Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

68
1 BRAND MANAGEMENT BRAND MANAGEMENT Bhushan D. Sudhakar, Bhushan D. Sudhakar, Ph.D Ph.D Assistant Professor & Co-ordinator Assistant Professor & Co-ordinator (UG) (UG)

description

ABC 2006

Transcript of Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

Page 1: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

11

BRAND MANAGEMENTBRAND MANAGEMENT

Bhushan D. Sudhakar, Bhushan D. Sudhakar, Ph.DPh.DAssistant Professor & Co-ordinator Assistant Professor & Co-ordinator

(UG)(UG)

Page 2: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

22

What is a Brand?What is a Brand?

• A A brandbrand is a name, term, sign, symbol, is a name, term, sign, symbol, or design which is intended to or design which is intended to identifyidentify the goods or services of one seller or the goods or services of one seller or group of sellers and to group of sellers and to differentiatedifferentiate them from those of competitors.them from those of competitors.

Page 3: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

33

New Branding Challenges New Branding Challenges • Brands are important as everBrands are important as ever

– Consumer need for simplificationConsumer need for simplification– Consumer need for risk reductionConsumer need for risk reduction

• Brand management is as difficult as Brand management is as difficult as everever– Savvy consumersSavvy consumers– Increased competitionIncreased competition– Decreased effectiveness of traditional Decreased effectiveness of traditional

marketing tools and emergence of new marketing tools and emergence of new marketing toolsmarketing tools

– Complex brand and product portfoliosComplex brand and product portfolios

Page 4: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

44

The Customer/Brand The Customer/Brand ChallengeChallenge• In this difficult environment, In this difficult environment,

marketers must have a keen marketers must have a keen understanding of:understanding of:– customerscustomers– brandsbrands– the relationship between the twothe relationship between the two

Page 5: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

55

The Concept of Brand EquityThe Concept of Brand Equity

• The brand equity concept stresses the The brand equity concept stresses the importance of the brand in marketing strategies.importance of the brand in marketing strategies.

• Brand equity is defined in terms of the marketing Brand equity is defined in terms of the marketing effects uniquely attributable to the brand.effects uniquely attributable to the brand.– Brand equity relates to the fact that different outcomes result Brand equity relates to the fact that different outcomes result

in the marketing of a product or service because of its brand in the marketing of a product or service because of its brand name, as compared to if the same product or service did not name, as compared to if the same product or service did not have that name.have that name.

Page 6: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

66

The Concept of The Concept of Customer-Based Brand Customer-Based Brand EquityEquity

• Customer-based brand equityCustomer-based brand equity– Differential effectDifferential effect– Customer brand knowledgeCustomer brand knowledge– Customer response to brand marketingCustomer response to brand marketing

Page 7: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

77

Determinants of Determinants of Customer-Based Brand Customer-Based Brand EquityEquity

– Customer is Customer is awareaware of and of and familiarfamiliar with with the brandthe brand

– Customer holds some Customer holds some strong, favorable, strong, favorable, and unique brand associationsand unique brand associations in in memorymemory

Page 8: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

88

Building Building Customer-Based Brand EquityCustomer-Based Brand Equity

• Brand knowledge structures depend on . . .Brand knowledge structures depend on . . .

– The initial choices for the brand elements The initial choices for the brand elements

– The supporting marketing program and The supporting marketing program and the manner by which the brand is the manner by which the brand is integrated into itintegrated into it

– Other associations indirectly transferred Other associations indirectly transferred to the brand by linking it to some other to the brand by linking it to some other entitiesentities

Page 9: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

99

Benefits of Benefits of Customer-Based Brand Customer-Based Brand EquityEquity• Enjoy greater brand loyalty, usage, and Enjoy greater brand loyalty, usage, and

affinityaffinity

• Command larger price premiumsCommand larger price premiums

• Receive greater trade cooperation & Receive greater trade cooperation & supportsupport

• Increase marketing communication Increase marketing communication effectivenesseffectiveness

• Yield licensing opportunitiesYield licensing opportunities

• Support brand extensions.Support brand extensions.

Page 10: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

1010

Customer-Based Brand Customer-Based Brand EquityEquityas a “Bridge”as a “Bridge”

• Customer-based brand equity Customer-based brand equity represents the “added value” endowed represents the “added value” endowed to a product as a result of past to a product as a result of past investments in the marketing of a investments in the marketing of a brand.brand.

