Prelude

I am Atif A. Farooqui

Education MBA Thames Valley University London (2005)

MBA Bahria University Karachi (2001)

Specialization Marketing

Experience Asst. Brand Manager - BIC Razor (The Marketing Pvt. Ltd)
Trade Category Manager Modern Trade Unilever Pakistan Ltd

Course Instructor Strategic Marketing & Consumer Behavior

Brand Management & Service Marketing
Brand Management
Category Management & Trade Marketing
Work-Shop Leadership, Negotiation, Category Management & Motivation

Guest Speaker Hamdard University, Karachi University & Bahria University

DOB 20th Feb19

Burning or Brand

BRAND
Lets begin with the beginning
How did Brand come in to being ?
 Advance Branding

Growing Brand
Age
Mass Media
Modern Branding

Brand Strategy
Brand Evolution
Position
Differentiation
Proper Trademark came in to being after fall of Rome Activation
Persuasion
Re-Vamp
Re Launch

COMMUNICATION
Stamping Livestock &
Typical mark on potteries in Rome ATL (Above the line activity)
BTL (Below the line activity)
What is a BRAND ?
A Brand is a name, term, sign, symbol, design or
combination of them, intend to identify the goods
and service of one seller or group of sellers an to
differentiate them from others
AMA. Ref Text Book
 Can be identified by:
• Name • Abbreviation
• Colour • Texture
• Logo • Mold
• Music • Sound
• Slogan • Ambassador
 A brand is a singular idea or
concept that you own inside the
mind of a prospect
The brand is nothing more than an
ongoing relationship in which a
customer exchanges financial value
with the marketing organization [your
business] for the use of the benefits
the brand provides
 Brand Name Strategies
• Some Companies use their name for all of their
product “ Samsung” & “GE”
• Some Companies named their product as
Unilever : Lux, Sunsilk, Wall’s & Surf
Procter & Gamble: Pampers, Tide & Pantene
• Some Companies go for Brand name with
inherent product meaning as “British Airways” &
“Just Juice”
And so on
 Brand Vs Product

Product is a Brand or Brand is a Product..!!

Discussion………………….
If not, then what is a product
 What is a Product?
Anything that can be offered to a
market for attention, acquisition, use,
or consumption and that might satisfy a
want or need. Ref:
What is services Marketing
Search engine googles

– Includes: Goods, services, events,

persons, places, organizations, ideas,
or some combination thereof.
Core Product

Fundamental need
Examples of Product Concept
 What else it does…
Some create competitive advantages with product performance .
Eg:
Wall’s: through innovation Gillette: Novelty & Innovation
Nokia: User friendliness Nike: Comfort & Durability

Some create competitive advantages with non-product-related means

Eg:
Coca-Cola: through sharp images Geo TV: Word of mouth

Creates loyal consumer franchise by developing association through consumer

engagement

Develop intangible asset for the firm what is far ahead than tangible ones

Brand Creates value what may translate in to financial term / profit for
both consumer and firm
 $
Does a brand have a dollar value?
Trust comes from meeting and beating customers expectations.

T = r + d
TRUST RELIABILITY DELIGHT
COCA-COLA CASE STUDY ALL TIME FAVORITE
 Significance of Brands
Consumer Context Manufacturers Context
• Identification • Identification to
• Responsibility to simplify handling
product maker • Legally protected
• Risk Reducer unique features
• Search cost reduce • Quality level to
• Promise, bond with satisfied customer
maker of product • Competitive
• Signal of quality advantages
• Financial Returns
 Reduces Risk In Product Decision

Functional Risk: Product does not perform up to the expectation

Physical Risk: The product poses a threat to the physical well-being or

health of the user or others
Financial Risk: Product not the worth price paid

Social Risk: The product results in embarrassment from others

Psychological Risk: The product affects the mental well-being of the

user
Time Risk: The failure of the product results in an opportunity cost of
finding another satisfactory product
May we Brand Everything

Firm wishes to have a brand All happens

Through firm
Marketing
program &
attributes being
Offered to
Design activity to get consumer
Space in consumer mind
Done

Consumer
Compare the brand
With other in the Difference
Same category Plays role
And develop In product
differences buying
Universality of Branding

Physical
Goods

Ideas Services

Retail
Places Branding
Stores

Online
Organization
Business

People
End of Session No.1
Why brands become
“Best Known Brand””
 Where is singer
How often you buy Dentonic
May you all recall Rajput Tasty Bread
How many of you shave with Touch Me
Do we still wear on Jennifer Cosmetic
How many of you bought Wrangler
Do we still bath with Yardley
QUIZ:
Which of these brands are charismatic?

