Brand Management Report

This report analyzes brand management strategies employed by Nike and Adidas, exploring the importance of branding, key components of successful brand strategy, portfolio management, brand hierarchy, and brand equity management. It also examines collaborative and partnership strategies at both domestic and global levels, and analyzes techniques for measuring and managing brand value image.

BRAND MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
LO 1.................................................................................................................................................1
P.1. The importance of branding as marketing tool and why and how it has emerged in
business practice..........................................................................................................................1
M.1. How brands are managed successfully over times using theories, models and concepts...2
P.2. The key components of successful brand strategy for building and managing brand equity
.....................................................................................................................................................3
M.2. Apply appropriate and validated examples within Nike organisational context................4
LO 2.................................................................................................................................................4
P.3. The different strategies of portfolio management, brand hierarchy and brand equity
management................................................................................................................................4
M.3.Analysis of portfolio management, brand hierarchy and brand equity management using
appropriate theories.....................................................................................................................5
LO 3.................................................................................................................................................7
P.4. How brands are managed collaboratively and in partnership both at domestic and global
level.............................................................................................................................................7
M.4. Evaluation of the use of different techniques used to leverage and extend brands............7
LO 4.................................................................................................................................................9
P.5. The different types of techniques for measuring and managing brand value image...........9
M.5. Evaluation of application of techniques for measuring and managing brand value...........9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Maintain brand value in industry is one of the challenging task for each organisation in
order to generating effective brand value in industry. In this report, tow company has been taken
which is, Nike and Adidas, both organisations are one of the top most popular brand in sport
wear product manufacturer entities. In addition to this, the report will be discussed about
importance of branding as a marketing tool and why and how it has emerged in business practice
and the key components of successful branding strategy for building and managing brand equity.
Moreover, the assignment will be discussed about to brands are managed collaboratively and in
partnership both at domestic and global level and various kinds of methods and pull off brand
value image.
LO 1
P.1. The importance of branding as marketing tool and why and how it has emerged in business
practice
What is a brand: Brand can be considered as a symbol, name, tool and logo of specific a
specific company which is utilised by a firm in order to differentiate their products and services
from other companies in industry (Abrahams, 2016). Branding approach of an each company is
essential tools which influences customers towards buying particular preferred brand's products
again and again. Nike has also one of the well-known brand around worldwide on which
company is getting desired business goals and objectives in sports products industries.
Why is important: Branding plays an important role in order to promote special types of
products and services in industry in unique manner, on which business can attain their targeted
goals upon audience. It assists the business to generating loyal customers to particular brand to
frequently purchasing one brand's product often times.
Brand equity: Brand equity defines that, a value premium that a company generates from
a products and services with an identification name, when it compared to other company is same
segmentation company can built up their effective brand equity for their products by making
them memorable, easy, recognisable and superior in equity and reliability (Balmer, 2012). Nike
has been created one of the popular brand equity in sport production industry by delivering
quality of sport wear products and instrument efficiently.
Importance of branding as marketing tool:
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Running a business successfully is a challenging task and creating a branding value is
important prospect which help the business to grow well in industry. Branding can be considered
as essential marketing tool which encourage any business in reaching out its desired success.
To build up customer loyalty: Each business makes marketing efforts to create up
customer loyalty among their existing customers by furnishing valuable products and services. In
order to build effective brand loyalty among its loyal customers, Nike can utilise implementation
of branding strategies upon its existing customers to purchase its valuable sports products in
perfect form (Braun, Kavaratzis and Zenker, 2013). Through the brand equity approach, its
marketing professionals can build impressive customer loyalty which conveys Nike business to
attain desired sales goals.
Nike become well-known: Nike company's marketing professionals can utilise of
branding approach to promoting company's products and services that can bring out company
name at well-known stage in industry. Creating a branding important factor for Nike business in
case of generating more customer values for its specific brand that conveys top values to
business to becoming top brand in this segment.
Increasing company's market value: A business value can be spilt up only the basis of
creating its effective brand values among the customers. Increment in effective brand values can
prove beneficial for Nike business in respect to increment within its market values within
marketplace. Brand tool can be utilised by Nike company as trademark on which desired market
value can be gained in perfect form by business professionals.