• Customer-based brand equity provides Customer-based brand equity provides direction and focus to future marketing direction and focus to future marketing activitiesactivities

Page 11: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

1111

The Key to BrandingThe Key to Branding

• For branding strategies to be For branding strategies to be successful, consumers must be successful, consumers must be convinced that there are meaningful convinced that there are meaningful differences among brands in the differences among brands in the product or service category.product or service category.

• Consumer must not think that all Consumer must not think that all brands in the category are the same.brands in the category are the same.

• PERCEPTION = VALUEPERCEPTION = VALUE

Page 12: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

1212

Strategic Brand Strategic Brand ManagementManagement

• Strategic brand managementStrategic brand management involves the design involves the design and implementation of marketing programs and and implementation of marketing programs and activities to build, measure, and manage brand activities to build, measure, and manage brand equity. equity.

• The The strategic brand management processstrategic brand management process is is defined as involving four main steps:defined as involving four main steps:1) Identifying and establishing brand positioning and values1) Identifying and establishing brand positioning and values

2)  Planning and implementing brand marketing programs2)  Planning and implementing brand marketing programs

3)  Measuring and interpreting brand performance3)  Measuring and interpreting brand performance

4)  Growing and sustaining brand equity4)  Growing and sustaining brand equity

Page 13: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

1313

Strategic Brand Management Process

Mental mapsCompetitive frame of referencePoints-of-parity and points-of-differenceCore brand valuesBrand mantra

Mixing and matching of brand elementsIntegrating brand marketing activitiesLeveraging of secondary associations

Brand Value ChainBrand auditsBrand trackingBrand equity management system

Brand-product matrixBrand portfolios and hierarchiesBrand expansion strategiesBrand reinforcement and revitalization

KEY CONCEPTSSTEPS

Grow and SustainBrand Equity

Identify and EstablishBrand Positioning and Values

Plan and Implement Brand Marketing Programs

Measure and InterpretBrand Performance

Page 14: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

1414

Motivation forMotivation forCustomer-Based Brand Equity Customer-Based Brand Equity ModelModel• Marketers know strong brands are Marketers know strong brands are

important but aren’t always sure how important but aren’t always sure how to build one.to build one.

• CBBE model was designed to be …CBBE model was designed to be …– comprehensive comprehensive – cohesive cohesive – well-grounded well-grounded – up-to-dateup-to-date– actionableactionable

Page 15: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

1515

Rationale of Rationale of Customer-Based Brand Equity Customer-Based Brand Equity ModelModel• Basic premise: Power of a brand resides in Basic premise: Power of a brand resides in

the minds of customersthe minds of customers• Challenge is to ensure customers have the Challenge is to ensure customers have the

right types of experiences with products & right types of experiences with products & services and their marketing programs to services and their marketing programs to create the right brand knowledge create the right brand knowledge structures:structures:– ThoughtsThoughts– FeelingsFeelings– ImagesImages– PerceptionsPerceptions– AttitudesAttitudes

Page 16: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

1616

Building Building Customer-Based Brand Customer-Based Brand EquityEquity• Building a strong brand involves a series of Building a strong brand involves a series of

steps as part of a “branding ladder”steps as part of a “branding ladder”

• A strong brand is also characterized by a A strong brand is also characterized by a logically constructed set of brand “building logically constructed set of brand “building blocks.”blocks.”– Identifies areas of strength and weaknessIdentifies areas of strength and weakness– Provides guidance to marketing activitiesProvides guidance to marketing activities

Page 17: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

1717

CUSTOMER-BASED BRAND EQUITY PYRAMID

RESONANCE

SALIENCE

JUDGMENTS FEELINGS

PERFORMANCE IMAGERY

4. RELATIONSHIPS =

What about you & me?

4. RELATIONSHIPS =

What about you & me?

3. RESPONSE =

What about you?

3. RESPONSE =

What about you?

2. MEANING =

What are you?

2. MEANING =

What are you?

1. IDENTITY =

Who are you?

1. IDENTITY =

Who are you?

