What is a Brand?What is a Brand? A brand is a name, term, design, symbol, A brand is a name, term, design, symbol,

or combination of these elements that or combination of these elements that identifies a product or services and identifies a product or services and distinguishes it from its competitorsdistinguishes it from its competitors

http://www.businessweek.com/interactive_reports/top_brands.html

When is a Brand Used?When is a Brand Used?

Identify one product, a family of related Identify one product, a family of related products, or all products of a companyproducts, or all products of a company

Each brand is differentEach brand is different Some may want to portray a brand that is Some may want to portray a brand that is

known for quality and reliabilityknown for quality and reliability• Another may want to portray fun and excitementAnother may want to portray fun and excitement

Elements of BrandingElements of Branding

Brand NameBrand Name

Trade NameTrade Name

Brand MarkBrand Mark

Trade CharacterTrade Character

TrademarkTrademark

Brand NameBrand Name

Also called a product brandAlso called a product brand A word, group of words, letters, or numbers A word, group of words, letters, or numbers

• Represent a product or serviceRepresent a product or service

An effective brand name:An effective brand name: Easily pronouncedEasily pronounced DistinctiveDistinctive RecognizableRecognizable

ExamplesExamples PT Cruiser, Pepsi, Barbie, Pop-Tarts, Big MacPT Cruiser, Pepsi, Barbie, Pop-Tarts, Big Mac

Trade NameTrade Name

Also called corporate brandAlso called corporate brand Identifies and promotes a company or a Identifies and promotes a company or a

division of a particular corporationdivision of a particular corporation The legal name that a company uses The legal name that a company uses

when it does businesswhen it does business Trade Names support Brand NamesTrade Names support Brand Names ExamplesExamples

Procter & Gamble, Dell, Disney, Kellogg’s, Procter & Gamble, Dell, Disney, Kellogg’s, Nike, Yahoo!Nike, Yahoo!

Brand MarkBrand Mark Unique symbol, coloring, lettering, or other Unique symbol, coloring, lettering, or other

design elementsdesign elements Recognizable visually Recognizable visually Does not need to be pronouncedDoes not need to be pronounced ExamplesExamples

http://www.logoinn.net/reviews/design-reviews/16-world-most-recognized-logos

Trade CharacterTrade Character

Specific type of Brand MarkSpecific type of Brand Mark Has human form or characteristicsHas human form or characteristics IconsIcons

TrademarkTrademark

Word, name, symbol, device, or a combination of Word, name, symbol, device, or a combination of these elements that is given legal protection by these elements that is given legal protection by the federal governmentthe federal government

Used to prevent other companies from using a Used to prevent other companies from using a similar element that might be confused with the similar element that might be confused with the trademarked onetrademarked one

® ® means “registered trademark”means “registered trademark”

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Importance of BrandsImportance of Brands

To build product recognition and customer To build product recognition and customer loyaltyloyalty

To ensure quality and consistencyTo ensure quality and consistency

To capitalize on brand exposureTo capitalize on brand exposure Introduce new product linesIntroduce new product lines

Generating Brand NamesGenerating Brand Names 75% of all companies introduce a new 75% of all companies introduce a new

product name every year. product name every year. 250,000 trademarks are registered per 250,000 trademarks are registered per

yearyear 60% of all companies conduct market 60% of all companies conduct market

research to test new brand names before research to test new brand names before they are released to the publicthey are released to the public Once they are established, they are rarely Once they are established, they are rarely

ever changedever changed

Types of BrandsTypes of Brands

National BrandsNational Brands

Private Distributor BrandsPrivate Distributor Brands

Generic BrandsGeneric Brands

National BrandsNational Brands

Also called producer brandsAlso called producer brands Owned by national manufacturers or Owned by national manufacturers or

companies that provide servicescompanies that provide services ExamplesExamples

Colgate-PalmoliveColgate-Palmolive HersheyHershey WhirlpoolWhirlpool

Private Distributor BrandsPrivate Distributor Brands

Also called private brands or store brandsAlso called private brands or store brands Developed and owned by wholesalers and Developed and owned by wholesalers and

retailersretailers ExamplesExamples

Radio ShackRadio Shack Kohl’sKohl’s Wal-MartWal-Mart

Generic BrandsGeneric Brands

Products that do not carry a company Products that do not carry a company identityidentity

Their packages usually features a Their packages usually features a description of the productdescription of the product ““Pancake Mix”Pancake Mix” ““Paper Towels” Paper Towels”

Generally sold in grocery storesGenerally sold in grocery stores Often priced 10-15% lower than private Often priced 10-15% lower than private

distributor brandsdistributor brands

Branding StrategiesBranding Strategies

Brand ExtensionBrand Extension

Brand LicensingBrand Licensing

Brand ExtensionBrand Extension

Uses existing brand name to promote new Uses existing brand name to promote new or improved product in a product lineor improved product in a product line

Ocean Spray drinksOcean Spray drinks Originally just did cranberry juiceOriginally just did cranberry juice CranAppleCranApple CranCherryCranCherry CranGrapeCranGrape

Brand LicensingBrand Licensing

When companies allow other When companies allow other organizations to use their brand, brand organizations to use their brand, brand mark, or trade character mark, or trade character

This is done to increase revenues and This is done to increase revenues and enhance their company imageenhance their company image NFL has licensing arrangements with Pepsi NFL has licensing arrangements with Pepsi

and Visaand Visa• People who like the NFL may use Visa or drink People who like the NFL may use Visa or drink

PepsiPepsi