4 products and branding

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4 Products & Branding


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Products

Companies such as Proctor & Gamble sell billions of

dollars worth of products and product lines

Consumers buy more than just a particular product

The promise, image, company, name, package,

and ingredients are all part of the product, as are the

stores where it is sold.

http://www.pg.com/company/index.jhtml


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What is a product?

Anything that can be offered to a market for attention,

acquisition, use or consumption that might satisfy a

want or need. It includes physical objects, services,persons, places, organisations and ideas (Kotler et al.,

2002).

Any physical object, service, idea, person, event,

place, or organisation offered to satisfy consumers

needs and wants (Harrell, 2002).


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Product Levels


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Product Strategy

Individual Products:

Attributes (style, design,

features, quality)

Packaging, labelling

Product support services

Product Mix:

Line length, stretching &filling

Depth and width

BRANDING

Dalrymple & Parsons/Marketing Management 7th edition: Chapter 7 31

Add ng An Item: Fou B andAdd ng An Item: Fou B and

TypesTypes

Product Category

Existing New

Existing Lin

Ex n ion

Br nd

Ex n ionBrandName

New F nk r

Br nd

N w

roduc


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Product Line Extensions


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Strategic Marketing Tools

Growth: Ansoff's Matrix is used as a

strategic marketing planning tool to evaluate

strategies for increasing sales

Product Life Cycle: product development

stages


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Consider the positionand role of the newproduct compared withthe existing one

This involves sellingmore products andservices into currentmarkets throughcreative pricing andaggressive sales

Existing products will haveto be sold in new markets,current distributionchannels may beunsuitable and new onesmust be found

This may be risky,consider you levels ofknowledge andunderstanding of thenew market place

Ansoff Matrix

Source: www.piebusiness.info/marketing/ Images/Ansoff_r2_c4.jpg


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Product Life-Cycle


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New Product Development Strategy

Different strategies

for different stages in

the Product Life Cycle

(PLC)

Rogers (1995) Diffusion of Innovations


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Example


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What is a Brand?

A brand is a name, term, sign, symbol, or design

which is intended to identify the goods or services

of one seller or group of sellers and todifferentiate them from those of competitors.


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Consumer Behaviour Matrix

Co pl x

Disso a

i gHabit al

Va i ty

s ki g

Sig ifi a tiff s

b t b a s

F iff s

b t b a s

High

i volv t

Lo

i volv t


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Branding Strategy

Brands are powerful assetsthat must be carefullydeveloped / managed.

Brands with strong equityhave many competitiveadvantages:

High consumer awareness

Strong brand loyalty

Helps when introducing newproducts

Less susceptible to pricecompetition


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Brand Positioning

Jobber, 2008


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The Concept of Brand Equity

Brand equity:

different outcomes result in the marketing of a product

orservice because of its brand name

It concerns the added value reflected in how consumers

think, feel and act in relation to the brand

Measured in terms of the marketing effects uniquelyattributable to the brand


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Brand Equity Two models

Components of brand equity (Kotler & Keller 2005):

Brand knowledge

Brand esteem

Differentiation

Relevance

Brand Equity assets and liabilities (Aaker 1991)

Brand loyalty

Brand awareness

Perceived quality

Brand associations

Brand assets


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Brand Positioning

Jobber, 2008


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Figure 6.2b F

irst Direct brand


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Figure 6.4 Brand building over time


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Brand strategy


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Case Study: Swiss Army Knife


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Task

Use the brand

positioning model and

your knowledge of brandstretching & extensions to

explain the success of the

Swiss Army Knife .

How would you furtherdevelop the brand?

4 products and branding

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