(4.1) Leveraging brand associations

Question 1

Explain leveraging brand associations

Answer 1

Power of brand associations connected to a brand = clear&raquo_space; these structures could be strategically leveraged.
– Associations connected to other entities can be linked to the focal brand.
– Associations of the focal brand can be transferred to other entities

Question 2

Explain the general web on the leveraging of brand associations

Answer 2

People > employees & endorsers
Things > events & causes & third party endorsments
Places > country of origin & channels
Other brands > alliances & ingredients & company & extensions

Question 3

Explain the people-part of brand associations

Answer 3

• Endorsers: well-known people to promote a brand > high visibility. Look for a reasonable fit and enough credibility.
  Risks: too many endorsements may lead to loss in thrustwortiness, celeberities can distract attention from the brand, celebirity scandals.
• Employees: the frontline to influence brand personality perceptions and attitudes –> strength of effect depends on whether the employee is judged as an exemplar of the brand or as a unique individual. CEO’s and founders are special cases. Ex. Elon Musk

Question 4

Explain the empirical research on celeberity scandals

Answer 4

For 128 negative celeberity endorser publicity events:
Reaction, timing and type of firm behavior influences firm value and stock returns.
> Type means the event details (blaim and occupation) and endorser details (product fit and response (apology))

Question 5

Explain the things-part of brand associations

Answer 5

• Causes = collaboration with non-profit > sales are then linked to charitable or public/social causes > enhancements in the brand for image, experimental benefits and feelings
• Third party endorsements = facilitate quality perceptions, mostly very credible sources
• Events = sponsored events > awareness, associations, strenth, favoribility, uniqueness, experiences, positioning BUT higher cost

Question 6

What do empirics say on third party endorsements?

Answer 6

Study on Amazon: the third party reports correlate only weakly with average Amazon user ratios

Question 7

Explain the places-part of brand associations

Answer 7

= Country of origin
Linking the brand to the country or geographic region from with the brand originates&raquo_space; leveraging these associations to benefit from the country’s image and expertise in product categories&raquo_space; some countries even do advertising campaigns for themselves

Question 8

Explain the other brands-part of brand associations

Answer 8

• Brand extensions/integration strategies > Ex. Porsche that also produces watches.
• Co branding/ ingredient branding / brand alliance > partnerships between brand