sbm new

STRATEGIC BRAND MANAGEMENT ADV 535

DR. IRA NORMARDIANA YUSOFSenior Lecturer Faculty of Communication & Media StudiesPh.D (University of Salford,Manchester, UK)Masters(University of Bedfordshire,UK)

Instagram:posheira11Facebook:Ira Mardyana Email:• [email protected] • [email protected]

CHAPTER 1 : BRAND

1.1 BRANDING DEFINITION

a brand is “a name ,term,sign,symbol or design, or a combination of them,intended to

identify the goods and services of one seller or group of sellers and to differentiate them

from those of competition”(American Marketing Association,n.d)

Technically,whenever a marketer creates a new name,logo,or symbol for a new

product,he or she has created a brand.

1.2 THE ROLES THAT BRANDS PLAY TO :

FURTHER READING (KELLER, 2013:34)

Copyright © 2013 Pearson Education

1.3 BRAND VS PRODUCT

Brand Product

Has dimensions that differentiate it in some way from other products designed to satisfy the same need

Anything available in the market for use or consumption, that may satisfy a need or want

Can be differentiated on the basis of: • Packaging• Services provided• Customer advice• Financing• Delivery arrangements• Warehousing• Other things valued by the customers

Can be categorized into five levels namely:• Core benefit level• Generic product level • Expected product level• Augmented product level• Potential product level


1.4 Seven Factors Responsible for Branding Challenges/Opportunities


FURTHER READING (KELLER, 2013:52-7)

CHAPTER 2 : BRAND EQUITY and STRATEGIC BRAND MANAGEMENT (SBM)


2.1 THE CONCEPT OF BRAND EQUITY AND SBM

One of the most popular marketing concepts in 1980s was ‘brand equity’.

Aaker (1991:15) defined brand equity as ‘a set of brand assists and liabilities to a brand, its name and symbol, that add to or subtract from the value provided by a product or service to a firm and/or that firm’s customers’.

Keller (2013: 57) defined brand equity as ‘the added value endowed on products’ which also provides a ‘common denominator for interpreting marketing strategies and assessing the value of a brand’.

Meanwhile, Strategic Brand Management (SBM) involves the design and implementation of marketing programs and activities, in order to build, measure, and manage brand equity.

Keller(2013:59) further proposes 4 main steps in SBM process.


2.1 THE CONCEPT OF BRAND EQUITY AND SBM

Key benefits of ‘Brand Equity’ are: Improved perceptions Greater Loyalty Less vulnerability to competitive marketing Less vulnerability to marketing crises Larger Margins Additional brand extension opportunities

2.1 STRATEGIC BRAND MANAGEMENT(SBM)

SBM involves the “the design and implementation of marketing programs and activities to build, measure

and manage brand equity. (Keller, 2013: 58)

4 main steps of SBM process proposed by Keller (2013:58-60)


TASK : Discussion on Each of These 4 Steps:

STEP 1(IDENTIFY AND ESTABLISH BRAND POSITIONING AND VALUES) STEP 1-which mainly about ‘BRAND PLANNING’ involves 3 interlocking models:


Brand Positioning Model-describes how to guide integrated marketing to maximise competitive advantages.

Brand Resonance Model-describes how to create intense, activity loyalty relationships with customers

Brand Value Chain -is a means to trace the value creation process for brands, to better understand the financial impact of brand marketing expenditure and investments.

Points of parity are those elements that are considered mandatory for a brand to be considered a legitimate competitor in its specific category. It is what makes consumer consider your brand, along with your competitors. So before you work on identifying your competitive advantage, you want to make sure you identify what it takes to be a player in your category, and have all these points covered (e.g Secret Recipe cakes vs Delicious cakes)

Points of differentiation are the attributes that make your brand unique. It is your competitive advantage. It is what your brand slogan should reflect. (e.g: 5-year comprehensive car warranty instead of of 3 years.


Brand Mantra(Keller, 2013: 93 )- is a short, three- to -five word phrase that captures the irrefutable essence or spirit of the brand. It is similar to ‘brand essence’ or ‘core brand promise’. (e.g: McDonald’s ‘Food,Folks and Fun’;Nike’s Authentic Athletic Performance’Disney’s Fun,Family, Entertainment )

Implementing Brand mantra (Keller, 2013: 96 ): Communicate- To set brand boundaries and what is unique about the

brand Simplify- An effective brand mantra should be memorable. short, crisp

and vivid Inspire- Tap into employees and customers

Brand Mantra



STEP 2 (PLAN AND IMPLEMENT BRAND MARKETING PROGRAMMES)

• Can be achieved relationship marketing programme like Tesco Clubcard ‘Every little helps’(Keller ,2013:185) which has been considered as one of the world’s most successful retail loyalty schemes.Each of the 10 million members in the loyalty programme has a unique DNA based on the product they buy. Products are classified up to 40 dimensions- such as eco-friendly, health, ready to eat,etc.

