Understanding Brand Management Concepts

This assignment delves into the core principles of brand management. It examines definitions of crucial concepts like consumer engagement, brand equity, and the significance of online branding. Students analyze scholarly articles to understand how brands interact with consumers in virtual communities and the role of advertising and promotions in building brand value. The text also explores employer branding, the emotional aspects of consumer-brand relationships, and the evolution of luxury brand management.

Brand Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Importance of branding as marketing tool and its emergence in business practice...............1
P2 Key components of successful brand strategy regarding building and managing of brand
equity...........................................................................................................................................3
TASK 2............................................................................................................................................5
P3 Different strategies of portfolio management, brand hierarchy and brand equity
management................................................................................................................................5
TASK 3............................................................................................................................................6
P4 Management of brand collaboratively at both domestic and global level.............................6
TASK 4............................................................................................................................................8
P5 Different types of techniques for measuring and managing brand value..............................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
.......................................................................................................................................................12

INTRODUCTION
Brand is any design, name, term or unique features of products and organisation that
distinguish it from competitors. Branding helps to make the products popular in between
customers and market. It is considered as effective marketing and communication tool for
organisation which helps to influence the consumer behaviour and create long lasting impression
upon the minds of customers. Brand management is important for every organisation. It includes
the process of managing the tangible and intangible features of brand. Large number of benefits
are achieved by organisation like competitive advantage, large market share, improved profits
etc. Samsung and Apple are two big brands which provides their products and services in all
over the world (Ashworth and Kavaratzis, 2010).
In the present report explain about, importance of branding as marketing tool, key
components of successful brand strategy regarding building and maintenance of brand equity,
evaluation of the different strategies of portfolio management, brand hierarchy and brand equity
management. Also, management of brand at both domestic and global level and different
techniques which are used to measure brand value.
TASK 1
P1 Importance of branding as marketing tool and its emergence in business practice
Brand: It is called as distinguishing symbol, mark or logo used by organisations to make
their products identity different from their rivals in market. Such process of branding makes the
task of customers easy regarding identification of the product of any particular brand. All such
different factors used by the organisation to create their different brand identity. Apple and
Samsung are two big brands which have their different brand identity in market. Management of
both organisation uses trademark to legally protect their branded products. Branding also
identifies as best marketing and communicating tool which helps to make long term relation with
their customers.
Brand management: It is considered as process regarding management of brand in
market. To effectively manage brand needs to give emphasis on their tangible and intangible
features. Product and price are main tangible features which helps to make their brand popular.
Management of brand helps to maintain good connection with customers and attain their
confidence and trust about quality of their products.
1

Brand Equity: It means the value premium generate by organisations from their good
name in market. Such brand equity allows the organisations to charge more then value due to
having good quality and brand name in market. Brand equity can be created with helps of
making their products memorable, superior quality, easily recognizable, reliable etc. It consist
three basic components which helps in measurement of of brand equity which are view of
consumers, negative and positive effects and resulting value. To make their brand strong, it is
need to have good consumers views regarding quality and reliability of their products. Apple and
Samsung are two multinational organisation which deals in telecommunication and electronic
products. Apple has large brand equity in market in comparison to Samsung products due to
having good consumer perception regarding quality of their products (Brodie and et. al., 2013).
Role of marketing in development of brand equity
Marketing plays an effective role in influencing the minds and behaviour of customers
and change their perception and views regarding the products of any particular brand. Apple and
Samsung are two big brands also takes the helps of marketing to maximise their premium value
in market by use of marketing tools. Its role is defined below:
 Brand awareness: Marketing plays an important role regarding spread awareness among
customers about unique features and quality of their different products. Management of
both Apple and Samsung also uses social media marketing tools to provide information
about their different products, price, quality and customer views. It plays an important
role in attraction of customers towards their brand.
 Perceived quality: Due to use of marketing tools like online applications, both big
brands Apple and Samsung takes the feedback and views of customers after using their
products. It helps to ascertain the technical issues faced by them and their demands which
they want in such products. It helps the management to make their products as per
customer's perception.
 Brand association: This includes the use of symbol or name which helps the customers
to easily recognise their products. It helps in retention of their customers for longer
period of time.
Benefits of branding as marketing tool
Large number of benefits are achieved by Apple and Samsung, while using branding as
marketing tool which is defined below:
2