M.1. How brands are managed successfully over times using theories, models and concepts
The branding theory: Branding can be considered as image that can be utilised by
consumer as well-known particular brand value in their mind. In addition, branding theory refer
to the process on which its professionals can create unique characteristics that has been
developed by its professionals to differentiate its products from its competitors (Dinnie, 2015).
The theory defines that Nike business professionals are implementing effective branding strategy
for adding up quality of values to its particular name which influence its loyal customers to
purchase its sports products rather than other brands. With the assistance of branding approach,
its professionals can attain desired goals and objectives of the firm.
The value based brand theory: This theory refer to business to creating an impressive
brand value that deliberated to crate a long terms effect in existing customer's mind which can be
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created by its professionals by serving various types of quality of products which created faith
for customers on specific brand name. Customer used to purchase Nike brand's products on the
basis of its perfect brand value which has bee gained by business form last few decades by
making dedicated efforts.
P.2. The key components of successful brand strategy for building and managing brand equity
Each business must create its brand value in industry in perfect form in order to become
well-known in their particular segment (Hanna and Rowley, 2012). In today's world, there are
numbers of top brands are operating their business activities in industry through which creating
effective brand value in marketplace on which their customer will prefer buying their products
like, Adidas, Puma, Unilever, Land Rover etc. so all these companies have their particular brand
names on which they are gaining specific success.
Brand loyalty: Nike business can be considered as top popular brand in the world, which
is delivering their quality of sportswear products across the world. Nike has effective brand
loyalty upon its existing loyal customers in different-different market which is committed to
frequent buying Nike's products because company has created impressive brand value name
upon its existing customers efficiently. Company is utilising creative marketing strategies such
as loyalty or reward programs and brand ambassadors or attractive offering in case of building
up awesome brand loyalty to betterment of outcomes of the business. Brand loyalty of Nike
business frequent attracts its customers to buy its products and services continuously.
Brand awareness: Branding approach can be utilised as such tool, which can generate
some essential values to company's marketing professionals in order to establishment of
impressive bard awareness among variety of markets. With the assistance of branding awareness,
business will come to know about what they are serving and what they need to do better in
respect to improvement within branding awareness of branding company (Heding, Knudtzen and
Bjerre, 2015). According to existing branding awareness of Nike business, its loyal customer
often recall the brand's products when they desired to purchasing sports wear products. Branding
awareness created familiar relationship with brand to its consumers to making brand worthy to
be considered by consumers.
Perceived brand quality: There are some attributes are associated with Nike branding
name which build up impressive beliefs upon its sports products by which customer will recall to
purchase it again. Nike is known as one of the most popular brands in the world, which is
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delivering quality of shoes as products to existing customers. So, perceiving quality contributes
to build trust and sustainable brand equity in order to meet desired goals and objectives of the
business. So, brand perceiving is necessary for Nike business in context of becoming well-
known brand in sports production industry.
Brand association: Brand association is also essential element for Nike brand which
refer to retrieve relative information about specific brand in order to reach out desired goals and
objectives of the firm (Johansson and Carlson, 2014). It assists Nike business in context of
differentiation of its existing products from one brand to its competitors and providing other
complimentary reasons to buying it. So brand association creates positive attitude towards the
brand which influence its customer to recall Nike's products rather than moving on competitor's
products.
M.2. Apply appropriate and validated examples within Nike organisational context
Nike is well-known sport ware production company around the world, which is offering
variety of sports wear products in various marketplace. So in this context, its sports shoes
products is well-known for maintain quality of products or it is also mostly liked by youngster
and sports persons, which prefer Nike sport's shoes to being more comfortable. So it creates
strong brand equity name among its existing customer who love to buying Nike products.
Company not only built up brand name or vale of firm but also make efforts to maintain quality
of its products on which its customers having faith (Jugenheimer, Sheehan and Kelley, 2015).
The company require maintaining brand name of the products which influences its customers to
often purchasing its attractive shoes products effectively.
LO 2
P.3. The different strategies of portfolio management, brand hierarchy and brand equity
management
Brand can be considered as a tool which must be managed by its strategic management
approaches in order to reaching out to desired success in industry. Brand portfolio management
is one of the essential tasks for the business professionals in order to development of optimal
brand structure and potentially using elements such as sub-brand, primary branded ingredients.
