Report: Building and Managing Amazon's Brand Over Time

This report provides a comprehensive analysis of Amazon's brand management strategies. It begins with an introduction to brand management and its significance, followed by an examination of Amazon's use of the Customer-Based Brand Equity (CBBE) model, brand identity, meaning, response, and resonance. The report delves into Amazon's brand portfolio strategies, including brand hierarchy and equity management, and analyzes the strengths and weaknesses of Amazon's brand, proposing collaborative and partnership agreements. Furthermore, the report evaluates key brand performance indicators such as brand value, awareness, market share, consumer attitudes, and purchasing intent. The report concludes with a summary of branding's importance as a marketing tool, emphasizing its role in keeping competition at bay and fostering customer-centric service.

Building and Managing
brand over time

Table of Contents
Introduction......................................................................................................................................3
Task 1...............................................................................................................................................3
1. Introduction........................................................................................................................3
2. Main Body..........................................................................................................................4
3. Conclusion..........................................................................................................................7
Task 2...............................................................................................................................................7
1. Brand portfolio strategies of Amazon................................................................................7
2. Illustration of hierarchy management of brands within Amazon's portfolio....................10
3. Strategies used for managing equity of brands within Amazon.......................................10
Task 3.............................................................................................................................................11
1. Strengths of brand that can get leverage...........................................................................11
2. Weaknesses that need attention to provide some possible suggestions...........................12
3. Collaborative and partnership agreements.......................................................................12
Task 4.............................................................................................................................................13
1. Brand value.......................................................................................................................13
2. Brand Awareness..............................................................................................................14
3. Market share.....................................................................................................................14
4. Consumer attitudes...........................................................................................................15
5. Purchasing intent .............................................................................................................15
Conclusion.....................................................................................................................................16
REFERENCES..............................................................................................................................17

Introduction
Brand management refers to process of maintenance, improvement and upholding a
brand so that positive results can be obtained. It includes various aspects like competition, in
store presentation and customer satisfaction. It is fabricated on marketing foundation but it focus
on brand and way in which brand remain favourable to customers. Amazon is taken in first task.
It is an advertising organisation and offers paid services. CBBE (Customer-Based Brand Equity)
model will be used in this. Moreover, Amazon will be used in rest of task. It is an American
company, which was founded on July 5,1994. It is now the biggest e-commerce company of the
world and have headquarter in Seattle, Washington. This report will cover brand portfolio, their
hierarchy management and brand equity. Furthermore, critical analysis is provided in which
focus is on brand value of organisation.
Task 1
Article : Brand is Power
To: Board of Directors of ‘Amazon’
From: Marketing manager
Date: January 18th , 2019,
Subject: Brand is Power
1. Introduction
Amazon an e-commerce, cloud computing, and artificial intelligence in Seattle,
Washington and multinational company that basically was found in the year of 1994. This
article is processed by marketing manager of Optimum Impression Ltd. for the company
Amazon in order to understand the concept of brand.
Brand- It refers to identify name, word, logo, mark, symbol and sentence or word which
will enable organisation to differentiate their products from competitive products. It is a
combination of different elements used to create brand identity. In present scenario, it is been
analysed that brand is used by organisation to develop their own image within market. In simple
words, brand can be said as identity to products or services offered by specific organisation
either it can be logo or symbol or sign. Amazon is required to develop symbols so that
customers can remember name of company and products, services when they see logo or
symbol of company.

