UNIT -1

Q. What is brand?
A brand is a product, service, or concept that is publicly distinguished from other products, services, or concepts so
that it can be easily communicated and usually marketed. A brand name is the name of the distinctive product, service,
or concept. Branding is the process of creating and disseminating the brand name. Branding can be applied to the
entire corporate identity as well as to individual product and service names.
Q. Brand elements
Brands typically comprise various elements, such as:[14]

name: the word or words used to identify a company, product, service, or concept

logo: the visual trademark that identifies a brand

tagline or catchphrase: "The Quicker Picker Upper" is associated with Bounty paper towels

graphics: the "dynamic ribbon" is a trademarked part of Coca-Cola's brand

shapes: the distinctive shapes of the Coca-Cola bottle and of the Volkswagen Beetle are trademarked
elements of those brands

Colours: Owens-Corning is the only brand of fibreglass insulation that can be pink.

Sounds: a unique tune or set of notes can denote a brand. NBC's chimes provide a famous example.

scents: the rose-jasmine-musk scent of Chanel No. 5 is trademarked

tastes: Kentucky Fried Chicken has trademarked its special recipe of eleven herbs and spices for fried
chicken
movements: Lamborghini has trademarked the upward motion of its car doors

Brands are usually protected from use by others by securing a trademark or service mark from an authorized agency,
usually a government agency. Before applying for a trademark or service mark, you need to establish that someone
else hasn't already obtained one for your name. Brands are often expressed in the form of logos , graphic
representations of the brand.
Q. Definition of branding
Unique design, sign, symbol, words, or a combination of these, employed in creating an image that identifies
a product and differentiates it from its competitors. Over time, this image becomes associated with a level of
credibility, quality, and satisfaction in the consumer's mind (see positioning). Thus brands help harried consumers in
crowded and complex marketplace, by standing for certain benefits and value. Legal name for a brand is trademark
and, when it identifies or represents a firm, it is called a brand name. See also corporate identity.
Q. Financial value of brands
Brand valuation is the job of estimating the total financial value of the brand. Like the valuation of any product, of self
review, or conflicts of interest if those that value the brand also were involved in its creation. The ISO 10668 standard
sets out the appropriate process of valuing brands, and sets out six key requirements.

1. transparency,

2. validity,
3. reliability,
4. sufficiency,
5. objectivity, and
6. Financial, behavioural, and legal parameters.
Brand Value

Traditional marketing methods have examined the price/value relationship in terms of dollars paid. Many
marketers believe that customers perceive value to mean the lowest price. While this may be true for
commodities, many branding techniques are moving beyond this evaluation.
Valuation Methodologies
There are three main types of brand valuation methods
The cost approach
In real estate appraisal, the cost approach is one of three basic valuation methods.[1] The others are market, or sale
comparison, and income. The fundamental premise of the cost approach is that a potential user of real estate won't, or
shouldn't, pay more for a property than it would cost to build an equivalent. The cost of construction minus
depreciation, plus land, therefore is a limit, or at least a metric, of market value.
The market approach
In this approach a comparison with the market is done. For example if a person wish to buy a property in place A, it is
quite likely that the price of neighbourhood would be checked before arriving at conclusion on the existing property,
leading to an approach based on the market. This valuation method relies on the estimation of value based on similar
market transactions (e.g. similar license agreements) of comparable brand rights. [citation needed] Given that often the asset
under valuation is unique, the comparison is performed in terms of utility, technological specificity and property,
having also in consideration the perception of the asset by the market. [citation needed] Data on comparable or similar
transactions may be accessed in the following sources:[citation needed]
1. Company annual reports.
2. Specialized royalty rate databases and publications.
3. In court decisions concerning damages.
The income approach
This approach measures the value by reference to the present value of the economic benefits received over the rest of
the useful life of the brand. There are six recognised methods of the income approach.
1. Price premium method estimates the value of a brand by the price premium it generates when compared
to a similar but unbranded product or service. This must take into account the volume premium method.
2. Volume premium method estimates the value of a brand by the volume premium it generates when
compared to a similar but unbranded product or service. This must take into account the price premium
method.

3. Income split method this values the brand as the present value portion of the economic profit attributable
to the brand over the rest of its useful life. This has problems in that profits can sometimes be negative,
leading to unrealistic brand value, and also that profits can be manipulated so may misrepresent brand
value. This method uses qualitative measures to decide the portion of economic profits to be accredited to
the brand.
4. Multi-period excess earnings method this method requires a valuation of each group of intangible assets
to calculate the cost of capital of each. The returns for each of these are deducted from the present value of
future cash flows and when all other assets have been accounted for, the remaining is used as the value of
the brand.
5. Incremental cash flow method Identifies the extra cash flow in a branded business when compared to an
unbranded, and comparable, business. However it is rare to find conditions for this method to be used since
finding similar unbranded companies can be difficult.

6. Royalty relief method Assume theoretically a company does not own the brand it operates under, but
instead licenses the use from another. The royalty relief method uses available data of similar arrangements
in the industry and assigns the value of the brand as the present value of future royalty payments.
Q. The Top 7 Characteristics of Successful Brands

With the volume of competition that businesses face in most industries, its never
been more important to stand out and develop a unique identity and value
proposition through strategic branding. While its obviously important to offer a
quality product or service, effective branding is often at the heart of the
companies that thrive.
According to Jerry McLaughlin, brand is the perception someone holds in their
head about you, a product, a service, an organization, a cause, or an idea. Brand
building is the deliberate and skilful application of effort to create a desired
perception in someone elses mind.
Lets explore the common characteristics of successful brands, so you can build
your brand accordingly.
1.

Audience Knowledge

The best brands have a thorough understanding of the demographics of their

target market, what their interests are, and how they communicate. Unless its a
mega chain like Wal-Mart, most businesses have a specific target audience
theyre pursuing. Understanding the target market is critical because it provides
direction for the tone and reach of a marketing campaign, along with the overall
identity of a brand, while helping to create an organic, human
connection between a business and its audience.
Trying to appeal to everyone (ie, ignoring the concept of a target market) can be
counterproductive, causing a companys brand to become diluted. Finding the
right branding approach requires first understanding the target market. For more
information on how to find out what your target market wants, see my articles, 7
Ways to Find What Your Target Audience Wants and Create Epic Content and 6
Steps to Decoding Your Target Audience.

2.

Uniqueness

Establishing a brand identity requires something distinctive. For instance, Apple

has become known worldwide for their innovative products and minimalistic,
aesthetic appeal. When it comes to service companies, Dominos Pizza used to
guarantee that their pizza would arrive in 30 minutes or itd be free. In terms of a
selling point, TOMS shoes donates a free pair of shoes to a child in need for
every pair of shoes that are bought.
Creating an identity within a niche doesnt demand a revolutionary idea. It simply
needs to have one special thing that separates it from the competition. In reality,
its possible to be a one trick pony as long as that trick is really good. Once a
company figures out what that is, it can concentrate on it and should gain
recognition in time.
Do you know what your unique product, service, or selling point is within your
niche? If not, start there when building your branding strategy.
3.

Passion

While its certainly possible to build a brand in the short-term without passion,
its almost impossible to sustain it in the long run. When you examine massively
successful people like Steve Jobs, they all have a serious passion that keeps
propelling them to work hard and continually deliver greatness. That passion
leads to enthusiasm and genuine joy, which is infectious.
Consumers often become just as enthusiastic about a product or service, leading
to word of mouth advertising and referrals. Passion also helps businesses
persevere through inevitable setbacks.
4.

Consistency

When consumers come back to a business for repeat sales, they usually expect to
receive the same level of quality as they did the first time. Restaurants and their
food and service quality are a great example of this.
No one wants to deal with a company they cant rely on for consistency. With so
many industries being saturated with competitors, inconsistency is often enough
of a reason for consumers to take their business elsewhere.
With that in mind, what are the keys to building a successful brand?
1.

Create the right tagline. Spend a full day with three or four of your top team members talking
about how you want to be perceived in public. What is the emotional reaction you want your audience
to have when engaging the brand and what do you want them to remember? Develop your tagline
based on this discussion.

2.

Stand out from the crowd. Think about who your audience is. What are your top competitors
doing in terms of their site look and how they are expressing themselves? Look for some core
commonalities, and simultaneously prepare to identify where you can innovate and differentiate.

3.

Develop your company culture. And then do all your hiring and your onboarding with this
culture in mind. Dont bring on people who could destroy client relationships you spent months or
years to cultivate. Miller Felpax CEO, Steve Blue, points out in his book The Ten Million Dollar
Employee that it only takes one customers bad experience with one bad employee to sabotage a
multimillion-dollar investment.

4.

Be patient with your brand. Take on every new outreach initiative with care. Think of it as your
baby. Just as you wouldnt start feeding solid food to a 3-month-old, dont rush any of your outreach
activities, whether they be PR, advertising, or marketing materials.

5.

Be consistent. Think of your outreach as being interconnected, like a body. The brand is the
brain. Public relations, advertising, marketing, and sales are all extensions of that brain, and they must
be coordinated and aligned. The copy, design and language your team uses is must always be based
off of the brand. If possible, dont use multiple designers or multiple copywriters. Find people who
capture the essence of your brand and use them consistently.

6.

Get help. Branding isnt easy. If it were, there would be a much greater number of stronger
brands in the small business community. The reason the Nikes, Lexuss, and Targets of the world can
have strong brands is because they have the dollars to spend on it. But they werent always
conglomerates; if they can achieve brand success, so can you. First, you have to nail down step one:
your brand! A professional can take you through the process so you see things more clearly, get a
different perspective, and go about branding in a way that will allow you to reach your market more
efficiently.

7.

Put people first. The brand is more than the company. It is the executive teams and the
individual employees personal brands as well. People do business with people. A strong CEO brand,
executive brand, or personal brand helps build a positive reputation overall. Nearly everyone prefers
working with businesses that are people-oriented and actually care about their customers. Be that
company by embodying a people-first attitude in all that you and your employees do.

Q. Keys to Successful Branding

Branding is a way to distinguish your product or service from the rest of market
and create a perceived value in the mind of potential customers. For example, in
the car world, the Mercedes brand creates different expectations than the Kia
brand. However, branding is also important for small businesses that want to
stand out in the market, and the keys to successful branding include knowing
your target customers and making all your decisions with a focus on what's
important to them.
Define Your Customers
The first key to successful branding is to define the types of customers you want to attract. Moms with
toddlers or women without children? Men who like drag racing or those who prefer quiet afternoons in
nature? Health-conscious individuals or those who don't know a carrot from a turnip? Make a list of all the
types of customers you want your business to attract. Volvo built its brand on attracting people concerned
with auto safety.
Study Your Customers
Find out what is important to the customers you want to attract. If you already have some customers, you
can survey them. Otherwise, look at demographic information and other studies done that provide
information about your target customers. Once you know what's important to your target customers,
choose the three or four outcomes that are the most important to your ideal customer.
Be Consistent with Your Brand Position
Using the three or four outcomes you defined, create a brand position that describes what your business
does and for whom, the unique value your business offers and how this value is different from the
competition, and the benefits the customer gets from your product or service. Also, decide on the one most
important thing that your business always promises to deliver to customers. Consistently make all your
decisions based on this brand promise and your brand position.

Create the Elements of Your Brand

Create a brand personality -- traits you want your business known for -- and, if you have an established
business, a brand story that shows how your business' history adds value and credibility to the brand. Also,
create the physical elements that make up the brand, including your logo, business tagline, colors, fonts,
imagery and other physical elements used in marketing and presenting your brand. These physical brand
associations should reflect your brand promise and all your brand traits, and also support your brand
position.
Market Your Brand
According to Dan Coughin, president of the Coughlin Co., "The key to branding is reminding the customer
of what you want them to remember about your brand," and he says every contact (including marketing
efforts) you have with current or potential customers must reinforce your brand.
DEFINITION of 'Halo Effect'
The halo effect is a term used in marketing to explain the bias shown by customers towards certain
products because of a favourable experience with other products made by the same manufacturer or maker.
Basically, the halo effect is driven by brand equity

A "halo effect" occurs when a company or product finds marketing success due to its association with a
successful company, product or other recognizable element. If the halo effect is used properly, it can help a
company save money on marketing by using previous momentum to reach a target audience. But there are
also dangers to this marketing approach that business owners need to understand. By examining examples
of halo effect marketing, you can better understand its benefits and challenges

Catalog Sales
Companies often benefit from the halo effect of catalog sales when they release a product that becomes
popular with consumers. Not only do past products start to sell, but the halo effect can also extend to future
product releases. When one product from a family of products sells well, the rest of the product catalog
can benefit. One of the most common examples of this is in the sales of music CDs. When an artist has a
hit song or album, the rest of his catalog starts to sell along with the current hit. The one drawback to
capitalizing on catalog sales occurs when the previous products are significantly different than the popular
one. In the music example, if the artist changed his style to sell more records, then trying to market the
entire catalog may confuse fans who are expecting all of the music to be in the same genre.
Corporate Brand Name
Some corporate names become powerful marketing tools in their own right, which can lead to a halo effect
to marketing other products. For example, the Nike Company developed strong reputation for making
basketball sneakers and tennis shoes. Nike used the successful image it had developed in sports shoes to
expand out into sporting equipment such as golf balls and golf clubs. If the corporate brand name is strong,
then any product released by that company will become instantly recognizable to consumers.
Celebrity Endorsements
Celebrities are used to endorse products in all forms of advertising. The connection does not always need
to be obvious to be effective. For example, a sports figure endorsing a shaving cream does not offer a
direct correlation between the athlete's profession and the product. But the halo effect stems from the
marketing value gained by associating the product with the fame of the celebrity. This can become a
problem if the celebrity gets involved in a public scandal such as a drug arrest or charges of domestic
abuse; the association is no longer beneficial and the company often severs ties with the celebrity.

However, such an association can remain in the minds of many consumers even when a new celebrity is
hired for a new marketing campaign.
Industry-Wide Halo Effect
When a product phenomenon takes off in a given industry, it can create a halo effect that all of the
manufacturers within the industry can take advantage of. For example, when hybrid vehicles were
marketed as offering significantly better fuel efficiency than standard vehicles, several auto makers used
the ensuing popularity of hybrid vehicles as a way to improve sales by introducing their own hybrid
models.

Q. 5 Metrics Changing the Face of Customer Service Measurement

1. Employee experience
The link between employee happiness and customer satisfaction has long been known in theory, but
surprisingly few service leaders use it as a lever for improvement. For example, absenteeism is a crucial
indicator of employee satisfaction that many service organisations measure, but few look at the underlying
causes and seek to address them. Analysing the reasons for absenteeism can reveal some very actionable
areas for improvement such as a need for more training so that staff feel confident and empowered in
handling enquiries, or better customer service CRM systems so agents can find the information they need
more easily.
2. Complaints
Social media has brought customer dissatisfaction into public view like never before. Yet few
organisations have a formal method in place for gathering and analysing complaints and most
importantly, acting upon them. This is partly due to the siloed nature of many organisations, where online
criticism is as likely to be handled by a PR team or dedicated social media team as it is by the service
organisation. But organisations that have a process for analysing and acting on complaints have seen
incredible results. Bausch & Lomb, for example, reduced complaints by 90% over five years by analysing
root causes and creating action plans to address them.
3. Customer effort
Still in its infancy, customer effort is measured by less than 20% of service organisations today, if a poll
taken on a recent Call Centre Helper webinar is any guide. This one is all about ensuring the customer has
the easiest possible experience when dealing with the organisation. First call resolution is part of it, but
that doesnt take into account newer channels like web self-service, online chat, or social media. It also
doesnt take into account the effort the customer might have made to talk to an agent in the first place, with
labyrinthine IVR options being one of customers top bugbears.
As the internet makes it increasingly easy to find an alternative option, customer effort will become a vital
metric to ensure satisfaction and loyalty. Taken to the extreme, this is best summed up by Bill Price and
David Jaffes mantra: The Best Service is no Service.
4. Customer empathy
Some highly customer-focused organisations are doing pioneering work around understanding individual
customers personalities, likes and dislikes, and matching them to the agent they are most likely to have
empathy with. In addition to the customers interactions with the organisation, their social media activity
can also provide clues in these areas, and savvy organisations are already taking social media activity into
account when dealing with customers. This is also about using voice analytics in smart ways, to

understand how customers react to different approaches taken by agents, and train agents in the approaches
and techniques that resonate best with customers.
Lots of organisations are aware of these new customer service metrics and keen to introduce them, but are
put off by the perceived technical effort and cultural change required to get them up and running. (Others
may be wary of moving away from the operational metrics on which theyre measured and bonused!) But
in a world where competitors are a click away, complaints are public and customer and employee
happiness is demonstrably critical to the organisations success, can you afford not to?

UNIT 2
Q. A Perspective on Brands
Brands are a bundle of relationships.

A brand relationship brings customers and branding together.

A good brand relationship is one benefiting the customer and the company.
A customer relationship is a long-term strategy.

Brand Perception

Despite consistent marketing and marketing communication efforts, a brand is seldom perceived
in the same way by all customers.

Customers use tangible attributes to decide whether competing products are different.

Customers use intangible attributes to decide how they are different.

Differentiation is an important factor in creating a link between a brand and its stakeholders.

Intangibles are important in brand building for two reasons:

They are hard for competitors to copy.

They are more likely to involve consumers emotionally

Steps in Building a Brand
1) Select a name and symbol.
2) Create awareness and brand identity.
3) Position the brand.
4) Create a brand image.
5) Create trust.
Brand Equity

Two basic components determine a company or a brands value:

Physical net assets such as plants, equipment, and land

Brand equity the intangible value of a company beyond its physical net
assets

Five Elements of Brand Equity

1) Brand-name awareness
2) Brand associations
3) Perceived quality
4) Proprietary brand assets
5) Brand loyalty
The first four elements determine the fifth element, brand loyalty, the measure
of the attachment that a customer has to a brand.
Choosing a Brand Name
Number one priority for a brand name is that it be memorable.
Several characteristics that can help make a brand name more memorable:

Benefit description

Association

Distinction

Pronounceability

Choosing a Brand Symbol

A brand symbol is called a logo.
An effective logo:

Communicates a brands image and positioning.

