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03/25/22 Brand Management Dr.Adi Zakaria Afiff PowerBook 1400c/166

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04/20/23

Brand Management

Dr.Adi Zakaria AfiffPowerBook 1400c/166

Understanding the Brand

What is a Brand?

Brand: to burn Name, term, sign, symbol or design, or a combi-

nation of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of competition.” (Kotler, 1997)

How About These Brands?

Coca Cola & Sony: consumer goods Citibank and DHL : service orgz CNN & BBC : electronic media Ralph Lauren & C. Dior: cosmetics Tiger Wood & David Becham: athletes World Cup & Olympics: events

Brand Definition

Brand is therefore a product, but one that adds other dimensions that differentiate it in some way from other products designed to satisfy the same need (Keller, 2003)

Genuine Brand is the internalized sum of all impressions received by customers and consumers resulting in a distinctive position in their “mind’s eye” based on perceived emotional and functional benefits (Knapp, 2000)

The Role that Brands Play

• Identification• Responsibility• Risk reducer• Search cost reducer• Promise• Symbolic device• Signal of quality

• Identification• Responsibility• Risk reducer• Search cost reducer• Promise• Symbolic device• Signal of quality

For the Consumer

• Identification• Legal protection• Signal of quality• Means of associations• Source of comp adv• Source of fin. returns

• Identification• Legal protection• Signal of quality• Means of associations• Source of comp adv• Source of fin. returns

For the Company

Source: Keller, 2003

What can be Branded?

Physical Goods Services Retailers and Distributors On-line Products and Services People and Organizations Sports, Arts and Entertainment Geographic Locations Ideas and Causes

The Role of Brand in Marketing

The Marketing Philosophy: Marketing Concept

Starting Point Focus Means Ends

Target Mkt Need Integrated Mkt Profit through

Cust. Satisfaction

Process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others.

More simply: Marketing is the delivery of customer satisfaction at a profit.

Marketing

Marketing Mgmt Process

STPMarketingObjectves

Marketing Program;1.Product2. Price3. Place 4. Promotion

1. Advertising2. Sales Promotion3. Personal Selling4. Direct Marketing5. Public Relations

MarketingImplementation

Evaluation& Control

MacroEnvironment

MicroEnvironment

Business Mission

Planing & Organizing Implementation Controlling

Marketing Philosophy: Marketing Concept and Customer Concept

STPMarketingObjectves

Marketing Program;1.Product2. Price3. Place 4. Promotion

1. Advertising2. Sales Promotion3. Personal Selling4. Direct Marketing5. Public Relations

MarketingImplementation

Evaluation& Control

MacroEnvironment

MicroEnvironment

Business Mission

Planing & Organizing Implementation Controlling

Strategic Marketing &Tactical Marketing

STPMarketingObjectves

Marketing Program;1.Product2. Price3. Place 4. Promotion

1. Advertising2. Sales Promotion3. Personal Selling4. Direct Marketing5. Public Relations

MarketingImplementation

Evaluation& Control

MacroEnvironment

MicroEnvironment

Business Mission

Tactical Marketing

Strategic Marketing

Planing & Organizing Implementation Controlling

Brand Management Focus

STPMarketingObjectves

Marketing Program;1.Product2. Price3. Place 4. Promotion

1. Advertising2. Sales Promotion3. Personal Selling4. Direct Marketing5. Public Relations

MarketingImplementation

Evaluation& Control

MacroEnvironment

MicroEnvironment

Business Mission

Tactical Marketing

Strategic Marketing

Planing & Organizing Implementation Controlling

Market Characteristics: Consumer >< Business

Market

Consumer Mkt

B2B Mkt

Large # of customersSmall amount of purchaseConsumer buying

Small # of customersLarge amount of purchaseDerived demandProfessional Buying

The Brand Management Organization

The History of Brand Management: Periode Pertumbuhan Merek Produsen Nasional

(1870 –1914) Periode Tantangan Baru dan Metode Manajemen

Baru (1915 –1929) Periode Lahirnya sistim Brand Management, yang

diabaikan (1930 –1945) Era Brand Managers (1950 –kini)

Source: Low & FUllerton, 1994

Changes in Businesses and Consumers

The Product Concept Days The Market Concept Emergence The Big Brands The Realization of Brand Value The Greater Focus on Brand-

Consumer Relationships

Source: Temporal, 2002

Changes in Brand Management

Change from an industry to a market focus Change from tactical to strategic thinking Change from local market to global market focus Change from product to category management Change from product to corporate branding Change from product to customer relationship responsibility Change from managing brand performance to brand equity Change from financial accountability to social responsibility

Source: Temporal, 2002

Brand Leadership: the New Imperative

Tactical & Reactive Less Experienced Shorter time horizon Brand Image Short-term financials Single products/market Simple brand structure Single Country Coordinator of limited options External Consumer Focus Brand Image

Strategic & Visionary Higher in the organization Longer time horizon Brand Equity Brand Equity Measures Multiple products/markets Complex brand architecture Global perspectives Team Leader Internal as well as external Brand Identity

Source: Aaker, 2003

Customer Based Brand Equity

Brand Pyramid

Intense, active loyalty

Positive, accessible

reactions

Points of Parity and Difference

Deep, Broad Brand

Awareness

Cons.- Brand Resonance

Brand Salience

Brand Imagery

ConsumerJudgements

Consumer Feelings

Brand Performance

Hello Kitty: The Power of Brand Equity

Background: a brand based on the cartoon character of a small cat that looks kind and cute, has a button nose, two black dot eyes, six whiskers and a ribbon or flower in her hair. The brand is produced by Sanrio (Japan) and is already 25 years old, Hello kitty is an icon with a global appeal. In 1998 (during recession) the brand success has multiply its company profit by13 times!!. Originally for children but now is attractive to women.

