Brand Management

This document provides insights into brand management strategies and positioning. It discusses Arnott's Vita Weat cracker chips and their unique points of difference, effectiveness of segmentation and targeting strategy, leveraging secondary extensions, and brand positioning strategies. The document also includes references for further reading.

Running Head: BRAND MANAGEMENT 0
BRAND MANAGEMENT
student name
4/17/2019

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Contents
Question 1: Point of difference........................................................................................................2
Question 2:.......................................................................................................................................3
Question 3........................................................................................................................................5
Question 4........................................................................................................................................7
References........................................................................................................................................8

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Question 1: Point of difference
Arnott’s Vita Weat cracker chips were the new launch of the company after two years, for which
the company has invested a huge amount. The reason was product differentiation, which would
create value to the customer over its competitors in Australia. The three major points of
difference for cracker chips include
 Unique Ingredients – The ingredients used for the preparation of these biscuits are unique
to its competitors. This includes corn, wholegrain brown rice, and seeds with no
preservatives or artificial colours. This is to provide products that would be healthy and
do not adversely affect an individual. This will be useful to target a health-conscious
customers segment. The people do not have to compromise for their cravings and enjoy a
healthy snack. Moreover, the product is not fried, they are roasted which do not harm the
individual’s health.
 Unique flavours – Along with its unique ingredient list, the different flavours are also
available. This is another aspect for differentiation for this product since the variety is
been available in some of the natural flavours like lime and coriander, sea salt, Cheddar
and Chives. This will attract customers due to modern foodie flavours (arnotts, 2019).
 Portion controlled packs – The company came up with unique packaging for people to
control per servings that is the portion-controlled packs. These cracker chips are
availability in a box of seven packs or in 120g share boxes (ausfoodnews, 2019). Now,
three packages are available that is 100g, 120 g, and 126g.

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Question 2:
The ways brand manager of Arnott would assess the effectiveness of the company’s
segmentation and targeting strategy.
 Social media review – One of the ways that the brand manager would find out if the
target market of the company. That is health-conscious people and goods preferred for
children to keep them safe and have delicious chips. The social media is one of the
modern ways to assess the company’s strategy effectiveness through comments of the
customers, or their review, or likes on the page of the company. For instance one of the
latest comment on the Facebook page is attached below:
Figure 1: (Source: (facebook, 2019)
 Competitor analysis – Other than reviewing the company’s page, the effectiveness can
also be evaluated through analysing competitors review or effect on competitors. Some of
the major competitors of Arnott’s would be popular potato chips company, which have

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been liked by people since years like Smiths chips Australia. Thins Chips Australia.
Grain waves is the direct competitor, as it is also offering healthy chips in the Australian
market. However it was analysed that the company is offering thick chips which could be
beneficial for the company as the crispy and thin chips are USP of Vita Weat crispy
chips.
 Online survey – Another method would be to conduct a survey from the target customers
to assess if the targeting strategy of the company was effective and analyse the repetitive
purchase by a customer to assess the customer satisfaction (Hayran, 2016).

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Question 3
Arnott’s leveraged secondary extensions in launching the cracker chips on the Australian market
1. Brand extension – Brand extensions strategy is when a current brand is introducing a new
product is a variant category that the existing business is said to be a brand extension. For
example, Arnott brand extension to launch the crispy crackers was Vita Weat. This range
of products reflected with healthy ingredients.
2. Line extension – As the name suggests this includes an extension of the brand product
that is extending the product line through ingredients, variations, or packaging, nutritional
content, colour, and flavour. Considering Vita Weat, the line extension strategy was
adopted that is to launch products with better nutritional qualities after crunchy chips,
moreover the ingredients were changed and the packaging variations were done.
3. Ingredient branding – This is one of the subtypes of co-branding that is a branded
component or ingredient that is identified by its own, which consist of its renowned
product brand within the company. For instance Arnott ingredient branding was Vita
Weat, which reflect the products made of whole grain wheat. This would be a renowned
brand within Arnott (Balmer & Abratt, 2016).
The branding strategies that Arnott could have considered include:
1. Ad hoc brand extension – Ad Hoc strategy is a sub part of a brand extension strategy that
is built on internal objective based strategy. This is based on either sentimental value or
monetary value that the brand gains by new brand extension introduction. For example
during world cup 2003, Pepsi launch Pepsi blue. Vita Weat could introduce with specific
flavours or packaging with a different brand name for a specific period.

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2. Segment focus and targeting – This includes brand promise and branding that would
target particular segments. This reflects that each segment must be focused separately and
get the customer attraction on that basis. For example, if the brand is willing to target kids
then the packaging and promotion must be separate that would include a toy as a gift
along with sets of chips and the flavours could have added according to the kids. In case
Vita Weat is to target sports person the packaging and brand positioning must be separate
(Hsu, 2016).

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Question 4
Brand positioning strategy:
 Advertisement tool – One of the marketing communication channel used by the company
was advertisement through television. The company focus over the ingredients while
developing ad, this is to attract the health conscious customers and encourage healthy
snacks. (youtube, 2010). It was a helpful tool to make maximum people aware of the
product at a time.
 Publicity – The marketing campaign of Vita Weat was the biggest campaign launch in
2010 with the expenditure of around $7 million, which result into great publicity as the
new launch was after 2 years making it big new. The publicity helps the brand to position
itself in a new market of chips.
 Sampling program – The Company for making people aware of the healthy snack along
with the taste distribute samples of the Vita Weat rice cracker. Initially the company did a
lot of free sampling for product positioning to promote product trial (adnews, 2019). This
could have included providing samples in schools and educating centres.
 Word of mouth – This was one of the largest used ways for the brand to inform the
customer about the new product range and health benefits of the product (Reid, 2015).
This tool was unable to target a large group at once and depend majorly on salesperson at
the store.

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References
adnews. (2019). Arnott’s launches biggest ever campaign. Retrieved from adnews:
http://www.adnews.com.au/66ED61B0-72BE-11DF-A26F005056B05D57
arnotts. (2019). products/cracker-chips. Retrieved from arnotts:
https://www.arnotts.com/products/cracker-chips/
ausfoodnews. (2019). arnotts-launch-vita-weat-cracker-chips. Retrieved from ausfoodnews:
http://www.ausfoodnews.com.au/2017/08/30/arnotts-launch-vita-weat-cracker-chips.html
Balmer, J., & Abratt, R. (2016). Corporate brands and corporate marketing: Emerging trends in
the big five eco-system. Journal of Brand Management, 23(1), 3.
facebook. (2019). ArnottsBiscuits/posts. Retrieved from facebook:
https://www.facebook.com/ArnottsBiscuits/posts/2607400452609407?
comment_tracking=%7B%22tn%22%3A%22O%22%7D
Hayran, C. (2016). Customer-based brand equity in a technologically fast-paced, connected, and
constrained environment. AMS review, 23-32.
Hsu, L. (2016). Brand architecture strategy and firm value: how leveraging, separating, and
distancing the corporate brand affects risk and returns. Journal of the Academy of
Marketing Science, 44(2), 261-280.
Reid, M. (2015). Integrated marketing communication capability and brand performance.
Journal of Advertising, 44(1), 37-46.
youtube. (2010). Arnotts Vita-Weat Rick Crackers 2010 Ad. Retrieved from youtube:
https://www.youtube.com/watch?v=I3YFW7Qr3I8