Mod 3 CHOOSING BRAND ELEMENTS TO BUILD BRAND EQUITY

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INTRODUCTION TO BRAND ELEMENTS

BRAND ELEMENTS: It is a brand identities awareness & trade mark device that serve to identify & differentiate the brand. Than What is a Brand name ? Brand name is the name that a manufacturer applies to a product or a service. It is one of the main element of a brand that helps the customers identify a brand & diffentiate it from the other. Ex: Bata, Liberty, Levise, woodlands.etc.

Criteria for Choosing Brand Elements

Memorability Meaningfulness Likability
Marketers offensive strategy and build brand equity

Transferability Adaptability Protectability

Defensive role for leveraging and maintaining brand equity

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Memorability
Brand elements should inherently be memorable and attention-getting, and therefore facilitate recall or recognition. For example, a brand of propane gas cylinders named Blue Rhino featuring a powder-blue animal mascot with a distinctive yellow flame is likely to stick in the minds of consumers.

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Meaningfulness
Brand elements may take on all kinds of meaning, with either descriptive or persuasive content. Two particularly important criteria
General information about the nature of the product category Specific information about particular attributes and benefits of the brand

The first dimension is an important determinant of brand awareness and salience; the second, of brand image and positioning. 4.5

Likability
Do customers find the brand element aesthetically appealing? Descriptive and persuasive elements reduce the burden on marketing communications to build awareness.

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Transferability
How useful is the brand element for line or category extensions? To what extent does the brand element add to brand equity across geographic boundaries and market segments?

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Adaptability
The more adaptable and flexible the brand element, the easier it is to update it to changes in consumer values and opinions. For example, logos and characters can be given a new look or a new design to make them appear more modern and relevant.

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Protectability
Marketers should: 1. Choose brand elements that can be legally protected internationally. 2. Formally register chosen brand elements with the appropriate legal bodies. 3. Vigorously defend trademarks from unauthorized competitive infringement.

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Tactics for 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 names URLs Logos and symbols Characters Slogans Packaging
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Brand Names

Brand name is the name that a manufacturer applies to a product or a service. It is one of the main element of a brand that helps the customers identify a brand & diffentiate it from the other.

 Like any brand element, brand names must be chosen with the six general criteria of memorability, meaningfulness, likability, transferability, adaptability, and protectability in mind.

Brand Naming Guidelines

Brand awareness Simplicity and ease of pronunciation and spelling Chevrolet as Chevy Coca-Cola as Coke Wyborowa Polish vodka was supported by a print (VEE-ba-ro-va)

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 Familiarity and meaningfulness Juicy juice 100% fruit juices Newsweek- weekly news magzine. It may be difficult to introduce a soft drink extension for a brand called Juicy juice

 Differentiated, distinctive, and uniqueness Apple computers Xerox Brand associations The explicit and implicit meanings consumers extract from it are important. In particular, the brand name can reinforce an important attribute or benefit association that makes up its product positioning.

 Examples: ColorStay lipsticks Head&shoulders shampoo DieHard auto batteries Close-up toothpaste

Brand Naming Procedures

Define objectives Generate names Screen initial candidates Study candidate names Research the final candidates Select the final name

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 Define Objectives: It is particularly important to define the ideal meaning that the brand should take. It is also necessary to recognize the role of the brand within the corporate branding hierarchy and how the brand should relate to other brands and products.

 Generate Names: Any potential source of names can be used: company management and employees; existing or potential customers; ad agencies, professional name consultants, or specialized computer-based naming companies; and so on. Tens, hundreds, or even thousands of names may result from this step.

 Screen Initial Candidates: The names must be screened based on the branding objectives and marketing considerations identified in step 1, as well as just common sense, to produce a more manageable list. For example, General Mills starts by eliminating the following:

 Name that have unintentional double meaning * Name that are patently unpronounceable, already in use, or too close to an existing name *Name that have obvious legal complications * Name that represent an obvious contradiction of the positioning.