Brand equity – It refers to additional value which is attached by customer with brand which
makes it unique from other brands which are present within market. This is treated as marketing
term which includes brand value. Thinking and perception are elements which are critical in
brand equity. Positive brand equity is formed when customers have good perception about
services and products of Amazon. This will help them to increase stock prices efficiently.
Stages to build successful brand are given below:
Step 1: Ascertain Target Audience: Marketing manager needs to ensure that focus is on
target audience and mission of Amazon. is looked upon to handle needs of customers.
Communication channels used by them must be effective so that they can reach their customers.
Step 2: Define Brand Mission: Amazon develop their own values which will enhance
customers base. Focus must be on vision and mission of organisation this will help them to take
effective decision related to needs of organisation's mission.
Step 3: Research Competition: Overall competition is analysed by marketing department
and also evaluate products delivered by them to their target audience. This will aid to develop
successful brand (Arai, Ko and Ross, 2014). Amazon. need to make certain modifications in
services and products to bring overall improvement.
Step 4: Create Value Propositions: Marketing department must understand internal and
external environment and as per that they must make strategies which will create value within
Amazon. In present scenario audience will interact with other brands, and as per organisation
must ensure that they are different from other brands who are offering same services.
Step 5: Determine Brand Guidelines: Certain rules are made related to interactions with
audience. Designs are created and visual elements are used like logo, templates and structure
will help organisation to create exclusive brand identity.
Step 6: Market Your Brand: Marketing strategies are build by marketing manager of
Amazon so that brand becomes known to targeted audience and they may identify organisation
by its logo.
2. Main Body
Amazon offers services to customers related to paid promotions within UK. Brands like
Amazon can take help from them for making advertisements and promotional activities for their
products in United States and in other countries as well. They are using updated technology so

that best services can be offered.
Successful strategy for strengthen: Number of models that can be used in present context are
mentioned beneath: Different models are present which can be used in this context, they are
described below:
Brand equity: This includes components such as perceptions, experiences and emotions related
to Amazon which comes in mind of customers. Marketing department has used CBBE model
for advertisement.
Customer-Based Brand Equity (CBBE) model: This model will help Amazon to enhance
their brand equity and will help to build strategies for enhancing overall reputation of
organisation. 4 levels of CBBE model are discussed below:
Level 1- Brand identify: Amazon basically needs to consume more on advertising their
services and products so that they can uphold within market for long time. Example can be
considered like Amazon is using white colour in packaging their products this helps customer to
identify products offered by them. Amazon firstly identify their customers and then they go
through with the research of understanding how their customers see their brands and explore
with the different segments and with different needs and relationships with the company's
brand. In present context, Amazon basically identifies its customers and then the company
retails CDs, DVDs, apparel, food, furniture it also produces consumer electronic gadgets like
Kindle Fire tablets, Kindle e-Book readers etc. It is basically well known that Amazon is doing
business in different nations like France, United States, UK, Ireland, Spain, Italy, Germany,
Canada, India, Brazil and more based on their needs and requirements.
Level 2 – Brand Meaning: It comprises of two sections which are as
1. Brand performance: Performance of a company helps to decide the brand performance.
Organisations like Samsung, Apple and many more are organisations that produce best
products but focus is on their own reputation. Along with this, Amazon offers to the
targeted consumers with every brand’s products. Also they keep an eye on the prices
lower than most of its competitors. Its performance could be understood with a good
example of Amazon where organisation has proven best and become most reliable
through offering customers with products without any sort of damage on them.
2. Brand imagery: Customer's mind is important element which plays a critical role in
Brand imagery (Buil, De Chernatony and Martinez, 2013). Example of Apple can be