JETBLUE HITACHI GOOGLE

EVERYDAY ACCENTURE DISNEY

CITIBANK KMART REEBOK

GENERAL ELECTRONIC BURGER KING NEWSWEEK

APPLE LEVI’S VIRGIN

FORD HOMEDEPOT

NISSAN IKEA
 Branding Challenges & Opportunities

What is more difficult making a Brand or managing a Brand

Discussion
 Branding Challenges & Opportunities

Savvy / Consumer Knowledge

• Consumer is mart enough to understand the difference
• You cannot pursue consumer through traditional way
• All marketers are aware what consumer wants

Brand Proliferation
When Company introduce new brands in the same productlines
and hence try to cover each and every market segment for that
product line
Eg: Hero Honda & Hero Honda Splendor
 Branding Challenges & Opportunities

Media Fragmentation
• Advertising is no more traditional.
• Marketer has to find consumer in bids and pieces so does he
communicate and advertise
Marketers are no more excited and delighted to have current TV
network…..Why…….because
Cost………………….
Clutter……………….
Fragmentation………
Technology…………
• Company has shrunk their advertising budget
• Companies are focusing on celebrities, sponsorship, sport & other
events
 Branding Challenges & Opportunities

Increased Competition
• Consumer offers , Trade Incentive and other promotion are
encouraged to meet the competition depending upon the market
situation and market concentration
• Markets are matured due to globalization, deregulation and price
war. Marketers may grow their product by snatching competitor
share.
• Mature Brand needs blood injection interm of new packaging,
offering. This may be termed as “Brand Rejuvenation”.
Brand Rejuvenation:
When marketer identifies that the decline stage for a brand has
come and the concern Brand is going to die marketer injects life
 The Brand Equity Concept
• Potential marketing concept started in 1980.
• Good news about the Brand equity concept it elevates
the brand. Bad news about the concept It has not not
any specific definition. This concept is defined in various
ways.
• Most of the marketers and gurus believing :
Brand Equity consists of marketing effects uniquely attributable to a
brand.
Brand Equity explains why different outcomes result from the
marketing of a branded product or services than if it were not
branded.
K. Keller
 Brand Equity
A positive differential effect that knowing the
brand name has on customer response to
the product or service.
• Brand equity results in customers showing
a preference for one product over another
when they are basically identical.
Internet Engine Google
 BRAND ASSOCIATION
• Brand association are the other
informational nodes linked to the brand
node in memory and contain the meaning
of the brand for consumers.

Internet Engine Google

Strategic Role in Brand Building

Customer Value + Competitive Advantages = Brand Strength

Brand Equity
 Building Strong Brand

Building Strong Brand

Strategic Role Responsibility of Brand Mgt Brand Initiative

Strategic Brand Management Process

“A process of designing & implementing of

marketing programs for building, measuring &
managing Brand Equity”
 •Mental Map
Identify & establish •Competitive Frame
Brand Positioning Value •Point of Parity & point of Difference
•Core Brand Association
•Brand Mantra

•Mixing & matching of Brand element

•Integrating brand marketing activities
Plan & Implement
•Leveraging secondary association
Brand Marketing Program

•Brand value chain

•Brand audit
•Brand tracking
Measure & Interpret •Brand equity management system
Brand Performance

•Brand Product Matrix

•Brand Portfolios
Grow & Sustain •Brand Expansion strategies
Brand Equity •Brand reinforcement & revitalization

Strategic Brand Management Process

 Strategic Brand Management Process

1. Identifying & Establishing Brand Positioning

Mental Map: Brand association with consumer through visual
Competitive Frame of Reference: Brand superiority in consumers’ mind vs
Competitor.
Point of Parity: Overcoming disadvantages to bring brand at competitors
advantages
Point of Difference: An advantage Brand has over competitor in the market
Brand Mantra: Core Brand Promise
 Strategic Brand Management Process

