Branding Concepts

Branding Concepts - Branding Concepts Branding Concepts Dr....

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Unformatted text preview: Branding Concepts Branding Concepts Dr. Kenneth N. Thompson University of North Texas Marketing Foundations 2/25/2008 University of North Texas 1 Overview Marketing Foundations Branding definitions Types of `brands' Branding strategies Family branding Individual brands Brand extension Cobranding Overbranding and re-branding re- Characteristics of a good brand name. 2/25/2008 University of North Texas 4 2/25/2008 University of North Texas 1 Branding Concepts Branding Definitions Marketing Foundations 2/25/2008 University of North Texas 5 A Brand is... Marketing Foundations Any name, term, symbol, sign, design, or unifying combination of these that identifies one product from another competitive product. 2/25/2008 University of North Texas 6 2/25/2008 University of North Texas 2 Branding Concepts A Brand Name is... Marketing Foundations The verbal part of the brand i.e. the spoken part. 2/25/2008 University of North Texas 7 A Logo is... Marketing Foundations A brand name or company name written in a distinctive way (short for "logotype") 2/25/2008 University of North Texas 8 2/25/2008 University of North Texas 3 Branding Concepts A Brand Mark is Marketing Foundations A unique symbol that is part of a brand.... The logo can be incorporated into the brand mark 2/25/2008 University of North Texas 9 More Brand Marks... Marketing Foundations 2/25/2008 University of North Texas 12 2/25/2008 University of North Texas 4 Branding Concepts A Trademark is... Marketing Foundations ...a legally protected brand name or brand mark. A registered trademark gives a marketer proprietary k t i t rights to a symbol or name. 2/25/2008 University of North Texas 13 A Servicemark... Marketing Foundations ...provides the same identifying function for services that a trademark provides for goods. It also can be legally protected by registration. 2/25/2008 University of North Texas 14 2/25/2008 University of North Texas 5 Branding Concepts Examples of Service Marks Marketing Foundations 2/25/2008 University of North Texas 15 Trade Characters A type of brand mark Marketing Foundations Pillsbury Dough Boy 2/25/2008 University of North Texas 18 2/25/2008 University of North Texas 6 Branding Concepts Pillsbury Doughboy Marketing Foundations 2/25/2008 University of North Texas 19 Marketing Foundations "Hi, I'm Speedy Alka-Seltzer." "Mama mia, that's a spicy meatball!" Local 2/25/2008 University of North Texas Local 20 2/25/2008 University of North Texas 7 Branding Concepts Energizer Bunny Marketing Foundations Mr. Whipple Jolly Green Giant & Sprout Mrs. Olson Chiquita Banana 2/25/2008 University of North Texas 21 Betty Crocker... Marketing Foundations 2/25/2008 University of North Texas 22 2/25/2008 University of North Texas 8 Branding Concepts Betty Crocker products... Marketing Foundations 2/25/2008 University of North Texas 23 Betty Crocker lines... Marketing Foundations 2/25/2008 University of North Texas 24 2/25/2008 University of North Texas 9 Branding Concepts Generic Brand Names Marketing Foundations Describe a product or an item that is part of our standard vocabulary. names: Nylon, Generic kerosene, escalator, cellophane, formica. cellophane formica Potential generic names: Vaseline, Kleenex, Frisbee, Rollerblades. 2/25/2008 University of North Texas 25 Protecting Against Becoming "Generic" Trade Mark Registration Use generic product category name with trademarked name "Kleenex brand facial tissue" "Scotch brand cellophane tape" "Vaseline brand petroleum jelly" Marketing Foundations Remind of trademark status with advertising Xerox Rollerblade Sue trespassers! 2/25/2008 University of North Texas 26 2/25/2008 University of North Texas 10 Branding Concepts Basic Types of Brands Manufacturer's Brands Name is owned and advertised by the manufacturer Green Giant Peas Black Decker Bl k & D k Tools Whirlpool Appliances Distributor's Brands Name is owned and advertised by intermediary Jewel Peas Generic Products "No"No-name" product in plain package with stark lettering Marketing Foundations Craftsman Tools Craftsman Tools Kenmore Kroger's Peas Kenmore Appliances Appliances 2/25/2008 University of North Texas 27 Producer's Brand Marketing Foundations Al called Manufacturer's Brands & f t ' B d Also ll d M National Brands Advantages to middlemen Product is "pre-sold" to target customers Stronger brand preferences, higher turnover rates Producer must promote, maintain quality Middlemen do not lose customers; brand loses University of