Branding & Its Diverse Interpretations.dhanesh J

BBy Dhanesh JayathilakaDhanesh Jayathilaka

PGDip M(SL), CPM (ASIA PACIFIC), MSLIM

Definition of a Brand In Principles of Marketing, by Philip Kotler and Gary Armstrong a brand is defined as ‘a name, term, sign

b l d i bi ti f th th t id tifisymbol, design or a combination of these, that identifies the goods or services of one maker or a seller or group of sellers and to differentiate from them from those of competitors.

Brand Management/Dhanesh Jayathilaka/25‐07‐09

Branding A marketing function that identifies products and their source and differentiates them from all other productsproducts.

Eg: naming a commodity Eg: naming a commodity


Reasons why organizations believeReasons why organizations believe in branding

Non‐verbal statement Brand speaks about the user

Eg: The Mercedes brand represents something of G l i d ffi i German culture, organised, efficient


Satya PaulSatya Paul


Respected reputation & greater return


Dialog Telekom PLC, Sri Lanka's leading telecommunications service provider announced telecommunications service provider, announced an agreement with Singer Sri Lanka for call centre outsourcing solutions. This agreement will provide g g pcontact centre solutions to Singer Sri Lanka, by Dialog ECM, the BPO wing of Dialog Telekom.


As a Value additionAs a Value addition

cindycrawford


As a Value addition


Attract customers & Defensive wall

Nokia N96.flvNokia N96.flv


Defensive wallDefensive wall

Jet Li


As an identification

Brand name, logo


Brand Management Brand management is the application of marketing techniques to a specific product, product line, or brand It seeks to increase the product's perceived brand. It seeks to increase the product s perceived value to the customer and thereby increase brand franchise and brand equity.q y


I i i B d/Imagination Brand/s“Imagination is more important than knowledge. For knowledge is

limited to all we now know and understand, while imagination embraces the entire world, and all there ever will be to know and understand.”

Albert Einstein


Spectrum of interpretation ofSpectrum of interpretation of branding

The input‐out based perspective

The output based perspective

The time based perspective


The input-out based perspectiveThe input-out based perspective Different interpretations of a brand’

LogoLegal instrumentCompanyCo p yShorthandRisk reducerPositioningPositioningPersonalityCluster of valuesVisionAdding valueIdentityy


Brand as a LogoBrand as a Logo


Brand as a LogoTo provoke

&&


Brand as a LogoTop of the mind

Eg:

Cola drinks


Brand as a LogoFamiliar set of association linked with brand

Eg: EGB with food


Brand as a Legal instrumentBrand as a Legal instrument

Trade marks (intellectual property)

®Brand ®Brand ©


Brand as a companyCorporate branding is the practice of using a company's name as a product brand name. It is an attempt to leverage corporate brand equity to create attempt to leverage corporate brand equity to create product brand recognition. It is a type of family branding or umbrella brand. Disney, for example, g y, p ,includes the word "Disney" in the name of many of its products; other examples include IBM and Heinz.


Brand as a companyCorporate Branding

Alli Products Sri LankaHSBCSri Lanka Insurance

Corporate branding can result in significant economies of scope since one advertising campaign can be used for several products.

Corporate Brand brings in service tangibility

Adding to perishability eg: corporate name is possitioned in dconsumers mind


Brand as a companyIndividual branding, also called individual product branding or multibranding is the marketing strategy of branding or multibranding, is the marketing strategy of giving each product in a portfolio its own unique brand name.

Eg: Procter & Gamble, which markets multiple brands such as PPampersUnilever, which markets individual brands such as DoveHemas markets baby cheramy clogradHemas markets baby cheramy, clograd


Brand as a shorthand Packaging of Anchor 100 bits

Human mind 10 bits

Brand bits


Brand as a risk ReducerPerceived riskConsumer's level of uncertainty regarding the outcome of a purchase decision, specially in case of high priced item

h l l ksuch as a car, or a complex item like a computer.

