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TRANSCRIPT
Nurturing Brand to Grow:
• Understanding & Developing
Brand Architecture
• Managing Strategic Branding
Issues..
Goodyear’s Six Stage Model - Lifecycle of a Brand Goodyear, M. (1996) ‘Divided by a common language: Diversity and deception in the world of global marketing’, Journal of
the Market Research Society, Vol. 38, No. 2, April, pp. 105–122.
Stage One – Unbranded
Products appear as commodities •Commodities, packaged goods, Service offer
•Supplier has power; little effort to distinguish or brand goods •Consumer’s perception of goods is utilitarian
Second Stage - Brand as Reference
The brand is a name used for identification purposes
and for Advertising •Brand name used for identification
• Advertising support focuses on rational attributes
• Consumers primarily value brands for their utilitarian value • Name over time becomes guarantee of quality/consistency
Third Stage -Brand as a Personality
The brand is given a ‘personality’ through the addition of emotional appeals and symbolic values and meanings.
•Marketers give brands personalities because differentiation on
rational/functional attributes exceedingly difficult
•Marketing support focuses on emotional appeal
•Value of the brand becomes self-expression
•Advertising puts brand into context
Fourth Stage - Brand as an Icon
The brand becomes synonymous with those values and meanings and
becomes an icon for the consumers •Consumer now ‘owns’ brand and uses it to create self-identity
•Brand taps into higher-order values of society
•Advertising assumes close consumer-brand relationship
•Use of symbolic brand language
•Brand often established internationally
Fifth Stage Brand as Company
The values of the brand are extended beyond the product to
cover all aspects of the company •Brand has a complex identity and consumers assess them all
•Need to focus on corporate benefits to diverse ‘customers’
•Communications from the firm must be integrated throughout all of their
operations
•Consumers become actively involved in the brand creation process
Sixth Stage – Brand as a Policy
Brand becomes involved in social and political issues, thus allowing consumers to ‘vote’ on issues through the company
•Company and brands aligned to social and political issues
•Consumers ‘vote’ on issues through companies
•Consumers now ‘own’ brands and companies, and are involved in policies
Brand Architecture/Brand Hierarchy:
“The number and nature of
common and distinctive brand elements
applied to the different products sold by the firm”
Soap Shower
Gel
Hand-
wash
Talcum Shampoo Cream/
Moistur
iser
Deo Face-
Wash
New
Category
??
Lux
Liril
Dove
Lifebuoy
Rexona
Pears
Hamam
Breeze
Products
Bra
nds
Brand-Product matrix
Rows (Brand Line)
Brand portfolio strategy
Columns (Product Line)
Brand extension strategy
Breadth/Width -
number of
different product
lines
Length - total
number of items
in product lines
Depth - number
of versions of
each product
Product Mix -
all the product
lines & items
offered
Product Mix Decisions
Co
nsis
ten
cy
Breadth/Width - number of
different product lines
Dabur: Product Ranges • Health Care
– Health Supplements
– Digestives
– OTC-Health Care
• Personal Care – Hair Care
– Oral Care
– Skin Care
• Foods
• Homecare
• Consumer Health-Ethical – General health
– Digestive support
– Joint support
• Professional Range
Breadth/Width: number of different product lines
Breadth/Width of a Branding Strategy
The number and nature of different products linked to the brands sold by a
firm
Aggregate of
market factors
Mkt size
Mkt growth
Stage of PLC
Seasonality
Profits
Category factors
Porter’s five
forces
Category
capacity
Environmental
factors
Technological
Economic
Political
Regulatory
Social
Breadth/Width of Product Mix:
How many product lines a company
should carry ?
Factors effecting
Product category
attractiveness
Depth - Number of Versions of
Each Product
Length - total number of items
in product lines
Dabur: Health Care – Health Supplements
Dabur Chyawanprash
1 kg (Rs. 180.00) 500 gms (Rs.103.00) 250 gms (Rs. 57.00)
Dabur Chyawanprash mango and orange, mixed fruits flavours”
500 gms (Rs.130.00)
250 gms (Rs. 75.00)
Sugar-free Dabur ChyawanPrakash
Chocolate-flavoured granular Dabur Chyawan Junior
Glucose D
Dabur Honey
Digestives Hajmola Regular
Glass Bottle
Sachet
Hajmola Regular
Glass Bottle
Sachet
Hajmola Candy
Mint masti
Albela Aam
Chulbuli Imli
Pudin Hara
Liquid
Pearls
Pudin Hara Lemon Freeze Sachet
Dabur Nature Care
– OTC Health Care
Gastro Intestional Dabur active antacid
Cough & Cold Dabur Honitus
cough remedy syrup
Lozenges
Rejuventation Shilajit gold
Women’s health Dabur active blood purifier
Memory Enhancer Dabur Shankha Pushpi
Medicated Oils Dabur Badam Oil (Tail)
Baby Care Dabur Lal Tail
Dabur Janam Ghunti
Dabur Gripe water
Rubs and Balms Dabur Balm Double action
Depth: number of version
of each product
Length:
total number of items
in product lines
Length and Depth of Product Mix
Depth of Product Mix:
How many variants should be offered in
each product line ?
