Key Components of Brand Strategy

Brand Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Importance of branding as a marketing tool and its emerge in business practice.............1
M1 Evaluate how brands are successfully managed through utilising appropriate tools,
approaches and models...........................................................................................................3
P2 Key components of prospering brand strategy to build and manage brand equity...........3
M2 Implement of appropriate example with in context of respective organisation...............5
TASK 2............................................................................................................................................6
P3) Different strategies of Brand portfolio management, Brand hierarchy and Brand equity
management............................................................................................................................6
TASK 2............................................................................................................................................8
M3 Analyse of portfolio management, brand equity and brand hierarchies..........................8
TASK 3............................................................................................................................................8
P4) Evaluate how brand is managed collaboratively and in partnership both at domestic and
global level.............................................................................................................................8
M4 Evaluation of different technique used for leverage and extend brands..........................9
TASK 5..........................................................................................................................................11
P5 Evaluation of various types of techniques for measuring and managing brand value by
using specific organisational examples................................................................................11
M5 Evaluation of different application for managing and measuring brand value..............12
D1 Critical evaluation that is supported by justified evidence demonstrating a comprehensive
understanding of branding within an organisational context...............................................13
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
The term brand management can be defined as a set of tactics that is used for enhancing
worth or value of a product and service. With appropriate brand management it is unstrained for
company and management to enhance customer base which are loyal towards organisation. The
main motive of brand function is to improve the value of products for formulating them as a
brand that is different from competitors. This report is written from point view of Marks &
Spencer that is a British international organisation situated in Westminster, UK. Food, clothes
and home are specific products that are sold by M&S over its 600 stores at marketplace
(Bhushan, 2012). A discussion is made on the importance of branding and key components of
successful brand strategy under this assignment. Along with this, different strategies of portfolio
management and the evaluation that how brand are managed at global and local level.
TASK 1
P1 Importance of branding as a marketing tool and its emerge in business practice
Definition of branding- Branding can be defined as the person or individual perception
about organisational products, service and experience which is offered by organisation to its
customers. In simple terms brand is a name which demonstrate single entity related with
products.
Brand equity- The term brand equity can be defined as a marketing term which
demonstrate brand value of products offered by a firm to its consumers. In context of Marks &
Spencer, its consumer perception and experience decide the brand value of organisation by
determining demand of products. Moreover, M&S is operating their business from more than a
century due to which management is charging more price for its products.
Brand and brand pyramid- Brand works as an effective tools that is used to
characterise products and its feature within a effective manner. On the other side, brand pyramid
refers to a model that demonstrate various steps that consider brand idea, brand product persona,
emotional benefits, functional benefits and features. It leads to enhance value of overall products
and services offered by M&S.
Advantages- This leads organisation to gain top position in market by convey their
strategy with all stakeholders. Like Mcdonald's is demonstrating their products with transferring
their message to customers and employees by enhancing brand value.
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Disadvantages- Coca-cola is facing tough competition in beverage industry that is
directly impacting on price factors. So with brand pyramid variable cost or expenses also
increased for organisation.
Benefits of branding
 Branding leads organisation to stand different in saturated in market by demonstrating
products within attractive and creative manner.
 With the high brand value it is easy for organisation to gain more benefits such as to
charge high price from customers for their products.
 Strong brand image can help in building high business value which gives it a leverage in
market and helps it in attracting more customers so that company sales can increase.
 Buying a branded product also help in improving the pride and satisfaction of customers
which help in increasing their sales.
 It also help in increasing employee productivity while working for established brand. Branding helps the company in improving its market share and increasing its profits as
the number of customers can be increased based on brand image of company.
Development of brand equity- To build a brand successful there are various tasks are
required by organisation to perform their work by using creative marketing and banding
strategies. This refers to manage strong brand equity due to which management is able to take
competitive edge in market. Some steps for the development brand equity is mention as follow:
 Introduction of quality product into marketplace- M&S is operating its business at
global level. So, it is mandatory for management to provide similar quality of products
to customers among all world (Cavender and Kincade, 2014). Packaging, label and
delivery of products are some aspects that represent value of products.
