 8. have seized 9. contacted 10. informed 11. have had 12. have lost
Discussion: Three Promotions Case 1 Macdonalds Why do you think this promotion was unpopular with Macdonalds customers? How do you think Macdonalds dealt with the situation?
Case 1 Macdonalds The promotion was unpopular because it gave a misleading impression of the price. When the price of the french fries and drink at the full price were taken into account, the discount on the whole meal amounted to only about 5%. McDonalds withdrew the promotion and cancelled the campaign. It also announced a major reorganisation in its management structure, scrapping the 40-year-old tradition of centralised management in Illinois, USA, and appointing local managers instead.
Discussion: Three Promotions Case 2 Pepsi What prize do you think John Leonard is claiming from Pepsi Cola? What did he do to claim the prize? What do you think Pepsi Cola have described his claim as frivolous?
Case 2 Pepsi John Leonard claimed a Harrier Jump Jet by buying 7,000,000 Pepsi Stuff Points at l0¢ each: a cost of $700,000 or about £400,000 for a machine that normally costs several million dollars. Pepsi described his claim as frivolous because the advertisement was meant as a joke. However, when they later screened the advertisement on national TV in the USA, the number of points needed to claim the Harrier Jet was increased from 7 million to 700 million.
Discussion: Three Promotions Case 3 Irish Tourist Board Why do you think the Irish people disliked the logo so much? Was the minister right to get rid of the logo? Which logo do you prefer?
Case 3 Irish Tourist Board Many people felt there was no need to get rid of the shamrock, which has been the symbol of Irish tourism for the past 30 years. They also found it difficult to work out what the new symbol was and interpreted it in hundreds of ways, for example: two sumo wrestlers preparing to fight; two crabs meeting; two monsters; a viking ship.
Skills: Taking part in Meetings Build up a profile of a company, hold a meeting to speculate about what may be causing it to lose sales and brainstorm possible solutions (to improve its sales and its brand awareness amongst its target consumers).
Case Study: Caferoma Background Brand Caferoma Owned by Pan European Food and Drink (PEFD) Image exclusive, Italian style, coffee for gourmets Pricing high Product characteristics strong full-bodied flavour, slight bitter taste
Case Study: Caferoma Problems Caferomas share of the European quality ground coffee market has declined by almost 25%, reasons are: Brand loyalty: consumers becoming less loyal to brands and prefer low-priced coffee products Price: supermarkets selling similar products under their own label at much lower prices Copycat products: at prices 30% to 40% lower than Caferomas price; having cut into Caferomas market share Brand image: no longer conveying feeling of excitement and enthusiasm, not giving the impression of up-to-date and contemporary
Case Study: Caferoma Possible Solutions Repositioning the product Pricing Advertising Multiple brands Own label products A new product Stretching the brand
Case Study: Caferoma Task You are members of PEFDs European marketing team. Hold an informal meeting to discuss Caferomas problems and decide on some actions to halt the decline in the market share and to increase profits.
Assignment Writing Write a memo for the attention of Caferomas Managing Director, summarising what action you agreed to take at the meeting to solve Caferomas problems and explaining your reasons.