7-10. STP + Branding and Product & Services Strategies.pptx

Branding and product strategy

1. STP + Branding and Product & Services Strategies Dr. Piyush Pranjal Associate Professor, Associate Dean (OSAI), & Assistant Director (CARML), JGLS, JGU

2. Segmentation Bases: Consumer Markets Geographic – Region, City-size, Population Density, Climate Demographic – Age, Family-size, Family Life Cycle, Gender, income, occupation, Education, Religion, Race, Generation, Nationality, Social Class Psychographic – Lifestyle, Personality Behavioural – Occasions, Benefits, User Status, Usage Rate, Loyalty Status, Readiness Stage, Attitude toward product

3. A Psychographic Framework - VALS

4. Behavioural Segmentation Breakdown

5. Segmenting Business Markets Demographic – Industry, Company Size, Location Operating Variables – Tech., User/Non-user, Customer Capabilities Purchasing Approaches – Purchasing-function Organization, Power Structure, Nature of Existing Relationship, General Purchasing Policies, Purchasing Criteria Situational Factors – Urgency, Specific Application, Size or Order Personal Characteristics – Buyer-Seller Similarity, Attitude toward Risk, Loyalty

6. Market Targeting Segmenting-Targeting Steps: Needs-based Segmentation Segment Identification Segment Attractiveness Segment Profitability Segment Positioning Segment ‘Acid Test’ Marketing Mix Strategy Effective Segmentation Criteria – Measurable, Substantial, Accessible, Differentiable, Actionable Levels of Segmentation-Targeting: Full-Market, Multiple Segments, Single Segments, Individuals

7. Positioning & Value Propositions Positioning is the act of designing a company’s offering and image to occupy a distinctive place in the minds of the target market Value Proposition – Distinct value offered and to be delivered as part of the positioning Competitive Frame of Reference: Identifying Competitors (Category Membership), Industry, Analyze Competitors (across critical parameters), PoPs & PoDs (Competitive Advantage) Perceptual Maps Brand Mantra: a 3-5 word articulation of the heart and soul of the brand is closely related to brand essence and brand promise. [E.g., Disney – Fun, Family, Entertainment; Nike – Authentic, Athletic Performance]

8. Brand Positioning Bull’s Eye

9. Alternative Approaches to Positioning Brand Narratives and Storytelling: Narrative Branding – Brand story in terms of words and metaphors, The consumer journey, The visual language or expression, The manner in which the narrative is expressed or it engages senses, Brand role in the lives of consumers Brand Story – Setting, Cast, Narrative Arc., Language Cultural Branding

10. Brands: Scope & Brand Equity Brand is 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. Branding is the process of achieving this. Brand Equity is the added value endowed to products and services with consumers. It may be reflected in the way consumers think, feel, and act with respect to the brand, as well as in the prices, market share, and profitability it commands. CBBE: arises from differences in consumer response compared to competition; Differences in response are a result of brand knowledge (thoughts, feelings, images, experiences, beliefs); reflected in perceptions, preferences, and behaviour

11. Brand Equity Models: BRANDASSET® VALUATOR

12. Brand Equity Models: BRANDZ BrandDynamics ™ Model

13. Brand Equity Models: Brand Resonance Model

14. Building Brand Equity Choosing & Developing Brand Elements – name, logo, symbol, character, slogan, jingles, signage, packaging, etc. Designing Holistic Marketing Activities – Consistency across elements, Leveraging all available assets Leveraging Secondary Associations – Associating with a person, place, or thing

15. Measuring Brand Equity Brand Audit – assess health of a brand Brand-tracking Studies – audits as input – track over time Brand Valuation – Financial value of the brand; Several Frameworks

16. Managing Brand Equity Brand Reinforcement – Coca Cola – Successful multiple times, Nokia – Tried but…. Brand Revitalization – Royal Enfield: Rose from the dead

17. Brand Strategy – Brand Architecture Brand extension Parent brand Sub-brand Master/Family brand Line extension Category extension House of Brands (P&G) Vs Branded House (Tata) Brand Portfolio Brand Dilution

18. Competition & Growth For Market Leaders: Expanding Total Market Demand – New Customers, More Usage; Protecting & Increasing Market Share – Proactive Marketing, Defensive Marketing (Position, Flank, Preemptive, Counteroffensive, Mobile, Contraction) For Market Challenger: Frontal Attack, Flank Attack, Encirclement Attack, Guerilla Attack Market-Follower Strategy: Cloner, Imitator, Adapter Market- Nicher Strategy

19. PLC Strategies

20. PLC Strategies

21. Setting Product Strategy – Product Levels

22. Product Classifications Durability & Tangibility – Non-durable goods, Durable goods, Services Consumer-goods classification – convenience goods, shopping goods, specialty goods, Unsought goods Industrial-goods classification – materials and parts, capital items, supplies and business services

23. Differentiation Product Differentiation – Features, Performance Quality, Conformance Quality, Durability, Reliability, Repairability , Style, Customization Services Differentiation – Ordering Ease, Delivery, Installation, Customer Training, Customer Consulting, Maintenance and Repair, Returns

24. Design and Luxury Design Leaders – Kohler, Vespa , Braun (Gillette) Approaches to Design – Design Thinking, Utility Vs./and Look Luxury – From Social Status to Style and Self-Expression ( Coloniality ) Guidelines – maintaining a premium image, intangible assets, several brand elements and associations, controlled distribution (artificial scarcity), premium pricing, broad understanding of competition

25. Product-mix width and Product-line length

26. Co-Branding and Ingredient Branding Co-Branding, also called Dual Branding or Brand Bundling – two or more well-known brands are combined into a joint product or marketed together in some fashion. E.g., Tata Starbucks, JGLS Khaitan & Co. Endwoment , etc. Ingredient Branding – a special case of co-branding. E.g., Dolby (Dolby Digital within Theatre Brands, Movie Studios), Intel Inside in 2/3 rd of Laptops

27. Designing and Managing Services Categories of Service Mix – Pure good, Tangible good with accompanying services, A hybrid, A major service with accompanying minor goods and services, A pure service Distinctive Services Characteristics – Intangibility, Inseparability, Variability, Perishability ‘Happy Employees = Happy Customers’ is more true for services

28. Best Practices & Differentiation Best Practices – Strategic Concept, Top Management Commitment, High Standards, Profit Tiers, Monitoring Systems, Satisfying Customer Complaints Differentiation – Primary & Add-on Options, Services Innovation

29. Service Quality Factors leading to Customer Switching Behaviour – Pricing, Inconvenience, Cost Service Failure, Service Encounter Failures, Response to Service Failure, Competition, Ethical Problems, Involuntary Switching SERV-QUAL Determinants – Reliability, Responsiveness, Assurance, Empathy, Tangibles

30. SERV-QUAL Gap Model

31. Thank You!!