1 / 31

PRODUCT AND BRANDING STRATEGY

PRODUCT AND BRANDING STRATEGY. Prepared for: IBM Program – UC. Marketing Process. Component of Marketing Offering. Value-based price. Attractiveness of the market offering. Product features & quality. Services mix & quality. PRODUCT. Prod. Characteristic & Classification.

hada
Download Presentation

PRODUCT AND BRANDING STRATEGY

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. PRODUCT AND BRANDING STRATEGY Prepared for: IBM Program – UC

  2. Marketing Process

  3. Component of Marketing Offering Value-based price Attractiveness of the market offering Product features & quality Services mix & quality

  4. PRODUCT

  5. Prod. Characteristic & Classification • Product levels: Customer value hierarchy All possible augmentation and transformation the prod offering might undergo in the future Exceeding customers’ expectation On a specific product Customers’ expectation for a specific product Turn the core benefit into the basic product Service/benefit customers are really buying

  6. Prod. Characteristic & Classification • Product classifications • Durability • Tangibility • User • Consumer-Good • Industrial-Good

  7. Product Classification [1] • Durability & Tangibility Classification: • Nondurable goods • Tangible goods normally consumed in one or a few uses. • Ex. Beverage • Durable goods • Tangible goods normally survive many uses, and require more personal selling and service. • Ex. Clothe • Services (intangible) • Intangible, variable, and perishable products. • Ex. Hair dresser

  8. Product Classification [2] • User • Consumer-Goods Classification • Convenience goods Purchase frequently, immediately, with a minimum of effort (e.g. beverage) • Shopping goods Comparing the alternatives based on suitability, quality, price, and style (e.g. clothe) • Specialty goods Unique characteristics or brand identification for which many buyers is willing to make a special purchasing effort (e.g. car – Mercedez) • Unsought goods Buyers don’t know about or don’t normally think of buying (e.g. coffin)

  9. Differentiation • Being different to attract people’s attention • Product • Design • Service Form: size, shape (e.g. cleo) Feature Performance quality Durability Reliability Reparability Ordering (e.g. online) Delivery (e.g. domino pizza) Installation (e.g. IKEA) Customer training (e.g. GE) Customer consulting Maintenance & repair Product return (e.g. US and European market)

  10. Product System & Mix • Product mix has a certain: • Width • How many different product lines the firm carries • Length • Total number of items in the mix • Depth • How many variants are offered of each product in the line • Consistency • How closely related the various product lines are in end use, production requirements, distribution channels, or some other ways

  11. Table 14.1: Product-Mix Width and Product-Line Length for Procter& Gamble Products Width = 5 Product Line Depth = 2

  12. Product-Line Length • Line Stretching • Downmarket Stretch • Strong growth opportunities as mass retailers attract a growing number of shoppers • Tie up lower-end competitors who might otherwise try to move upmarket • Find that the middle market is stagnating or declining • Upmarket Stretch • Enter the high end of the market for more growth, higher margins, or position themselves as full-line manufacturers. • Two-Way Stretch • Serving the middle market might decide to stretch their line in both directions • e.g. Loreal  Maybelline; Teh Botol Sosro  Ice Tea)

  13. service

  14. Categories of Service Mix • Pure tangible good • Tooth paste, soap • Tangible good with accompanying service • Toyota • Hybrid • Café / restaurant • Major service with accompanying minor goods and services • Singapore airlines • Pure service • Massage, beauty salon

  15. Characteristic of Service • Intangibility • Inseparability • Variability • Perishability

  16. Determination of Service Quality • Reliability • Firm’s consistency and dependability in service performance • Responsiveness • Firm’s commitment to provide its services in a timely manner • Assurance • Firm’s competence, courtesy to its customers, and security of its operations • Empathy • Firm’s ability to put itself in its customer’s place • Tangibles • Firm’s ability to manage its tangibles

  17. brand

  18. BRAND • The benefit??? • Control people’s mind  easily to attract  charging higher price • Easy to penetrate the market for new product (under the same brand) • To identify our self from others • Property Right (intellectual property)

  19. Brand Decisions • Building brand identity • Building brand identity requires additional decisions on the brand’s name, logo, colors, tagline, and symbol • Brand equity • The positive differential effect that knowing the brand name has on customer response to the product or service • Customer shows a preference for one product over another when they’re basically identical

  20. Value of Brand Equity • Competitive advantages of high brand equity: • The company will have more leverage in bargaining with distributors and retailers because customers expect them to carry the brand. • The company can charge a higher price than its competitors because the brand has higher perceived quality. • The company can more easily launch extensions because the brand name carries high credibility. • The brand offers some defense against price competition.

  21. Branding Challenges • Branding Decision: To Brand or Not to Brand?

  22. Advantages • Brand name makes it easier for the seller to process orders and track down problems • Seller’s brand name and trademark provide legal protection of unique product features • Branding gives the seller the opportunity to attract a loyal and profitable set of customers • Branding helps the seller segment markets • Strong brands help build corporate image, making it easier to launch new brands and gain acceptance by distributors and consumers

  23. Brand Element Choice Criteria • Memorable • Meaningful • Likable • Transferable • not carry poor meanings in other countries and languages • e.g. SBY berBoedi (Javanese sees it not wise enough; Sumatera Selatanese means liar) • Adaptable • Protectable

  24. Branding Strategy • Develop new brand elements for the new product • Apply some of its existing brand elements • Combine the new brand with existing brand elements

  25. Brand-Sponsor Decisions • Manufacturer brand e.g. BASF • Distributor brand e.g. Acer • Licensed brand name e.g. Stationery Mickey Mouse, Barbie; Apparel Playboy

  26. Branding Decisions • Four available strategies • Individual names • The firm doesn’t tie its reputation to the product (e.g. Paperline, Mirage, Big Boss, Sinar Dunia manufactured by Tjiwi Kimia) • Blanket family names • No need for “name” research or large advertising cost to create brand-name recognition (e.g. Heinz, ABC) • Separate family names for all products • When a firm produces quite different products (e.g. Ace Hardware, Krisbow, Index) • Corporate name combined with individual product names • e.g.,Honda Jazz, Honda CRV

  27. From STP • Segment-by-segment invasion plan • Intersegment cooperation

  28. Selecting & Evaluating Market Segment Single-segment concentration Selective specialization Product specialization Market specialization Full-market Coverage

  29. GAP Inc. • Upscale: • Banana Republic • Mid-market: GAP • Budget-priced: • Old Navy and • Forth & Towne

  30. Telkomsel VS Indosat • Pasca bayar: Halo • Pra bayar: • AS • Simpati • Internet: • Telkom Flash • Pasca bayar: Matrix • Pra bayar: • IM3 • Mentari • Internet: • IM2

  31. Coca-Cola Co. VS Pepsi Co. • Coca Cola • Diet Coke • Cherry Coke • Coca Cola Zero • Sprite • Fanta • (strawberry, orange) • Pepsi Cola • Diet Pepsi • Pepsi Wild Cherry • Pepsi One • 7 UP • Miranda • (strawberry, orange)

More Related