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BRAND AWARENESS

Brand Awareness is the extent to which a brand is recognized by potential customers, and is correctly associated with a particular product. Expressed usually as a percentage of target market, brand awareness is the primary goal of advertising in the early months or years of a product's introduction.

Brand awareness is the extent to which the consumer associates the brand with the product he desires to buy. It is the brand recall and the brand recognition of the company to the consumers. Brand recall is the ability of the consumer to recollect the brand with reference to the product where as brand recognition is the potential of the consumer to retrieve the past knowledge of the brand when enquired about the brand or shown an image of the brand logo. Brand awareness is an essential part of brand development which helps the brand to stand out from the others in this monopolistically competitive market.

IMPORTANCE "Awareness, attitudes, and usage (AAU) metrics relate closely to what has been called the Hierarchy of Effects, an assumption that customers progress through sequential stages from lack of awareness, through initial purchase of a product, to brand loyalty." In total, these AAU metrics allow companies to track trends in customer knowledge and attitudes. Brand awareness plays a major role in a consumers buying decision process. The knowledge of an acquaintance or friend having used the product in the past or a high recognition of the product through constant advertisements and associations coaxes the person to make his decision in the favor of the brand. The eventual goal of most businesses is to make profits and increase sales. Businesses intend to increase their consumer pool and encourage repeat purchases. Apple is a brilliant example of how there is a very high recognition of the brand logo and high anticipation of a new product being released by the company. An iPod is the first thing that pops into our minds when we think of purchasing an mp3 player. IPod is used as a replaceable noun to describe an mp3 player. Finally, high brand awareness about a product suggests that the brand is easily recognizable and accepted by the market in a way that the brand is differentiated from similar products and other competitors. Brand building also helps in improving brand loyalty.

THE ROLE OF BRANDS


Brands identify the source or maker of a product and allow consumers either individuals or organizations to assign responsibility to a particular manufacturer or distributor. Consumers may evaluate the identical product differently depending on how it is branded. Consumers learn about brands through past experiences with the product and its marketing program. They find out which brands satisfy their needs and which ones do not. As consumers lives become more complicated, rushed, and time-starved, the ability of a brand to simplify decision-making and reduce risk is invaluable.

Brands also perform valuable functions for firms. First, they simplify product handling or tracing Brands help to organize inventory and accounting records. A brand also offers the firm legal protection for unique features or aspects of the product. The brand name can be protected through registered trademarks; manufacturing processes can be protected through parents; and packaging can be protected through copyrights and designs. These intellectual property rights ensure that the firm can safely invest in the brand and reap the benefits of a valuable asset.

Brands can signal a certain level of quality so that satisfied buyers can easily choose the product again. Brand loyalty provides predictability and security of demand for the firm and creates barriers to entry that make it difficult for other firms to enter the market. Loyalty also can translate into willingness to pay a higher price often 20 to 25 percent more. Although competitors may easily duplicate manufacturing processes and product designs, they cannot easily match lasting impressions in the minds of individuals and organizations from years of marketing activity and product experience. In this sense, branding can be seen as a powerful means to secure a competitive advantage. To firms, brands thus represent enormously valuable pieces of legal property that can influence consumer behavior, be bought and sold, and provide the security of sustained future revenues to their owner. Large earnings multiples have been paid for brands in mergers or acquisitions, starting with the boom years of the mid-1980s. The price premium is often justified on the basis of assumptions of the extra profits that could be extracted and sustained from the brands, as well as the tremendous difficulty and expense of creating

similar brands from scratch. Wall Street believes that strong brands result in better earnings and profit performance for firms, which, in turn, creates greater value for shareholders. Much of the recent interest in brands by senior management has been a result of these bottom-line financial considerations. Marketing Memo: The Brand Report Card lists 10 key characteristics based on a review of the worlds strongest brands.

THE SCOPE OF BRANDING


How then do you brand a product? Although firms provide the impetus to brand creation through marketing programs and other activities, ultimately a brand is something that resides in the minds of consumers. A brand is a perceptual entity that is rooted in reality but reflects the perceptions and perhaps even the idiosyncrasies of consumers. Branding is endowing products and services with the power of a brand. Branding is all about creating differences. To brand a product, it is necessary to teach consumers who the product is by giving it a name nd using other brand elements to help identify it as well as what the product does and why consumers should care. Branding involves creating mental structures and helping consumers organize their knowledge about products and services in a way that clarifies their decision making and, in the process, provides value to the firm. For branding strategies to be successful and brand value to be created, consumers must be convinced that there are meaningful differences among brands in the product or service category. The key to branding is that consumers must not think that all brands in the category are the same. Brand differences often are related to attributes or benefits of the product itself. Gillette, Merck, Sony, 3M, and others have been leaders in their product categories for decades due, in part, to continual innovation. Other brands create competitive advantages through non-product-related means. Coca-Cola, Calvin Klein, Gucci, Tommy Hilfiger, Marlboro, and others have become leaders in their product categories by understanding consumer motivations and desires and creating relevant and appealing images around their products.