Page 18: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

1818

Salience DimensionsSalience Dimensions

• DepthDepth of brand awareness of brand awareness– Ease of recognition & recallEase of recognition & recall– Strength & clarity of category Strength & clarity of category

membershipmembership

• BreadthBreadth of brand awareness of brand awareness– Purchase considerationPurchase consideration– Consumption considerationConsumption consideration

Page 19: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

1919

Performance DimensionsPerformance Dimensions

• Primary characteristics & Primary characteristics & supplementary featuressupplementary features

• Product reliability, durability, and Product reliability, durability, and serviceabilityserviceability

• Service effectiveness, efficiency, and Service effectiveness, efficiency, and empathyempathy

• Style and designStyle and design

• PricePrice

Page 20: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

2020

Imagery DimensionsImagery Dimensions• User profilesUser profiles

– Demographic & psychographic characteristicsDemographic & psychographic characteristics– Actual or aspirationalActual or aspirational– Group perceptions -- popularityGroup perceptions -- popularity

• Purchase & usage situationsPurchase & usage situations– Type of channel, specific stores, ease of purchaseType of channel, specific stores, ease of purchase– Time (day, week, month, year, etc.), location, and context of Time (day, week, month, year, etc.), location, and context of

usageusage

• Personality & valuesPersonality & values– Sincerity, excitement, competence, sophistication, & Sincerity, excitement, competence, sophistication, &

ruggednessruggedness

• History, heritage, & experiencesHistory, heritage, & experiences– NostalgiaNostalgia– MemoriesMemories

Page 21: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

2121

Judgment DimensionsJudgment Dimensions• Brand qualityBrand quality

– ValueValue– SatisfactionSatisfaction

• Brand credibilityBrand credibility– ExpertiseExpertise– TrustworthinessTrustworthiness– LikabilityLikability

• Brand considerationBrand consideration– RelevanceRelevance

• Brand superiorityBrand superiority– DifferentiationDifferentiation

Page 22: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

2222

Feelings DimensionsFeelings Dimensions

• WarmthWarmth

• FunFun

• ExcitementExcitement

• SecuritySecurity

• Social approvalSocial approval

• Self-respectSelf-respect

Page 23: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

2323

Resonance Dimensions Resonance Dimensions • Behavioral loyaltyBehavioral loyalty

– Frequency and amount of repeat purchasesFrequency and amount of repeat purchases

• Attitudinal attachmentAttitudinal attachment– Love brand (favorite possessions; “a little pleasure”)Love brand (favorite possessions; “a little pleasure”)– Proud of brandProud of brand

• Sense of communitySense of community– KinshipKinship– AffiliationAffiliation

• Active engagementActive engagement– Seek informationSeek information– Join clubJoin club– Visit web site, chat roomsVisit web site, chat rooms

Page 24: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

2424

Customer-Based Brand Equity Model

Consumer-BrandResonance

Brand Salience

Consumer Judgments

Consumer Feelings

BrandPerformance

BrandImagery

INTENSE, ACTIVE LOYALTY

INTENSE, ACTIVE LOYALTY

RATIONAL & EMOTIONAL REACTIONS

RATIONAL & EMOTIONAL REACTIONS

POINTS-OF-PARITY &

POINTS-OF-DIFFERENCE

POINTS-OF-PARITY &

POINTS-OF-DIFFERENCE

DEEP, BROAD BRAND

AWARENESS

DEEP, BROAD BRAND

AWARENESS

Page 25: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

2525

Brand PositioningBrand Positioning• Define competitive frame of Define competitive frame of

referencereference– Target marketTarget market– Nature of competitionNature of competition

• Define desired brand knowledge Define desired brand knowledge structuresstructures– Points-of-parityPoints-of-parity

•necessarynecessary•competitivecompetitive

– Points-of-differencePoints-of-difference•strong, favorable, and unique brand associationsstrong, favorable, and unique brand associations

Page 26: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

2626

Issues in Implementing Issues in Implementing Brand PositioningBrand Positioning• Establishing Category MembershipEstablishing Category Membership

• Identifying & Choosing POP’s & POD’sIdentifying & Choosing POP’s & POD’s

• Communicating & Establishing POP’s Communicating & Establishing POP’s & POD’s& POD’s

• Sustaining & Evolving POD’s & POP’sSustaining & Evolving POD’s & POP’s

Page 27: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

2727

Establishing Category Establishing Category MembershipMembership

• Product descriptorProduct descriptor

• Exemplar comparisonsExemplar comparisons

Page 28: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

2828

Identifying & Choosing Identifying & Choosing POP’s & POD’sPOP’s & POD’s• Desirability criteria (consumer Desirability criteria (consumer

perspective)perspective)– Personally relevantPersonally relevant– Distinctive & superiorDistinctive & superior– Believable & credibleBelievable & credible

