The importance of branding in business practice

Brand Management

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
TASK 1............................................................................................................................................1
Explain the importance of branding as a marketing tool and why and how it has emerged in
business practice..........................................................................................................................1
TASK 2............................................................................................................................................5
Different strategies of portfolio management, brand hierarchy and brand equity management.5
TASK 3............................................................................................................................................6
a) Critically evaluate how each of the following techniques may be used to leverage and
extend brands..............................................................................................................................6
b) Evaluate how the Lidl brand could manage collaboratively and in partnership both at a
domestic and at a global level.....................................................................................................7
TASK 4............................................................................................................................................8
Evaluate techniques for measuring and managing brand value over time..................................8
CONCLUSION..............................................................................................................................10
References:.....................................................................................................................................11

INTRODUCTION
Brand management implies to those functions of marketing which utilises the techniques
as well as increases sensed value of the merchandise line or a brand over particular period of
time(Ben Youssef and et. al., 2018). It enables the cost of a merchandise to go ahead as well as it
assist in building loyal customers with the help of positive association with the brand or may be
because of strong awareness of a particular brand. For this report, Lidl brand is considered which
is from Germany and is planning to become Europe leading retailers of food.
This report covers understanding relating to how brand are formulated as well as
managed. It further this report mention how brand are unionised in portfolios, how hierarchies
are built, managed in brand as well as how they are leveraged globally. Besides this it also
covers various kind of techniques which are used to measure as well as in managing the brand
over the time.
MAIN BODY
TASK 1
Explain the importance of branding as a marketing tool and why and how it has emerged in
business practice
Branding is the process of creating a good image in customers mind by providing
qualitative goods at reasonable prices. The elements of branding are logo, design, mission and
vision statement and many others (Calantone and Nguyen, 2018). Branding is an important
factor to take in consideration because in today's scenario, customers only prefer a good imaged
and a good reviewed company with their mind set that branded companies satisfied them more as
compared to non- branded companies. Branding of a company or a product is important because
of following ways in context of Lidl-
 Branding is useful tool to attract more customers of Lidl as customers prefer branded
companies more and customers have trust on branded companies only. The trust is related
to service that they provide good services.
 Branding is useful to analyse marketing environment in Lidl as they less customers
attention will force them to focus on reasons for unpopularity in market.
 Branding is useful to grow and expand the business of Lidl in other countries as good
branding.
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 Branding is also useful to motivate the employees of companies as they work with
branded companies which help to increase their status in their society. Branded
companies always provide extra benefits to their employees whether it is monetary or non
monetary. Working with the branded company every employee will get benefited. Market recognition improves with good branding of Lidl. Market recognition is measure
of awareness of the company in market place. Today customers know more about
branded companies and they suggest to their known ones to purchase product from Lidl
as it is one of the most famous branded retail chain stores.
The ways in which Lidl manage branding successfully for a longer time are explained below-
 Company may opt more promotional activities to promote their product as much as
possible.
 Lidl must focus on investing more in their research and development department because
they analyse external environment and customer demand.
 Lidl must focus more on providing good services because today's market is considered as
customer oriented market where more customer satisfaction means more good image of
company.
 Satisfying employees or the overall workforce of Lidl is also a good way to manage
branding successfully as employees leave a review about company on their official
website and online oriented customers who prefer online shopping more, first thing they
notice is the reviews and ratings of stores at which they want to buy anything.
 To analyse and focus more on competitors and their strategies because the companies
who lead the market got more good images from surrounding and Lidl is an supermarket
chain and there is a tough competition in retailing sector. Hence, it is very important for
Lidl to modify their strategies to compete in market for more successful branding.
 Use of new and updated technology helps to produce more qualitative goods which
further attract more customers and creates good brand image among customers. Lidl
technology is good and they provide online shopping mode for their customers comfort. Making a good statement of mission and vision creates better branding power in market
because this is the thing which is seen first in search of any company. Lidl mission
statement consist of satisfying their customer by providing good quality of products at
reasonable prices which is an good branding technique.
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