Brand Architecture (1).pptx mba student ppt

brand ach

1. DISCOVER . LEARN . EMPOWER Marketing Analytics Institute- University School Of Business Department - MBA Master of Business Administration MARKETING ANALYTICS (23BAT-737) UNIT 1: Lecture 32 Prepared by: Parveen Kumar Abrol Email : [email protected]

2. Nature and Business Plan Brand Architecture Introduction to marketing analytics 2 CO Number Title Level CO1 To define management and marketing research problem Understand   Course Outcome

3. Metrics for measuring brand assets Metrics for measuring brand assets help evaluate how strong and valuable a brand is. These metrics show how well the brand is performing in the market, connecting with customers, and creating loyalty. Here are some easy-to-understand metrics: 1. Brand Awareness What it means : How well people know about your brand. Example : If you ask 100 people if they’ve heard of "Coca-Cola" and 90 say yes, Coca-Cola has high brand awareness. 2. Brand Loyalty What it means : How often customers choose your brand over competitors. Example : If a customer always buys Nike shoes even though other brands are available, this shows strong brand loyalty.

4. 3. Brand Perception What it means : How customers feel or think about your brand. Example : If people associate Apple with innovation and quality, that’s a positive brand perception. 4. Brand Equity What it means : The total value a brand has, based on awareness, loyalty, and perception. Example : If Apple can charge more for its iPhones because of its strong reputation, that’s high brand equity.

5. 5. Customer Lifetime Value (CLV) What it means : The total worth of a customer to the brand over the whole period of their relationship. Example : If someone buys $100 worth of Starbucks coffee every month for 5 years, their CLV is $6,000. 6. Net Promoter Score (NPS) What it means : A measure of how likely customers are to recommend your brand to others. Example : If 80% of a brand's customers say they would recommend it to friends, it has a high NPS. These metrics help brands understand their strengths and weaknesses and adjust their strategies to grow their brand assets.

6. Snapple and Brand Value Snapple and Brand Value can be explained in simple terms by looking at how Snapple, a popular iced tea and juice brand, builds its brand value and why it's important. Brand Value Brand value refers to how much a brand is worth beyond just the products it sells. It includes things like customer loyalty, recognition, and the overall trust people have in the brand.

7. Snapple’s Brand Value Example Recognition : People recognize Snapple for its unique bottles and fun trivia under the caps. When customers see a Snapple bottle, they immediately know what to expect, which is refreshing drinks and a fun experience. Loyalty : Snapple has a loyal customer base. Even with many drink options available, some customers stick to Snapple because they like its taste, the brand story, or its quirky marketing style. Reputation : Snapple built a reputation over time for being a premium, healthy, and fun drink. This makes it easier for them to sell their products at higher prices compared to regular drinks.

8. Simple Example of Brand Value Imagine Snapple and a generic iced tea brand both sell iced tea for $2. Even if they cost the same to make, Snapple might be able to sell for $3 because customers value the brand (the reputation, trust, and experience Snapple provides). That extra $1 is Snapple's brand value —it's not just about the tea but also about the experience and trust customers have in Snapple. In short, Snapple’s brand value comes from the customer loyalty, recognition, and positive feelings people have about the brand. This value helps Snapple sell more products and even charge higher prices than competitors.

9. Brand Personality Brand Personality is the set of human traits or characteristics associated with a brand. It’s like giving a brand a personality, so customers feel a certain way about it, just like they do with people. This helps customers connect emotionally with the brand. Simple Example of Brand Personality: Coca-Cola : Coca-Cola’s brand personality is fun, friendly, and optimistic. It’s like that happy friend who’s always up for a good time and makes everyone smile. When you see Coca-Cola ads, they often show people enjoying life, sharing moments, and being joyful. Apple : Apple’s brand personality is innovative, sleek, and creative. It’s like that smart, stylish friend who’s always ahead of the trends and knows how to use technology in cool ways. Apple presents itself as sophisticated but user-friendly, attracting customers who value design and cutting-edge technology.

10. Why It Matters: When a brand has a strong personality, customers are more likely to feel connected to it and loyal to it, just like how you might feel drawn to certain people because of their personality traits. This emotional connection can make customers choose one brand over another, even if the products are similar. So, brand personality is the "character" a brand projects, helping it stand out and form a bond with its audience.

11. BRAND ARCHITECTURE Brand Architecture is a system that organizes brands, products and services to help an audience access and relate to a brand. A successful Brand Architecture enables consumers to form opinions and preferences for an entire family of brands by interacting or learning about only one brand in that family.

12. BRAND ARCHITECTURE Brand architecture is the organizational structure of a company’s portfolio of brands, sub-brands, products, and/or services. Effective brand architecture includes an integrated system of  names , symbols,  colors , and visual vocabulary informed directly by the consumer thought process. This is because key to brand architecture is your customer’s mental organization—how they conceptualize your business and its portfolio of offerings, and how each offering satisfies their needs. Brand architecture defines both the breadth and depth of your brand. Not only does it provide clarity around the organization of your offerings and how they are understood by consumers, it also influences customer behavior by maximizing the transfer of  brand equity  between your brands and sub-brands.

13. BRAND ARCHITECTURE If a customer has an existing relationship or positive association with a master brand, for example, they are much more likely to try one of its sub-brands. Brand architecture is ultimately about managing perception. Externally, it helps your customers and other stakeholders make sense of a multifaceted organization. Internally, it can serve as a valuable tool for optimizing marketing efficiency and performance. But the benefits don’t stop there.

