Brand Equity and City Branding Strategies

This assignment delves into the crucial connection between brand equity and effective city branding strategies. It requires students to examine various frameworks and models used in building a strong brand for a city or region. The analysis should encompass key elements of brand equity, such as perceived value, customer loyalty, and brand reputation, within the context of place branding. Students are encouraged to utilize real-world case studies to illustrate successful city branding initiatives and demonstrate how they leverage brand equity principles.

BRAND
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
SECTION 1......................................................................................................................................1
P1............................................................................................................................................1
P2............................................................................................................................................3
SECTION 2......................................................................................................................................5
P3. ..........................................................................................................................................5
P4. ..........................................................................................................................................7
P5. ..........................................................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Brand management is a process of planning and analysing that how respective brands can
be perceived in the target market (Park, 2013). Main motive of this entire process is to maintain a
healthy relationship with customers because they are the mouth publishers of brand. If customers
are satisfied then they give positive feedbacks to others. This include tangible and intangible
both factors therefore, tangible are; packaging, cost of product, physical appearance. On the
other hand, intangible are; feedback of customers after using product, image of brand in market
etc. the assignment is settled on Microsoft company which is an American international
technology organisation founded in the year 1975. Products served by them worldwide is
windows, Skype, office, Visual Studio, etc. Below mentioned report explains the value of brand
as a marketing tool or keys for successful brand image building and managing brand equity
(Ashworth, 2010). Through light on, various scheme of brand hierarchy, portfolio management
and equity management . At the end explain techniques for measuring and managing brand
value.
SECTION 1
P1
Brand is playing an important role now a days because people purchase products with
brand name. Every venture owner is running to create positive image of their commodity and
work in market. The entire process done with the help of good quality, innovation, creativity and
affordable price of products. Every organisation has to do market research and then produce
product so that they can satisfy their customers by producing products according to their tastes
and preferences.
In this competing surroundings, it is needed for every organisation to make up a
optimistic brand picture in the eyes of customers and this can be done with the help of providing
goods and services according to needs and wants of them (Bigné, 2012). Branding is the way by
which venture and start-ups can distinguish their new products which they bring in market from
existing goods. This helps in enhancing and encouraging customers towards products and
services offered by them and after that, convert them into loyal customers. Branding as a
merchandising tool and the manner it come out in business activity is explained as below:
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 Brand provides competitive advantages: For every type of firms whether it is small,
medium or large positive brand image help them in competing with other companies in
competitive business environment. Organisation apply various tools and techniques for
creating brand image and value in market. This entire process will help organisation in
achieving their goals and objectives.
 Brand provide a stable assets: For making stable assets, branding is an essential tool
required in organisation. This helps in creating long term profits which is necessary for
maintaining in the market (Brodie, 2013). Sometimes, it happens that company
manufacture products get fail for this they have to do some innovation in their goods that
was failed. Microsoft is the famous brand since 42 years instead of this more brand come
in market within this period.
 Brand set Expectations: Customers expect something from the brand they are
purchasing even the respective brand also promise to their audience. If organisation failed
to fulfil these then it will gives bad impression in the eyes of customers. Various products
served by Microsoft to their customers according to latest technologies and needs. By
offering best quality of products and services this help in creating positive image of
organisation.
 Create loyal customers base: Every organisation wants loyal customers same Microsoft
also. So for this they create various strategies and do planning for making image in the
eyes of customers. Thus, customer will be satisfied and can create goodwill in market.
 Establish credibility for product: In this company do planning and establish effective
strategies for developing brand image and maintaining good will in market. For this
process, organisation has to maintain the quality of products and services offered by them
(Buil, 2013).
Brand and its products; both are different from each other most of peoples are confused
in this. Below given explanation clarify the difference between both:-
Brand Product
Brand is experience and perception of
customer and expectation of buyers for product
and services offered by the particular brand.
Products are manufactured by a particular
company and sold in market to target
customers in exchange of money.
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Brand is in intangible form (Nam and Pardo,
2011).
Product is tangible because they are in physical
form.
Brand is unique other companies don't have
right to copy goods and service of a particular
company.
Competitors can copy products in the form of
substitutes and then bring in market.
P2
Organisations main motive is to create positive image of brand in market and also build
goodwill this is necessary for every company for remaining in competitive market. This process
is settled on expectation, perception and experience of customers. Every organisation have
different strategies, tools and techniques which help in creating loyal customers as well as in
building positive brand image (Christiaans, 2012). If buyers are mitigated with product or
services offered aside Microsoft then they refer the same to other people thus, they are mouth
publisher of respective brand. Microsoft is popular and famous brand they always come with
various innovative and creative products. Some product are unique and they easily capture
market and the same company serving their product worldwide. Qualitative measurement helps
in deciding reputation of a brand.
Plan of action that assist in increasing brand value are mention below:-
 Brand awareness- for creating awareness about a particular brand company organise
various event, promotional activities and advertisement tools. It is important for
Microsoft that product and services offered by them will be familiar and client knows
about them. Such as Microsoft is popular brand everyone knows about it even children's
also aware and well known about it. Brand awareness help in increasing value of brand.