• Brand elements in brand marketing programme involve brand names, URLs, logos, symbols, packaging ,slogans whilst leveraging secondary associations means linking brand to certain countries, endorsement, sporting events, awards (Keller ,2013:59).



STEP 3 (MEASURE AND INTERPRET BRAND PERFORMANCE)

• Can be achieved through ‘brand equity management system’(Keller, 2013:60)• ‘Brand equity management system’ can be defined as a set of research

procedures designed to provide timely, accurate, actionable information for marketers to make best possible tactical decisions.

• Also involves ‘brand audit’- a comprehensive examination of a brand to assess its health, uncover its source of equity and suggest ways to improve and leverage that equity.



STEP 4 (GROW AND SUSTAIN BRAND EQUITY) Involves brand architecture (provides general guidelines), brand portfolio (a

collection of different brands for sale to consumers) , brand hierarchy (displays the number and nature of common and distinctive brand components across set of brands)

Also involves brand expansion, reinforcement


2.2 BRAND EQUITY MODELS

Brand equity model as proposed by Aaker(1991:17)



Brand equity model as proposed by Keller (2003)



Brand equity model : Keller(2013) provides guidelines to build on page 108



Brand equity model :Case study-Coke



Brand equity model : Case study-Pepsi


2.3 SOURCES OF BRAND EQUITY


BRAND AWARENESS

Brand awareness consists of ‘brand recognition’ and ‘brand recall’ performance.

Keller (2013:73) defined ‘brand recognition’ as ‘ consumers’ ability to confirm prior exposure to the brand…’In other words, will you able to recognise the brand you have been exposed before?

Keller (2013:73) defined ‘brand recall’ as ‘ consumers’ ability to retrieve the brand from memory…’In other words, will you able to retrieve the brand name by product category?.


Brand Image


2.4 KEY INGREDIENTS OF CBBE

• The CBBE(customer -based brand equity) concept approaches brand equity from the perspective of the consumer (i.e an individual, an organisation, existing/ prospective customer)

• The basic premise of the CBBE is that ‘ the power of a brand lies in what customers have learned, felt,seen, and heard about the brand as a result of their experiences over time’.

• In other words, ‘the power of a brand lies in what resides in the minds and hearts of customers’.

• Keller (2013:69) defines CBBE as, ‘the differential effect that brand knowledge has on consumer response to the marketing of that brand’.

• A brand has a positive CBBE when consumers react more favourably to a product.

• A brand has a negative CBBE when consumers react less favourably to marketing activity for the brand


2.4 KEY INGREDIENTS OF CBBE

• Three Key ingredients of CBBE that are proposed by Keller (2013:69):

• a) differential effect=Brand equity arises from consumer response

• b)brand knowledge =result of consumers’ knowledge particularly what they have learned ,felt,seen and heard

• c) consumer response to marketing=i.e preferences and behaviour such as recall of copy points from an ad, response to a sales promo


2.5 STRATEGIES IN CREATING STRONG CBBE

•Building a strong brand involves four steps: (1) establishing the proper brand identity, that is, establishing

breadth and depth of brand awareness, (2) creating the appropriate brand meaning through strong, favourable,

and unique brand associations, (3) eliciting positive, accessible brand responses, and (4) forging brand

relationships with customers that are characterised by intense, active loyalty. Achieving these four steps, in turn,

involves establishing six brand-building blocks—brand salience, brand performance, brand imagery, brand

judgments, brand feelings, and brand resonance.•The most valuable brand-building block, brand resonance, occurs when all the other brand-building blocks are

established. With true brand resonance, customers express a high degree of loyalty to the brand such that they

actively seek means to interact with the brand and share their experiences with others. Firms that are able to

achieve brand resonance should reap a host of benefits, for example, greater price premiums and more efficient

and effective marketing programs.


Assignment Brief

sbm new

Documents

new product

product performance

branded product

additional product attributes

brand dimensions

empowered consumers

strategic brand management

packaging services