Brand Management: Concepts and Strategies

This assignment delves into the critical aspects of brand management, encompassing fundamental concepts, key strategies, and their influence on organizational performance. It examines various theoretical frameworks, practical applications, and real-world examples to illustrate the multifaceted nature of brand building and maintenance in today's competitive landscape. The analysis highlights the importance of ethical considerations, consumer perception, and market trends in shaping effective brand management practices.

BRAND
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
SECTION 1......................................................................................................................................1
P1. Significance of branding as a marketing tool and the way it emerged in a business practice
.....................................................................................................................................................1
P2 Key components of successful brand strategy.......................................................................4
SECTION 2......................................................................................................................................8
P3 Different strategies of portfolio management, brand hierarchy and equity management......8
P4 Management of brands in partnership both at domestic and global level..............................9
P5 Different types of techniques for measuring and managing brand value............................11
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
A brand cab bee defined as a term which is used to determine a product and its features.
It can be in the form of name , symbol, design or ant other element through which the product
can be differentiated from its competitors. Basically it is used to promote the product in the
market in such a manner that the customers cannot forget it (Annie Jin, 2012). So, brand
management is all about managing the brand in the market so that the company can gather more
and more customers and increase their market share. It is also considered as one of the beneficial
tool used by the marketing managers so as to gain the trust of the customers. This project will
help in understanding brand management in a deep manner. It will also explore various tools and
techniques that can be used by marketing team for maximising brand value. Along with this, key
elements of successful brand and the schemes of managing portfolio will also be covered in the
project. Also, the various techniques that will be used by the companies to popularize themselves
in the market so as to achieve their goals and objectives will also be covered. The popular brands
hat will be considered here are Audi and Hyundai. They are the popular automotive companies
that are enjoying a global brand image.
SECTION 1
P1. Significance of branding as a marketing tool and the way it emerged in a business practice
BRAND :
Definition of brand - A Brand can be defined as a name which is given to an product or a service
so that they can create an identity of themselves. It can in any form like design, symbol, feature,
term etc. It is basically done by the companies so as to make a place from their product in the
market and also it will be used by them so as to distinguish their product from other products in
the market.
It can be said that if a brand is having good image in the market them they will be able to
gather more and more customers as people will be able to remind it at then time of doing any
kind of purchase. This strategy is used by almost all the companies so as to increase their sales
volume as well as satisfying the needs and demands of the customers (Balmer, Liao and Wang,
2010).
Audi and Hyundai both are top automotive companies that is serving their customers
since many years. Their products are of highest quality and are having latest features as well and
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that is the reason they are being liked by the customers a lot. Audi is considered as a part of
Volkswagen company which is also a very famous company across the world (Baumgarth,
2010). Audi initially gained its market share because of its parent company Volkswagen but later
on Audi made their own image in the market through its good quality products and services.
Differentiate brand from product/logo :
Brand Product
 It is something that distinguishes a
product from another product in the
market.
 It cannot be copied easily as it is having
features that is different from other
products.
 It is created by customers.
 It can be categorised in both tangible as
well as intangible form.
 It can be considered as an item that is
present in the market already for selling
purpose.
 It can be copied very easily.
 It is basically created by manufactures.
 It is always in intangible form.
Importance of branding : It is very important for every company to do branding of their
products as it will provide various kinds of benefits to the company. They are like:
 It will help them in building customer loyalty because of which the customers will never
stop buying products of the company.
 Once the brand is liked by the customers then they expect the same product quality from
other brands they buy as well.
 The customers will also prefer and believe the new products launched under the same
brand like if Audi will come up with their new series car then they doesn't need to do any
kind of advertisement. It also help s in creating an image of the product in the market.
Building good impression :
If a brand wants to gather more market share then they will have to serve the customers
in the best possible way and try to satisfy the needs and wants of the customers (Bergkvist and
Bech-Larsen, 2010). This will help them in making good impression in the minds of the
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customers . This image will only help them in gaining more and more market share and become
successful as well.