 Brand Loyalty- when customer decide to buy product of a particular brand and on
continuous basis they are loyal towards that brand. This create positive image to that
goods and services offered by company. Microsoft serve variety of products and services
to customers but in the same sector many new organisations also coming with same kind
of goods and this is challenging for Microsoft (Dempsey, 2012). Thus, customers loyalty
work in this situation.
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 Regular product launches- Microsoft is a brand serving worldwide their product are
used by everyone in every country. They mostly comes with new technologies or with
some innovation in existing. This create value of particular brand in market.
Factors for building brand equity:
Illustration 1: Brand equity strategy 2017
Source:Brand equity strategy, 2017
Communication factors- this factors is beneficial in increasing growth as well as also in
generating more and more revenue as much as they can. If company properly communicate with
their customers this help in maintaining as well as in creating brand image in market and also in
eyes of customers (Dempsey, 2012). Communication should be proper and effective so that
customers knows about the new products company bringing in market.
Create more awareness- Microsoft use various techniques and tools so that market and
customers aware about the product and services offered by them. This entire process done with
the help of several tools and techniques. For every company it is difficult to survive in
competitive market because every sector have various companies and they are competitor of
each other. Same Apple is the competitor of Microsoft.
Strategies- this is the technique which vary from company to company because every
organisation have their own strategies. Several techniques and tools are used by organisation to
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set their objectives and goals. They have to decide vision in advance so that respective company
work according to that in effective manner (Morgan and Pride, 2011).
Major problems faced by company:
Build Brand: company requires well trained and qualified employees so that they can
satisfy need and wants of customers with the help of market research. Thus, it help in creating
good relationship between company and their client.
Developing performance of market: Microsoft having various competitors in market
who are generating similar variety of products. So that they respective brand have to develop and
maintain their existing performance.
SECTION 2
P3.
Brand management is the procedure of creating consciousness among customers or fulfilling
their needs and wants. Mostly every company use this technique for achieving success with
proper brand management.
Microsoft is having good image in market and everyone knows about this particular brand. As
discussed earlier business environment is every competitive so respective brand have to
maintain their performance and value (Esch, 2014). Microsoft deals in various products at
international level like manufacturing, designing and merchandising computer hardware and
software system. Same company have to make various policies and strategies with the help of
this achieve their target and goals. Some strategies are given below:-
Portfolio management: - it is an effectual or to the highest degree famed strategies that mostly
use by the sizeable organisation who run business at large or sizeable level. This consider those
companies who are big in size or attribute and purpose aggregated brands, enhance, goods and
services and any other business. In this plan of action, the firm use their personal trademark
which requisite to be authorized by legal bodies and they have few legal rights that help in
distinguish them from some another challengers. Also Portfolio management is really
efficacious in group action or timing that determiner in achieving world-class result or outcome
in accurate way.
Brand portfolio strategy
Few strategies of brand portfolio are stated below-
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Corporate Brand: in this firm serve variety of goods and services with name of their own
brand (Merrilees, 2011).
Umbrella brand: This is find out several good that an administration supply nether a particular
brand.
Endorsed Sub brand: In this various component are offering with a abstracted brand which is
illustrious as genitor organisation (Zaglia, 2013).
Product: It is a straightforward plan of attack, in which company straight off merchandising
their goods without any parent brand.
Management hierarchy of Microsoft
Umbrella brand: company serve various kinds of product for providing effective services to
customers in target market. For this Microsoft built proper strategy which is required to create
brand equity for supplying quality goods in market (Gratwohl, 2011).
Products: respective organisation provide several products to their customers like Skype,
Microsoft office suit, Windows Client, exchange server, Dynamic ERP, SQL Server.
Management Hierarchy of Apple
Umbrella brand: another company is Apple which is popular and famous. They use effective
plan of action to serve quality of products and services.
Products: iOS 10, iPhone, iPod, Keynote, Apple watch ,macOS Sierra etc.
Illustration 2: Brand Hierarchy
Source:Brand Hierarchy, 2018
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Brand equity: main goal of this is to attract more and more customers towards brand so that
they can earn monolatry value as much as can and become profitable organisation. For the same
Microsoft use various tools and techniques (Wallace, 2014).
CBBE model (customer based brand equity)
Kevin Lane Keller is the person who introduce this model. As per this company promotes
information and quality of its product in-front of customers. This model help in growing
business in the market targeted. Promotion is a marketing tool which help in enhancing business
and also in maintaining relation with their clients.
Advantages of CBBE model
Brand identifying: this is necessary tool used for identifying loyal customer and their relation
with particular brand (Hanna, 2011).
Brand meaning: This framework is really crucial for a company to initiate brand name that
helps to habits particular picture in market.
Brand response: it is related to customer’s awareness and firm publicity action for construction
particular image and repute of brand in market.
P4.
Brand is a necessary element of every organisation this is required to be managed or
well-kept by an administration or institution. Because with the name of brand, its market share
and value they can generate more and more revenue which is necessary for maintaining in
market. Brand represent the enterprise on frontal of buyers and also keep societal relations with
them. Microsoft and Apple; both is a MNC (multinational technology company) particularly in
the sector of IT (Information Technology) and both are located in United States.
