- \r\n \t
- A brand is an identifier:<\/strong>\u00a0a name, sign, symbol, design, term, or some combination of these things that identifies an offering\u00a0and helps simplify choice for the consumer.<\/li>\r\n \t
- A brand is a promise:<\/strong> the promise of what a company or offering\u00a0will provide to the people who interact with it.<\/li>\r\n \t
- A brand is an asset:<\/strong> a reputation in the marketplace that can drive price premiums and customer preference for goods from a particular provider.<\/li>\r\n \t
- A brand is a set of\u00a0perceptions:<\/strong> the sum total of everything\u00a0individuals believe, think, see, know, feel, hear, and\u00a0experience about a product, service, or organization.<\/li>\r\n \t
- A brand is \"mind share\":<\/strong>\u00a0the unique position a company or offering holds in the customer's mind, based on their past experiences and what they expect in the future.<\/li>\r\n<\/ol>\r\nA brand consists of all the features that distinguish the goods and services of one seller from another:\u00a0name, term, design, style, symbols, customer touch points, etc. Together, all elements of the brand work as a psychological trigger or stimulus that causes an association to all other thoughts one has\u00a0had about this brand.\r\n\r\nBrands are a combination of tangible and intangible elements, such as the following:\r\n
- \r\n \t
- Visual design elements (i.e., logo, color, typography, images, tagline, packaging, etc.)<\/li>\r\n \t
- Distinctive product features (i.e. quality, design sensibility, personality, etc.)<\/li>\r\n \t
- Intangible aspects of customers' experience with a product or company (i.e. reputation, customer experience, etc.)<\/li>\r\n<\/ul>\r\nBranding\u2013the act of creating or building a brand\u2013may take place at multiple levels: company brands, individual product brands, or branded product lines. Any entity that works to build consumer loyalty can also be considered a brand, such as celebrities (Lady Gaga, e.g.), events (Susan G. Komen Race for the Cure, e.g.), and places (Las Vegas, e.g.).\r\n
Brands Create Market Perceptions<\/h2>\r\nA successful brand is much more than just a name or logo. As suggested in one of the definitions above, brand is the sum of perceptions about a company or product in the minds of consumers. Effective brand building can\u00a0create and sustain a strong, positive, and lasting impression that is difficult to displace. Brands provide external cues to taste, design, performance, quality, value, or\u00a0other desired attributes if they are developed and managed properly. Brands convey positive or negative messages about a company, product, or service. Brand perceptions are\u00a0a direct result of past advertising, promotion, product reputation, and customer experience.\r\n\r\nA brand can convey multiple levels of meaning,\u00a0including the following:\r\n\r\n[caption id=\"attachment_7262\" align=\"alignright\" width=\"300\"]
![\"Photo](\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/143\/2016\/09\/23215041\/mercedes-300x199.jpg\")
<\/a> As an automobile brand, the Mercedes-Benz logo suggests high prestige.[\/caption]\r\n- \r\n \t
- Attributes:<\/strong> specific product features. The Mercedes-Benz brand, for example, suggests expensive, well-built, well-engineered, durable vehicles.<\/li>\r\n \t
- Benefits:<\/strong> attributes translate into functional and emotional benefits. Mercedes automobiles suggest prestige, luxury, wealth, reliability, self-esteem.<\/li>\r\n \t
- Values:<\/strong> company values and operational principles. The Mercedes brand evokes company values around excellence, high performance, power.<\/li>\r\n \t
- Culture:<\/strong> cultural elements of the company and brand. Mercedes represents German precision, discipline, efficiency, quality.<\/li>\r\n \t
- Personality:<\/strong> strong\u00a0brands often project a distinctive\u00a0personality. The Mercedes brand personality combines luxury and efficiency, precision and prestige.<\/li>\r\n \t
- User:<\/strong>\u00a0brands may suggest the types\u00a0of consumers who buy and use the product. Mercedes drivers might be perceived and classified differently than, for example, the drivers of Cadillacs, Corvettes, or\u00a0BMWs.<\/li>\r\n<\/ol>\r\n
Brands Create an Experience<\/h2>\r\nEffective branding encompasses everything that shapes the perception of a company or product in the minds of customers. Names, logos, brand marks, trade characters, and trademarks are commonly associated with brand, but these are just part of the picture. Branding also addresses virtually every aspect of a customer's experience with a company or product: visual design, quality, distinctiveness, purchasing experience, customer service, and so forth. Branding requires a deep knowledge of customers\u00a0and how they experience the company or product. Brand-building requires long-term investment in communicating about and delivering the unique value embodied in a company's \"brand,\"\u00a0but this effort can bring\u00a0long-term rewards.\r\n\r\n<\/div>\r\n
