Why Brands Matter Flashcards
What is the difference between a product and a brand?
Product: anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a need or want
Brand: a name, term, symbol, design, or combination of them intended to identify the goods and services of one seller to differentiate them from those of the competition
What are the three characteristics of a brand?
- Brands can have rational/tangible appeal
- Brands can have symbolic/emotional/tangible appeal
- The brand resides in the mind (and gut) of the consumer
What is a brand element?
a name, logo, slogan, symbol, packaging design, colour, sound/jingle, or other attribute that identifies a product and distinguishes it from all others.
How does a brand element compare to a brand
Brand element: a name, term, symbol, design, or combination of them intended to identify the goods and services of one seller to differentiate them from those of the competition
Brand: a business and marketing concept that helps people identify a particular company, product or individual
What type of product is a swimsuit and what is a branded example
Physical product - speedo
What type of product is an airline and what is a branded example?
Service - Air France
What type of product is a singer and what is a branded example?
Person - Drake
What type of product is a non-profit and what is a branded example?
Organization - Heart & Stroke
What type of product is a social cause and what is a branded example?
Idea - anti-bullying
What are 2 reasons brands matter
- consumer
- firm
Why do brands matter to consumers?
- Functions provided by the brand to consumer
- Brands can signal product characteristic /attributes
- Brands can reduce risk in product decision
What are functions provided by brands to consumers?
- Identify source/maker of the product
- simplify product decisions
- lowers search cost for products internally and externally
- helps set reasonable expectations about what consumer may not know about the brand
How do brands signal product characteristics to the consumer?
Search goods: can evaluate product before purchasing
Experience goods: have to experience the product to understand value. Can’t observe in advance
Credence goods: products that you only learn about when you need that service (tooth filling, insurance)
Types of risk in product decisions?
- function
- physical
- financial
- social
- psychological
- time
Why do brands matter to the firm?
- simplify product handling and tracing
- help organize inventory and accounting records
- offer the firm legal protection for unique features or aspects of the product
- provide predictability and security of demand for the firm and create barriers to entry for competitors
- provide a powerful means to secure competitive advantage
Why must you educate consumers to brand a product?
You have to teach consumers who the product by:
- Giving it a name and using another brand element to help identify it
- What the product does and why consumers should care
Marketers must give consumers a label for the product and provide meaning for the brand
Marketers can benefit from branding whenever consumers are in a choice situation
The strongest brands are…?
- Best known
- Highly regarded
- Maintaining brand relevance and differentiation are important to the success of the brand
What are the steps for strategic brand management process?
Identifying and developing brand plans
(mental map, points of parity, brand mantra)
Designing and implementing brand marketing program
(mixing + matching of brand elements, leveraging secondary associations)
Measuring and interpreting brand performance
(brand value chain, brand audit, brand tacking)
Growing and sustaining brand equity
(Brand architecture, brand expansion strategies)
What does a brand equity measurement system involve?
- Brand audit
- Brand tracking studies
- Brand Equity management system