 Monitoring trends and competitors- With strong brand image, M&S becomes able to
espouse changes such as alternations in trends of clothers that take place in market. In
order to overcome from changes due to modification in market, management must
monitor trends and competitor policy in market.
 Building consistent brand image- With formulating positive image about the products
and services in market company is able to enhance their sales with in effective manner.
(Du Preez and Bendixen, 2015). This is analysed that it is easy for organisation to
formulate affirmative perception of products among mind of consumers.
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 Consistency of brand messaging- While creating brand image, it is essential to ensure
that it is elementary for management to develop brand that is worthy and more value
through utilising better resources.
Successful brand- Marks and Spencer, ASDA and TESCO are the most important and
successful brand which leads management to achieve huge success in market. Along with this
brand management perform an essential role as it demonstrate company products in unique way.
Unsuccessful brand- Nokia is the another example that lost their brand because of not adopting
changes within organisation due to which organisation again reinvest huge amount in operations
to establish them as a brand. (Cavender and Kincade, 2014)
Roles of marketing in building brand equity- In marketing, brand equity refers to those value
that is determined by consumer perception. Positive and negative are two aspects of brand
equity. If consumer think high about brand them it is an advantage aspect for organisation on the
other side. If company fails to match product with customer expectation than brand equity will
be low in market. Some aspect which demonstrate role of marketing is mention as follow:
 Marketing manager ensure innovation about product and brand to generate more value by
price, packing and implement of colours in organisation by using effective new design
techniques and software for company products.
 With the implement promotion techniques such as aggressive marketing for food
segment, mouth to mouth publicity for clothes segment leads management to improve
their goodwill within effective manner by promoting goodwill in market.
Strategic management- In the present scenario, majority of the organisation are performing
their work at global level. This refers it is mandatory for Marks & Spencer to perform all work
by implementing effective strategies that leads management to complete task and operations with
effective approach (Hollebeek and Chen, 2014).
The Aaker model was developed by David Aaker which helps businesses in determining
how they can attain brand equity. The model views brand equity as a set of five categories which
are brand assets and liabilities which helps in adding or deducting the value of company's
products to customers. All the 5 categories of this model are: Brand loyalty: It is the brand's currency in the model of brand equity which helps in
building strong brand image of company. Higher the brand loyalty help the firms in
reducing its marketing costs.
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 Brand awareness: More the brand awareness of company in the market more are the
chances of increasing the sales of company. Perceived quality: It relates to the perception of customers related to brand which help it
in attracting customers. If the perception regarding a brand is high then the company
sales will automatically increase. Brand associations: It is the extent to which the association of brand help it in
differentiation, creating a positive buyer attitude etc. so that the company sales can
increase.
 Other proprietary assets: These are the patents, trademarks and channel relationships
which help in building brand image of company.
Brand strength- It work as one of the most effective tool that leads organization to gain
top position in market. This refers major strength for brand is to complete all task and operations
by increasing brand value in their products.
Brand audit- The term brand audit is to analyze current position in market as it leads
companies to analyze market competitors. It is also used by Unilever to review effectiveness of
their work that helps to analyze strength and weakness of organizational work.
Consumer attitude- Buyers are most essential part for an organization that leads
companies to enhance their profits effectively. It also refers that there are various task and
operations such as to offer discounts, advertising products to attract and influence more
consumer towards organizational products and services.
M1 Evaluate how brands are successfully managed through utilising appropriate tools,
approaches and models
According to present market conditions several operations such as production, planning
of resources and managing human task are some of the major task which are performed by
companies at global level. So it is mandatory for management of M&S to implement several
approaches such as economic approach to understand monetary aspects of market and internal
finance department of organisation. Along with this marketing mix and Keller's model also helps
management to develop systematic framework in organisation through delegating roles as per
workforce role. This results all functions which are performed by management will be completed
in exact manner. In the last, by understanding behaviour and values of each customers it is easy
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