Managing brands over time Flashcards
Why do we have to manage brands over time? (3 things)
- Marketing environment constantly changing in terms of tastes/preferences, technology ,gov regulation and economic actors.
- Requires a long term strategic view
- Therefore need to reinforce brand meaning over time and adapt to changes
Explain how one can understand the long-term effects of marketing on brand equity
- Consumer response to PAST marketing activity
- = leads to brand knowledge
- Consumer response to CURRENT marketing activity
- leads to CHANGED brand knowledge
- Consumer response to FUTURE marketing activity
In order to reinforce brands, what do marketers need to consider? (4 things)
- the benefits the product provides and the needs it satisfies
- how the brand makes the product superior
- what are the strong, favourable and unique associations that consumers have
- need to maintain consistency by continuously invest in marketing support, product development and provide consistent message
What does protecting sources of brand equity signify?
- to preserve and defend existing sources of brand equity
- they ought to preserve and defend sources of brand equity (P&G with Sunlight)
through:
1. ensure key sources of brand equity are preserved
2. respond quickly in crisis
3. legal means
What is fine tuning?
- make small adjustments to (something) in order to achieve the best or a desired performance
- consistency does not function without changes
- this is necessary when product strategy and marketing campaigns fail to make contribution
What are the different approaches that can be taken in order to reposition a brand? (3 things)
- Comprehensive brand audit is firstly carried out in order to identify whether brand equity needs to changed or refreshed.
- 1 if needs to be refreshed: -> Revitalisation: original source of brand equity resurrected, go back to basics and then reinvent, can expand depth and breadth of brand awareness (to increase recall and recognition during consumption) and to increase strength favourability and uniqueness, further can change quantity that is consumed and frequency of consumption and lastly, identify additional consumption opportunities and ways in which brand can be used
- 1 if needs to be changed: create new sources of brand equity improve and strengthen favourability and unique associations and bolster fading association, neutralise negative associations or create new positive ones, retain old customers, find new ones, recapture lost ones and identify neglected segment.
How can expanding brand awareness be done?
- usually breadth that is the problem, not depth
- by increasing situations in which the product is used and by increasing levels of consumption (toothbrush with changes colour) = making the brand more salient in different situations
- this is less costly and requires fewer changes
What does improving brand image involve?
- a more fundamental change in brand knowledge structure through new marketing campaigns perhaps
- by enhancing faded but positive associations
- neutralise negative associations
- additional positive associations may be created
What does entering new markets signify?
- Set frame of reference by identifying nature of competition and specifying target market.
- targeting new customer groups to enhance brand equity( many marketers aim to target women and racial groups)
What does brand portfolio adjustment signify?
- brands change and develop over time
- this is most important in fast moving technology based industries
What are brand migration strategies?
- are designed to help customers understand how the various brands in the portfolio can satisfy their needs as they change over time or as the product and brands change
- entry level brands are used to bring in new customers
- customers migrate to higher level brands (Mercedes C-class, D-class, E-class)
What is the relevance about finding new customers? what can brands carry out in order to target different customers?
yes, existing customers are more profitable to target but churn means a need to target new customer segments (customers change with age and their needs therefore change and they do not stay the primary target of companies)
- to target several different customers brands can carry out:
1. separate marketing communication strategies
2. brand extension and sub brands
3. new distribution outlets
What are retiring brands?
- they have no sources of brand equity remaining
- sometimes known as orphan brand= withdraw marketing support
- brand consolidation (merging a dying brand with a strong one)
- Discontinue
