This document discusses brands, what they are, and strategies for developing strong brands. It begins by defining a brand as a name, symbol or design that identifies a company's products and differentiates them from competitors. The key components of a brand are identified as the name, symbols, packaging, warranty and brand image. The document then covers various brand development strategies such as line extensions, brand extensions, multibrands and creating new brands. It analyzes the advantages and disadvantages of these strategies. Overall, the document provides an overview of what constitutes a brand and different approaches companies can take to develop and strengthen their brands.

1. Introduction
To
Brands

2. Quotes on Brands
“A product is something that is made in a
factory. A brand is something that is bought by
a customer”
Stephen King
“Marketing is branding. The two concepts one
so inextricably linked that it is impossible to
separate them”
Al Ries & Laura Ries
“ If you have a brand that you know and trust, it
helps you make choices faster, more easily”

3. What is a Brand?
A name, term, sign, symbol, design OR a combination
that identifies the products/services of one firm and
differentiates them from competitor’s offerings

4. * A combination of …..
 FEATURES What the company or product is
 BENEFITS What needs and wants it satisfies for
the customers
 VALUES Associations the consumer feels he/she
has with it
* It is a product Strategy
What is a Brand?

5. 1. Brand Name
 Attributes of a good Brand Name
- suggest product benefit
- fit the brand image
- easy to pronounce and
recognize as well
- if international, easily translated
Components of a Brand?

6. 2. Brand Symbols
 Plays a key role in Brand Identification
- McDonald’s golden arch
Components of a Brand?

7. 3. The Package
 Role of packaging
- identifies and promotes the brand
- attracts consumers’ attention and
increases
sales
- identifies a line of products
- communicates product benefits
 Packaging has a functional as well as
promotional and inspirational role
Components of a Brand?

8. 4. The Warranty
5. Brand Image
 A brand’s physical characteristics, name,
symbols, package and reputation for
service combining to create an overall
impression in the consumer’s mind
Components of a Brand?

9.  A Brand is a Living Memory
 A Brand is a “Genetic Program”
- Key to Understanding how brands work
 A Brand gives Products their Meaning &
Direction
Summary – What is a Brand ?
 A Brand is an “Economic” Contract
BMW VOLVO
PerformanceSafety
ABS

10.  The procedure a firm follows in
researching, developing and implementing
its brands
 A successful program based on the concept
of singularity
 Creating in the mind of the prospect the
perception that there is no product on the
market quite like your product or brand
What is Branding?

11.  Buyers respond to Branding. They make repeat
purchases of the same product/service since they
identify the product/service with the supplier
 To build brand loyalty
 To build brand equity
Why Branding is Important?
(Cont’d)

12. Why Branding is Strategy ?
 Brands add value
 Brands can transform markets
 Brands have market and staying power
 Brands with strong consumer loyalties tends
to win distribution support more easily

13. BRAND STRATEGY
DECISIONS

14. Major Brand Strategy Decisions

15. • Can position
brands at any of
three levels:
– Product attributes
• Least desirable;
easily copied.
– Product benefits
– Beliefs and values
• Hits consumers
on a deeper
level, touching
universal
emotions.
Brand Positioning

16. • Desirable qualities for a brand name include:
1.It should suggest product’s benefits and
qualities.
2.It should be easy to pronounce, recognize,
and remember.
3.It should be distinctive.
4.It should be extendable.
5.It should translate easily into foreign
languages.
6.It should be capable of registration and
legal protection.
Brand Name Selection

17. • Manufacturer’s
brands
– Also called
national brands
• Private brands
– Also called store
or distributor
brands
• Licensed brands
• Co-branding
Carrefour brand
products are only
available at
Carrefour
Brand Sponsorship

18. Brand Development Strategies

19. • Line extension:
– Introduction of additional items in a
given product category under the
same brand name (e.g., new flavors,
forms, colors, ingredients, or
package sizes).
• Examples are:
1.………………
2.………………
3.………………
4.………………
Brand Development-Line Extension

20. • Brand extension:
– Using a successful brand name
to launch a new or modified
product in a new category.
– Examples are:
1.……………………….
2.……………………….
3.………………….……
Brand Development – Brand Extension

21. What is brand extension ?
Brand extension or brand stretching is a marketing
strategy in which a firm marketing a product with a
well-developed image uses the same brand name in a
different product category. The new product is called a
spin-off

22. Why Extend the Brand ?
 The brand survives & fulfills its intention of
improving its product and adapting to
customer expectation
 Allows the brand to remain updated
 Seeking the widest market possible is the
only means of supporting the increasing
costs of R & D
 Reduce the costs & risks of new product
launches

23. Types of Brand Extension
 Extensions to exploit the Brand Capital
e.g. Kodak batteries
 Extensions to destroy Brand Equity
e.g. Levis slacks & Blazers
 Extensions that have a neutral effect on
brand capital
e.g. National Bread Makers
 Extensions that help develop and nurture the
meaning of the
e.g. Brand Nike’s extension into Golf

24. Factors Contributing to Brand Extension
 Global Image of the Brand
• Power brands encourage extension
• Power products support
 Firm ’ s ability to manufacturer the
new product
 The “ look ” of the “ new product ”
alongside existing once
• Is it comfortable as part of the
range?

25. Brand Extension Issues
1. Critical Strategic Decision
2. Cannot be considered without complete knowledge of the
brand’s
• Attributes
• Personality
• Purpose
• Core
• Contract
• Latent Potential
3. Through Quantitative/ Qualitative approach

26. Perimeters of Brand Extension
No-go areas
Extension areas
Outer core
Inner Core
• Great taste
• Premium priced
• Health
No
artificial
flavoring
Glass
Bottles
Concentrated
drink
Black
currant
Mothers
with
children
Sugar
free
Plastic
Bottles
Enhanced
health
Flavors
Carbonated
Ready
to
drink
Out
of
home
Medical positioning

27. Facilitates New Product Acceptance
Reduces risk perceived by customers
Increases the probability of gaining distribution and trial
Increases efficiency of promotional expenditures
Reduces costs of introductory and follow-up marketing programs
Avoids cost of developing a new brand
Allows for packaging and labeling efficiencies
Permits consumer variety-seeking
Provides Feedback Benefits to the
Parent Brand and Company
Clarifies brand meaning
Enhances the parent brand image
Brings new customers into brand franchise and increase market
coverage
Revitalizes the brand
Permits subsequent extensions
Advantages of Brand Extensions

28.  Can confuse or frustrate
customers
 Can encounter retailer
resistance
 Can fail and hurt parent brand
image
 Can succeed but cannibalize
sales of parent brand
 Can succeed but diminish
identification with any one
category
 Can succeed but hurt the
image of parent brand
 Can dilute brand meaning
 Can forgo the chance to
develop a new brand
Disadvantages of Brand Extension

29. • Multibrands:
– Marketing of 2 or more similar and
competing products under different and
unrelated brands to capture shelf
space, get to customers who like to try
new brands and saturate the market
• Examples:
1………………………..
2………………………..
3…………..……………
Brand Development – Multi brands

30. • New brands:
– Developed based on belief that the
power of its existing brand is waning
and a new brand name is needed.
Also used for products in new
product category.
– Examples are:
1………………..……….
2…………………….…..
3……………..………….
Brand Development – New Brands

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