Current product line: 15,000 items (from paper to cafes)

The Brand Revisited

Source: Tybout &Carpenter, 2001

Building Customer Based Brand Equity

Choosing Brand Elements

Developing Marketing Programs

Leverage of 2nd associations

Brand Awareness

Brand Associations

Brand Building Tools & Objectives Consumer Knowledge Effects Branding Benefits

Brand Loyalty

Source: Keller, 2003

Building Customer Based Brand Equity

Brand Positioning

Brand Management Focus

STPMarketingObjectves

Marketing Program;1.Product2. Price3. Place 4. Promotion

1. Advertising2. Sales Promotion3. Personal Selling4. Direct Marketing5. Public Relations

MarketingImplementation

Evaluation& Control

MacroEnvironment

MicroEnvironment

Business Mission

Tactical Marketing

Strategic Marketing

Planing & Organizing Implementation Controlling

Positioning: The Foundation of Building a Strong, Unique and Favorable Brand Knowledge Structure

The product in the consumer’s mind (Ries & Trout, 1991)

The act of designing the company’s offer and image to occupy a distinctive place in the target market’s mind (Kotler, 2003)

The way we want customers to perceive, think and feel about our brand versus competitive entries (Czerniawski & Maloney, 1999) 1

Nike >< Adidas

You don’t win silver, you lose gold. There is no finish line. Nike

Every player, every level, every game. Earn Them. Adidas

Brand Identity Nike >< Adidas

• Individual• Rebel • Performance• USA

• Individual• Rebel • Performance• USA

Nike

• Teamwork• Achievement• Performance• Germany/Europe

• Teamwork• Achievement• Performance• Germany/Europe

Adidas

Positioning Statement

To Target Customer Group and Need, Brand is the brand of Competitive Framework that Benefit. The reason is Reasons Why. The brand character is aaaa, bbbb, cccc, and dddd (brand character).

Hypothetical Positioning Statement Daia

To low Income and Price Sensitive Household , Daia is the brand of low price laundry detergent that provides value to consumers. The Reasons are:

Local quality chemical materialsExtensive DistributionLower price compared to competitors Moderate cleaning powerUnique advertising

The brand Identity is value, funny, and caring

Section 3: Positioning

Target Market

Reasons CustomerBelieve us

Hypothetical Positioning Statement Lux

To women who sees beauty as important , Lux is the brand of a quality and reasonable bathing soap that makes their skin soft and radiant, bringing out beauty. The Reasons are:

Parfume in soaps Good feelings on skin Extensive Distribution Popular women celebrities used in marketing communications

Moderate price

The brand Identity is femine, beauty, celebrities, and caring

Section 3: Positioning

Target Market

Reasons CustomerBelieve us

Building Customer Brand Equity: Brand Elements

04/20/23

Building Customer Brand Equity: Brand Elements & Marketing Programs

Adi ZakariaPowerBook 1400c/166

Building Customer Based Brand Equity

Choosing Brand Elements

Developing Marketing Programs

Leverage of 2nd associations

Brand Awareness

Brand Associations

Brand Building Tools & Objectives Consumer Knowledge Effects Branding Benefits

Source: Keller, 2003

Perceived Differently in product performanceGreater LoyaltyCommand larger marginsGreater trade coop/supportIncrease Mark. Comm. EffectivenessYield licensingSupport brand extensions

Brand Elements

Choosing Brand Elements

Developing Marketing Programs

Leverage of 2nd associations

Brand Awareness

Brand Associations

Source: Keller, 2005

Perceived Differently in product perfromanceGreater LoyaltyCommand larger marginsGreater trade coop/supportIncrease MarComm EffectivenessYield licensingSupport brand extensions

Brand Names

Characters.

Logo &Symbol

Slogans

Jingles

Packaging

Criteria for Choosing Brand Elements

Memorability Meaningfulness Likability Transferability Adaptability Protectability

Brand Element Changes

Back to Understanding the Brand

Three Great Dilemmas in Brand Management

Brand Extensions Brand Revitalization Brand Deletion

Brand Challenges

Savvy Customers Brand Proliferation Media Fragmentation Increased Competition Increased Costs Greater Accountability

Daftar Pustaka:1. Blair, Mark; Richard Armstrong and Mike Murphy (2003), The 360 Degree

Brand in Asia, John Wiley & Son

2. Keller, Kevin L. (2003), Strategic Brand Management, New Jersey: Prentice Hall

3. Temporal, Paul (2002), Advanced Brand Management, John Wiley & Sons

4. Kellogg on Marketing(2001), John Wiley & Son

5. etc