NORTH SOUTH UNIVERSITY

Course Code: MKT – 465

Course Title: Brand Management

Section: 1

Group Project

Submitted To:

Abdullah Al Faruq (AFq)

Lecturer

School of Business

Submitted By:

Noor Jahan Juee ID: 111 0800 030

Shamma Tasnim ID: 1110751030

Sumaiya Suhaila ID: 1010696030Samun Nasir ID: 1020540030

Fariya Hossain ID: 111 1181 030

Submission Date: 21st August, 2013

Letter of transmittal

August 21st, 2013To,

Abdullah Al FaruqLecturer, School Of BusinessNorth South UniversityBashundhara, Dhaka.Subject: Request for acceptance of Group Project

Dear Sir,We are truly delighted to complete our MKT-465 group project. We have generated what we believe to be the most appropriate. We tried our best to complete the task in this very short span of time and with the quality of your expectation. We wish the report would be meeting your expectations and standards.

We truly appreciate this task as it helped us to learn the practical situation from the Marketer’s perspective. We sincerely hope that you will appreciate and accept our report. We have enjoyed working on this group project report and have learnt a lot.

Sincerely yours,

Noor Jahan Juee Shamma TasnimSumaiya SuhailaSamun NasirFariya Hossain

Executive Summery

This report is prepared on MKT-465 titled Brand Management on Aarong It is prepared solely for academic purpose of learning.

We started with a brief overview of our chosen brand Aarong in a general Introduction paragraph.

In our fiest section we have discussed Brand Inventory where the main issues dealt with were Brand Equity Analysis, Description of the Brand Elements and their role, Marketing Mix, Points of Difference, Points of Parity. All relevant aspects has been discussed and it discloses everything in the case in brief.

The next part of the case is Brand Exploratory where issues like Brand Identity, Brand Meaning, Brand Responses, Brand Relationship has been dealt with. In this part we have discussed about presence and standing the market and how they have bonded with their customers.

Key Findings reveal the most important findings in this case. This part is a summary of the pints identified in the prior sections

We have also discussed the Brand Strategies of Aarong, although briefly but we have included maximum points possible considering the restraint on word limit.

And what initiatives’ the company should take for the problems has been discussed in the later part in Recommendation.

Lastly we have outlined a Conclusion where we have ended by stating our views on Aarong’s take on the market as a potent brand.

TABLE OF CONTENTS

PAGE NO.

Introduction 1

Brand Inventory 1

Brand Exploratory 11

Key Findings 12

Brand Strategies 13

Recommendation 14

Conclusion 14

Aarong

Introduction:

Aarong is one of the most popular brands when it comes to high quality, unique and

classy designs. It is a contemporary lifestyle store in Bangladesh, which was

conceived and founded by Shilu Abed. Aarong is a store famous for selling the

country's own products, which are made in Bangladesh. And every Aarong product

represents a beauty of Bangladesh. Everything for sale in Aarong is the country's

own products, which are mainly produced in the village by the village people

themselves. Established in 1978, Aarong is a fair trade organization devoted to bring

about affirmative changes in the lives of disadvantaged artisans and underprivileged

rural women by reviving and promoting their skills and craft. We will be discussing in

details the brand management aspects undertaken and observed by Aarong in our

report.

Brand Inventory

Brand Equity Analysis

Brand Equity:

Brand equity is the mixture of brand awareness and brand association. To get the right

brand equity of a brand analysis of the both brand awareness and brand association is

a must. To identify the brand equity of Aarong we also analyzed these two steps.

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Brand Awareness:

Brand awareness is the stage where people know about the brand, recognize and recall

from any situation. To figure out brand awareness of Aarong we need to analyze how

much consumer recognize and recall the brand.

Brand Recognition:

The uniqueness of the products and the quality put Aarong at the top of the brand

recognition. Aarong’s Nakshikatha and Jamdani Saree is a particular favorite for most

consumers, as it is a rare display of intricate artwork. Such handwork help Aarong to

recognize and put themselves out of the box to identify.

Brand Recall:

Aarong positioned itself in a position that when consumers think about traditional

handcrafted product or artwork Aarong is the first brand that comes to consumers’ mind.

So, it is very clear that Aarong’s brand recall is very strong because of its uniqueness of

its products, the quality and getting involved with the Bangladeshi culture.

Brand Association:

Aarong always try to portray and associate them-selves with the traditional culture.

Their billboards ads show that no matter what they never forget the root of our culture.

Aarong always try to associate with the patriotism, culture lover, and unique artwork and

with the trend that goes around.