PURPOSE/ROLE OF BRANDING AS A MARKETING TOOL
 Build consumer loyalty : A good brand helps the company in gaining loyal customers as
they like the product so they will come again and again (Braun, Kavaratzis and Zenker,
2013). So, branding is required by the company so as to make their presence feel in the
market to the customers.
 Generate sales/profit : Through branding companies can gather more market share
where they will sell their products and services. So, it is also help them in generating
more and more profits in the market.
 Secure premium pricing : As it is known that the branded products are generally costly.
This is because the products that are sold by the company is generally of high quality and
they also add their brand image cost in the product. So, the branded products are
normally costly.
 Build awareness : Through branding the companies are able to make the customers
aware about the products they will be selling in the market. It is done by the marketing
team of every company. It is necessary to be done because then only they will be able to
make their products sell.
BRAND EQUITY : A brand equity can be defined as a total value of the brand as a separate
assets. It can be derived from large recognition, customer loyalty and market share of the brand
in the market. It is also considered as a major factor that helps them in fighting with the problem
of brand parity.
From the marketers point of view, brand equity can be considered as one of the factors
that helps in increasing the financial value of the company in the market (Burmann and König,
2011). There are various elements that are used while doing valuation of brand equity like;
Recognition of logo by the customers, profits margin of the company, changing market share etc.
SOURCES OF BRAND EQUITY : The various sources of Brand equity are:
 Brand Awareness – This is generally considered as the first step in equity building
process. Through this the customers are made aware about the product that is present in
the market.
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 Brand Associations – It is anything which the customers think of or relate it with the
brand (Freling and Forbes, 2013). It can be in any form like voice, language, experience
etc.
 Perceived Quality – If the brand products is of good quality as compared to its
competitor's products or services then the companies will be able to gain more market
share.
ELEMENTS OF A STRONG BRAND :
 DESIGN AND BUILD : The design of the logo of company's brand helps the customers
in remembering the brand and thus if the brad has made their place in the minds of the
customers then it means that it is a strong brand in the market now.
 LOGO : It is a kind of identification symbol that is present in every brand and through
which they will be recognised in the market and by the customers as well.
 RECOGNISED : If a brand is recognised by the customers in the market where there are
lots of other products as well then it will be proved that the brand is having a strong
presence in the minds of the customers.
 QUALITY: If a brand is providing goods and services to its customers then they will be
able to make the customers satisfied which will later on help them in making their brand
strong.
P2 Key components of successful brand strategy
HOW ARE BRANDS DEVELOPED AND MANAGE OVER TIME:
One of the main issue that is faced by the brand managers of Audi and Hyundai or any
other company is to keep their brand up to date and as per the current trends that is going on in
the market. For this, the brand managers have to do a lot of research so as to know that what is
trending in market or what new is going to enter in the market . Also they are required to have a
close watch on their competitors as well so as to know what type of product they are serving to
their customers. In case of Audi, their manager should know that which new technology s being
invented which can make their car more advanced so that the customers like it more (Gatti,
Caruana and Snehota, 2012). So, in order to do brand management over time, companies has to
strengthen their brand equity by developing and implementing various types of marketing
programmes through which hey will expand the brand knowledge of the customers so that they
do not get confused between the brands.
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BRAND REINFORCEMENT : It can be defined as a process which is some by the company so
as to make sure that the customers who have used the services of the company once should come
back again along with few other new users as well (Iglesias, Singh and Batista-Foguet, 2011).
Its main aim is to deal with two kinds if issues which are:
 what the product is actually representing, what are the core benefits of the product they
are supplying. It also deals with the problems of how to make the brand superior in the market and
making it more strong and favourable.
BRAND REINFORCEMENT STRATEGY : The various strategies that are used by the brand
managers so as to reinforce the brand in the market are :-
 BRAND AWARENESS : In this, the company tries to make the consumers known about
the kind of products they are offering under that brand. Through this strategy, company
can place their product in the minds of the customer. Since Audi and Hyundai is having
good market share already so now they need not to do any brand awareness as the
consumers know about it already (Spence, M. and Hamzaoui Essoussi, L., 2010). BRAND IMAGE : It is an image which is made in the market and also in minds of the
customers of the product by the company. This is achieved by the company by giving
good services continuously to the customers so that they generate a trust and belief for
the company.