\r\n\r\nIn consumer and business-to-business markets, branding can influence whether consumers will buy the product\u00a0and\u00a0how much they are willing to pay. Branding can also help in new product introduction by creating meaning, market perceptions, and differentiation where nothing existed previously. When companies introduce a new product using an existing brand name (a brand extension or a branded product line), they can build on consumers' positive perceptions of the established brand to create greater receptivity for the new offering.\r\n\r\n<\/div>\r\n\r\nBrands Create Value<\/h2>\r\n<\/div>\r\n
\r\n\r\n[caption id=\"attachment_7264\" align=\"alignright\" width=\"256\"]![\"Front](\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/143\/2016\/09\/23215043\/dunkindonuts.jpg\")
<\/a> The Dunkin' Donuts logo, which includes an image of a DD cup of coffee, makes it easy to spot anywhere. The coffee is known for being a good value at a great price.[\/caption]\r\n\r\nBrands create value for consumers and organizations in a variety of ways.\r\nValue\u00a0of Branding for the Consumer<\/h3>\r\nBrands help simplify consumer choices. Brands help create trust, so that a person knows what to expect from a branded company, product, or service. Effective branding enables the consumer to easily identify a desirable company or product because the features and benefits have been communicated effectively. Positive, well-established brand associations increase the likelihood that consumers will select, purchase, and consume the product. Dunkin' Donuts, for example, has an established logo and imagery familiar to many U.S. consumers. The vivid colors and image of a DD cup are easily recognized and distinguished from competitors, and many associate this brand with tasty donuts, good coffee, and great prices.\r\n
Value\u00a0of Branding for\u00a0Product and Service Providers<\/h3>\r\n[caption id=\"attachment_7265\" align=\"alignright\" width=\"256\"]
![\"Photo](\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/143\/2016\/09\/23215045\/starbucks.jpg\")
<\/a> The Starbucks brand is associated with premium, high-priced coffee.[\/caption]\r\n\r\nFor companies and other organizations that produce goods, branding helps create loyalty. It decreases the risk of losing market share to the competition by establishing a competitive\u00a0advantage customers can count on. Strong brands often command premium pricing from consumers who are willing to pay more for a product they know, trust, and perceive as offering good value. Branding can be a great vehicle for effectively reaching target audiences and positioning a company relative to the competition. Working in conjunction with positioning, brand is the ultimate touchstone to guide choices around messaging, visual design, packaging, marketing, communications, and product strategy.\r\n\r\nFor example, Starbucks' loyal fan base values and pays premium prices for its coffee. Starbucks' choices about\u00a0beverage\u00a0products, neighborhood shops, the buying experience, and\u00a0corporate social responsibility all help build the Starbucks brand and communicate its value to a global customer base.\r\nValue\u00a0of Branding for the Retailer<\/h3>\r\nRetailers such as Target, Safeway, and Walmart create brands of their own to create a loyal base of customers. Branding enables these retailers to differentiate themselves from one another\u00a0and build customer loyalty around the unique experiences they provide. Retailer brand building may focus around the in-store or online shopping environment, product selection, prices, convenience, personal service, customer promotions, product display, etc.\r\n\r\nRetailers also benefit from carrying the branded products customers want. Brand-marketing support from retailers or manufacturers can\u00a0help\u00a0attract more customers (ideally ones who normally don't frequent an\u00a0establishment). For example, a customer who truly values organic brands might decide to visit a Babies R Us to shop for organic household cleaners that are safe to use around babies. This customer might have learned that a company called BabyGanics, which brands itself as making \"safe, effective, natural household solutions,\" was only available at this particular retailer.\r\n\r\n<\/div>","rendered":"
What Is a Brand?<\/h2>\n
As we start our exploration of brand and its role in marketing, take a few minutes to watch the following video about Coca-Cola, which is\u00a0perha<\/span>ps one of the most iconic brands of all time. As you watch this video, look and listen for the all the different elements that contribute to the thing we call a “brand.”<\/p>\n
https:\/\/youtu.be\/5b18LXBpVDo<\/p>\n