 Competitive advantage: Branding plays an important role regarding connection with
mind of customers. It is necessary for every organisation to improve their image and
retain their position in market. Apple and Samsung are two organisations which uses their
brand names to influence customers in market to buy their products. Customers are also
like to buy branded products and wants to stick with only one brand. It helps the
organisation to attain competitive advantage and increase their profitability (Buil, De
Chernatony and Martínez, 2013).
 Branding helps to fulfil expectations: Big brands like Apple and Samsung, always
make their products as per the preferences and innovate technology persist in market.
This helps to fulfil the expectations of customers while they purchase branded products.
They feel secure regarding quality and unique features of products. It helps to capture
their market segments in which they are performing good.
Difference between brand and product
Brand Product
It is build with the helps of trust of customers It is built in factory
Brands have value Products are commodities
P2 Key components of successful brand strategy regarding building and managing of brand
equity
Strong brand: Strong brand having two important features which are reputation and
visibility. Reputation means recognition of brand in market due to having their best services and
quality of their products. On other hand, Visibility means about the popularity of brand in
between the target audience. If both these criteria are satisfied then a brand is called as strong
brand.
Apple and Samsung is highly reputed organisation in world and having the popularity in
between the customers about their mobile phones. It is one of the biggest organisation which is
having strongest brand image in market about the quality of their mobile phones. It is considered
as the strong brand regarding their electronic items.
Difference between Strong and Weak brand
Strong brand Weak brand
3

It is having large consumer base It is not much attractive to retain their
customers
Good brand value in market. Having high
reputation and visibility in market.
Having low brand value in market between
customers
Good customer perceptions and views about
brand
Customers are not satisfied with the quality of
brands product
Stages for brand development using CBBE model
CBBE Model: It is considered as four step pyramid which includes four questions asked
by customers. Such four steps includes six building blocks required to be place on right positions
to make their brand strong and developed.
Development of brand is very important for every organisation. Management of Apple
and Samsung uses CBBE model regarding development of their brands. The various stages
which included in this model are define below:
Step 1: Building Awareness: It includes about application of appropriate approaches
which helps to spread awareness about their brand in between customers and market. It helps to
increase visibility of brand and their reputation also (Christiaans, 2012).
Step 2: Brand meaning: It provides about explanation of the meaning which is
associated with their brands. For ex, good quality, unique features, better services etc.
Step 3: Ascertain the response of customers: It represents about identification of the
feedbacks of customers regarding their services, quality, credibility etc. It helps to know their
preferences.
Step 4: Development of bond with customers: It includes about gain the trust and
loyalty of customers regarding their branded products. It helps in creation of confidence and
makes long term relation.
Brand reinforcement: It is the process of managing the brand equity in market by
keeping the brand alive between both existing and new customers. To making their brand
popular, organisations need to provide information about their brand and products. This helps in
generation of awareness.
4

Brand revitalization: It is considered as strategy which helps regarding recapturing of
lost sources of brand equity and also identification of the new sources of brand equity. It includes
the process of product modification and brand repositioning.
Challenges faced by Apple and Samsung while developing brand
Large number of challenges are faced by the management of both Apple and Samsung,
while developing their brand which is mentioned below:
 Competition: As the large number of competitors are prevail in market and provides
their product and services. This will make the difficult for the organisation to improve
their grand image because large number of techniques are used by competitors to
improve their image and capture large market.
 Frequent changing technological market: Both Apple and Samsung provides
electronic items and requires to be updated regarding their technologies. If they are not
accept new technologies then it is difficult to retain their brand image (Dempsey and
Gruver, 2012).
TASK 2
P3 Different strategies of portfolio management, brand hierarchy and brand equity management
House of brand and Branded house
House of brand and branded house are main models which are included in brand
portfolio. Both these models have their different meaning and importance. The meaning and
functioning of both models are define below:
House of brands: This includes about the procedure of branding of multiple sub brands,
if the primary and main product not getting the attention from the public in market. Under this
approach less importance is given to the main brand and provide full focus on different products
provide by company. It creates difficulties among the customers regarding identification of the
products of particular brands of organisation which are using this approach.
Branded House: It is the approach where all sub products are recognised by their main
brand. This approach is effective, if main brand is highly recognised in market between
customers. Apple and Samsung also uses the approach of Branded house, under which all
products given by both organisation recognised by their common brand name.
Brand portfolio strategy
5