2. Planning & Implementing Brand Marketing Programs

Brand Elements: Brand elements are Brand name, logo, slogan all develop
great impact on consumer. What consumer thinks about the
brand by seeing and reading element.
Integrating Brand Marketing Activities: Marketing activities in the past &
ongoing by the firm for particylar brand have great impact on
brand building.
Leveraging Secondary Association: Brand is also linked with other
association like Region, country, channel , spoke person, co-
branding. These essential also participate vigorously to build
the brand equity
 Strategic Brand Management Process

3.Measuring & Interpreting Brand Performance

Brand Value Chain: It has great significance as it has always been the
value in low price. So trace the value creation process for
brand to better understand the financial impact.
Brand Audit: A brand audit is comprehensive examination of brand health,
equity, and suggest way forward.
Brand Tracking & Equity Management System: Keeping the finger on the
pulse of Brand’s changing trend. This is normally done through Brand
Management system which usually internal
 Strategic Brand Management Process

4.Growing & Sustaining Brand Equity:

Brand Matrix: Its simply representation through graph to know the trend.
Brand Portfolio: How many brand a firm carrying in Its basket. How all
Brand behaving who is cannibalizing what.
Brand Hierarchy: Displays the number & nature of common & distinctive
brand components across the firm’s product.
Brand Expansion Strategy:
Brand Reinforcement & Revitalization:
Customer Based Brand Equity
Chapter 2
 Customer Based Brand Equity
CBBE

Customer based brand equity is the differential

effect that brand knowledge has on consumer
response to the marketing of that brand
“Keller” SBM
 Customer Based Brand Equity
CBBE
Detailing
• CBBE model explain what brand equity is and how
should it be built in a better way.
• It answer to two basic questions:
1. What do different brands mean to consumer ?
2. How does the brand knowledge of consumers effect their response to
marketing activity ?
• Marketers facing challenges to build strong brand what
consumer is looking for and he feels good for that.
 Customer Based Brand Equity
CBBE

CBBE

Positive CBBE Negative CBBE

•Consumer is less sensitive to price If consumer reacts less favorably

•Customer / consumer is accepting To marketing activity
Brand extension
•Seek to see the Brand at more distribution
channel
•Customer is not sensitive to advertising
 Key Ingredients of Definition
Customer based brand If no difference occur then product is generic
equity is the differential
effect that brand knowledge
has on consumer response Differential
to the marketing of that Effect

brand

Brand
Knowledge Consumer
response

These difference may result in consumer knowledge of Brand

Consumer response what make up brand equity through consumer perception

Note: Consumer reports different opinion about branded & unbranded version of identical
product. Because of the Marketing activity. This what they have got the perception of the product.
This happens with every type of product.
 QUICK TEST
Discussion

Colgate EFU Life Insurance

Sheraton Hotel Mobilink Indigo
Standard Chartered Bank BMW
NIKE Bahria University
Coca-Cola
Others
SONY
 Associating network memory model
• It views memory as a consisting of a network of nodes and
connecting links, in which nodes represent stored information or
concepts and links represents the strength of association between
this information or concepts. Any type of information can be stored
in the memory network, including information that is verbal, visual,
abstract or contextual in nature.

• Consistent with the associative network memory model, brand

knowledge is conceptualized here as consisting of a brand node in
memory with a variety of associations linked to it. Brand knowledge
is characterized in terms of two components- brand awareness and
brand image.
 Associative Network Model

Nodes Connecting Links

Stored Info / Concept

Strength of association b/w Info & Concept

Brand Knowledge
 NODES

Represents Stored Info & concepts

Brand Awareness Customer ability to identify the brand
Under different circumstances
Links

Strength of association b/w info & concept

Brand Image: perception about a brand, as reflected

By the brand association held in consumer memory

Associative Network Memory Model

 Brand
recognition

Brand
Awareness
Brand
recall

Brand
Knowledge

Attribution
Brand Type of
image Brand association
Benefit

Appropriateness of Attitude
Brand association

Strength of
Brand association

Uniqueness of
Brand association

(source: Keller.K, Strategic Brand Management)