Brand Elements of Aarong and Their Role

Brand Name:

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The name Aarong is the strongest brand element of the company. The name plays a

big role for the success of the brand. Consumers identify them and think differently

when they come to know the particular products are from Aarong. It gives Aarong a

competitive advantage in the market.

Logo:

Aarong’s logo is another element to identify them easily. Their logo uses symbol of

handcrafted work and also at the bottom it says its name. Aarong is using the same

logo for a long time, which helped them to differentiate from their competitors.

Uniform Resource Allocator (URL):

As a renowned brand Aarong also has their URL. It helps the consumers to know about

Aarong and their products also the places that they are available.

Aarong’s URL link is:

http://www.aarong.com/

Brand Roles:3

Brand Salience:

Brand salience is how many people know about the brand (brand depth) and how

many sales (brand breadth) it’s generating. Analyzing Aarong we identified that both

Aarong’s depth and breadth are very high. Aarong is known as one of the most famous

brand in Bangladesh and if we consider the sale or how many quantities it sales Aarong

will still be on top.

Brand Performance:

Aarong is always very famous for their quality of the product and reliability. Besides, the

designs that they have for their products also help Aarong to have a positive brand

performance. Their primary and supplementary feature is to uphold the traditional

culture with their unique design. Aarong is always the first choice of the consumers for

their service effectiveness and efficiency.

Consumer Brand

resonance

Consumer Judgment

Brand Performances

Consumer Feelings

Brand Imagery

Brand Salience

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Brand Imagery:

Aarong doesn’t only sale products they upholding the culture and tradition of

Bangladesh. So, when people buy any product from Aarong they have the perception

that they are taking home their tradition with them. This is the image that Aarong able to

create among their consumers.

Brand Judgment:

Brand judgment is the reflector on what basis a brand is judged by its consumers. To

identify that there are four types of brand judgments that are initiate among consumers.

So, for Aarong we have also used the same four types to judge Aarong as a brand:

- Brand Quality: Considering quality Aarong’s product quality is extreme high.

They make sure that their consumers paying for the right quality products. Their

materials, designs are very rich that help Aarong to provide higher quality

products to their consumers.

- Brand Credibility: Aarong is expert in handcrafted product and for artworks. As

they are expert in it so the credibility of their handcrafted products are very high.

When the credibility is high it is very much obvious that consumers’ trust and

likability will also be high.

- Brand Consideration: Aarong is very devoted to the culture and tradition of the

country. They always sell which are related to our culture. So, when consumers

consider Aarong they always consider it as a brand of tradition and culture.

- Brand Superiority: Aarong is superior as a brand because of the unquiness of

its products. Handcrafted products and artworks and dresses with the mixture of

current trend along with the tradition are not usually seen. These are the key

elements that made Aarong a superior brand.5

Brand Feelings:

Brand feelings are the emotional attachments of consumers with the brand. For Aarong

the tie is much stronger, because Aarong sell products which are related to our culture,

tradition and history. People often feel emotional when they think about their country’s

history so attachments with the brand of the consumers are very strong.

Brand Resonance:

Brand resonance occurs when consumers are in sync with the brand. This happens

when loyalty is high and the brand is related intensely with consumers’ life. On basis of

that we tried to identify the brand resonance of Aarong with the following four

categories:

- Behavioral Loyalty: As a strong brand in the market Aarong has such huge

loyal customers of their products who purchase repeatedly of their products and

make them the first choice of buying anything.

- Attitudinal Attachment: When consumers buy Aarong products they either

show positive attitude or negative attitude. Positive attitude are seen when they

think the product they bought are value of and on the other hand negativity are

seen when expectations are not meet accurately.

- Sense of Community: For Aarong such sense of community is seen in women.

Aarong is very much popular among them. Cause women find that Aarong is

giving the value that they are looking for.

- Active Engagement: It is basically relying on particular brands’ products heavily.

There are lot of consumers who are very much involved with Aarong’s products.

Through that they show active engagement with Aarong and also appreciation.

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Marketing Mix:

To grab more markets Aarong need to maintain marketing mix which refers to put the

right product in the right place, at the right price, at the right time.

It is really important for Aarong to design a perfect marketing mix for their brand in order

to compete with the other competitors in the market.

Product:

“Innovation and creativity are at the heart of its product design” Aarong is not only

limited within the clothing products, they sell everything from clay pots to diamonds.