Branding can be applied virtually anywhere a consumer has a choice. It is possible to brand a physical good (Camphells soup, Pantene shampoo, or Ford Mustang automobiles), a service (Singapore Airlines, Bank of America, or BlueCross/BlueShield medical insurance), a store (Nordstrom department store, Foot Locker specialty store, or Safeway supermarket), a person (Tom Clancy, Britney Spears, or Andre Agassi), a place (the city of Sydney, state of Texas, or country of Spain), an organization (UNICEF, American Automobile Association, or The Rolling Stones), or an idea (abortion rights, free trade, or freedom of speech).

TYPES OF BRAND AWARENESS Aided Awareness- This type of awareness is generated in a consumer. When asked about a product category, if the consumer is aided with a list of company names and he recognizes the company from the given set it is categorized as aided awareness. Top of the mind Awareness- When the name of the company is automatically recollected because the consumer very promptly associates the brand with the product category, it is called a top of the mind awareness of the product

METHODOLOGIES
Mokhira discussion in industry and practice about the meaning and value of various brand awareness metrics. Recently, an empirical study appeared to put this debate to rest by suggesting that all awareness metrics were systematically related, simply reflecting their difficulty, in the same way that certain questions are more difficult in academic exams

CHANNEL OF BRAND AWARENESS There are many ways to generate brand awareness in the consumers. Listed below are four such channels Advertising is the activity or profession of producing information for promoting the sale of commercial products or services. Advertising is used through various media to generate brand awareness within consumers. They can be aired as radio ads, television commercials, internet etc.

Guerrilla Marketing tactics allow every small firm to compete with bigger firms by carving out narrow but profitable niches. These tactics include (1) extreme specialization, (2) aiming every effort at favorably impressing the customers, (3) providing service that goes beyond the customers' expectations, (4) fast response time, (5) quick turnaround of jobs, and (6) working hours that match the customer's requirements. The term 'Guerrilla Marketing' is a registered trademark of author Jay Levinson who popularized it through his several 'Guerrilla' books. It is an out of the ordinary way of marketing a product. Low-cost channels can be utilized to generate a high level of interest in the product and create brand awareness. Utilization of personal contacts is the most popular way of guerrilla marketing. Product Placement is an advertising technique used by companies to subtly promote their products through a nontraditional advertising technique, usually through appearances in film, television, or other media A formal agreement between the product manufacturer and a media company can be generated through which the media company also receives an economic benefit, usually in the form of a fee. The media company in return will showcase the product through any of the various means they have available to make the brand stand out. Some people, however, consider product placement to be deceptive and unethical. For example, Coca-Cola could pay a given fee to have the title character drinking a Coke, instead of a Pepsi beverage, or Toyota might pay to have one of the characters drive their newest automobile. Through product placement, companies hope that moviegoers will take note of the products used by the characters, and therefore think more strongly about using the products themselves. Social Media is the most contemporary and cost effective way of creating a brand awareness with an online audience. Many companies use social media like face book, YouTube, blogs etc.

CHALLENGES
Maintaining Brand Awareness is a very important aspect in marketing a company. It is imperative and very helpful to analyze the response your audience has towards the

change in packaging, advertising, products and messages sent across through various means. Working towards creating an image in the minds of the consumers is not the last thing a company should aim to do. Inviting consumer feedback and maintaining a constant presence in the market is equally essential. Availability of the product to the consumer is one such way of doing this. The consumer should not have to come looking for you when he is in need of making a second purchase of the product, dealerships and outlets at convenient places should make the consumer think of the brand as the most convenient and best solution to his need fulfillment. While brand awareness scores tend to be quite stable at aggregate level, individual consumers show considerable propensity to change their responses to recall based brand awareness measures. For top of mind recall measures, consumers give the same answer in two interviews typically only 50% the time. Similar low levels of consistency in response have been recorded for other cues to elicit brand name responses.

Marque or make are often used to denote a brand of motor vehicle, which may be distinguished from a car model. A concept brand is a brand that is associated with an abstract concept, like breast cancer awareness or environmentalism, rather than a specific product, service, or business. A commodity brand is a brand associated with a commodity. Brand elements Brands typically are made up of various elements, such as:

Name: The word or words used to identify a company, product, service, or concept. Logo: The visual trademark that identifies the brand. Tagline or Catchphrase: "The Quicker Picker Upper" is associated with Bounty paper towels. "Can you hear me now" is an important part of the Verizon brand.