Both same companies create and manufactures legal document and also trade in tablets,
laptops and desktops hardware with their personal operational systems as Windows and IOS to
its customers with various some other services and goods also. Products served by Microsoft are
Microsoft Azure, Windows, Microsoft Office, Skype, MySQL Server, Edge Web Browser and
many more whereas Apple Inc. sell iPhone, Apple Watch, iPad, IOS and so on. Both Apple and
Microsoft are contender of one another in the socio-economic market world-wide. Thus, brand
management is really important or necessary element for every and all company or brand to stay
and compete its competitor in this rivalry world (Hollebeek, 2011). Cooperation with various
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small-business or ventures is first way of exploding their market value with social-economical
repute and also for hold up their brand or trade name in this competing universe.
Brand Extension: it is most common and famous way for every brand this also help in
maintaining in competitive environment and also in creating good relation between organisation
and client for both existing and non-present customer.
The same process can be done by get together with present small scale-organisations or
with ventures through introducing fresh goods and services or by spread out old goods and
services (Hwang, 2012).
Strategies and approaches for extension of brands:
Here are various large scale and small scale business and they are handling with variety
of goods or offering and these companies are competitors of all other in this rivalry business.
Thus, it is necessary for all organisation to make their own strategies and maintain their brand
reputation and existing performance in market which is essential for competitive environment.
Every firm having similar goal and objective but way to achieve them are different this includes
attracting and encouraging people. If customers are satisfied with particular brand then the
respective organisation generate more and more revenue as well as loyal customers (Jiang,
2011).
Firms includes various promotional tools or techniques like advertisement, course of
instruction and meeting on regional or national issues, social media advertisement, commercial
ads meeting and through function for promoting their products or services.
Few approaches, play-acting and strategies are mention at a lower place which help them in
maintaining brand reputation with satisfied customers:-
Innovation: this is the technique which can easily work when firms comes with some
innovative product in market they easily attract customers and cover market. This also help in
maintaining good relation between client and company.
This can be done through innovation and creativity in existing products and services either by
cooperation, merger or by acquiring with another enterprises (Li, 2012).
Brand imaginations: this plan and action every organisation want to precede for
upcoming growth of their company, customer relationship and market share value.
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Through this method any existent large brand ,small-business or start-ups wants to spread
out their company and market worth by blending with different firms either they are freshly
ventures or small or coming together of two sizeable brands.
P5.
Brand value is necessary for organisation for its development in market. If brand having
value in market then it easily attract and encourage customers to purchase their goods and
services. This term generally support organisation and they can bring new product in market if
they are having values (Kavaratzis and Ashworth, 2014).
Some techniques and tools which help in managing and maintaining brand value are
explained below:-
Clarification of brand value: this tool help company in clearing way in competing
market and also for maintaining performance in finer way. Somehow, it also consider two factors
and those are soft line and hard line. Microsoft and Apple use more effectual and economical
tool and technique so that they can create need in a market. Although all such will assist in
having a finer encouragement technique in correct direct comparison.
Identify the behaviour of customer toward brand: both respective companies analyse
behaviour of customers towards their product and service which is necessary for satisfying
customers and after that provide them according to their taste, preference and demands.
Moreover, both respective company do market research and analyses so that they can do
everything in appropriate manner (Lucarelli, 2011).
SWOT analysis of Microsoft Company:
Strength- this is a reputed and famous brand worldwide. Whereas Microsoft use advance
technologies this help them in easy capturing market as well as satisfying customers. Apart from
this company is serving people from 42 years and this is well known among everyone through
this firm earn much revenue and now they are financially stable as well as strong.
Weakness: every organisation have some weakness same as Microsoft also have one of
them is legal proceedings and lagging in the innovation (Som, 2015).
Opportunity: Microsoft is looking for providing better software to their customers so
that they can work efficiently and effectively which help them in achieving goals and objectives
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easily. Another, opportunity is Smart phone market because now a days demand for mobile
phones are increasing day by day.
Threats: as per discussion IT sector is having very much competition and every
company coming up with some innovation and creativity so competitors are threats for
Microsoft. Instead of this, mobile phones of Microsoft don't have good reputation in market
when these phones are launches they don't satisfy customers and create bad image in market
(Torres, 2012).
CONCLUSION
From above mention assignment it is concluded that brand management is all-important
for every organisation to maintain in competitive market. This report is based on Microsoft and
its competitor is Apple both are same sector company. This report include importance of
branding as merchandising tool and some key strategies of portfolio management. In the end
SWOT analysis of Microsoft Company is done for providing appropriate information.
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REFERENCES
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Online
Brand equity strategy, 2017. [Online]. Available
through<http://regions.cim.co.uk/london/home/news/2015-october/studying-or-not-why-
brand-equity-matters/>
Brand Hierarchy, 2018. [Online]. Available through
<https://www.bruceclay.com/blog/branding-hierarchy-of-needs/>
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