Is simple, distinctive, and relevant.

Brand symbols are often legally protected as trademarks.

Branding Strategies
Brand management today focuses on ensuring that the image and perception of a brand are maximized.
Brand strategies are ways of maximizing the communication impact of brands.
Critical elements of a branding strategy are:

Brand Extensions

Multi-tier branding

Co-branding

Ingredient branding

Brand Licensing

Brand Extensions
Once a company has created awareness and trust in a brand name, it can then practice brand extension.
Advantages:

Saves company time and money when introducing new products because brand is already known.

If new product is successful, this success can reinforce the brand and thus providing it with even
more brand equity.

Creates more visibility.

Disadvantages:

Risks of diluting the power, meaning, and positioning of the brand.

If new product fails, the failure could negatively affect the brands original products.

Multi-tier Branding
Multi-tier branding is used for several reasons:

To leverage the value in the corporate name

To strengthen the corporate brand by connecting it to another successful product line

To help differentiate other products sold by the same company as well as from competitors

Corporate name often communicates trust and quality.

Product name relates products purpose or performance.
Co-branding

Co-branding uses two brand names that are owned by two separate companies.

Co-branding is a contractual relationship between two marketing partners to provide customers

value from both brands.

Ingredient Branding

Another way to add value to a brand is by using ingredient branding.

To be successful, the ingredient brand itself must have developed brand awareness.

Brand Licensing

Brand licensing in essence, means renting a brand to another company while the parent company
still owns the brand.

IMC managers must monitor brand licensing to ensure brand maintains a consistent image.

Brand Relationships

Fundamental principle of IMC: a variety of groups of people known as stakeholders can affect a
companys bottom line so they should be taken into consideration when creating and sending brand
messages.
Stakeholder Support

Customers determine sales and profits. Interactivity, to detect their changing wants, need, and
concerns is critical for integrating customers into the company.

Customers often view employees with whom they come into contact with as being the
company. How employees treat customers delivers a highly influential message.

Other Stakeholders
Marketing does not always have the primary responsibility for maintaining these relationships, but markers
must be sensitive to how these groups will react to marketing communication efforts.
Other stakeholders include:

Suppliers and distributors

Competitors

Media

Governments and regulators

Communities

Q. How Brand Awareness Affects Perception

Brand awareness is the degree to which consumers in the marketplace are familiar with particular brands.
Small businesses can find their products at a disadvantage compared with larger competitors' alternatives,
which can be backed by millions of dollars in advertising. Brand awareness has a number of distinct
effects on consumers' perception of different brands, and working to build brand awareness is crucial for
small business success.

Perception of Quality

Consumers have a tendency to expect highly advertised brands to offer higher quality products than
generic products or brands they have not seen before. In grocery stores, for example, consumers are often
presented with a mix of options for individual products, ranging from highly advertised and recognizable
brands to generic products. Grocery store shoppers are likely to view the higher-priced "name brands" as
superior to store brands, even if both brands contain the same ingredients or are manufactured in the same
factory.

Presumption of Availability

Highly advertised brands are most often widely distributed as well, creating a psychological association
between well-known brands and easy availability. Brand awareness can cause consumers to assume they
can find a well-known brand in a variety of outlets, causing them to specifically decide to purchase a
specific brand before even entering a store.
Consider the Budweiser brand and the Baltika brand of alcoholic beverages, for example. Consumers in
the U.S. can safely assume that the highly advertised, highly recognized Budweiser brand can be bought at
virtually any fueling station, liquor store or grocery outlet. Baltika, on the other hand, can only be found in
a select few specialty liquor stores in the United States. A consumer entering a random fueling station in
the U.S. looking for beer is much more likely to go straight for a Budweiser than to look around for a
Baltika.

Brand Name Recall

Brand awareness is an end goal, but it can also serve as a catalyst for further demand growth. For each
product category, a consumer can immediately recall several brands, remember several more with a bit of
assistance and fail to recognize many that they have likely seen before. Earning a top recall spot in
consumers' minds is the ultimate goal of brand marketing. A high level of brand awareness can keep your
brands coming up in consumers' conversations, on social media and in a range of settings that serve to
spread word-of-mouth advertising.

Niche Identification

Niche brands with a high level of brand awareness can build a sense of identity with specific consumer
groups in such a way that certain brands are seen as marks of pride and association in specific groups.
The Nike brand, for example, dominated the basketball shoe product category with its Air Jordans for
more than 20 years. Virtually every serious basketball player felt that he had to have a pair of Air Jordans
in the product's heyday to reflect his passion for the sport, and it would be extremely rare to find a nonplayer wearing a pair.

Q. Emotional Branding /emotional benefits of branding/ emotional

branding perceptions
Emotional branding is a very powerful means of increasing ones market share and creating brand
loyalty by triggering emotions of customers.
Emotional branding is a term used within marketing communication that refers to the practice of
building brands that appeal directly to a consumer's emotional state, needs and aspirations.
Emotional branding is a term used within marketing communication that refers to the practice of
building brands that appeal directly to a consumer's emotional state, needs and aspirations. Emotional
branding is successful when it triggers an emotional response in the consumer, that is, a desire for the
advertised brand (or product) that cannot fully be rationalized. Emotional brands have a significant impact
when the consumer experiences a strong and lasting attachment to the brand comparable to a feeling of
bonding, companionship or love. Examples of emotional branding include the nostalgic attachment to
the Kodak brand of film, bonding with the Jim Beam bourbon brand, and love for theMcDonalds brand.

The purpose of emotional branding is to create a bond between the consumer and the product by
provoking the consumer's emotion. Vance Packard's The Hidden Persuadersspeaks to the emotional
response of consumers to advertising. It reads,"In the buying situation, the consumer generally acts
emotionally and compulsively, unsubconsciously reacting to the images and designs that are associated
with the product."[5] The notion that emotion is not only associated with compulsiveness and irrationality,
but is a subconscious reaction, is the framework that drives emotional branding theory.

Emotional branding creates a personality for the brand. In an article published in Brandweek, original
source Emotional branding by Marc Gob [1], the difference between identity and personality is stated:
Identity is recognition. Personality is about character and charisma! Brand identities express a point of
difference in the competitive landscape--but that's just the first step. Brand personalities are special: They
evoke an emotional response. American Airlines has a strong identity but Virgin Airlines has personality.
The brand personality is crucial in emotional branding
Symbols provide a promise for a sense of fulfilment associated with their brand. Vance Packard highlights
the eight hidden needs that consumers have that themes and symbols attempt to sell. The eight needs are as
follows:
1. Emotional security
2. Reassurance of worth
3. Ego-gratification
4. Creative outlets
5. Love objects
6. Sense of power
7. Sense of roots
8. Immortality
WHAT IS EMOTION?
Emotion is made up of different components, As Damasio(1999) said the full human impact of emotions
is only realized when they have been sensed, when they turn into feelings and when these feelings are felt
in different ways that is where they become what is known as emotions.
By emotions, we mean a state of readiness of mind that arises from the assessment of cognitive events or
feelings; has the tone of phenomena; associated with physiological processes; often physical expression
(for example, in gestures, posture, facial features), and leads may take someprocedures or management
with a passion, and this depends on the nature and meaning for the person thereafter.For a similar
perspective, see Lazarus (1991) and Oatley (1992).
The line between an emotion and mood is frequently difficult to draw but often by convention includes
conceiving of a mood as being longer lasting (from a few hours up to days) and lower in strength than an
emotion. Yet, exceptions to this construal can be found. Still another distinction between emotions and
moods is that the former typically is on purpose (i.e., it has an object or referent), whereas moods are
generally non intentional and global (Frijda 1993). Also, moods are not as directly joined with action
tendencies and unambiguous actions as are many emotions.
IMPORTANCE OF EMOTIONS:
Marketers realize that emotions are important but they are not quite sure why? And how emotions can
create differences in the market?
Millward brown (1998), talking to consumer and asking them different questions about how they made
purchases? What are the things which influence them in purchasing? And how he/she consumes a product
that represent certain brands the answer would be simpler depending upon my mood and involvement
towards that product which is how well you are emotionally attached to the product of a particular brand.
Millward Browns thoughts about it is that , Brands are made up of groups of associations, feelings,
images, sounds, fragments of experience as well as some derived knowledge.
Why do people buy products of a certain brands customers purchase products both for what the product
does for them called Product Function and also for another important reason that is how the product
make them feel to be precise Product Emotions.Boatwright,P. Cagon, J,1991: BuiltTo Love: Creating
products that captitative customers. So the basic thing which marketers have to understand is to convert
need into want. Marketers have to engage customer emotionally with the product for gaining stand out
position in the market.

The higher emotional response tendency is linked with more recurrent use and acceptance of the brand is
strongly confirmed.Hansen, F.Christensen.S, 1991, Emotions. Advertising and consumer choice. If the rate
of customers emotional attachment to the product is high then loyalty towards that product/brand
increases. So that the power of that brand enhances. Lets take an example of a Playboy in 1950s; it had
all the elements that a powerful brand could possibly have. Such as;

Consumer Jazz
Publicity
Differentiation
Various touch points or experience realms
A visible brand champion

Strong employee brand advocates

A clear brand image, message and promise
Consistency in setting and meeting customer expectations
Restraints in protecting the brand.
An untapped niche.

While it certainly goes against the tested marketing theory to extend a brand so much and so quickly,it
worked for playboy. (Building Brand Value The Playboy Way, Susan Gunelios,2008). By getting complete
hold on some of the elements, brands can develop emotional attachment with the customer in order to
strengthen its brand.
EMOTIONAL BRANDING:
Over the past decade trademark emotional growth itself in the way that has become an influential part of
the extremely successful in branding, and has proved itself as a separate concept. (Gobe 2001; Zaltman
2003). Emotional branding is specifically termed as consumer-oriented, relational, and story-driven
approach to build a strong and long term bond between consumer and the brand. (Roberts 2004). Among
marketing practitioners, this relational, shared, participatory, sensory, and sensitive view of consumerbrand relationships is increasingly heralded as a central pillar of market differentiation and sustainable
competitive advantage (Atkin 2004; Gobe 2001; Lindstrom 2005; Roberts 2004). Emotional branding
actually means that customers stay connected to the brand for longer period of time.
Various tools used for emotional branding:

Celebrity Branding.
Touch-Lines.

Celebrity Branding:Celebrity branding is a type of branding, or advertising, which uses celebrities his or her position in
the community for the purpose of promoting a product or service or charity. Celebrity brands can take
different forms, from the celebrities in the ads that appear simply a product or service or charity, to
celebrities who attended the event PR, and create his or her own line of products or services,
And/or using his or her name as a brand. The most popular forms of celebrity brand lines are for clothing
and fragrances. Many singers, models and film stars now have at least one licensed product or
service which bears their name.
Punch-lines:SIMPLE MEANING OF PUNCHLINES
1. An ending line, as in a play or joke, that makes a point.
2. An often repeated phrase associated with an individual, organization, commercial product.
TOUCHING THE HEART

Effective marketing does not mean that you do not only have an impact on the heart of the consumer but
also to influence them emotionally so they can take positive action regarding that particular brand. Could
target potential consumers of the new generation, which has more purchasing power, as well as specific
taste, liking for the latest products and the value system that is completely conventional. The new
generation consumers can be targeted with the following Emotional Marketing Mix:
1.
2.
3.
4.

Glitzy Ad
Flashy Design
Lifestyle
Image

For example, The Coca-Cola Company has selected specific colours for CAN to encourage certain
emotions. The red color is in color, the ability to inspire and the power of confidence, and feels
comfortably warm. Stripes and silver bubbles give a refreshing look, and yellow tape is the exact colour,
but it is important to inspire a feeling of happiness. All together this design inspires family feel
comfortable. Their own commercials and also seems to promise a comfortable experience and social
development. All of these emotional factors to establish an association with the product. When consumers
see the product in the store that they do not only see a refreshing drink, feel a sense of happiness and
comfort, in the hope of social interaction commercials display.
Consumer-brand relationship
In the context of relational approach, the special relationship between the consumer and the brand involves
a new dimension that is the emotional dimension (Filser, 1996; Graillot, 1998; Gob, 2001). In fact, the
reality grab consumer sentiment and that affect their minds become a major concern for any brand and one
of the key success factors for the development of a long-term relationship (Lacoeuilhe, 1997; Cristau,
2001). In this paper we will examine the value of the emotional side in forming and maintaining the
relationship between consumers and different brands. Humans tend to like people who share their common
traits. The same applies to the idea of brand and consumer interactions
(Aaker, 1996). Originating in social psychology, consumer-brand relationships are similar to interpersonal
relationships:

They involve reciprocal exchanges between partners through a series of repeated actions; and
Sustained consumer-brand relationships provide benefits to the participants, such as perceived
commitment (Aaker, 1996; Smith et al., 2007).

Through series of transactions, consumers experiences create some brand associations/links with a focal
brand (Aaker, 1991; Keller, 1993, 2001). Keller (2001) notes that brand associations function like
information nodes stored in memory, and contain the meaning of the brand for consumers. In her previous
study (Keller, 1998), It identifies three categories of brand associations: product and non-product related
attributes, and the functional and symbolic benefits, and the position or the overall assessment. Like many
of the characteristics of individuals within human relations and brand associations influence in popular
perceptions and evaluations of the brand
(Aaker, 1996; Keller, 1993). Specifically, brand associations help the formation of brand image wherein
brand image refers to perceptions about a brand developed through brand associations and held in
consumers memory (Keller, 1998). Scholars have conceptualized brand image with two main functional
and symbolic aspects: the former is developed using specific, inherent characteristic of brand attributes
(e.g. price, design, and quality), while the latter is established using extrinsic characteristics (e.g.
reputation, atmosphere) that satisfy

Customers higher-level needs (Bhat and Reddy, 1998; Grace and OCass, 2002; Kandampylly and
Suhartanto, 2000; Keller, 1993). Brand associations generate different effects either or both on the
technical aspects and symbolism, which affects the increase of building a brand image.
On the assessment of the brand, and individuals who appreciate advanced features are likely to react
positively to brands such as Chanel means that the images "classic" and "elegant." It was seen to such roles
and similarly between the brand and the self-focusing of research on school brand relationship. Find
Matching knows self-concept, research has shown that this trend more similarities between consumers and
the brand, and increase the emotional bonds between the consumer and the brand
(Fournier, 1998; Sirgy, 1982). Such emotional bonds further foster consumers positive evaluations of the
brand including credibility, attitude, or image (Eagly and Chaiken, 1993).

Fourniers (1994, 1998) model of brand relationship quality (BRQ model) that highlights the importance
of relationship quality deserves particular attention. The BRQ model comprehensively and effectively
addresses diverse dimensions of relationship quality in consumer-brand relationships, which advances
the concept of relationship marketing. By definition, relationship marketing is an advanced marketing
concept and enhancing as well as creating/maintaining the relationship with stakeholders are critical
(Kotabe and Helsen, 2001). Specifically, the model posits that the interplay of seven brand relationship
qualities affect the relationship strength:
1.
2.
3.
4.
5.
6.
7.

Intimacy (psychological closeness);

Passionate attachment;
Love (possible feelings towards a brand);
Self-concept connection (perception of a brand as the part of the self);
Personal commitment (loyalty to the brand);
Nostalgic connection (connection to the consumers history and particular memories); and
Partner quality (taking good care of its consumers).

Fourniers BRQ model has been re-evaluated by later researchers. For instance, Smith et al. (2007)
identify four dimensions in the BRQ model (passionate attachment, love, self-connection, and nostalgic
connection) as emotional dimensions of brand relationships and the other three (personal commitment,
brand partner quality, and intimacy) as behavioural dimensions. Dowling (2002) Caution is advised in the
adoption of model BRQ, arguing that they have the capabilities of different brands to communicate with
their customers. Overall, despite the acceptance of widespread and important model BRQ comprehensive
due consideration of the multiple dimensions of quality consumer brand relationship. The research also
explored the personal element of the relationship between the brand and its customers.
Fournier (1998) examined the nature of relationships that customers have as well as want to havewith
companies (see also Fournier and Yao 1997, Fournier et al. 1998).Fournier views brand-relationship
quality as multifaceted and consisting of six dimensions beyond loyalty or commitment along which
consumer brand relationships vary:
1.
2.
3.
4.
5.
6.

Self-concept connection,
Commitment or nostalgic attachment,
Behavioural interdependence,
love/passion,
Intimacy, and
Brand-partner quality.

