Brand

Management-
MR411

Semester IV, KIMDS

Major Responsibilities of Product Management
Functions
 Brand Management

L.O  Consumer Brand Knowledge

Composite Measure of Brand Equity
Customer Based Brand Equity
 Brand Equity Increases
Value
Brand Loyalty

Brand Awareness Value to Customer

Perceived Quality
Brand
Value to Firm
Equity
Brand Associations

Other Brand Assets

 Brand Identity System

Brand Identity
Brand as Brand as Brand as Brand as
Product Organization Person Symbol

Value Proposition Credibility

Brand-Customer Relationship
Consumer Brand
knowledge
 Just Think …
• When is a brand more than just a brand?
• Have you ever based a purchasing decision
primarily on the brand?
• Was it because of some perceived quality
difference, or was it based on the expectation of
how others would see or treat you?
• Have you ever seen someone buying a given
brand in an attempt to be seen as “cool”?
Power of Brand

 Brands exist in the mind of the people

 So, in building brand value, perception
is more important than reality
 Power of a brand to influence
perception can transform experience
of using the product
 Aaker’s five levels of customer
attitude:
 The customer will change brands, especially for
price reasons. No brand loyalty.
 Customer is satisfied. No reason to change
brands.
 Customer is satisfied and would incur cost by
changing brand.
 Customer values the brand and sees it as a
friend.
 Customer is devoted to the brand.

11-10
 Social Psychology of a Brand
Involvement Brand Attributes Consumer Benefits

Symbolic Social language of

Meaning brand
Self-enhancement
Personality Self-positioning
Emotional Authenticity
Realm
Transformation of
experience
Reassurance
Safe Choice
Easy Choice

Functional Certainty in an
Realm Keeping Promise Uncertain world
Of Performance

Replicability of satisfaction
Classical Model of Consumer Choice
Need/ opportunity
Recognition

Information Search

Evaluation of Alternatives

Purchase

Outcome of Purchase
 Factors Influencing Consumer
Involvement in Products
 Inexpensive Price  Expensive

 Frequent Frequency of purchase  Infrequent

 Snack Food Symbolic meaning  Clothes

 Soap Social visibility  Watch

Time commitment
 Soft Drink  Dishwasher
Potential to harm
 Calculator  Skis

 Book Technical Complexity  Running shoes

 Brand knowledge (Keller)

brand recognition
brand
awareness
brand recall

brand
knowledge types of brand associations

brand strength of associations

image
favorability of associations
uniqueness of associations
 A Consumer’s Brand Beliefs
about Computers
Computer Attribute
Memory Graphics Size and
Capacity Capability Weight Price
A 10 8 6 4

B 8 9 8 3

C 6 8 10 5

D 4 3 7 8

1-15
The Buying Decision Process
• Strategies designed to stimulate interest in a
computer
• Redesign the computer
• Alter beliefs about the brand
• Alter beliefs about competitors’ brands
• Alter the importance weights
• Call attention to neglected attributes
• Shift the buyer’s ideas

1-16
Customer Cost of Three
Brands
A B C
Price $100 $ 90 $ 80

Acquisition costs 15 25 30

Usage costs 4 7 10

Maintenance costs 2 3 7

Ownership costs 3 3 5

Disposal costs 6 5 8
Total costs $130 $135 $140

1-18
 Types of brand associations
 Product attributes
 Product-related (intrinsic)
 Non-product-related (extrinsic)

 Product benefits
 Functional
 Psychosocial

 Attitudes
 Customer-based brand equity
and its management
 customer-based brand equity as the differential
effect of brand knowledge on consumers’
reactions to the marketing of the brand;
 building CBBE:
 choosing brand identities
 developing supporting marketing programs to create
strong brand awareness and establish a desired
brand image
 leveraging secondary associations
 importance of consistency over time and across
markets
 Measurement of CBBE

 direct approach: experiments in which

consumers’ responses to marketing for the
brand are compared with reactions to
marketing for fictitious or unknown products;
use of conjoint analysis;
 indirect approach:
 brand awareness: various recognition and recall
tasks;
 brand image: qualitative (free association,
projective techniques) and quantitative (strength
and favorability) methods;
To Enhance Brand
Knowledge
 Build brands through performance,
not just advertising

 From over-promise, under-deliver

to under-promise, over-deliver
Influence Brand personality
through
• Sincerity

• Excitement

• Competence

• Sophistication

• Ruggedness