considered as they provide an innovative image of their products. The product of
Amazon should reach and meet the demands of customers which can results in the
performance of the product. On the other hand, if it is talked about Amazon only, than it
basically serves almost every possible market segment with it’s wide range of product
range and price categories.
Level 3 – Brand Response: When audience buys their services or products, they have
certain expectation against business brand. If customer's expectations are met, then they are
satisfied and have better view related to brand. Brands like Amazon etc. meets expectations of
customers due to which they have good experience. Amazon have to find answers of some
questions, so that they can improve their strategies accordingly. For this they have to find
answers of questions like, how they can improve their products and service, how can they
enhance their brand credibility, how is the brand position comparing to other. Along with this,
one of the most notable thing is that Amazon is their super fast delivery. The amazon prime
delivery service delivers the product to the customer within two days which helped them in
taking the leading position in product delivery service.
Level 4 – Brand Resonance: Organisations have built good image of themselves as they
have good reach to their customers. It is confined to connections, engagement of customers,
behaviour and many more. Amazon must focus on their image this lead them to reach new
heights. This is the last stage of pyramid, here Amazon can find solution for questions like,
what they can do improving the behavioural loyalty. For an example: For creating loyal
customers amazon has implemented it’s prime service which provides the customers with a two
day free shipping with many extra services.
Brand extension and reinforcing: Brand extension refers to approach which help Amazon
to launch its services using brand name or logo which will distinguish them from their
competitors (Rosenbaum-Elliott, Percy and Pervan, 2015). Brand reinforcement refers to
maintaining brand equity among their customers which helps in creating accurate opportunities
for business of Amazon number of schemes are adopted by organisation which makes them
distinctive from their competitors. This could be understood with an example of Amazon only,
where basically organisation is having many ventures that were hired like Internet Movie
Database, Digital Photo Review, Goodreads, Twitch TV, Zappos, Junglee.com Alexa Internet,
Audible, under its umbrella.

Revitalising brand or overcoming a brand crisis - Brand strategies are renewed which is
treated as sensational approach which will help organisation to reduce maturity stage of life
cycle of product (Chauhan and Pillai, 2013). It is found that strategy has been adopted by
Amazon. To decrease number of chances related to brand crisis so it will help to reach new
level with present and new products or services. In case where, Walmart took Flipkart and
raised a total of $7.4 billion in funding which basically led Amazon to go through a range of
issues while expanding business in India, For an example, in order to reducing the brand crisis,
Amazon has decided to offer excellent delivery, before along with the after-sales service so that
to become much more credible online retailers from its competitors (Amazon Faces a Walmart-
Sized Challenge in India, 2018).
3. Conclusion
Importance of branding as a marketing tool- In this scenario, some importance are shown
below:
 Keep New Competition Away: Barriers or hurdles related with competitors can be
decreased by existing organisations if different segments are created and Amazon will
reach to new height with help of segments.
 Develops customers orientation related to service which is behind the brand: It is
responsibility of marketing manager to promote services and products. For this, it is
essential for organisation to follow advertisements and conduct market research. These
are essential for the success and growth of brand.

Task 2
1. Brand portfolio strategies of Amazon.
Brand portfolio refers to collection of different brands which are under control of
company. In this large businesses operate beneath different brands, companies and services,
brand portfolio is used for encompassing all entities under same umbrella (Rauschnabel and et.
al., 2016). Every brand has their own separate trademarks and they work as individual entity, but
for grouping all entities marketing brand portfolio is used.

Amazon is using different brand portfolio strategies, they are discussed below:
Active Portfolio Strategy: It refers to fact that specific style of management can
generate and enhance returns which can beat market. It is associated with higher cost and
vantage is taken from inefficiencies present within market. Top-down approach and bottom-up
approach is used in active portfolio strategies (Da Silveira, Lages and Simões, 2013). In top-
down approach manager of Amazon will analyse market as whole and focus will be on certain
sectors which will lead high growth of business. Furthermore, they analyse strengths of their
products and financial statements. It depends on different styles which will help Amazon to beat
their competition within market. Amazon can opt for investing in high quality companies rather
than investing as whole in market.
Passive Portfolio Strategy: It is also known as index fund management or index
investing in which portfolios are created with intention to track returns within specific market
index. Amazon focus on increasing diversification will small input and hypothesis of market is
created to state that financial market is efficiently informed. Amazon use this approach as it
includes heterogeneous stock selections such as aggressive portfolio, market theory, average
returns on different assets and many more. This include that information is available with
Amazon related to market and this information is processed by investors. Market prices are
evaluated based on this information and index funds are used for gaining vantage related market
theory which will help them to enhance overall brand equity.
House of Brands:
This is being considered as one of the common approach which is used by many
organisation while working at marketplace. Here, it can be said that for companies like consumer
based items, products itself is one of the primary brand rather than an organisation.
Branded House Approach:
This is being considered as one of the effective approach which is basically followed by
the business organisations in order to improve the existence of the brand, where brand basically
becomes as one of dominant source of identification and meaning.
Mixed approach:
This type of model is basically a mixture of different approaches like House of brand,
Branded House and so on. In this context, it has been analysed that brands do not require to