• Deliverability criteria (firm Deliverability criteria (firm perspective)perspective)– Feasible Feasible – ProfitableProfitable– Pre-emptive, defensible & difficult to Pre-emptive, defensible & difficult to

attackattack

Page 29: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

2929

Major Challenges in Major Challenges in PositioningPositioning• Find compelling & impactful points-of-Find compelling & impactful points-of-

difference (MacMillan & McGrath, difference (MacMillan & McGrath, HBRHBR, , ‘97)‘97)– How do people become aware of their need for your How do people become aware of their need for your

product and service?product and service?– How do consumers find your offering?How do consumers find your offering?– How do consumers make their final selection?How do consumers make their final selection?– How do consumers order and purchase your product or How do consumers order and purchase your product or

service?service?– What happens when your product or service is delivered?What happens when your product or service is delivered?– How is your product installed?How is your product installed?– How is your product or service paid for?How is your product or service paid for?

Page 30: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

3030

Major Challenges in Major Challenges in PositioningPositioning• Find compelling & impactful points-of-Find compelling & impactful points-of-

difference (cont.) difference (cont.) – How is your product stored?How is your product stored?– How is your product moved around?How is your product moved around?– What is the consumer really using your product for?What is the consumer really using your product for?– What do consumers need help with when they use your What do consumers need help with when they use your

product?product?– What about returns or exchanges?What about returns or exchanges?– How is your product repaired or serviced?How is your product repaired or serviced?– What happens when your product is disposed of or no What happens when your product is disposed of or no

longer used?longer used?

Page 31: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

3131

Communicating & Communicating & EstablishingEstablishing POP’s & POD’s POP’s & POD’s• Create POP’s and POD’s in the Create POP’s and POD’s in the face of attribute & benefit trade-face of attribute & benefit trade-offsoffs– Price & qualityPrice & quality– Convenience & qualityConvenience & quality– Taste & low caloriesTaste & low calories– Efficacy & mildnessEfficacy & mildness– Power & safetyPower & safety– Ubiquity & prestigeUbiquity & prestige– Comprehensiveness (variety) & simplicityComprehensiveness (variety) & simplicity– Strength & refinementStrength & refinement

Page 32: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

3232

Strategies to ReconcileStrategies to Reconcile Attribute & Benefit Trade- Attribute & Benefit Trade-OffsOffs• Establish separate marketing Establish separate marketing

programsprograms

• Leverage secondary association (e.g., Leverage secondary association (e.g., co-brand)co-brand)

• Re-define the relationship from Re-define the relationship from negative to positivenegative to positive

Page 33: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

3333

Sustaining & EvolvingSustaining & EvolvingPOP’s & POD’sPOP’s & POD’s• Core Brand Values &Core Brand Values &

Core Brand PropositionCore Brand Proposition

Page 34: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

3434

Core Brand ValuesCore Brand Values

• Set of abstract concepts or phrases Set of abstract concepts or phrases that characterize the 5-10 most that characterize the 5-10 most important dimensions of the mental important dimensions of the mental map of a brand. map of a brand.

• Relate to points-of-parity and points-Relate to points-of-parity and points-of-differenceof-difference

• Mental Map Mental Map Core Brand Values Core Brand Values Brand Brand MantraMantra

Page 35: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

3535

Brand MantrasBrand Mantras

• A A brand mantrabrand mantra is an articulation of the is an articulation of the “heart and soul” of the brand.“heart and soul” of the brand. – Brand mantras are short three to five word Brand mantras are short three to five word

phrases that capture the irrefutable essence or phrases that capture the irrefutable essence or spirit of the brand positioning and brand valuesspirit of the brand positioning and brand values. .

• NikeNike– Authentic Athletic PerformanceAuthentic Athletic Performance

• DisneyDisney– Fun Family EntertainmentFun Family Entertainment

Page 36: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

3636

Page 37: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

3737

Page 38: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

OutlineOutline• The mandate for effectivenessThe mandate for effectiveness• What makes an ad effective?What makes an ad effective?• The world of advertisingThe world of advertising• The five players of advertisingThe five players of advertising• The evolution of advertisingThe evolution of advertising

Introduction to

Introduction to AdvertisingAdvertising

Page 39: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

3939

TheThe MandateMandate forfor

EffectivenessEffectiveness

• Today advertising is in a bindToday advertising is in a bind

• Advertisers expect specific results that lead to Advertisers expect specific results that lead to salessales

• Advertising must be effectiveAdvertising must be effective

Page 40: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

4040

• Effective ads work on two levels: with Effective ads work on two levels: with consumers and with advertisersconsumers and with advertisers

• Characteristics of effective ads:Characteristics of effective ads:– StrategyStrategy

– - -

– ExecutionExecution

– Advertising must be goal directedAdvertising must be goal directed

WhatWhat MakesMakes anan

AdAd EffectiveEffective??

