Brand Development and Marketing - Assignment Example

Week 1: Monday, 31st August The reading set by the teacher was Brand Development and Marketing, Chapter I of the text. This was the first lecture on brand management so the lecturer began by defining what a brand is. Beginning with the formal definition of the term, the lecturer went on to discuss in detail the various elements and attributes of brands. Objectives: 1. Defining brand, its various elements, attributes and importance to consumers and firms, the products that can or cannot be branded, the branding process and management. 2. Case: Great Ute of China 3. Discussion of Chapter 1 4. Video case: None From the lecture, I learnt what exactly is meant by the term brand. Literally, various attributes like name, term, symbol, design make up what is known as brand. However, firms consider brand more broadly, in terms of the company’s or the product’s reputation in the marketplace. Therefore, brand is usually stated with a capital B, since it is crucial for a product’s success. I realized from the lecture that the names of products are not randomly chosen but are the result of a lot of thinking since it will ultimately become a critical factor in the competitive advantage. The brand is not synonymous with the product. While the product satisfies a particular need or want, a brand does not necessarily have to be a tangible good or service but may actually be an idea. The lecturer discussed the term product in great detail. This part of the lecture was a little difficult to understand because it dealt with very abstract ideas. The discussion on brand was easier to grasp since the lecturer set out the six elements of brands quite explicitly. The example of Great Ute from a Chinese manufacturer showed how a brand is much more than a product because of the differentiation through image even when other manufacturers could offer similar products. Even commodities, which are not differentiated as products, can be branded through image differentiation. I realized that brands are extremely important both to marketers and consumers. Consumers feel comfortable with a strong brand which makes the consumption decisions easier. To marketers, brands are an easy way to reach customers since it gives a competitive advantage over other producers. However, brand is a psychological concept and not every product can be branded. The lecturer discussed the products that can be branded. The lecturer discussed the top 10 global brands and commodities that may be branded. Some examples of taglines with which commodities are branded were also discussed. I recall many commodities that have been branded, like Quaker Oats, the TV ads brand oats as a healthy food option like in the skyscraper ad or the sports drink ad. The elements that provide a brand its strength, the brand management, its challenges and opportunities were discussed. I learnt new terms like strategic brand management and brand equity. I read chapters 1 and 2 of Keller for next week but have not completed Chapter 3. I prepared the discussion questions for Chapter 1 which will be discussed in the next class. Group discussion: We formed a group of students for discussion studies, exchanged contact numbers and agreed to meet weekly from the 5th or the 6th. The next presentation case for this group is on Yahoo, due in week 7. Week 2: Monday, September 7th The reading set out by the lecturer was Chapters 2 and 3 of Keller, on “Customer Based Brand Equity” and “Brand Positioning and Brand Value” respectively. I had already read Chapter 2 but not Chapter 3 so had some difficulty in understanding the latter. Objectives: 1. Defining customer based brand equity and how to develop it. 2. Defining brand positioning and brand value and the process of doing this. 3. Case: AFAC (Venture Capital) 4. Video Case: MTV This lecture was difficult as it introduced a lot of new concepts. The lecturer began with defining customer-based brand equity and its elements making it clear that it is a bridge between the firm’s past and future. After stating that brand knowledge is essential for brand equity, the lecturer went on to discuss various sources of strength of brand equity, ways to achieve awareness advantage, creating a positive brand image and the steps to build a brand image. The essential thing in this process is to have a customer orientation and analyze the customer psychology. A customer-based brand equity (CBBE) can be developed through a pyramid process that includes identity, meaning, response and relationship in this order. The CBBE pyramid can be subdivided into another pyramid. The lecturer also discussed the salient features of brand equity, the depth and importance of brand awareness. To understand brand equity and recall, it is first necessary to understand product category structure, its performance, image, judgment, feeling and resonance dimensions. Developing the CBBE model fully, the lecturer identified the key drivers of brand equity, the implications of brand building, how it creates customer value and how a company’s customer-centricity can be judged on the basis of its brand equity. The lecturer then introduced the Customer Resource Management (CRM) tool, customer equity and its relationship to brand equity. The lecturer then went on to discuss brand positioning by determining a frame of reference. For this purpose, a target market needs to be defined on the basis of segmentation of customers. The lecturer gave the example of different segments of customers of toothpaste depending on various attributes of the product and the want of the customers. The nature of competition also needs to be identified for the purpose of brand positioning. Finally, the lecturer developed a strategy for brand positioning by reconciling the trade-off between attributes and benefits, finding the core values of the brand and designing the brand mantra. There should also be an internal branding of the company, regular brand audits and creation of brand inventory. The discussion on brand positioning was quite difficult to follow. I need to study chapter 3 carefully. I learnt new terms like CBBE, points-of-difference (POD), points of parity (POP) and brand mantra. Case of brand equity and brand positioning of MTV was discussed. An example of customer-based brand equity could be that of McDonald’s which focuses on fun, entertainment and family. The slogan “I’m Loving it” is an inspirational one. Group discussion: The group decided that the meeting would be on Fridays instead of Mondays because the lecture date was changed. We decided to complete the individual projects by next week and then begin the group project. Week 3: Friday, 18th September The lecture was based on the reading “Choosing Brand Elements to Build Brand Equity” and “Designing Marketing Programs to Build Brand Equity”, chapters 4 and 5 respectively. Objectives 1. To develop a strategy for customer-oriented brand equity, the criteria for brand elements, the tactics necessary to build these, guidelines for brand names in terms of URLs, logos, symbols, characters, slogans, jingles and packaging. 