Branding Strategies Design and Implementation Brand hierarchy

Branding Strategies Design and Implementation

Brand hierarchy The means of summarizing the branding strategy by displaying the number and nature of common and distinctive brand elements across the firm’s products. Involves ordering and ranking all brands across products. Dupont Ingredient brands Corporate brands Stainmaster, Lycra automotive; flooring Teflon, Dacron

Kapferer’s branding system • Product brand - exclusive name to single product (Tide, Dash) • Line brand - same concept across different products (VW) • Range brands - one name on group of products having same ability (Green Giant) • Umbrella brand - supports products in different markets (Canon cameras, copiers, office equip • Source brand - products directly named (CK clothing, cologne) • Endorsing brand - wide diversity of products under product, line brands or range brands (GM)

Brand Elements Simplified • • Corporate brand - Ford Family brand - Explorer Individual brand - Sport Modifier - Edie Bauer model

Corporate brand equity A response by consumers, customers and all publics to words, actions, communications, products and services provided by a brand entity. Corporate image dimensions - Dupont 1. Common product attributes (quality, innovation) 2. People and relationships (customer orientation) 3. Values and programs (environment, social responsibility) 4. Corporate credibility (expertise, trust, likability)

Branding • Corporate dominant - company brand, house brand (Trader Joe’s) • Mixed brands - dual, endorsed (Kellogg Cherrios) • Brand dominant - single, furtive (company not disclosed such as LA Times)

Designing hierarchy and strategy Strategy involves decisions and principles relating to • Number of levels of hierarchy • Desired brand awareness and image at each level - relevance and differentiation • Brand element combinations - prominence • Brand element linkages - commonality

Corporate product relationship categories 1. Single entry - Federal Express 2. Brand dominance - Philip Morris makes no connection with Marlboro 3. Equal dominance - separate images; GM, Buick Riviera, Buick Electra) 4. Mixed dominance - Bosch on some Blaupunkt w/o Bosch 5. Corporate dominance - Xerox name on all products

Corporate Advertising Using Advocacy to Deliver Institutional Messages

Objectives of corporate campaign • Build awareness of company and business • Create favorable attitudes and perceptions • Link beliefs that can be leveraged by product-specific marketing • Make a favorable impression on financial community • Motivate employees • Influence public opinion on issues

Images for the Long Haul • Messages to change consumer attitudes • Messages to change brand perceptions • Environmental, humanitarian, cultural and health focus

PR Function • Assess public attitudes through research • Determine objective Build favorable attitude Change negative attitude to positive one Maintain positive attitude • Develop strategy Produce corporate advertising campaign

Mc. Donald Corporation • Product advertising sells burgers • Corporate advertising advocates caring for young cancer victims • Ronald Mc. Donald House serves parents • Caring message, health focus

Corporate Ad Objectives • Awareness • Familiarity • Positive associations

Awareness • • Brand recognition Brand recall for purchase intention Brand image creation Visa sponsorship of the Olympic Games

Familiarity • • Builds a comfort zone Brand switching Brand usage and brand stories Brand loyalty

Associations Creates favorable brand image through goodwill using: • Sponsorships: arts (Phone), sports (Nike), health (J&J) • Advocacy: environment (Body Shop), disease prevention (Dupont), minority education (Hilton)

Target Corporate Publics • • • Pressure groups Politicians Shareholders Media Employees Consumers

Umbrella Strategy Red Cross Problem: Perception of fund misuse from Bali, US terrorist bombings Objective: Convince publics that Red Cross comes to the aid of the world’s needy Strategy: “We’re there for you” campaign

Brand as Philosophy • Benetton social issues campaign • AIDS awareness (buttock w/brand +) • Discrimination (black baby nursing white breast) • Capital punishment (prisoners sentenced to death)

Benetton Debate • Selling sweaters on the misery of others? • Encourage debate through shock? • Illuminate or trivialize issues?

Problem Solving: Chevron • • • Problem: Poor public perception Objective: Change public attitude Strategy: Advertise corporate responsibility Tactics: TV and print advertising Message: Chevron cares about the environment

People Do Campaign • Protecting the earth’s natural resources important • Chevron values a commitment to environmental protection • Anecdotal vignette tactics

People Do Theme • Tiny sea turtles move along sand toward ocean • Voice over “In a race to survive, instinct and moonlight guide newborn sea turtles. Do people make certain that the only light is the one that leads home? People Do. ” • Ad further explains how Chevron is saving turtles my concealing light from nearby gas operations so they can make it to the water.

People Do Message Chevron is: • A defender of the environment • A champion of endangered species • A lovable, eco-friendly corporation saving infants of the animal kingdom

Greenwashing? • Diverting consumers from harmful effects of corporation on the planet • Cost of advertising vs. actual environmental cleanup programs

Greenwashing Brands: Coke • Sponsor of American Recycles Day • Promise to use recycled content in plastic soda bottles • Project abandoned as economically unsustainable • Plastic recycle prices plunged, adds to daily landfill

Greenwashing: Weyerhaeuser • World’s largest private owner of timber • Clear-cut 4 million acres of forests for paper • Corporate advertising campaign message says it will “replace natural resources” by planting 40 million seedlings • “We’ll never run out of trees. ”

Greenwashing: Mobil Oil • Helping the earth breathe easier campaign • Focus on financial support for environmental groups • Cover-up - Mobil has done nothing to prevent global warming from refinery toxins

Greenwashing: Royal Caribbean Cruise Lines • Ads feature stunning views of spectacular settings in “Save the Waves” campaign • Actual fines for dumping waste oil and toxins into US waters

Nike Campaign for Pre-teen Girls If you let me play sports… I will like myself more I will have more self-confidence I will be 60% less likely to get breast cancer I will leave a man who beats me I will not get pregnant before I want to I will learn what it means to be strong Just do it.

Cognitive Dissonance • Knocks viewer off balance with image of preteen girls discussion adult subjects • Poor and minority groups stereotyped • Nike proposes a solution to restore the viewer to balance: let me play in Nike apparel

Public Service? • Is the campaign for a worthy cause? • Why preteen girls and not boys? • Does Nike portray women as more vulnerable than they are to sell clothing?