Brand Management: Importance, Strategy, and Equity

Brand Management
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Contents
INTRODUCTION...........................................................................................................................3
LO 1.................................................................................................................................................3
P 1 Importance of branding as a tool of marketing.....................................................................3
P 2 Components of brand strategy for building and managing brand equity..............................5
LO2..................................................................................................................................................6
P3 analyse the different strategies of portfolio management, brand hierarchy and brand equity
management.................................................................................................................................6
LO3..................................................................................................................................................9
P4 Describe that how kitkat brands managed collaboratively and in partnership both domestic
as well as global level..................................................................................................................9
LO4................................................................................................................................................10
P5 Describe the different type of technique for managing and measuring brand value by using
organizational example..............................................................................................................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13
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INTRODUCTION
Brand management states that with the help of analysis and planning a brand is able to
perceive and position itself in the minds of the target audience. It uses the help of those strategies
and functions who helps them to increase awareness of the brand. In order to make a brand
valuable and effective companies focus on increasing the loyalty of the brand. Planning is done
strategically by the company so that value and equity of the brand is maintained across different
markets. Nestle is an multinational corporation who deals in the food and beverage industry. If
the company is measured in terms of sales and revenue then it is considered as one of the biggest
companies serving in this sector. Currently the country maintains their operations in 189
countries with 447 industries and employs more than 3,00,000 employees over the world. This
report includes topics such as importance of branding as a marketing tool. Components of
branding and its strategy to build equity of the brand. Brand hierarchy and management.
Techniques which help for managing the value of the brand.
LO 1
P 1 Importance of branding as a tool of marketing
Branding helps the company to grow in the market and leave a goodwill behind which is
the reason why it is considered as a crucial and important aspect for the company. With the help
of branding and its strategies company is able to create value in the eyes of the customers and
position in the right market. Also awareness of the product is also increased because of the image
of the brand in the market (Rahman, Rodríguez-Serrano and Lambkin, 2018).
Gain recognition-
Every company considers it as an important aspect as it helps them to increase their base
of customers by getting recognition in the market. Company must put a lot of thought before
launching the logo of the brand as it represents the face of the company and helps to spread
awareness about the attributes of the brand. Logo must have an appeal which attracts people and
people can be able to remember it easily. The most important aspect of the logo must be that it
must leave an impression in the mind of target audience which is positive for the brand (Paul,
2019).
Increases the value of the brand-
It is necessary for the company to establish their brand if they want to have a grasp at
future opportunities and expand the scale of their operations. Kitkat is a established brand in the
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market which is beneficial for the company as it represents that brand is successful to have more
value in comparison with its competitors. This way company gains advantage over their
competitors. When the brand is entering into new markets the possibility ratio of achieving
success is more as people already trust the brand.
Generate new customers-
Nestle has been successful to established their brand in the market and leave a positive
image in the mind of target audience. It is because of this reason they have been able to gain trust
of consumers in the market and is also able to get repeated sales from them. Kitkat has turned out
to be one of the most successful brands in the market and any sub category launched under its
name gains success easily with just a positive word of mouth.
Increases the level of satisfaction and pride for employees-
Employees who are working for the established brand generates a sense of pride and they
feel more satisfied working for a branded good than the opposite of it. This fulfills all of their
work requirements as they have an office which is given by the company and a sense of mutual
trust etc. There is a reason behind the satisfaction level of employees and that is because of the
ways and strategies that the company has come up with which has helped them to make the
brand successful in the market.
Creates and increases the level of trust-
Company has been successful in establishing the brand which has helped them to
maintain the level of trust with their customers and it keeps on increasing with time. Consumers
prefers those brands on which they can trust anytime in a professional way. Company creates
such a impression of them that the consumers feel that in that specific area or category no one is
better than them (Balmer and Chen, 2017).
Supports and improves Advertising-
In order to establish a brand advertising is considered as a key component for the brand.
Kitkat uses very unique strategies for advertising which helps them to create their own unique
place in the market. It also helps the brand to see the stages of growth according to their previous
performance and sales. By taking the help of these strategies the company is able to increase
awareness of the brand as advertising helps them to target a lot of people at one time because of
its reach. This way the company is able to achieve its set objectives and goals. When companies
who are established in this market and use this strategy as a promotion then it is known as
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