North Texas 28 2/25/2008 2/25/2008 University of North Texas 11 Branding Concepts Producer's Brand Marketing Foundations Disadvantages to middlemen Offers lower profit margins for middlemen Manufacturer maintains control; may y withdraw at any time Customers may go elsewhere for brand if do not stock 2/25/2008 University of North Texas 29 Middlemen's Brands Also called Distributor's Brands, Dealer's Brands, P i L b l S B d Private Labels, & Store Brands Advantages to middlemen Buy at lower prices Higher margins even with lower retail prices Dealer maintains control Supplier control Marketing mix control Market control Marketing Foundations 2/25/2008 University of North Texas 30 2/25/2008 University of North Texas 12 Branding Concepts Middlemen's Brands Marketing Foundations Disadvantages to Middlemen Responsible for quality, promotion Assume inventory risk, if must buy in large quantities Lower turnover than Producer's Brands 2/25/2008 University of North Texas 31 Tara Foods... Marketing Foundations 2/25/2008 University of North Texas 34 2/25/2008 University of North Texas 13 Branding Concepts Generic Brands or Products Marketing Foundations Not branded, not promoted branded Label identifies contents only Information required by law History Sell at 40% less than national brands; 10-15% of private brands First appeared in 1978 In 80% of grocery stores by 1982, accounting for 12% of sales Share declining, but still strong for "undifferentiated" products 2/25/2008 University of North Texas 35 Branding Product Lines F il Family Brands I di id l Individual Brands Marketing Foundations 2/25/2008 University of North Texas 36 2/25/2008 University of North Texas 14 Branding Concepts Coke & Pepsi Family Branding... Marketing Foundations 2/25/2008 University of North Texas 37 Advantages of Family Brands Marketing Foundations M arketingFoundations Common image helps launch new products Easier -- less work to develop awareness, stimulate product trial Faster -- more rapid customer acceptance Cheaper -- economies of scale in promotion, p p distribution Greater "shelf" recognition for brand 2/25/2008 University of North Texas 38 2/25/2008 University of North Texas 15 Branding Concepts Types of Family Brands Marketing Foundations Corporate Family Brand Product Line Family Brand 2/25/2008 Brand name is the company name DelMonte, Kellogg, Heinz, Hunt, Honda Brand name is `linked' to company name Quaker Oats, General Mills Common brand for each line in mix Sears: Kenmore, Craftsman, Weather Beater University of North Texas 39 Corporate Family Brands Marketing Foundations 2/25/2008 University of North Texas 40 2/25/2008 University of North Texas 16 Branding Concepts Corporate Family Brand... Marketing Foundations 2/25/2008 University of North Texas 41 Corporate Family Brands Corporate Brand Name Linked with Individual Brands Marketing Foundations 2/25/2008 University of North Texas 42 2/25/2008 University of North Texas 17 Branding Concepts Corporate Family Brands Marketing Foundations Corporate Brand Name Linked with Individual I di id l Brands 2/25/2008 University of North Texas 43 Disadvantages of Family Brands Failure may produce a negative effect on sales of other products Lady Friskies Marketing Foundations New product may not "fit" Cannot perceive of product with this brand name Goodyear PC Ben-Gay Aspirin University of North Texas 44 2/25/2008 2/25/2008 University of North Texas 18 Branding Concepts BenGay... Marketing Foundations 2/25/2008 University of North Texas 45 Individual Brand Names Marketing Foundations Each product item is branded separately; lives & dies on its own Also called `multiple branding' Best when firm produces products that are very different & vary in quality Procter &Gamble 2/25/2008 University of North Texas 46 2/25/2008 University of North Texas 19 Branding Concepts P&G Product Mix Marketing Foundations 2/25/2008 University of North Texas 47 Individual Brands Advantages Marketing Foundations Avoids confusion over image if products are very different Target different market segments with similar products Can encourage "variety seeking variety seeking" No repercussion with new product failure 2/25/2008 University of North Texas 48 2/25/2008 University of North Texas 20 Branding Concepts Individual Brands Disadvantages Marketing Foundations Harder to launch new products No economies of scale Cannibalization of sales 2/25/2008 University of North Texas 49 Brand Extension New product launched in a different product category diff t d t t using same brand name... Marketing Foundations 2/25/2008 University of North Texas 50 2/25/2008 University of North Texas 21 Branding Concepts Marketing Foundations 2/25/2008 University of North Texas Bic was among the first t fi t to systematically use brand extension. Bic's initial introductions... 