\nBrands are interesting, powerful concoctions of the marketplace that create tremendous value for organizations and for individuals. Because brands serve several functions, we can define the term “brand” in the following\u00a0ways:<\/p>\n
- \n
- A brand is an identifier:<\/strong>\u00a0a name, sign, symbol, design, term, or some combination of these things that identifies an offering\u00a0and helps simplify choice for the consumer.<\/li>\n
- A brand is a promise:<\/strong> the promise of what a company or offering\u00a0will provide to the people who interact with it.<\/li>\n
- A brand is an asset:<\/strong> a reputation in the marketplace that can drive price premiums and customer preference for goods from a particular provider.<\/li>\n
- A brand is a set of\u00a0perceptions:<\/strong> the sum total of everything\u00a0individuals believe, think, see, know, feel, hear, and\u00a0experience about a product, service, or organization.<\/li>\n
- A brand is “mind share”:<\/strong>\u00a0the unique position a company or offering holds in the customer’s mind, based on their past experiences and what they expect in the future.<\/li>\n<\/ol>\n
A brand consists of all the features that distinguish the goods and services of one seller from another:\u00a0name, term, design, style, symbols, customer touch points, etc. Together, all elements of the brand work as a psychological trigger or stimulus that causes an association to all other thoughts one has\u00a0had about this brand.<\/p>\n
Brands are a combination of tangible and intangible elements, such as the following:<\/p>\n
- \n
- Visual design elements (i.e., logo, color, typography, images, tagline, packaging, etc.)<\/li>\n
- Distinctive product features (i.e. quality, design sensibility, personality, etc.)<\/li>\n
- Intangible aspects of customers’ experience with a product or company (i.e. reputation, customer experience, etc.)<\/li>\n<\/ul>\n
Branding\u2013the act of creating or building a brand\u2013may take place at multiple levels: company brands, individual product brands, or branded product lines. Any entity that works to build consumer loyalty can also be considered a brand, such as celebrities (Lady Gaga, e.g.), events (Susan G. Komen Race for the Cure, e.g.), and places (Las Vegas, e.g.).<\/p>\n
Brands Create Market Perceptions<\/h2>\n
A successful brand is much more than just a name or logo. As suggested in one of the definitions above, brand is the sum of perceptions about a company or product in the minds of consumers. Effective brand building can\u00a0create and sustain a strong, positive, and lasting impression that is difficult to displace. Brands provide external cues to taste, design, performance, quality, value, or\u00a0other desired attributes if they are developed and managed properly. Brands convey positive or negative messages about a company, product, or service. Brand perceptions are\u00a0a direct result of past advertising, promotion, product reputation, and customer experience.<\/p>\n
A brand can convey multiple levels of meaning,\u00a0including the following:<\/p>\n
<\/a><\/p>\nAs an automobile brand, the Mercedes-Benz logo suggests high prestige.<\/p>\n<\/div>\n
- \n
- Attributes:<\/strong> specific product features. The Mercedes-Benz brand, for example, suggests expensive, well-built, well-engineered, durable vehicles.<\/li>\n
- Benefits:<\/strong> attributes translate into functional and emotional benefits. Mercedes automobiles suggest prestige, luxury, wealth, reliability, self-esteem.<\/li>\n
- Values:<\/strong> company values and operational principles. The Mercedes brand evokes company values around excellence, high performance, power.<\/li>\n
- Culture:<\/strong> cultural elements of the company and brand. Mercedes represents German precision, discipline, efficiency, quality.<\/li>\n
- Personality:<\/strong> strong\u00a0brands often project a distinctive\u00a0personality. The Mercedes brand personality combines luxury and efficiency, precision and prestige.<\/li>\n
- User:<\/strong>\u00a0brands may suggest the types\u00a0of consumers who buy and use the product. Mercedes drivers might be perceived and classified differently than, for example, the drivers of Cadillacs, Corvettes, or\u00a0BMWs.<\/li>\n<\/ol>\n
Brands Create an Experience<\/h2>\n
Effective branding encompasses everything that shapes the perception of a company or product in the minds of customers. Names, logos, brand marks, trade characters, and trademarks are commonly associated with brand, but these are just part of the picture. Branding also addresses virtually every aspect of a customer’s experience with a company or product: visual design, quality, distinctiveness, purchasing experience, customer service, and so forth. Branding requires a deep knowledge of customers\u00a0and how they experience the company or product. Brand-building requires long-term investment in communicating about and delivering the unique value embodied in a company’s “brand,”\u00a0but this effort can bring\u00a0long-term rewards.<\/p>\n<\/div>\n
