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Brand Management. Dr.Adi Zakaria Afiff PowerBook 1400c/166. Understanding the Brand. What is a Brand?. Brand: to burn

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brand management

Brand Management

Dr.Adi Zakaria Afiff

PowerBook 1400c/166

what is a brand
What is a Brand?
  • Brand: to burn
  • Name, term, sign, symbol or design, or a combi-nation of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of competition.” (Kotler, 1997)
how about these brands
Coca Cola & Sony: consumer goods

Citibank and DHL : service orgz

CNN & BBC : electronic media

Ralph Lauren & C. Dior: cosmetics

Tiger Wood & David Becham: athletes

World Cup & Olympics: events

How About These Brands?
brand definition
Brand Definition
  • Brand is therefore a product, but one that adds other dimensions that differentiate it in some way from other products designed to satisfy the same need (Keller, 2003)
  • Genuine Brand is the internalized sum of all impressions received by customers and consumers resulting in a distinctive position in their “mind’s eye” based on perceived emotional and functional benefits (Knapp, 2000)
the role that brands play
The Role that Brands Play

For the Consumer

For the Company

  • Identification
  • Responsibility
  • Risk reducer
  • Search cost reducer
  • Promise
  • Symbolic device
  • Signal of quality
  • • Identification
  • Legal protection
  • Signal of quality
  • Means of associations
  • Source of comp adv
  • Source of fin. returns

Source: Keller, 2003

what can be branded
What can be Branded?
  • Physical Goods
  • Services
  • Retailers and Distributors
  • On-line Products and Services
  • People and Organizations
  • Sports, Arts and Entertainment
  • Geographic Locations
  • Ideas and Causes
the marketing philosophy marketing concept
The Marketing Philosophy: Marketing Concept

Starting Point Focus Means Ends

Target Mkt Need Integrated Mkt Profit through

Cust. Satisfaction

marketing
Marketing
  • Process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others.
  • More simply: Marketing is the delivery of customer satisfaction at a profit.
marketing mgmt process
Marketing Mgmt Process

Business

Mission

STP

Marketing

Objectves

Marketing

Program;

1.Product

2. Price

3. Place

4. Promotion

Marketing

Implementation

Evaluation

& Control

1. Advertising

2. Sales Promotion

3. Personal Selling

4. Direct Marketing

5. Public Relations

Macro

Environment

Micro

Environment

Planing & Organizing

Implementation

Controlling

marketing philosophy marketing concept and customer concept
Marketing Philosophy: Marketing Concept and Customer Concept

Business

Mission

STP

Marketing

Objectves

Marketing

Program;

1.Product

2. Price

3. Place

4. Promotion

Marketing

Implementation

Evaluation

& Control

1. Advertising

2. Sales Promotion

3. Personal Selling

4. Direct Marketing

5. Public Relations

Macro

Environment

Micro

Environment

Planing & Organizing

Implementation

Controlling

strategic marketing tactical marketing
Strategic Marketing &Tactical Marketing

Strategic Marketing

Business

Mission

STP

Marketing

Objectves

Marketing

Program;

1.Product

2. Price

3. Place

4. Promotion

Marketing

Implementation

Evaluation

& Control

Tactical

Marketing

1. Advertising

2. Sales Promotion

3. Personal Selling

4. Direct Marketing

5. Public Relations

Macro

Environment

Micro

Environment

Planing & Organizing

Implementation

Controlling

brand management focus
Brand Management Focus

Strategic Marketing

Business

Mission

STP

Marketing

Objectves

Marketing

Program;

1.Product

2. Price

3. Place

4. Promotion

Marketing

Implementation

Evaluation

& Control

Tactical

Marketing

1. Advertising

2. Sales Promotion

3. Personal Selling

4. Direct Marketing

5. Public Relations

Macro

Environment

Micro

Environment

Planing & Organizing

Implementation

Controlling

market characteristics consumer business
Market Characteristics: Consumer >< Business

Consumer Mkt

Large # of customers

Small amount of purchase

Consumer buying

Market

Small # of customers

Large amount of purchase

Derived demand

Professional Buying

B2B Mkt

the history of brand management
The History of Brand Management:
  • Periode Pertumbuhan Merek Produsen Nasional (1870 –1914)
  • Periode Tantangan Baru dan Metode Manajemen Baru (1915 –1929)
  • Periode Lahirnya sistim Brand Management, yang diabaikan (1930 –1945)
  • Era Brand Managers (1950 –kini)

Source: Low & FUllerton, 1994

changes in businesses and consumers
Changes in Businesses and Consumers
  • The Product Concept Days
  • The Market Concept Emergence
  • The Big Brands
  • The Realization of Brand Value
  • The Greater Focus on Brand-Consumer Relationships

Source: Temporal, 2002

changes in brand management
Changes in Brand Management
  • Change from an industry to a market focus
  • Change from tactical to strategic thinking
  • Change from local market to global market focus
  • Change from product to category management
  • Change from product to corporate branding
  • Change from product to customer relationship responsibility
  • Change from managing brand performance to brand equity
  • Change from financial accountability to social responsibility

