Brand Equity Brand Equity

Presented by:
NIHARIKA
IMBA-4517
AA name, name, term, term, sigh, sigh, symbol, symbol, or or design, design,
or or aa combination combination of of them, them, intended intended to to
identify identify the the goods goods or or services services of of one one
seller seller or or group group of of sellers sellers and and to to
differentiate differentiate them them from from those those of of
competitors competitors
- - Kotler Kotler
0atur08 0atur08
rands identify the source or maker rands identify the source or maker
of a product of a product
rands also perform valuable rands also perform valuable
functions for firms functions for firms
rands signal a certain level of rands signal a certain level of
quality so that satisfied buyers can quality so that satisfied buyers can
easily choose the product again easily choose the product again
dvantag08 of Strong Brand8 dvantag08 of Strong Brand8
mproved perceptions of product mproved perceptions of product
performance performance
Greater loyalty Greater loyalty
Less vulnerability to Competitive Less vulnerability to Competitive
Marketing Actions Marketing Actions
Less vulnerability to Marketing Crises Less vulnerability to Marketing Crises
Larger Margins Larger Margins
More nelastic Consumer Response More nelastic Consumer Response
to Price ncreases to Price ncreases
More Elastic Consumer Response to More Elastic Consumer Response to
Price Decreases Price Decreases
Greater Trade Cooperation and Greater Trade Cooperation and
Support Support
ncreased Marketing ncreased Marketing
Communications Effectiveness Communications Effectiveness
Possible Licensing Opportunities Possible Licensing Opportunities
Additional rand Extension Additional rand Extension
Opportunities Opportunities
The The added added value value endured endured on on
products products and and services, services, reflected reflected in in
how how consumers consumers think think feel, feel, and and act act
with with respect respect to to the the brand, brand, as as well well as as
in in the the prices, prices, market market share, share, and and
profitability profitability the the brand brand commands commands for for
the the firm firm..
- - Kotler Kotler
0atur08 0atur08
rand equity is the Marketing effects rand equity is the Marketing effects
and outcomes that accrue to a and outcomes that accrue to a
product with its brand name product with its brand name
rands are one of the most valuable rands are one of the most valuable
assets a company has assets a company has
rand equity is one of the factors rand equity is one of the factors
which can increase the financial which can increase the financial
value of the brand value of the brand
ements that can the inc:ded in ements that can the inc:ded in
the va:ation of brand eq:ity the va:ation of brand eq:ity
inc:de: inc:de:
- - Changing market share Changing market share
- - Profit margins Profit margins
- - Consumer recognition of logos and Consumer recognition of logos and
other visual elements other visual elements
- - rand language associations made by rand language associations made by
consumers consumers
- - Consumers perceptions of quality and Consumers perceptions of quality and
other relevant brand values other relevant brand values
ow to Build Brand Equity ow to Build Brand Equity
Target your Audience Target your Audience
Get the Consumers Attention Get the Consumers Attention
- - Create public awareness Create public awareness
- - Design an advertisement Design an advertisement
Make the public remember your brand Make the public remember your brand
- - Plan your marketing campaign Plan your marketing campaign
- - Design marketing materials Design marketing materials
uild a solid brand image uild a solid brand image
Reinforce the brand image within the Reinforce the brand image within the
company company
- - Design orientation programme Design orientation programme
- - Emphasize your brand image Emphasize your brand image
- - Create incentives Create incentives
Building and Managing Brand Equity Building and Managing Brand Equity
ntroduction ntroduction
- - ntroduce a quality product ntroduce a quality product
Elaboration Elaboration
-- Make the brand easy to remember Make the brand easy to remember
Fortification Fortification
-- The brand should convey a consistent The brand should convey a consistent
image image
Simpl0 Brand Building Strat0gi08 Simpl0 Brand Building Strat0gi08
Find a need and fill it Find a need and fill it
Align your communications Align your communications
Rally the troops Rally the troops
Make it easy to do business with you Make it easy to do business with you
Give your deal customer a name Give your deal customer a name
Have a happy hour Have a happy hour
Listen and learn Listen and learn
Do a little detective work Do a little detective work
a80 Study of NKE a80 Study of NKE
randing randing
Powerful marketing mechanism Powerful marketing mechanism