Q. Brand communications
Brand communication is important in ensuring brand success in the business world and refers to how a
business transmits its brand message, characteristics and attributes to their consumers.[15] One method of
brand communication, which can be exploited by companies, is electronic word of mouth (eWOM).
EWoM is a relatively new approach identified to communicate with consumers, one popular method of
eWOM is social networking sites (SNSs) e.g. twitter.[16] This study found that consumers classed their
relationship with a brand as closer, if that brand was active on a social media site i.e. Twitter. It was further
found that the more consumers retweeted and communicated with a brand, the more they trusted the
brand. Thus suggesting that a company should look to employ a social media campaign to gain consumer
trust and loyalty as well as in the pursuit of communicating their brand message. McKee (2014) also
looked into brand communication and stated that when communicating a brand, a company should look to
simplify its message as this will lead to more value being portrayed as well as an increased chance of the
brand being recalled and recognised by their target consumers.[17]When communicating a brand, In 2012,
Riefler identified that, if the company in question, is a global organisation or have future global aims they
should look to employ a method of communication which is globally appealing to their consumers and
choose a method of communication with will be internationally understood.[18] One aspect a company can
do this is when choosing a product or services brand name, as this name will need to be suitable for the
market place that it aims to enter.[19] It is important that if the company wishes to pursue global business,
the company name chosen will need to be suitable in different cultures and not cause offensive or be
misunderstood.[20] It has also been found that when communicating a brand a company needs to be aware
that they must not just visually communicate their brand message and should take advantage of portraying
their message through multi-sensory information.[21] Anon, (2007) suggests that other senses, apart from

vision, need to be targeted when trying to communicate a brand with consumers. [22] For example a jingle or
background music can have a positive effect on brand recognition, purchasing behaviour and brand recall.
Therefore, when looking to communicate a brand with chosen consumers, a company should investigate a
channel of communication, which is most suitable for their short term and long term aims and should
choose a method of communication which is most likely to be adhered to by their chosen consumers. [18]

Consumers are constantly meeting the brand

Through advertising

With editorial mentions

By sponsorships

On the point of purchase materials

Over the supermarket shelves

The need for communication

The need for impact

The need for an involving, positive experience

The need to affect behaviour

The need for high payback,

Communication happens when the consumer meets the brand
Imperative to ensure that every brand meeting builds the brand

Communication model
Effectiveness influencers

Effectiveness influencers

The greater the influence of communication source over recipient, the greater the recipients change/effect in
favour of source

Communication effects are greatest where the message is in line with the receivers existing opinion, beliefs
and dispositions

Communication can produce the most effective shifts on unfamiliar, lightly felt, peripheral issues that do not
lie at the core of the recipients value system

Communication is more likely to be effective if the source is believed to have expertise, high status,
objectivity or likeability

The social context, group, or reference group will mediate the communication and influence whether or not
the communication is accepted

Communication is not a one-way street anymore

Communication is an interactive dialogue between the company and its customers

Takes place during the pre-selling, selling, consuming and post-consuming stages

Integrated marketing communications

IMC is a concept of marketing communication planning that recognizes the added value of a comprehensive
plan

It evaluates the strategic roles of a variety of communications disciplines and combines all these disciplines

Hallmark of a good communication plan

A good plan will provide a strategic framework to identify the different goals for brand communication
Assign these to channels which will be most effective

Will provide a blueprint against which campaigns in different channels will be briefed and evaluated

Will aid priority setting, and a check on how realistic brand objectives are

Will provide an overall work plan for the communication team, company and agency

Role for communication

What role would the communication play in the overall scheme of things?
Introduce the brand
Make Brand TOM
Reinforce attitudes
Claim leadership

Define the role creatively and persuasively

I have to to I want to
Move the brand from the shelf to the hand bag

Communication strategy

What would be the overall communication strategy?

The strategic route to achieving our intended goals

Some examples
Shift focus from functional to emotional benefits
Increase visibility
Establish brand superiority
Create launch excitement

Q. Whats in a Brand Identity/ Design?

A brands identity is the visual expression of a brand that is communicated to the outside world, and
includes its name, logotype or mark, communications, and visual appearance. An identity system and
identity guideline manual allow for the consistent use of the brands identity through all consumer
touch-pointsallowing a brand to be easily recognized and gain awareness in the marketplace.
A brand identity creates an emotional connection, and reflects the brand positioning and desired
image.

Logotype
LogoMark

Brand
LOGO
ARCHITECTURE

Guidelines

identity

Color PalletE

Our brand identity process is comprised of six steps: it starts with an analysis of the business needs and
ends with the application of the brand identity to several pieces of marketing communication.
Steps 1 and 2 are the research and analysis of the marketing situation with a document that defines the
marketing strategy behind brand identity development. Steps 3-6 are where the creative work is
performed and involves exploration of the logomark and logotype. Refinements and selection of the most
successful work is done at this
point. Lastly, the final logo is selected and brand identity guidelines are created.

1 Review, Research and Analysis

2 Define Strategy

3 Brand Identity Development

4 Refinements and Contextual Application

5 Identity System and Guidelines

6 Logo Implementation

1 Review, research and analyze.

In step one, we convene and learn the details pertinent to the project. We will review and
confirm that the current information we have is applicable for branding elements moving
forward.
a.Kick-off meeting. Review past information, gather new information, and discuss the
philosophy and plan for the project moving forward.
b. Information review. Updates on brands and sub-brands, extensive competitive
research, and summarize findings.

2 Define strategy and develop creative brief.

In this stage we define brand elements, or attributes, that best fit the brand. From the brand elements
we define the positioning of the brand. The last part of
step 2 is the creation of a Creative Brief outlining the strategy for brand identity
development.
a.Define positioning. After review of the marketing information gathered from Step 1, we create a
positioning statement that can be used along with the brand driver boards as the
benchmark for review of all creative
moving forward.
b.

Define brand elements. These are elements that help to describe the essence of the brand. At
this point, we present Brand Driver boards that include a short and long written description,
keywords, and visual elements that help to articulate the core attributes of the brand.

c. Compose Creative Brief for identity development. This document is used by the design staff to
kick-off the creative exploration of a logo. We share this with the client at the same time we
share this with the creative team.
3 Brand Identity Development (logotype and logomark)
This is when creative exploration begins. Using the creative brief and brand elements mood
boards, the creative team explores ideas for the logo.

a.Exploration. Typography and graphical styles are explored in sketch form through
brainstorm sessions. The best solutions are digitally developed into more refined logos.
b.

Presentation. We meet in person to present and review 3-5 logo directions that we feel
are the most successful, and best reflect the creative brief and mood boards. Through
discussion and collaboration, we decide which logos we would like to explore in more
detail.

4 Logo Refinements
This is where the back and forth between client and designer happens. All the decision
makers are in the room and the logos are reviewed with the strategy in mind.
a.Refinements. Taking the information gathered from the first presentation, we refine 2-3 of
the more successful logos and meet again to review and choose the final logo. Contextual
applications are shown for each logo that include examples of how the logo might appear
on various pieces of marketing communications. These meetings may include at least two
rounds of refinements.
b.

Review Logo Extensions and Architecture. Show how the chosen logo(s) will work with
brand partners and sub-brands, and how the logo will look in various accepted forms
(i.e.: black and white, reversed out, etc.).

5 Identity System and Guidelines

An identity system and guidelines manual needs to be developed for the most basic corporate
communications including stationery, promotional material, and environmental signage.
a.Exploration and Logo Extensions. Includes the exploration of size, location and color pallete
for the logo. We will place the logo in real-world brand communications to discover how
the placement, size and accompanying typography and brand partners will have an effect
on the logo.
b.

Presentations. We will present identity system design that may include examples of
stationery, environmental signage and promotional materials.

c. Refinements. We will refine and present again for final approval.

d.

Identity Guideline document. Using the guideline system approved from above, we create
a master guideline document that ensures for the proper and consistent use of the brand
identity.

6 Launch Program
Once the brand identity and guidelines are completed, a launch program of the new brand to the
outside world is developed to maximize impact.
a.How can we capitalize on this new brand and make the most impact in the marketplace? We
answer this question by addressing pace, tempo and timing in context with public
relations, direct mail, websites, advertising and other marketing materials.
b.

A launch plan is developed that considers all communication channels and customer
touch points. We identify tactics and develop creative and creative briefs and budgets.

c.Design, layout and production takes place with budget and timing in mind.

NAMING
logotypes and marks
identity systems
identity guidelines

PRINT
IDENTITY

ADVERTISING
Brochures
ANNUAL REPORTS
PromotioNs
PackaginG
EVENT COLLATERAL

ONLINE /
MULTIMEDIA
WEBSITES
VIDEO
ANIMATION
PRESENTATION
HOSTING

COPYWRITING
CAMPAIGN DEVELOPMENT

MESSAGING

DIRECT
RESPONSE

DESIGN

LIST MANAGEMENT
PRINT & EMAIL
EXHIBITIONS
SIGNAGE
EVENTS

ENVIRONMENT

Brand

STRATEGY

Integrated marketing plans INFORMATION ARCHITECTURE

MEDIA PLANNING
VENDOR SOURCING MANAGEMENT & EVALUATION

Q. Visual identity
Corporate visual identity plays a significant role in the way an organization presents itself to both internal and external
stakeholders. In general terms, a corporate visual identity expresses the values and ambitions of an organization, its business,
and its characteristics. Four functions of corporate visual identity can be distinguished. Three of these are aimed at external
stakeholders.
1. First, a corporate visual identity provides an organisation with visibility and "recognisability".For virtually all
profit and non-profit organisations, it is of vital importance that people know that the organization exists and
remember its name and core business at the right time.
2. Second, a corporate visual identity symbolizes an organization for external stakeholders, and, hence, contributes to
its image and reputation (Schultz, Hatch and Larsen, 2000). Van den Bosch, De Jong and Elving (2005) explored
possible relationships between corporate visual identity and reputation, and concluded that corporate visual
identity plays a supportive role in corporate reputations.
3. Third, a corporate visual identity expresses the structure of an organization to its external stakeholders, visualising
its coherence as well as the relationships between divisions or units. Olins (1989) is well known for his "corporate
identity structure", which consists of three concepts: monolithic brands for companies which have a single brand,
identity in which different brands are developed for parts of the organization or for different product lines, and an
endorsed identity with different brands which are (visually) connected to each other. Although these concepts
introduced by Olins are often presented as the corporate identity structure, they merely provide an indication of
the visual presentation of (parts of) the organization. It is therefore better to describe it as a "corporate visual
identity structure".
4. A fourth, internal function of corporate visual identity relates to employees' identification with the organization as
a whole and/or the specific departments they work for (depending on the corporate visual strategy in this respect).
Identification appears to be crucial for employees, [4] and corporate visual identity probably plays a symbolic role
in creating such identification.
The definition of the corporate visual identity management is
Corporate visual identity management involves the planned maintenance, assessment and development of a corporate visual
identity as well as associated tools and support, anticipating developments both inside and outside the organization, and
engaging employees in applying it, with the objective of contributing to employees' identification with and appreciation of
the organization as well as recognition and appreciation among external stakeholders.
Special attention is paid to corporate identity in times of organizational change. Once a new corporate identity is
implemented, attention to corporate identity related issues generally tends to decrease. However, corporate identity needs to
be managed on a structural basis, to be internalized by the employees and to harmonize with future organizational
developments.

Efforts to manage the corporate visual identity will result in more consistency and the corporate visual identity management
mix should include structural, cultural and strategic aspects. [5] Guidelines, procedures and tools can be summarized as the
structural aspects of managing the corporate visual identity.
However, as important as the structural aspects may be, they must be complemented by two other types of aspects. Among
the cultural aspects of corporate visual identity management, socialization i.e., formal and informal learning processes
turned out to influence the consistency of a corporate visual identity. Managers are important as a role model and they can
clearly set an example. This implies that they need to be aware of the impact of their behaviour, which has an effect on how
employees behave. If managers pay attention to the way they convey the identity of their organization, including the use of a
corporate visual identity, this will have a positive effect on the attention employees give to the corporate visual identity.
Further, it seems to be important that the organization communicates the strategic aspects of the corporate visual identity.
Employees need to have knowledge of the corporate visual identity of their organization not only the general reasons for
using the corporate visual identity, such as its role in enhancing the visibility and recognizability of the organization, but also
aspects of the story behind the corporate visual identity. The story should explain why the design fits the organization and
what the design in all of its elements is intended to express.
Corporate colours

Corporate colours (or company colours) are one of the most instantly recognizable elements of a corporate visual identity
and promote a strong non-verbal message on the company's behalf. Examples of corporate colours:

Red for Coca-Cola

Blue for IBM, nicknamed "Big Blue"

Brown for UPS, "What can Brown do for you"

Light Teal for Korean Air

Visual identity history

Nearly 7,000 years ago, Transylvanian potters inscribed their personal marks on the earthenware they created. If one potter
made better pots than another, naturally, his mark held more value than his competitors'. Religions created some of the most
recognized identity marks: the Christian cross, the Judaic Star of David, and the Islamic crescent moon. In addition, Kings
and nobles in medieval times had clothing, armour, flags, shields, tableware, entryways, and manuscript bindings that all
bore coats of arms and royal seals. The symbols depicted a lord's lineage, aspirations, familial virtues, as well as memoirs to
cavalry, infantry, and mercenaries of who they were fighting for on the battlefields. [6]
A trademark became a symbol of individuals' professional qualifications to perform a particular skill by the 15th century. For
example, the Rod of Asclepius on a physician's sign signified that the doctor was a well-trained practitioner of the medical
arts. Simple graphics such as the caduceus carried so much socio-economic and political weight by the 16th century, that

government offices were established throughout Europe to register and protect the growing collection of trademarks used by
numerous craft guilds.[6]
The concept of visually trade marking one's business spread widely during the Industrial Revolution. The shift of business in
favour of non-agricultural enterprise caused business, and corporate consciousness, to boom. Logo use became a mainstream
part of identification, and over time, it held more power than being a simple identifier. Some logos held more value than
others, and served more as assets than symbols.
Logos are now the visual identifiers of corporations. They became components of corporate identities by
communicating brands and unifying messages. The evolution of symbols went from a way for a king to seal a letter, to how
businesses establish their credibility and sell everything from financial services to hamburgers. [7] Therefore, although the
specific terms "corporate image" and "brand identity" didn't enter business or design vocabulary until the 1940s, within
twenty years they became key elements to business success.

Marketing and Branding Strategy: The Psychology of Colour

The psychology of color as it relates to persuasion may be one of the most interesting aspects of marketing.
For businesses, the colors that are chosen to represent a brand are done very carefully. The strategic use of color
can be used to enhance a customers mood and actions because of the psychological influence the color has on
the viewers mind. Larger companies may invest heavily into branding research particularly color to target
particular markets and provide a certain impression of their product to consumers. In this article, were going to
take a look at color from the perspective of the blogger, or small business owner.
What Colors, Exactly?
When we speak of colors in this article were referring to the colors used in your company logo, or as the color
theme to your website. Even social media sites such as Twitter allow you to choose your own color themes.
For small businesses and the independent blogger, branding color choice may be more of a personal preference
or even an afterthought. Weve gone ahead and composed a brief summary of colors in order to provide an
overview for those who may not have the time, but are interested in the psychological impact that specific color
designs can provide.
How Do Colors Influence People?
White and Grey Associated with feelings or calm, balance, purity, cleanliness, and safety. Neutral greys can
also symbolize feelings of sophistication, practicality, and solidarity. Too much grey may lead to feelings of
nothingness and depression.
Yellow and Orange Cheerful colors that promote optimism and cheerfulness. Yellow has been shown to
trigger a sense of caution (think wet floor signs) and to make babies cry. These colors are commonly used to
create a sense of anxiety that can draw in impulsive buyers and window shoppers. Youll notice the yellow is

difficult to read against the while background which can cause a noticeable amount of stress, particularly on the
readers eyes.
Red Creates a sense of urgency and youthfulness. Red is associated with physically stimulating the body,
raising blood pressure, and encouraging appetite. Fast-food companies use generous amounts of red in hopes
that customers will purchase more to eat and stay for shorter periods of time.
Green Health, peacefulness, health, and nature. Used in stores to relax customers and for promoting environmental issues.
Green has been shown to stimulate harmony in your brain and encourages a balance leading to decisiveness. Youll see a lot
of eco-friendly products using green. Starbucks is a popular company who hosts green as its primary color in hopes of
providing a sense of calmness and tranquility to their coffee shops.

Purple Wise and imaginative. Commonly associated with royalty, quality, and respect. Purple is commonly used to brand
beauty and anti-aging products.
Blue Strength and dependability. Its associated with peace, tranquillity, and reliability. Believed to stimulate productivity,
it is the most common color used by conservative brands looking to promote trust in their products. Youll see a lot of
technological and IT companies using blue.
Black Symbolizes luxury, authority, power, stability, and strength. Black is commonly used by high-end clothing brands
and car manufacturers.

Q. Sensory branding
Sensory branding is a type of marketing that appeal to all the senses in relation to the brand. It uses the senses to relate with
customers on an emotional level. Brands can forge emotional associations in the customers' minds by appealing to their
senses. A multi-sensory brand experience generates certain beliefs, feelings, thoughts and opinions to create a brand image in
the consumer's mind.
Sense: Any of the faculties, as sight, hearing, smell, taste, or touch, by which humans and animals perceive stimuli
originating from outside or inside the body.
Sensory marketing: Marketing techniques that aim to seduce the consumer by using his senses to influence his feelings and
behaviour

The senses
Visual
Sight is the most used sense for marketing because it is the one most responsive to the environment. [4] We can
appreciate logos, corporate colors, characters and other graphical tools with which one can identify a specific
product. According to fashion retailer Gina Tricot, 'the eyes buy 70 or 80 percent of what people buy.' Sight is

how the customer knows the product offering, quality, changes, store layout, materials, lights and colours.
Shapes and colour are the first aspects of a brand that is noticed by the customer.
Colour is a big influence on visual branding because it can affect people emotionally. According to the Seoul
International Colour Expo, The colour of a brand logo improves brand recognition by 80%. And 84% of people
believe that colour amounted to the major consideration when they choose a brand. Different colours affect
people differently, for example, red 'is the highest stimulation hue. It increases pulse and heart rate, raises blood
pressure and stimulates appetite.' This can be used by sensory branding in restaurants to stimulate hunger or in
bars to because of its exciting properties.
Auditory
Sound is used in branding to evoke emotions and feelings to influence brand experiences and interpretations.
[1]

Perhaps the second most used variable by marketing and advertising is the sense of hearing. Sound when

matched with a message is a powerful way to make the customer remember it. Background music is an effective
way to influence customer behaviour at the point of purchase. If used properly, music can create a mood for the
consumer that encourages them to buy, for example playing rock and roll music in a guitar store.
Olfactory
Smell is used in branding because it increases the customers' remembrance of the brand. [1] The human nose can
distinguish over 10,000 different odors, besides being the most sensitive of the senses; it has a tremendous
evocative power of memories and experiences over the years. Smell is the sense most linked to our emotional
recollection. It can create instant connections between a brand and other memories. Neuromarketing studies
show that 75% of emotions are triggered by smell. Smell is linked to pleasure and wellbeing, emotion and
memory. Therefore, it can influence customers' emotional state and mood to make the customers more
susceptible to impact customer behaviour. Restaurants sometimes send artificial smells into the areas around the
venue to increase awareness of their product.
Research by the Sense of Smell Institute indicates that while people's visual recall of images sinks to
approximately 50% after only three months, they recall smells with a 65% accuracy after an entire year.
Similarly, a study carried out at the Rockefeller University shows that in the short term we remember just 1% of
what we touch, 2% of what we hear, 5% of what we see, 15% of what we taste and 35% of what we smell
Gustative
Taste fuses all the different senses together to create a holistic brand experience. Therefore, name, presentation,
environment, scent, sound and texture must all be considered when branding with taste. Taste is linked to
emotional states, and so it can alter mood and brand perception. Gustative marketing is usually used (for
obvious reasons) especially for food and beverage brands.
Tactile

Touch strengthens brand identity and image by appealing to this sense. Touch considers physical and
psychological interaction between the customer and the product. Touch is a way to control the 'unconscious of
the consumers, their perceptions, feelings and tastes'. [4] Touch can be manipulated through materials, weight,
softness, and comfort of the product.

