Branding and Brands Introduction to Comm 450
Introduction What do brands mean to you? What are your favorite brands and why? How do your perceptions of brands differ from those of others? Can you think of anything that cannot be branded? What?
What is a Brand? From the Norse ‘brand's which means “to burn” AMA says a brands is a name, term, sign, symbol or design intended to identify goods and services and to differentiate them from the competition
What distinguishes a product from a brand? A product is any entity offered to a market for attention, acquisition, use or consumption that might satisfy a need or want (Kotler 2000) A brand is the sum total of consumers’ perceptions and feelings about the products’ attributes and how they perform, about the brand name and what is tends for, and about the company associated with the brand (Achenbaum 1993)
Why do brands matter? To consumers Identification of source of product; assignment of responsibility to product maker; risk reducer; promise, bond or pact with the maker; symbolic device; signal of quality To organizations Means of identification to simplify handling, of legally protecting features, signal of quality level, way to endow product with unique associations, source of competitive advantage
Challenge to Brand Builders Mature markets More sophisticated and increasing competition Difficulty in differentiating Decreasing brand loyalty in many categories Growth of private labels
More challenges Increasing trade power Fragmentation of brand franchises Fragmented media Short-term performance orientation Increasing promotional expenditures Decreasing advertising expenditures
Development of Marketplace Power Historical Marketplace - Manufacturer controls all communications (Pfizer’s Viagra) Current Marketplace - Distribution channel controls communications (Home Depot) 21st Century Marketplace - Consumer control through technology
Integrated Brand Communications (IBC) Consumer behavior Consumer research Budgeting Mass media Public relations Sales promotion Direct marketing Media planning
Asset resources Tangible Assets Land Fixtures Buildings Machinery Investments Cash Intangible Assets Rights Privileges and advantages Brands
Brand Development Brand Messages Ideas Icons Symbols Colors Brand Contacts Experiences with the brand Contributors to brand image What contacts can consumers make with a department store? A catalog sales company? Your mobile service?
Brand Associations and Networks Associations are made from memory What associations do you have with Levis? Mercedes? Toyota? Swatch? Networks structure the creation of memories What structures are in place to create meanings for the brand McDonalds?
Brand Development Brand Messages Ideas Icons Symbols Colors Brand Contacts Experiences with the brand Contributors to brand image What contacts can consumers make with a department store? A catalog sales company? Your mobile service?
Brand Associations and Networks Associations are made from memory What associations do you have with Levis? Mercedes? Toyota? Swatch? Networks structure the creation of memories What structures are in place to create meanings for the brand McDonalds?