BRAND REVITALISATION STRATEGY :
It is often observed that a brand that was once on top is now performing really low in the
market. This also makes the products getting removed from the minds of the customer. Here,
basically changes in one or more factors is involved (Kapferer 2017). The factors are like
Packaging, styling, logo, jingles etc. The various strategies that can be used by companies so as
to revitalise their brand are:-
 Becoming Customer centric – It is very important for the companies to know the
importance of their customers because they are the only one that is responsible for
making their company successful (Gyrd-Jones, R. I., Helm, C. and Munk, J., 201).
 Renaming the Brand - It can also be used as one of the strategy so as to revitalise the
brand. Through renaming the company will start from the starting.
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 Amplifying the Brand Story - If the companies wants that the brand connects with the
connects with the customers then they will have to do something unique and creative so
that they can attract the customers towards them.
(Source: Brand Revitalization strategy,2018)
MAIN CHALLENGES DEVELOPING A BRAND: Development of a brand is very much
necessary but it is also to be observed that it will involve a lots of money, time and energy
(Keller Parameswaran and Jacob, 2011). If Audi or Hyundai will try to develop their brand in a
new market then the type of challenges that can be faced by them are :- EXPENSIVE - It is a very costly process as all the activities will be conducted by the
company once again so , it is required that the company should have enough money so
that they can invest in this process. BARRIERS TO ENTRY - It is also the case sometimes that a company is not allowed to
do their business in a particular country due to some reasons so it is considered that
before making plans to enter into a particular country so that they do not face any
situation like this. WINNING CONSUMER LOYALTY – It is also a challenge for the companies so as to
gain the customer loyalty as there are various types of brands available in the market and
wherever they will find less cost or cheap products they will go and buy that only.
THE STAGES OF BRAND DEVELOPMENT
In order the access the stages of brand development, Keller's brand equity model is used.
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Illustration 1: Brand Revitalization strategy

 CBBE MODEL ( BRAND RESONANCE PYRAMID )- It is the most commonly used
model for Consumer based brand equity. Here , Keller has put the whole model in a four
level pyramid (Kunerth and Mosley, 2011). The main aim behind creating this model is
to simply build a strong brand that is based on consumers so that they should more of that
product and also introduce it to their fellow people as well. The steps that are involved in
this model are :
◦ Brand Identity - In this, the brand managers use market segmentation and unique
selling preposition tools so as to aware the customers about the product and also make
an identity in the market.
◦ Brand Meaning – here, the main aim of the marketers is to identify and
communicate what the brands means and what does it stands for.
◦ Brand Response – through this the marketing team tries to know the views and
feelings of customers towards the brand.
◦ Brand Resonance – Through this the company tries to make each of their brand
connected with the customers so that they can grow a strong bond with them
(M'zungu, Merrilees and Miller, 2010).
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(Source: Brand Resonance Pyramid,2018)
SECTION 2
P3 Different strategies of portfolio management, brand hierarchy and equity management
PORTFOLIO STRATEGY :
A brand portfolio can be defined as an umbrella in which all the brands and their brand
lines of a particular company is doing its operations so as to satisfy the needs and demands of the
customers. In a simple language, brand portfolio means a document in which all the products of a
particular company is placed at one place. But only those companies who are producing various
kinds of goods and services can only make a portfolio.
A brand portfolio strategy is designed by the companies so as to use their different brands
as well as branding elements to get profit in the market. Through this, the company tries to
answer the following questions:
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Illustration 2: Brand Resonance pyramid

 can a new brand be added in the portfolio?
 Is there a need to prioritize the brand?
 Should company get rid of any of its brands ?
Through these strategies, companies also comes to know about how to develop the whole
brand structure by using factors such as sub-brands, endorser brands, branded ingredients.