Smells like Good Branding

Anyone familiar with marketing understands that a brand extends well beyond a logo and graphics. As humans,
our biology is very visually-oriented and we evaluate our world in great measure by how we see it with our
eyes. Thus, we often rely on design, graphics, logos, and other visual media to establish a strong brand
positioning in the minds of audiences. And our modern society has grown accustomed to recognizing (and
filtering) visual messages, and we start doing so at a remarkably young age. However, we have other senses in
addition to sight, and brands that employ them create new avenues into peoples lives.
We are taught very early that we have five senses that include sight, hearing, taste,smell and touch. When
brands leverage these other senses along with visual/sight, it can add another subtle but powerful connection
with its audience and circumvent the filtersso many of us have developed. In fact, studies show that when
combining multiple sensory stimuli, you get a more powerful impact on consumers than you would using a
single sensory experience, e.g. graphics.

For example: taste (the tang and fizzle of original Coca

Cola), touch (Isotoner gloves a snug fit and now you can touch your touch screen with
them), smell (Cinnabon have you ever smelled it in a mall before you ever saw the kiosk/store?)
and sound (the comforting start-up sound of an Apple MAC, recognized even when you dont see the
computer).
When creating, refreshing or extending your brand, consider a multi-sensory approach where reasonably
possible. Something as simple as a sound logo like NBC or IntelsInside logo can be quite powerful when
consistently and thoughtfully applied. Consider everyday things also. For example, what do people hear when
placed on hold at your company? That can have a big difference on what kind of brand impression (and
response!) you get. What about scent and smell? The sense of smell bypasses our logical brain and goes right
to our memory and emotional part it is powerful. Have you considered what your office reception smells
like? how about the scent of your product? or store? How we relish the smell of a bakery or bagel shop when
the bread is just coming out. And what about the sense of touch? Some companies, like Volkswagon are
spending considerable attention and resources to align their brands with touch so their product feels like a
natural extension of their customers. On a more everyday level, what is the weight and texture of your business
cards? do they have raised ink or texture?
Some people may not know that we also have other senses, that include temperature (thermoception),
kinesthetic sense (proprioception), pain (nociception), balance (equilibrioception), time, acceleration
(kinesthesioception), and magnetoception(direction). Innovative companies may take advantage of these as well
things could get interesting.

The key to leveraging the senses, other than sight, in branding is to be open and adopt opportunities which can
establish a multi-sensory experience. Doing this in unexpected ways can also create additional impact. For the
particularly unusual combinations, market testing would be highly recommended. However, whether the idea is
a scented appliance, textured packaging, flavored toothbrushes, or singing fresh-smelling dishwashers, by
creating unique sensory mash-ups, your brand will stand out in the eyes of your audiences.

SENSORY MARKETING AND BRANDING: THE POWER OF THE SENSES

Commonly, branding is associated with every graphical stimulus that characterizes a specific brand; that is, its logo, colors,
images, icons, characters, etc., as well as the transmission of its values through these. However, this is a quite limited
appreciation of what the term represents. Let's say that traditional marketing, as well as other related disciplines has been
somewhat unfair to reduce branding to a purely visual expression, being such a fundamental and important variable to the
success of a company, brand or organization.
It is common to have everyday work conversations with various professionals of the industry, from graphic designers,
advertisers, even other marketers, and relate to this issue as a exclusively visual element, setting aside a whole range of
possibilities to exploit the identity, characteristics, values and virtues of a brand.
Fortunately, all is not lost. There are companies that exploit the advantages of branding to a higher level, thus obtaining
significant economic benefits, a solid market position and competitive advantages over its competition.
As part of a strategy of differentiation and positioning, modern marketing begins to make use of tools that would have never
thought in the past, starts to break traditional schemes, and thinks laterally in order to expand and solidify the mental
territory each brand occupies in our brains as consumers. One of such tools is known as sensory marketing, i.e. the
exploitation of the senses through stimuli designed to be directly related to a particular brand.
It may sound too sophisticated and for many even perverse, however, that link product-consumer through the description of
the first and our sensitivity to receive and process information from the environment in which we live makes it a natural
process as always has been, only that it had never properly being exploited as a marketing strategy or at the levels that is
done in modern times.
Sight
Until today, the most important variable used by brands to generate recognition and develop an identity in the market is the
sense of sight. We can appreciate logos, corporate colors, characters and other graphical tools with which one can identify a
specific product. It's rare a person who does not recognize the Apple logo, the golden arches of McDonald's, the white wave
on the red background of Coca-Cola, etc. The list goes on and on. These elements, so far, are the epicenter of all business
strategy in most corporations. However, this is changing. A study described in the book "Buyology - Truth and lies about
why we buy" (Lindstrom 2009) showed how brands like Marlboro, suffering the brunt of the ban on advertising on many
places of the world, decided to invest in the atmosphere of bars and nightclubs with motifs of their brand identity: images of
horses and beautiful landscapes on the displays of such centers, mountain-shaped seats, images of racing cars (Marlboro is
known for its sponsorship of this important branch), among others. This paid juicy profits resulting from the consumption of
cigarettes- and this without having to use their logo. The conclusion of this study was that at the end of the day, the use of the
logo is not so important (at least for some brands), provided that the product is adequately positioned and associated to other
variables with easier access to our brain, given that as people, when watching such advertising information we tend to have
an automatic rejection of the stimulus.

Sound
Perhaps the second most used variable by marketing and advertising is the sense of hearing. Corporations realize that visual
objects are not sufficient to influence the consumer purchase decisions and decide to provide new features to their products
and brands. Certainly we all recognize the famous Nokia tune, the specific Intel notes at the end of each commercial, the
Iusacel ringtone of an incoming call, not to mention a few jingles. As well, separately from the previous examples there are
others less obvious but equally or more transcendent as is the case of the "click" of Zipo lighters; Messenger alert sounds,
even the sound coming out of the doors of many car brands such as GM or Chrysler is designed to be unique and generate
acknowledgement in our mind. Finally, many of the sounds derived from the use of certain particular product begin to be
taken advantage of overused to contribute to a consumption experience and therefore an enhanced recall and consumer
association.
Touch
Perhaps some readers may have this extraordinary ability to change the TV channel and do something even more
sophisticated without ever seeing the remote control, or, as in the case of many teens that are able to send text messages on
their cell phones hidden under the palette in their seat while attending math class. This shows how we develop a physical
memory and include certain products in our daily activities. Textured book covers, labels and some printed shirts, forms that
are better adapted to our hands in bottles of mayonnaise, sauces, beverages; plush, furry fabrics pleasant to the touch, not to
mention the mobile devices and sensitive touch screen tablets so common today. No doubt brands recognize our singular
sensitivity and natural tendency to feel our environment as a means of interaction and involvement with it.
Taste
Nothing like a nice and very distinctive flavor. Variable overused (for obvious reasons) especially for food and beverage
brands. Secret formulas jealously treasured, x ingredients, grandma's recipe, exotic ingredients, a whole mystique
developed around our favorite food or drink. On the other hand, there are medicines with a pleasant taste for children, and
bubble gum flavored toothpaste. However, the involvement of the sense of taste in business strategies has come out of their
habitat to start their baby steps in unexpected areas: pencils and other office supplies (for those who like to bite
incessantly), as well as toys and clothing with flavor for toddlers.
Smell
The human nose can distinguish over 10,000 different odors, besides being the most sensitive of the senses; it has a
tremendous evocative power of memories and experiences over the years. I still remember as if it was yesterday the smell of
my Bubble Gummers (bubble gum scented tennis), the shopping mall I used to visit every Sunday with my family and the
characteristic smell of the food court, which I still visit from time to time just for the memories it evokes; my first day at
school with the smell of Play-Doh and crayons, not to mention the fragrances that remind us of some person, place or thing.
You will agree that like it or not, a myriad of brands have been with us throughout life, which from the cold, commercial
standpoint of business quite functional.
Not everything applies to all products, but certainly it's worth experimenting a little and making sure what we are doing for
our brand. To find out if it's being seen, felt - to find out if it is actually present.

UNIT 3
Q. Brand Positioning - Definition and Concept
Brand positioning refers to target consumers reason to buy your brand in preference to others. It is
ensures that all brand activity has a common aim; is guided, directed and delivered by the brands
benefits/reasons to buy; and it focusses at all points of contact with the consumer.
Brand positioning must make sure that:

Is it unique/distinctive vs. competitors ?

Is it significant and encouraging to the niche market ?

Is it appropriate to all major geographic markets and businesses ?

Is the proposition validated with unique, appropriate and original products ?

Is it sustainable - can it be delivered constantly across all points of contact with the consumer ?

Is it helpful for organization to achieve its financial goals ?

Is it able to support and boost up the organization ?

In order to create a distinctive place in the market, a niche market has to be carefully chosen and a differential
advantage must be created in their mind. Brand positioning is a medium through which an organization can
portray its customers what it wants to achieve for them and what it wants to mean to them. Brand positioning
forms customers views and opinions.
Brand Positioning can be defined as an activity of creating a brand offer in such a manner that it occupies a
distinctive place and value in the target customers mind. For instance-Kotak Mahindra positions itself in the
customers mind as one entity- Kotak - which can provide customized and one-stop solution for all their
financial services needs. It has an unaided top of mind recall. It intends to stay with the proposition of Think
Investments, Think Kotak. The positioning you choose for your brand will be influenced by the competitive
stance you want to adopt.
Brand Positioning involves identifying and determining points of similarity and difference to ascertain the right
brand identity and to create a proper brand image. Brand Positioning is the key of marketing strategy. A strong
brand positioning directs marketing strategy by explaining the brand details, the uniqueness of brand and its
similarity with the competitive brands, as well as the reasons for buying and using that specific brand.
Positioning is the base for developing and increasing the required knowledge and perceptions of the customers.
It is the single feature that sets your service apart from your competitors. For instance- Kingfisher stands for
youth and excitement. It represents brand in full flight.
There are various positioning errors, such as1.

Under positioning- This is a scenario in which the customers have a blurred and unclear idea of the
brand.

2.

Over positioning- This is a scenario in which the customers have too limited a awareness of the brand.

3.

Confused positioning- This is a scenario in which the customers have a confused opinion of the brand.

4.

Double Positioning- This is a scenario in which customers do not accept the claims of a brand.

Q. Brand positioning process

Effective Brand Positioning is contingent upon identifying and communicating a brand's uniqueness,
differentiation and verifiable value. While "me too" brand positioning contradicts the notion of differentiation,
this type of "copycat" brand positioning can work if the business offers its solutions at a significant discount
over the other competitor(s.) According to Lamb, some companies position their brands "as being similar to
competing products or brands"; a few examples are "margarine tasting like butter" and "artificial sweeteners
tasting like sugar".[1] This can also be seen in reactive marketing, when companies reposition more than just
products: after Target added food and grocery items to become a "supercenter", certain grocery stores (such as
Texas chain HEB) added retail products to become supercenters as well. Another example would be the iPhone
spawning several competitive smartphones - differentiated from Apple, yes, but not as significantly as Apple
would prefer based on the patent infringement lawsuits filed by Apple. [2] The conclusion seems to be emulate,
but do not duplicate. As the Harvard Business Review notes when discussing positioning and strategy, "A
company can outperform rivals only if it can establish a difference that it can preserve." [3]
Generally, the brand positioning process involves:
1. Identifying the business's direct competition (could include players that offer your product/service
amongst a larger portfolio of solutions)
2. Understanding how each competitor is positioning their business today (e.g. claiming to be the fastest,
cheapest, largest, the #1 provider, etc.)
3. Documenting the provider's own positioning as it exists today (may not exist if startup business)
4. Comparing the company's positioning to its competitors' to identify viable areas for differentiation
5. Developing a distinctive, differentiating and value-based positioning concept
6. Creating a positioning statement with key messages and customer value propositions to be used for
communications development across the organization
Product positioning process[edit]
Generally, the product positioning process involves:1. Defining the market in which the product or brand will compete (who the relevant buyers are)
2. Identifying the attributes (also called dimensions) that define the product 'space'

3. Collecting information from a sample of customers about their perceptions of each product on the
relevant attributes
4. Determine each product's share of mind
5. Determine each product's current location in the product space
6. Determine the target market's preferred combination of attributes (referred to as an ideal vector)
7. Examine the fit between the product and the market.
Positioning concepts[edit]
More generally, there are three types of positioning concepts:
1. Functional positions

Solve problems

Provide benefits to customers

Get favorable perception by investors (stock profile) and lenders

2. Symbolic positions

Self-image enhancement

Ego identification

Belongingness and social meaningfulness

Affective fulfillment

3. Experiential positions

Provide sensory stimulation

Provide cognitive stimulation

Repositioning a company[edit]
Main article: Turnaround management
In volatile markets, it can be necessary - even urgent - to reposition an entire company, rather than just a product
line or brand. When Goldman Sachs and Morgan Stanley suddenly shifted from investment to commercial

banks, for example, the expectations of investors, employees, clients and regulators all needed to shift, and each
company needed to influence how these perceptions changed. Doing so involves repositioning the entire firm.
This is especially true of small and medium-sized firms, many of which often lack strong brands for individual
product lines. In a prolonged recession, business approaches that were effective during healthy economies often
become ineffective and it becomes necessary to change a firm's positioning. Upscale restaurants, for example,
which previously flourished on expense account dinners and corporate events, may for the first time need to
stress value as a sale tool.
Repositioning a company involves more than a marketing challenge. It involves making hard decisions about
how a market is shifting and how a firm's competitors will react. Often these decisions must be made without
the benefit of sufficient information, simply because the definition of "volatility" is that change becomes
difficult or impossible to predict.

Q. Brand Planning
The Beloved Brands planning process includes four key phases: 1) Deep-dive business review 2) Key issues
3) Brand positioning and 4) Brand plan
Stage 1: The deep-dive business Review
We provide brand leaders with a full range of analytical tools to look at every part of the brand, providing a
complete review for management. We teach brand leaders good analytical principles about telling stories with
facts to gain more support for your analysis. We look at every part of the health and wealth of a brand looking at
the category, consumer, channels, brand, and competitors.

A typical agenda for a business review should consist of:

Category: factors impacting growth, trends, economic, changes happening in demographics,

behaviors, consumption. Look at related categories.

Consumer: define segments, buying habits, growth trends, key insights for each segment, buying
system analysis, leaky bucket, consumer perceptions through tracking data and research.

Channels: look at each channels performance, major customers, sales performance, tools for winning
used in each channel.

Competitors: dissect competitors looking at positioning, pipeline, pricing, distribution differences,

consumer perception, strategies. Complete a brand plan for each competitor.

Brand: look at internal and external health and wealth of brand. Use financial analysis, brand funnel
data, market research perceptions. Look at advertising results, pricing strategies, distribution gaps and do a
complete leaky bucket analysis.

Stage 2: The key issues

We coach brand leaders on how to frame the most important strategic questions that set up their strategic brand
plans. We leverage the summation of the business review to frame the drivers, inhibitors, risks and
opportunities. From there we set a straw dog brand vision, then brainstorm all the issues getting in the way of
achieving that brand vision. We begin to see key issues themes and use strategic summation tools to make sure
weve looked at all parts of the business. We coach on the writing of a key issues deck for management
approval. A typical agenda for a key issues presentation would look like:

Health and wealth of brand: look factors driving the internal health and wealth and the external
health and wealth of the brand.

Whats driving growth and how will we continue to enhance? Stay focused on things going right,
accelerate against them. Continuous improvement.

Whats inhibiting growth and how will we minimize or reverse? Close the leaks, develop
turnaround plans or re-focus the team against the trend.

What opportunities for growth will we take advantage of? Build plans to mobilize the brand to see
if the opportunity is a winning space for the brand.

What are the risks to future growth to avoid and what are the Contingency plans?Identify and
measure the risk, explore plans to avoid. Fill the gap before a competitor.

Stage 3: Create a winning brand positioning

We coach brand leaders on creating a brand idea and brand positioning that will help your brand win in the
market. We use a workshop style process that helps your team find a winning brand positioning, pushing the
emotional benefits. We can validate with consumers through a testable brand concept. Well work to create a Big
Idea that frames the external and internal promise of your brand. Well leave you with an execution ready
creative brief to hand to your agency. You should revisit the positioning each year, matched up to the consumer
insights of your business review as well as your competitive review to make sure that youre winning in the
marketplace. A typical agenda for brand positioning would be:

Who do we want to sell to? (Target Market): Who do we want to sell to? Segmentation performance,
broken out by demographics, psychographics, buying patterns. Use consumer insights to tell story based on
category insights and think about Life Insights or even Societal Trends that could impact changing consumer
behaviour. Define the consumer enemy.

What are we selling? (Main Benefit) and why should they believe us? (Reason to Believe) Using a
Customer Value Proposition Ladder: Define consumer target: need states, enemies and insights. Product
features: Product-focused strengths, claims, differences or unique offerings. Rational benefits: In consumers
voice, answer, so, what do I get? Emotional benefits: Look at rational benefit, asking, So how does
that make me feel? using emotional Cheat Sheet below.