\nIn consumer and business-to-business markets, branding can influence whether consumers will buy the product\u00a0and\u00a0how much they are willing to pay. Branding can also help in new product introduction by creating meaning, market perceptions, and differentiation where nothing existed previously. When companies introduce a new product using an existing brand name (a brand extension or a branded product line), they can build on consumers’ positive perceptions of the established brand to create greater receptivity for the new offering.<\/p>\n<\/div>\n
\nBrands Create Value<\/h2>\n<\/div>\n
\n<\/a><\/p>\nThe Dunkin’ Donuts logo, which includes an image of a DD cup of coffee, makes it easy to spot anywhere. The coffee is known for being a good value at a great price.<\/p>\n<\/div>\n
Brands create value for consumers and organizations in a variety of ways.<\/p>\n
Value\u00a0of Branding for the Consumer<\/h3>\n
Brands help simplify consumer choices. Brands help create trust, so that a person knows what to expect from a branded company, product, or service. Effective branding enables the consumer to easily identify a desirable company or product because the features and benefits have been communicated effectively. Positive, well-established brand associations increase the likelihood that consumers will select, purchase, and consume the product. Dunkin’ Donuts, for example, has an established logo and imagery familiar to many U.S. consumers. The vivid colors and image of a DD cup are easily recognized and distinguished from competitors, and many associate this brand with tasty donuts, good coffee, and great prices.<\/p>\n
Value\u00a0of Branding for\u00a0Product and Service Providers<\/h3>\n
<\/a><\/p>\nThe Starbucks brand is associated with premium, high-priced coffee.<\/p>\n<\/div>\n
For companies and other organizations that produce goods, branding helps create loyalty. It decreases the risk of losing market share to the competition by establishing a competitive\u00a0advantage customers can count on. Strong brands often command premium pricing from consumers who are willing to pay more for a product they know, trust, and perceive as offering good value. Branding can be a great vehicle for effectively reaching target audiences and positioning a company relative to the competition. Working in conjunction with positioning, brand is the ultimate touchstone to guide choices around messaging, visual design, packaging, marketing, communications, and product strategy.<\/p>\n
For example, Starbucks’ loyal fan base values and pays premium prices for its coffee. Starbucks’ choices about\u00a0beverage\u00a0products, neighborhood shops, the buying experience, and\u00a0corporate social responsibility all help build the Starbucks brand and communicate its value to a global customer base.<\/p>\n
Value\u00a0of Branding for the Retailer<\/h3>\n
Retailers such as Target, Safeway, and Walmart create brands of their own to create a loyal base of customers. Branding enables these retailers to differentiate themselves from one another\u00a0and build customer loyalty around the unique experiences they provide. Retailer brand building may focus around the in-store or online shopping environment, product selection, prices, convenience, personal service, customer promotions, product display, etc.<\/p>\n
Retailers also benefit from carrying the branded products customers want. Brand-marketing support from retailers or manufacturers can\u00a0help\u00a0attract more customers (ideally ones who normally don’t frequent an\u00a0establishment). For example, a customer who truly values organic brands might decide to visit a Babies R Us to shop for organic household cleaners that are safe to use around babies. This customer might have learned that a company called BabyGanics, which brands itself as making “safe, effective, natural household solutions,” was only available at this particular retailer.<\/p>\n<\/div>\n\n\t\t\t
\n\t\t\t Candela Citations<\/h3>\n\t\t\t\t\t
\n\t\t\t\t\t\t\n\t\t\t\t\t\t\tCC licensed content, Original<\/div>- Revision and adaptation. Provided by<\/strong>: Lumen Learning. License<\/strong>: CC BY-SA: Attribution-ShareAlike<\/a><\/em><\/li><\/ul>CC licensed content, Shared previously<\/div>
- Reading: Branding. Authored by<\/strong>: Linda Williams and Lumen Learning. Located at<\/strong>: https:\/\/courses.candelalearning.com\/masterybusiness2xngcxmasterfall2015\/chapter\/reading-branding-labeling-and-packaging\/<\/a>. License<\/strong>: CC BY-SA: Attribution-ShareAlike<\/a><\/em><\/li>
- Mercedes Benz 500sl 1996. Authored by<\/strong>: Martin Pettitt. Located at<\/strong>: https:\/\/www.flickr.com\/photos\/mdpettitt\/7980662156\/<\/a>. License<\/strong>: CC BY: Attribution<\/a><\/em><\/li>