They produce not only traditional products but also non-traditional products. Aarong try

to create trends in every product category. Aarong’s exclusive merchandise offers its

customers wide range of products like:

Mens Brand: Traditional Kurta, Executive Shirts, Maanja, Fotua, Short Kurta, T

Shirt, Shawls/Stoles, Sandals

Women's Brand: Traditional, Western Taaga, Nightwear, Fabrics

Bags

Shoes

Scarves

Textiles

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Fabrics

Wallets

Nakshi Kantha

Though Aarong is a fusion fashion brand, they created a distinct category of clothing for

urban youth. They also emphasize on developing unconventional uses for crafts such

as Nakhshi Kantha and aiding in the revival of these crafts. Aarong continues to set

trends with jewellery. They are the first brand who introduced the use of silver jewellery.

The use of candles as home decoration was also first popularized by Aarong in

Bangladesh and it now leads the market in this segment. They have developed a new

technique for producing a new fabric named Endi. They use the wastage cocoons of

Mulberry silk to produce the fabric. Aarong works with a vast and diverse range of

traditional materials like from silk and cotton fabric to terracotta, bamboo, jute, brass

and leather.

Place:

To sell product, place is the most important thing. Aarong has their own stores at

different locations. Aarong has 7 outlets in Dhaka, 2 in Chittagong, 2 in Sylhet, 1 in

Khulna and their only outside of the country outlet in London. Aarong has placed their

outlets according to the demand of their products. For their consumers convenient they

set up these outlets at their consumers’ nearest places. Statistics say that 3 people

enter an Aarong outlet every second.

Price:

Aarong focuses on innovation, quality, value-based pricing and superior in-store

customer service. Aarong always want to make sure that their consumers getting the

right value on that they are paying. Aarong has products from reasonable to expensive

products. The exclusive products usually cost a bit high. They also have products with

reasonable price for their mass consumers.

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Promotion:

Promotion helps a business to go further. Different companies choose different

promotional activities. Like Aarong they largely focus on billboard ads and print ads.

They don’t usually do TVC and RDC. They have a lot of billboards at different prime

locations. Along with that their ads are seen in different dailies and magazines. In these

ads they try to portray the Bangladeshi culture through their products. The ads convey a

hidden message to encourage buy traditional products and to maintain traditional thing.

Some of their billboard designs are given below:

Point of Difference

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Aarong has competitive advantage over its competitors on almost every factor. Only few

companies have ability to chase some sort of advantage like Aarong. Such as Rina

Latif’s product features, qualities and innovativeness, Kay-Kraft and Anjan’s supplier,

Rang’s color and Khubsoorti’s cost. Aarong’s product designs focus on the various

categories and textures of crafts and designs that have been passed along from

generation to generation among weavers and artisans in craft cores around the country.

And these characteristics make them different from their competitors. Aarong also plays

the role of guardian and supporter of traditional Bangladeshi products and designs. Only

Aarong provides an extensive design library where remnants of our rich craft heritage,

such as Nakshikantha art and Jamdani patterns, have been widely researched and

archived for present as well as future use.

Point of Parity

Every organization tries to bring distinctiveness in their product category which will

make them different from their competitors. But they have some common business

purpose like earning profits, providing best quality products or bring innovativeness in

designs for their customers. In the same way, Aarong and its competitors have some

common similarities.

Brand Exploratory

Brand Identity

There are no households in Bangladesh that do not know about the name of Aarong.

Aarong has good reputation for fine quality products. And consumers are highly aware

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about this as a result they are holding 68% of total handicraft market share in

Bangladesh.

Brand Meaning

The name of the organization Aarong is a Bangla word. It means “a village fair or

market”. The village fair provides craftsmen of all trades a marketplace to display and

sell their traditional handicrafts. The naming of Aarong as such upholds the

organizations commitment to support the ethnic goods of our country, which are a part

of our rich cultural and artistic heritage. It helps vitalize the traditional craftsmanship and

find a wider market for their products nationally and internationally.

The logo of Aarong is an image of peacock. It is spectacularly beautiful because of the

brilliant, iridescent, diversified colorful pattern in its tail. The color of the peacock in the

logo is orange because it represents energy. It wants to emphasize its natural, eco-

friendly products through the emblem.

Brand Response

A brand response contemplates on unrevealed consumer insights of the Aarong name.

The long time success of the brand is a positive indicator that consumers think highly of

the Aarong brand and consider it a reputable and dependable manufacturer of many

suitable and traditional things. Vital words that define the image of the brand as a whole

are as follows: sophisticated, casual, western, traditional and distinct. When one bears

the Aarong name whether it is on a piece of clothing, jewelry, or household item their

self-image changes to model that name.

Perceptions of consumers about the Aarong brand allow it to continue growing at a

successful rate. Because consumers have the conceived notion that Aarong produces

quality lasting products in all departments, they are willing to invest their money in the

name time and again. This ongoing behavioral loyalty and devotion of the consumers

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allow the brand to stay alive and growing. Young generation of our country love to go to

Aarong most because of its’ popularity, high quality and durable products and employee

behaviors.

