Brand Analysis of Mobilink Jazz

Introduction

Mobilink Jazz - Presenting a new "Brand Promise"

There are many journeys in life that one goes through. In fact life itself is a journey and a continuous struggle that never ends. Just like all of us, as Mobilink has come a long way, but the journey of brand still continues in this intense and competitive market. Consumers today are much more demanding, and their needs change continuously. The industry & market is extremely fast paced and everyone is fighting for share of mind.

Jazz has always been there for its customers with its unmatched customer quality, network strength and extensive coverage with most competitive offers. Keeping up with its brand promise in 2009 of 'No Samjhotha', Jazz proved to be not only choice of 30 million customers but also the most preferred cellular brand of Pakistan with the highest recommendation and top of mind.

Jazz has almost become part of the lives of its customers, just like a very sincere companion. Unlike any other, Jazz is a connection of millions of expressions and emotions which keeps families & individuals across Pakistan connected all the time with each other. Jazz is that companion you can rely on, just like someone close - Jaise Koi Apna...This brings a new vision for Jazz, and a promise which will strengthen our bond with our customers and bring us closer to them.

Management of Jazz

All the handling of Jazz as well as Indigo, primarily all the advertising which was carried out by Mobilink was under the wing of Orient Media, which is where most of our research took us. Uptill 2007 both the media and the creativity responsibilities were with Orient Media but after that Mobilink brought creativity in-house and kept Orient Media for the media and brand management of Jazz.

Orient Media is one of the largest advertising companies in Pakistan; it is an affiliate of Carat Operations. It is normally the choice of the finest brands that choose to advertise here in Pakistan. Recently they have received contracts from companies like Nokia to do their advertising along with creativity as well. It doesn’t only operate here in Islamabad but also in Karachi and other metropolitan areas of the country.

The Mobilink department inside of Orient Media is in fact their biggest department, as Mobilink is one of their if not their biggest customers. It is in close contact with the brand managers at Mobilink head office as well as the creativity team. Orient Media is currently helping Mobilink formulate its brand strategy as well according to the head of research and operations of the Islamabad office.

The brand managers of Jazz work closely with the finance department, creativity department and Orient Media. These four constitute the major players of the Jazz brand. The finance department decides how much money to spend of advertising depending on the targets set by the higher management.

The revenue targets are actually set by the higher management for all the company and all the departments come together to achieve those targets. The amount of money spent on marketing is decided by what their targets are; also they look at the spending trends of their competitors and deicide on that basis.

What is Brand?

A brand is a name, term, sign, symbol or a combination of them meant to identify the goods and services of one seller or group of sellers and to differentiate them from the competitors. For example, Jazz is a well renowned brand.

Why do Brands matters? Brands really matter for both consumer and manufacturer. From consumer’s point of view:-Identification of source of product: Jazz can be identified in front of the other dominant brands-Assignment of responsibility to product maker: Consumers offer their credence and loyalty with the unstated understanding that the brand Jazz will behave in certain ways and provide them utility through steady product performance and appropriate pricing, promotion, and distribution programs and actions.-Risk reducer: Brands can reduce the risk in product decisions. These risks involve functional, physical, financial, social psychological and time risk. Customers of Jazz know that they will get the best packages:-Search cost reducer: Jazz allows consumers to lower search costs for products both internally and externally-Promise, bond, or pact with maker of product -Symbolic device: Jazz can serve as symbolic device, allowing consumers to project their self-imageSignal of quality: There is difficulty in assessing and interpreting product attributes and benefits so with experience and credence goods, brands may be particularly important signals of quality. All the well known celebrities are associated with Jazz. For example, Ali Zafar.

From manufacturer’s point of view:Jazz helps manufacturers to organize inventory and accounting records. Jazz also offers the firm legal protection for exclusive features of the product. Jazz can preserve intellectual property rights, giving legal title to the brand owner. Jazz can signal a certain level of quality so that satisfied buyers can easily choose the product again. This brand loyalty provides predictability and security of demand for Jazz and creates barriers of

entry that make it difficult for other firms to enter the market. Taken together, this means that Jazz seriously impacts shareholder value, which ultimately makes branding a CEO responsibility.