PORTFOLIO MANAGEMENT STRATEGIES FOR AUDI & HYUNDAI : The strategies that
will be applied by Audi and Hyundai so as to manage their portfolio are :-
 Active Portfolio Management strategy : This strategy is required to be considered by
companies and managers who are having potential to take risks in the market. Through
this they will be able to achieve better and appropriate outcome in the market
(McDowell, 2011). Another important factor tat is required to be considered here is that it
is used by those brands who are having good market share and strength. Hence, this
portfolio management strategy indicates about an deep market research so that improved
and impressive returns can be computed for gaining better outperforming and context in
order to maximise return and best suited out-frame (Meskendahl, S., 2010).
 Passive Portfolio management strategy :- Normally, this strategy is used by those
companies that are not willing to take much risks in the market but wants growth and
development in the company (Qian, 2014). It is also considered as important for business
to apply relevant factors so that they can gain suitable returns.
BRAND ARCHITECTURE OF AUDI & HYUNDAI
A brand architecture can be defined as a structure of brands within the company. It
defines the manner in which the brand's within the company's portfolio are related to or is
differentiated with one another (Allman, H. F. and et. al., 2016). It can also be said as an
integrated process of brand building by making brand relationships among branding options.
The models of brand portfolio are:
 Branded House :- In this , the brand managers use a single brand across all the various
products and categories. Through this they can easily create a full focus on the brands and
also maximizes scale as well (Smith, Smith and Wang, 2010). House of Brands – In this, the brands are independent and disconnected as they don't
relate with each other as well. It is considered as one of the most powerful model for
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brand portfolio. In this,normally the company owns a no. of different brands in the same
category.
Basis Umbrella brand Products
AUDI Like AUDI is a brand name and there are
different vehicles get communicated by an
organization consider as umbrella.
products are the items that satisfies the
needs of the clients effectively. Items
and brand are totally vary from each
other like results of AUDI are A4, A6
and so forth.
Hyundai Hyundai is also having goods and services
under one umbrella. Through this the
whole company can make their products
sell in the market.
There are various components that are
used by organisation keeping in mind
the last goal to which they can keep up
proper development and fulfils clients
too. Well known results of Ford are
Fiesta, Flex, Edge and so on.
P4 Management of brands in partnership both at domestic and global level
Expansion of brand is very important so as to develop the clients as well as gaining their
trust as well. It is very essential for the organisations to perform well in the market so that the
customers notice the company and gets to know about it (Solomon, 2014). So, in order to make a
brand effective, it is very important that it is known to the people.
BRAND EXPANSION – It is done by those type of companies who see opportunities for
growth in the market (Huili, Y. A. O. and et. al., 2016). It offers chances to customers in buying
the products as per the needs and wants. Extension approaches for brand management are:-
 LINE EXTENSION – In this, the company targets a new customer segment or focuses
on a whole new customer base by evaluating a new world with the help of parent brand
serve. Through this the market area gets enhances and thus bringing growth and
development to the company. Audi can make effective use of this brand extension but for
this they need to find an appropriate area where they can do expansion. Audi is having its
presence in most of the countries and are successfully running its business as well.
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 CATAGORY AUGMENTATION – In this, the categories of the brands is increased by
the company. The marketers can make use of parent brand so as to enter into a new
marketplace. In this, the company will directly introduce a new category and then new
products into that category. Audi is also having an opportunity to enter into a new so that
they can gain better market share and results.
So, these two are considered as strategies which can be use by used by Audi and Hyundai
so as to make a better place in the market and maximise revenue of the company. This will also
help them in gaining good image of the brand in the market. Both Audi and Hyundai is a very
big company but Hyundai needs to develop themselves more in terms of luxury vehicles. Audi is
being designed with latest technology engineering and are having excellent features and design
as well but Hyundai needs to develop all these features and make their brand image more better.
Currently, they are having so many cars that are being serving all kinds of customers but hey
have to grow in sports car segment and thus they have an opportunity to grow in that segment
(Spence and Hamzaoui Essoussi, 2010).