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M.3.Analysis of portfolio management, brand hierarchy and brand equity management using
appropriate theories
Primary brand: In the portfolio management strategy, this is to be considered as one of
the top brand name of particular products and services of business. Each brand has primary brand
name which is well-known in industry and also assist the business to gaining desired success in
business. Nike has also primary brand name which is well-known across the world and also its
products description is added within primary brand portfolio. Nike business professionals require
to making sure that, its primary brand name has uniform defined set of role which plays each
play important role in market context to attaining desired success. Modification within branding
products required as per customer's need to fulfilment of their role.
Sub-brand: In the branding portfolio of the business, its professionals also require to
adding up some essential brands name within portfolio. Sub-brand are group of products in
which several types of products are being associated which is needed to maintain their value as
pre-defined manner (Kapferer, 2012). Various types of sports wear product brands are associated
with Nike brans which is required to maintain the brand vale in industry to raising market share
of the firm. With the help of above strategy, Nike and Adidas could effectively maintain
portfolio of business.
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Brand hierarchy: Brand hierarchy management is one of the essential tools which is
being utilised by Nike and Adidas companies in order to maintain brand relationship with its
existing values of business objectives. Brand hierarchy refer to the process on which they
realisation that a product can be branded in different ways depending on how many brand's
names is being utilised in order to combined a product. Different types of brand hierarchy
strategies are being utilised by both brands in order to gaining desired success in the industry
Corporate brand hierarchy: Corporate brand hierarchy defines that, the company is
using specific company name as a product brand name. Nike is implementing corporate brand
hierarchy strategy in order to reaching out desired goals and objectives of the firm. The business
is utilising strategy to promoting their products and services as major brand name in order to
meeting the objectives to getting sustainable branding value in industry on which Nike business
can manager brand equity values in marketplace.
Individual brand: Adidas organisation is utilising individual branding hierarchy strategy
in order to making popular their specific types of sport wear products in industry. Individual
branding assisting its professionals identifying its brand values in the portfolio and make efforts
to differentiate its existing products and services from one brands. This strategy help them to
building unique types of brand name in industry (Kavaratzis, Warnaby and Ashworth, eds.,
2014).
Brand equity management: Brand equity plays important role in a business in order to
maintain a specific brand name upon customer's mind effectively in order to making them loyal
to particular brand's products. Nike and Adidas both business is utilising the customer base brand
management strategy in order to attaining their desired goals and objectives of organisations.
They create personal relationship with loyal customers and create loyalty towards brand name in
industry. Brand equity refer to the process on which both business offering quality of products to
its loyal customers which creates positive attitudes towards brand name. So it generates brand
equity upon customer's mind to recall the same brand products again and gain. Brand equity
management strategy enables business to getting positive reaction from the marketplace.
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LO 3
P.4. How brands are managed collaboratively and in partnership both at domestic and global
level
Domestic level: Variety of different types of strategies are being utilised by Nike and
Adidas both organisations in order to growing in their business sector as possible manner. In
particular case of their home country, both businesses are operating their business functionality
effectively and delivering quality of products and services by which company can get desired
success in this sector (Kuikka and Laukkanen, 2012). Both organisations are utilising
collaborative approach to being management in such areas by which brand value might be
established by its professionals in impressive manner. So at domestic and global level, both
companies is utilising effective strategies to creating impressive brand vale across the world.
M.4. Evaluation of the use of different techniques used to leverage and extend brands
Collaborative innovation: At domestic level, Nike and Adidas business is offering
domestic suppliers and local shoes companies to making collaborative essential modification
within its existing products by which they can gain more customer response in impressive ways.
With assistance of other organisations who operate in same segment might help both companies
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to furnishing appropriate suggestion on which they can work collaboratively to implementation p
of modern innovation. Working with collaboration with local brand can assist them to getting
innovative ideas to essential changes within core business products to meeting desired business
objectives in industry perfectly (Kylander and Stone, 2012). In addition, collaboration can help
the business to raising up its supply chains among various states of the country at domestic level,
so they can increase the sales of their sports wear product and increase value of brand among
existing customers in nation.