choose any specific strategy. This helps them while working at international level. Companies
and brands use a mix of strategies with different roles for different types of brand extensions.
In present context, it has been critically analysed through considering above mentioned
approaches is that Amazon needs to follow branded house approach. This will help Amazon in
becoming one of a leading e-commerce business organisation not online in India but in other
growing countries as well, Amazon has offered many services in one place which means
Amazon is basically performing really very well at marketplace in India, because targeted
customers have kept their focus on getting all the things at one place.
2. Illustration of hierarchy management of brands within Amazon's portfolio.
Brand hierarchy refers to means of summarizing strategies of branding by displaying
nature and number of distinctive and common elements of brand across firm's product by
indicating brand elements (Rageh Ismail and Spinelli, 2012). It helps to graphically portray
branding strategies by establishing branding relationship between different products which are
sold by organisation. Amazon gets benefited from hierarchy management as it helps them to
develop different techniques which helps them to create difference between their products and
services which are being offered by their rivalry under unique brand name.
Management hierarchy of Amazon:
 Endorsed sub brands: In this scenario, Amazon can intensify their customer base and
profit margin by conducting bidding for common person or some famous person so that
they can have effective strategies for promotion and marketing which will enhance their
product value and by this automatically brand value will be enhanced.
 Umbrella brand: It is also known as family brand. In this marketing practices are
convoluted which use same brand name for selling two or more related products under a
single name (Lundqvist, and et. al., 2013). In this same brand products are offered to
target customers within marketplace. Example can be considered like Amazon provides
cloud services, prime membership, alexa and many more which are present under single
umbrella brand.
3. Strategies used for managing equity of brands within Amazon.
Brand equity refers to complete value of brand as a abstract asset. It is accumulation of
liabilities and assets which are related to brand name which will result in building effective

relationship or connection with customers (Dessart, Veloutsou and Morgan-Thomas, 2015) . In
short it means value of brand. Amazon uses Aaker brand equity model which is formulated by
Professor David Aaker. As per him (Prof. David Aaker) brand equity is collection of brand
associations, brand loyalty and brand awareness, which combines together to provide value of
service or product. Aaker brand equity model is presented below:
Brand as Product: This comprises of value or quality of users, uses, product, country of
origin, attributes of product and scope of product. It is necessary for any brand or business to
identify features of products. Example of Amazon can be considered. It is a e-commerce website
which needs to identify and measure present features of products such as updating technologies
so that they can enhance its value and gain competitive vantage by increasing its profit margins.
Brand as Organisation: It comprises of global activities and local working and
attributes of organisation (Kapferer, 2012). In this Amazon's international actions along with
local working, their property are included which will aid them to increase their brand value in
efficient and effective manner at domestic and international level or market.
Brand as Person: It comprises of consumer brand relationship and brand personality.
These are important dimensions of Amazon which comes under this particular element. Manager
of Amazon must ensure that they build up strong relation with customers via providing them
quality products in reasonable prices.
Brand as Symbol: It comprises of visual and audio imagery, brand heritage and
metaphorical symbols. This can help Amazon to become renowned brand within present
competitive market.
Task 3
1. Strengths of brand that can get leverage
Amazon is an American based e-commerce site, which was initially started as only a
book store. After getting popular in different parts of world, Amazon started providing services
like clouds, grocery products, and products of daily use. Investment strategy gives them leverage
of using different borrowed capital or financial instruments, borrowed money to enhance
potential returns of investment. Amazon has opted for this and they have utilised these
opportunities to enhance their profits (Dinnie, 2015). In present scenario, it has been found that