Graphics: The dynamic ribbon is a trademarked part of Coca-Cola's brand. Shapes: The distinctive shapes of the Coca-Cola bottle and of the Volkswagen Beetle are trademarked elements of those brands.

Colors: Owens-Corning is the only brand of fiberglass insulation that can be pink.

Sounds: A unique tune or set of notes can denote a brand. NBC's chimes are a famous example.

Scents: The rose-jasmine-musk scent of Chanel No. 5 is trademarked. Tastes: Kentucky Fried Chicken has trademarked its special recipe of eleven herbs and spices for fried chicken.

Movements: Lamborghini has trademarked the upward motion of its car doors. Customer relationship management

Brand awareness Brand awareness refers to customers' ability to recall and recognize the brand under different conditions and link to the brand name, logo, jingles and so on to certain associations in memory. It consists of both brand recognition and brand recall. It helps the customers to understand to which product or service category the particular brand belongs and what products and services are sold under the brand name. It also ensures that customers know which of their needs are satisfied by the brand through its products (Keller). Brand awareness is of critical importance since customers will not consider your brand if they are not aware of it. There are various levels of brand awareness that require different levels and combinations of brand recognition and recall. Top-of-Mind is the goal of most companies. Top-of-mind awareness occurs when your brand is what pops into a consumers mind when asked to name brands in a product category. For example, when someone is asked to name a type of facial tissue, the common answer is Kleenex, which is a top -ofmind brand. Aided Awareness occurs when a consumer is shown or reads a list of brands, and expresses familiarity with your brand only after they hear or see it as a type of memory aide. Strategic Awareness occurs when your brand is not only top-of-mind to consumers, but also has distinctive qualities that stick out to consumers as making it better than the other brands in your market. The distinctions that set your product apart from the competition is also known as the Unique Selling Point or USP. Marketing mix modeling can help marketing leaders optimize how they spend marketing monies to maximize the impact on Brand Awareness or sales effects. Managing brands for value

creation will often involve applying marketing mix modeling techniques in conjunction with brand valuation. Brand Awareness is the extent to which a brand is recognized by

potential customers, and is correctly associated with a particular product. Expressed usually as a percentage of target market, brand awareness is the primary goal of advertising in the early months or years of a product's introduction. Brand awareness is the extent to which the consumer associates the brand with the product he desires to buy. It is the brand recall and the brand recognition of the company to the consumers. Brand recall is the ability of the consumer to recollect the brand with reference to the product where as brand recognition is the potential of the consumer to retrieve the past knowledge of the brand when enquired about the brand or shown an image of the brand logo. Brand awareness is an essential part of brand development which helps the brand to stand out from the others in this monopolistically competitive market. A brand name that is well known to the great majority of households is also called a household name. "Awareness, attitudes, and usage (AAU) metrics relate closely to what has been called the Hierarchy of Effects, an assumption that customers progress through sequential stages from lack of awareness, through initial purchase of a product, to brand loyalty." In total, these AAU metrics allow companies to track trends in customer knowledge and attitudes. Brand awareness plays a major role in a consumers buying decision process. The knowledge of an acquaintance or friend having used the product in the past or a high recognition of the product through constant advertisements and associations coaxes the person to make his decision in the favour of the brand. The eventual goal of most businesses is to make profits and increase sales. Businesses intend to increase their consumer pool and encourage repeat purchases. Apple is a brilliant example of how there is a very high recognition of the brand logo and high anticipation of a new product being released by the company. An iPod is the first thing that pops into our minds when we think of purchasing an mp3 player. iPod is used as a replaceable noun to describe an mp3 player. Finally, high brand awareness about a product suggests that the brand is easily recognizable and accepted by the market in a way that the brand is

differentiated from similar products and other competitors. Brand building also helps in improving brand loyalty.

Types of Brand Awareness Aided Awareness- This type of awareness is generated in a consumer. When asked about a product category, if the consumer is aided with a list of company names and he recognizes the company from the given set it is categorized as aided awareness. Top of the mind Awareness- When the name of the company is automatically recollected because the consumer very promptly associates the brand with the product category, it is called a top of the mind awareness of the product. Channels of Brand Awareness There are many ways to generate brand awareness in the consumers. Listed below are four such channels. Advertising is the activity or profession of producing information for promoting the sale of commercial products or services. Advertising is used through various media to generate brand awareness within consumers. They can be aired as radio ads, television commercials, internet etc. Guerrilla Marketing tactics allow every small firm to compete with bigger firms by carving out narrow but profitable niches. These tactics include (1) extreme specialization (2) aiming every effort at favourably impressing the customers (3) providing service that goes beyond the customers' expectations (4) fast response time (5) quick turnaround of jobs and (6) working hours that match the customer's requirements. The term 'Guerrilla Marketing' is a registered trademark of author Jay Levinson who popularized it through his several 'Guerrilla' books.