- Who We Are: The Coca-Cola Company. Provided by<\/strong>: The Coca-Cola Co.. Located at<\/strong>: https:\/\/youtu.be\/5b18LXBpVDo<\/a>. License<\/strong>: All Rights Reserved<\/em>. License Terms<\/strong>: Standard YouTube License<\/li><\/ul><\/div>\n\t\t\t\t\t\t <\/div>\n\t\t\t\t\t <\/div>\n\t\t\t <\/section>","protected":false},"author":26,"menu_order":5,"template":"","meta":{"_candela_citation":"[{\"type\":\"cc\",\"description\":\"Reading: Branding\",\"author\":\"Linda Williams and Lumen Learning\",\"organization\":\"\",\"url\":\"https:\/\/courses.candelalearning.com\/masterybusiness2xngcxmasterfall2015\/chapter\/reading-branding-labeling-and-packaging\/\",\"project\":\"\",\"license\":\"cc-by-sa\",\"license_terms\":\"\"},{\"type\":\"original\",\"description\":\"Revision and adaptation\",\"author\":\"\",\"organization\":\"Lumen Learning\",\"url\":\"\",\"project\":\"\",\"license\":\"cc-by-sa\",\"license_terms\":\"\"},{\"type\":\"cc\",\"description\":\"Mercedes Benz 500sl 1996\",\"author\":\"Martin Pettitt\",\"organization\":\"\",\"url\":\"https:\/\/www.flickr.com\/photos\/mdpettitt\/7980662156\/\",\"project\":\"\",\"license\":\"cc-by\",\"license_terms\":\"\"},{\"type\":\"cc\",\"description\":\"Who We Are: The Coca-Cola Company\",\"author\":\"\",\"organization\":\"The Coca-Cola Co.\",\"url\":\"https:\/\/youtu.be\/5b18LXBpVDo\",\"project\":\"\",\"license\":\"arr\",\"license_terms\":\"Standard YouTube License\"}]","CANDELA_OUTCOMES_GUID":"","pb_show_title":"on","pb_short_title":"","pb_subtitle":"","pb_authors":[],"pb_section_license":""},"chapter-type":[],"contributor":[],"license":[],"class_list":["post-7290","chapter","type-chapter","status-publish","hentry"],"part":10800,"_links":{"self":[{"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/pressbooks\/v2\/chapters\/7290","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/pressbooks\/v2\/chapters"}],"about":[{"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/wp\/v2\/types\/chapter"}],"author":[{"embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/wp\/v2\/users\/26"}],"version-history":[{"count":9,"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/pressbooks\/v2\/chapters\/7290\/revisions"}],"predecessor-version":[{"id":11442,"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/pressbooks\/v2\/chapters\/7290\/revisions\/11442"}],"part":[{"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/pressbooks\/v2\/parts\/10800"}],"metadata":[{"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/pressbooks\/v2\/chapters\/7290\/metadata\/"}],"wp:attachment":[{"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/wp\/v2\/media?parent=7290"}],"wp:term":[{"taxonomy":"chapter-type","embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/pressbooks\/v2\/chapter-type?post=7290"},{"taxonomy":"contributor","embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/wp\/v2\/contributor?post=7290"},{"taxonomy":"license","embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/wmintrobusiness\/wp-json\/wp\/v2\/license?post=7290"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
- Mercedes Benz 500sl 1996. Authored by<\/strong>: Martin Pettitt. Located at<\/strong>: https:\/\/www.flickr.com\/photos\/mdpettitt\/7980662156\/<\/a>. License<\/strong>: CC BY: Attribution<\/a><\/em><\/li>
- Reading: Branding. Authored by<\/strong>: Linda Williams and Lumen Learning. Located at<\/strong>: https:\/\/courses.candelalearning.com\/masterybusiness2xngcxmasterfall2015\/chapter\/reading-branding-labeling-and-packaging\/<\/a>. License<\/strong>: CC BY-SA: Attribution-ShareAlike<\/a><\/em><\/li>
- Benefits:<\/strong> attributes translate into functional and emotional benefits. Mercedes automobiles suggest prestige, luxury, wealth, reliability, self-esteem.<\/li>\n
- Attributes:<\/strong> specific product features. The Mercedes-Benz brand, for example, suggests expensive, well-built, well-engineered, durable vehicles.<\/li>\n
- A brand is a promise:<\/strong> the promise of what a company or offering\u00a0will provide to the people who interact with it.<\/li>\n
- Benefits:<\/strong> attributes translate into functional and emotional benefits. Mercedes automobiles suggest prestige, luxury, wealth, reliability, self-esteem.<\/li>\r\n \t
- Attributes:<\/strong> specific product features. The Mercedes-Benz brand, for example, suggests expensive, well-built, well-engineered, durable vehicles.<\/li>\r\n \t
- A brand is a promise:<\/strong> the promise of what a company or offering\u00a0will provide to the people who interact with it.<\/li>\r\n \t
![\"Photo](\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images-archive-read-only\/wp-content\/uploads\/sites\/903\/2016\/07\/01232122\/mercedes.jpg\")
<\/a> As an automobile brand, the Mercedes-Benz logo suggests high prestige.[\/caption]\r\n