1. Chapter 12 Category and Brand Management, Product Identification, and New- Product Planning

2. Manufacturer Brand Kodak, Heinz Manufacturer Brand Kodak, Heinz Private Brand Kenmore, DieHard Cragmont Private Brand Kenmore, DieHard Cragmont Family Brand KitchenAid Appliances, Johnson & Johnson products Family Brand KitchenAid Appliances, Johnson & Johnson products Individual Brand Lever’s Aim, Close- Up & Pepsodent Toothpastes Individual Brand Lever’s Aim, Close- Up & Pepsodent Toothpastes Generic Products No name cigarettes Generic Products No name cigarettes FigureTypes of Brands

3. Definition of Brand Equity Brand Equity A brand possesses equity to the extent that consumers are familiar with the brand and have stored in their memory warehouses favorable, strong and unique brand associations

4. Two forms of Brand Knowledge Brand Awareness An issue of whether a brand name comes to mind when consumers think about a particular product category and the ease with which the name is evoked

5. Two forms of Brand Knowledge Brand Image The types of associations that come to the consumer’s mind when contemplating a particular brand

6. Consumer-Based Brand Equity Framework Brand Knowledge Brand Knowledge Brand Recognition Brand Recognition Brand Recall Brand Recall Non-Product-Related (e.g., Price, Packaging, User and Usage Imagery) Non-Product-Related (e.g., Price, Packaging, User and Usage Imagery) Product-Related (e.g., color, size, design features) Product-Related (e.g., color, size, design features) Functional Symbolic Experiential Attributes Benefits Overall Evaluation (Attitude) Overall Evaluation (Attitude) Types of Brand Associations Types of Brand Associations Favorability, Strength, and Uniqueness of Brand Association Favorability, Strength, and Uniqueness of Brand Association Brand Awareness Brand Awareness Brand Image Brand Image

7. Brand equity enhanced by: Name awareness Positive associations Perceived quality Strong brand loyalty Brand Equity Enhancement

8. The Marketing Communications Decision Process A B C

9. A B C

10. Monitoring and Managing Environmental Influences Monitoring and Managing Environmental Influences Economic Environment Social-Cultural Demographic Environment Competitive Environment Technological Environment Regulatory Environment Product Decisions Distribution Decisions Promotion Decisions Pricing Decisions Advertising Sales Promotion Point-of-purchase Communications Direct Marketing Communications Public Relations& Sponsorship Marketing Personal Selling

11. The Marketing Communications Decision Process A B C

12. Interdependencies among Target Market, Objective, and Budget

13. The Marketing Communications Decision Process A B C

14. The Concept of Brand Equity “Gardenburger’s ad on last episode of Seinfeld pays off big!”

15. The Marketing Communications Decision Process A B C

16. A B C

17. Consumers become familiar with the brand and hold: Enhancing Brand Equity Favorable associations Strong associations Unique associations

18. Co-Branding and Ingredient Branding Two or more brands enter into a partnership that potentially serves to enhance both brands’ equity and profitability An important requirement for successful co-branding : “logical fit between the two brands…” Co-Branding

19. Co-Branding and Ingredient Branding A special type of alliance between branding partners e.g., “Intel Inside” Ingredient Branding

20. Figure 12.8Alternative Product Development Strategies Market Penetration Product Development Market Development Product Diversification Old ProductNew Product Old Market New Market

21. A loss of sales of a current product due to competition from a new product in the same line. Cannibalization

22. A series of stages through which consumers decide whether or not to become regular users of a new product, including awareness, interest, evaluation, trial, and rejection or adoption. Adoption Process

23. 1. Awareness. Individuals first learn of the new product, but they lack full information about it. 2. Interest. Potential buyers begin to seek information about it. 3. Evaluation. They consider the likely benefits of the product. 4. Trial. They make trial purchases to determine its usefulness. 5. Adoption/Rejection. If the trial purchase produces satisfactory results, they decide to use the product regularly.* Stages in the adoption process

24. Integrated Marketing Communications (IMC) The process of developing and implementing various forms of persuasive communication programs with customers and prospects over time Integrated Marketing Communications (IMC)

25. Key Features of IMC 1. Affect behavior 2. Start with the customer work to company 3. Use all message channels 4. Achieve synergy 5. Build relationships between the brand and the consumer

26. Elements of Marketing Communications

27. Changes in Marketing Communication Practices Reduced faith in mass media advertising Increased reliance on highly targeted communication methods Greater demands imposed on marketing communications suppliers Increased efforts to assess communications’ return on investment