And then to execute that positioning in the market place, ask: what do we want the Advertising to
do for the brand? (Strategic Choices) Where your Brand sits on the Brand Love Curve sets up your
Strategic Choices. When Indifferent, you want to establish your brand in the mind of consumers so that you
can drive awareness and consideration with new user. At Like It, you should create following by separating
yourself and drive the rational & emotional benefits to close sale. When at Love It stage, you want to tug at
the Heart and tighten the connection using emotion. When Beloved, you need to continue the magic and
maintain the love with your most loyal users

What do want people to think, feel or do? (Desired Response): Use a Buying System to focus your
Advertising Strategy and how youll use your Media options

Whats the long-range feeling the brand evokes (The Big Idea): The big idea connects with the
consumer and guide the promise, strategy, story, Innovation & Culture.

Stage 4: Write a brand plan everyone can follow

We coach brand leaders to build highly focused strategic brand plans that everyone in your organization can
follow. We use a workshop style process to help your team lay out a long-range strategic road map and brand
plan that everyone in your organization can follow. Well help your team prepare brand plans for review. We
then work with your team to create actionable project plans for each tactic with goals, milestones and budget. A
typical agenda for a one-year brand plan would include:

Vision: What do you want your brand to be in the next 5-10 years? Vision gives everyone on the brand
a clear direction, it should be measurable (quantitative) and motivating (qualitative). It should push you so
much that it scares you a little, but excites you a lot.

Purpose: Why does your brand exist? Keep asking yourself why you do this, to find the personal
motivation hidden in the brand. Articulating your purpose can be a very powerful way to connect with both
employees and consumers, giving your brand a soul.

Goals: What do you need to achieve? Specific measures of brand health and wealth, related to
consumer/customer behavioral changes, metrics of key programs, performance targets or milestones on the
pathway to the vision. Its the brand scoreboard.

Financial Forecasts: sales, A&P spending, margins, profits, market share.

Key Issues: What is getting the way from achieving your vision/goals? Deep analysis highlights whats
driving and holding brand back, as well as future risks and untapped opportunities. Issues are asked as a
question to provide the problem to which strategies become the solution.

Strategies: How can we get there? Strategies are the How you will win the market. Choices based on
market opportunities, using consumers, competitors or situational. Strategies should have a pin-pointed
focus providing a breakthrough on the pathway to the brand vision.

Tactics: What do we need to do to execute the strategy? Framed completely by strategy, tactical
choices deploy your limited resources against brand projects in the most efficient way to drive a high ROI.

Marketing Budget to achieve Results: broken out by trade spend, communication, consumer promo,
new products, research.

Brand creation/ Strategy

Brand strategy is a systematic plan defining the clear vision and articulation of how a brand will create attractiveness and
demand on the market and commitment or influence among key stakeholder. There is no prescription or template for
developing a brand strategy as it needs to be based on your companys, industrys and competitive specific variables in order
to allow the brand to successfully represent the a strategic vision driving business performance, culture & attitude.

Q. 5 Steps to Start Creating a Brand

A business based on brand is, very simply, a business primed for success. David F. DAlessandro
The brand creation process is a long one, it requires perseverance, consistency and an underlying emotional
connection with the target segment. Its aim is to instill a level of brand loyalty in its customers, which will in
turn generate exponentially increasing recurring streams of income. This process needs to be thought through
thoroughly from the very beginning of developing a business model. It is far more challenging to change the
perception of your product/service in the mind of your customer once it is established. Therefore, focus on first
impressions and how to position your product/service from the onset.

Listed below are 5 steps to help you get started in the brand creation process. I believe these are vital
foundational steps. The development of a brand is however not limited to these steps alone, and I will discuss
advanced branding concepts in later posts.
1. Brand Personality: A brand personality consists of two important components. The first being a thorough
understanding of what your business is, and what it stands for. These can be goals, objectives and core strengths.
The second component is understanding your target segment. One should be completely aware of their needs,
pain points, competition and goals. When these two components are brought together a better understanding
emerges of how to get across to customers and stakeholders. To learn more about creating a brand personality
please clickhere.
2. Competitive Edge: Why should a customer pick your product/service over a competitors? Your brand needs
to communicate its competitive edge clearly to help develop a connection with the target audience. Use your
competitive edge as an integral part of brand development and positioning strategy to enable you to not only
build a worthwhile brand, but also a strong business model. To learn more about integrating your competitive
edge into the brand development process please click here.
3. Positioning: Every customer classifies a business or brand internally. This internal wiring is the definitive
feeling at the interaction point with your product/service. The last thing you want as a start-up organization is to
be known as Oh you do the same thing as say Facebook. Much thought needs to be put into how you want
the customer to perceive your brand. How is it distinctive, what are the common associations with your business
model and how can you use them to your advantage? To learn more about positioning your brand correctly
please click here.
4. Selecting a Name: Once you have a good understanding of the steps mentioned above, sit down and
brainstorm possible names for your business. I find it useful to follow basic guidelines of keeping them
simple, avoid generic terms, the name should be easy to pronounce and spell and, should be unique. Apart from
that, formulate a list of questions highlighting word associations, emotional associations and other factors which
help formulate a right name. After this process, shortlist and get feedback from friends, family or even stake
holders. Take your time with this step, do not force a name just because you cannot think of anything else. This
is something you are going to have to live with for a long time. To learn more about selecting a name please
click
5. Key Brand Elements: The devil is always in the details. The final step in the process focuses our attention to
key brand elements which include, logos and word marks, tag-lines, colors and typography selection. These
elements need to reflect your brand personality and positioning. These factors are integral for instigating a
connection with your target customer. It also helps to establish consistency in how we communicate with our

customers and stakeholders at every touch point. Without this consistency we will not be able to establish a level
of trust which results in brand loyalty. To learn more about different key brand elements please click here.
As you can see, the brand development process is a lot more than selecting a name and creating a logo or wordmark. It requires us to think deeply about the business we are establishing, the message we want to
communicate and how we want to communicate it. There needs to be a story behind your brand and what it
stands for. When you look at world class brands today, each one of them means something different to each and
everyone one of us. Why are some individuals fanatical about drinking Coke and not Pepsi or selecting a PC
compared to a Mac? When did the brand become more than a symbol, to being an integral part of who we are? I
hope we all get the opportunity to create such a brand one day. Best of luck

Q. Brand platform
The brand platform is a model for defining a brand identity. Theplatform elements are: Vision or Mission
Statement. Core Identity Concepts. Brand Promise.
Brand Concept
The one word or concept to be known for in the marketplace? The core and underlying message that is always
communicated by the brand.
Brand Promise
This is how we fulfill our customers expectations, meet their needs and build their trust so that they become a
customer for life. It defines what our customers can expect from our brand everyday.
Brand Vision
Expresses the future ideals of the brand. Setting a vision is the way to measure success.
Target Customer
The most likely user of the product or service. The Target Customer is at the top of the bell chart in terms of
numbers of users.
Brand Positioning
A brand owns a position in the mind of the consumer. It may be high or low in terms of price and quality in
relation to other brands. A clear position defines who we are and who we are not.
Brand Statement & Tagline
This summary statement answers: Who is the Brand for? What is the Brand product? How is the Brand
differentiated? What is the reason to believe? The tagline distills these key ideas into a single phrase.
Brand Drivers
These are the key features and emotional benefits that differentiate our brand. The Drivers make our products
relevant to our target customer. They articulate our competitive strengths and guide our communication
priorities.
Brand Character
This is the brands character defined in human terms. Our personality shapes the look, feel, voice and tone of
communications and product design.

Brand Voice
This is how the brand speaks to our audiences. The voice could be playful, serious, authoritative, or full of
attitude. Brand Voice defines how language is used in all messaging.
Brand Look
This is the visual reflection of the Brand Personality. These emotional descriptors guide the tone of our
messaging, the design of the products and the look of all marketing materials.

The 14 Components of a Brand Platform

Completely confident in their brand platform and its elements.
1.

2.
3.

4.

5.

6.

7.

8.

9.

Objectives:
Nothing should ever be implemented before you establish what you plan to achieve.
Without SMART (specific, measurable, attainable, relevant, time-specific) objectives, its not possible
to prove whether or not youve been successful. Even if you increase sales by 15%, the response
becomes, so what? if you werent clear that an increase in sales was the objective from the
beginning. You need a business objective, marketing objective, and brand objective to ensure all
stakeholders are on the same page.
Interview Insights:
Its important to interview key stakeholders before defining your brand platform. Different people have
unique perspectives based on his or her department, experience, talents, and other factors.
SWOT Analysis:
You know the routine: strengths, weaknesses, opportunities, and threats. This is important to know
because it impacts how you will position the brand, your messaging, and how your company fits in the
competitive landscape.
Target Audience:
Your target audience is who you plan to reach with your communications. This should be based on
market and consumer research to ensure that you are targeting the right people who are likely to be
interested in purchasing your product or service.
Vision:
Your vision is aspirational it communicates what you hope to achieve as a company and paints a
picture of what company success will look like. A vision statement communicates the role the
organization stands to play in the industry and reflects the goals and priorities expressed in a
companys strategic plan. The basics of creating brand communication involves: creating a vision, an
elevator pitch, and a 10 minute presentation.
Mission:
Your mission says what your company hopes to accomplish. Kevin Starr, executive director of the
Mulago Foundation advises companies to follow the format of Verb, target, outcome, for simple,
focused mission statements.
Brand Promise:
The brand promise is a one-sentence statement of the largest value proposition the brand can credibly
make to its audience. This provides a clear, easy-to-understand message of the overarching benefit the
brand delivers and helps to organize and prioritize all other benefits.
Positioning:
How does your brand fit into the competitive landscape? How is it different than other brands? How do
customers perceive the brand? Positioning your brand correctly could be the difference between being
annihilated by the competition or finding the marketing sweet spot that allows your brand to be
successful.
Brand Tagline:
This is something that encapsulates your entire brand in a few words. The tagline is the most succinct
thumbnail categorization of the brands business.

10. Brand Pyramid: Values.

11.

12.

13.

14.

What core values are important to

your brand? These values should resonate with the target market. This is a list and description of the
beliefs and ideals that guide the behaviors of the company and its employees. It helps to create a strong,
cohesive culture, helps stakeholders to live the brand, and establish trust in the brand on behalf of
customers and business partners.Benefits. If youre selling a drill bit, what youre really selling is the
hole, not the piece of metal. Think about Apples retina display. The idea of a retina display alone
means nothing unless you know how it will impact the screen display and how that will affect your
digital experiences. If you know you will see television shows with unparalleled clarity, then its
something that has appeal. Attributes. A list and description of 6-10 key attributes of the brand
personality, together with information that details the source of these attributes in the founders
histories, vision, and values.
Key Messaging:
These are the important points that you will use to guide your marketing copy. What are the salient
points that will resonate with your target audience, and how do you communicate them clearly and
concisely.
Brand Personality:
A tight, one-paragraph statement that describes the soul of the brand the qualities and values that
live at its core and the experience of interacting with it. The brand personality summarizes the distinct
impression that a brand should make, both visually and in written and spoken communications. The
brand personality guides the development of a clear, well-integrated visual and written identity.
Brand Voice:
We like to define the brand voice by using the template is/is never. The brand IS: real, approachable,
friendly, fun, passionate, empathetic, understanding, genuine, authoritative, reliable, intelligent,
confident, sincere etc. The brand IS NEVER: arrogant, insensitive, pretentious, snooty, diminutive,
cold, unresponsive, brash, irritable, careless, crude, etc.
Brand Value Proposition:
The brand value proposition lays out what value your customers will attain from purchasing your
product or service. In the Harvard Business Review article Value Propositions that Work, Anthony K
Tjan asserts: there are only 4 types of consumer benefits that matter and by extension only four
categories of value propositions that work:

Best quality

Best bang for the buck

Luxury and aspiration

Must-have

Q. What Is Marketing Communication Strategy?

Marketing communication helps to develop brand awareness, which means that consumers translate product
information into perceptions about the products attributes and its position within the larger market. Businesses
also use marketing communication to retain the products current customer base, and to cement relationships
with customers and suppliers, notes "Reference for Business." Marketing communication strategy defines the
businesss plan for product information dissemination and brand awareness development.

Components
Design an effective marketing communication strategy with one or more marketing
communication components. Advertising allows a business to reach a large audience
through mass market or target market appeals. Personal selling enables a company to
communicate product benefits directly to the customer, as in a retail setting. Direct
marketing permits a business to reach customers without a third party medium;
examples include catalogs and direct mail. Sales promotion provides a customer with an
incentive to buy the companys product, such as a company that makes a charitable
contribution with each sale. Public relations involves a companys outflow of information
to customers, suppliers and other groups affected by company operations.

Strategies
Businesses employ five general marketing communication strategies. Company owners
often inspire customer trust by presenting the personal story that led to the businesss
creation. A business clearly presents its products, along with projected customer
benefits. The business illustrates why its product is superior to similar competitors
products. A company utilizes customer testimonials to highlight a products value. A
business often creates customer goodwill by developing an informational sheet on a
customer-focused topic.
Benefits
A well-chosen marketing communication strategy utilizes one or more components to disseminate the
companys outgoing message. A market-appropriate strategy increases the companys chances to accurately
transmit the products benefits, and to have that message positively received by the customer. The business
likely benefits from customer goodwill when the company story or customer testimonial strategies are used.
Considerations
A business owner must utilize a marketing communication strategy appropriate for each product. If the company
sells higher-end diamond jewelry, for example, customers may value a diamond rings cut and diamond clarity
over other variables. The jewelry store does not want to use a strategy focusing on its superiority to its
competitors. This comparison may cheapen the diamond's value for the customer. The business should focus on
the benefits the customer receives by buying the ring.
Expert Insight
Integrated marketing communication strategy begins with a focus on the customer. Marketing professor Susan
K. Jones of Michigan-based Ferris State University recommends that businesses stop utilizing only one
marketing communication component. Ms. Jones recommends that companies analyze the customers needs,
preferences and buying habits; and then introduce products that mesh with those needs and habits. The company
should showcase those products using marketing communication methods familiar to, and accepted by, the
customer.

Q. 7 Steps to Develop an Effective Marketing Communications Strategy

Paul Provost, President

Gaining awareness is one of the first steps in the sales process and the main focus of your marketing
communications (marcom) strategy. Getting to know your audience, crafting your message and tracking results
are only a few pieces of the puzzle.

Why all the fuss? An effective marketing communications plan results in a better, more consistent brand
experience. The end result: more sales.

1. The Better You Know Your Audience, the Better You (& Your Team) Can Appeal to their Interests

All successful marketing efforts begin with a thorough understanding of your audience. Start by analyzing your
current clients and why they chose your products or services. Don't have enough data to get the full picture? Put
a research plan in place to help fill in any gaps relating to demographics, purchase patterns and other insights
into when, where, why and how people purchase your products.

2. Uncover Your Unique Selling Proposition

Your Unique Selling Proposition (USP) is the main benefit that, when communicated effectively, drives sales of
your product or service. It focuses on a unique problem that you solve better than anyone else. Your USP must
be compelling and strong enough to move people to act. Your USP will be central to all of your marketing
communications, so don't take this step lightly.

3. Sharpen Your Brand Look and Feel

From logos to business cards and marketing collateral, your brand must speak to the customer in a
contemporary, relevant manner. It needs to support your operational USP and accurately represent your market
position don't mislead your audience by creating a marquee brand if you're aiming to be a low-cost option. Be
honest, sincere and true to the heart of your business.

4. Ensure that All Messaging is Consistent

While most people think of logo and stationary when it comes to branding, your brand voice is equally
important. A good place to start is to generate a few key positioning statements to feature in your
communications. Start with a tagline, single sentence version and then a standard short paragraph. Try spooling
out a handful of key messages (up to 5) that your company should be communicating (note that they cannot all
be in all places). Outline key descriptive words to use and not use, and make sure that your new messaging
standards are adhered to in all future communications.

5. Choose Your Marketing Mix

With all of the recent advancements in online marketing, there are more ways to communicate than ever before.
Every industry and brand is unique, so there is no standard marketing mix that will work for everyone. The key
is to understand your options, and choose a media mix that fits your audience (where do they spend their time /
attention), budget and marketing communications goals.

6. Establish Marcom Success Measurements (Metrics)

Whatever the medium and message, ensure that your communications are measurable. Whether it's email open
rates, social media exposure or direct mail response rates, establish key communications goals and put systems
in place to chart your success. Tie this data in with sales metrics to get a true sense of what's working and what's
not.

7. Manage Leads and Client Data

You know your audience, you've built your brand and you've told your story. People are interested now what?
A CRM (Customer Relationship Management) system is a database of your contacts (customers, prospects,
others) that allows you to organize information (contact info, records, files, calls, emails, etc) to streamline and
scale sales and marketing processes. This will help you better understand how clients move through the sales
funnel and help you close more leads.

Successful marketing communications efforts are much more than a shot in the dark. Each of these seven steps
needs to be explored to the fullest in order to gain the greatest return on investment possible.