Customer Based Brand Equity:Customer based brand equity model is that the power of a brand lies in what customers have learned, felt, seen, and heard about the brand as a result of their experience over time. Customer-based brand equity is defined as the differential effect that brand knowledge has on consumer response to the marketing of that brand. There are three key ingredients of this definition: (1) “differential effect,” (2) “brand knowledge,” (3) “consumer response to marketing.”

Brand Equity as a Bridge:The power of a brand, Jazz, lies in the minds of consumers and what they have experienced and learned about it over time. Consumer knowledge drives the differences that manifest themselves in terms of brand equity. This realization has significant managerial implications. According to this view, brand equity provides marketers with an imperative strategic bridge from their past to their future. Brand equity can provide marketers of Jazz with a means to elucidate their past marketing performance and design their future marketing programs.

Building a strong Brand:Jazz, as a brand has revolutionized and has become strong by adhering to the following steps: 1. Ensuring identification of Jazz with customers and as coalition of it in customers’ minds with a distinct product class or customer need. 2. Jazz adamantly establishes the totality of brand meaning in the minds of customers by strategically linking a host of tangible and intangible brand associations with certain properties. 3. Jazz evokes the proper customer responses to brand identification and brand meaning. 4. Jazz converts brand response to create a fervent, active fidelity relationship between customers and the brand. These steps represent intrinsic questions that customers can ask about Jazz: 1. Who are you? (Brand identity) 2. What are you? (Brand meaning) 3. What about you? (Brand responses) 4. What about you and me? (Brand relationship)

Brand Building Blocks: To provide some structure, it is useful to think of progressively establishing six brand building blocks with customers. These brand building blocks can be assembled in terms of a brand pyramid.

Brand Salience: Achieving the right brand identity involves creating Jazz brand salience with customers. It relates to the aspects of the awareness of the Jazz, for example how often and easily Jazz is evoked under various situations? Brand awareness refers to customers’ ability to recall and recognize Jazz, as reflected by their ability to identify it under different conditions.

Brand Performance:Jazz is designed and delivered in such a way that it fully satisfies consumer needs and wants which is a prerequisite for successful marketing. Jazz brand performance relates to the ways in which it attempts to meet customers more functional needs. Customers can view the performance of Jazz in a broad manner. Reliability refers to the consistency of performance of Jazz over time. Durability refers to the expected economic life of it. Serviceability refers to the ease of servicing it. Performance may also depend on sensory aspects such as how it looks.

Brand Imagery:Jazz brand imagery deals with the extrinsic properties of it including the ways in which it attempts to meet customer psychological needs. It is about how people think about Jazz abstractly rather than what they think it actually does. Thus imagery refers to more intangible aspect of Jazz.

Brand Judgments:Brand judgments focus on customers’ personal opinions and evaluation with regard to the brand. To create a strong brand Jazz delivers quality, credibility, consideration and superiority.

Brand Feelings:Brand feelings are customers’ emotional responses and reaction with respect to brand. Brand feelings also relate to the social currency evoked by the brand. Jazz creates the following brand-building feelings 1. Warmth: Jazz makes consumers feel a sense being their own.. 2. Fun: Jazz makes consumers feel amused, playful, and cheerful and so on. 3. Excitement: Jazz makes consumers feel energetic and feel that they are experiencing with something special. 4. Security: Jazz produces a feeling of safety. As according to their own new campaign its yours, ‘apna hai’.5. Self-respect: Jazz makes consumers feel better about them as it belongs to the family of one of the leading cellular service providers. 6. Social approval: Jazz results in consumers having positive feeling about the reactions of others.

Brand Resonance:Brand resonance refers to the nature of the relationship and the extent to which customers feel that they are “in sync” with the brand. The fist dimension is behavioral loyalty in

terms of repeat purchase. How often do customers purchase a Jazz card and how much do they purchase? Behavioral loyalty is important but not sufficient for resonance to occur. To create resonance, there are also needs to be a strong personal attachment. Customers should go beyond having a positive attitude to viewing Jazz as being something exceptional. Creating greater loyalty requires deeper attitudinal attachment, which can be generated by developing marketing programs and products and services that fully satisfy consumer needs. Identification with a brand community may reflect an important social phenomenon whereby customers feel affiliation with other people associated with Jazz. Strong attitudinal attachment or social identity or both are typically necessary, however, for active engagement with Jazz to occur.

