Morph Marketing

• morph marketing is strategy in which marketer provides a product with an envelope of service...so product with service... example MARUTI service with car, AQUA GUARD providing a water purifying m/c with service every 6 months

Brand as an Asset

• “If Coca Cola lost everything except for ‘the formula’ and its brand name , it could walk into any bank in the world and get $100 billion loan to start from the scratch”Fortune Magazine

What is a Brand?

• A brand is a name, term, sign, symbol, or design which is intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.

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Segments of users

4 Groups of users based on strength of commitment.

• Convertible – highly likely to switch brands • Shallow – not ready to switch but consider alternatives/• Average – comfortable with their choice, unlikely to switch

brands in the near future. • Entrenched – loyal to the brand, unlikely to change in the

foreseeable future.

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Target market

• A market is the set of all actual and potential buyers who have sufficient interests in, income for, and access to a product.

• A market segmentation – a distinct group of homogeneous consumers who have similar needs and behavior and thus require similar marketing mixes.

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Consumer reasons for brand choices – An example

• Past experience• Price• Quality• Personal recommendation• Advertising• Rating on consumer report• Environmental performance

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Naming the Brand

• Product benefits• Product qualities• Easy to pronounce• Should be distinctive• Should not have poor meanings in other

languages and countries

Branding Strategy

Developing a Brand Name

should suggest product benefit or qualityeasy to spell, remember, pronouncedistinctiveno negative connotationsno legal restrictionscannot be immoral, deceptive, scandalous

• Brand management is the application of marketing techniques to a specific product, product line, or brand. It seeks to increase the product's perceived value to the customer and thereby increase and brand equity

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New Branding Challenges

• Brands are important as ever– Consumer need for simplification– Consumer need for risk reduction

• Brand management is as difficult as ever– Savvy consumers– Increased competition– Decreased effectiveness of traditional marketing tools and

emergence of new marketing tools– Complex brand and product portfolios

The Functions • For Consumers / Customers / Corporates• Brands play a role in terms of communication and

identification. • Brands make it easier for consumers to interpret

and digest information on products• The perceived purchasing risk is thus minimized• A brand can also serve as a social business card

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The Functions • For Consumers / Customers / Corporates Consuming certain brands is also a means of

communicating certain beleives• Particularly strong brands can establish the

dominance of premium prices on the market and soften consumer reactions to price changes

• Keep sales levels and market share constant and considerably lessen dependence on short-term special promotions.

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The Functions • For Consumers / Customers / Corporates• A brand unlocks great potential in terms of

licensing opportunities as well, helping companies achieve plans for international expansion

• Finally, brands also offer companies potential for sharpening a clear profile and overshadowing the competition

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Brand Elements

• A variety of brand elements can be chosen that inherently enhance brand awareness or facilitate the formation of strong, favorable, and unique brand associations:

– Brand Name– Logo– Symbol– Character – Packaging– Slogan

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Why ‘branding’ ? What makes a brand strong?How do you build a strong brand?

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•Advantages of branding to manufacturer, intermediaries, customers

• Advantages of branding to manufacturer, intermediaries, customers

• Brand related decisions:– Should a product be branded?– Who should sponsor the brand?– Naming a brand

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Brand Positioning

Brand Positioning (as defined by Kotler) is “ an act of designing the company’s offer and image so that it occupies a distinct and valued in the target customer’s mind”.

Finding a proper ‘location’ in the minds of a group of consumers or market segment so that they think about a product or service in the ‘right’ or desired way.

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Customer-based Brand Equity

Customer-based brand equity occurs when the customer has a high level of awareness and familiarity with the brand and hold some strong, favorable, and unique brand associations in memory.

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4 Steps of Brand Building

1. Ensure identification of the brand with customers with a specific product that meet customer need.

2. Firmly establish the totality of brand meaning in the minds of consumers.

3. Draw out the customer responses to brand identification and brand meaning.

4. Convert brand response to create an intense, active, loyalty relationship between customers and the brand.

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The Product Life Cycle

Time

Sal

es o

r P

rofit

s

Growth

Maturity

Decline

Introduction Profit curve

Sales curve

Establishing brand Positioning• Target market• Points of parity and Points of Difference

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Segmentation bases

• Behavioral– E.g. user status

• Demographic– E.g, age, income

• Psychographic– E.g. values, lifestyle

• Geographic– E.g, local, regional,

international

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Nature of goodNature of good E.g. Semi-finishedE.g. Semi-finished

Buying conditionBuying condition E.g. LocationE.g. Location

DemographicDemographic No of employeesNo of employees Sales volumeSales volume

Consumer Consumer Segmentation BasesSegmentation Bases

Business-to-businessBusiness-to-businessSegmentation BasesSegmentation Bases

Segmentation Criteria

• Identifiability: can segment identification be determined?

• Size: is there adequate sales potential in the segment?

• Accessibility: Can the segment be reached? • Responsiveness: How favorable will the segment

respond to a tailored marketing program

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Points of Parity (POP) andPoints of differences (POD)

Point of Parity a particular dimension or attribute or a brand which a group of consumers believe that is ‘good enough’ or meet their basic expectations.

Point of Difference A particular attribute or

dimension of a brand which a group of consumers likes and perceives as the uniqueness of the brand.

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Point of Differences

Other names:• Competitive Points of Parity • Unique Selling Point

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Positioning Guidelines

1. Defining and communicating the competitive frame of reference

2. Choosing points of parity and points of differences.

3. Establishing points of parity and points of differences.

4. Updating positioning over time

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Brand Values

Cores Brand ValuesSet of abstract associations (Attributes and

benefits) that characterize the 5 to 10 most important aspects or dimensions of a brand.

When you think of a brand, what comes to mind?

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