2. Overview of designing a marketing program for building brand equity, its implications for brand management and new approaches towards marketing so that branding is integrated with other marketing strategies like pricing, product and channel. Case: Starbucks Video Case: American Express Following from the concepts discussed in the previous classes, the lecturer began with discussing brand knowledge, CBBE and the criteria for choosing brand elements. Firms choose brand elements on the basis of memorability, meaningfulness, likability, transferability, adaptability and protectibility. These elements can be developed through brand names, uniform resource locators (URLs) on the Internet, logos (ranging from corporate name and trademark) and symbols (human and non-human characters), slogans, jingles and packaging. The lecturer discussed these elements with many examples. The first element, brand naming and the web domain name, has to be developed with a lot of care. The lecturer gave examples of some classic slogans. The lecturer discussed packaging and referred to an article by Bassin, 1988. The lecturer discussed the importance of packaging in influencing customer tastes and values. Packaging plays a very important role in influencing tastes whatever the product is. The brand identity is developed through all these elements. I remember Blue Rhino ad which shows an animal mascot with a yellow flame sticking out as the tongue. In the discussion questions on this chapter, the lecturer told us to select a brand, identify its sources of brand equity and assess the level of brand awareness. Besides this, we were supposed to analyze the logo of Naomi Klein. After the Starbucks video case, the lecturer discussed the marketing program to build brand name. He discussed the new perspectives on marketing and the strategies and tactics adopted by companies towards this. This depends on the external marketing environment which have changed drastically on the basis of digitalization, new times of middlemen, customization and industry convergence and the implications for brand management. Marketing programs are becoming very important because companies have moved away from mass market production which is why even traditional industries have taken to marketing programs which are being integrating with other activities. I learnt of new marketing programs like personalized marketing, experiential marketing, one-to-one marketing through customer differentiation, permission marketing and integrating brand into marketing programs of product, pricing, channel, push and pull and web strategies. In the discussion questions on this section, I was supposed to pick a category which are dominated by brands. Group discussion: We discussed the individual reports and divided the case questions. Week 4: Monday, 25th September The lecture was based on Chapters 6 and 7, which are on “Integrating Marketing Communication to Build Brand Equity”, “Leveraging Secondary Brand” and “Knowledge to Build Brand Equity”. Objectives: 1. Developing new marketing communications and integrating marketing communications. 2. Integrating CBBE with marketing communications. 3. Discussing secondary branding exercises like co-branding, ingredient branding, licensing, celebrity endorsement, sponsorships. Video case: Snapple The lecturer began with a discussion of marketing communication in the new media environment like web advertising in addition to traditional environment like television, newspapers, radio and magazines. The success of marketing communication depends on the ability of the brand to develop the current brand knowledge to desired brand knowledge. The lecturer discussed the information processing of communication and the different forms of marketing communication options. He discussed at length the strength of advertisements for marketing communications and what an ideal advertisement should be. Advertising occurs on various platforms including the traditional and the new media. Besides other forms of communication like promotions and sponsorships, there may also be personal selling in which the firm has a face-to-face interface with the customer. The Apple Ipod ad of 2008 integrated its marketing communication with the American Idol show. I learnt new concepts like Integrating Marketing Communications (IMC) and developing new IMC programs. To evaluate the IMC program, the coverage, cost, contribution, commonality, complementarity and versatility of the communication program has to be assessed. The IMC communication overlap was displayed with the help of a diagram which I found difficult to understand. The guideline for firm’s marketing communication is to be analytical, curious, single-minded, integrative in communications, creative, observant, realistic and patient. The discussion questions after this section were based on the previous week’s lecture on brand elements. To design marketing programs and leveraging secondary brand knowledge to build brand equity, the lecturer displayed a chart for building CBBE. The chart elaborated a tree for process of choosing brand elements, developing marketing programs and leveraging secondary associations that together lead to brand awareness and brand associations. These together lead to many possible outcomes. The lecturer discussed ways to create new brand associations affect existing brand knowledge and the ways to leverage secondary associations that may in turn lead to response-type of associations like judgment and feelings, meaning-type associations like product or service performance and imagery. The lecturer gave examples of companies that engage in co-branding, ingredient branding, licensing, celebrity endorsement, sporting, cultural and other events and third-party associations. The discussion questions after this section include a practical exercise of a visiting a departmental store and evaluating in-store marketing effort and private label branding. Group discussion: We finalized the questions that we would choose and decided that each of us will write an answer on one slide of a presentation. We also started discussing our major projects. Week 5: Monday, 2nd October This lecture involved “Developing a Brand Equity Measurement and Management System”, and “Measuring Sources of Brand Equity: Capturing Customer Mindset” based on chapters 8 and 9. Objectives: 1. To develop a brand equity management measure, the brand value chain in terms of stages, multipliers, measurement system, brand tracker, brand equity charter, brand equity report and responsibilities. 