Brand equity refers to the marketing effects and outcomes that accrue to a product with its brand name compared to without the brand name. It is one of the most valuable assets a company has. Elements that contribute to brand equity include market share, profit margins, and consumer perceptions of quality. Marketers position brands in the minds of target customers at the product attribute, brand image, or consideration set level. Choosing a good brand name is difficult but desirable qualities include suggesting product benefits, being distinctive, easy to pronounce and remember, and capable of legal protection and registration. A manufacturer has options to launch a product as a national brand, private label, licensed brand, or co-branded partnership.
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Brand equity refers to the marketing effects and outcomes that accrue to a product with its brand name compared to without the brand name. It is one of the most valuable assets a company has. Elements that contribute to brand equity include market share, profit margins, and consumer perceptions of quality. Marketers position brands in the minds of target customers at the product attribute, brand image, or consideration set level. Choosing a good brand name is difficult but desirable qualities include suggesting product benefits, being distinctive, easy to pronounce and remember, and capable of legal protection and registration. A manufacturer has options to launch a product as a national brand, private label, licensed brand, or co-branded partnership.
Brand equity refers to the marketing effects and outcomes that accrue to a product with its brand name compared to without the brand name. It is one of the most valuable assets a company has. Elements that contribute to brand equity include market share, profit margins, and consumer perceptions of quality. Marketers position brands in the minds of target customers at the product attribute, brand image, or consideration set level. Choosing a good brand name is difficult but desirable qualities include suggesting product benefits, being distinctive, easy to pronounce and remember, and capable of legal protection and registration. A manufacturer has options to launch a product as a national brand, private label, licensed brand, or co-branded partnership.
Copyright:
Attribution Non-Commercial (BY-NC)
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Download as DOCX, PDF, TXT or read online from Scribd
Brand equity refers to the marketing effects and outcomes that accrue to a product with its brand name compared to without the brand name. It is one of the most valuable assets a company has. Elements that contribute to brand equity include market share, profit margins, and consumer perceptions of quality. Marketers position brands in the minds of target customers at the product attribute, brand image, or consideration set level. Choosing a good brand name is difficult but desirable qualities include suggesting product benefits, being distinctive, easy to pronounce and remember, and capable of legal protection and registration. A manufacturer has options to launch a product as a national brand, private label, licensed brand, or co-branded partnership.
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What is Brand Equity?
The differential effect that knowing the brand name has own customer response to the product or its marketing.
Brand equity refers to the marketing effects and outcomes that accrue to a product with its brand name compared with those that would accrue if the same product did not have the brand name. Fact of the well-known brand name is that, the company can sometimes charge premium prices from the consumer . And, at the root of these marketing effects is consumers' knowledge. In other words, consumers' knowledge about a brand makes manufacturers and advertisers respond differently or adopt appropriately adept measures for the marketing of the brand. The study of brand equity is increasingly popular as some marketing researchers have concluded that brands are one of the most valuable assets a company has Brand equity is one of the factors which can increase the financial value of a brand to the brand owner, although not the only one. Elements that can be included in the valuation of brand equity include (but not limited to): changing market share, profit margins, consumer recognition of logos and other visual elements, brand language associations made by consumers, consumers' perceptions of quality and other relevant brand values.
Brand Positioning
Marketers need to position their brands in target customers mind. Positioning refers to the act of designing the companies offering and image in such a way that it occupies a distinctive place in the minds of target customers. They can position brands at any of three levels. At the lowest level they can position the brand on product attributes. E.g P&G invented the disposable diaper category with its pampers brand.
Brand Name Selection
A good name can add greatly to a products success. However finding the best brand name is a difficult task. It begins with the carefully review of the product and its benefits. The target market and proposed marketing strategies after that naming a brand becomes part science, part art and a measure of instinct. Desirable qualities for a brand name include the following.
1. It should suggest something about the products benefits and qualities. E.g fair & lovely, fair & handsome. 2. It should be easy to pronounce, recognize and remember e.g Tide Nirma and Ipot touch and Geo. 3. The brand name should be distinctive e.g Lexus & Indica. 4. It should be extendable e.g amazon.com begin as an online book seller but choose a name that would allow expansion into other catagories. 5. The name should translate it easily to foreign languages before changing its name to exxon, standard oil of new jersey rejected the name enco which it leaned meant a stalled engine. When pronounced in japanies. 6. It should be capable of registration and legal protection. A brand name con not be registered if it infringes on exciting brand names. Brans Sponsorship
A manufacturer has four sponsorship options. The product may be launched as a national brand as when Sony and Dellogg sell their output under their own brand names. Or the manufacturer may sell to reselers who give the product a private brand. Although most manufacturers create their own band names, others market licensed brands. Finally two companies can join forces and co-brand a product.
National Brands Versus Store Brands.
National brands (or manufacturers’ brands) have long dominated the retail scene. In recent times, however , an increasing number of retailers and wholesalers have created their own store brands (or private brands). Store brand sales are soaring. In fact, they are growing much faster than national brands. In all, private brands now captures more than 20 percent of by 2010.
Co-branding:
The practice of using the established brand names of two different companies on the same product.
Brand development:
A company has four choices when it comes to developing brands. It can introduce line extension, brand extension, multiband, or new brands.
Line extension:
Extending an existing brand name to new forms, colors, sizes, ingredients, or flavors of an existing product category
Brand extension:
Extending an existing brand name to new product categories
Multiband:
Companies often introduce additional brands in the same category. Thus, Hindustan unilever and proctor & gamble market many different brands in each of their product categories. Multibranding offers a way to establish different features and appeal to different buying motives.it also allows a company to lock up more reseller shelf space.
New brand:
A company might believe that the power of its existing brand name is waning and a new brand name in needed. Or it may create a new brand name when it enters a new product category for which none of the company’s current brand names are appropriate.