14. TYPES OF BRAND ARCHITECTURE Branded house House of brands Hybrid or endorsing brand

15. THE BRANDED HOUSE A branded house, in contrast, is a company such as Virgin. The company is diversified into everything from music to mobile, but all of its brands are under the Virgin name: Virgin Mobile, Virgin Air, Virgin Records, etc. This brand architecture strategy is also known as a logo-linked brand or master brand – the name and branding are consistent across all segments of the company. Other examples of branded house architecture include: Google.  Google Maps, Google Calendar, Gmail, Sheets, Hangouts — even though Google might not be in the name of all its subsets, it’s pretty well known that they’re associated with the parent company. Apple.  Subset brands include Mac, iTunes, iPod, iPhone, etc. but are all closely associated with the Apple brand. FedEx.  In addition to shipping, the corporate brand includes FedEx Office, FedEx Freight, FedEx Express, and FedEx Logistics.

16. THE HOUSE OF BRANDS The house of brands is basically the opposite of the branded house. There’s a parent brand, but it’s not reflected in the sub-brands in an obvious or blatant way. In fact, often the parent brand is in the background, overshadowed by one or more of its sub-brands. You’ll see this brand architecture model more in situations where a holding company buys up subsidiaries—to most consumers, the parent is irrelevant compared to the individual products that it distributes.

17. The Middle Ground: Hybrid Brand Architecture In an endorsed architecture, there is a parent brand and associated sibling brands, all of which have unique market presences. The sibling brands benefit from their association with, or endorsement from, the parent brand. The relationships between the sibling brands within an endorsed architecture is often mutually beneficial, as well, each benefitting from the strength of the other. Examples include Kellogg and Nabisco, both of which proudly feature the name of their parent brand on each of their products’ packaging. An endorsed strategy is one where you’ll find messaging like “brought to you by…”. Endorsement limits a business’s reputation risk and offers more positioning alternatives than a house of brands approach, for example.

18. BENEFITS Targeting needs of specific customer segments Significantly reducing marketing cost Clarifying brand positioning, naming and messaging Increasing flexibility for future product expansion Confidence among stakeholders

19. IMPORTANCE OF BRAND ARCHITECTURE Brand archi tecture is how the brands within an organization are related and how they interact with each other. It is created by keeping the target market’s perspective in mind. Brands need to create a brand architecture as it helps them to – Stay organized internally –  looking at the brand with the eyes of the customers helps to find out the loopholes in organization structure and the communication strategies and helps the brand to stay organized internally. Manage perception  – Developing brand arc hitecture makes it easier to manage the outside perception about the brand, its offerings, and their relations with each other. Create Synergy  – Having an organized brand architecture creates a synergy among the child brands and the parent brand and help the organization deliver against a larger brand promise.

20. BENEFITS OF A STRONG BRAND ARCHITECTURE Clarity in the marketplace Synergy among brands Target specific customer segments Clarity in positioning and communication Enhance consumer awareness Enhance brand equity

21. Factors to Consider When Creating a Brand Architecture Brand Equity Culture Growth Strategy Market Disruption Cost The Takeaway

22. What is Brand Equity? How to Build and Measure It Brand equity describes the level of sway a brand name has in the minds of consumers, and the value of having a brand that is identifiable and well thought of. Organizations establish brand equity by creating positive experiences that entice consumers to continue purchasing from them over competitors who make similar products. Awareness and experience are the two key tenets of brand equity. Awareness:  Can consumers easily identify your brand? Messaging and imagery surrounding your brand should be cohesive so consumer can always identify it, even for a new product. What kinds of values do consumers associate with the brand?  Perhaps they think of sustainability, quality, or family friendly qualities. Experience : How have first hand experiences with your brand gone? This could mean that the product performed the way it was supposed to, that encounters with brand representatives and customer service teams have been accommodating and helpful, and that loyalty programs have been worthwhile.

23. Why is Brand Equity Important: The Effect on the Bottom Line A key benefit of establishing positive brand equity is the benefits it can have on  ROI . Organizations that leverage the power of branding often earn more money than competitors, while spending less - whether on production, advertising, or elsewhere. For example, positive brand equity enables brands to charge price premiums. When consumers believe in the values put forth by a brand and the quality of their products, they will pay higher prices to purchase from that brand. Additionally, should an organization want to add new product offerings, marketing them under the same umbrella brand will help the new product take off faster, as trust has already been established.

24. HOW TO BUILD BRAND EQUITY Understand your why Test your messaging Drive awareness Maintain consistency Customer experience

25. HOW TO MEASURE BRAND EQUITY Financial value Product value Brand audit Brand association- Keller’s brand equity model

26. APPLICATIONS 30 Marketing analyticsis used in industry at higher levels for taking decisions regarding marketing and business in organizations The students can use these in their respective department for formulating objectives aligned with the organizational objectives It can be used by students to understand and consider the internal environment factors while taking decisions

27. REFERENCES Text Books:- 1.     Grigsby, Mike., Marketing Analytics, Kogan Page, 1 st Edition, 2015 2.     Winston, Wayne, Marketing Analytics, Wiley, 1 st Edition. 3. Venkatesan , Rajkumar ; Farris Paul; Wilcox Ronald, Cutting Edge Marketing Analytics, FT Press, 1st Edition, 2015. 4. Grigsby, Mike, Advanced Customer Analytics, Kogan Page, 1st Edition, 2016. Reference Books:- 1. Halligan , Bryan., Shah, Dharmesh ., Inbound Marketing, John Wiley, 1 st Edition. 2016. 2. Sauro , Jeff., Customer Analytics for Dummies, John Wiley 1 st Edition, 2017. 31