2. Measuring sources of brand equity through qualitative research, free associations, projective techniques, identifying key brand personality associations, experiential methods, quantitative research techniques, awareness, image, brand responses, brand relationships and various CBBE mthods. Video case: Marriott The lecturer began by saying that developing brand equity measurement because the firm needs to account for every dollar spent on marketing. This requires a broader model than the CBBE and needs to study the effectiveness of the entire value chain covering various stages and multipliers. The value stages involving marketing program investment, customer mindset, market performance and shareholder value are multiplied through program quality, customer attributes and market attributes. I learnt the various brand equity measurement systems like brand audits, tracking procedures and designing a brand equity management system. Incidentally, it struck me that these systems are quite similar to financial performance measurement systems. While the discussion of brand audits and tracking procedures was brief, the lecturer dealt in detail the brand equity management system, which includes the brand equity charter (which provides the general guidelines to managers), report and responsibilities. I learnt new terms like Knicks Brand charter. Discussion questions provided included study of brands on the website, newspaper advertisements and sponsorships. Discussion questions on the video case study includes how Marriott uses advertising and target market to promote its brand, its media strategy and why it cannot do with just one brand if it wants to target the entire market. The second half of the lecture went into further detail with the measurement of brand equity. Qualitative research techniques address free associations with the brand. For this, the lecturer discussed the case of Levi’s 501 and a number of other brands’ key personality associations. These techniques include projective techniques, which are diagnostic tools to analyze customers’ opinions and feelings. I liked the discussion on Levi’s 501 brand associations on its attributes and benefits. I remembered an internet ad spot I saw. It showed an animation character returning from war and getting disgusted at metrosexual men getting manicure done. He then gets into a pair of Levi’s 501 and becoming his own macho self once again. It depicts the loyalty of men that Levi’s has garnered through the years. I learnt new terms like ZMET (Zaltman Metaphor Elicitation Technique) which involves a number of steps to discover interconnected constructs to understand thought and behavior, Young and Rubicam’s Brand Asset Valuer (BAV) model which develops the relationship between the brand and the customer and brand engines. The lecturer referred to Aaker for defining brand personality and values. The experiential method involves understanding the customers’ lifestyles very closely. Quantitative research to understand awareness, image, brand responsiveness and brand relationships were next on discussion. The lecturer explained each of these attributes but did not give the quantitative measures for these. The lecturer then discussed how brands are built through differentiation, relevance, esteem and knowledge. He discussed various cases of what may happen when brand differentiation are greater or lesser than relevance and when esteem is greater or lesser than knowledge. A two-dimensional framework for diagnosing brand through the power grid was developed with an example of the USA1999 power grid. The Y&R and BAV research and its commonality with the CBBE model were explained in more detail but I found it very difficult to follow. The discussion questions included brand strategy of Boeing, and secondary associations of other brands. Group discussion: Group members combined the individual slides to develop the complete presentation. We made a schedule for our project this week. Week 6: Monday, 16 October The lecture was based on Chapter 10, “Measuring Outcomes of Brand Equity: Capturing Market Performance”. Objectives: 1. Measuring brand equity through comparative methods, brand-based approaches, marketing-based approaches, conjoint analysis, holistic methods, residual approaches, valuation approaches. 2. Relate with accounting background, historical perspectives, general approaches 3. Develop an Interbrand’s brand valuation Case study: Du Pont Video case: Strawberry Frog, Wild Planet The lecturer said that brand equity is a multi-dimensional concept and requires an understanding of the underlying values. He gave examples of the brand based approach, when the marketing based approach is constant, its advantages and disadvantages for measuring brand equity. In the marketing-based approach, on the other hand, the brand is fixed. The conjoint analysis is a survey-based multivariate analysis combining both of the above approaches. The holistic method gives an overall value to the brand in terms of its abstract utility. The residual approach subtracts the value of the brand after the physical attributes. The valuation approach places a financial value to the brand following an accounting methodology. The lecturer gave examples of the historical perspectives from the United States and Australia. Brands like Coca Cola, which has its logo popular for over a century, has to be valued in terms of its historical worth. In the general