Identifying and Establishing Brand Positioning:Brand positioning is defined as the “act of designing the company’s offer and image so that it occupies a distinct and valued place in the target customer’s minds.”Jazz does its positioning by identifying the optimal location of it and its competitors in the minds of consumers to maximize potential benefit to the company. According to customer based brand equity model, deciding on a positioning requires determining a frame of reference by identifying the target market and the nature of competition and the ideal points-of-parity and points-of-difference brand association.

Target Market:A market is the set of all actual and potential buyers who have sufficient motivation, ability and opportunity to buy a product. Market segmentation involves dividing the market into distinct groups of homogeneous consumers who have similar needs and consumer behavior and thus require similar market mixes. There is a criterion under which Jazz segments are targeted. -Identifiably: Can segment identification be easily determined? -Size: Is there adequate sales potential in the segment?- Accessibility: Are specialized distribution outlets and communication media available to reach the segment? -Responsiveness: How favorably will the segment respond to a tailored marketing program?

Looking at the above criteria of market segments, we were actually surprised when we were told that Jazz is has a target market starting from the age of 12-55, both men and female and from the richest to the poorest, which pretty much makes the whole of the market. The catch is that there would be further brand extensions which would be introduced to capture a sub market in the whole set.

From manufacturer perspective the model segments users of Jazz into four groups based on strength of commitment from low to high, as follows: 1. Convertible: High likely to switch brands like Warid, Telenor, Ufone2. Shallow: Not ready to switch, but may be considering alternatives3. Average: Comfortable with their choice of Jazz; unlikely to switch in the future 4. Entrenched: Highly loyal to Jazz; unlikely to change in the foreseeable future

From customer perspective the model also classifies nonusers of a brand into four groups based on their openness to trying the brand from low to high, as follows: 1. Strongly unavailable: Strongly prefer their current brand, Jazz2. Weakly unavailable: Preference lies with their current brand, Jazz, although not strongly 3. Ambivalent: As attracted to the other brand as to their current choice, Jazz4. Available: Prefer the other brand but have not yet switched

Points of Parity:Points of parity are those associations that consumers view as being mandatory to be a legitimate and credible offering within a certain product category. A point of parity is easier to achieve than points of difference. For example there is a minimal difference between Jazz and U-fone; both are telecom brands, giving the freedom to people to talk.

Points of Difference:Points of difference are attributes that consumers strongly associate with a brand positively evaluate, and believe that they could not find to the same extent with a competitive brand. Points of difference may involve performance attributes. Jazz attempts to create a point of difference on overall superior quality and outlining itself as a prestigious brand.

Defining and Establishing Brand Values:Core Brand Values: Core brand values are those set of attributes that characterize the five to ten most important aspects of a Jazz. Core brand values can serve as the basis of brand positioning in terms of how they relate to points of parity and points of difference. Core brand values can be identified through structured process. The first step is to create a detailed mental map of Jazz. A mental map accurately portrays in detail all salient brand associations and responses for a particular target market. Mental maps must reflect the reality of how Jazz is actually perceived by consumers in terms of their beliefs, attitudes, opinions, feelings, images and experiences.

Brand Mantras:A brand mantra is highly related to handing concepts such as brand essence used by others. A brand mantra is an articulation of the heart and soul of the brand. Jazz brand mantra's purpose is to ensure that all employees within the organization and all external marketing partners understand what the brand most fundamentally is to represent with consumers so that they can adjust their actions accordingly. They can provide guidance what ad campaigns to run, where and how Jazz should be sold and so on. Brand mantras can be broken down into three terms brand functions, descriptive modifier and emotional modifier. The brand functions describe the nature of the product. The descriptive modifier is a way to circumscribe the business functions term to further clarify its nature. Finally emotional modifier provides another qualifier in terms of how the brand delivers these benefits. For example Jazz brand function is performance, descriptive modifier is connecting people and emotional modifier is authentic.