So basically, in order to manage and design a good brand image, companies make use of
partnership in a viable manner. It is well known that Audi and Hyundai are famous brands that
are operating in market since very long time and that too successfully. Audi is considered as a
subsidiary brand of Volkswagen and Hyundai is a separate brand. They both are doing its
manufacturing in most of the countries and providing efficient products and services as well
(Vigneron and Johnson, 2017). It is also believed that if they will join their hands together then
they can produce even better cars for the people.
P5 Different types of techniques for measuring and managing brand value
In the current business environment, companies are facing different kinds of problems or
issues due to the changes introduced in the environment. So, it is very much important for the
companies to maintain their customer base as they are having a very high risk of loosing them
anytime due to the introduction of many new competitors. In the auto-mobile sector, there are so
many companies that are operating like TATA, TOYOTA, BMW etc. all these companies are
considered as competitors of Hyundai and Audi. So, they need to formulate effective strategies
so as to maintain their market share and increase it as well. They are also required to examine
their brand value on continuous basis. It is required to be done because of the following reasons:-
 Enterprise's financial report
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 Modification
 Security
 Sales related to intangible assets
So it is very important for the managers to evaluate the brand value of our company with
comparison to another company of similar nature. It is done as follows:-
AUDI HYUNDAI
 They are designing the products as per
the demands and choices of the
customers.
 They are using related kind of
marketing approaches.
 They are designing the products as per
the needs of the customers that is why
they are producing cars that are
affordable to middle class people as
well.
 They are following cultural aspects and
thus they are using different marketing
approaches.
SWOT analysis of Audi:
Strength
 It is mainly available in both diesel and
petrol variants with wide product
portfolio.
 Superior features like air bags, parking
sensors, traction control are equipped in
the product of AUDI.
 Well-established and renowned product
all across the globe.
 Best known for its engineering and
technology used in making their cars.
Weakness
 Less market presence in developing or
emerging markets.
 High handling and maintenance cost.
 Not focusing on promoting their
product via effective promotional
strategies.
 Lack of diversification
Opportunities
 Demand of hybrid car is increasing.
 They can expand its product portfolio
in terms of entering into the market that
Threats
 High competition level as their rivalry
firms are holding large market share.
 Risk of international market as they
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sells low cost cars.
 Focus more on promoting their product
via different promotional channels such
as social media, print media etc.
 Diversification and Innovation in
mature market enables AUDI to gain
the advantage of higher competitive
edge as compared to its competitors.
cannot survive in international market
without its home territory.
 Rapid Increase in fuel cost might
reduce the sale of Audi's product.
 Government Policy of each country is
different which comes out as a
disadvantage for them.
The various approaches that can be applied by Audi and Ford are:
 FINANCIAL APPROACH :- here, the main aim of the company is to concentrate on
modifying the current items or replace them with the new products in the market so that it
can do their operations in the longer period (Zarantonello and Schmitt, 2010). The
attributes that are included in this are:
◦ Approach based on marketing – It contains all the facts and figures that are present in
the marketplace.
◦ Approaches based on income – It is very important for the companies to provide
goods and services to people as per the needs.
 CUSTOMER BASED APPROACH :-In the customers are considered as the last ones
who use the product and if they will like the product then they will purchase it.
CONCLUSION
From the above mentioned report, it can be concluded that branding assist in creating
product image in the eyes of customer that remains for longer duration probably till the brand
name exist. Basically it connects the company with target audience in an effective and efficient
manner. Different elements of brand strategy help in maintaining brand equity of the respective
product such as public relation, digital marketing and social media. Apart from that different
strategies and policies effectively managed in brand extension and brand valuation. Lastly
company's aims building strong brand image in the eyes of target audience that serves as a base
for its developing goodwill and high competitive edge in the market place.
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Online
Brand Management- Meaning and Important Concepts. 2017. [Online]. Available through:
<http://www.managementstudyguide.com/brand-management.htm>.
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