UNIT 4
Q. Brand Protection
the act of preventing someone from illegally making and selling a product using a brand nameowned by
another company
How Can a Businesses Protect Their Brand & Trademark from the Internet

Businesses work hard to establish a unique identity that resonates with consumers and adds value to the
company's portfolio of goods and services. Unfortunately, some companies--deliberately or accidentally--can
infringe on another firm's brand and trademark, potentially leading to actual loss or confusion among
consumers. However, with careful preparation and diligent monitoring, company owners can protect their brand
and their business from harm.
Build Brand
Perhaps the best way to protect your brand is to make sure you aren't stealing someone else's. Although certain
visual elements wax and wane in popularity--for example the rounded ovals in logos from the early 2000s--in
general, a unique brand consists of a specific tagline or a logo with a consistent set of colors, fonts and graphics.
So before building equity in a brand, perform due diligence to make sure you aren't accidentally stepping on
someone else's toes. Some very large companies have been known to fire both legal barrels at very small
companies on the mere allegation of brand infringement. Upfront research is the best defense against being
accused of infringement.
Register Mark
Register trademarks and service marks with the U.S. Patent and Trademark Office. Registration brings a degree
of legal cover against infringement claims and it gives extra weight to your efforts to protect your brand from
attack by others. Registration is quick, easy and cheap--but the legal benefits are substantial.
A trademark promotes a product or a good; a service mark promotes a particular service. For example,
"DeeDee's Dog Depot" would be trademarked because the business sells dog-care products, whereas "Massages
by Miguel" gets a service mark because the term describes a service.
Monitor Competitors
Actively monitor the market for signs of brand infringement. If your tagline is a registered trademark, for
example, occasionally search for the phrase on popular search engines, including Bing or Google. Visit
competitor websites to make sure that your rival isn't copying your colors, images or visual design.
The longer that a competitor infringes; the harder it is to put a stop to it. Routine monitoring helps stop problems
before they become big enough to help pay off your attorney's law school debt.

Fight Infringement
Aggressively fight any appearance of brand infringement. Begin by sending a courteous
letter to the offending company, outlining your concerns and potential resolution. If the
company's leaders fail to respond, send a formal cease-and-desist letter and refer the
matter to your attorney for further review and recommendation.
In extreme cases, infringement claims must be resolved through the court system by
means of a civil suit.

Protect Brand
A well-defined, recognized and respected business brand is a substantial asset for any
company. Business leaders should spare no expense or energy in aggressively defending
their brand from infringement. This protection includes setting clear standards for how
the brand is used and communicated from within, as well as from encroachment by
others.
It also means that business leaders should actively watch for negative stories and
comments about the company and find a way to make it right. For example, NASCAR has
started fining drivers who speak negatively about the sport to protect the NASCAR
image.
Several companies offer Internet monitoring of brand identity. There is scant evidence
that these companies are truly effective at assessing and protecting a brand against all
aspects of online infringement.

Q. Trademark
A trademark, trade
mark,
or trade-mark is
a
recognizable sign, design or expression which
identifies products or services of a particular source from those of others. The trademark owner can be an
individual, business organization, or any legal entity. A trademark may be located on a package, a label,
a voucher or on the product itself. For the sake of corporate identity trademarks are also being displayed on
company buildings.

Distinctive design, graphics, logo, symbols, words, or any combination thereof that uniquely identifies a
firm and/or its goods or services, guarantees the item's genuineness, and gives it owner the legal rights to
prevent the trademark's unauthorized use. A trademark must be (1) distinctive instead of descriptive, (2)
affixed to the item sold, and (3) registered with the
appropriate authority to obtain legal ownership and protection rights. Trademark rights are
granted usually for 7 to 20 years and, unlike in case of patents, are renewable indefinitely. These rights
are protected worldwide by international intellectual property treaties and may be assigned by their
owner to other parties. Although a trademark has no limited term of existence, the rights to use it may be
lost due to misuse or lack of use. Trademarks are divided into 42 international classes,
each class representing similar goods or services. Whereas a trademark may be registered under multiple
classes, it is protected only in the class(es) relevant to the business or trade area of the item. And, whereas
the use of symbol 'TM' does not provide any legal benefit, it precludes the infringer's defense of lack
of knowledge of a trademark claim. Costs incurred in design and registration of, and in defending,
trademarks are usually amortized over the life the trademark or 40 years, whichever is shorter. Inbalance
sheets, trademarks are identified as intangible assets and, in some cases such as Coca Cola Co., are far
more valuable than the firm's all other assets. The term trademark includes the associated term service
mark (SM).
Trademark, Patent, or Copyright?
A trademark is a word, phrase, symbol, and/or design that identifies and distinguishes the source of the goods
of one party from those of others. A service mark is a word, phrase, symbol, and/or design that identifies and
distinguishes the source of a service rather than goods. The term "trademark" is often used to refer to both
trademarks and service marks.
Must all marks be registered? No, but federal registration has several advantages, including a notice to the
public of the registrant's claim of ownership of the mark, a legal presumption of ownership nationwide, and the
exclusive right to use the mark on or in connection with the goods or services set forth in the registration.
A patent is a limited duration property right relating to an invention, granted by the United States Patent and
Trademark Office in exchange for public disclosure of the invention.
A copyright protects works of authorship, such as writings, music, and works of art that have been tangibly
expressed.
The Trademark Operation of the United States Patent and Trademark Office (USPTO) handles trademarks only.
For information on patents, please visit Patents or contact 800-786-9199. For information on copyrights, please
contact the U.S. Copyright Office (link is external)(a division of the Library of Congress).
Public policy[edit]
Trademark law is designed to fulfill the public policy objective of consumer protection, by preventing the public
from being misled as to the origin or quality of a product or service. By identifying the commercial source of
products and services, trademarks facilitate identification of products and services which meet the expectations
of consumers as to quality and other characteristics.
Trademarks may also serve as an incentive for manufacturers, providers or suppliers to consistently provide
quality products or services to maintain their business reputation. Furthermore, if a trademark owner does not
maintain quality control and adequate supervision in relation to the manufacture and provision of products or
services supplied by a licensee, such "naked licensing" will eventually adversely affect the owner's rights in the

trademark. For US law see, ex. Eva's Bridal Ltd. v. Halanick Enterprises, Inc. 639 F.3d 788 (7th Cir. 2011). This
proposition has, however, been watered down by the judgment of the House of Lords in the case of Scandecor
Development AB v. Scandecor Marketing AB et al. [2001] UKHL 21; wherein it has been held that the mere
fact that a bare license (equivalent of the United States concept of a naked license) has been granted did not
automatically mean that a trademark was liable to mislead.
By the same token, trademark holders must be cautious in the sale of their mark for similar reasons as apply to
licensing. When assigning an interest in a trademark, if the associated product or service is not transferred with
it, then this may be an "assignment-in-gross" and could lead to a loss of rights in the trademark. It is still
possible to make significant changes to the underlying goods or services during a sale without jeopardizing the
trademark, but companies will often contract with the sellers to help transition the mark and goods or services to
the new owners to ensure continuity of the trademark.
Comparison with patents, designs and copyright[edit]
See also: Functionality doctrine and Threshold of originality
While trademark law seeks to protect indications of the commercial source of products or services, patent law
generally seeks to protect new and useful inventions, and registered designs law generally seeks to protect the
look or appearance of a manufactured article. Trademarks, patents and designs collectively form a subset of
intellectual property known as industrial property because they are often created and used in an industrial or
commercial context.
By comparison, copyright law generally seeks to protect original literary, artistic and other creative works.
Continued active use and re-registration can make a trademark perpetual, whereas copyright usually lasts for the
duration of the author's lifespan plus 70 years for works by individuals, and some limited time after creation for
works by bodies corporate.[33] This can lead to confusion in cases where a work passes into the public
domain but the character in question remains a registered trademark.
Although intellectual property laws such as these are theoretically distinct, more than one type may afford
protection to the same article. For example, the particular design of a bottle may qualify for copyright protection
as a non-utilitarian [sculpture], or for trademark protection based on its shape, or the 'trade dress' appearance of
the bottle as a whole may be protectable. Titles and character names from books or movies may also be
protectable as trademarks while the works from which they are drawn may qualify for copyright protection as a
whole. Trademark protection does not apply to utilitarian features of a product such as the plastic interlocking
studs on Lego bricks.[34]
Drawing these distinctions is necessary, but often challenging for the courts and lawyers, especially in
jurisdictions where patents and copyrights pass into the public domain, depending on the jurisdiction. Unlike
patents and copyrights, which in theory are granted for one-off fixed terms, trademarks remain valid as long as
the owner actively uses and defends them and maintains their registrations with the competent authorities. This
often involves payment of a periodic renewal fee.

As a trademark must be used to maintain rights in relation to that mark, a trademark can be 'abandoned' or its
registration can be cancelled or revoked if the mark is not continuously used. By comparison, patents and
copyrights cannot be 'abandoned' and a patent holder or copyright owner can generally enforce their rights
without taking any particular action to maintain the patent or copyright. Additionally, patent holders and
copyright owners may not necessarily need to actively police their rights. However, a failure to bring a timely
infringement suit or action against a known infringer may give the defendant a defense of implied consent
or estoppel when suit is finally brought.
Like patents and copyrights, trademarks can be bought, sold, and transferred from one company or another.
Unlike patents and copyrights, trademarks may not remain intact through this process. Where trademarks have
been acquired for the purpose of marketing generic (non-distinctive) products, courts have refused to enforce
them.[35]
Dilution [edit]
Main article: Trademark dilution
A trademark is diluted when the use of similar or identical trademarks in other non-competing markets means
that the trademark in and of itself will lose its capacity to signify a single source. In other words, unlike ordinary
trademark law, dilution protection extends to trademark uses that do not confuse consumers regarding who has
made a product. Instead, dilution protection law aims to protect sufficiently strong trademarks from losing their
singular association in the public mind with a particular product, perhaps imagined if the trademark were to be
encountered independently of any product (e.g., just the word Pepsi spoken, or on a billboard). Under trademark
law, dilution occurs either when unauthorized use of a mark "blurs" the "distinctive nature of the mark" or
"tarnishes it." Likelihood of confusion is not required. 15 U.S.C 1127, 1125(c).
Sale, transfer and licensing[edit]
In various jurisdictions a trademark may be sold with or without the underlying goodwill which subsists in the
business associated with the mark. However, this is not the case in the United States, where the courts have held
that this would "be a fraud upon the public". In the U.S., trademark registration can therefore only be sold and
assigned if accompanied by the sale of an underlying asset. Examples of assets whose sale would ordinarily
support the assignment of a mark include the sale of the machinery used to produce the goods that bear the
mark, or the sale of the corporation (or subsidiary) that produces the trademarked goods.
Licensing[edit]
Licensing means the trademark owner ( the licensor) grants a permit to a third party (the licensee) in order to
commercially use the trademark legally. It is a contract between the two, containing the scope of content and
policy. The essential provisions to a trademark license identify the trademark owner and the licensee, in addition
to the policy and the goods or services agreed to be licensed.

Most jurisdictions provide for the use of trademarks to be licensed to third parties. The licensor must monitor
the quality of the goods being produced by the licensee to avoid the risk of trademark being deemed abandoned
by the courts. A trademark license should therefore include appropriate provisions dealing with quality control,
whereby the licensee provides warranties as to quality and the licensor has rights to inspection and monitoring.

Q. Types of Brand

There are two main types of brand manufacturer brands and own-label brands.

Manufacturer brands

Manufacturer brands are created by producers and bear their chosen brand name. The producer is
responsible for marketing the brand. The brand is owned by the producer.

By building their brand names, manufacturers can gain widespread distribution (for example by
retailers who want to sell the brand) and build customer loyalty (think about the manufacturer brands
that you feel loyal to).

Private Label brands

Own-label brands are created and owned by businesses that operate in the distribution channel often
referred to as distributors.

Often these distributors are retailers, but not exclusively. Sometimes the retailers entire product range
will be own-label. Own-label branding if well carried out can often offer the consumer excellent
value for money and provide the distributor with additional bargaining power when it comes to
negotiating prices and terms with manufacturer brands.

Advantages of Private Brands

Earn higher profits

Less pressure to mark down prices

Ties customer to wholesaler or retailer

Advantages of Manufacturers Brands

Develop customer loyalty

Attract new customers

Enhance prestige

Ensure dealer loyalty

Individual Brands versus Family Brands

Individual
IndividualUsing
Using
Brand
different
Brand
different
Family
names
Family brand
Marketing
brand
names
Marketing
Brand
different
several
Brand for
for
different
several

products.
different
products.
different
products
products
First question is whether
to brand or not to brand. Homogenous products are difficult to brand
Branding policies are:
under
the
under
the
Individual Branding: Naming each product differently P&G, facilitates market segmentation and no
same
overlap.
same
brand
Overall Family Branding:
All products are name.
branded
with the same name, or part of a name, IE Nokia,
brand
name.
promotion of one item also promotes other items.

Branding Policies

Line Family Branding: Within one product line.

Brand Extension Branding: Use one of its existing brand names as part of a brand for an improved or
new product, usually in the same product category.
75% new products are brand extensions

Regional Brands

c.
d.
e.

A regional brand is unique to a parti region

Some brand remain regional on acc resources, some on account of very provincial appeal
Local advertising media can be use build a regional brand
Attitude Brands

c.
d.

Body shop puts forward human body an asset

Benetton ads denote an rude attitude

e.

MTV is for new generation ,including perspective of attitude matching to new generation

E-business is growing

Some e-brand are exclusively electronic e.g. Citibank e-card

Some e-brands are used to register presence e.g. icicidirect
Premium Brands

Nike in Reebok in sports shoes

Dove in soaps

Scotch in liquors

Premium is contributed by excellence in and features

Its distribution is selective
1. Rejuvenate an old brand
2. Meet the needs of the consumers in the segment e.g. Colgate gel
To change the imagery for a new segment
Cult Brands

Cult brands have a slow start, but build a stead following over a period of time
Cult brand s give people a chance to belong to something
Cults display an intensity of relationship betwee user and the brand itself
A cult, according to the dictionary, is a system o religious beliefs, and a cult brand is built when a people
revere it almost like a religion
E.g. Harley Davidson is held up as a symbol
Life-style positioning make certain ordinary prod premium products, e.g. Hero Cycles

Q. Trademarks Portfolio Management Strategies

An Intellectual Property (IP) Portfolio is a collection of IP assets belonging to an enterprise. An IP Portfolio can
include different forms of IP such as patents, trademarks and copyrights, as well as other intangible assets such
as licenses, exclusive distribution contracts and valuable business relationships.
IP Portfolio management involves periodically assessing the status of the assets in the portfolio, which can be
done through an IP audit, as well as developing strategies which address how IP rights are acquired, exploited,
enforced and maintained, in order to maximize their value to the enterprise.

Inside the Trademark Portfolio

A trademark portfolio may comprise registered trademarks and service marks (together referred to herein as
trademarks) and trademarks that are in use but not necessarily registered. As trademark rights can be acquired
through licenses or assignments as part of franchise agreements, co-branding agreements and other commercial
transactions, these would also form part of the portfolio.
The trademark portfolio can also include registered domain names, which are usually trade names or word
marks combined with a top-level domain (TLD) or a country-code top-level domain (ccTLD) (e.g., yahoo.com
or airfrance.us or google.com.jm). Domain names can operate similar to trade names and trademarks if properly
used and registered as such and are often regarded as secondary marks in the same trademark family. Domain
names can provide enterprises with an exclusive online advantage and, where they embody trademarks, with an
opportunity to attract consumers and extend their reputation and goodwill to cyberspace.
See also
Domain Names
Differences between Trademarks and Domain Names

Steps in managing your Trademark Portfolio

1. Secure the Appropriate or Necessary Rights
Develop a protection or rights acquisition strategy. Determine which marks are important, and develop a
strategy that informs how, where and when you acquire and protect your trademark rights. Determine which
jurisdictions are important from a business and marketing perspective. Once your trademark attorney, agent or
counsel has conducted the necessary trademark availability searches and cleared your mark for filing, you
should proceed to file immediately or take other actions appropriate to the overall strategy.

2. Note Important Dates and Take Appropriate Actions

The timing of an application for registration is very critical because in most jurisdictions the first to file takes
priority over subsequent filings in respect of identical or similar marks.
You should also note the registration date and the date by which the trademark registration must be renewed.
Most countries protect a registered trademark for an initial period of 10 years from the date of filing and allow
for that registration to be renewed indefinitely at subsequent 10 year intervals upon payment of the requisite
fees. If you miss the renewal deadline and any subsequent grace periods you could lose your registration.
3. Use the Marks
A critical aspect of managing your trademark rights is to ensure that the rights do not lapse due to non-use. A
registered trademark can be removed from the register, i.e., revoked or cancelled, if the proprietor fails to use it
for a certain number of years after registration, with no proper reasons for non-use and a third party applies for it
to be cancelled. In many jurisdictions ownership rights to a mark may be lost if the mark has not been used for a
period of three-five years. It is important to implement programs that ensure either continued use, seasonal use
or rotational use of the marks to guard against cancellation.
The manner in which trademarks are used enables them to gain, or maintain, their distinctiveness. Trademarks
which lose their distinctiveness and become generic lose their value as trademarks and the rights become
eroded. It is therefore important that you ensure correct usage of your marks.

4. Monitor the use, misuse and infringement of your trademarks

a) Enforcement Strategies
Critical to maximizing the value of your trademark portfolio is being vigilant and taking swift and appropriate
action when an infringement occurs. One highly publicized action can prevent several infringements and put
infringers on notice that you are taking protection of your rights seriously. Proprietors must therefore be
prepared to take action against infringers in order to maintain their rights and should employ both defensive and
offensive strategies and devise a strategy of what to do if and when an infringement occurs. Defensive strategies
may save on costs and include:

Prompt registration
Securing registered trademarks in important markets
Use of TM, SM and symbols
Proper rights maintenance
Monitoring expiration and renewal dates

Ensuring timely renewals

Consistent market place surveillance
Monitoring competitors activities (in advertisements and promotions)
Monitoring trademark applications (in trademark journals/gazettes)
Other more offensive enforcement strategies include:
Appealing or opposing applications or registrations (e.g., trademarks that are identical or confusingly similar to
yours)

Issuing cease and desist letters

Publishing warnings to infringers
Educating the consumer and resellers on how to identify genuine product (and thus readily locate the
counterfeit) and alerting them to infringing activities
Identifying distributors, manufacturers & financial sources of infringement/counterfeiting
Your trademark agent, attorney or counsel will help you to determine which infringements to pursue and
whether to initiate civil and/or criminal or administrative action where available. Your counsel will also assist in
initiating civil proceedings against infringers, organizing police raids for criminal action against counterfeiting
and prosecuting offenders through criminal proceedings.