51 1959 Marketing Foundations When BIC pens first arrive on the American scene, consumers are quite skeptical, because so many inferior pens had been introduced in the U.S. market by other manufacturers. To overcome this, BIC creates an exciting national television campaign to tell consumers that this ballpoint pen, "Writes First Time, Every Time!"-- and for Time!"-only 29 cents! 2/25/2008 University of North Texas 52 2/25/2008 University of North Texas 22 Branding Concepts Classic BIC Ad Marketing Foundations 2/25/2008 University of North Texas 53 1973 Marketing Foundations BIC Lighter, today s Lighter today's number one selling lighter in North America, is introduced. Subsequently, BIC creates the memorable slogan "Flick Your BIC". 2/25/2008 University of North Texas 54 2/25/2008 University of North Texas 23 Branding Concepts BIC Parfum Marketing Foundations 2/25/2008 University of North Texas 55 Marketing Foundations 2/25/2008 University of North Texas 56 2/25/2008 University of North Texas 24 Branding Concepts Tupper Toys Marketing Foundations Brand Extension -building on a distinctive benefit & customer franchise... 2/25/2008 University of North Texas 58 Distinctive ingredient ..... Marketing Foundations 2/25/2008 University of North Texas 60 2/25/2008 University of North Texas 25 Branding Concepts Benefits, distinctive ingredients conveyed to new product! Marketing Foundations 2/25/2008 University of North Texas 62 Marketing Foundations Same product in different form! Distinctive Taste! 2/25/2008 University of North Texas 63 2/25/2008 University of North Texas 26 Branding Concepts Twip .... From cereal to fuel additives, chewing tobacco... Marketing Foundations 2/25/2008 University of North Texas 64 Brand Extension Marketing Foundations Benefits Immediate awareness Image transference Reduce costs & risk of introduction Problems Lack of image or `brand meaning' transference Goodyear PCs Gerber Singles Ben-Gay Aspirin Endust Electronics Duster Repercussion Lady Friskies Gatorade mouthwash? 2/25/2008 University of North Texas 65 2/25/2008 University of North Texas 27 Branding Concepts Marketing Foundations Does this brand extension make sense?? 2/25/2008 University of North Texas 66 When Can Brand Extension Work? Same product in a different form New companion product Same customer franchise Distinctive taste/ ingredient/ component in new item Marketing Foundations Jello Pudding Pops, Pops Starburst Jellybeans Colgate Plus Toothbrush Visa traveler's checks, checks Tupper Toys Arm & Hammer deodorant, deodorant Trix Fruit Snacks 2/25/2008 University of North Texas 67 2/25/2008 University of North Texas 28 Branding Concepts When Can Brand Extension Work? Expertise conveyed to new product Benefit/ attribute/ feature conveyed to new product Designer Image/ Status conveyed to new product Marketing Foundations Canon copy machines, Endust Electronics Duster Ivory shampoo connotes purity/mildness Polo sunglasses & Guess Watches 2/25/2008 University of North Texas 68 Brand Licensing Marketing Foundations 2/25/2008 University of North Texas 69 2/25/2008 University of North Texas 29 Branding Concepts Brand Licensing Marketing Foundations Brand name "rented" to another producer. Coke does not manufacture or market the watches 2/25/2008 University of North Texas 70 HarleyHarley-Davidson Marketing Foundations Harley Davidson i has engaged in extensive licensing practices 2/25/2008 University of North Texas Cigarettes Beer Clothes Cologne Coffee Cups Candy MC Accessories 71 2/25/2008 University of North Texas 30 Branding Concepts Marketing Foundations http://www.enetis.net/~grissop/mcbeercans.html 2/25/2008 University of North Texas 72 Marketing Foundations 2/25/2008 University of North Texas 73 2/25/2008 University of North Texas 31 Branding Concepts Dorito's Example Marketing Foundations Licensing the Looney-Tunes `brand' http://www.doritos.com/zone.html http://www.warnerbros.com/ 2/25/2008 University of North Texas 74 CoCo-Brands or Joint Brands Marketing Foundations 2/25/2008 University of North Texas 76 2/25/2008 University of North Texas 32 Branding Concepts CoCo-branding Marketing Foundations Alliance between two brands ... Both brands bring meaning to product... Both brands predominantly displayed on package... 