Chapter 2: CBBE and positioning Flashcards
What is customer based brand equity (CBBE)
The differential effect that brand knowledge has on customer responsde to the marketing of a brand
What is the key to create brand equity?
Brand knowledge
Brand knowledge consists of brand awareness and brand image
What is brand awareness
The consumer’s ability to identify the brand under different conditions
What is brand image?
Consumers’ perceptions about a brand, as reflected by the brand associations held in consumer memory
What is meant with the associative network memory model? (Keller)
This model views memory as a network od nodes and connecting links.
Nodes = stored information/concepts
links = the strength of the association between the nodes
What are the compinents of brand awareness?
- Brand recognition (ability to confirm prior wxposure to brand)
- Brand recall (Ability to retrieve brand from memory when given a product category)
What are the advantages of brand awareness?
- Learning advantages (brand awareness influences formation and strength of associations that make up brand image)
- Consideration advantages (become member of consideration set)
- Choice advantages
- Consumer purchase motivation
- Consumer purchase ability
- Consumer purchase opportunity
Consumer purchase motivation
Lack of differences between brands -> leave customers unmotivated to choose
Consumer purchase ability
Having the right knowledge/experience to judge product quality. Consumers will use shortcuts to make decisions
Consumer pruchase opportunity
Consumers can be able to make the right decision, however sometimes they are still not able because lack of time, energy etc.
What is the difference between brand attributes and brand benefits?
Brand attributes are descripitve features of a product/service
Brand benfits: personal value and meaning that consumers attach to the product attributes
What is brand positioning?
Act of designing the company’s offer and image so that it occupies a distinct and valued place in the customer’s mind
What is the difference between brand identity and brand image?
Identity = what brands think they are
Image = how consumers perceive brand
What are the brand positioning steps?
- Who is target group
- Who are competitors
- Comparison to competitors
How do you know who is target group?
Segmentation - Targeting - Positioning
Criteria for target group:
- Identifiability
_ Size
- Accesibility
- Responsiveness
- Ssuatained trend or fad
- aCTIONABILITY
What is market segmentation?
Divides the market into distinct groups of homogenous consumers who ahve similar needs and behavior
Can be based on:
- Behaviour
- Demographics
- Psychographics
- Geographic
- Cultural
How do you know who your competitors are?
Competitors depends on the frame of reference.
Direct competitors of Fanta are other brands of orange sodam but also other beverages can be competitors of Fanta.
This also depends on consumers
How to compare yourself to competitors?
Points of parity and Points of differences
What are points of parity?
Attributes of product/brand that may be shared with other brands.
What are the different type of POP’s?
- category POP = necesary conditions for brand choice
- Competitive POP = Designed to negate competitors POD
- Correlational POP = potential negative associations that arise from more positive other associations of brand
What are POD’s?
Attributes/benefits that consumers strongly assoiate with a brand.
The strong, favourable and unique brand associations for a brand
How to chose for POP and POD?
What is desirable from a consumer perspective?
1. Desirability criteria
- Personaly relevant
What is desirable from a firm perspective?
2. Deliverability criteria
- Feasabile
- Communcable
- Differentiation criteria
What are brand mantra’s?
3 to 5 word phrase that captures the irrefutable essence or spirit of the brand positioning
What are different categories of a brand mantra?
- Brand function
- Descriptive modifier
- Emotional modifier
When can POP/PODbe refined?
- Reactcing: when competitive actions threaten an existing positioning
- Laddering: Need to deepen the meaning of the brand to permit further expansion
What are the three types of reacting?
- Do nothing
- Go on the defense
- Go on the offensive