See also
Trademark Infringements and Statutory Redress (United States)
Counterfeiting

b) Internet Strategies
The Internet has become a haven for infringers. Trademarks have become fair game for cyber squatters who
rush ahead of trademark proprietors to register domain name addresses comprising well-established trademarks
in order to unduly profit from the reputation and goodwill of the mark.
Depending on the value of your trademarks and the extent of possible infringements on the Internet, you may
wish to employ the services of trademark and domain name watching services. Internet strategies are important
for businesses with or without an online presence and involve:

Periodic auditing of use and misuse of your marks on the Internet

Checking for conflicting domain names and trademarks on the Internet and in website content
Using your trademark as your internet address (domain name)
Ensuring you have registered trademark rights in your domain names
Employing technological protection measures
See also
5. Periodically review and assess your Trademark Portfolio (Trademark portfolio planning)
A trademark audit is a useful tool for determining and reviewing the status of an enterprises trademark
portfolio. The audit will help to identify IP assets, determine the status of the rights affecting those assets
and the procedures being employed in the recognition, protection and management of the assets.
The audit can reveal unused or expiring trademarks or reveal defects in the rights so that remedial steps may
be taken (e.g., by registering, renewing or using the mark). It can also identify trademarks which are no
longer aligned with the business and assist the enterprise in determining the appropriate action to be taken
(e.g., to shed or license out the asset). It is useful to update the portfolio and to ensure that the portfolio
management strategies are aligned with your overall business strategy, competitive intelligence and market

analysis. Finally, a large trademark portfolio may necessitate the enlistment of a dedicated legal or IP
management team to manage the portfolio.

Registered Design
Registered Design refers to the configuration, pattern, or ornamentation which when applied to a product gives
the product a unique appearance. You can register a design but it must be new and distinctive.

Example: The Coca Cola bottle, even without any text or branding was recently registered in Japan being the
first of its kind.

Q. Copyright
Design copyright protects the original expression of ideas not the ideas themselves. It is free and
automatically safeguards your original works of arts and literature, music, film, sound, recording,
broadcast, computer programs from copying and other uses.
In Australia, copyright protection is provided under the Copyright Act 1958 and is administered
by the office of the Attorney General. It gives exclusive rights to license others in regard to
copyrighting the work, performing it in public, broadcasting etc.
You may also be interested in Copyright Issues in Logo Design & Typography.
Example: The specific character and material relating to Batman is protected under copyright.

Patent
A patent is a right granted for any device, substance, method, process which is new inventive and useful. Patents
are legally enforceable and give the owner the exclusive right to commercially exploit the invention for the life
of the patent. The innovation patent is a protection option which is designed to protect inventions that are not
sufficiently inventive.

Example: The IPod range is protected under a patent.

1.

What is a design?
The appearance of a product, in particular, the shape, texture, colour, materials used, contours and
ornamentation. To qualify as a new design, the overall impression should be different from any existing
design.

2.

Who owns the design right?

Typically the creator of the design owns any rights in it, except where the work was commissioned or
created during the course of employment, in which case the rights belong to the employer or party that
commissioned the work.
3.

Unregistered design rights.

Unregistered design rights protect the shape or configuration of a marketable (or potentially
marketable) product, and are used to prevent unauthorised copying of an original design. Design rights
can also be bought, sold or licensed in a similar manner to copyright.
Design rights exist independently of copyright, while copyright may protect documents detailing the
design as well as any artistic or literary work incorporated within the finished product, the design right
focuses more on the shape, configuration and construction of a product.
In the UK, unregistered design rights have been available since 1989, and have been available since
March 2002 throughout the European Community.
Unregistered design rights are automatic and are treated in the similar manner as copyright. For this
reason they may be registered with the UK Copyright Service in the same manner as copyright work in
order to establish proof of the date and content of the work in case of any later dispute or legal claims.
Please note that a UKCS registration provides international evidence of an unregistered design right,
this is not the same as a registered design, which would be administered by governments at a
territory/national level.

1.
1.

Duration of unregistered design rights.

Within the European Community, unregistered design rights lasts for 3 years from the point
the design is first disclosed or made available to the public in some manner.
In the UK rights the duration is 10 years from the end of the calendar year in which the design
was first made into a marketable product. The original date the design was first fixed in a
tangible form is also taken into account, and the duration should not exceed 15 years from the
end of the calendar year in which the design was first recorded.
The UK 10 year duration is split into two 5 year periods: Exclusive rights are retained for the
first 5 years, but during the last 5 years other parties are allowed to apply for licenses to the
design (for which the owner may claim royalties).
For UK designers, both the UK and EC rights can exist at the same time.

2.

What constitutes an infringement?

An unregistered design is only infringed by copying. Independently created designs are not
infringements. You have the right to take civil court action against infringement of a design
right.

ii.

Registered designs
A registered design may be applied for to provide additional cover over and above any design right or
copyright protection that may exist in the design. Registered designs are administered by the Office for
Harmonization in the Internal Market (Trade Marks and Designs) in the EU, and the Intellectual
Property Office in the UK.

In the US designs may be registered as part of the standard patent system via the United States Patent
and Trademark Office, where they are treated as design patents, (as opposed to utility patents).
The benefit of a registered design is that the design may enjoy prolonged protection from copying,
although this protection would only be available in countries or territories where the application was
made, up to 25 years protection is available in the UK and EC.
iii.

Copyright in designs
Copyright may exist in designs, and will principally protect documents detailing the design as well as
any artistic or literary work incorporated within the finished product. Please see our copyright
information pages for details of copyright protection.

Q. Brands as Assets:
Sometime in the late 1980s, an explosive idea emerged that brands are assets, have equity and drive overall
business strategy and performance. That idea altered perceptions of what marketing does, who does it, and to
what end is its purpose. Its also the focal point of the first chapter of my latest book, Aaker on Branding. It truly
transformed marketing, comparable in impact to other transformational ideas that have appeared in the last
century such as mass marketing, segmentation and globalization.
When firms adopt this asset view of branding, marketing is no longer perceived as a tactical arm of the business
run by middle and lower-level managers (or an outside agency) in order to generate short-term sales for a single
brand, offering and organizational unit.
Rather, marketing is seen as:
Strategic and visionary
Marketing contributes to the business strategy through its first-hand knowledge of customer insights and
marketplace trends, plus its expertise with respect to segmentation, brand portfolio strategies, the value
proposition, growth strategies and global brand strategies.
Being managed by top executives
From a strategic view, the brand is usually managed by people higher in the organization, often the top
marketing professionals in the business organization. For marketing-driven organizations, the ultimate brand
champion can be the CEO. In any case, marketing now gets a seat at the strategy table becoming a participant at
creating and managing the business strategy.
Charged with building brand assets
Shifting the emphasis from tactical measures such as short-term sales to strategic measures of brand equity and
other indicators of long-term financial performance is a monumental change. The guiding premise is that strong
brands can be the basis of competitive advantage and long-term profitability going forward. A primary brandbuilding goal will be to build, enhance or leverage brand equity, the major dimensions of which are awareness,
associations and loyalty of the customer base.

Leveraging brand assets

When a brand is viewed as an asset, the opportunity will arise to leverage that asset to generate growth. It can be
used as a master brand or perhaps as an endorser to support a vertical extension or a strategic entry into another
product class by providing awareness, credibility, customer relationships and positive associations. It can also be
used to frame a subcategory, thereby rendering competitor brands less relevant.
Managing the brand portfolio
As offerings and brands proliferate, its clear that marketing needs to manage the brand family to foster clarity,
synergy, energy, relevance and leverage. That means that each brand needs to be assigned well-defined role sets
and managed so that they are successful in those roles. The possible brand roles include strategic brands, cashcow brands, master brands, endorser brands sub-brands and more.
Addressing the organizational silo issues
Nearly all brands span different silo organizations defined by products, markets or countries. Marketing is
charged with fostering communication and cooperation across silos without which there can be inefficiencies,
lost opportunities to scale effective programs and brand diminution.
The brand-as-asset view has faced resistance for various reasons. The power of short-term financials is
overwhelming and pay-off from brand building is difficult to quantify, especially in the short-term. Building
brand assets is no easy feat. Nevertheless, the time has come to prioritize brands as assets its impact on
marketing can be transformational.
Brand valuation
Brand valuation is the job of estimating the total financial value of the brand. Like the valuation of any
product, of self review, or conflicts of interest if those that value the brand also were involved in its creation.
[1]

The ISO 10668 standard sets out the appropriate process of valuing brands, and sets out six key requirements:
1. transparency,
2. validity,
3. reliability,
4. sufficiency,
5. objectivity, and
6. financial, behavioural, and legal parameters.

Brand valuation is distinguished from brand equity.

Brand value[edit]
Traditional marketing methods have examined the price/value relationship in terms of dollars paid. Many
marketer believe that customers perceive value to mean the lowest price. While this may be true for
commodities, many branding techniques are moving beyond this evaluation.[2]
Valuation methodologies[edit]
There are three main types of brand valuation methods:[3]
The cost approach[edit]
In real estate appraisal, the cost approach is one of three basic valuation methods.[1] The others are market, or
sale comparison, and income. The fundamental premise of the cost approach is that a potential user of real estate
won't, or shouldn't, pay more for a property than it would cost to build an equivalent. The cost of construction
minus depreciation, plus land, therefore is a limit, or at least a metric, of market value.
The market approach[edit]
In this approach a comparison with the market is done. For example if a person wish to buy a property in place
A, it is quite likely that the price of neighborhood would be checked before arriving at conclusion on the
existing property, leading to an approach based on the market. This valuation method relies on the estimation of
value based on similar market transactions (e.g. similar license agreements) of comparable brand rights. [citation
needed]

Given that often the asset under valuation is unique, the comparison is performed in terms of utility,

technological specificity and property, having also in consideration the perception of the asset by the market.
[citation needed]

Data on comparable or similar transactions may be accessed in the following sources: [citation needed]

1. Company annual reports.

2. Specialized royalty rate databases and publications.
3. In court decisions concerning damages.
The income approach
This approach measures the value by reference to the present value of the economic benefits received over the
rest of the useful life of the brand. There are six recognised methods of the income approach.
1. Price premium method estimates the value of a brand by the price premium it generates when
compared to a similar but unbranded product or service. This must take into account the volume
premium method.

2. Volume premium method estimates the value of a brand by the volume premium it generates when
compared to a similar but unbranded product or service. This must take into account the price premium
method.
3. Income split method this values the brand as the present value portion of the economic profit
attributable to the brand over the rest of its useful life. This has problems in that profits can sometimes
be negative, leading to unrealistic brand value, and also that profits can be manipulated so may
misrepresent brand value. This method uses qualitative measures to decide the portion of economic
profits to be accredited to the brand.
4. Multi-period excess earnings method this method requires a valuation of each group of intangible
assets to calculate the cost of capital of each. The returns for each of these are deducted from the
present value of future cash flows and when all other assets have been accounted for, the remaining is
used as the value of the brand.
5. Incremental cash flow method Identifies the extra cash flow in a branded business when compared
to an unbranded, and comparable, business. However it is rare to find conditions for this method to be
used since finding similar unbranded companies can be difficult.
6. Royalty relief method Assume theoretically a company does not own the brand it operates under, but
instead licenses the use from another. The royalty relief method uses available data of similar
arrangements in the industry and assigns the value of the brand as the present value of future royalty
payments.
Uses of brand valuation
Common purposes are:

value reporting

licensing

dispute resolution

legal transaction

accounting

strategic planning

management information

taxation planning and compliance

liquidation

litigation support

Investor's presentation/ Shareholder's report

Raising funds

The main brand valuation methodologies are:

1. Income based brand valuation methods

Relief from royalty method: this brand valuation method is based on how much the brand owner
would have to pay to use its brand if it licensed the brand from a third party. It uses discounted cash flow
analysis (DCF) to capitalise future branded cash flows
Excess-earnings method: this brand valuation methodology calculates the earnings above the profits
required to attract an investor which uses the estimated rate of return based on the current value of the assets
employed. These excess earnings are assumed to be attributable to the intellectual property, or brand.
Price premium method: this brand valuation method is based on a capitalisation of future profit
stream premiums attributable to a business brand above the revenues of a generic business, without a brand.
Capitalisation of historic profits method: the brand valuation method is based on the capitalisation of
profits earned by the brand.
2. Market based brand valuation methods

P/E ratios method: the P/E (price to earnings) brand valuation method multiples the brands profits by
a multiple derived from similar transactions of profits to price paid based on the value of

reported brand values.

Turnover multiples method: this brand valuation method multiplies the brands turnover by a multiple
derived from similar transactions.
3. Cost based brand valuation methods

Creation costs method: this brand valuation methodology estimates the amount that has been invested
in creating the brand.
Replacement value method: this brand valuation method estimates the investment required to build a
brand with a similar market position and share.

UNIT 5
Q. Globalization, Culture, and Branding
With globalization, the marketplace is becoming increasingly complex for marketers to navigate, bringing
dramatic changes to both the supply (i.e., brands that are offered) and demand (i.e., consumers' values and
desires) sides of markets. A proliferation of global brands from developed and emerging economies brings
diverse cultures to a consumer population that is also growing culturally diverse. Torelli illustrates how
marketers can take advantage of these seismic changes and leverage cultural equity for building iconic
brands in the era of globalization. Drawing from novel theoretical insights into social psychology, cultural
psychology, and marketing, Globalization, Culture, and Branding provides guidelines for imbuing brands

with culturally symbolic meanings that can create deep psychological bonds with multi-cultural consumers.
Unlike past publications that conducted broad reviews of international or global marketing best-practices,
Torelli's book zooms in on the issues involved in growing and protecting brand equity in multi-cultural
markets
Global companies face a constant need to grow. With new technology and continuous innovation drastically
bringing down the life span of products on the one hand, and the integration of emerging economy competitors
into the global economy increasing the overall competitive intensity on the other, brands are to grow to survive
and sustain in the long run. Furthermore, the pressures of free markets are such that the stock markets reward
those brands that can demonstrate their ability to constantly grow either by milking their existing markets or by
aggressively creating new market spaces through innovation and globalization.
Responding to such well-established and entrenched institutional norms, brands incorporate their quest to
expand as a central tenet of their strategic brand charter. Contingent on the nature of the industry they operate in
and the resource and capabilities they are endowed with, brands more often than not leverage their brand equity
to expand their strategic scope and scale. As such, leveraging their carefully built brand equity to grow, brands
expand via brand extensions into different categories within the same industry, brand expansions into different
industries across markets, and brand globalization by entering into different institutional environments.
Growth inherently is neither good nor bad. The type of growth strategy used by the brand and how such
strategies align with the brands overall brand portfolio, their strategic positioning in the market place and their
relative standing vis--vis competitors determine the extent to which growth strategies can be beneficial or
detrimental. However, although the benefits of such expansions are often highlighted, such growth strategies are
always fraught with considerable challenges. Over stretching the powers of brand equity can not only dilute the
underlying value proposition of the brand by messing up its positioning, but also create challenges for the
brands resource and capabilities.
Given that growing the brand is a seemingly double-edged sword, it becomes imperative that the chief brand
ambassador, the corporate boards and top executives consider the potential impact of any such growth strategies
on the brands established positioning, its equity and the underlying brand essence. Also, in deciding to grow
their brands, CEO, top executives and the brand managers should be cognizant of the inherent challenges to
such moves.
In particular, three factors become extremely important in the context of expanding the brand globally. In
strategically addressing these three factors in the overall context of the corporate brands, they can easily
navigate the challenges of brand globalization. This article provides guidelines to effectively tackling these three
challenges in brand globalization.
Challenges in brand globalization

Strategically managing multipoint competition: The benefits of expanding across national markets are quite
obvious. Brands can develop new markets, experiment with new variants of their products, form new
collaborations and ultimately extend their growth cycles. However, globalizing a brand is also fraught with
challenges, some of which if not managed strategically can exceed the inherent benefits. One of the biggest
challenges the globalizing brands face is to manage the multipoint competition.
When brands enter new national markets, they invariably have to compete with many of the local market leaders
and regional brands that are firmly entrenched with the institutions and infrastructures of that market. And as the
number of markets that brands enter increases, they open up attack from multiple competitors on multiple fronts.
As such, devising strategies to suit different markets so that they outcompete their rivals can be indeed

challenging. CEOs and brand managers should carefully consider the resource outflow, investment of human
and social capital involved in strategically managing such multipoint competition.
Recent interest among the worlds leading brands to enter the Asian markets, especially the markets
of China and India demonstrates the challenges of brand globalization. When Google refused to be censored by
the Chinese government, it was forced out of the Chinese market. Such a challenge not only diverted Googles
resources from effectively competing against Yahoo!, Baidu.com and Bing.com, but it also reduced Googles
competitive flexibility in strategically dealing with new competition points.
Restructuring and reconciling the brand portfolio scope: How to make sure that the brand portfolio is not
inflated with different variants introduced to compete in different segments in different markets? Brands quest
to grow, either in their home market or in multiple foreign markets, can be a double edged sword for effectively
managing the brand portfolio. As brands grow by entering new segments with an industry, entering new
industries or just by expanding the product variants, they add variety and chaos to their brand portfolio.
Each new addition to the brand portfolio creates scenarios where brand managers have to effectively align the
overall value proposition of the corporate brand with those of all other brands in the portfolio. Such scenarios
become even more complicated when coordination and consolidation among all the different markets is not
tightly implemented. Furthermore, the brand leadership is also confronted with the challenge of pursuing either
a strategy of strategic stretch or strategic leverage. And such a decision becomes highly challenging in the face
globalizing the brand.
Any global brand that simultaneously operates in multiple segments faces this problem. Brands such as Toyota,
Honda, P&G, Unilever, Canon, Nikon, Harley Davidson, Creative Technologies, Samsung and many other
brands have long faced the challenges of crafting their product variants to the specific demands on varied
segments. When an additional layer of strategic complexity is thrown in the mix in the form of foreign markets,
factors such as institutionally accepted price points, market specific positioning and relative position of the
brand variant in a given market in the overall brand portfolio affect the extent to which brands can manage the
portfolios.
Ensuring optimal localization to maintain the global brand identity: Finally, one of the most pervasive
challenges faced by companies trying to globalize their brands is to achieve that delicate balance between
maintaining their defining brand identity while at the same time customizing the brand message to appeal to the
local cultures, preferences and regulatory environments. Usually referred to as glocalization, this process of
optimally combining the global aspects of the overall brand characteristics with the local aspects of brand
communications, positioning and value delivery can be highly challenging.
Some of the most iconic brands have failed on this front. A class example is that of Disney Worlds entry into
the French market and eventually to the Hong Kong market. Given the iconic appeal of Disney, the brand
guardians assumed that a straight forward exporting of all brand elements would appeal to customers across
markets. However, given the unique demands of the French and Chinese customers, and their underlying
perceptions of value, Disney suffered considerably when customers refused their patronage.
Given this, brands will have to be cautious to ensure that the extent to which they glocalize does not erode the
positioning and identity of the brand in the most important home markets. As brands enter more foreign
markets, the process of ensuring brand consistency get even more complicated. As such, despite the benefits of
globalizing the brand, the extent to which the CEO and top management effectively manage the process of
strategically glocalizing decides the overall success of brand globalizations.
Managing country risk in international market entry: Despite the seemingly flattening world, countries are
different in their formal institutional requirement, and also in their informal cultural norms. As such, global
brands entering new foreign markets will have to carefully manage the legal, political, cultural and regulatory

requirements and expectations. Additionally, CEOs and corporate directors of these brands will have to
strategically evaluate if customizing for a specific country aligns well with the overall brand charter.
For example, some of the most well known brands including McDonalds and KFC had to reconfigure their
menus when they entered the Indian market. Given the tremendous potential of the Indian market, these brands
tweaked their menus to be sensitive to the sentiments of the Indian people. However, when Starbucks wanted to
enter the Indian market, the demands were rather high. Given that the Indian government does not allow 100%
foreign direct investment in the retail sector, Starbucks had to form a minority partnership as a precondition to
its market entry.
Given the centrality of its brand promise and the underlying value proposition to customers, Starbucks decided
not to enter the market at all. As is apparent from these examples, brand globalization is indeed very
challenging. And brands will have to carefully examine the many different risks before honing in on any
strategy.

