A what is Branding? Outline
I like Branding, this is one of those areas where a business person can get creative.
What is a Brand? Anything and everything can be branded: products, people, services,commodities,ideas,political groups,places,arts,movies, etc…
Brand is more than just a logo it is a positioning, a slogan or tag line, a packaging, a buying experience ( in store or online), it is price and promotions, and management.
Moreover a brand is a promise of value for consumers and manufacturers.
a) Values that are sought by consumers:
->risk reducer (safety, but also risks at all levels)
->cost reducer (long term cost reducer, or one time deal)
->symbolic (social styles, self-image …)
->quality (brand is well known, established, or trusted)
values that are sought by manufacturers:
->transport (logistics, ID for tracking, …)
->legal (laws, intellectual property …)
->quality (linked with customers satisfaction)
->asset ( brand equity, competitive advantage)
->revenue ( ROI)
b)Challenges to build brands:
-Savvy Customers: Consumers information is more and more available, with internet and peers reviews customers are more knowledgeable and picky.
-Brand Proliferation: (E.g For consumer products more often )when there are multiple variants of a product.
-Media Fragmentation: raise of multiple medias and channels lead to more difficult brand management.
-New Competition: When barriers to entry are low, the risk from competition is very high, think of consumer products or commodities. Today, competition is global and everywhere and not only for manufactured products but also for online services and technological products such as web applications that are now in part or totally built by people from around the globe.