Alexa, which offers smart speaker which uses technologies like listen the command and perform
task according to it are considered as crucial selling products of Amazon.
Line Extension: A line extension is being considered as one of the effective approach
which is being utilised and establishes a product's brand name considering a new item in the
same product category. If it is talked about Amazon, Alexa is one of effective product which can
be taken as an innovation done by Amazon.
Brand Extension: This can be defined as using an established brand name or trademark
on new products, so as to increase sales. In the same way, in order to expand business at
international level, Alexa is one of the effective product under product line of Amazon which is
rapidly helping them in reaching to new heights.
Some strengths of Amazon are mentioned below:
Good return on capital expenditure: Alexa is a famous product of Amazon which is
innovative in itself and has performed very well in heterogeneous geographical areas. Making
progress in efficient and effective manner, competence in complete new market, trending brand
is associated and product is Alexa, excellent performance within new market. On other hand,
Amazon has developed as an excellent brand and advertising approaches used for Alexa are
more attractive in nature to their customers. If it is talked about strengths of Amazon, than it can
be said that since company is working with almost every single company whether it is
household, automotive, mobile or any thing, this makes them easy to offer customers with
famous brands' products or services. This has helped them in improving the customer base in
different nations like France, United States, UK, Ireland, Spain, Italy, Germany, Canada, India,
Brazil and more.
2. Weaknesses that need attention to provide some possible suggestions.
In present context, some weaknesses of Alexa have been analysed. They are like people
which have speaking disorders and do not able to speak proper (Gundala and Khawaja, 2014).
This is the reason that it is not famous among the generation having speaking disorder present in
United Kingdom. Due to this profit margins of Amazon have been impacted. Amazon needs to
do alteration in their products depending upon different segments for enhancing overall profit
gained by organisation.
Weaknesses of Amazon:

Fake reviews and rise of no-name brands, counterfeits are being considered as some of
major weakness that are creating problems for Amazon and impacted negatively on overall
performance level at International market.
Under this case, improvements can be brought by Amazon through using different
policies and through adopting new tools and technologies related to marketing so that company
could gain maximum benefits right on time.
3. Collaborative and partnership agreements
Amazon is providing its services at international levels, these are two segments on which
organisation has been focusing and they are leverage and brand extension. In present scenario,
brand extension is considered as technique which has helped Amazon to collaborate with
Facebook, Google, and Micro-Soft (Jugenheimer, Sheehan and Kelley, 2015) . Apart from this
they have build many products like, clocks, home appliances, gadgets, and toys which has lead
them to enhance sales, profit margins and productivity at same time. At both the level (Domestic
and international level), Amazon has collaborated with Microsoft which is continuously helped
them related to funding, marketing and technological related sector as well. This raised profit
margins at marketplace and raised there reputation among customers which impacted positively
on their customer base and loyalty at the same time.
Along with this, there are a range of techniques like brand stretching, line extension and
brand extension are some of the techniques that can be used by Amazon in order to expand their
business and to make whole brand of the company much more stronger.
In this context, appropriate way of leveraging the Amazon's brand i.e. brand extension,
since Alexa is an innovative product, The category to which the brand is being extended can be
related or unrelated to the existing product categories.
Task 4
1. Brand value
Brand value refers to future value or present value of cash flow which are attributable to
brand personality or brand name. It is intangible aspect of business which helps to evaluate
difference between market value and book value of company (Hanna and Rowley, 2013). It is
net present value of organisation which is related to services and products offered by
organisation. It is foremost important for organisation to focus on goals, objectives and try to