 Brand Awareness
Brand awareness refers to customer’s
ability to recall and recognize the brand,
as reflected by their ability to identify the
brand under different conditions
Advantage of Brand Awareness
Learning advantage:-
• The first way that brand awareness affects
consumer decision making is by influencing the
formation and strength of the brand association
that make up the brand image. The first step in
building brand equity is to register the brand in
the minds of consumers and the choice of brand
elements do this task.
Eg Brand has Brand Ambassador to Influence
consumers
• Consideration Advantages- It is important that consumer think
of and consider the brand whenever they are making a purchase
for which the brand could potentially be acceptable or whenever
they are consuming a product whose needs the brand could
potentially satisfy.
Eg Burger King or KFC

• Choice advantages- Brand awareness can affect choices

among brands in the consideration set even if there are
essentially no other association to those brands. It has been
shown that in low-involvement decision settings a minimum level
of brand awareness may be sufficient for product choice even in
the absence of a well formed attitude.
Eg All type of Impulse Decision
 Brand Image
• Brand Image can be defined as
perception about a brand as reflected by
the brand association held in consumer
memory.
– In other words Brand associations are the
other informational nodes linked to the brand
node in memory and contain the meaning of
the brand for consumers.
 Strength of Brand Association
• Making sure that association are linked sufficiently
strongly to the brand will depend on how the
marketing programme and other factors affect
consumer brand experiences. Two factors
facilitating the strength of association to any piece
of information are the personal relevance of
the information and the consistency with which
this information is presented over time
Eg . Not the Brand but Film Heroes
 Strength of Brand Association
Brand Attributes:
Descriptive features that characterized a
product or service
Eg. By class
Brand Benefit:
Personal value & meaning that consumer
attach to the product or services
 Favorability of Brand Association
• Favorable association for a brand are those
association that are desirable to consumers and
are successfully delivered by the product and
conveyed by the supporting marketing
programme for the brand. Choosing which
favorable and unique association to link to the
brand requires careful analysis of the consumer
and competition to determine the optimal
positioning for the brand.
Desirability & Deliverability
 Uniqueness of brand association
• Brand association may or may not be
shared with other competing brands. The
essence of brand positioning is that the
brand has a sustainable competitive
advantage or “USP” that gives consumer a
compelling reason why they should buy
that particular brand
 Uniqueness of brand association
• Brand association may or may not be
shared with other competing brands. The
essence of brand positioning is that the
brand has a sustainable competitive
advantage or “USP” that gives consumer a
compelling reason why they should buy
that particular brand
 Four steps of brand building
• Ensure identification of the brand customers 4. Relationships
and an association of the brand in customer’ What about you & me
minds with a specific product class or
customer need.
3. Response
• Firmly establish the totality of brand meaning
What about you
in the minds of customers by strategically
linking a host of tangible and intangible
2. Meaning
brand associations with certain properties
What are you ?
• Elicit the proper customer response to this
brand identification and brand meaning
1 Identity
• Convert brand response to create an intense,
active loyalty relationship between Who are you?
customers and the brand.
– Brand identity, brand meaning, brand
responses and brand relationships
Customer Based Brand Equity Pyramid
The extent whereby consumer think they are in sync

BRAND
RESONANCE
Consumer Emotional Response
to the Brand
BRAND
JUDEGEMENTS BRAND
Consumer personal FEELINGS
opinion

BRAND IMAGERY
BRAND Extrinsic property
PERFORMANCE
Psychological need
Satisfying functional need

BRAND SALIENCE
the extent to which a brand visually stands out from its competitors
Brand Positioning
Chapter # 3
 BRAND POSITIONING & VALUE
• “Brand Positioning is the act of designing
the company’s offer and image so that it
occupies a distinct and valued place in the
target customer’s minds.”
- Kotler
It is all about identifying the optimal location
of a brand and it’s competitors in the minds
of consumers to maximize potential benefit
to the firm.
Brand Positioning Statement
 The Cornerstone
• The brand positioning statement is the
single most important item in all of
marketing.