It is an out of the ordinary way of marketing a product. Low-cost channels can be utilised to generate a high level of interest in the product and create brand awareness. Utilisation of personal contacts is the most popular way of guerrilla marketing. Product Placement is an advertising technique used by companies to subtly promote their products through a nontraditional advertising technique, usually through appearances in film, television, or other media. A formal agreement between the product manufacturer and a media company can be generated through which the media company also receives an economic benefit, usually in the form of a fee. The media company in return will showcase the product through any of the various means they have available to make the brand stand out. Some people, however, consider product placement to be deceptive and unethical.

Challenges Maintaining Brand Awareness is a very important aspect in marketing a company. It is imperative and very helpful to analyse the response your audience has towards the change in packaging, advertising, products and messages sent across through various means. Working towards creating an image in the minds of the consumers is not the last thing a company should aim to do. Inviting consumer feedback and maintaining a constant presence in the market is equally essential. Availability of the product to the consumer is one such way of doing this. The consumer should not have to come looking for you when he is in need of making a second purchase of the product, dealerships and outlets at convenient places should make the consumer think of the brand as the most convenient and best solution to his need fulfilment. While brand awareness scores tend to be quite stable at aggregate level, individual consumers show considerable propensity to change their responses to recall based brand awareness measures. For top of mind recall measures, consumers give the same answer in two interviews typically only 50% the time. Similar low levels of consistency in response have been recorded for other cues to elicit brand name responses. Brand awareness is defined as the likelihood that consumers recognize the existence and availability of a company's product or service. Creating brand awareness is one of the key steps in promoting a product. Brand awareness is an important way of promoting commodity-related products. This is because for these products, there are very few factors that differentiate one product from its competitors. Therefore, the product that maintains the highest brand awareness compared to its competitors will usually get the most sales. Brand awareness is the probability that consumers are familiar about the life and availability of the product. It is the degree to which consumers precisely associate the brand with the specific product. It is measured as ratio of niche market that has former knowledge of brand. Brand awareness includes both brand recognition as well as brand recall. Brand recognition is the ability of consumer to recognize prior knowledge of brand when they are asked questions about that brand or when they are shown that specific brand, i.e., the consumers can clearly differentiate the brand as having being earlier noticed or heard. While brand recall is the potential of customer to recover a brand from his memory

when given the product class/category, needs satisfied by that category or buying scenario as a signal. In other words, it refers that consumers should correctly recover brand from the memory when given a clue or he can recall the specific brand when the product category is mentioned. It is generally easier to recognize a brand rather than recall it from the memory. Brand awareness is improved to the extent to which brand names are selected that is simple and easy to pronounce or spell; known and expressive; and unique as well as distinct. The relative importance of brand recall and recognition will rely on the degree to which consumers make product-related decisions with the brand present or not. For instance - In a store, brand recognition is more crucial as the brand will be physically present. In a scenario where brands are not physically present, brand recall is more significant (as in case of services and online brands). Building brand awareness is essential for building brand equity. It includes use of various renowned channels of promotion such as advertising, word of mouth publicity, social media like blogs, sponsorships, launching events, etc. To create brand awareness, it is important to create reliable brand image, slogans and taglines. The brand message to be communicated should also be consistent. Strong brand awareness leads to high sales and high market share. Brand awareness can be regarded as a means through which consumers become acquainted and familiar with a brand and recognize that brand. The ultimate goal of most businesses is to increase sales and income. Ideally, you want to attract new customers to your products and encourage repeat purchases. Brand awareness refers to how aware customers and potential customers are of your business and its products. Within a week after its introduction, surveys found that more than 90% of US consumers had heard about the iPhone as a result of advertising and news reports. This is exceptionally high brand awareness. Ultimately, achieving successful brand awareness means that your brand is well known and is easily recognizable. Brand awareness is crucial to differentiating your product from other similar products and competitors.