Criteria for Choosing Brand Elements

A necessary condition for building brand equity is achieving a high level of brand awareness. There are certain names, symbols, logos and visual properties that make a brand more attention getting and easy to remember and thus contribute to brand equity. In other words brand name should be such which is easily recalled and recognized. For example, Jazz is easy to remember. Jazz selects its brand elements whose inherent meaning enhances the formation of brand associations. Brand elements chosen by Jazz are rich in visual and verbal imagery and inherently fun and interesting. In terms of first three criteria, a memorable, meaningful, and likable set of brand elements offers many advantages to Jazz. The fourth general criterion concerns the transferability of the brand element in both a product category and geographic sense. First, to what extent can the brand element ad to the brand equity of new products sharing the brand elements introduced either within the product class. Second to what extent does the brand element add to brand equity across geographic boundaries and market segments? Adaptability is the fifth general criterion concerns the adaptability of the brand element. Due to changes in customer values and opinions brand elements such as slogans and characters of Jazz are often updated over time. The final criterion concerns the Protect ability of the brand element both in legal and competitive sense. Because suspicious people ask sometimes detail about the Jazz sim before purchase. So manufacturers must legally protect their products by registered their patents.

Brand Awareness:Brand awareness improves the extent to which brand names are chosen that are simple and easy to pronounce. To enhance brand recall, it is desirable for the brand name to be simple and easy to pronounce. Pronunciation also affects the willingness of consumers to order the brand orally. Ideally, the brand name should have a clear, understandable and unambiguous pronunciation and meaning. The way a brand is pronounced can affect its meaning. Jazz exhibits all of these qualities.

Brand Association:It is necessary for the brand to have broader meaning to consumers than just the product category it is in. Jazz-the brand name is a compact form of communication, the explicit and implicit meaning that consumers extract from the name is critical. The brand name is chosen to reinforce an important attribute or benefit association that makes up its product positioning. URL is also commonly referred to as domain names. URL must register and pay for the name with a service, such as, http://www.mobilinkgsm.com/jazz/index.php. The major issue today faced by Jazz with regard to URLs is protection of their brand unauthorized use in domain names. There are many types of logos ranging from corporate names written in a distinctive form. For example Jazz is a strong word mark. Brand characters typically are introduced through advertising and can play a central role in these and subsequent ad campaigns. Brand characters come in many different forms. Some brand characters are animated where as others are live-action figures. Consequently brand characters can be quite useful for creating brand awareness. Characters often must be updated over time so that their image and personality remains relevant to the target market. For example, Ali Zafar is the most recent character associated with Jazz. Slogans are short phrases that communicate descriptive information about the brand. Slogans often appear in advertising but can play an important role on packaging and in other

aspects of the marketing programs. Slogans can play off the brand name in a way to build both awareness and image. For example the slogan of Jazz is "Apna Hai".

The pricing strategy can dictate how consumers categorize the price of the brand and how firm set that price. Consumers may infer the quality of a product on the basis of its price. Jazz has adopted value-based pricing strategies attempting to sell the right product at the right price to better meet consumer wishes. From a branding perspective, it is important to understand all price perceptions that consumers have for a brand.

Setting Prices to Build Brand Equity Jazz is now employing a value-pricing approach to set prices and an everyday-low pricing approach to determine their discount pricing policy over time. The objective of value pricing is to uncover the right blend of product quality, product costs, and product prices that fully satisfies the needs and wants of consumers and the profit targets of the firm. Jazz has successfully been adopting a value-pricing strategy. For instance, Jazz slogan “Apna Hai” describes the pricing strategy that has allowed them to become one of the Pakistan's best sellers. Product value can be enhanced through many types of well-conceived and executed marketing programs. The value pricing point out that the concept does not mean selling the product at lower prices. Consumers are willing to pay premium when they perceive added value in products and services. Jazz have actually have been able to increase prices in some cases by introducing new products.

