Branding & Licensing Mrs. Wilson Ryle High School

Q.O.D. 1/5/15 1. List 5 Brand Names you can think ok. Next to each brand, list 2-3 adjectives to describe that brand. Explain why you chose those words. Example: Nike  fast & confident 2. Are you loyal to a certain brand? Which one? Why?

Brand Brand - name, word or words, symbol, or design that IDs a company and its products Brand name - words, letters, numbers representing a brand that an be spoken Ex.  “Gatorade” “Los Angeles Lakers”

Characteristics of a Successful Brand Positive feelings Easy to remember & pronounce Logo is easily recognizable Consistent with the image of the company

Commercial

Trademark Trademark - legal protection of words and symbols used by a company. Ex.  Why is branding important? Builds customer loyalty They expect a certain quality product.

Patents Granted for 20 years through U.S. Patent & Trademark Office Protects owner’s product inventions Most recent patent? Nike just received a patent (8,905,861) for a recyclable golf ball Patent was filed in 2012 and approved 1/1/15

Brandmark Legally titled same as a trademark Sometimes used to ID a specific brand name Example: Nike (trademark) creates Air Jordan (brand mark).

Copyright Legal protection of a creator’s intellectual property or products. Examples  literature, music, films, videogames & art. Can be registered in the Library of Congress for the life of the author + 70 years. Example: Jaz-Z  all of his work, including singles in Movies are recorded there.

Q.O.D. 1/6/15 Please describe the difference between a copyright, a trademark and a brand. Give an example of each. What is a brand personality? Give an example related to Sports or Entertainment.

Brand Personality Yankee baseball team has been recognized as an outstanding franchise has won 26 world championships. They are most winning franchise in pro sports history Their brand personality is that they are a winning successful franchise and team. Example: Disney brand is associated with family fun & entertainment. Another source states the LA Lakers with the highest winning percentage (61%) vs. the Yankees (57%)

Brand Equity Brand Equity - value placed on a brand by consumers When a brand becomes very popular, its value becomes a competitive advantage because most consumers = brand with quality Then, customers are willing to pay a premium price

Nike Lebron Free Run Nike ex=3&list=PLDAC24B779BBED703

Types of Brands & Strategies 3 Types of Branding 1. Corporate Brand 2. Product Brand 3. Store Brands 1.Corporate  represents an entire company or organization Walt Disney National Football League Apple

Brands cont’d. Product Brand  represents a particular product of a company or organization Call of Duty Harry Potter iPod, iPhone, etc. Store Brands  (Also called private labels) are the products retailers sell as their own brands. Gander Mountain- outdoor sports store, carries brand name merchandise from Columbia & Carhardt, but also offers many products under the name, “Gander Mountain.”

Brand Extension Use of a successful brand name to launch a new product or service in a new market Celebrities & athletes. Fragrances, restaurants Jimmy Buffett Musician Restaurants Shirts Cups, margaritas, headphones, Furniture

Q.O.D. 1/7/15 Give an example of brand extension other than the examples we discussed in class.

Brand Extension Not just athletes & celebrities Biggest Loser- drink mixes, workout DVDs Adidas- introducted a new line of toiletries (deodorant, after shave, body spray)

Developing a Brand name Offer a benefit- “Gatorade” came from Florida Team was known as the “second-half team” because they would would always increase their stamina in the 2 nd half of the game. Be simple- it’s more memorable Be different, sound positive- Puma, fast cat Reflect an image (what does your brand say about your company?)-Wheaties is the Breakfast of Champions

Class Assignment Take a look at the top 20 brands of Look at the: 1. value of each company 2. the change in value, if any 3. the amount of money each company spends on advertising. In your notebook in the Q.O.D. section, write down 10 brands you are most familiar with. Explain: 1. Why you think this company is on the list 2. Any numbers you were surprised about ($ spend on advertising, etc.) 3. Commercials you recall on the product (Example: A Super Bowl commercial you saw about the product/company) Does the brand have the following? Positive feelings Easy to remember & pronounce Logo is easily recognizable Consistent with the image of the company

Q.O.D. 1/9/15 What makes a good brand name? Name 2 “bad” brand names. Explain your answer. Name 2 “good” brand names. Explain your answer.

Licensing Licensing- an agreement that gives a company the right to use another’s brand name, patent, or other property for a fee. Licensor- company giving the license Example: NASCAR, NFL, MLB Licensee- company paying for the rights to use the name or property Example: EA sports has rights to put NFL players, stadiums & teams in its games

3 Ps of Licensing 1. Profit- Determine the price points that will establish higher profit 2. Promotion- merchandise doesn’t sell itself 3. Protection- it is important to copyright or trademark all names, logos, or slogans associated with the product.

Licensing Example

Licensing Licensing Agreement- Can apply to just about any product you can think of Key chains, credit cards, video games, toys, apparel Licensors must be careful, they want to make sure whomever is creating merchandise with their logo/team on it will be a quality product. The product reflects the company’s image.

Types of Licensing Product License Merchandising License- (retail License) Endorsement License- usually famous person associated with a product) (Ex.  Jessica Simpson used ProActiv) Sponsorship License- ( famous person used to enhance sales)

Q.O.D. 1/12/15 What are the 4 main types of licensing? Describe each.

2 Forms of Licensing 1. Sponsorships  are used by Olympics, MLB, NBA, WNBA, etc. to finance their operations. Ex. – signs, stadium promotions, product sales, etc. 2. Endorsements  statement of approval ( I like this product) of a product, service, or idea made by a person or company speaking on behalf of the advertiser. Endorser- Tiger Woods Endorsee- Nike

Licensing Agents Legal representative that negotiate the terms of licensing contracts.

Types of Sponsorships Signage- sponsors can buy signage at a stadium. During the game, people see that advertisement. Can be on scoreboard, floor, backboards, seats, etc. Entitlements- 1 major sponsor for an event Ex. – NASCAR signed a 10 yr. agreement with Nextel, a cell phone servicer to be its title sponsor Facility Entitlements- company purchases rights to an entire stadium. Ex.- Heinz Field in Pittsburgh, U.S. Bank Arena, Bank of Kentucky NKU.

Type of Sponsorships Product Exclusivity- only one product in a product category is granted sponsorship. Ex.- only Coca-Cola is sold at the Red’s stadium.

Endorsements Association- Michael Jordan sells Hanes. (Hanes has nothing to do with sports, they just think his name alone will sell the product) Demographic Match- company may choose a person who matches their target market Use an African American sports figure to sell to an African American target market Successful Careers- someone who loses isn’t called to endorse anything. 3 years ago, Tiger Woods had the most endorsements because of his winning record. Now, not so much.

Endorsements Image- sell more products when the endorser has a positive image and is popular