Presentation from the lecture about Brand Strategy. Year: 2014 Introduction to Art of Marketing & Branding - BA WSA

1. Brand strategy
Introduction to Brand Equity and Brand
strategies

2. Agenda
Review branding concepts
Introduction to Brand Equity
Introduction to Brand Strategy Design

3. What is a brand?

4. What is a brand?
logo?
company?
colour?
slogan?
business
card?
mission
statement?marketing
materials?

6. Brands are
relationship builders

7. What is a brand?
A brand is the total experience a customer has
with your company.
Branding is the activity of creating and using
unique brand elements.
A brand is a promise to your customer.

8. Brand elements
Name
Slogan
Logo
Colour palette
Design
Symbols and Icons
Audio, jingles, songs, sounds
Materials
Characters, etc
personality
positioning
consistency
promise
experience
value

9. http://www.youtube.com/watch?v=lDF6cIRup9Y

10. So, what makes a powerful brand?
STRATEGY!

11. Why brand strategy?
Strong brands never happen by accident. Yet
only 53% of firms say they have a long term
brand strategy in place.
Only ¼ of marketing and advertising
professionals can clearly articulate their
company’s brand position to clients,
customers or prospective clients.
Often, what is missing is a shared set of tools
for creating and implementing an effective
brand strategy.

12. So, what is a brand strategy?
A brand strategy is simply a plan
for developing a coherent
brand. It provides the means to
create differentiation and
consumer appeal by
empowering better brand
decisions across the
organization.

13. What do you need to know
7 components to create a good brand strategy:
- tie your brand to your business model (company goals)
- be consistent (communications)
- connect emotionally
- reward and cultivate (engagement)
- measure
- be flexible
- know your competitors
http://blog.hubspot.com/blog/tabid/6307/bid/31739/7-Components-That-Comprise-a-Comprehensive-Brand-Strategy.aspx

14. First, let’s understand the branding process

15. http://www.youtube.com/watch?v=ZceipOGEblk

16. What elements can you
find in the video?

17. What elements can you
find in the video?
story athletes
interaction
collaboration
identification
positioning
experience
technology
social media
videostores
exclusiveuniqueness
engagement

18. Brand equity
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 the brand, so that customers
have specific, positive thoughts,
feelings, beliefs, opinions, and
perceptions about it.

19. Brand equity (Keller model)
Keller's Brand Equity model is also
known as the Customer-Based Brand
Equity (CBBE) Model. Kevin Lane Keller
developed the model and published it in
his widely used textbook, "Strategic
Brand Management."
Within a pyramid, the model highlights
four key levels that you can work
through to create a successful brand.
These four levels are:
1. Brand identity.
2. Brand meaning.
3. Brand responses.
4. Brand relationships.

20. Brand Identity - Who are you?
Called as “awareness”.
You need to make sure that your brand stands out, and that
customers recognize it and are aware of it.

21. Brand Meaning - What are you?
Identify and communicate what your brand means and
what it stands for. There are 2 steps:
- performance: how well your product meets your
customers’ needs
- imagery: how well your brand meets your customers’
needs on a social and psychological level.
Also called as brand image / positioning

22. Example - Patagonia
Patagonia makes high quality outdoor
clothing and equipment, much of which is
made from recycled materials.
Patagonia’s brand performance
demonstrates its reliability and
durability; people know that their
products are well designed and stylish,
and that they won't let them down.
Patagonia’s brand imagery is enhanced
by its commitment to several
environmental programs and social
causes.