The secondary key to a successful value-pricing strategy is to lower costs as much as possible. Meeting cost targets invariably requires additional cost Product Prices. The price suggested by estimating perceived value can often be used as a starting point in determining actual marketplace prices, adjusting by cost and competitive considerations as necessary. For example, Jazz has used target pricing to arrive at the price of its luxurious image. Jazz marketers determined the optimal price based on assumptions about the consumer and then figured out how to make the car at the right cost to ensure the necessary profit.

Jazz Employs the following Marketing Communication Options -Media advertising -Online advertising -Event marketing and sponsorship -Publicity and public relations-Direct Response Advertising -Place Advertising

Advertising is any paid form of non personal presentation and promotion of ideas, goods or services by an identified sponsor. Jazz does its advertising through TV, radio, newspaper and magazines. From brand equity perspective television advertising demonstrate the Jazz attributes and consumer benefits. Direct response advertising establish relationship of Jazz with consumers and it helps to explain to consumers new

developments with Jazz as well as allow consumers to provide feedback to marketers as to their likes and dislikes. Marketers also promote Jazz through online advertising by developing their own website. The Jazz website is family friendly, is updated frequently and offers as much customized information as possible, especially for existing customers. Place advertising also called out of home advertising that captures advertising outside traditional media. Place advertising is used by Jazz which includes billboards and posters. Billboards are very effective means for advertising. Jazz billboards are showing up everywhere. Jazz also does In-store advertising which includes ads on shopping carts, cart straps, aisles, or shelves. Event marketing refers to public sponsorship of events. Event sponsorship provides a different kind of communication option for marketers. Jazz does sponsorship for a number of reasons which include, identifying particular target market, to increase awareness of the Jazz in the masses, to create consumer perceptions of key brand image associations, to enhance corporate Jazz image dimensions, to create experiences and evoke feelings, to express commitment to the community and to entertain key clients. Public relations and publicity relate to a variety of programs and are designed to promote a company‘s image and its products. Jazz does its publicity thorough press releases, media interviews, press conferences, feature articles, newsletters, photographs, films and tapes.

There are three steps for designing an ad which are as follows:-A person who works as an ambassador of a product and convey its benefits to target consumers. -The objective of an ad which a company is intended to deliver to target customers. -The target customers/market for whom an ad is designed Developing Integrated Marketing Communication Programs Brand value creation begins with marketing activity by the firm that influences customers in a way affecting how the Jazz performs in the marketplace and thus how it is valued by the financial community. In brand value chain Jazz marketers invest in a shape of by introducing new product, means which he use to communicate, trade and employees to make the product best so that it can be differentiated from others. The ability of marketing program to affect the customer mindset will depend on the quality of that program investment. Four particularly important factors are as follows: -Clarity: Do consumers properly interpret and evaluate the meaning conveyed by Jazz marketing?-Relevance: Do consumers feel that Jazz ad is one that should receive serious consideration?-Distinctiveness: How unique is the marketing program of Jazz from those offered by competitors? -Consistency: How consistent and well integrated is the marketing program of Jazz?

Brand awareness: The extent and ease with which customers recall and recognize the brand and can identify the products and services with which it is associated. For example, Jazz can easily be recalled and recognized

Brand association: The strength, favorability and uniqueness of perceived attributes and benefits for the brand. There can be primary and secondary brand associations For example; Ali Zafar is a secondary brand association to Jazz.

Brand attitudes: Overall evaluations of the brand in terms of its quality and the satisfaction it generates. For example, Jazz is the symbol of quality and satisfaction.

Brand attachment: How loyal the customer feels toward the brand. Jazz customers feel a strong sense of attachment and adherence to the brand. The customers are resistant to change to any other network apart from Jazz and share a strong bond with it.

Customer Multiplier The extent to which value created in the minds of customers affects market performance depends on various contextual factors external to the customer. Three such factors are:-Competitive superiority: How effective are the quantity and quality of the marketing investment of other competing brands such as Telenor, Warid and U-fone-Channel and other intermediary support: How much brand reinforcement and selling effort is being put forth by various marketing partners. -Customer size and profile: How many and what types of customers are attracted to Jazz.