Consumers attempt to reduce their anxiety by collecting p y y gmore information and by seeking the recommendations of a peer group or an entity (person or consumer advocacy group) considered an expert on the subject matter. M f t d k t t t d thi i k ith Manufacturers and marketers try to reduce this risk with reassuring guaranties, by obtaining the backing or recognized groups or opinion leaders, or by hiring a well known and respected spokespersonknown and respected spokesperson.


Types of riskPerformance risk

eg: unbranded note pad Vs IBM

Functional risk Brands ensure better functions

Physical risk Safety. Eg: Volvo safety


Types of risk Financial risk

Brands reflect the valueSocial risk

Computer breaks down when Presenting at a seminar Psychological risk

Brands reduce cognitive dissonance Time risk

Frequent break down. Opportunity cost


Brand as a positioningPositioning is how a product appears in relation to other products in the market

With the help of attributes

Eg: Volvo attributesLaminated windscreenLaminated windscreenDriver Alert ControlCollision Warning with full auto‐brake and pedestrian detection


Brand as a positioningResults in minds of consumers

Focus on functional benefits Eg:Volvo safety BMW Ultimate driving machine


Brand as a personality Set of human characteristics associated with a brand

trustworthy Anchor trustworthy motheryouthCoke

Odel

y

fashionable, exclusive


Brand as a personality Marlboro is’ masculine’ while Virginia slims is ‘feminine’

IBM i ‘ ld ’ hil A l i ‘ ’IBM is ‘older’ while Apple is ‘younger’


Brand as a person Tag Heuer‐ Tiger Woods

Mobitel ‐Shehan


Brand as a cluster of values Virgin brand is cluster of five values

Quality InnovationValue for moneyFunSense of challenge


Brand as a vision Sense of direction Vision is a dream. Should be realistic

Vision Role

UNITED COLORS OF BENETTON

“A WORLD OF SOCIAL HARMONY”


Brand as Identity Distinctive and central idea of a brand

What does it stand for?

How it communicates to the stakeholders?


Process perspective of brandProcess perspective of brand interpretation (output based)

Brand as an image

Brand as a relationship


Brand imageBrand image

The experiential aspect consists of the sum of all points of contact with the brand and is known as the brand experience brand experience. The psychological aspect, sometimes referred to as the brand image is a symbolic construct created within brand image, is a symbolic construct created within the minds of people and consists of all the information and expectations associated with a product or service.


Brand as an imageBrand as an image

The way a consumer wants to project himselfEg:

Mercedes a car of the rich and famous Successful person famous p

Odel Fashionable Trendy person y p


I F l tiImage Formulation Perception

How does it

differentiate

How relevant to the viewer

Attitude formulation

Image Brand Management/Dhanesh Jayathilaka/25‐07‐09

Brand as a relationshipBrand as a relationship

Co relationship with the idea of Brand Personality

“The greater the brand is personified, greater the relationship he/she will have with the brand”


Brand as a relationshipPersonification

Th ilb t d d f llThe sailboat danced gracefully.

The flames ate hungrily at the burning houseThe flames ate hungrily at the burning house.

The once‐proud trees bent meekly before the storm.p y


Brand as a relationshipBrand as a relationship

Brand Relationship

Brand Personality

Eg: HSBC Loyalty card


Brand as a relationshipSeek to understand themselves & to communicate values which brand has

How brand values give rise to a particular type of relationship relationship


Brand as a relationshipHow brand values give rise to a particular type of relationship B d lBrand values

l fIdentified l i

E

Values of T/A values in to the brand

Eg:


HSBC Brand Values Perceptive : We work harder in order to understand things more deeply. Progressive : We are driven by a belief that we can Progressive : We are driven by a belief that we can shape a better future.Responsive : We will always endeavor to anticipate, act quickly to ensure our customers ever changing needs are exceeded. Respectful : We don’t accept stereotypes We look for Respectful : We don t accept stereotypes. We look for the value in everything. Fair : We reward the commitment our customers place in us.