Page 41: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

4141

Defining advertisingDefining advertising

• A paid form of communicationA paid form of communication

• A sponsor is identifiedA sponsor is identified

• Tries to persuade or influence the Tries to persuade or influence the consumer to do somethingconsumer to do something

• Conveyed through mass mediaConveyed through mass media

• Reaches a large audience Reaches a large audience

• Is nonpersonalIs nonpersonal

The World of AdvertisingThe World of Advertising

Page 42: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

4242

Types of AdvertisingTypes of Advertising• Brand advertisingBrand advertising

• Retail/local Retail/local advertisingadvertising

• Political advertisingPolitical advertising

• Directory advertisingDirectory advertising

• Direct-response Direct-response advertisingadvertising

• Business-to-business Business-to-business advertisingadvertising

• Institutional Institutional advertisingadvertising

• Public service Public service advertising (PSA)advertising (PSA)

• Interactive advertisingInteractive advertising

Page 43: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

4343

• Marketing roleMarketing role

• Communication roleCommunication role

• Economic roleEconomic role

• Societal roleSocietal role

The Roles of AdvertisingThe Roles of Advertising

Page 44: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

4444

FunctionsFunctions ofof

AdvertisingAdvertising

• Provide product and brand Provide product and brand informationinformation

• Provide incentives to take actionProvide incentives to take action

• Provide reminders and reinforcementProvide reminders and reinforcement

Page 45: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

4545

• AdvertiserAdvertiser

• Advertising agencyAdvertising agency– The advertising departmentThe advertising department

– The in-house agencyThe in-house agency

• MediaMedia

• VendorsVendors

• Target audienceTarget audience

The Five Players of AdvertisingThe Five Players of Advertising

Page 46: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

4646

• Age of printAge of print

• Industrial revolution and emergence of Industrial revolution and emergence of consumer societyconsumer society

• Modern advertising: Agencies, science Modern advertising: Agencies, science and creativityand creativity

• Accountability eraAccountability era

The Evolution of AdvertisingThe Evolution of Advertising

Page 47: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

4747

• Interactive advertisingInteractive advertising

• GlobalizationGlobalization

• Niche marketingNiche marketing

• Integrated marketing communications (IMC)Integrated marketing communications (IMC)

• Consumer PowerConsumer Power

Current Advertising IssuesCurrent Advertising Issues

Page 48: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

4848

•Brand personalities Brand personalities

•BrandingBranding

•TrustTrust

•Brand imageBrand image

•Brand relationshipsBrand relationships

•Brand equityBrand equity

How Brands WorkHow Brands Work

Page 49: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

4949

Complex,Varied

MarketingActivity

Comprehensive,Robust

MarketingMeasures

Detailed,Rich

MarketingModels

MARKETING PLANNING PROCESS

Page 50: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

5050

Role of Integrated Marketing Role of Integrated Marketing CommunicationsCommunications

• Marketing communications …Marketing communications …– are the “voice” of the brand and are a are the “voice” of the brand and are a

means by which it can establish a dialogue means by which it can establish a dialogue and build relationships with consumers.and build relationships with consumers.

– allow marketers to inform, persuade, incent, allow marketers to inform, persuade, incent, and remind consumers directly or indirectlyand remind consumers directly or indirectly

– can contribute to brand equity by can contribute to brand equity by establishing the brand in memory and establishing the brand in memory and linking strong, favorable, and unique linking strong, favorable, and unique associations to it.associations to it.

Page 51: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

5151

Role of Integrated Marketing Role of Integrated Marketing Communications (Cont.)Communications (Cont.)