• It defines EVERYTHING about what your

brand is to the consumer.
 All Elements
• Packaging, Pricing, Distribution,
Manufacturing, Sales, Marketing….

• All work in unison to the beat of the brand

positioning statement.
 Brand
Positioning
Statement

For women ages 25-55, Loreal Revitalift Anti-wrinkle

and firming cream reduces facial wrinkles and firms
your skin.

NO REASON WHY!
 Why?
• It helps to guide marketing strategy by
clarifying
– What a brand is all about?
– How it is unique?
– How it is similar to competitive brands?
– Why consumers should purchase and use the
brand?
 Prerequisites of positioning
• Who the target consumer is?
• Who the main competitors are?
• How the brand is similar to these
competitors ?
• How the brand is different to these
competitors?
 Target market
• Segmentation – It involves dividing the market into distinct group of
homogeneous consumers who have similar needs and consumer
behavior and thus require similar marketing mixes..
• Criteria to guide segmentation and target market decisions.
– Identifiably-Can segment identification be easily determined?
– Size-Is there any adequate sales potential?
– Accessibility-Are specialized distribution outlets and
communication media available to reach the segment?
– Responsiveness-How favorably will the segment respond to
a tailored marketing program?
 Segmentation Bases

Customer segmentation Business – Business

segmentation

Behavioral- Nature of good

User status Kind
Usage rate Where used
Usage occasion Type of buy
Brand loyalty
Benefit sought
Buying conditions
Purchase location
Demographic-
Who buys
Income
Type of buy
Age
Sex
Demographic
Family
SIC code
Race
No. of employees
No of production workers
Psychographic-
Annual sales volume
Values, opinion and attitudes
No. of establishments
Activities and life style

Geographic
International
Regional

Exercise by class
 Nature of competition
• To target a certain type of consumer
often, at least implicitly, defines the
nature of competition because certain
firms have also decided to target that
segment in the past (or plan to do in
the future) or because consumers in
that segment already may look to
certain brands in their purchase
decisions.
Example by Class
 Proper Positioning Requires
a) Point of Parity Association (POP)
b) Point of Differentiation Association (POD)

Competition

Point of Parity Point of Differentiation

Not unique to the Brand but may share
With other Brands
Category Point of Parity
Represent necessary but not
Necessarily sufficient condition
Competitive Points of Parity
Associations designed to negate
Competitor’s Point of Differentiation
USP
Attributes or benefits that consumer strongly
Associates with a Brand. They believe that
Could not find to the same extent with a
Competitive brand
Sustainable Competitive Advantages (SCA)
Ability to achieve an advantage in delivering
Superior value in the market for longer period of time
Attribute Base:
 Points of Difference
• Strong
• Favorable
• Unique brand associations
Based on
• Attribute
• Benefit
• Develop a USP & a Sustainable Competitive
Advantage (SCA)
 Points of Difference
• Attributes – Kraft cheese – more milk
• Benefit - Ikea – reasonably priced furniture and
home furnishings for the mass market, TV’s with
remote locators
• USP –
 Dettol vs.Savlon – does not burn
 Iodex vs. Moov – does not leave stains
 Crocin vs. Vicks Action 500 – fast relief
 Lays chips vs. Bingo chips
 Positioning Guidelines - Steps
1. Define & communicate a competitive
frame of reference
2. Choose POP and/or POD
3. Establish these POP/POD
4. Update Positioning over time
 Step 1
Establish a competitive Frame of reference

• Communicate brand category membership

• This helps provide consumers with a frame of reference
& avoid confusion in consumers mind
• Important when introducing new products – ITC- Wiils-
Fiama, Bingo etc.
• Well established brands do not need this – Coke-
beverages, Kellogs, McKinsey etc.
Competitive Frame of reference
Company can straddle 2 or more frames of
reference –
• BMW – luxury & performance
• Kellogs – taste & health
• Maggi – fast to cook, healthy to eat
 Step 2
Choose POP/POD