 Study Candidate name: Before spending large amounts of money on consumer research, it is usually advisable to do an extensive international legal search.

 Research the Final Candidates: Often Research conducted to confirm management expectations as to the memorable and meaningfulness of the names. Consumer testing can take all forms. Many firms attempt to simulate the actual marketing program for the brand and consumers likely purchase experiences as much as possible

 Select Final Name: based on all of the information collected from the previous step, mgt. can choose the name that maximize the firms branding and marketing objectives and then formally register the name.

 URL (Uniform Resource Locator): It used to specify location of pages on the web, are also commonly referred to as domain names. Anyone wishing to own a specific URL must register and pay for the name with a service such as register.com.

 Logos : It is a Graphical element that forms a trademark or commercial brand. A logo is design immediate Recognition Logos range from corporate names or trademarks (word marks with text only) written in a distinctive form, to entirely abstract designs that may be completely unrelated to the word mark, corporate name, or corporate activities Symbols :It is a communication tool a brand that is designed for immediate recognition of the brand ,Ex: Barcadi Logo is BAT, UB symbol is King fisher Bird.

 CHARACTERS: Characters represent a special type of brand symbol- one that takes on human or real life characteristics. Brand characters typically introduced through advertising and can play central role in these and subsequent ad campaign and package designs. Like other brand elements brand characters come in many different forms, some brand characters are animated(e.g., Pillsburys Poppin fresh doughboy, (e.g., the Marlboro Cowboy, or Mc Donald)

 Slogans : Slogans are short phrases that communicate descriptive or persuasive information about the brand. Slogans often appear in advertising but can play an important role on packaging and in other aspects of the marketing program. Eg: Big Bazaar: Isse sasta aur achcha kahin nahi.Apple: Think Different.

Classic Slogans
Melts

in your mouth, not in your hands (M&Ms) Sometimes you feel like a nut, sometimes you dont (Almond Joy/Mounds) Wheres the beef? (Wendys) A mind is a terrible thing to waste (United Negro College Fund) Can you hear me now? (Verizon)
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 Jingles: Jingles are musical messages written around the brand. Jingles can be thought of as extended musical slogans and in that sense can be classified as a brand element. Packaging: Packaging involves the activities of designing and producing containers or wrappers for a product. Like other brand elements, packages have along history

Packaging
From the perspective of both the firm and consumers, packaging must achieve a number of objectives: Identify the brand Convey descriptive and persuasive information Facilitate product transportation and protection Assist at-home storage Aid product consumption

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Brand knowledge Brand knowledge refers to the knowledge that a customer has over the brand. It is customers extent of familiarity & understanding of a brands awareness & image. Brand knowledge is a key to creating brand equity, because it creates the differential effect that drives brand equity.

Dimensions of brand knowledge

Brand Awareness Brand Image

Brand knowledge making a brand strong

Brand knowledge consists of 2 components Brand awareness and Brand image Brand awareness : strength of the brand node or trace in memory which can be measured as the consumers ability to identify the brand under different conditions.

Brand knowledge making a brand strong

Brand image : is consumers perceptions about a brand as reflected by the brand associations held in consumer memory. Brand associations for Apple computers User friendly, macintosh,Creative, Eg : Mc Donalds- Quality, service, cleanliness and value, convenience, Ronald Mc Donald,for kids

 Customer based brand equity occurs when the consumer has a high level of awareness and familiarity with the brand and holds some strong, favorable and unique associations in memory.
Brand awareness consists of Brand recognition Brand recall performance.

 Brand recognition :is consumers ability to confirm prior exposure to the brand when given the brand as a cue. Brand recall: is the consumers ability to retrieve the brand from memory when given the product category, the needs fulfilled by the product category or a purchase or usage situation as a cue.

 Brand recognition :is consumers ability to confirm prior exposure to the brand when given the brand as a cue.
When they go to the store, will they able to recognize the brand as one to which they have already exposed?