– Consumers can be told or shown how and why a Consumers can be told or shown how and why a product is used, by what kind of person, and where product is used, by what kind of person, and where and when; and when;

– Consumers can learn about who makes the product Consumers can learn about who makes the product and what the company and brand stand forand what the company and brand stand for

– Consumers be given an incentive or reward for trial Consumers be given an incentive or reward for trial or usage or usage

– Brands can be linked to other …Brands can be linked to other …• People People • Places Places • Events Events • Brands Brands • ExperiencesExperiences• FeelingsFeelings• ThingsThings

Page 52: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

5252

Simple Test for Simple Test for Marketing CommunicationsMarketing Communications

1.1. 3. 3. 2. 2.

Current Current Desired Desired

BrandBrand Brand Brand

KnowledgeKnowledge KnowledgeKnowledge

Page 53: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

5353

Integrated Marketing Integrated Marketing Communications and Customer-Communications and Customer-Based Brand EquityBased Brand Equity• One implications of the CBBE One implications of the CBBE

framework is that the manner in framework is that the manner in which brand associations are formed which brand associations are formed does not matter -- only the resulting does not matter -- only the resulting strength, favorability, and uniquenessstrength, favorability, and uniqueness

Page 54: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

5454

Designing Integrated Designing Integrated Marketing Communications Marketing Communications ProgramsPrograms• From the perspective of customer-based From the perspective of customer-based

brand equity, marketers should evaluate brand equity, marketers should evaluate allall possible communication options available possible communication options available to create knowledge structures according to create knowledge structures according to effectiveness criteria as well as cost to effectiveness criteria as well as cost considerations.considerations.

• Different communication options have Different communication options have different strengths and can accomplish different strengths and can accomplish different objectives.different objectives.

Page 55: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

5555

Alternative Communication OptionsAlternative Communication Options(Consumer)(Consumer)

• MediaMedia Advertising (TV, radio, newspapers, Advertising (TV, radio, newspapers, magazines)magazines)

• Direct Response AdvertisingDirect Response Advertising

• Interactive (on-line) Advertising & Web SitesInteractive (on-line) Advertising & Web Sites

• Outdoor Advertising (billboards, posters, cinema)Outdoor Advertising (billboards, posters, cinema)

• Point-of-Purchase AdvertisingPoint-of-Purchase Advertising

• Trade PromotionsTrade Promotions

• Consumer PromotionsConsumer Promotions

• Sponsorship of Event MarketingSponsorship of Event Marketing

• Publicity or Public RelationsPublicity or Public Relations

Page 56: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

5656

Alternative Communication Alternative Communication OptionsOptions(Business-to-Business)(Business-to-Business)• Media Advertising (TV, radio, newspaper, magazines)Media Advertising (TV, radio, newspaper, magazines)

• Trade Journal AdvertisingTrade Journal Advertising

• Interactive (on-line) Advertising & Web SitesInteractive (on-line) Advertising & Web Sites

• DirectoriesDirectories

• Direct MailDirect Mail

• Brochures & Sales LiteratureBrochures & Sales Literature

• Audio-Visual Presentation TapesAudio-Visual Presentation Tapes

• GiveawaysGiveaways

• Sponsorship or Event MarketingSponsorship or Event Marketing

• Exhibitions, Trade Shows, ConventionsExhibitions, Trade Shows, Conventions

• Publicity or Public RelationsPublicity or Public Relations

Page 57: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

5757

Print Ad Evaluation CriteriaPrint Ad Evaluation Criteria• Is the message clear at a glance?Is the message clear at a glance?

• Is the benefit in the headline?Is the benefit in the headline?

• Does the illustration support the Does the illustration support the headline?headline?

• Does the first line of the copy support or Does the first line of the copy support or explain the headline and illustration?explain the headline and illustration?

• Is the ad easy to read and follow?Is the ad easy to read and follow?

• Is the product easily identified?Is the product easily identified?

• Is the brand or sponsor clearly identified?Is the brand or sponsor clearly identified?

Page 58: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

5858

Ad Campaign Ad Campaign ConsiderationsConsiderations• Campaigns make brands -- not single adsCampaigns make brands -- not single ads

• Be creative and develop creative themesBe creative and develop creative themes– Avoid slavishly sticking to executional formulasAvoid slavishly sticking to executional formulas

• Brand communications should sing like a Brand communications should sing like a choir choir – Multiple voicesMultiple voices– Multiple notesMultiple notes

• Find fresh consumer insights & compelling Find fresh consumer insights & compelling brand truthsbrand truths

• Productively conduct ad researchProductively conduct ad research

Page 59: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

5959

IMC Case StudyIMC Case StudyCMPB Success FactorsCMPB Success Factors• Smart strategy Smart strategy