Time Perspective on BrandTime Perspective on Brand interpretation Brand changes due to market changes

Core Values Vs peripheral Values

Primary Value Vs Secondary Value

Core values are static

P i h l l h Peripheral values change


Core Values Vs peripheral Values

Eg: HSBC core Values Vs peripheral Values

Not changed changed

•Perceptive •Progressive

•premium to middle

•Responsive •Respectful•Fair

•Trendy to professional


Brand evolution Eg: Shell


Brand evolution ModelBrand evolution Model Unbranded

diti commodities

Brand as ReferenceReference

Brand as Personalityy

Brand as Icon

Brand as Company

Brand as PolicyBrand Management/Dhanesh Jayathilaka/25‐07‐09

Understand brand as a companyUnderstand brand as a company wide entity

Internal communication‐ Internal Marketing

An unified thinking

Knowledge sharing



Nonaka and Takeuchi knowledge management cycle

Nonaka's and Takeuchi's relevant work should allow you to d d il d l l h k l d b d l i h understand easily and clearly how knowledge may be dealt with,

transforming tacit knowledge into more explicit forms. This is one of the most famous model existing, maybe the easiest and the clearest.and the clearest.

Explicit Knowledge Explicit Knowledge

Tacit Knowledge Tacit Knowledge



With tacit knowledge, people are not often aware of the knowledge they possess or how it can be valuable to others. Effective transfer of tacit knowledge generally requires Effective transfer of tacit knowledge generally requires extensive personal contact and trust.Tacit knowledge is not easily shared. Tacit knowledge consists often of habits and culture that we do not recognize in ourselves. In the field of knowledge management, the concept of tacit knowledge refers to a management, the concept of tacit knowledge refers to a knowledge which is only known by an individual and that is difficult to communicate to the rest of an organization


Explicit knowledge is knowledge that has been or b i l d difi d d d i i can be articulated, codified, and stored in certain

media. It can be readily transmitted to others. The information contained in encyclopedias (including information contained in encyclopedias (including Wikipedia) are good examples of explicit knowledge


Knowledge can be transferred Tacit to tacit via socialization Tacit to explicit via externalizationExternalizationmeans to put something outside of its original borders, especially to put a human function outside of the human body The opposite of outside of the human body. The opposite of externalization is internalization. Eg: In a concrete sense, by taking notes, we can Eg: In a concrete sense, by taking notes, we can externalize the function of memory which normally belongs in the brain.


Knowledge can be transferred explicit to explicit via combination

Explicit to tacit via internalization

internalization is the long‐term process of consolidating and inserting one’s own beliefs, attitudes and values when it comes to moral behavior attitudes, and values, when it comes to moral behavior. The accomplishment of this may involve the deliberate use of psychoanalytical or behavioral methods.


d l ( k k h )SECI model (Nonaka Takeuchi)


SECI d l (N k T k hi)SECI model (Nonaka Takeuchi)


Four categories of knowledge assets


Levels of BrandLevels of Brand 1. Core Benefit

the fundamental need or want that consumers satisfy by consuming the product or serviceproduct or service.

2. Generic Producta version of the product containing only those attributes or characteristics p g yabsolutely necessary for it to function.

3. Expected Productthe set of attributes or characteristics that buyers normally expect and the set of attributes or characteristics that buyers normally expect and agree to when they purchase a product.

4. Augmented Productinclusion of additional features, benefits, attributes or related services that serve to differentiate the product from its competitors.

5 Potential Product5. Potential Productall the augmentations and transformations a product might undergo in the future.


Levels of Brand


Value of Branding Manufacturer

Differentiation factor Competitive advantage


Value of Branding DistributorBetter return on investment Ability to forecast

Eg: past brand trends will allow to foresee future trend patterns


Value of Branding Consumer Reduces the dissonance Convenience in selecting a product


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Branding & Its Diverse Interpretations.dhanesh J

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