A ROADMAP FOR BRANDING IN INDUSTRIAL MARKETS

Written by:

FREDERICK E.WEBSTER,Jr

KEVIN LANE KELLER

Henry Steward publications 1409-1803 brand management vol. 11, NO.5, 388-402 may 2004

Presented by: ENKHJIN.B

100183049

Nguyen Thi Le Huyen 100183050

CONTENT
1. Introduction 2. The contexts from the lessons were applied in this research journal. 3. The research objectives. 4. Evidences supporting the research questions. 5. The findings. 6. Conclusion. 7. The further research innovations.

1.INTRODUCTION
Most of discussions of branding are put on consumer marketing. In fact that consumer brands dominate the mass media to which people are showed on a daily basis. However, it is wrong to suppose that branding is not as important and valuable to industrial marketers as it is to consumer marketers. Through this journal A roadmap for branding in industrial markets, the authors: Frederick and Kevin already have illustrated this.

2.THE CONTEXTS FROM THE LESSONS WERE APPLIED IN THIS RESEARCH JOURNAL.
The lessons from Chapter 7: Analyzing business markets: what is organizational buying and participants in the buying process; types of buying situation.

Chapter 8: Identifying market segments and targets: the steps in segmentation process.
Chapter 9: Creating brand equity: the role of brand.

3. THE RESEARCH OBJECTIVES

Offering some guidelines in order to succeed with industrial brands. Giving some of the distinguishing characteristics of industrial branding.

Examining the similarities and differences between consumer and industrial brand.
Assessing the somewhat unique role of branding in the success of B2B marketing. Integrating relevant concepts from branding, industrial marketing strategy and organizational buying behavior.

4. EVIDENCES SUPPORTING THE RESEARCH QUESTIONS.

4.1 RESEARCH QUESTION 1. What do you want your company name to stand for? What do you want it to mean in the mind of the customer? 2. How do your products and services classify in industrial markets? 3. What is your role in the buying decision-making unit? How do you influence on the buying process of organization? 4. What are your branding strategies for industrial brands? 5. How do you do to attain the successful industrial brands?

4.2 EVIDENCES SUPPORTING THE RESEARCH QUESTIONS.

4.2.1 What do you want your company name to stand for? What do you want it to mean in the mind of the customer?
A brand is much more than a name, and branding is a strategy problem. Two components of the psychological meaning of a brand are brand awareness and brand image. - Brand awareness: Customers must know what products or services are associated with a brand. - Brand image: Customers must know what attributes and benefits the brand offers and what makes it better and distinctive. The power of a brand resides in the minds of customers and all the thoughts, feelings, perceptions, beliefs, attitudes, behavior. The brand surrounds a product or service with meaning that differentiates it from other products or service intended to satisfy the same need.

4.2.2 HOW ARE YOUR PRODUCTS AND SERVICES CLASSIFIED IN INDUSTRIAL MARKETS?
Industrial goods can be belong to this following: raw materials; processed materials; component parts; subassemblies; light equipment; heavy capital equipment; construction; maintenance, repair and operating supplies. Services can be further categorized to include financial, logistical, medical, educational, maintenance and repair, management consulting, marketing, technical, data-processing and information management, and a host of other services. Some services are bought in connection with the purchase, installation and operation of physical products, while others are stand-alone or intangible services such as tax advice or investment banking.

4.2.3 WHAT IS YOUR ROLE IN THE BUYING DECISIONMAKING UNIT? HOW DO YOU INFLUENCE ON THE BUYING PROCESS OF ORGANIZATION? The buying decision-making unit (DMU) is often called the buying centre. Several individuals can occupy a given role, and one individual may occupy multiple roles. The buying centre may include people outside the target customer organization, such as government officials, consultants, technical advisors and other members of the marketing channel. Some members of the buying centre may have the authority to decide on behalf of the organization. Others may have veto power and the ability to overturn any decision made by another individual or the buying group. There will be some kind of a group-decision-making rule such as consensus or one man one vote.

4.2.4 WHAT ARE YOUR BRANDING STRATEGIES FOR INDUSTRIAL BRANDS?

The typical industrial brand is the company name. Some industrial marketers also employ sub-brands for industrial product lines. Industrial marketing and buying are increasingly focused on relationships, not individual transactions. The relationship is company-to-company. The brand is a relationship between buyer and seller. The characteristics of the supplying firm are financial strengths, reputation of reliable delivery and service, technical expertise, ability to control production processes, and so on.

5.

THE FINDINGS.

1) The role and importance of branding should be attached directly to the industrial marketers profit model and valuedelivery strategy. 2) Understand the role of the brand in the organizational buying process. 3) Be sure the basic value matter has relevance for all significant players in the decision-making unit and decisionmaking process. 4) Emphasize a corporate branding task. 5) Build the corporate brand around brand intangibles such as expertise, trustworthiness, ease of doing business and likeability.

5.

THE FINDINGS.

6) Avoid confusing corporate communication strategy and brand strategy. 7) Apply detailed segmentation analysis within and across industry-defined segments, based on differences in the composition and functioning of buying centres within those segments. 8) Build brand communications around the interactive effects of multiple media. 9) Adopt a top-down and bottom-up brand management approach. 10) Educate the entire organization as to the value of branding and the organizations role in delivering brand value.

6.

CONCLUSION.

The recently large increasing in interest in brand equity and brand strategy has had an impact on industrial marketing as B2B marketers giving attention to their corporate names and products. The uniqueness of the organizational buying process, must be taken into account in developing a sound industrial branding strategy.

7. THE FURTHER RESEARCH INNOVATIONS.

Create the product offerings to be better- differentiated. Help the relationships between industrial marketers and their customers to be stronger. Make the customers more loyal. Create better responses to company innovations and marketing expenditures. Create more value for customers and the company.