 Brand recall: is the consumers ability to retrieve the brand from memory when given the product category, the needs fulfilled by the product category or a purchase or usage situation as a cue. Recall of Kelloggs Corn Flakes ability to retrive-what they should eat for break fast or snack.

What is Brand Leveraging?

Brands may be linked to other entities that have their own knowledge structures in the minds of the consumers Because of these linkages consumers may assume or infer that some of the associations that charecterise the other entities may also be true for the brand In effect, the brand borrows some brand knowledge and depending on the associations some brand equity from other entities This indirect approach of building brand equity is referred to as leveraging secondary brand knowledge for the brand

Significance of Brand Leveraging

Brand leveraging may be important

If the existing brand associations are deficient in any way

To create strong, favourable and unique associations and positive responses that may otherwise not be present

To reinforce existing associations in a fresh and unique way

Leveraging Secondary Associations

Brand associations may themselves be linked to other entities, creating secondary associations:
Company (through branding strategies) Country of origin (through identification of product origin) Channels of distribution (through channels strategy) Other brands (through co-branding) Special case of co-branding is ingredient branding Characters (through licensing) Celebrity spokesperson (through endorsement advertising) Events (through sponsorship) 7.45(through awards and Other third-party sources reviews)

Company
Brand leveraging here happens through the branding strategies adopted by the company A corporate brand may evoke associations of
Common product attributes, benefits or attitudes People and relationships Programs and values Corporate credibility

Brands and companies are often unavoidably linked to the category in which they compete
E.g.: Fuel Industry

Country of Origin
Country of origin associations can be done by The location embedded in the brand name

E.g.: Air India

The location combined with the brand name

E.g.: Baileys Irish Cream

The locations becoming a dominant theme in the brand advertising

E.g.: Fosters Australian for beer

Country of Origin
Brand Coca-Cola Country USA

BMW
Gucci

Germany
Italy

Swatch
Fosters

Switzerland
Australia

Channels of Distribution
Channels of distribution can create associations through The products and brands they store The means by which they sell them The advertising and promotion efforts at a retail level The associations related to the store are of key importance

Other Brands Co-branding

Co-branding (aka brand bundling or brand alliance) occurs when two or more existing brands are combined into a joint product or are marketed together in some fashion E.g.: ICICI Bank HPCL Visa Card

Advantages of Co-Branding Borrow needed expertise Leverage equity you dont have Reduce cost of product introduction Expand brand meaning into related
categories Broaden meaning Increase access points Source of additional revenue
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Disadvantages of Co-Branding

Loss of control Risk of brand equity dilution Negative feedback effects Lack of brand focus and clarity Organizational distractions
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Ingredient Branding

A special case of co-branding It contains creating equity for materials, components or parts that are necessarily contained within other branded products E.g.: Dolby noise reduction, Teflon nonstick coating, Intel inside

Characters
Characters are used to leverage brand knowledge through licensing agreements Successful licensors include
Movies Cartoon Strip Characters Television Characters Star Wars, Jurassic Park

Garfield, Snoopy
Sesame Street, Simpsons

Events
Sponsored events can contribute to the brand equity by Improving brand awareness Adding new associations Improving existing associations E.g.: Standard Chartered Marathon, Ponds Femina Miss India, Manikchand Filmfare Awards

Spokespersons Using well-known and admired people to promote products is a widespread phenomenon with a long marketing history The rational behind these strategies is To draw attention to the brand To shape the perception of the brand basis the knowledge and perceptions of the famous person

Third-Party Sources
Marketers can create secondary associations in a number of different ways by linking the brand to various third-party sources. Third-party sources can be especially credible sources. Marketers often feature them in advertising campaigns and selling efforts . Example: J.D. Power and Associates wellpublicized Customer Satisfaction Index

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Third Party Sources

Seals or stamps Agmark, ISI Endorsements from Leading magazines Autocar Experts Hormuzd Sorabji Published studies JD Powers CSI Awards CNBC Car of the Year