Brand management Hoyts Cinema - Essay Example

Task Brand management – Hoyts Cinema Introduction Hoyts cinema is a branch of the Australian large company Hoyts Group that owns a display exhibition in an estimated 42 Australian prime cinema holdings placing it at the second spot in the cinema dominating industries in Australia1. Branding adds more value to the product that an organization offers making it popular among the less informed individuals in the society. This company boasts to have a market share value estimated at 95 % in distributing films and entertainment forms to the Australian population via the cinema outlets and home entertainment. The brand auditing process identifies the weak areas of the brand improving on its overall performance and increasing its competitiveness in the market2. When the auditing process of the brand is successfully conducted, the product gains better recognition and overall profit realized to maintain its position in the market3. Background of the Company The company is capable of distributing independent film shows to Australian cinemas and broadcast high quality modern blockbuster movies. Hoyts cinemas had been independent by the beginning of the 1990s later merging with big companies like 20th Century to boost its profits and increase their target market. The society’s trend to appreciate films is rapidly growing towards identification with popular production companies that are mostly recognized as the prime producers of excellent films. Hoyts realized this opportunity and increased merger with other large Hollywood based film industries by 2002 to attract a larger market that appreciates quality productions. There is also importance in increasing comfort in the cinema environments and improve the service that consumers are willing to pay to achieve entertainment4. Excellent service delivery and customer satisfaction goes greatly in improving brand popularity and improvement among its consumers. Most businesses and service providers offer increased incentives and adjustments to improve their brand quality and overall marketing of their services5. Brand audit aids in reviewing the changes needed to improve the overall service structure of a company and increasing its identity in the competitive market6. Through the application of various processes entailed in brand audit process, Hoyts cinema is capable of identifying areas of improvements. Brand Auditing Jelsema in his article explains six factors considered when undertaking a successful brand audit process. The overall positioning of the brand, its market segmentation, differentiators, internal environments of the company, overall brand positioning, personality and brand metrics help identify a company in the competitive market7. These factors are the developmental strategies applied by a company to check on errors limiting development and its advancement when considering growth. In addition, areas of improvement are highlighted and adjustments made according to the overall requirements8. In general, a company’s brand will be defined by its overall outlook, name used or logo that stands out from the other brands9. Brand Culture and Image The culture in the brand is the image that has been drawn on the consumer’s image for prolonged period often articulated to the ability to memorize it by name or image. Hoyts Cinemas have been in the Australian markets for decades establishing its dominance among other film providers in the state10. The ability of the company to deliver modern films that the audiences often require in the time of their release has led to the growth in its marketing11. Consumers would recommend other users to seek their services through mentioning its name and its signature logo. It is vital for the management and the staff to depict the overall culture of the brand to adjust into serving the long time clients who may be used to a particular routine in service delivery12. To understand this concept better, businesses often apply the use of a service triangle that puts the customer, the employees and the overall business functioning on a similar platform relaying their relationship13. Hoyts development relies on the customer’s identity of the services that they offer which find advantage in better service delivery and consumer satisfaction. Brand auditing is conducted to correct on a poor business culture and improve on future customer expectations. Brand Equity This concept finds its application in measuring the might of a brand in a market as compared to other brands offering a similar service14. The ability of a consumer to memorize a brand after receiving its services contributes greatly to brand equity15. The services that Hoyts offers to its consumers and their facilities help boost overall brand equity. It is a major independent cinema provider in the entire Australian continent enjoying an almost perfect market share. This attribute lies in its ability to deliver modern movies and trailers and providing exemplary service to its customers. They stress on total customer satisfaction and comfort, which most companies struggle to achieve. The dominance of the company in the Australian market is further advanced by the constant purchase into competitors to increase its chain. A form of monopoly is therefore achieved16. Market Programs The company has employed current technologies in relaying better quality videos to offer improved view and clarity in the image displayed. Consumers prefer an updated service delivery service that offers them proper value for the money spent. They have since synchronized with Vista entertainment technology that seeks to improve on the image quality. The overall structure has also been altered offering an easier service delivery through reduced congestions and waiting hours when acquiring the tickets to comfortable interiors that compliment the services offered. 3D technology incorporation and ample seats to flow with current technological trends have increased the overall consumer preference on the product17. New Product Categories to Maximize Profit The Australian group Hoyts Group boasts of ownership in the Hoyts Cinemas. It has been a growing industry in entertainment industry in Australia from 1990s and 2002 saw its merger with major film producers. With its ability to merge with other companies, Hoyts has purchased several film branches like the acquisition of AMC cinemas in 2010 to expand its service delivery. This can be further applied to eliminate competition bringing a system of monopoly among its consumers. The service delivery of the cinemas would boost overall profits with its improvements to embrace technological advancements as individuals seek to obtain modern day entertainment facilities. Recommendations Through market research and constant brand auditing, the areas of improvements to strengthen the dominance of Hoyts film industry in the Australian market is intensified18. By lowering ticket sale prices and expanding the branch capacities to accommodate a large population, individuals are attracted to the service delivery attributes and may be willing to spend extra to access exemplary services. The advertisement methods need to communicate easily to the consumers and information made readily available and simplified for easier access19. Conclusion The constant satisfactory service delivery by Hoyts Cinema would boost overall management improvement and consumer satisfaction. Through Brand management and audit, the weaknesses of a company are realized and necessary adjustments made to accommodate its development limiting competition. For a constant maintenance in profit generation, consumer needs are to be considered and any competition threats eliminated20. Brand auditing is mainly conducted for customer satisfaction and overall service delivery improvements. Hoyts habit to conduct their brand management regularly would positively increase their market share. Bibliography Baril, John. Hoyts Intends To Revolutionise Cinema Chain. Wealth Dynamo. 2010. Web. Retrieved 14 January 2012. Available at: Bomarius, Frank et al. Product-Focused Software Process Improvement: 10th International Conference, PROFES 2009, Oulu, Finland, June 15-17, 2009, Proceedings. Berlin. Springer, 2009. Chan, Park and Srinivasan, V. A Survey-Based Method for Measuring and Understanding Brand Equity and Its Extendibility. Journal of Marketing Research.Vol. 31(2) 2005 : 271-288. 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