Market Multiplier The extent to which the value engendered by the market performance of a brand is manifested in shareholder value depends on various contextual factors external to the brand itself. These factors are as follows:-Marketing dynamics: What are the dynamics of the financial markets as a whole? -Growth potential: What are the growth potential for Jazz and the industry in which it operates? -Risk profile: what is the risk profile for the Jazz? How vulnerable is Jazz likely to be to those facilitating and inhibiting factors?

Brand contribution:How important is the brand as part of the firm’s brand portfolio and all the brands it has? This means the significance of Jazz as part of Mobilink's portfolio and all other brands it has.

Shareholder Value:Based on all available current and forecasted information about a brand as well as many other considerations, the financial marketplace then formulates opinions and makes various assessments that have direct financial implications for the brand value. Three

particularly important indicators for Jazz are the stock price, the price earnings multiple, and overall market capitalization for the firm.

Designing Brand Tracking Studies:Tracking studies involve collection of information from customers on a routine basis over time. Tracking studies are a means of applying the brand value chain to understand where, how much, and in what ways brand value is being created, thus offering invaluable information about how well a positioning has been achieved. Tracking studies play an important function for Jazz and help managers to be facilitated in their day to day decision making. Tracking studies provide valuable diagnostic insights to Jazz marketers into the collective effects of a host of marketing activities on the customer mindset, marketing outcomes, and perhaps even shareholder value.

What to Track: The tracking study is necessary to customize tracking surveys to address the specific issues faced by the Jazz. Tracking an individual brand Jazz involves measuring brand awareness and image for the particular brand. Awareness measures should move from more general to more specific questions. A range of more general to more specific measures is employed in Jazz tracking surveys to measure brand image, especially in terms of specific perceptions and evaluations. It is also important to measure all associations elated to Jazz that may distinguish competing brands. Brand associations should include all potential sources of brand equity. At the same time it is also important to track more general, higher level judgments, feelings, and other outcome related measures.

When and Where to Track:Tracking studies in general depend upon the frequency of product purchase and on consumer behavior and marketing activity in the product category. One useful tracking approach for Jazz is monitoring brand associations involving continuous tracking studies in which information is collected on continuous basis over time. When Jazz has more stable associations, tracking can be conducted on a less frequent basis.

How to Interpret Tracking Studies:Tracking measures used by Jazz must be reliable and sensitive as possible. One problem with many traditional measures is that they do not change much over time. In this way they reflect the fact. Marketers must identify the real value drivers for Jazz that is, those tangible and intangible points of difference that influence and determine consumers’ product and brand choices. The Brand Product Matrix The brand product matrix is a representation of all the brands and products sold by the firm. The rows of the matrix represent brand product relationships and capture the brand extension strategy of the firm in terms of the number and nature of products sold under the firm’s brands. A brand line consists of all products original as well as line and category extensions sold under a particular brand. The columns of the matrix represent

product brand relationships and capture the brand portfolio strategy in terms of the number and nature of brands to be marketed in each category. The brand portfolio is the set of all brands and brand lines that a particular firm offers for sale to buyers in a particular category.

Breadth of a Branding Strategy The breadth of a branding strategy concerns the number and nature of different products linked to the brands sold by a firm. There are some steps which can be used to measure include aggregate market factors, category factors, and environmental factors.

Aggregate Market Factors:Aggregate market factors for Jazz include the market size, market growth, stage in product life cycle, sales cycle, seasonality and profits.

Category Factors:Category factor is considered attractive if it is the case that the threat of new entrants is low due to the barriers of entry from economies of scale, bargaining power of buyers is low e.g. when the Jazz sim is bought when there is a small percentage of buyers costs, current category rivalry is low when there are few competitors in fast growing markets and few close product substitutes exist in the eyes of consumers and the market is operating at near capacity.

Environmental Factors:External forces unrelated to the product’s customers and competitors that affect marketing strategies. A host of technological, political, economic, regulatory, and social factors will affect the future prospects of a category and should be forecasted.

Depth of a Branding Strategy: The depth of a branding strategy concerns the number and nature of different brands marketed in the product class sold by a firm.

