week 10- brand architecture Flashcards
(30 cards)
deinfe brand architecture
Brand architecture is a strategic roadmap for present and future success.
It provides a hierarchy that explains the relationships between the different products, services, and components that make up your company’s portfolio of offerings.
This architecture gives your existing brand structure so employees and customers understand the value of and relationship between its different parts.
It also creates a roadmap that guides how your brand can scale in the future.
why brands have an architecture
Launch of New Products and Services
Which Brand Elements to apply across products and services
Help consumers understand products and services and organise them in their minds
Brand Architectures are often complex
What is the best way to characterise a brand architecture strategy?
How to choose brand names and other brand elements across a product portfolio?
Role of Brand Architecture
To clarify brand awareness – similarities & differences between products
To improve brand image – maximise transfer of equity b/w brands and products
explain developing a brand architecture stratergy
- defining brand potential
- identifying brand extension opportunities
- branding new products and new services
explain defining brand potential
Three important characteristics:
The brand vision - is management’s view of the brand’s long-term potential e.g., Microsoft: A computer on every desktop and in every home.
The brand boundaries - identifying the products or services the brand should offer, the benefits it should supply, and the needs it should satisfy.
The brand positioning - specificity into a brand vision – consider (1) competitive frame of reference, (2) points-of-difference, (3) points-of-parity, and (4) brand mantra.
explin step 2: identifying brand extension opportunities
Brand extension is a new product introduced under an existing brand name
Line extensions: New product introductions within existing categories (same brand with multiple products category - different target audiences - different price points)
Category extensions: New product introductions outside existing categories
Equity implications of each extension needs to be understood in terms of:
Points-of-parity
Points-of-difference (see following slide
explain 2 brand extension strategies
Line extensions: New product introductions within existing categories
Category extensions: New product introductions outside existing categories
explain step 3: branding new products ans services
New products and services must be branded in a way to maximise the brand’s overall clarity
Branded house and house of brands strategy (See following slides)
Sub-brands: Brand extension in which the new product carries both the parent brand name and a new name
branded house explain
one brand creates single powerful image, sometimes with a descriptor (e.g. fed ex)
explain sub brands
combining the cooperate brand with strong brands
sub brands help differentiate and boost coperate brand
e.g. apple
explain endoresed brands
leading with a strong sub-brand but leveraging coperate brand as endorser
e.g.g marriot
explain house of brands
decentraized companies targeting diverse markets
e.g. P+G
The role of defining branding strategies and brand architecture is two fold:
Clarify – Brand Awareness: Improve the customers understanding and communicate the similarities and differences between individual products
Motivate – Brand Image: Maximise transfer of equity to/from the brand to individual products to improve trial and repeat purchase
explain the product matrix
A product line is a group of products within a product category that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same type of outlets, or fall within given price ranges
A product line may include different brands, or a single family brand or individual brand that has been line extended.
A product mix is a set of all product lines and items that a particular seller makes available to buyers. Thus product lines represent different sets of columns in the brand – product matrix that in total make up the product mix
A brand mix (brand portfolio) is the set of brand lines that a particular seller makes available to buyers
Why does a firm have multiple brands in the same product category?
Market coverage
Pursue different price segments, different channels of distribution, different geographic boundaries etc.
To create internal competition within the firm
To attract consumers seeking variety who may switch
To yield economies of scale in terms of merchandising, sales, advertising
Poorly differentiated brands can also result in cannibalization
explain flankers or fighters
These are protective brands with lesser profit margins
These brands build strong points of parity with competing brands so that stronger brands can sustain their positioning
Many firms are introducing discount brands as flankers to better compete with store brands or private labels and protect the high priced brand companions.
Some firms are repositioning existing brands in their portfolio to play that role
Fighter brands must not be so attractive that they take the sales away from their higher priced comparison brands
At the same time if fighter brands are connected to other brands in the portfolio in ANY way, they must not be designed so cheaply that they reflect poorly on these other brands
explain brand hierachy
company brand level family brand level individual brand level modifier level product developer
explain coperate brand
Corporate brandingis the practice of using a company’s name as a product brand name. It is an attempt to use corporate brand equity to create brand recognition.
Example - IBM, Heinz, Hershey, Coca-Cola, etc….
explain family brands
When a group of products are given the same brand name i.e. different products of company are marketed under one brand name.
Company level associations are less salient
The cost of launching new products can be reduced through family branding
The failure of one product may have adverse effects on the family brand
The pro’s and con’s will determine whether a “Branded house” or a “House of brands” is the more appropriate strategy
explain indivdual brands
Individual branding, also called individual product branding or multi branding.
It is the marketing strategy of giving each product in a portfolio its own unique brand name.
The advantage of individual branding is that each product has an image and identity that is unique.
The disadvantage are difficulty, complexity and expense involved in developing separate marketing programs to build sufficient levels of brand equity.
explain modifiers
Modifier refers to word, phrase or clause that functions as an adjective or adverb to qualify the meaning of other word.
Regardless of whether corporate, family or individual brands are employed it is often necessary to further distinguish brand according to the different types of items or models involved.
Modifiers help communicate how different products within a category that share the same brand name differs on one or more significant attributes e.g., quality or other in the same brand family
define cause related marketing
has been defined as “the process of formulating and implementing marketing activities that are characterized by an offer from the firm to contribute a specified amount to a designated cause when customers engage in revenue-providing exchanges that satisfy organizational and individual objectives.
similar to secondary marketing
advantages of cause related marekting
Building brand awareness—Because of the nature of the brand exposure, CSM programs can be a means of improving recognition for a brand, although not necessarily recall.
Enhancing brand image—Two types of abstract or imagery-related associations to a brand can be linked via CSM: user profiles; and personality and values.
Establishing brand credibility—CSM could affect credibility, because consumers may think of a firm willing to invest in CSM as caring more about customers and being more dependable than other firms, as well as being likable for “doing the right things.”
Evoking brand feelings—CSM may help consumers justify their self-worth to others or to themselves.
Creating a sense of brand community—CSM and a well-chosen cause can serve as a rallying point for brand users and a means for them to connect to or share experiences with other consumers or employees of the company itself.
Eliciting brand engagement—Participating in a cause-related activity as part of a CSM program for a brand is certainly one means of eliciting active engagement.
what is green or environmental marketing
consists of all activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants, such that the satisfaction of these needs and wants occurs, with minimal detrimental impact on the natural environment (Polonsky, 1994).
Companies are increasingly recognising that the environment is an important issue to their customers and shareholders and, therefore, to their bottom lines
From a branding perspective, however, green marketing programmes have not always been entirely successful:
Overexposure and Lack of Credibility—So many companies have made environmental claims that the public has sometimes become skeptical of their validity
Although consumers often assert that they would like to support environmentally friendly products, their behavior doesn’t always match their intentions
Poor Implementation—’Jumping on the green marketing bandwagon’, many firms initially did a poor job. Products were poorly designed, overpriced, and inappropriately promoted
