BMGT451 Brands and Brand Loyalty Notes What is a brand o A brand adds dimensions to a product or service that differentiate it from other products or services designed to satisfy the same needs o Promise of value o Brand symbol o Tagline Advantages of Brands o For consumers brands Identify the source of a product Signal product service quality Reduce search costs Reduce risks Provide symbolic benefits o For sellers brands Provide a means to endow products services with unique associations Signal product service quality to consumers Provide source of competitive advantage Offer financial returns Strong brands own a place in consumers minds o Increased efficiency and effectiveness of marketing communications o Greater trade cooperation and support Double jeopardy o Market share loyalty o Weathering a crisis Opportunities to leverage brands o Licensing o Line extensions and brand extensions Brand Salience o Brand awareness Recall vs recognition Depth of brand awareness Breadth of brand awareness o Is it possible to increase sales by changing only brand salience Brand Performance o Primary ingredients and supplementary features e g Reliability durability and serviceability Price Style and design o Favorable opinions about brand performance may or may not lead to sales Brand Image o User profiles o Purchase and usage situations o Brand personality o History and experiences Brand Judgments Brand Resonance o Brand quality o Brand credibility o Brand consideration o Brand superiority o Behavioral loyalty o Attitudinal attachment o Sense of community o Active engagement Brand Elements o Brand elements are trademarkable devices that identify and differentiate the brand e g brand name logo characters tagline packaging o Elements achieve different objectives Strive for consistency among elements Leverage complementarity among elements o Consistency Ideally brand elements should be chosen to support other elements Energizer s key POD is long lasting power slogans Nothing outlasts the Energizer and Keeps going communicate this POD Apple s key POD is user friendliness packaging should be simple and easy to understand o Choosing Brand Elements Consistency among elements reduces burden on marketing One goal is to build awareness and create brand associations communications Memorability Meaningfulness Likeability Another goal is to leverage and preserve brand equity Transferability Product categories Geographic boundaries Adaptability Protectability Goals of Brand Name o Memorability Brand Salience Simple easy to pronounce e g Aim Raid Off Ban Familiar and meaningful e g Neon Different distinctive and unusual e g Apple o Meaningfulness Imagery Kool Aid Reinforce important attribute or benefit e g Joy Obsession Balance with transferability protectability o Memorability Brand salience Visual rather than verbal Helpful in linking brand across product categories o Transferability Imagery Abstract logos transfer more easily than wordmarks For trends see Logolounge com o Protectability is excellent o Adaptability is quite high when it is done gradually and memorability is maintained Goals of a Character o Meaningfulness Imagery brand values e g cheap o Likeability Feelings Characters can embody brand attributes e g long lasting or Brand personality Characters tend to increase brand s likeability by taking on Goals of a Tagline human qualities o Meaningfulness Imagery and Performance A tagline can convey a brand s essence and personality in a few 2 Don t leave home without it American Express 10 Takes a licking and keeps on ticking Timex 11 When it absolutely positively has to be there overnight words FedEx 18 What happens here stays here Las Vegas o Protectability Judgments A tagline can help protect a brand s key POD Goals of Packaging o Memorability Brand salience Shelf impact of a package FMOT packaging is the last 5 seconds of marketing For many products primary form of marketing o Meaningfulness Imagery and Performance Natural reading sequence for packages Should packaging be rational or emotional