2/25/2008 University of North Texas 77 AA & Citibank VISA Most initial cob d brands were i in credit cards Marketing Foundations 2/25/2008 University of North Texas 78 2/25/2008 University of North Texas 33 Branding Concepts Cranberry Newtons Marketing Foundations Co-brand between Nabisco & Ocean Spray 2/25/2008 University of North Texas 79 Healthy Choice Marketing Foundations Healthy Ch i C H lth Choice Cereals l Co-brand between Kellogg & Healthy Choice 2/25/2008 University of North Texas 80 2/25/2008 University of North Texas 34 Branding Concepts Reese's Example Marketing Foundations One of my f i ! favorites! Reese's adds value to Puffs 2/25/2008 University of North Texas 81 Lay's Example Marketing Foundations Food products are a growing area where g g co-branding is used. Co-brand offers new taste opportunities! 2/25/2008 University of North Texas 83 2/25/2008 University of North Texas 35 Branding Concepts Product Line and Category Extensions Product Line Extension Flanker Brands Product Category Extension 2/25/2008 Marketing Foundations An additional item in an existing product line or category Carries the same brand name Black & Decker Product Category Extension Power handtools Produc Line ct Exten nsions Small appliances Can opener Coffee maker Toaster oven etc. An additional item in an existing product line Carries a different brand name A new item or line of items in a new product category Same or different brand name University of North Texas 85 ReRe-Branding Changing a brand name... Marketing Foundations 2/25/2008 University of North Texas 86 2/25/2008 University of North Texas 36 Branding Concepts "Chix" to "Dundee" Marketing Foundations 2/25/2008 University of North Texas 87 CHALLENGE Support the brand's positioning of "Pet as Hero", integrate the mandated Friskies worldwide overbrand approach unifying dog food and cat food brands, and maintain existing brand equities to avoid alienating current consumers. id li i Marketing Foundations SOLUTION The Friskies overbrand was added to the Alpo medallion, and subtle changes were made to contemporize the Alpo logotype and heighten quality impression. Engaging headshots of dogs and cats, utilizing different breeds for different flavors, replaced the previously unappealing product photography. The t Th strong and recognizable background color was maintained, and d i bl b k d l i t i d d based on our assessment of retail display conditions, the product name on the front panel of the bag was moved lower for improved readability when bags are stacked flat at retail 2/25/2008 University of North Texas 88 2/25/2008 University of North Texas 37 Branding Concepts Ford 500.... Marketing Foundations 2/25/2008 University of North Texas 91 Brand Equity Marketing Foundations Value attached to the brand Meaning g inherent in image that adds value Image of the brand 2/25/2008 University of North Texas 93 2/25/2008 University of North Texas 38 Branding Concepts Using Brand Equity Marketing Foundations Use equity to Line Extensions launch new Brand Extensions products Cobrands Equity may Brand licensing Coke be sold to Harley Davidson other firms 2/25/2008 University of North Texas 94 Characteristics of Good Ch i i fG d Brand Name How to find a brand name... Marketing Foundations 2/25/2008 University of North Texas 95 2/25/2008 University of North Texas 39 Branding Concepts Brand Name Criteria Marketing Foundations Easy to remember & pronounce Bounty Short and distinctive AlkaAlka-Seltzer Invokes a positive connotation Therma Silk Suggests product function Quick Metal Suggests an image Joy Perfume Lone Star Beer Communicates attributes & benefits Zip Drive Avoids linguistic traps ( Exxon (word had no prior meaning ) 2/25/2008 University of North Texas 96 Build Brand Names Around Key Benefits Identify key benefits desired by customers in target market List the descriptive words that describe these benefits List part-words (morphemes) associated partwith descriptive words Identify alternative brand names that project benefits by combining descriptive words and/or morphemes 2/25/2008 University of North Texas 97 Marketing Foundations Test Customer Reactions ( (focus groups) g p) 2/25/2008 University of North Texas 40 Branding Concepts Loctite Example Benefits Strong Reliable Easy to use Morphemes.. Dura, Stren, Meta, Depen, Las, Tes, Simp, Quik, Fas Described by... Durable, Strength, Metal, Dependable, Lasting, Tested, Simple, Quick, Fast Brand Name Marketing Foundations Quick Metal 2/25/2008 University of North Texas 98 2/25/2008 University of North Texas 41 ...
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This note was uploaded on 03/27/2008 for the course MKTG 3650 taught by Professor Thompson during the Spring '08 term at North Texas.

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