Phillip Kevin Lane

Kotler • Keller
Marketing Management • 14e
Creating Brand Equity
Discussion Questions
1. How do consumer characteristics
influence buying behavior?
2. What major psychological processes
influence consumer responses to the
marketing program?
3. How do consumers make purchasing
decisions?
4. In what ways do consumers stray from a
deliberative, rational decision process?
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Strategic Brand Management

Plan Measure/
Interpret

Identify
Grow

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 Brand
“A name, term, sign, symbol, or design,
or a combination of them, intended to
identify the goods or services of one
seller or group of sellers and to
differentiate them from those of
competitors.”
Role of Brands
Consumer Benefits

Brands:

• Identify source/maker

• Simplifies decision making

• Reduces risk

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 Role of Brands
Marketer Benefits

Brands:
• Simplify product handling
• Protect unique features
• Create loyalty
• Establish barriers to entry

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Scope of Branding

Creating difference between products

Brand

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 Brand Equity
The added value given on products and
services because of the brand.
 Customer-based Brand Equity

Differences in Consumers’ brand

consumer response knowledge

Perceptions, preferences,
and behaviors

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Brand Promise

What the brand must be

and do for consumers.

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Building Brand Equity

Brand
Elements

Brand Equity

Secondary Marketing
Associations Activities
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Brand Elements
• Brand Names
• Logos
• Symbols
• Characters
• Spokespeople
• Slogans
• Jingles
• Packages
• Signage

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Brand Element Choice Criteria

Brand Builders
Memorable
Meaningful
Likable
Defensive
Transferable
Adaptable
Protectable

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Developing Brand Elements

What was the

name of that
cookie I like?

• Easy to recall
• Descriptive
• Persuasive

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 Holistic Marketing Activities

Observation Word of Mouth

Interactions w/company
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Secondary Associations

Geographic Regions

Other Brands

Brand Characters

Spokespeople

Sporting Events

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Secondary Source of Brand Knowledge
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Internal Branding

Employees

Brand
Promise

Partners

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Brand Communities

Members have:
• Brand Connection
• Shared rituals/stories
• Responsibility to community

H.O.G.®
Harley Owners Group
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Measuring Brand Equity
Brand Audit

Brand-tracking Studies
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World’s 10 Most Valuable Brands
Rank Brand 2009 Brand Value (Billions)
1 Coca-Cola $68.7
2 IBM $60.2
3 Microsoft $56.6
4 GE $47.8
5 Nokia $34.9
6 McDonald’s $32.3
7 Google $32.0
8 Toyota $31.3
9 Intel $30.6
10 Disney $28.4
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Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall Source: Interbrand 2013 Slide 23 of 37
 Managing Brand Equity
Brand Revitalization

Brand Reinforcement
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 Branding Strategy

Develop new brand elements

Apply existing brand elements
Combine new and existing elements

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Branding Strategy

Parent Brand
(Master or Family Brand)

Line Extension Category Extension

Tide Honda
- Fruit on the Bottom - Automobiles
- Fruit Blends - Lawn Mowers

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 Branding Decisions
Individual Brand Names
• Bisquick
• Gold Medal
• Wheaties
• Yoplait

Company Brand
GE, Heinz, Campbell Soup

Sub-brand name
Kellogg’s Rice Krispies, Frosted Flakes…
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 Brand Portfolio
A brand portfolio is the set of all brands
and brand lines a particular firm offers
for sale in a particular category or
market segment.
Brand Portfolio - Sony

Televisions Portable Sony

Computer Cameras Games
Theatre Electronics Pictures
VAIO Cyber-shot Televisions Walkman Movies PlayStation
-notebook Video MP3 -Theatre -PS3
Alpha SLR Home
-desktop -DVD -PS2
theatre Rolly
HandyCam -Blue-ray -Portable
Digital Home systems
Reader
Printers Television
Disc Burner Blu-ray Disc Digital Book
-Comedy
Digital
Location Free DVD players Sony Cell -Drama
picture
Phone -Daytime
mylo frames Home audio
-Cartoons
components GPS
Software Photo
services Music

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Brand Roles

High-end Prestige

Cash Cows

Low-end Entry Level Flankers

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Brand Extensions

Improve the odds of new-product success

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