Source: Temporal, 2002

brand leadership the new imperative
Tactical & Reactive

Less Experienced

Shorter time horizon

Brand Image

Short-term financials

Single products/market

Simple brand structure

Single Country

Coordinator of limited options

External Consumer Focus

Brand Image

Strategic & Visionary

Higher in the organization

Longer time horizon

Brand Equity

Brand Equity Measures

Multiple products/markets

Complex brand architecture

Global perspectives

Team Leader

Internal as well as external

Brand Identity

Brand Leadership: the New Imperative

Source: Aaker, 2003

brand pyramid

Cons.- Brand

Resonance

Intense, active loyalty

Positive, accessible reactions

Consumer

Judgements

Consumer

Feelings

Brand

Imagery

Points of Parity and Difference

Brand

Performance

Brand Salience

Deep, Broad Brand Awareness

Brand Pyramid
hello kitty the power of brand equity
Hello Kitty: The Power of Brand Equity
  • Background: a brand based on the cartoon character of a small cat that looks kind and cute, has a button nose, two black dot eyes, six whiskers and a ribbon or flower in her hair. The brand is produced by Sanrio (Japan) and is already 25 years old, Hello kitty is an icon with a global appeal. In 1998 (during recession) the brand success has multiply its company profit by13 times!!. Originally for children but now is attractive to women.
  • Current product line: 15,000 items (from paper to cafes)
the brand revisited
The Brand Revisited

Source: Tybout &Carpenter, 2001

building customer based brand equity
Building Customer Based Brand Equity

Consumer Knowledge Effects

Brand Building Tools & Objectives

Branding Benefits

Choosing Brand

Elements

Brand

Awareness

Developing Marketing

Programs

Brand Loyalty

Brand

Associations

Leverage of 2nd

associations

Source: Keller, 2003

brand management focus1
Brand Management Focus

Strategic Marketing

Business

Mission

STP

Marketing

Objectves

Marketing

Program;

1.Product

2. Price

3. Place

4. Promotion

Marketing

Implementation

Evaluation

& Control

Tactical

Marketing

1. Advertising

2. Sales Promotion

3. Personal Selling

4. Direct Marketing

5. Public Relations

Macro

Environment

Micro

Environment

Planing & Organizing

Implementation

Controlling

positioning the foundation of building a strong unique and favorable brand knowledge structure
Positioning: The Foundation of Building a Strong, Unique and Favorable Brand Knowledge Structure
  • The product in the consumer’s mind (Ries & Trout, 1991)
  • The act of designing the company’s offer and image to occupy a distinctive place in the target market’s mind (Kotler, 2003)
  • The way we want customers to perceive, think and feel about our brand versus competitive entries (Czerniawski & Maloney, 1999)

1

nike adidas
Nike >< Adidas
  • You don’t win silver, you lose gold. There is no finish line. Nike
  • Every player, every level, every game. Earn Them.Adidas
brand identity nike adidas
Brand Identity Nike >< Adidas

Adidas

Nike

  • Individual
  • Rebel
  • Performance
  • USA
  • • Teamwork
  • Achievement
  • Performance
  • Germany/Europe
positioning statement
Positioning Statement
  • To Target Customer Group and Need, Brand is the brand of Competitive Framework that Benefit. The reason is Reasons Why. The brand character is aaaa, bbbb, cccc, and dddd (brand character).
hypothetical positioning statement daia

Section 3: Positioning

Hypothetical Positioning Statement Daia
  • Tolow Income and Price Sensitive Household ,
  • Daia is the brand of low price laundry detergent that provides value to consumers.
  • The Reasons are:
      • Local quality chemical materials
          • Extensive Distribution
          • Lower price compared to competitors
          • Moderate cleaning power
          • Unique advertising
  • The brand Identity is value, funny, and caring

Target Market

Reasons Customer

Believe us

hypothetical positioning statement lux

Section 3: Positioning

Hypothetical Positioning Statement Lux
  • Towomen who sees beauty as important ,
  • Lux is the brand of a quality and reasonable bathing soap that makes their skin soft and radiant, bringing out beauty.
  • The Reasons are:
      • Parfume in soaps
        • Good feelings on skin
        • Extensive Distribution
        • Popular women celebrities used in marketing communications
          • Moderate price
  • The brand Identity is femine, beauty, celebrities, and caring

Target Market

Reasons Customer

Believe us

building customer brand equity brand elements marketing programs

Building Customer Brand Equity: Brand Elements & Marketing Programs

Adi Zakaria

PowerBook 1400c/166

building customer based brand equity2
Building Customer Based Brand Equity

Consumer Knowledge Effects

Brand Building Tools & Objectives

Branding Benefits

Choosing Brand

Elements

Perceived Differently in

product performance

Greater Loyalty

Command larger margins

Greater trade coop/support

Increase Mark. Comm.

Effectiveness

Yield licensing

Support brand extensions

Brand

Awareness

Developing Marketing

Programs

Brand

Associations

Leverage of 2nd

associations

Source: Keller, 2003

brand elements
Brand Elements

Logo &Symbol

Brand Names

Characters.

Slogans

Choosing Brand

Elements

Jingles

Perceived Differently in

product perfromance

Greater Loyalty

Command larger margins

Greater trade coop/support

Increase MarComm

Effectiveness

Yield licensing

Support brand extensions

Brand

Awareness

Packaging

Developing Marketing

Programs

Brand

Associations

Leverage of 2nd

associations

Source: Keller, 2005

criteria for choosing brand elements
Criteria for Choosing Brand Elements
  • Memorability
  • Meaningfulness
  • Likability
  • Transferability
  • Adaptability
  • Protectability
three great dilemmas in brand management
Three Great Dilemmas in Brand Management
  • Brand Extensions
  • Brand Revitalization
  • Brand Deletion
brand challenges
Brand Challenges
  • Savvy Customers
  • Brand Proliferation
  • Media Fragmentation
  • Increased Competition
  • Increased Costs
  • Greater Accountability
slide45
Daftar Pustaka:
  • Blair, Mark; Richard Armstrong and Mike Murphy (2003), The 360 Degree Brand in Asia, John Wiley & Son
  • Keller, Kevin L. (2003), Strategic Brand Management, New Jersey: Prentice Hall
  • Temporal, Paul (2002), Advanced Brand Management, John Wiley & Sons
  • Kellogg on Marketing(2001), John Wiley & Son
  • etc