Issues in
deciding no. of
Product lines
Understanding of
the market
Cost
interdependence
between products
% of sales and
profits contributed by
each item or member
of the product line
The ability of each item
in the product line to
Withstand
competition
Address consumer
needs
Length of the
product line
Apollo Hospitals
Hospitals
Heart Institutes
Cancer Institutes
Institute of Neuroscie
nces
Institute of Orthopaed
ics
Institute of Gastroscie
nces
Transplant Institutes
Emergency
Nephrology and
Urology
Spine Surgery
Institute of Preventive Medicine
Critical Care
Apollo Clinics
Apollo Pharmacy
Apollo Munich Health
Insurance
Apollo global
projects consultanc
y
The Cradle Apollo Life Apollo health street
Breadth/Width: number of different product lines
Length:
total number of items
in product lines
Apollo Hospital Heart Institutes
Pediatric
Cardiothoracic
Thoracic Surgery
Beating Heart Surgery
CABG (Coronary
Artery Bypass Graft)
Heart Transplants
Heart Valve Surgery
Emergency Cardiac Surgery
Interventional Cardiology
Minimally Invasive Cardiac
Surgery
Non-Surgical Closure of Heart
Defects
ClearWay™ RX - Rapid Exchange
Therapeutic Perfusion Catheter
Stem Cell Research
Cardiac Arrhythmia
Apollo Hospitals | Hospital | Hospitals for
Knee, Hip Replacement, Heart Surgery | Best
Hospitals in India
Depth: number of version
of each product
Brand hierarchy Means of summarizing the branding strategy by displaying the number
and nature of common and distinctive brand elements across the firm’s
products revealing the explicit ordering of brand elements.
Rationale :
•To define the role of corporate brand
•To understand the true scope of business
•To investigate presence of brands that overlap
•To explore whether portfolio of brands is large and unwieldy
•To understand future brand extension
Different forms of Brand Hierarchy
Designing a Branding Strategy
Gui
delin
es f
or b
rand
hie
rarc
hy D
ecis
ions
The no. of levels of the hierarchy to use in general Principle of simplicity: As few levels as poss.
Desired awareness and associations at each level Principle of relevance: Create abstract associations that are relevant across as many individual items as possible Principle of differentiation: Differentiate individual items and brands
How to link brands from different levels for a product? Principle of prominence: The relative prominence of brand
elements affects perceptions of product distance and the type
of image created for new products
How to link a brand across products? Principle of commonality: The more common elements shared by products, the stronger the linkages
Strategies for Growth
Introduce New Products
New Brand Existing Brand
Line Extension
Category Extension
Explore New Markets
New Products & Brand extensions
Brand Strategies
Line Extension
Multibrands
Brand Extension BRAND_VIDEO CLIPS\Luxor Nano Clean - Amitabh Bachchan - YouTube.flv
New Brands
Bra
nd
Nam
e
Existing New
Product Category
Existing
New
Managing Brand Portfolio
Managing Existing Brands
Brand Reinforcement
Rebranding
Brand Repositioning
Brand Revitalization
Brand Rationalization
• Brand equity is reinforced by marketing actions that consistently
convey the MEANING of the brand to consumers in terms of
BRAND AWARENESS and BRAND IMAGE.
• Reinforced marketing actions, along with product development,
branding strategies etc. also help in keeping the brand meaning in
terms of products, benefits and needs as well as in terms of
product differentiation intact.
Reinforcing brands…
BRAND_VIDEO CLIPS\Diesel -Kick Ass- Commercial -
Made For Running - YouTube.flv
BRAND_VIDEO CLIPS\Brand Awerness Tigo - Dancer -
YouTube.flv
Execution Process
Brand Reinforcement through Brand
Activation
• Future Generali recently gained entry into the
Guinness Book of World Records for creating
the longest baloon chain (20km) in the world.
