CB Assignment-3.docx

CONSUMER BEHAVIOUR ASSIGNMENTASSIGNMENT- 3

Submitted to Prof. Anupam Narula FORE School of Management  New Delhi

Submitted By Shilpa Arora Roll No. 113102

Q1. What is difference between (a) Brand Image (b) Brand Identity (c) Brand Personality (d) Brand Salience and (e) Brand Leverage? Support each concept with an example?

Answer: (a) Brand Image:  Brand image refers to the schematic memory of a brand. It refers to target markets interpretation of the product’s attributes, benefits, usa ge situations, users and manufacturer/ marketer characteristics. It is what people think of and feel when they hear or see a brand name. e.g. Coca-Cola is a brand known for happiness, joy, and good experience. It is the ‘original cola’ and has a ‘unique taste’. (b) Brand Identity: Brand identity is how a business presents itself to, and wants to be  perceived by, its consumers. Brand identity is distinct from brand image. The former corresponds to the intent behind the branding: the way a company chooses its name; designs its logo; uses colours, shapes and other visual elements in its products and promotions; crafts the language in its advertisements and trains employees to interact with customers —  all with the goal of cultivating a certain image in consumers' minds. Brand image is the actual result of these efforts, successful or unsuccessful. E.g. Apple Inc. consistently tops surveys of the most effective and beloved brands because it has successfully created the impression that its  products are sleek, innovative, top-of-the-line status symbols, and yet eminently useful at the same time. Apple's brand identity and brand image are closel y aligned. (c) Brand Personality: Brand personality is a set of human characteristics that are attributed to a brand name. A brand personality is something to which the consumer can relate; an effective brand increases its brand equity by having a consistent set of traits that a specific consumer segment enjoys. This personality is a qualitative value-add that a brand gains in addition to its functional benefits. There are five main types of brand personalities: excitement, sincerity, ruggedness, competence and sophistication. e.g. Dove, for example, chooses sincerity as its brand personality, allowing the company to attract feminine consumers. (d) Brand Salience: Brand Salience is the degree to which your brand is thought about or noticed when a customer is in a buying situation. Strong brands have high Brand Salience and weak brands have little or none. Brand Salience is not the same thing as top of mind awareness. Top of mind awareness is simply what brands come to mind when consumers are asked to recall brands within a category. Brand Salience is different. Brand Salience is the memory of your brand and its linkage to other important memory structures. E.g. One will think of McDonalds when one is thinking about getting a meal for Rs.25. and one might also think of McDonalds when one is thinking of having some fast-food. (e) Brand Leverage: A brand leveraging strategy uses the power of an existing brand name to su pport a company’s entry into a new, but related, product category. Brand leveraging communicates valuable product information to consumers about new products. Consumers enter retail outlets equipped with pre-existing knowledge of a brand’s level of quality and consistently relate this knowledge to new products carrying the familiar brand. E.g. the

manufacturer of Mr. Coffee™ coffee makers used its brand name strength to launch Mr. Coffee™ brand coffee.

Q2. Explain Keller’s Brand Equity Model and how is it different from Aaker’s Brand Equity model. Discuss both models by selecting an appropriate brand?

Answer: Keller’s Brand Equity Model: Keller's Brand Equity Model is also known as the Customer-Based Brand Equity (CBBE) Model. The concept behind the Brand Equity Model is simple: in order to build a strong brand, you must shape how customers think and feel about your product. You have to build the right type of experiences around your brand, so that customers have specific, positive thoughts, feelings, belie fs, opinions, and perceptions about it. For example: Red Bull Salience –  Energy Drinks Performance –  High price, give energy Imagery –  Extreme sports Judgement –  Dominant position Feeling –  Freedom, happiness Resonance –  Loyalty, share, community

Aaker’s Brand Equity Model:

According to Aaker, a particularly important concept for building brand equity is brand identity  –  the unique set of brand association that represent what the brand stands for and promises to customers. As per Aaker, brand identity as consisting of 12 dimensions organized around 4 perspectives: 1. Brand-as-product (product scope, product attributes, quality/value, uses, users, country of origin) 2. Brand-as-organization (organizational attributes, local versus global) 3. Brand-as-person (brand personality, brand-customer relationships) 4. Brand-as-symbol (visual imagery/metaphors and brand heritage). For example: Dove Essence –  Movement for self-esteem, Campaign for real beauty, Empowering women Extended identity –  Dove Men + Care Core identity –  Beautiful Skin

Q3. What is difference between Name, Brand and Power Brands? Support each concept with practical example?

Answer: Concept

Definition

Example

 Name

Generally, it is the name of the  product or the name that describes the service that is provided. Name is the most starting encounter between customer and product. It is basically the awareness that there is a product “named” as that.

Banking, Noodles

Brand

A name becomes a brand when consumers associate it with a set of tangible or intangible benefits that they obtain from the product or services. As this association grows stronger consumer’s loyalty and willingness to pay a price premium increase. Hence there is equity in the  brand name.

Pampers

A power brand identifies a company,  product or service and has awareness and recall with customers and is associated with a very successful Power Brand global company. It allows consumers to clearly identify and specify  products which genuinely offer added value.

Coca-Cola

Q4. What is brand Resonance in Marketing? Explain with an example?

Answer: The Brand Resonance refers to the relationship that a consumer has with the  product and how well he can relate to it. The brand resonance begins with: 

Brand Identification: The first and foremost step, is to ensure the brand identification with the customers, i.e. creates awareness about the product and establish an associati on in the minds of customers with respect to its usage and the segment for which it exists.

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Brand Establishment: To create a full meaning of the product in the minds of customers, so that they start remembering it. Eliciting Response: Once the association is built with the customers, the next step is to elicit the responses, i.e. what customers feel about the brand? Relationship: The next and final step is to convert the responses into building the customer’s strong relationship with the brand.

In order to accomplish these four pre-requisites for creating the brand equity, the Six brand  building blocks need to be followed that are arranged in a pyramid-like structure called as Brand Resonance Pyramid. For example: Red Bull Salience –  Energy Drinks Performance –  High price, give energy Imagery –  Extreme sports Judgement –  Dominant position Feeling –  Freedom, happiness Resonance –  Loyalty, share, community