General Brand management fundamentals

Question 1

What is a brand?

Answer 1

Answer depends on perspective. In business -> source for competitive advantage

Generally:
a set of mental associations held by the consumer which add to the perceived value of a product or service

Also:

• A brand is a shared desirable and exclusive idea embodied in products, services, places and/or experiences.
• Brand is a name with the power to influence buyers

Question 2

What is a brand touchpoint?

Answer 2

”Anything you might interact with that features some recognizable part of the brand’s identity.”

A point of interaction with the brand

ex:
The product/service itself
The store/distribution channel The people – employees, other
customers…
Support instructions and guides
Customer service
Market communication – advertisement, social media…

Question 3

Explain the two aspects of Brand awareness

Answer 3

Awareness depth -> the likelihood of ease/recall/recognition

• Brand recall -> generate brand from memory
• Brand recognition -> to identify the brand on cue

Awareness breadth -> the range of usage and purchase situations where the brand comes into effect

Question 4

What are the two perspectives on Brand equity?

Answer 4

Financial brand equity:
The financial value of the brand, the net discounted cashflows attributable to the brand

Consumer-based brand equity:
The value added by the brand; the differential effect that consumers’ brand knowledge has on their response to the marketing of that brand

Question 5

Explain Keller’s model for customer-based brand equity (Hint: 3-2-1)

Answer 5

Choosing brand elements (names, logo, slogan) +
developing marketing campaigns (product, price, distribution channels) +
leverage secondary associations (company, country of origin, event, endorsers)

LEADS TO

Brand awareness (Depth, breadth) + brand associations (strong, favourable, unique)

LEADS TO

Brand equity (The differential effect that consumers’ brand knowledge has on their response to the marketing of that brand)

Question 6

What factors influence consumer buying behaviour?

Answer 6

Cultural, social, personal and psychological

Question 7

What is the differences between Brand identity and brand image?

Answer 7

Brand identity: The brand owners intention of the brand

Brand image: Perceptions about a brand reflected by the brand associations held in customer memory

Question 8

What are the common market segmentation made today?

Answer 8

• Brand loyalty (Brand loyals, Favourable brand switchers, Other-brand switchers, Other-brand loyals, New category users)
• Benefits sought (flavor,price,decay etc) and
• Usage rate(heavy/light)

Question 9

Explain Brand promise

Answer 9

BRAND PROMISE: What value will the brand create. Defines: What it is, what is does or doesnt do for value, why it matters

Example: FedEx:’Your’package’will’get’there’overnight.’Guaranteed
Nike:’To’bring’inspiration’and’innovation’to’every’athlete’in’the’world.

Question 10

What is a brand purpose

Answer 10

BRAND PURPOSE: What is the brands reason to exist?

Question 11

Give an example of a descriptive concept

Answer 11

Volvo XC60 - A sport utility vehicle
Facebook - A social utility
Microsoft kinect - A controller free gaming device
Android - a platform for mobile devices

Question 12

What is the practical impact of the descriptive concept?

Answer 12

1. Define boundaries for TM (think classification)
2. Protect against TM degeneration (generisize)
3. Signaling intended utility or usage of ofer
4. defining segments and competition
5. Signaling differentiation & promoting uniqueness

Question 13

What are the basic choices when designing a descriptive concept?

Answer 13

1. Using an already existing term (Vanish: a fabric stain remover)
2. Modifying an already existing term or creating subterm (tumblr: a microblogging platform)
3. Creating a completely new term (Segway: a self-balancing personal transporter)
4. Avoid using a descriptive term altogether (iPad)