9. Identifying the product/brand to be marketed

Question 1

What are the four parts of a products life cycle?

Answer 1

1) Introduction
2) Growth
3) Maturity & stabilisation
4) Decline

Question 2

Summarise what’s required by the winery at the introdcution phase of a product’s life cycle.

Answer 2

Focus on getting product to market, gaining recognition.

Question 3

Define a brand according to the CIM.

Answer 3

‘The set of physical attributes of a product or service, together with the beliefs and expectations surrounding it - a unique combination which the name or logo of the product or service should evoke in the mind of the audience.’

Question 4

What does branding seek to achieve?

Answer 4

Move a product from being simply a commodity to the extent that consumers will want to buy the product even if it costs more than the minimum price.

Question 5

What are four potential aspects of a wine brand’s story?

Answer 5

1) Producer’s history - multi-generational winemakers; forerunners in a new region.
2) Where are the grapes grown - SV, interesting name, unusual vineyard.
3) How is the wine made - organic, biodynamic, natural; distinctive process; old equipment.
4) Is there a story behind the name, label or bottle design?

Question 6

What does a premium wine brand’s story seek to achieve when compared to bulk produced wines?

Answer 6

To create a sense of authenticity linking wine to a particular place in a way that bulk production wines do not.

Question 7

What must a brand do to be successful?

Answer 7

Create a positive image in the consumer’s mind whether for consistency, quality, value, luxury etc.

Question 8

How might a brand create a positive image in the consumer’s mind (5)?

Answer 8

1) Substance: successful brands deliver the same level of quality and style.
2) Consumer trust: low-involvement customers depend on consistency.
3) Consumer engagement: the feeling the brand’s marketing is aimed directly at them.
4) Even a minor change to branding can alienate a loyal customer.
5) Brand story: a story to which the consumer develops emotional attachment.

Question 9

How do consumers view a price premium?

Answer 9

As a guarantee of quality.

Question 10

What links to longevity are created in the consumer’s mind?

Answer 10

Links to consumer trust, consistency, reliability.

Question 11

Name three different brand names that have changed for the Chinese market for better translation/resonance.

Answer 11

1) Penfolds - Ben Fu
2) Lafite - La Fei
3) Casillero del Diablo - Hong Mo Gui

Question 12

What is ‘brand equity’?

Answer 12

The value of the brand to its owner including brand awareness, brand image.

Question 13

What are the four suggested brand positions?

Answer 13

Value
Standard
Premium
Super-premium

Question 14

What might a brand do if competition increases?

Answer 14

Lower prices to remain competitive or be seen as better value.

Question 15

How might a brand raise its profile?

Answer 15

Modernising production, updating brand image, introducing higher-end products.

I.e. Symington’s Cockburns Port.

Question 16

What might a large brand do to have broad consumer appeal?

Answer 16

Have brands positioned at different price points to attract broadly.

Question 17

What is a ladder brand?

Answer 17

A brand that gives consumers ‘rungs’ so as to help them understand at each rung they’re trading up to higher-priced but better quality expressions.

Question 18

What are the three common rungs of a ladder brand?

Answer 18

Accessible
Stretch
Aspiration

Question 19

What are the advantages of a ladder brand?

Answer 19

The aspiration product casts its super-premium status over the rest of the range giving the perception of quality throughout.

Question 20

What are the disadvantages (2) of a ladder brand?

Answer 20

1) Tends to work less well with low-involvement customers who may be unaware of or disinterested in the aspiration product and so no identity is given by it to the rest of the ladder.
2) At worst, the image of the entire ladder can be based on the accessible wine and even the stretch product may be perceived as too expensive

Question 21

Provide an example of a ladder brand

Answer 21

Accessible - Pol Roger NV
Stretch - Vintage
Aspiration - Winston Churchill

Question 22

Provide an example of a soft brand within the context of a ladder brand.

Answer 22

Accessible - Bourgogne
Stretch - Gevrey-Chambertin (village)
Aspiration - Le Chambertin (Grand Cru).

Question 23

What advantages are there to small producers of soft brands.

Answer 23

The producer may be too small to have their own identifiable brand but can benefit from the brand image of their region i.e. Sancerre.

Question 24

What is a ‘soft brand’?

Answer 24

A term sometimes used to describe any cue used by a consumer when choosing to buy one product over another i.e. Marlborough Sauvignon Blanc over Sancerre.

Question 25

Give five examples of soft brands.

Answer 25

Country of origin - brand Australia.
Region - Rioja.
GI - Pouilly Fume.
Grape variety - Merlot.
Wine style - oaky Chardonnay

Question 26

Why is the term ‘soft brand’ considered controversial?

Answer 26

Some marketers do not consider them brands at all.

Question 27

What might a luxury brand do to increase the perception of value?

Answer 27

Promote the idea they are scarce even if they are not i.e. a Veblem Good.

Question 28

What might a brand’s marketing promote to suggest its luxury status?

Answer 28

Promote the quality of its fruit or vineyard
High quality winemaking - new oak etc
A rich and long-standing heritage

Question 29

Summarise what’s required by the winery at the growth phase of a product’s life cycle.

Answer 29

Increasing distribution aimed at a broader target market.

Question 30

Summarise what’s required by the winery at the maturity & stabilisation phase of a product’s life cycle.

Answer 30

Highlight differences between product & competition.

Question 31

Summarise what’s required by the winery at the decline phase of a product’s life cycle.

Answer 31

Improving product, updating packaging, reducing price, seeking new markets, each requiring a marketing strategy.