Professional Documents
Culture Documents
the brand knowledge has on the customers response to the marketing of that brand. There are three ingredients: Differential effect Brand knowledge Consumers response to marketing
Brand Knowledge
Brand Knowledge
Brand salience
Brand awareness Brand recognition Brand recall
1.
Performance
Primary characteristics & secondary features
Reliability
Durability Serviceability
Brand imagery
User profile
Gender:
Age:
Race: Income:
Excitement
Daring Daring Trendy Exciting Spirited Spirited Cool Young Imaginative Imaginative Unique Up-to-date Up-to-date Independent Contempora ry
Competence
Reliable Reliable Hard working Secure Intelligent Intelligent Technical Corporate Successful Successful Leader Confident
Sophistication Ruggedness
Upper-class Upper class Glamorous Good looking Charming Charming Feminine Smooth Outdoorsy Outdoorsy Masculine Western Tough Tough Rugged
Brand judgment
Quality
Credibility
Perceived expertise-competent, innovative and market leader 2. Trustworthiness- dependable, keeping customers interest in mind 3. Likability- fun, interesting and worth spending time Brand consideration Brand superiority
1.
Brand feelings
Warmth
Fun
Excitement Security
Social approval
Self respect
Brand resonance
Behavioral loyalty
Attitudinal attachment
Sense of community Active engagement
Learning objectives
Rationale for tracking a brand
Brand audit
Brand audit is a consumer focused exercise that
involves a series of procedures to asses the health of the brand, uncover its source of brand equity and suggest the ways to improve and leverage its equity. Its a tool to bridge in the gap between what company envisions the brand to be and how the consumers perceive the same.
What to track?
1.
Organizational vision and culture Leadership and commitment of top management Culture congenial to engage employees Awareness and commitment of employees towards vision, values and beliefs of organization The relevance of brand values to stakeholders in general
2. Brand objectives
Our mission statement summarizes how we plan to achieve this and consists of four main aspects: We want to make our customers, employees and investors more successful. We always demonstrate respect without compromising on results. We simplify our customers lives. We want to make a positive contribution to our world.
highlight the brand The extent to which employees are in tune with the personality of the brand The gap between the organizations design of and consumers perception of brand personality
brand value Weather the price is as per the brand image The degree to which the brand positioning is in line with brand personality Weather the delivery of the brand is appropriate. The kind of distribution channel followed by the customer.
the attitudes and beliefs of the customers towards the brand. The degree to which the customers perception is in line with the brand identity The meaning of the brand for the customers
Research techniques
Exploratory research through qualitative techniques
Secondary data search 2. Survey of knowledgeable people Depth interview Focus interview 3. Free associations 4. Projective techniques Completions and interpretation tasks Comparison tasks
1.
branding Brand perception Changing demographic trends and lifestyles Model of consumer brand buying decision process Various factors affecting consumer behaviour Various factors affecting brand loyalty
Introduction
According to Davis (2000) ... to maximize the customer-brand relationship, a company must understand how customers think, act, perceive, and make purchase decisions. This highlights the necessity of understanding the consumers brand purchase behaviour by the brand managers
Importance of CB
The post modern study of consumer behaviour is
not to predict and manipulate consumer behaviour but to better understand consumer behaviour.
reality but instead consumer perceptions.
The focus of marketers should not be objective The net result of the changing role of the consumer
is that companies can no longer act independently. They need to understand how the consumer is behaving, how they are gathering information, their major considerations while purchasing the brand, and the factors influencing the purchase behaviour.
optimum solution in a given market makes it easier for an organization to earn their long-term trust, purchases, and loyalty. consumer behaviour can, with practice, be used to develop sound marketing strategies. brand development activity for holistic development of the firm in the long term.
with brands both national and international. The customer has a number of options to choose from and their attitude towards a brand is very influential in the purchase decision-making process. brands are purchased not once but repeatedly, in many cases in predictably regular patterns; hence the truth of the saying that when we build brands we are making customers and not just sales.
Some
(with varying degrees of irregularity) more than one brand. This introduces the extremely important concept of the repertoire of brands.
communicates a distinct advantage to the consumer. Companies recognize the value of having strong brands in their portfolio as it helps them build a loyal customer base
Components
Perception about
Evaluation of performance capabilities Usage effectiveness Value for money Reliability Availability
Taste Pride Self expression Belongingness to a group Sense of prestige Social approval
Benefits
Intrinsic
Extrinsic
Brand gap
Brand
image is defined as the customers perception of brand identity. Brand identity portrayed by the organization can be same or different from the brand image formed by customers on the basis of their experience. If the brand image is the same as the brand identity then no brand gap exists. For this to happen companies need to have an understanding of the attitude and purchase process of the consumers
Input
Process
Output
Divestment
Feedback
Socio-cultural environment Motivation Beliefs Attitude Personality Age and life-cycle stages Occupation and economic circumstances Lifestyle Self-concept and perception Learning and memory Role of the family
Brand loyalty
Brand loyalty is defined as the consumers commitment
towards a particular brand so much so that they are constantly looking out for marketing activities associated with the brand and are motivated to obtain the brand exclusively on every purchase. Research shows that
a 1% increase in customer loyalty equals 10% cost reduction and 5% increase in customer loyalty increases the profitability of the company by 40-95% Also, the cost of attracting a new customer is five times more than the cost of retaining an existing customer
strategies
Companies can charge higher margins Increases the probability of success in brand
not readily shift over with the change in prices by the competitor brands.
to purchase the promoted brand in small quantities but the brand loyal customers are found to buy more of the promoted brand than they would normally buy than price promotions.
Brand trust
Family ties
Childhood association
Brand Loyalty
Customer satisfaction
Involvemen t
Perceived value
Commitment
Brand commitment
The consumers commitment links them to the
marketing organization and is the act of maintaining a relationship with a commercial partner. If a customer is committed towards a brand, it can be safely presumed that the customer is brand loyal, frequently purchases the brand, and has a favourable attitude towards the brand. Commitment can be built by building brand communities online or by forming clubs.
Brand Positioning
Arranging for a product to occupy a clear, distinctive, and desirable place in the market, and in the minds of the target consumers. Kotler (1984) This definition thus specifies that
first the brand needs to be distinguished or distinct from other brands in the market and second that it is a desirable place in the minds of the consumers. That is the brand is as good as what the customers think about it.
Importance of Positioning
Positioning is how the brand is unique and relevant for
consumers
Positioning statement
Positioning statement is the message that
communicates brand image to consumers it conveys to consumers how one firms offering are differentiated from a competitors and signals how the firm wishes to be seen or perceived. A strong and consistent positioning statement is necessary to stand out against competitors and should help sharpen and strengthen the brand identity
authored by Geoffrey Moore (cited in The Beaupre Buzz, 2003) and is as follows:
For (target customers) Who (have the following problem) Our product is a (describe the product or solution) That provides (cite the breakthrough capability) Unlike (reference competition), Our product/solution (describe the key point of competitive differentiation)
contemporary, accessible, eating place for families including children and young adults, serving the widest variety of Indian and International food, beverages and desserts, at affordable prices.
Segmentation
Consumer based Buying situation based
TARGETING
Positioning Strategy
CHANGING CONSUMER TRENDS
SITUATIONAL ANALYSIS
Internal corporate analysis Current positioning (if repositioning) External market analysis
COMPETITOR ANALYSIS
Product form, product ingredients, product attributes, product characteristics and customer benefits, product use, product class
Image
Customer care and service Corporate identity