Branding Flashcards
Marketing definition
Marketing is an organisational function and a set of processes for creating, delivering, and communicating value to customers.
-branding cares about stakeholders be sue they are influencers
The value delivery sequence
Choose the value (external), provide the value (internal), communicate the value
Branding
Everything, thoughts and feelings, that come to mind when you see the logo of the brand or hear the name of the brand
-branding=identification and differentiation
Indifference: when nothing comes to mind when you are exposed to a brand
Ambivalence: positive and negative things that come to mind when you are exposed to a brand
-a brand is an asset when primarily positive things come to mind when you are exposed to a brand
-a brand is a liability when primarily negative things come to mind when you are exposed to a brand
Brand positioning design - exam answer format
Problem:
1. Describe the pain of the customer
2. Outline how the customer addresses the issue today
3. Business opportunity
Solution:
1. Demonstrate your brands value proposition to make the customers’ life better
2. Show how your brand adds value
3. Use cases
Why now?
-trends that make solution possible (e.g. technology, preferences change, demographic change)
Market size
Competition
-current and potential future competitors
-competitive advantage of brand
-wallet share: percentage of total wealth spent on a brand
-mindshare: extent you engage with a brand out of the 24h in your day
Perception
Brands Are based on perceptions
-perceptions are reality for consumers
-perceptions determine behaviour
-perception differ between individuals due to:
1. Selective exposure: consumers only seek information that is of interest
2. Selective attention: consumers only take in information relevant to their needs and interests
Positioning: conveys the concept or meaning of the product or service in terms of how it fulfils a consumer need
-the image that a product has in the mind of the consumer is how it is positioned
Transaction barriers
Obstacles that prevent customers from engaging in a successful transaction act
Barriers: time, place, cost and perceptual
Brand identity
- to overcome barriers
1. Who do we want to create value for? (Target consumer)
2. What benefits should we offer customers? (Emotional and functional benefits)
3. What resources do we have to deliver the promise? (consumer, competition, corporation)
Internal communication and external communication
INTERNAL
Why:
1. A common sense of purpose and identity
2. Great facilitator of external marketing(WOM, deliver on customer expectations)
How:
1. incorporate mantra into everyday experiences so that employees live the brand at all times
2. Brining employees to the forefront of external communication
EXTERNAL
Why:
1. Communication of unique selling proposition (USP) or sustainable competitive advantage to target customers
2. Memorable, clear, and visualisable
3. This represents an organisations “promise”
How:
1. Mobilising 4Ps
2. Considering consistency and complementary principles
Facilitating co-production
-clients value opportunity for co-production
Benefits:
-improved customisation for customers
-increases client perception of value
-increases client loyalty
-increases client tolerance to service failure
-client perceives increases in control and op port into to make choices
-improved organisational productivity
-greater number of, and more novel, service innovations
Five bases for new brand development
- Reduction of time required
- Reduction of effort required
- Reduction of financial costs
- Enhancement of sensory benefits (visual, auditory, olfactory, taste, tactile)
- Addition of new benefits (performance/function)
Underserved markets
Touch points where a brand can be there for you in your time of need - airport, universities, train stations
Flagship store concept
Shape place to communicate brand concept to customers - brands become top of mind (present in people’s lives which is not disturbing)
- Abercrombie & Fitch
- Apple
- M&M
- Lush
Ecommerce
Window t the world of your brand
- personalised shopping
- clear categorisation
- tracking orders
- product related information (offer something that is not expected/engagement through information outside core product category) - lifestyle, new gadgets, traveling e.g. Ralph Lauren and Patagonia blog = storytelling, adds value
Pricing adds a signal
- Quality assurance pricing: charge a higher price than competitors to reassure quality of the product - effective where product performance varies and search behaviour and trial does not increase certainty about likely product performance
- Reference pricing: product placed next to high anchors to appear more attractive to risk averse buyers
Global human motivation - 3Es
- Brands need to entice the customer = to build brand love
- important for attracting the customer
- encourages consumers to try a product - Brands need to enable the customer = to build brand trust
- important to keep the relationship with the customer over time
- make people feel safe, help people get more done, enhance physical and emotional capacity, nostalgia - Brands need to enrich the customer = to build brand esteem
- brands make you feel connected to other people