– Relative deprivationRelative deprivation

• Imaginative creative Imaginative creative – Funny but relevantFunny but relevant

• Clever hook Clever hook – ““Got milk?” sloganGot milk?” slogan

• Timely secondary mediaTimely secondary media– In storeIn store

• Right partnersRight partners

Page 60: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

6060

Common Mistakes in Common Mistakes in Developing AdvertisingDeveloping Advertising

• Failure to distinguish ad positioning Failure to distinguish ad positioning (what you say) from ad creative (how (what you say) from ad creative (how you say it) you say it)

• Mistaken assumptions about Mistaken assumptions about consumer knowledgeconsumer knowledge

• Improperly positionedImproperly positioned

• Failure to break through the clutterFailure to break through the clutter

• Distracting, overpowering creative in Distracting, overpowering creative in adsads

Page 61: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

6161

Common Mistakes in Common Mistakes in Developing AdvertisingDeveloping Advertising(cont.)(cont.)

• Under-branded adsUnder-branded ads

• Failure to use supporting mediaFailure to use supporting media

• Changing campaigns too frequentlyChanging campaigns too frequently

• Substituting ad frequency for ad Substituting ad frequency for ad qualityquality

Page 62: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

6262

CommunicationOption A

Communication Option C

CommunicationOption B

Audience

Audience Communication Option Overlap

Note: Circles represent the market segments reached by various communication options. Shaded portions represent areas of overlap in communication options.

Page 63: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

6363

Evaluating IMC ProgramsEvaluating IMC Programs• CoverageCoverage - - what proportion of the what proportion of the

target audience is reached by each target audience is reached by each communication option employed, as communication option employed, as well as how much overlap exists well as how much overlap exists among optionsamong options

• CostCost - - what is the per capita expensewhat is the per capita expense

Page 64: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

6464

Evaluating IMC Programs Evaluating IMC Programs (cont.)(cont.)• ContributionContribution - the collective effect on - the collective effect on

brand equity in terms of brand equity in terms of

– enhancing depth & breadth of awarenessenhancing depth & breadth of awareness

– improving strength, favorability, & improving strength, favorability, & uniqueness of brand associationsuniqueness of brand associations

• CommonalityCommonality - the extent to which - the extent to which information conveyed by different information conveyed by different communication options share meaningcommunication options share meaning

Page 65: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

6565

Evaluating IMC Programs Evaluating IMC Programs (cont.)(cont.)• ComplementarityComplementarity - the extent to - the extent to

which which differentdifferent associations and associations and linkages are emphasized across linkages are emphasized across communication optionscommunication options

• VersatilityVersatility - the extent to which - the extent to which information contained in a information contained in a communication option works with communication option works with different types of consumersdifferent types of consumers

•Different communications historyDifferent communications history

•Different market segmentsDifferent market segments

Page 66: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

6666

““Keller Be’s”Keller Be’s”

• Be analyticalBe analytical: Use frameworks of consumer : Use frameworks of consumer behavior and managerial decision-making to behavior and managerial decision-making to develop well-reasoned communication programsdevelop well-reasoned communication programs

• Be curiousBe curious: Fully understand consumers by : Fully understand consumers by using all forms of research and always be thinking using all forms of research and always be thinking of how you can create added value for consumersof how you can create added value for consumers

• Be single-mindedBe single-minded: Focus message on well-: Focus message on well-defined target markets (less can be more)defined target markets (less can be more)

• Be integrativeBe integrative: reinforce your message through : reinforce your message through consistency and cuing across all communicationsconsistency and cuing across all communications

Page 67: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

6767

““Keller Be’s”Keller Be’s”

• Be creativeBe creative: State your message in a unique : State your message in a unique fashion; use alternative promotions and media to fashion; use alternative promotions and media to create favorable, strong, and unique brand create favorable, strong, and unique brand associationsassociations

• Be observantBe observant: Monitor competition, customers, : Monitor competition, customers, channel members, and employees through channel members, and employees through tracking studiestracking studies

• Be realisticBe realistic: Understand the complexities : Understand the complexities involved in marketing communicationsinvolved in marketing communications

• Be patientBe patient: Take a long-term view of : Take a long-term view of communication effectiveness to build and manage communication effectiveness to build and manage brand equitybrand equity

Page 68: Downloads-ABC 2006 - Presentation Downloads-Brand_Advertising

6868