13.1

CHAPTER 13:CHAPTER 13: MANAGING BRANDS OVER TIME MANAGING BRANDS OVER TIME

Kevin Lane KellerKevin Lane KellerTuck School of BusinessTuck School of Business

Dartmouth CollegeDartmouth College

13.2

Reinforcing BrandsReinforcing Brands

Generally, we reinforce brand equity Generally, we reinforce brand equity by marketing actions that by marketing actions that consistently convey the meaning of consistently convey the meaning of the brand to consumers in terms of the brand to consumers in terms of brand awareness and brand image. brand awareness and brand image.

13.3

Managing Brands over Managing Brands over TimeTime

Effective brand management requires Effective brand management requires taking a long-term view of marketing taking a long-term view of marketing decisionsdecisions Any action that a firm takes as part of its Any action that a firm takes as part of its

marketing program has the potential to marketing program has the potential to change consumer knowledge about the change consumer knowledge about the brand.brand.

These changes in consumer brand These changes in consumer brand knowledge from current marketing activity knowledge from current marketing activity also will have an indirect effect on the also will have an indirect effect on the success of success of futurefuture marketing activities. marketing activities.

13.4

Consumer response to past marketing activities

Consumer response to future marketing activities

Consumer response to current marketing activities

Brand awareness and brand image

Changed brand awareness and brand image

13.5

Reinforcing BrandsReinforcing Brands

Maintaining brand consistencyMaintaining brand consistency Consistent marketing support in amount Consistent marketing support in amount

and natureand nature Protecting sources of brand equityProtecting sources of brand equity Fortifying versus leveragingFortifying versus leveraging

Trade-offTrade-off Fine-tuning the supporting marketing Fine-tuning the supporting marketing

programprogram

13.6

Innovation in productdesign, manufacturing and merchandising

Relevance in userand usage imagery

Consistency in amount and natureof marketing support

Continuity in brand meaning; changes in marketing tactics

Trading off marketingactivities to fortify vs. leverage brand equity

Protecting sources of brand equity

Brand Awareness

•What products does the brand represent?•What benefits does it supply?•What needs does it satisfy?

BrandReinforcementStrategies

Brand Image

•How does the brand make products superior?•What strong, favorable, and unique brand associations exist in customers’ minds?

13.7

Revitalizing BrandsRevitalizing Brands

Expand the depth and/or breadth of Expand the depth and/or breadth of awareness by improving consumer recall awareness by improving consumer recall and recognition of the brand during and recognition of the brand during purchase or consumption settingspurchase or consumption settings

Improve the strength, favorability, and Improve the strength, favorability, and uniqueness of brand associationsuniqueness of brand associations——either either existing or newexisting or new——making up the brand making up the brand imageimage

13.8

Brand RevitalizationStrategies

Refresh old sourcesOf brand equity

Create new sourcesOf brand equity

Expand depth and Breadth of awareness And usage of brand

Increase quantityof consumption(how much)

Increase frequencyof consumption(how often)

Improve strength,favorability, and uniqueness of brandassociations

Bolster fading associations

Neutralize negative associations

Create new associations

Identify additionalopportunities touse Brand in Samebasic way

Identify completelynew and differentways to use

Retain vulnerablecustomers

Recapture lostcustomers

Identify neglectedsegments

Attract new customers

13.9

Strategies to Revitalize Strategies to Revitalize BrandsBrands

Expanding brand awarenessExpanding brand awareness Breadth challengeBreadth challenge

Improving brand imageImproving brand image Repositioning the brandRepositioning the brand Changing brand elementsChanging brand elements

Entering new marketsEntering new markets

13.10

Expanding Brand Expanding Brand AwarenessAwareness

Increasing usageIncreasing usage Increasing the level or quantity of Increasing the level or quantity of

consumptionconsumption Increasing the frequency of consumptionIncreasing the frequency of consumption

Identifying new or additional usage Identifying new or additional usage opportunitiesopportunities Communicate appropriateness of more Communicate appropriateness of more

frequent use in current situationsfrequent use in current situations Reminders to useReminders to use

Identifying new and completely different Identifying new and completely different ways to use the brandways to use the brand

13.11

Improving the Brand ImageImproving the Brand Image Repositioning the brandRepositioning the brand

Establish more compelling points of Establish more compelling points of difference difference

In some cases, a key point of difference may In some cases, a key point of difference may turn out to be nostalgia and heritage turn out to be nostalgia and heritage rather than any product-related difference. rather than any product-related difference.

Other times we need to reposition a brand Other times we need to reposition a brand to establish a point of parity on some key to establish a point of parity on some key image dimension. image dimension.

Changing brand elementsChanging brand elements Convey new information or signal that the Convey new information or signal that the

brand has taken on new meaning brand has taken on new meaning

13.12

Improving the Brand ImageImproving the Brand Image

Go “back to basics” and tap into Go “back to basics” and tap into existing sources of brand equity existing sources of brand equity (e.g., Harley-Davidson)(e.g., Harley-Davidson) Product strategyProduct strategy Pricing strategyPricing strategy Channel strategyChannel strategy Communication strategyCommunication strategy

Create new sources of brand equity Create new sources of brand equity (e.g., Mountain Dew)(e.g., Mountain Dew)

13.13

Entering New MarketsEntering New Markets

One strategic option for revitalizing One strategic option for revitalizing a fading brand is simply to more a fading brand is simply to more or less abandon the consumer group or less abandon the consumer group that supported the brand in the past that supported the brand in the past to target a completely new market to target a completely new market segment. segment.

13.14

Adjustments to Brand Adjustments to Brand PortfolioPortfolio

Migration strategiesMigration strategies A corporate or family branding strategy in which A corporate or family branding strategy in which

brands are ordered in a logical manner could provide brands are ordered in a logical manner could provide the hierarchical structure in consumers’ minds to the hierarchical structure in consumers’ minds to facilitate brand migration. facilitate brand migration.

Example: BMW with its 3-, 5-, and 7-series numbering Example: BMW with its 3-, 5-, and 7-series numbering systems systems

Acquiring new customersAcquiring new customers Tradeoffs in their marketing efforts between attracting Tradeoffs in their marketing efforts between attracting

new customers and retaining existing onesnew customers and retaining existing ones Firms must proactively develop strategies to attract Firms must proactively develop strategies to attract

new customers, especially younger ones. new customers, especially younger ones. Retiring brandsRetiring brands