Branding

Branding

Part of the actual product.

Without brands, shoppers choice becomes arbitrary.

Definition:

A name, term, design, symbol or any other feature that identifies one seller's good or service as distinct from anothers.

• Brand name is that part that can be spoken, including letters, words and #s, IE 7UP.

Brand names simplify shopping, guarantee a certain level of quality and allow for self expression.

• Brand mark-elements of the brand that cannot not be spoken, IE symbol

• Trade Character IE Ronald McDonald, Pillsbury Doughboy

• Trade mark-legal designation that the owner has exclusive rights to the brand or part of a brand.

1990, US Patent & Trademark Office had 680,000 trademarks registered, 56,515 new in that year.

• Tradename-The full legal name of the organization. IE Ford, not the name for a specific product.

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Benefits of Branding

Provides benefits to buyers and sellers

TO BUYER:

• Help buyers identify the product that they like/dislike.

• Identify marketer

• Helps reduce the time needed for purchase.

• Helps buyers evaluate quality of products especially if unable to judge a products characteristics.

• Helps reduce buyers perceived risk of purchase.

• Buyer may derive a psychological reward from owning the brand, IE Rolex or Mercedes.

TO SELLER:

• Differentiate product offering from competitors

• Helps segment market by creating tailored images, IE Contact lenses

• Brand identifies the companies products making repeat purchases easier for customers.

• Reduce price comparisons

• Brand helps firm introduce a new product that carries the name of one or more of its existing products...half as much as using a new brand, lower co. designs, advertising and promotional costs.

EXAMPLE, Gummy Savers

• Easier cooperation with intermediaries with well known brands

• Facilitates promotional efforts.

• Helps...