Modification: Modification is required to utilised by its professionals in case of rapid
changing demand of their existing customers in marketplace. Both organisation is offering
quality of sport shoes products in the market on which its customer paying attention more. Nike
and Adidas both companies is well-known for implementation of modification approaches within
its Sport shoes products in innovative ways. So it enables the business to reaching out to
expectation of their loyal customers from its valuable and quality of products in marketplace.
Global level: At international level both organisations are utilising strategy of partnership
working in order to gaining desired success in international market for increasing their market
share worldwide.
Partnership with top brands: Nike and Adidas both company is utilising an approach to
making partnership with top brands who is operating their business functionalities within sports
wear production segment. In terms of comply with modern innovation and changes, both
company's professionals making partnership with top other brands which is already existing in
the top brands in the marketplace (Loureiro, Ruediger and Demetris, 2012). With using other
expertise in the firm, Nike and Adidas able to develop their more comfortable sports products
which has huge demand at international marketplace.
New marketing strategy: Adidas and Nike both businesses are serving their business
services at several countries across the world. New market entry strategy can influence both
company to meeting desired objectives of business which is expected from international market.
Entering into new market can boost up profitability level of both entities. Entering into new
market can provide potential for developing in such areas where business can reach out to its
desired success from new marketplace.
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LO 4
P.5. The different types of techniques for measuring and managing brand value image
In order to measuring brand image value of various types of business, important
techniques from them is as following:
Survey: Survey can be one of the essential tools by which Nike and Adidas company's
professionals can reach out to measuring the value of brand image (Qian, 2014). Numbers of
survey methods are presented here which can be, E-mail, social media, corporate website,
questionnaire, telephone etc. all these methods can be utilised by its professionals in respect to
gaining huge knowledge about image and brand value of both business at domestic and
international both level.
Website traffic: This method also can be effective tools to knowing about branding
values of both businesses. So according to this tool, this can be happened by using of direct
channel tools which is provided by Google company as an analytical tool that assist the business
professionals in order to evaluating the numbers of visitors on its particular website who has
been tried to reaching out to brand name and services within business environment. By knowing
numbers of visitor traffic on its official website and advertising website, which displays the
actual scenario of visitors, that can assists them to recognise the branding value of their business
in industry efficiently.
Social listening: Social media is one of the essential tools that can be utilised by Nike
and Adidas company's professionals in order to knowing about people perceptions and value of
brand in people's mind as well (Spear and Roper, 2013). Through using various types of social
media networking tools and techniques, its professionals can directly engaged with its image and
performance in the market efficiently. People can directly provide actual response to its
marketing employees to current scenario of brand evaluation in different markets. This technique
provides valuable feedbacks to its employees in order to making essential changes within
existing products to attaining the desired demand of its loyal customers.
M.5. Evaluation of application of techniques for measuring and managing brand value
TECHNIQUES AND BRAND EQUITY AUDIT
Clearing the perspective: Brand equity can be considered with the help of various types
of perspectives effectively (Solomon and el.al., 2014). Annual financial data of Adidas and Nike
business can be analysed by its strategic professionals in order to knowing the brand premiums
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of both organisation in existing marketplace or also determining the brand value in current
marketplace. It has examined that, numbers of issues are being utilised in such a form where
something new development can be gained by sufficient form. It clears the way on which its
customers belief and pay for quality of sports wear products.
Evaluate brand equity research objectives: This is an effective approach, that can be
utilised by its professionals in case of execution of brand equity audit. This technique is
classified into three parts, tracking, exploring and extending to boosting power of brand
valuation. With the help of this technique, both companies can examined the current positioning
among its numbers of competitors in industry.
Customer behaviours: Customer behaviour assessment is one of the crucial approach,
that can be utilised by its professionals in case of gaining knowledge bout customer response
towards its particular sports products and services. Observation of its existing loyal customer's
response and attitude towards its production assist them to generating sufficient amount of
success in the marketplace (Zhang, 2015). It can be said that, strong values of its customer can
influence brand equity and its image within the business environment in effective form.
DIFFERENT APPROACHES OF VALUING BRAND
Brand sale comparison system: This can be also effective methodology to examining the
brand valuation among its competitors in current marketplace. Both companies management
team require to utilisation of assessment of current sales transaction of the business within
determined time duration, which enables the business to identification of exact value of sales
revenue from its variety of sports products (Rosenbaum-Elliott, Percy and Pervan, 2015).