It is effective approach which contributes regarding effectively providence of more than
one branded products of same organisation in market. For ex, Apple provide I phone, Mac book
etc. On other hand, Samsung provides mobile phones, AC, Refrigerators etc. So, it is important
for the management to adopt effective strategies which helps in effective management of brand
which is mentioned below:
 Driving revenue and profit growth: This theory provides that both organisation need to
provide their products effectively to the reach of end customers. It helps to retain position
and improve their image in market.
 Investment in Brand and business: It is important for organisation to make continuous
investment in their brands and adopt effective marketing strategies which helps to
provide long lasting impact upon customers.
 Increase efficiency: This theory provides that there is need to give emphasis on quality
of their products and become cost efficient in comparison to the rival which are present in
market.
Management Hierarchy
Followed by Apple
 Umbrella brand: It is also known as Family branding which provides that all products of
organisation comes under same brand. For Ex, Apple, I phone, Mac Book, accessories
etc. All products having common brand name.
 Endorsed Sub Brands: It provides that, Apple makes a contract with celebrity to
endorse their product in market. This helps to connect with minds of consumers and
increase their revenue (Hollebeek, 2011).
Followed by Samsung
 Umbrella brand: All the products of Samsung bearing the common brand name are
included. For ex, Mobile phone, AC, Refrigerators, camera etc.
 Endorsed Sub Brands: Samsung use many celebrates in different countries to promote
their products and increase their sales. It helps to capture large market and improve brand
image.
Brand Hierarchy
6

TASK 3
P4 Management of brand collaboratively at both domestic and global level
It is important for organisations to manage their brands at domestic and global level. For
this purpose, there is need to adopt many effective strategies which helps to keep continuous
monitor over their brand value at both domestic and global level.
Brand leveraging: It is effective strategy which is used by the organisation to enter into
new market. It includes the process of using the power of the brand name to entering into new
but related product category. It helps in growth activities of organisation.
Brand Extension: It is effective method which is used by the organisation to launch their
new product in different category by using the same brand name. The organisations uses this
strategy with the hopes to leverage its existing customers and their loyalty and trust to increase
their profits and sales (Hwang and Kandampully, 2012).
Brand leverage and extension: Both these strategies plays an effective role regarding
management of the brand at both domestic and global level. By using these strategies, Apple and
Samsung launch their many products in different countries under same brand name to use its
brand power to capture market and increase their sale. For ex., Apple through using brand
extension approach launch products like I phone, Mac Book etc. On other hand, Samsung using
this strategy to provides, mobiles, refrigerators, AC etc.
Difference between Brand extensions and Line extensions
Brand Extensions Line Extensions
It provides about expansion brand at new
market place
It includes the process of extension of current
goods
Launch of new products into new countries and
markets
It includes the extension of current product line
It includes such products having different
features, ingredients, flavours etc.
It includes introduction of the additional items
in same product category
Brand Extension Strategies
Under this Ansoff matrix is used by Apple and Samsung regarding management of brand
at national and international level. The key features of this strategy is defined below:
7

 Market penetration: It is effective approach which is used by the management of both
Apple and Samsung to expand their business operations with the help of existing
products in the current market segment where they already have their business activities.
It is effective approach which helps to increase their market share and profitability.
 Market development: This approach is mainly used to capture new market segments
with the helps of their existing products. Apple and Samsung are two big brands which
uses their name to develop their market share and start their business activities in new
market.
 Product development: This includes about development of new products to satisfies the
demands of their exiting customers which are present in existing market segments. This
helps to to enter into new product line bys using their brand name and old customer base.
 Diversification: This approach provides that development of new product regarding
entering new markets. It is effective approach which helps to increase the line of products
and market share by proving it new customers. Existing Brand equity of Apple and
Samsung helps to achieve such goals (Jiang and Iles, 2011).
Collaboration and partnership agreements
Brands are considered as effective tool which helps to differentiate the products of
company from their rival on the basis of their cost, features, quality, packaging etc. Apple and
Samsung are strong brand having good image in market which provides opportunity regarding
effectively compete with their competitors. The main objective of both organisations is to build
strong brand name which helps to attract large number of customers.
TASK 4
P5 Different types of techniques for measuring and managing brand value
It is important for every organisation to maintain their position in market to accomplish
their targets. Large number of issues are faced by organisations to attain sustainability in their
performances. So, it is important for organisations to research about market and satisfies the
different demands of customers to ascertain their trust. To make sustainability big organisations
like Apple and Samsung are required to measure the brand value on continuous basis. It helps to
know about their current position and preparation of strategies which improve their brand equity.
Techniques of measuring and managing brand value
8