23. Brand Response - What do I think or feel
about you
Your customers’ responses to your
brand. Also called as brand
perception. There are 4 categories:
- quality
- credibility
- consideration (relevance)
- superiority (compared to
competitors)

24. Brand Resonance - How much of a
connection would I like to have with you?
Brand resonance is the
most difficult and most
desirable level to reach.
You have achieved brand
resonance when your
customers feel a deep,
psychological bond with
your brand. (Brand
relationships)

25. Brand Resonance - How much of a
connection would I like to have with you?
There are 4 categories:
- behavioural loyalty (regular purchases)
- attitudinal attachment (consumers love your brand and
they see it as a special purchase)
- sense of community
- active engagement (even when consumers are not
purchasing they are loyal)

26. Lovemarks

27. Brand strategy - Now that you can identify brand equity elements,
you can build your strategy

28. Brand extension - Armani case study
● Introduction
● Italy’s most glamorous luxury brand
● $3,303 million - brand value based on the Best Global Brands 2009
● 300 boutiques worldwide, 4,800 staff
● Giorgio Armani- fashion designers with full control of their company.
● Men’s wear designer at Nino Cerrutti
● Eight years later, he established his own design house with his business partner, Sergio Galeotti
● Six people in his first fashion show in 1974. Now the brand is one of the best success stories in the fashion
industry.

29. Brand extension - Armani case study
● Branding strategy
● Armani branding strategy functions on three different levels, that have been used to craft the brand’s identity
and personality.
a. The man, Giorgio Armani
b. The Parent brand- Armani
c. The sub-brands of Armani
● Armani brand personality is an extension of the personality of Giorgio Armani himself.
● Armani brand personality: Glamour, style, sexiness, expertise, talent, sophistication, trend and precision

30. Brand extension - Armani case study
● Branding strategy
● Armani offers a luxury fashion product portfolio comprising haute couture, prêt-à-porter (a designer clothes
sold ready-to-wear), children’s apparel, leather goods such as bags, shoes, underwear, jewellery, fragrance,
cosmetics and eyewear.
● The brand has also diversified into non-fashion product ranges such as Cafes, restaurants, hotels, nightclubs,
flowers and even sweets and chocolate.
● Giorgio Armani + Mercedes-Benz = CLK Mercedes- Benz car

31. Brand extension - Armani case study
● Branding strategy
● Armani brand has been stretched into seven sub-
brand categories ranging from high-end to medium
priced men’s and women’s fashion goods, children’s
fashion and home products.
The seven main brand categories have different functions
in the overall Armani branding mix.

32. Brand extension - Armani case study
● Giorgio Armani
● It is the most exclusive and highest priced products
of the brand.
● It features goods showcased on the brand’s runway
fashion shows such as apparel for men and women,
accessories, eyewear, cosmetics and perfumes.
● It is the ambassador of the Armani empire and
represents its image, heritage, personality, product
precision and high quality.
● It also generates great publicity for the entire Armani
group of brand.

33. Brand extension - Armani case study
● Armani Collezioni
● It features product like fine tailored clothing,
sport wear and male and female accessories.
The product group also includes home
furnishings.

34. Brand extension - Armani case study
● Emporio Armani
● It is targeted at young modern-minded and
fashion oriented consumers.
● It includes clothing, accessories, eyewear and
jewelry.

35. Brand extension - Armani case study
● Armani Jeans
● It is the denim sub-brand offering a jeans-
based product category.

36. Brand extension - Armani case study
● Armani Exchange
● It is the sub-brand for casual wear and
accessories with a lower premium-pricing
strategy.

37. Brand extension - Armani case study
● Armani Casa
● It is the home furnishings and decorations sub-
brand.

38. Brand extension - Armani case study
● Armani Junior
● It is the children’s products sub-brand.

39. Brand extension - Armani case study
● Success of brand extension strategy of Armani
● Armani had an early recognition of the important role of the luxury consumers in a brand’s success. While several
luxury brand focused on the product as the key selling factor of their brands, Armani concentrated on the
consumer and on crafting its brand based on consumer needs and characteristics.
● Identifying the different luxury consumer segments that exist and designing product that would appeal to them.
● The brand has effectively managed to maintain its superiority and high quality standards across the offerings of all
the sub-brands.
● An uniform marketing mix strategy for all the sub-brands and the same level of expertise and skill to products
across every range.
● Another factor of the success of the Armani brand is the genius of the brand founder Giorgio Armani, both as a
designer and as a businessman.

40. References
http://marketing-branding.tumblr.com/

41. Thank you
very much!