Q. The Power of a Good Logo

Recent research finds that effective corporate logos can have a significant positive effect on customer
commitment to a brand and even on company performance.
Think about legendary brands such as McDonalds, Apple, Aflac, Michelin and Starbucks, and one of the first
spontaneous associations is often with the brand logo: the golden arches, bitten apple, Aflac duck, Michelin man
or Starbucks mermaid. Red Bulls two charging red bulls in front of a yellow sun differentiate it from numerous
competing brands and signify the brands promise to provide energy.
Differentiating your brand from others is critical to business survival. So is communicating the benefits of your
brand. Our research suggests that brand logos offer a viable, albeit often neglected, means to help brand
managers achieve these tasks. We found that the brand logo can be anintegrator of the marketing efforts of the
brand, a reflector of such effort and the icon of what the brand means to its customers. In short, a good logo can
be a synthesizer of a brand that is readily used by customers for identification, differentiation and positive
associations.
In our research, we found that the enhanced identification benefit offered by a brand logo (in other words,
making it easier to identify a brand in the sea of competing offerings) has no significant impact on customer
brand commitment and only a small impact on company financial performance. In contrast, when they express a
brands symbolic, functional or sensory benefits, logos have a significant positive effect on customer
commitment to a brand and thereby a significant impact on company performance in terms of revenues and
profits.
The goal of our research was to answer the following questions:
1.
2.
3.

Which important benefits can logos offer other than enhanced brand identification, and how can logos
influence customers brand commitment and company performance?
Which type of logo most effectively strengthens customer commitment and company performance?
Can brand logos promote the companys growth? Specifically, do brand logos help brand extensions
succeed?
To explore these questions, we first did several pilot studies in which we conducted face-to-face, in-depth
interviews with customers of varying age, gender and ethnicity, as well as with managers across different
industries. The interview responses were coded by two trained coders. Our interview findings then informed the
formulation of questionnaire items, which were subsequently pretested with 165 respondents. Our main study of
77 corporate brands from the Fortune 500 involved 450 respondents, each answering questions about different
and randomly assigned brand logos. Tobins q, defined as a companys market value over the replacement cost
of its assets, was used as a measure of company performance because it is a forward-looking, cumulative
measure that facilitates comparisons across companies in different industries.

Visual Logos vs. Text Logos

Some logos consist only of the brand name. Think of IBM, Goldman Sachs, Oracle or Samsung. Other logos use
the brand name in combination with a unique visual symbol, such as Nikes swoosh or Arm & Hammers flexed
muscle arm with rolled-up sleeve. Others drop the brand name altogether and rely on a visual for their logo,
such as Apples apple or Mozilla Firefoxs stylized fox.
Our research found that separate visual symbols used as logos tend to be more effective than brand names at
creating a sense of emotional connection with consumers. This may not come as a big surprise, because symbols
have long been considered more effective than words as communication tools. Symbols better overcome
language barriers and are easier to interpret than words. However, despite the commonly understood benefits of
symbols versus text, surprisingly few companies take advantage of separate visual symbols. Logos with separate
visual symbols thus represent a largely untapped opportunity in reaching out to consumers.
Strengthening a Logo with Brand Extensions
There is a critical symbiotic relationship between brand logos and brand extensions. First, brand logos can offer
an important strategic advantage that facilitates the success of extending a brand name to other product or
service categories. Once successfully introduced, brand extensions make brand logos more visible and
prominent, reinforcing the brands key benefits. Indeed, our research findings indicate that the positive effects of
brand logos on customer commitment and company performance are stronger when companies extend their
brands with the same logos.
By offering additional connection points in daily life (for example, Arm & Hammer shower gel in the morning
in addition to the use of baking soda in the kitchen or refrigerator), brand extensions with the same logos
strengthen customer relationships with both old and new products.
Unleashing the Power of Brand Logos
We are not arguing that great logos are imperative for a brands success. A business can do well despite having a
seemingly weak logo one that is not aesthetically appealing or fun, that does not communicate a brands
functional benefits to consumers and that does not express its core values. We also do not suggest that brand
logos themselves automatically create meaningful positive associations between a brand and consumers.
These associations must be created for a brand through marketing, such as taglines and advertising. However,
once such associations have been created, brand logos can further reinforce them. What our research shows is
that effectively managed brand logos can help companies to build stronger customer brand commitment and
thus allow a brand to improve its financial performance.
Logos offer a frequently untapped opportunity for companies to communicate and symbolize a brands essence
to consumers, thereby building closer relationships with them, creating strong positive emotions and facilitating
top-of-mind recall. Overall, logos are the most crucial visual synthesizers of a brand that consumers turn to on a
daily basis. We strongly encourage managers to rethink their use of brand logos to help them strengthen
customers commitment to a brand, facilitate new brand extensions and thus trade upon new business
opportunities in the future.

Q. Brand Leadership
Brand Leadership: Strategy, Management, and Performance
Directed by the thought leaders of the Centre on Global Brand Leadership, Brand Leadership:
Strategy, Management, and Performance gives you the knowledge, skills, and tools to lead
your brand for maximum impact in todays global and digital marketplace.

A brand is a pivotal strategic and financial asset for any organization. In Brand Leadership: Strategy,
Management, and Performance, you will learn how to build a strong brand identity, a superior brand
experience, and lasting brand loyalty. You will be able to differentiate your brand from the competition, sustain
its differentiation and competitive advantage, and maximize its impact and profitability.
The program is fast paced, dynamic, and practical, combining interactive lectures and discussions with case
studies, planning exercises, and other group work. It is delivered in close collaboration with the Center on
Global Brand Leadership, a one-of-its-kind think tank that provides innovative brand solutions.
At the Centre, the programs faculty directors, Professors Bernd Schmitt and Michel Tuan Pham, have
developed some of the key ideas in brand marketing and management today from emotional branding and
positioning platform selection to customer experience management. These ideas have been built into
the Executive Brand Leadership Model a powerful set of practical tools for managing and leveraging brand
assets in todays global and digital environments. In the Brand Leadership program, you will learn to apply this
model to your brand and organization for greater profits and growth.
In addition to classroom work, the program uses New York City as a virtual brand and lifestyle laboratory. In
addition to meeting New York-based new media experts, you will engage in an immersive brand experience tour
of iconic retail stores, and conduct an on-site analysis of digital brand displays in Times Square, followed by
drinks and dinner at a much-buzzed-about lifestyle restaurant and bar.
Our professional relationship with you will begin before the program and wont end with the program. Prior to
the program, you will receive a free Brand Leadership Audit from the program directors. After the program, you
will be eligible to join the network of thousands of brand executives associated with the Center on Global Brand
Leadership, attend the Centers conferences at a discount rate, and receive the Centers latest updates in
knowledge and brand insight.

Q. The Global Asian Brands

Emerging market companies have grabbed market share by doing things faster and cheaper. But their
next phase of value creation will come from building their brands.
Asian companies that used to be back-end workhorses, manufacturing consumer goods cheaply for Western
companies, are slowly realising the benefits of branding. Samsung is a prominent case example of an Asian
company that decided to move up the value chain and build their own brand.
In a market where competition implies slashing prices on their unbranded products, Asian businesses are slowly
becoming more attentive to the power of branding in capturing consumers and returning larger profits on their
investments. Firms are realising that instead of continuing to wear themselves down on razor-thin margins to
compete with global suppliers, they could increase returns by investing in their brands.

This shift in thinking is pushing boardrooms in Asia towards creating strong brands to differentiate themselves
and consequently realise greater profits. Branding is an investment that must be perceived as such and is
required to deliver return on investment (ROI) and shareholder value like any other feasible business activity.
More than a logo
Most Asian firms, however, still view branding as advertising or logo design. The typical Asian company views
marketing as tactical activities and a function hidden somewhere in the organisation. If firms are to benefit from
branding, they must recognise that it impacts the entire business the structure, goals, attitude and the very
outlook of those in the boardroom. Managers will need to see branding not as an appendage to the ongoing
business, but rather as an infusion which seeps through the very spirit of the organisation, as a healthy ROI.
Western companies, by buying from some of these Asian firms or aggressively outsourcing some of their
operations, are already streamlining their cost structures. Low cost alone no longer provides a significant
advantage.
Asia is still one of the worlds biggest providers of commoditised products. At the same time, Asian
manufacturers mostly produce for other companies and the majority of these products are therefore nonbranded. In other words, these are volume products without strong brand equity.
The largest part of the financial value is captured by the manufacturers customers the next player in the value
chain primarily driven by strong brand strategies and successfully planned and executed marketing
programmes.
Key reasons for lack of strong brands in Asia
Many reputed global brand surveys have found that only four of the top brands originate in Asia. Three classic
brands come from Japan and a fast-growing ambitious brand comes from South Korea: Sony, Honda, Toyota
and Samsung. China does not have a single brand on the global rankings yet. But given the size and volume of
Asian business today, it is evident that Asia could build many more prominent global brands and capture more
financial value from better price premiums and customer loyalty.
There are three reasons why Asian companies and their executive management teams have not been able to
build more global brands yet:

The diversification of businesses spanning many industries with limited overlap and synergies has been
a major impediment to building brands in Asia. The prevalent mindset in Asia is based on trading, rather than
branding, and the generation of revenues, rather than profits. But it is hard to create a relevant, clear and
differentiated brand strategy, and build a corporate brand which encompasses all areas, when a business has
its hands dipped in every pie.

Another important reason for the lack of strong brands can be found in the prevalent business structure
within Asia, which consists of many small and often family-owned businesses with diversified business
interests as illustrated before. Management teams favour short-term business wins against brand strategies
which require more resources and long-term perspectives, contrary to popular belief about Asian longsightedness.

The implications of IP protection in Asia have been a major barrier to brand growth. In their own
backyards, many Asian companies have faced rampant counterfeiting and infringement of IP rights. Until and
unless legislation and law enforcement get better in the region, it may be a hurdle that prevents a deeper
appreciation and respect for intangible asset management in the Asian boardroom.

But the one reason, more than any other mentioned above, that influences the creation of strong brands
is the mindset of the boardroom and the CEO. Branding is a boardroom discipline and successful
brands can be built only when the boardroom, led by the chairman and the CEO, understands,

appreciates and commits to treating branding as a strategic discipline. Asian businesses are
predominantly family-owned, so the real change towards building and sustaining more global Asian
brands is a decision that must be taken by the Asian business families - they need the right mindset
more than anything else.

In my post, Boards Should Guide Branding, I elaborate on why Asian boardrooms need a change of
mindset and how they can take their brands to the global arena.

Martin Roll is a business & brand strategist, and the founder of Martin Roll Company. He provides
advisory and guidance on leadership, strategy and execution, and how to build and sustain highperforming, enduring brand-driven businesses and global, marketing-oriented organisations. Martin
Roll has an MBA from INSEAD (99D) and is the author of Asian Brand Strategy.

Q. Sustainability brand
Sustainability brands are products and services that are branded to signify a special added value in terms
of environmental and social benefits to the customer and thus enable the differentiation from competitors.
Sustainability brand positioning and the 8 C's
Sustainability Brand Positioning and positioning in general is part of the brand identity and value
proposition that is to be actively communicated to the target audience [6] and can be described as an iterative
process, consisting of deliberate and proactive actions aimed at the definition of distinct consumer perceptions.
[7]

Sustainable brand positioning is the brand positioning of Sustainable products and services. Sustainable

products and services should offer an improved social and ecological performance during the whole product
lifecycle and at the same time they have to satisfy consumer needs and wants. Many of the first generation
sustainability brands failed in the market because companies overemphasized the positive socio-ecological
product attributes, while they neglected to focus on other product attributes such as performance, functionality
or design, too. As a result, many products could not compete against conventional products.[1]
To build up and position strong sustainability brands, there are some guidelines to follow. Marc
Stoiber [8] summed them up in the The five Cs of Sustainability Branding:[9]Consumer Facing, Competitive,
Core, Conversational and credible. Perrine Bouhana added to that concept a sixth C: Consistency. Martin Belz
complemented and revised this concept to 8 Cs of sustainability branding and describes them as followed: [10]
Core
Sustainability should be tied up to the key problems and the core business through assessing the socioecological impacts of products along the entire life-cycle of the products and finding out the socioecological hot-spots of the product-life-cycle.
Co-operative
The solutions to the main socio-ecological problems associated with products along the entire life
cycle require - both in the process of innovating and marketing sustainable products and services - cooperations with suppliers, retailers, consumers, scientists, and other non-market actors (e.g. NGOs).
Credible

Fundamentals of credibility are first the solving of key socio-ecological problems associated with
companies products and second tying sustainability to the core business. Co-operations with
trustworthy partners and the use of independent, third-party labels (e.g. labels like Bio or MSC) such as
a high level of transparency (e.g. through an online tracking system, which enables consumers to see
the world of behind the product) can additionally increase the credibility of sustainability brands.
Consumer Benefits
Socio-ecological characteristics or attributes of products usually just play an auxiliary role (no core
benefits). To broaden the appeal of sustainability brands, the companies should emphasize the inherent
consumer benefits of socio-ecological attributes, including efficiency and cost effectiveness, health and
safety, symbolism and status. Further they should align socio-ecological attributes with benefits such as
functionality, design, and durability to create motive alliances.
Conversational
Sustainability branding is more effective as a two-way conversation, rather than a one-way
announcement. Inviting consumers to enter into dialogues about the sustainability process strengthens
the brand-consumer relationship.
Consistency
If sustainability is key to brand positioning, this requires a kind of integrated approach to sustainability
communication: it is important to communicate in a consistent way, including e.g. advertising, personal
selling or online communication. In addition to that, the sustainability product brand has to be
consistent with the overall environmental and social performance of the company.
Commitment
Sustainability branding not only requires the commitment of the PR department and the sustainability
officers but also requires the commitment of top management and marketing decision makers.
Continuity
Sustainability must reflect the core values of the brand and contribute to delivering the brand promise
over the long term. This means that a brand cannot change its sustainability focus too often, or engage
in too many non-related areas.

Q. Brand Audit
A brand audit is effectively a health check of the brand to identify and address problems areas with a net
result of helping you turn things around and grow your bottom line. Brands are like living entities with life
cycles. They start with much excitement and promise, grow and then eventually plateau.
When and why should we audit our brand?
The majority of businesses go through the process of auditing their brand when they have a vested interest in
making a change within their organization. Maybe theyre rebranding, or refreshing their current look. This
would be a perfect time to take a look at your current brand and see where it has shifted since its inception.
Perhaps an organization is unhappy with their internal communication and employee relations. A smart CEO or
CMO might take that opportunity to judge what their brand stands for, who they are as a company and what they
need to do from a communications stand point to fix the internal problems or issues. The power of a brand is

much stronger than most realize. A strong brand empowers and inspires employees. Its the foundation on which
a strong organization can be built. If the foundation is cracked in certain areas, it would be in the homeowners
best interest to audit the situation and put the proper processes in place to fix it. The same goes with companies
and their brands.
Who should perform our brand audit?
Every organization is different. There is no once-size-fits-all approach. Regardless of whether you assemble an
in-house team or hire an outside agency, you need one important element if you hope to perform a successful
brand audit: honest objectivity.
Brand Audit Example
An extensive brand audit should look at the following categories:
INTERNAL

Positioning

Brand Values

Unique Selling Proposition (USP), brand promise, or brand essence

Voice

Culture

Product / Service positioning

EXTERNAL

Corporate Identity logos and other brand elements

Collateral-brochures, print materials, trade show displays, etc.

Advertising

Website

SEO

Social Media

Sponsorships/civic-involvement/memberships

News/PR

Content Marketing and other assets blogs, white papers, case studies, articles, books, etc.

Testimonials

Videos
SYSTEMS

Corporate identity/brand standards

HR policies/on-boarding process

Sales processes/touch points

Internal systems

Customer service systems