Large number of techniques are available which is used by the organisation in
measurement of brand value like Brand awareness, Market share, consumer attitude, purchasing
intent etc. The most two approaches which are used regarding measuring the brand value of
Apple and Samsung are mentioned below:
 Brand Awareness: It is effective approach which includes about ascertain the popularity
of brand between customers and market. Customer's feedbacks are considered as
important part regarding determination of brand equity of Apple and Samsung. A leading
indicator of consumer awareness is calculation of the amount of time brand comes up in
every day news about their products and services offered by them. As large number of
methodologies are available regarding measurement of brand awareness among
customers which are mentioned below:
- Surveys and focus group
- Web traffic
- Social mentions and reviews
 Customer brand attitude: This includes about measurement of brand equity on the basis
of experiences that consumers have with brand. This includes about the ascertainment of
of the customers attitudes and views about their quality, expectations, experience, current
services etc. It helps to determine that how much customers are satisfied with the services
of Apple and Samsung (Som and Blanckaert, 2015).
Approaches to valuing brand
 Research based approach: It is effective approach which includes the use of research
methods which helps in examination of the performance level of both brands. Such
research helps in identification of customers behaviour and factors which are present in
market to make their brand successful.
 Financial driven approach: This includes about identification of the financial
performance of Apple and Samsung in market. Different approaches are given below:
- Comparable: It is effective approach which includes identification of cost of rivals product.
- Cost based: This includes assessment of brand value by aggregating all costs which are spend
by organisation to make popular in market.
Tracking techniques and Brand Equity audit
9

Apple and Samsung are two big brands which uses different approaches of audit to
ascertain their existing position of brand in market. The stage of audit are mentioned below:
 Market context: Under this audit, needs to identify such factors having their negative
impact on brand equity. It is important to evaluate such factor to understand about such
consequences (Wallace, Buil and de Chernatony, 2014).
 Weaknesses and strengths of brand equity: It incudes determination of brand loyalty,
market share, image etc.
CONCLUSION
It has been concluded from the above report that, brand-management is effective to make
sustainability in their performances. Apple and Samsung are two organisation which accomplish
their targets on the basis of their good brand image in market. Large number of benefits are
achieved by both organisation like improved profitability, large market share etc. CBBE is the
effective model which is adopted to improve their brand value to attract large number of
customers.
10

REFERENCES
Books and Journals
Ashworth, G. and Kavaratzis, M. eds., 2010. Towards effective place brand management:
Branding European cities and regions. Edward Elgar Publishing.
Brodie, R. J. and et. al., 2013. Consumer engagement in a virtual brand community: An
exploratory analysis. Journal of Business Research. 66(1). pp.105-114.
Buil, I., De Chernatony, L. and Martínez, E., 2013. Examining the role of advertising and sales
promotions in brand equity creation. Journal of Business Research. 66(1). pp.115-122.
Christiaans, L., 2012. International employer brand management: A multilevel analysis and
segmentation of students' preferences. Springer Science & Business Media.
Dempsey, J. M. and Gruver, E., 2012. “The Public Interest Must Dominate”: Herbert Hoover
and the Public Interest, Convenience, and Necessity. Journal of Radio & Audio Media.
19(1). pp.96-109.
Hollebeek, L., 2011. Exploring customer brand engagement: definition and themes. Journal of
strategic Marketing. 19(7). pp.555-573.
Hwang, J. and Kandampully, J., 2012. The role of emotional aspects in younger consumer-brand
relationships. Journal of Product & Brand Management. 21(2). pp.98-108.
Jiang, T. and Iles, P., 2011. Employer-brand equity, organizational attractiveness and talent
management in the Zhejiang private sector, China. Journal of Technology Management
in China. 6(1). pp.97-110.
Som, A. and Blanckaert, C., 2015. The Road To Luxury: The Evolution, Markets and Strategies
of Luxury Brand Management. John Wiley & Sons.
Wallace, E., Buil, I. and de Chernatony, L., 2014. Consumer engagement with self-expressive
brands: brand love and WOM outcomes. Journal of Product & Brand Management.
23(1). pp.33-42.
Zaglia, M. E., 2013. Brand communities embedded in social networks. Journal of business
research. 66(2). pp.216-223.
Kavaratzis, M., Warnaby, G. and Ashworth, G. eds., 2014. Rethinking place branding:
Comprehensive brand development for cities and regions. Springer.
Li, G., and Kambele, Z., 2012. Luxury fashion brand consumers in China: Perceived value,
fashion lifestyle, and willingness to pay. Journal of Business Research, 65(10).
pp.1516-1522.
Morgan, N., Pritchard, A. and Pride, R., 2011. Destination brands: Managing place reputation.
Routledge.
Online
Brand Management - Meaning and Important Concepts. 2017. [Online]. Available
through.<http://www.managementstudyguide.com/brand-management.htm>.
11

12