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Approaches To Branding – What You Should Know

One pressing task before an entrepreneur is how to brand his product. There are several options available for an entrepreneur on decision of whether to name to name your brand or not. This article contains detailed Approaches to Branding.

Approaches To Branding - What You Should Know

Each naming methods adopted has a strategic implication to the firm value. Verma listed the approaches in their ascending degree as:

  • Brand as policy
  • Brand as company
  • Brand as icon
  • Brand as personality
  • Brand as reference and
  • Unbranded goods.

However, a widely used approach was developed, they are:

1.) Individual Brand Name

This is a situation where a company/product decides to use its own unique, innovative and different name, e.g Mrs. Biggs. It brands its products separately, each having its own individual names. Though, it has high development and selling cost, but does not tie it success to other brand.

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2.) Family Brand Names

When a firm produces several products, one blanket or family name could be used to extend the product, an example is the Johnson product, Cussons products and Pearls products.

It does not incur much development cost. It is through family brand we get brand extension and its advantages: possible feed lack and positive hallow effect which leads to new product success. The demerits are cannibalism and brand dilution.

3.) Corporate/Company Name

An entrepreneur may decide to adopt the approach of using it registered corporate name for all its product. It followed, Dangote or Agofure company – Agofure Motors, bread and filling station.

Here, development cost is lower because it does not require research cost and enjoys quick customer recognition and acceptance , though may lead to intangible value for the firm. One attack on the parent brand would rob-off the entire brand line.

4.) Co-branding or Sub-brand Name

It is a hybrid of brand. Here, a firm employs two individual, families or corporate names, for instance Shell/NNPC Joint Venture. Many manufacturers of durable goods employ this strategy like computer. It sometimes adopts the strategy of submerging a key component of a major brand, especially in industrial goods and installation.

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5.) Generic Branding

Some products are general and generic in nature as such does not need to be specially branded. Under this, we adopt no – brand strategy.

This entails no development and selling cost. Is there any selective name for fuel or kerosene?

TYPES OF BRAND

Though brand is what creates the difference, uniqueness and satisfaction. These brand come in different manner and identity. They include:

  1. Person: Human being or entity is ascribed to be a brand. A person’s skill, beauty, attribute can be described and needed to satisfy human wants. Agbani Derego is a person who won beauty pageant. A person’s personality can be marketed. Also his expertise, skill and unique endowment can be sold.
  2. Place (Geography): Good geographical entity like USA, Nigeria could be sold. Why are people traveling to certain places? Scarce and good natural endowments and values make a country unique and sellable. Destination, tourism and eco-tourism are typical of this place brand.
  3. Organization: Brand is said to be an organization like is a church, mosque, government, school, non-governmental organizations or profit making organization. Further examples are Unilever, Samsung, Genesis and Anglican Commission, because they are unique and satisfy needs.
  4. Product: The commonest and widely used brand with tangible attributes is the product kind of brand, such as live is good (LG) TV, Honda car, garri, apple fruit.
  5. Service: Service are tangible solution to human needs. A brand could be a service. The service rendered by teacher, car mechanics and Physicians help to satisfy needs.
  6. Event: Events are brand, spectacular celebrations, festivals, rituals, concerts are very useful brands that satisfy human wants. Examples are; ‘A Day of Thousand Laughs’ ‘Crack your Ribs’ and CARNIRIV events.

BRAND EQUITY MANAGEMENT

One marketing activity of every new and old entrepreneur is to build brand equity. Brand equity entails the added value endowed on product and service. It further consists of how consumer feel, assess, think, react with respect to brand and is measured as the premium prices, market share, knowledge, awareness, profitability, sales, preference and loyalty the brand accrues or commands.

To measure the performance of a brand, a firm may look at it from the customer equity base point of view and is measured from the customer response to marketing programs of that brand. It could be favourable or unfavourable. And that these customer base brand equity has three ingredients:

  1. Arises from difference in customer response
  2. Difference as a result of consumers brand knowledge
  3. Difference in perception, preference and behaviour to the brand.

BRAND EQUITY BUILDING

To build and develop brand equity involves a multi facet approaches of marketing activities. This activities are so interwoven and very important to the success of a brand. The brand equity management process entails:

  • Brand reinforcement
  • Revitalization
  • Positioning
  • Planning
  • Building
  • Development
  • Elimination and Modification where necessary

The strategic processes of brand equity are:

1.) Consumer Brand Research: This enables businesz owners/entrepreneurs to find what the customers need, want and how they want it. Who are your customers – consider their age, sex, income, buying behaviour, tribe and what influences their purchase decision? This is tge first bases for brand equity building. Find out the brand gap and buyer’s need analysis.

2.) Market/Competitor Research: The unique and brand gap must be identified. What is lacking from the market? What need is the competitor not offering and discovering of competitors’ strength and weakness is of great advantage.

3.) Develop Brand Name Element: Search for appropriate name is very important. What does your new brand offer? How unique and distinct is it? The unique selling proposition (UPS) relevance of the brand must be clear, whether internally or externally done, the brand must stand out.

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4.) Integrated Marketing: It involves the mixture of all marketing unit and non-direct marketing unit and activities to help re-enforce the brand promise. To manage brand image coordination between sales activities and communication are necessary. Everything matters and every unit, body is important in ensuring brand success. Everybody from CEO to gateman must think and act the brand. All employees’ participation must be involved. Both marketing and non-marketing departments must consciously think of the brand’s success and the customers. Marketing promotion, advertising, effective distribution, customer service levels and product mix are regular tools to build brand image.

5.) Leveraging Secondary Brand Association: Other external entities and identities are source of collaboration to leverage the brand. Alliance and partnering with publics or association will help build the brand. This means to borrow the brand by linking it to other information in memory that convey meaning to consumers. For instance Glo sponsorship of Premier League, Heineken beer sponsorship of European League. These publics, Bank, corporate bodies, media and NGO help to build up firm’s brand value.

6.) Continuous Innovation: Customer needs and tastes are always changing, as such, to remain competitive and stand out uniquely, entrepreneurs must be creative, innovative in meeting customers’ need. Entrepreneurs should copy and imitate best practices or bench making to help the brand grow and keep customers loyal.

Have any questions or contribution? Let us know in the comment section below.

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