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Branding in Fashion

and Luxury
Session 13

One word two meaning

BRAND

Recognizable
identity, name, logo
or other symbol
which acts as a
means of
communication
between
organizations &
conusumers

Particular business
model in which a
company creates
desirable products
and utilizes thirdparty channels to
distribute them

A brand has grown to mean much more than a logo.


Branding begins with the consistency of presentation that becomes
the identity of a company.
Beyond this it represents a consistent value system that a company
presents to the world and that is seen to be that companys way of
doing things.
On this branding ladder, the challenge is to move beyond the
graphic symbols and metaphors to get to the more difficult cultural
uniformity that customers and potential customers recognize and
value.

Why Should We Be Interested In Branding?


Two companies whose products are virtually indistinguishable.
In fact, the two companies compete in a large market in which
there are dozens of competitors. However the two companies
regularly obtain a 30% premium on their competitors.
This is because Coca-Cola and Pepsi-Cola have persuaded us
that the phosphoric acid, the H2O, flavourings, colourings, sugar
and what ever else they throw into the dark sticky brew is better
than that mixed by others and indeed better than simple H2O
itself.

What is a brand ?

What a brand means to common


person ?
In 'blind' taste tests, people prefer
the taste of Pepsi over the taste of
Coke. However, if the test is not
'blind' and the tasters know which
beverage is which, they prefer the
taste of Coke over Pepsi! That is the
emotional power of a brand. The
Coca-Cola brand has the power to
actually change an individual's
taste!
Coca-cola is the no.1 brand in the
world.
The first shape that was registered is
the coca cola bottle.

B2B Branding
Customers value quality and reliability in the service provided, as opposed
to conspicuous image.
End user fashion consumer who buy clients products, would not know of
the PR agency involved.
Most contract clothing manufacturers do not brand themselves to
consumers and their products are sold with the retailers brand logo on
them through the retailers own stores.

B2C Branding
Consumers are more numerous and
diverse.
Likely to be less loyal
Demand a badge that can be worn
conspicuously

What is a brand ?

A traditional scenario of market


Company A

Product / services

Consumer

Company B

Company C

In a traditional market scenario, the company is catering to the


consumer.
The number of competitors are small.
In these markets the companies can come with advanced
technologies and other strategies to capture more market share.
(The size and power of the players is important.)

What is a brand ?

Company A
Company B

Product / services

Consumer

Company C

In complex markets, the differences between companies are not


much.
The companies can not differentiate much themselves from others
on the basis of quality and technology etc. factors as all the
companies are competent enough.
This scenario explains the need for the differentiation for the
companies.

What is a brand ?

Branding is an effort to give a unique identity to the companys


products and create emotional associations with consumers.
It is a form of marketing.
A brand is a set of associations that are linked to a product range, a
division, or company.
These associations reside in the memory of customers.
These associations help customers understand
what the brand or company is,
why it is potentially relevant to them,
how it is different or similar to other products made by the
company,
and how it is similar or different from competitors
products.

What is a brand ?
Branding is a combined effort of the company which is projected to
the consumer.

Marketing

Company

Design

Brand

Consumer

What is a brand ?
(1) Products and services have become so alike that they fail to distinguish
themselves by their quality, efficacy, reliability, assurance and care. Brands
add emotion and trust to these products and services, thus providing clues
that simplify consumers choice.
(2) These added emotions and trust help create a relationship between brands
and consumers, which ensures consumers loyalty to the brands.
(3) Brands create aspirational lifestyles based on these consumer relationships.
Associating oneself with a brand transfers these lifestyles onto consumers.
(4) The branded lifestyles extol values over and above the brands product or
service category that allow the brands to be extended into other product
and service categories. Thus saving companies the trouble and costs of
developing new brands, while entering new lucrative markets.
(5) The combination of emotions, relationships, lifestyles and values allows
brand owners to charge a price premium for their products and services,
which otherwise are barely distinguishable from generics.

Integrity of Brand
Product Packaging

Product A

Company

Websites

logo

Product B
Advertisements
A brand is a promise. A promise to achieve certain results, deliver a
certain experience, or act in a certain way. A promise that is conveyed by
everything people see, hear, touch, taste or smell about your business.

Methods of expressing a brand

w is branding physically applied?