Leads to higher and consistent Leads to higher and consistent
product quality product quality
ncreased innovation ncreased innovation
Provide consumer information Provide consumer information
Brand Equity Brand Equity
Represent the customers Represent the customers
perceptions perceptions
Ability to capture consumer Ability to capture consumer
preference and loyalty preference and loyalty
rand awareness and preference rand awareness and preference
NKE'S Mark0ting Expan8ion Strat0gi08 NKE'S Mark0ting Expan8ion Strat0gi08
Economies of scale Economies of scale
Shared distribution channels Shared distribution channels
Large scale size Large scale size
Efficient use of production facilities Efficient use of production facilities
lobal Sourcing lobal Sourcing
KE KE has has relocated relocated production production of of its its
footwear footwear and and clothing clothing to to 51 51 countries countries
where where its its 33
rd rd
party party production production units units
employ employ more more than than 55,,00 00,,000 000 people people
Brand mag0 Brand mag0
Ability to change premium price by Ability to change premium price by
establishing an "image establishing an "image
- - Access to new and different markets Access to new and different markets
- - Premium product placement in retail Premium product placement in retail
leading to higher sales leading to higher sales
- - mage & celebrity endorsements create mage & celebrity endorsements create
hopes, dreams and emotional hopes, dreams and emotional
attachment attachment
to product to product
nnovation nnovation
Difficult for competitors to imitate Difficult for competitors to imitate
- - Difficult for competitors to compete Difficult for competitors to compete
- - Ability to compare market Ability to compare market
- - Strong R&D Strong R&D
Geographical Outreach Geographical Outreach
- - ncrease company growth potential ncrease company growth potential
- - Cross Cross- -subsidization of weaker subsidization of weaker
markets markets
Product Diversification Product Diversification
- - ew products readily accepted ew products readily accepted
Other strategies adopted by KE Other strategies adopted by KE
- - Sponsorship for sporting events Sponsorship for sporting events
- - Advertisements Advertisements
a80 Study of McDonald a80 Study of McDonald
rand Equity rand Equity
- - Added value to product and services Added value to product and services
- - Consumer response Consumer response
Customer ased rad Equity Customer ased rad Equity
- - Positive customer based brand equity Positive customer based brand equity
rand Equity as a ridge rand Equity as a ridge
rand Equity Models rand Equity Models
Aakers Model Aakers Model
- - rand loyalty rand loyalty
- - rand awareness rand awareness
- - Perceived quality Perceived quality
- - rand Association rand Association
- - Other proprietary assets (patents, Other proprietary assets (patents,
Trade Trade
Mark, Channel relationships) Mark, Channel relationships)
Brand d0ntity Brand d0ntity
rand rand dentify dentify is is aa unique unique set set of of brand brand
association association that that the the brand brand strategist strategist
aspires aspires to to create create or or maintain maintain these these
associations associations represent represent what what the the brand brand
stands stands for for and and imply imply aa promise promise to to
customers customers from from the the organization organization members members
rand rand indentify indentify should should help help establish establish aa
relationship relationship between between the the brand brand and and the the
customer customer by by generating generating aa value value
proposition proposition involving involving functional, functional, emotional emotional
or or self self expressive expressive benefits benefits
Strategic rand Analysis Strategic rand Analysis
- - Competitor Analysis Competitor Analysis
- - Trend rand mage Trend rand mage
- - rand dentity System rand dentity System
- - Value Preposition credibility Value Preposition credibility
McDonald has one of the successful brand McDonald has one of the successful brand
the company has 26 billion of business in the company has 26 billion of business in
more than 79 countries more than 79 countries
The most successful brands The most successful brands
McDonald Core dentity McDonald Core dentity
- - Consistent food quality Consistent food quality
- - Fast service Fast service
- - Cleanliness Cleanliness
- - Focus on family and kids Focus on family and kids
McDonald Extended identity McDonald Extended identity
- - Convenience Convenience
- - Most Convenient Most Convenient
- - Quick Service Quick Service
McDonald Value Proposition McDonald Value Proposition
- - Good Taste Good Taste
- - Prizes, premium and Games Prizes, premium and Games
- - Fun for kids Fun for kids
- - Warmth to adults Warmth to adults