Presentation on theme: "Branding (pt. 2) Tuesday, November 30. Brand Strategies ► A brand strategy occurs in 5 different ways: Support an existing brand; Develop brand extensions;"— Presentation transcript:
Branding (pt. 2) Tuesday, November 30
Brand Strategies ► A brand strategy occurs in 5 different ways: Support an existing brand; Develop brand extensions; License a successful brand; Co-brand; Acquire a company that is currently marketing a successful brand.
Support ► Slight changes to existing products. ► Including: Redesigning packaging; Communicating value to a different market; Change an advertising message. ► However, once a brand has been positioned in a consumer’s mind, it is difficult to reposition the brand.
Develop ► Companies will use one of its established brands to help a new product capitalize on its success. ► If consumers regard the manufacturer with high regard, they will buy their other products. Establishes consumer confidence.
Licensing ► Similar to brand extension. ► Companies license their brand identification to other companies for a fee, which is usually a percentage of the new product’s sales. Can you think of an example? ► Famous people license themselves – thus becoming a brand. I.e. Wayne Gretzky, Oprah Winfrey & Martha Stewart.
Co-Branding ► When two or more brands combine and cooperate for their mutual benefit, it is called co-branding. Examples? ► Advertising and promotional tie-ins are also examples of co-branding.
Acquisition ► When larger companies buy a small company, based on the success of a brand, or the innovation of a new product or service, it is called acquisition. ► The 1990s saw a number of “start-up millionaires” emerge as a result of larger companies paying millions for small companies and a great concept.