approach, the value of a brand can be measured through the cost approach, market approach and income approach. I learnt the new term Interbrand, which is a brand valuation method through successive stages. The discussion questions provided in this class included those on various techniques to identify sources of brand equity with case studies. Group discussion: We practised our presentation within our group, which we named “Fine”. We developed a plan for our project and submitted it to our teacher. Week 7: Monday, 23rd October The lecture was based on Chapter 11, “Designing and Implementing Branding Strategies”. Objectives: 1. To understand what constitutes a branding strategy or brand architecture 2. Understand brand-product mix, its breadth and depth 3. Understand brand hierarchy and the different types of brands Case study: Yahoo Video case: Procter & Gamble The lecturer said that branding strategy can be through brand-product mix and the brand hierarchy. The branding strategy shows the number and nature of common or distinctive brand elements. In this, brand architecture clarifies brand awareness and motivates brand image. The brand-product matrix was presented through brand-product and product-brand relationships. I learnt new definitions like product line, product mix and brand mix, brand portfolio The breadth of the product mix, which considers aggregate market factors, category factors and environmental factors, and the depth of the product market, which considers the sales and profit contributed by each item in the product line and adding new variants to expand the market coverage. The depth of the branding strategy includes the number and nature of different brands in the brand portfolio so that the firm can pursue different market segments, maximize coverage and minimize brand overlap. The lecturer gave the example of the Ford brand portfolio in order to discuss how to develop brand portfolios. In this section, I learnt new terms like flankers, cash cows, low-end entry level and high-end prestige brands. The lecturer explained that brand hierarchy is a means to achieve display the common and distinctive elements of a brand across the firm’s products. This can be represented graphically which the lecturer did with the example of the brand hierarchy tree of Toyota. He also gave examples of various brands to discuss the various levels of the brand hierarchy. The lecturer then discussed elements of corporate brands, family brands and individual brands. There may be modifiers which organize the role of communication in each category. There were various dimensions of the corporate image. I remembered the number of ads of various products that make Unilever a corporate brand. The brand hierarchy decisions depend on the number of levels of the hierarchy, how the brand elements are different at various levels, how brands are linked and the desired brand image at each level. The number of brand hierarchies is based on the principles of simplicity and clarity. The levels of awareness and association are based on the principles of relevance and differentiation. Brands can be linked at different levels on the principle of prominence while brands can be linked across products by the principle of commonality. The lecturer also discussed the brand architecture guidelines and the ways to design the corporate brand campaign. He also showed how cause marketing like green marketing and crisis marketing, may develop brand equity. Group discussion: We discussed the strengths and weaknesses of our presentation, and divided the project according to our skills. Week 9: Monday, 6th November The lecture was based on Chapters 13 & 14, “Managing Brands over Time” and “Managing Brands over Geographic Boundaries and Market Segments”. Objectives: 1. A long term view of managing brands, to reinforce and revitalize them, increase brand awareness, improve brand image. 2. To discuss how to enter new markets, make adjustments to brand portfolios. 3. How to enter into regional market, demographic and cultural segments as well as international markets 4. The advantages and disadvantages of global marketing, standardization versus customization, the global branding strategy Case study: General Electric Video case: Nike The lecturer began with saying how we can reinforce brands through marketing action and then continuing how brands can be managed over time. This requires the firm to take a long term look at the marketing decisions. The lecturer presented the process of brand management and over time and that of reinforcing and revitalising brands with charts. The lecturer discussed in detail the strategies to revitalize a brand and to expand awareness of it, improve the image. The strategies to enter into new regional markets were discussed before going at length on the global marketing strategy. It was discussed that there are both advantages and disadvantages of regional market segments. There are various examples of global brands that have crossed boundaries, like Coca Cola, Levi’s, Unilever and McDonald’s, to name a few, which are essentially American brands but are accepted globally, with ads catering to specific regional segments. Usually, the typical decision of going international is taken because of narrowing and slowing down of regional markets as well as to achieve economies of scale. Despite various advantages of global marketing, there are also various disadvantages and problems associated with it. The lecturer discussed Levitt’s theory of standardization versus customisation, which was new to me. The main motto in this section seemed to be “Think Global Act Local” on the basis of which global brands will be consistent and have the same positioning in all markets. The lecturer then discussed the global branding strategies, including identifying differences in consumer behaviour and adjusting branding programs. To build a global brand, a firm needs to ask various questions on its strength and consumer preferences. He then discussed the global CBBE, the core brand building blocks required. The lecturer gave some questions for us to ponder on global brand positioning and defined the 10 Commandments for this. Group discussion: We began collecting the project parts and putting them together. We agreed to begin working on the presentation from next week after we finish editing the project work. Read More