TO BUYER:
Help buyers identify the product that they like/dislike.
Identify marketer
Helps reduce the time needed for purchase.
Helps buyers evaluate quality of products especially if unable to judge a products characteristics.
Helps reduce buyer’s perceived risk of purchase.
Buyer may derive a psychological reward from owning the brand, IE Rolex or Mercedes.
TO SELLER:
Differentiate product offering from competitors
Helps segment market by creating tailored images
Brand identifies the companies products making repeat purchases easier for customers
Reduce price comparisons
Brand helps firm introduce a new product that carries the name of one or more of its existing products...half as much as using a new brand, lower co. designs, advertising and promotional costs
Easier cooperation with intermediaries with well known brands
Facilitates promotional efforts
Helps foster brand loyalty helping to stabilize market share.
Firms may be able to charge a premium for the brand.
Branding versus Tactical Promotions?
Brand Equity (Customer Equity)
Operating profits - expected profits for generic $: 10 Most Valuable
Share of Mind, Attitudes = ImagePower. Landor Associates
Brand awareness = considered set
Brand awareness:
within relevant market(s)
with influencers
with entire market
The Best Global Brands: Handout
Interbrand: Best Global Brand
Brand Name Decisions:
Individual Names: Procter and Gamble, Tide, Cheer, Bold
Family Names: GE, AT&T, and Sears
Trade name with individual product name: Kraft Products
MF Brand versus Private Brand?
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