Brand Awareness Plan The major components of a plan to develop brand awareness are: Identifying and understanding your target customers Creating a company name, logo, and slogans Adding value through packaging, location, service, special events, etc. Advertising After-sale follow-up and customer relations management Targeting the right audience is crucial to your success. Of similar importance is understanding that you need a plan along with specic actions that increase awareness of your brand amongst your consumers. Throughout the entire process of creating a brand, it is of utmost importance to consider how what you do will increase brand awareness.

Impact of brand awareness on consumer decision making


Extent to which a brand is recognized by potential customers, and is correctly associated with a particular product Expressed usually as a percentage of target market, brand awareness is the primary goal of advertising in the early months or years of a product's introduction ( Noel. K, Francoise.R.1995),Brand awareness, In general, means the extent to which a brand associated with a particular product is documented by potential and existing customers either positively or negatively. Creation of brand awareness is the primary goal of advertising at the beginning of any product's life cycle in target markets. In fact, brand awareness has influence on buying behavior of a buyer. (Noel. K, Francoise. R. 1995), Brand awareness can be measured by showing a consumer the brand and asking whether or not they knew of it beforehand. However, in common market research practice a variety of recognition and recall measures of brand awareness are employed all of which test the brand name's association to a product category cue, this came about because most market research in the 20th Century was conducted by post or telephone, actually showing the brand to consumers usually required more expensive face-to-face interviews (until web-based interviews became possible). (Noel. K, Francoise. R. 1995), this has led many textbooks to conceptualize brand awareness simply as its measures, that is, knowledge that the brand is a member of a particular product category, e.g. soft-drinks. Examples of such measures

include: 1).Brand recognition - Either the brand name or both the brand name and category name are presented to respondents. 2).Brand recall - the product category name is given to respondents who are asked to recall as many brands as possible that are members of the category. 3).Top of mind awareness - as above, but only the first brand recalled is recorded (also known as spontaneous brand recall The likelihood that consumers recognize the existence and availability of a company's product or service. Creating brand awareness is one of the key steps in promoting a product. Brand awareness is an important way of promoting commodity-related products. This is because for these products, there are very few factors that differentiate one product from its competitors. Therefore, the product that maintains the highest brand awareness compared to its competitors will usually get the most sales.

Benefits of Increased Brand Awareness Marketing experts discuss the importance of raising and measuring brand awareness all the time. Along with customer loyalty, this is one of the two most important brand variables in marketing. But if youre trying to make the case to your board, your boss, or your CFO to support investing in marketing activities to raise brand awareness, what are specific factors or metrics you can look at to support your argument? The following areas can help you make a strong case about the value of brand awareness activities and research.

Increased brand awareness lowers your customer acquisition costs: The cost of acquiring new customers is a major cost center for most businesses. Increased brand awareness helps draw customers to you through low or no cost methods. Understanding your current cost of acquiring new customers and quantifying the benefits of lowering that through raised brand awareness can be a compelling financial argument.

Ongoing brand awareness ramps up customer loyalty: Since acquiring new customers is such a costly process, retaining customers and bringing them back again and again is critical to long-term business sustainability. Brand loyalty creates a certain level of security for businesses. Brand awareness plays an important role in repeat customer activity. Once a customer has purchased from you, do you utilize tools such as newsletters, promotions, and satisfaction surveys to stay in touch? These simple actions can sustain brand awareness among your pool of existing customers.

Using brand awareness through retargeting captures lost leads: Retargeting is the process of reconnecting with customers who almost bought, and encouraging them to close the sale. Transactions can be abandoned for any number of reasons, from tech issues to simple interruptions. Following up with customers who loaded items into an online shopping cart for example, and then failed to check out, can help e-commerce companies capture significant revenue. The retargeted customers existing familiarity with the brand can be leveraged, in partnership with an incentive such as an x% off coupon, to successfully complete a purchase.

Unaided vs. aided recall data can help cut marketing spend: One of the fundamental approaches to brand awareness research is to understand whether a customer has aided or unaided recall of your product. Aided recall research asks customers specifically what their thoughts, awareness, or associations are with a specific brand. Unaided recall research will ask a subject to share all the brands of a specific product, for example SUVs, that they can think of unprompted. Depending on the data that this research yields, marketing departments can understand whether its important to focus on getting their name in front of new customers or improving their image with people who already know about their brand. Focusing on specific priorities can reduce overall marketing spend.

Brand awareness can be a useful executive metric: Executives outside of marketing are consistently looking for metrics that they can report to the CEO, the board, the shareholders, and other stakeholders as evidence of a

companys success. While financial results and sales data trump most other inputs, increased brand awareness can signal the yield on efforts to break into new markets and provide tangible evidence of a companys potential for growth. This alone can be a successful argument for why this is important to measure brand awareness and then track it over time.