improve their brand value via usage of different phases such as Gross Profit Differentiation. This
is considered as important factor to ascertain brand value with usage of gross profit differential
approach. Alexa can equalise price which is being offered by other organisations in same
segment as per this technique. In this context, Preference Metrics is being considered as one of
the effective measurement technique that can be used by Amazon in order to evaluate the brand
value of Alexa.
Cost-based measurement technique: In present context, where Amazon's brand (Alexa)
has been built and promoted among the world has spent on the brand to date. This could be
understood with a good example where 150 million Dollar has been expended to make Alexa
worth full. This will directly show that, the product needs to sold to another company with the
same amount.
Market-based measurement technique: Brand Equity model is one of the best approach
under the different marked based measurement techniques, where demand which results into
pricing premium profits,
Financial approach: It is the basic valuation of future or net earnings that mainly
attributable to the brand like Amazon which may helping in determining the value of the brand in
its current use.
2. Brand Awareness
Brand awareness is referred to as an efficient approach which deals with extent to which
customers are more aware with image or quality of specific brand of goods or services. It is
extent up to which customers can recognise individual brand (Heding, Knudtzen and Bjerre,
2015). Example of Amazon can be considered in this context. They have formulated all of their
products and services are wrapped in white colour. With usage of this company's brand name
remain in minds of customers with its specific colour. Jeff Bezos when started Amazon, ensured
that focus is on white colour either its is creation of new products, promotions or anything else.
This enhanced profit margins of Amazon. In order to understand the brand awareness in depth,
there are a range of approaches that can be used and these are:
Brand Recall: It is basically the extent which is being used by a company like Amazon
while promoting its products like Alexa where brand name is recalled as a member of a brand,
product or service class, as distinct from brand recognition.

Along with this, Infographics is one of the effective brand awareness technique which
could be used by Amazon, as Infographics are a bright and colourful way to display interesting
marketing data and statistics.
3. Market share
Amazon is ranked as number one e-commerce company in the world. It has around 20
ware houses present within United Kingdom and other parts of world. Example of Pepsi can also
be considered. It is one of leading beverage brand within United Kingdom. It has around 34%
market value in United kingdom in beverage sector.
4. Consumer attitudes
Example of Cadbury can be considered which forms largest part in confectionery brand
This has been evaluated on basis of taste, preferences and attitude of their customers so that
required alterations can be carried out and innovations within products can be carried out to
address needs of customers. In present scenario, Cadbury is using a technique which is helping
continuously them to improve attitude of customers for their services and products which are
being offered by organisation (Hutter and et. al., 2013). Scaling techniques are used in which
managers of Cadbury tries to measure customers minds and attitude of customers is managed,
perceptions and preferences are considered to pre-determine different brands related with their
products. Orderly category sorting, ranking and paired comparison are few methods which are
considered as a demands of customers. This has helped organisation to increase profit margins
by understanding customers behaviour.
5. Purchasing intent
In this context, example of Lakme can be considered which is one of important brand
which are selling cosmetic products and services to their customers (Hwang and Kandampully,
2012). Organisations are using techniques for managing and measuring purchase, with usage of
these predictive modelling technique. It includes appropriate procedures to make effective use of
probability and data mining. This will help Lakme to enhance their profit margins as they have
wide range of data available with them.
Brand Intent- Brand intent refers to a promise made by organisation to explicate the
important factors related with product which will attract it's target or potential customer. In this
present scenario, intention of Lakme is to make world autonomous in fashion in terms that if

their products are being used then customer will not feel like anything is applied by them.
Products being used by Lakme are harmless, attractive and captivating even if they are used
regularly (Solomon and et. al., 2014). Products offered by Lakme are affordable by most of
customers as when compared with other brands. They provides flawless products for their
customers and they have effective marketing strategies.
On the other hand, a Net Promoter Score can be utilised in order to measure customer
experience that they had just after using the purchased product i.e. Alexa, this basically aid in
predicting the overall growth of business. This proven metric transformed the business world and
now provides the core measurement for customer experience management programs the world
round.
Conclusion
With the help of above mentioned report, it is being concluded that managing brand
could help a business organisation in reaching to all new heights. On the other hand, an effective
brand portfolio, could directly help a company in gaining competitive edge. Along with this,
brand equity could be maintained considering a basic model i.e. Customer-Based Brand Equity
(CBBE) which aid in taking a brand value to give high competition to its rivals.

REFERENCES
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Online

Amazon Faces a Walmart-Sized Challenge in India. 2018. [Online]. Available through:
<https://www.fool.com/investing/2018/05/11/amazon-faces-a-walmart-sized-challenge-
in-india.aspx>.

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