• Gillette's Shave India Movement found itself in
the Limca Book of Records (2000 men shaved
their faces in public)
• Oral-B entered the Guinness World Record for
conducting the largest number of free dental
checkups in 24 hours at a single location.
Brand Reinforcement through
Brand Activation • In Nirmal Lifestyle Mall,Mumbai, 361 participants used
Listerine mouthwash simultaneously for 15
seconds…setting a Guinness record
• Fairglow organised a camp under ‘no samjhauta’ campaign
to motivate women to exchange their soaps.
• Himalaya got into Guinness book of records in Mumbai on
29th Nov for completing 240 facials simultaneously
• A rural beauty pageant christened Dabur Amla 'Banke
Dikhao Rani', which recognises and rewards facets such
as sundarta (beauty), susheelta (well mannered) and
yogyata (competency) amongst young girls. The final
decision on the winner was taken unanimously by the hair
expert, village elders including the sarpanch, school
teachers and Aanganwadi workers (village social workers).
• Money transfer service, Western Union (WU) is using its
Yes! campaign in rural market. As part of this activity, when
customers came to the India Post location, they were taken
through a 20-minute presentation by WU promoters on the
region/country their loved one worked in. This was done
with the help of a printed flipchart that had information and
images of important landmarks of that particular country.
Brand Reinforcement through Brand Activation
Rebranding: Brand
Repositioning
Types of Repositioning
Corstjens and Doyle (1989) identified three types of repositioning strategies:
(i) Zero repositioning, which is not a repositioning at all since the firm maintains its initial strategy in the face of a changing environment. E.g.: Cinthol /Nescafe
(ii) Gradual repositioning, where the firm performs incremental, continuous adjustments to its positioning strategy to reflect the evolution of its environment. E.g.: Bajaj, Titan
(iii)Radical repositioning that corresponds to a discontinuous shift towards a new target market and/or a new competitive advantage. E.g: Reebok, Allen Solly
Repositioning of Amul Ghee
Repositioning: Amul Ghee
• The country’s leading dairy products player has re-
launched Amul Ghee (butter oil) in what the company
calls a ‘Gen-X’ avatar.
• The younger generation tends to associate ghee with
their parents or grandparents and think it is not good for
their health or fitness
• So the goal is to reposition the category itself. As a first
step, Amul has changed the packaging and pack
graphics of its most popular ghee brand — Amul Ghee
• Amul at present enjoys a 20 per cent market share in the
packaged ghee market, which is estimated to be around
100,000 tonnes per annum.
Repositioning: Amul Ghee • Mumbai-based brand solutions and designing agency DMA
Yellow Works (D Y Works), was chosen by Amul to come up
with a trendy design of the ghee packs. “When we took up
the project, we looked at Ayurveda and came up with the
‘one-spoon-a-day’ mnemonic,” Alpana Parida, president, D
Y Works, says.
• One of the corners of the packet was flattened out and
highlighted in green to prominently display the mnemonic.
The new packet also carries the picture of an energetic
consumer. “We have tried to build an entire fitness story
around the design. In contrast, the earlier design had an old-
worldly charm with a lady churning ghee.
AMUL GHEE
OLD NEW
Rebranding: Brand Revitalization
Brand Revitalization
• Inject life into a Mature Brand
• Enhance Brand Equity: Improved
Recognition, Enhanced Perceived Value,
Changed Associations, An Expanded
Consumer Base, and Increase Loyalty.
• Movement from Milking Cash Cows to
Brand Restage (Stars) in a Competitive
Context.
Approaches to Re-vitalization
1. Expanding Brand Awareness/New
Usage BRAND_VIDEO CLIPS\Rooh Afza Ad.flv
2. Improving Brand Image
3. Entering New Markets
Brand Portfolio Rationalization
1. Migration Strategy Madura Garments
2. Acquiring new customers
3. Retiring/Killing Brands
Why kill a Brand?
• 90 of the 100 brands launched in a given period
is likely to under perform or fail…
• Should company continue with the brand??
• Too many brands selling can cause: » 1. Jamming of the Resources.
» 2. Incur hidden cost
» 3. Suffer from dis-economics of scale.
» 4. 80/20 rule…
• Solution: Improve performances by deleting loss
making, weak and marginally profitable brands.
• Serves both customers and shareholders.
Eliminating Brands
• Company has no fear of Customer
backlash
• Generally done to brands which has gone
through PLC
• Eg. Pontiac by General Motors.
• Nokia N-gage by Nokia
• Ganga soap by Godrej.
Thank You