1. Desirability Criteria
• Relevance
• Distinct
• Believable
2. Deliverability Criteria
• Feasible
• Communicable
• Sustainable
 Step 3
Establish POD & POP
• Taste vs. low calories
• Low price vs. quality
• Powerful vs. safe
• Family & Fun
• Nutritious vs. taste
 Establish POD & POP
1. Separate the attributes – Head &
Shoulders – 2 attributes – dandruff
removal & sleek, shine and healthy hair
2. Leverage equity of another entity – brand
ambassadors – Sachin Tendulkar &
Boost, Reid & Taylor
3. Redefine relationships – Apple’s
Mackintosh – user friendly & powerful
 Step 4
Update Positioning over time
1. Laddering – move from low level needs to
higher level needs - Involves a progression
from attributes to benefits to value creation –
(Maslow’s Heirarchy)
• Cream/lotions – moisturizes skin- healthy &
glowing skin- beauty & confidence
2. Reacting –
• Do nothing
• Defensive
• Offensive
 Updating brand positioning
• Laddering – Product functions >>> core
values

Abstract values
Motivations

Benefits

Attributes
 Brand Mantras
• Short phrase that captures the spirit of positioning
• Provides guidance to all the activities of the brand
• Emotional modifier>> descriptive modifier>> Brand function
• McD – “Food, folks and Fun
• Nike – “Authentic Athletic Performance”
• Disney – “Fun Family Entertainment”
• Zee Cinema – “Movies Masti Magic”
• Its should
– Communicate the category and boundaries
– Simplify.. To make brand memorable
– Inspire – Should stand out with a higher meaning
 Brand Mantras
• A brand mantra is an articulation of the
“heart and soul” of the brand.
– Brand mantras are short three to five word
phrases that capture the irrefutable essence or
spirit of the brand positioning and brand
values.
• Nike
– Authentic Athletic Performance /Just do it
• Disney
– Fun Family Entertainment
 Brand Mantras
 Designing a brand mantra:
 Emotional Modifier
(Disney ……. Fun)
 Descriptive Modifier

(Disney ……. Family)

 Brand Function

(Disney……. Entertainment)
 Brand Mantras
 Communicate brand mantra:
 Communicate (setting boundaries …… eg)
 Simplify (crisp, lively, retainable…… eg)
 Inspire (patriotic, rebellious …… eg)
 Brand Mantras
• Expression of “Heart and soul” of brand
• Short 3-5 word phrases that capture the essence & spirit of brand
positioning & values
• Creates a mental filter to screen out inappropriate marketing
activities
• Communicate the category and boundaries
• Simplify.. To make brand memorable
• Inspire – Should stand out with a higher meaning

3 Aspects – Emotional – Descriptive - Function

• McDonalds – Food -Folks - Fun
• Nike -Quality -Athletic - Performance
• Disney -Fun -Family - Entertainment
Designing Marketing Programs To
Build Brand Equity
Functionally Specialized Marketing
Product
Technology Manufacturer

Marketing

R&D Finance Assembly

Marketing

Distributor

Consumer
Customer
Retailer
 Functionally Specialized Marketing
Product Manufacturer
Technology

Consumer
Marketing

Marketing

R&D Finance Assembly

Customer Marketing
Marketing
Distributor

Consumer
Customer
Retailer
Designing Marketing Programs to Build
Brand Equity

•New Perspective On Marketing

•Product Strategy
•Pricing Strategy
•Channel Strategy
New Perspective On Marketing

• Personalizing Marketing
– Experimental Marketing
– One – to – one marketing
– Permission marketing
• Reconciling the new marketing approaches
Product Strategy
• Perceived Quality and Value
– Product quality dimensions
• Performance, features, conformance quality, reliability,
durability, serviceability, style and design
– Brand Intangibles
– Total quality management and return on quality
– Value chain
• Relationship marketing
– Mass customization
– After marketing
– Loyalties programs
TQM tenets
Pricing Strategy
• Consumer price perception
– Price bands
– Value – based pricing strategies
• Setting prices to build brand equity
– Value pricing
• Product design and delivery
• Product costs
• Product prices
– Everyday low pricing (EDLP)
Price tiers in the ice cream market
Channel Strategy
• Channel design
– Indirect channels
• Push and Pull strategies
• Channel support
– Retail segmentation
– Co-operative advertising
– Direct channels
• Company owned stores
• Other means
– Web strategies
Services provided by channel members