Brand Hierarchy:A brand hierarchy is a means of summarizing the branding strategy by displaying the number and nature of common and distinctive brand elements across the firm’s products. A brand hierarchy is a useful means of graphically portraying a firm’s branding strategy. The highest level of the hierarchy technically always involves one brand the corporate brand.

Corporate Image:Jazz uses a high quality corporate image association which involves the creation of consumer perceptions that a company makes products of the highest quality.

People and Relationships:Jazz has a customer focused corporate image association which involves the creation of consumer perceptions of a company as being responsive to and caring about its

customers. It is likely to be described as listening to customers and having their best interests in mind.

Corporate Credibility:Jazz corporate credibility depends upon three factors: -Corporate expertise: The extent to which a Jazz is seen as able to competently make and sell its service. -Corporate trustworthiness: The extent to which a Jazz is seen as motivated to be honest, dependable and sensitive to customer needs.-Corporate likeability: The extent to which a Jazz is seen as likable, attractive, prestigious, dynamic and so forth.

Recommendations

According to our knowledge and analysis combined with what we have studied in the course, we recommend that its about time Jazz launches a brand extension purely for the youth. Most of the major cellular services provide separate brands for the youth, example we have djuice from Telenor and Glow from Warid. Now we do know that once such a brand extension has failed which was Jazz Octane, some two and a half years ago, but we believe that was due to inappropriate advertising and handling, esp. the name was something which didn’t appeal to the youth. Due to new information coming to light, we no longer believe that Jazz is a weak brand and should be eradicated to introduce a new one, but we do believe in the fact that they should introduce something which appeals only to the youth.The advantages and disadvantages of brand extension can be seen below.

New Products and Brand Extensions:For any company new products and brand extensions are vital and play very much important role in the growth of the company. It entirely depends on the situation and the time where they should be induction of a new brand or to extent the existing brand. When a company introduces a new product, it has three main choices as to how to brand it:-It can develop a new brand, individually chosen for the new product.-It can apply, in some way, one of its existing brands. -It can use a combination of a new brand with an existing brand.

If Jazz opts for Brand extensions it can lower down the costs and risks associated with launching a new product. Since Jazz is already known and popular, using that brand name on a new product (particularly when it’s in the same line as the original product) immediately communicates the same level of awareness and perception. Brand extensions typically garner more shelf space than unknown new product brands. Simply stated, retailers are more likely to stock a new product with a known brand name on it. Again, it’s less risky, and a familiar brand comes with ready-made awareness and perceptions. Brand extensions may require a lower advertising investment. Consumers are already aware of the brand name, Jazz, so advertising to create brand awareness and recognition is not necessary. Instead, advertising money can be invested in more targeted

messaging. Brand extensions can boost the parent brand Jazz by creating increased interest in the brand as a whole and possibly growing the brand’s customer base across the board. Brand extensions can reduce a company’s dependency on one product which could become less popular in the future .It can facilitate new product acceptance and reduce risk perceived by customer, increase the probability of gaining distribution and trial, increase efficiency of promotional expenditures, reduce cost of introductory and follow up marketing programs, avoid cost of developing a new brand, allow for packaging and labeling efficiencies, permit consumer variety seeking, provide feedback benefits to the Parent Brand and Company, Enhance the parent brand image, Bring new customers into brand franchise and increase market coverage and Revitalize the brand

Disadvantages of brand extensions:If Jazz does brand extensions it Can confuse customers, Can encounter retailer resistance, Can fail and hurt parent brand image, Can succeed but cannibalize sales of parent brand, Can succeed but diminish identification with any one category, Can succeed but hurt the image of parent brand, Can dilute brand meaning, Can cause the company to forgo the chance to develop a new brand.

If this brand extension is carried out in a professional manner, I believe it would spell success for the company which is already one of the dominating players of the game. This is probably the only area of the market they have not catered to, and if done so, it would mean the revenues both in the short and long run as well as the fact that Mobilink would be catering to every niche in the market which would help in it becoming a profitable organization.

In our research we found out that brand managers of Jazz think it would be stupid to wipe Jazz out and introduce another brand, but they did think that our idea of launching an extension of Jazz for the youth would be a good idea. We formulated a media strategy as well to go along with our campaign.