1. On the outside or inside of the garment/ product


2. Packaging when garment is sold
3. Printed communications
4. Transport
5. All advertising and publicity
6. Personal
7. Sound
8. Retail outlets

What is in a name?
The name: refers to the company or
product name that is used to articulate
the brand.
A logo: is another expression of a
companys brand name.
A signature: is often used in fashion &
luxury to reference a distinctive designer
who may not have the size or level of
recognition to be a significant brand.
A unique product attribute: a
distinctive product attribute inevitably
has the visible capability to convey
brand image and values but is more
likely to do so through the evolution of
companys history rather than as a

Colour and Sound

AIRTEL music

Brand Positioning

In marketing, positioning is the process by which marketers try to create an image or


identity in the minds of their target market for its product, brand, or organization.
Brand positioning refers to target consumers reason to buy your brand in
preference to others. It is ensures that all brand activity has a common aim; is guided,
directed and delivered by the brands benefits/reasons to buy; and it focuses at all points
of contact with the consumer.
Brand positioning must make sure that:
Is it unique/distinctive vs. competitors ?
Is it significant and encouraging to the niche market ?
Is it appropriate to all major geographic markets and businesses ?
Is the proposition validated with unique, appropriate and original products ?
Is it sustainable - can it be delivered constantly across all points of contact with the
consumer ?
Is it helpful for organization to achieve its financial goals ?
Is it able to support and boost up the organization ?

Brand Positioning

A brand image and message must make sense to the customers, who seek
reassurance that is relevant to their needs and aspirations.

Customer
Loyalty

A companys brand positioning may shift slightly from its original one through
co-branding.
Co-branding describes the strategic link between two operating brands that
believe a synergy develops from a collaboration.
e.g. Armani and Mercedes
Karl Lagerfeld designed for H&Ms Autumn Winter Line

Brand Extensions
Brand Extension is the use of an established brand name in new product
categories.
This new category to which the brand is extended can be related or unrelated
to the existing product categories.
A renowned/successful brand helps an organization to launch products in new
categories more easily.
For instance, Nikes brand core product is shoes. But it is now extended to
sunglasses, soccer balls, basketballs, and golf equipments.
An existing brand that gives rise to a brand extension is referred to as parent
brand.
If the customers of the new business have values and aspirations
synchronizing/matching those of the core business, and if these values and
aspirations are embodied in the brand, it is likely to be accepted by customers
in the new business.
Boundaries exist in consumers minds about the credibility of a brand selling
particular products.

Instances where brand extension has been a success areWipro which was originally into computers has extended into shampoo,
powder, and soap.
Mars is no longer a famous bar only, but an ice-cream, chocolate drink
and a slab of chocolate.
Haute Couture designers into perfume, cosmetics and beauty products

What makes up a brand??

Brand models and theory

Brand models and theory

One word brand equity


Successful brands have relied on simple, clear cut proposition that
summarizes a brand concept as concisely as possible.
Advocates believe that by effectively taking ownership of a word, a brand
will more easily take root in the consumers mind.

Brand Image & Values


Brand image refers to a particular mental picture and set of feelings
that consumers have about a brand.
Brand values normally refers to those values and philosophies held
by a brand which are used to differentiate that brand from its
competitors.

Bogus Brands
These are imitation brands that use names which reference particular national
stereotypes, affording them a perceived quality and design status.
Found at value end of the market.
e.g. a name that includes London, New York etc may be falsely associated with the
fashion status of the city.

Why bother Branding??


Brand conscious society. Desire
products with meaning, image and
emotional benefits

With increased competition, its become


difficult for consumers to differentiate

Growth of Experiential Retailing

Benefits of Branding

In fashion, the benefits sought from the products that an


individual buys tend to relate to how that individual will be seen
by others.
Fashion is highly disposable and has limited life span,
consumers buy regularly and there is potential for repeat
purchasing.

nefits of Branding: to a business

fits of Branding: to customers of branding

How to Brands work?


Interbrand has identified five portals to a
consumers mind

Brands Loyalty
It refers to the deliberate and sustained customer preference for one brands
products over other brands products. The key reason why companies brand
themselves.
Brand Loyalty depends on:
Type of market
Intangible benefits
Competition, and
Subsequent risk to customers of brand switching

w do you measure Brands Loyalty?

elationship Marketing
It is a strategic approach used by a
company to retain customers through the
delivery of real value and quality products
and services that are differentiated from
competitors.
Achieved through:
High commitment to meeting customers
expectations
Service provisions, and
A continuous dialogue with customers
over their needs and wants

tegories of Fashion Brands

Own Labels ---Own Brands


Manufacture
rs

Branding strategy is to
create desire in
customers so that
retailers stock the
product
Sell the products
made by
manufacturers and
invest in stores

Retailers

Retailers

Own labels

Own Brands

Improved quality
competing with
Manufacturers brand

P
A
S
T

P
R
E
S
E
N
T

Luxury Brands
Until 1990s the luxury
industry was niche.
Focused on very
wealthy and
sophisticated
consumers.
Many began as leather
goods business. E.g.
Gucci, LVMH etc

Late 1990s , they


became formulaic, using
image communication,
directly opened stores
and runway shows.
Strong fashion identity.
DNA, Dynasty and
heritage

End of Session

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