Brand Relationship

Not only the Aarong name is credible to their consumers, they feel confident and

satisfaction in the products and its quality. Aarong is highly successful to develop a

strong bonding with its customers by providing quality, stylish and durable products to

their customers. In fact, clothing that Aarong produce makes a man, woman or children

feel distinct yet sophisticated, confident and stylish, and often times rich. These are all

worth feelings that many people craving to feel. Consumers can achieve a much-

desired status of satisfaction and emotional fulfillment by purchasing Aarong products.

Key Findings

Throughout our thorough pin pointing out of brand management aspects of Aarong we

have gathered some key findings for some significant major factors. Aarong has

created such heights and such a potent Brand Equity that when it comes to handcrafted

product recall Aarong at first position..

The POD of Aarong shows that they have competitive advantage over its competitors

on almost every factor. If POP is considered only few companies have ability to ccatch

up with Aarong, but Aarong and its competitors have some common similarities. They

all sell their own country products though their design is not similar. And they all try to

maintain the tradition of our country.

Aarong is trusted brand which provides reassurance that they have bought quality

products that their friends will appreciate as it is from Aarong. Only Aarong connects the

modern lifestyle with consumers root, giving them the confidence to reach out for a

more fulfilling life. Vital words that define the image of the brand as a whole are as

follows: sophisticated, casual, western, traditional and distinct as discussed earlier.

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Perceptions of consumers show a concept that Aarong produces quality lasting

products in all departments, they are willing to invest their money in the name time and

again. This ongoing behavioral loyalty and devotion of the consumers allow the brand to

stay alive and growing.

Aarong is highly successful to develop a strong bonding with its customers by providing

quality, stylish and durable products to their customers.

Branding Strategies

First and foremost branding strategy that makes Aarong a unique brand is its innovativeness

and creativity in all its products. One can rest assure that Aarong’s products will never be

available in any other store or boutiques. Each and every product they make is different and

unique from others. The decoration in their stores, helpful sales person, good management,

high quality products and unique designs makes Aarong stand out from other brands. Aarong

also exports its products outside Bangladesh which has great demand there. Aarong’s

products are always special for its customers because it gives feeling that someone in a far

away village is spending his/her entire time and effort just to make this product for us. And this

is not made by some high tech machinery. Secondly, though the products are made in

contemporary designs, still they are fashionable modern and can be worn everywhere and can

be made as a fashion statement in any part of the world. Lastly, Aarong’s most important

branding strategy is, it is always up to date. There are always new clothing lines with new

fashion statements which meet to all its customers’ requirement and expectations.

Recommendations

First recommendation that we would like to suggest is extending stores globally. Whenever we

send gifts abroad we usually send Aarong’s product as they represent our country’s culture

and fashion. And many foreign people also like Aarong’s unique designs. Thus, Aarong can

open stores abroad.

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Secondly, Aarong can start featuring its clothing lines, accessories for different cultural

occasions like Bengali New Year, pohela falgun, Independence Day, victory day and other

religious events. This is because these days, all the cultural events are also celebrated

grandly. Thirdly, Aarong has some competitors in that market who are also offering same kind

of products even with lower prices. Thus, Aarong should also keep an eye on its competitors

and one never knows what strategies the other might follow. Aarong can also go for category

extensions. They can offer their own tailoring and designers for their special customers can

attract more loyal customers. Lastly, Aarong sometimes charge a bit high on certain products

which are not reasonable and can be found in other places with lower prices.

Conclusion.

According to a website, Aarong Reaches out to weavers, potters, brass workers,

jewelers, jute workers, basket weavers, wood carvers, leather workers and more around

the whole country and embraces and nurtures a diverse representation of 65,000

artisans, 85% of who are women. According to another article, Aarong has become the

foundation upon which independent cooperative groups and family-based artisans

market their craft, in an effort to bring the nation’s prestigious handicraft industry on a

international platform of awareness, appreciation and acknowledgement. Aarong’s

exclusive merchandise offers its customers wide range of products which we have

looked into in our report. Aarong is trusted brand which provides reassurance that they

have bought quality products that their friends will appreciate as it is from Aarong. But

they don’t feel excited about the brand. They miss out the excitement. Aarong

encapsulate the rural essence of Bangladesh. And the design they use in their products

always expresses the essence into geometric and technical pattern. And this approach

took Aarong forward in a multitude of application. Only Aarong connects the modern

lifestyle with consumers root, giving them the confidence to reach out for a more

fulfilling life.

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Reference/Bibliography

http://www.aarong.com/

Strategic Brand Management - Richard Elliott  , Larry Percy 

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