Company can examine the brand value by computing its sales turnover during a specific time
period. So with the help of this technique, its professionals will be able to examined the current
values of its customers in the marketplace in sufficient form.
Equity evaluation method: This strategy inclusion of outcomes and advertising ion the
prices and profitability of the business within a specific time period. Nike and Adidas both
organisations can utilise this approach in case of generating sufficient amount of success in the
marketplace in respective form. This technique also assist the business professionals in order to
measuring the brand value of both businesses.
Residual method: This is a brand equity model from killer, Which refer to the method on
which customer base equity model can be used to developing the value of brand using numerous
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techniques and approaches efficiently (Mosley, 2014). In this way, customer involves such as
risk free, interest free and exercise price etc. this technique will assist both organisations in order
to proper examining the brand valuation In industry efficiently.
CONCLUSION
From the above entire investigation, it is concluded that, numbers of techniques can be
utilised by Adidas and Nike business professionals in order to reaching out desired success of the
business. The report is concluded about essential components of successful brand strategy for
building and managing brand equity within industry efficiently and different strategies of
portfolio management, brand hierarchy and brand equity management in both companies. In
addition to this, several types of significant techniques are being utilised by its professionals in
case of gaining desired success within the business environment. Several types of mechanism
being implemented within both companies in context to management of brand value
collaboratively and in partnership both at domestic and global level efficiently.
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REFERENCES
Books and Journals
Abrahams, D., 2016. Brand risk: adding risk literacy to brand management. CRC Press.
Balmer, J. M., 2012. Corporate brand management imperatives: Custodianship, credibility, and
calibration. California Management Review. 54.3. pp. 6-33.
Braun, E., Kavaratzis, M. and Zenker, S., 2013. My city–my brand: the different roles of
residents in place branding. Journal of Place Management and Development. 6. 1. pp.
18-28.
Dinnie, K., 2015. Nation branding: Concepts, issues, practice. Routledge.
Hanna, S. and Rowley, J., 2012. Practitioners views on the essence of place brand management.
Place Branding and Public Diplomacy. 8. 2. pp. 102-109.
Heding, T., Knudtzen, C. F. and Bjerre, M., 2015. Brand management: Research, theory and
practice. Routledge.
Johansson, J. K. and Carlson, K. A., 2014. Contemporary brand management. SAGE
Publications.
Jugenheimer, D. W., Sheehan, K. and Kelley, L.D., 2015. Advertising media planning: a brand
management approach. Routledge.
Kapferer, J. N., 2012. The new strategic brand management: Advanced insights and strategic
thinking. Kogan page publishers.
Kavaratzis, M., Warnaby, G. and Ashworth, G. J. eds., 2014. Rethinking place branding:
Comprehensive brand development for cities and regions. Springer.
Kuikka, A. and Laukkanen, T., 2012. Brand loyalty and the role of hedonic value. Journal of
Product & Brand Management. 21. 7. pp. 529-537.
Kylander, N. and Stone, C., 2012. The role of brand in the nonprofit sector. Stanford Social
Innovation Review. 10. 2. pp. 35-41.
Loureiro, S. M.C., Ruediger, K. H. and Demetris, V., 2012. Brand emotional connection and
loyalty. Journal of Brand Management. 20. 1. pp. 13-27.
Mosley, R., 2014. Employer brand management: practical lessons from the world's leading
employers. John Wiley & Sons.
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Qian, Y., 2014. Brand management and strategies against counterfeits. Journal of Economics &
Management Strategy. 23. 2. pp. 317-343.
Rosenbaum-Elliott, R., Percy, L. and Pervan, S., 2015. Strategic brand management. Oxford
University Press, USA.
Solomon, M. R., and el.al., 2014. Consumer behavior: Buying, having, and being (Vol. 10).
Pearson.
Spear, S. and Roper, S., 2013. Using corporate stories to build the corporate brand: an impression
management perspective. Journal of Product & Brand Management. 22. 7. pp. 491-
501.
Zhang, Y., 2015. The impact of brand image on consumer behavior: a literature review. Open
journal of business and management. 3. 1.
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