Brand Management: Strategies, Portfolio, Hierarchy & Brand Equity

This report provides a comprehensive overview of brand management, emphasizing the importance of branding as a strategic tool and its evolution in business practices. It identifies key components of a successful brand strategy for building and managing brand equity, including differentiation, ...Read More

Brand
Management

Contents
INTRODUCTION.......................................................................................................................................3
P1 Importance of branding as a tool and its emergence in business practice...........................................3
P2 Key components of a successful brand strategy for building & managing brand equity.....................7
P3 Different strategies of portfolio management, brand hierarchy and brand equity management..........8
P4 Collaboration and partnership for managing brand...........................................................................10
P5 Evaluating brand value by using different types of measurement techniques...................................12
CONCLUSION.....................................................................................................................................14
REFERENCES..........................................................................................................................................15

INTRODUCTION
Brand management is used to analyzing and planning on how brand is apparent in the
market. To achieve the target and develop a good relationship between organization brand
management is essential. Elements which are used in brand management includes price, look the
packaging etc. brand manager is the one who would look around all the aspects of customer’s
brand association with members (Keller, Parameswaran and Jacob, 2011). Thus, it is a process
through which company create a connection between them and customer. They use special
techniques in order to increase their productivity for which brand strategy is required. This
process is used to identify core values of a particular brand. Apple is one of the leading company
with headquarter in Cupertino California that designs computers, software, electronics etc.
products which they make includes iPhone, iPad tablet, Apple watch, TV, smart speakers and
many more with its brand value of 178,119 which is highest among all other brands. This
organization was formed in the year 1976 and it is having around 499 retail stores. Steve Jobs,
Steve Woznaik and Ronald Wayne were the founder of this organization. In this report we will
include how a brand is build and managed over time, what all techniques are used domestically
and internationally, strategies and brand equity (Kapferer, 2012).
P1 Importance of branding as a tool and its emergence in business practice
Brand is a term which is used to for a particular symbol or other features. The thought
was first begun during ancient Egyptians around 2,700 BC; this was adopted to deter theft so that
they can safe their commodity from others. Branding is a sort of communication medium
through which it helps them in distinguishing between company’s and local products (Barrow
and Mosley, 2011). This method is used for higher their sales not only for one products but in
different commodity as well. A brand name can be used to identify goods with other comparable
products. It may involve words, signs, symbols, phrases etc.
Brand Management is a system to analyze planning so that we can know about the
standard of their commodity. For establishing a good relation in targeted market brand
management helps in doing so. This is known for using best available techniques in order to
enhance their value of product and their business which involves marketing strategy so as to

grow and build loyal customers in market. Through this process company can identify the core
values among their consumers. In recent scenario brand can be cooperate, service provided to
their clients, products etc (Rosenbaum-Elliott, Percy and Pervan, 2015).
Branding as an important marketing tool
Branding is one of the crucial part in marketing because it assists company to provide all
details regarding their products and services as there are many rival organizations is present in
the market. As many enterprises realize importance of this tool they hire professionals who are
specialize in creating brand (Hanna and Rowley, 2011). They play as a key element between
customer psychologies which is connected with emotions automatically. It establishes a loyalty
in customers. It is a process through which a product and services are identified and
expectations. Different brands promise to fulfill their customer’s needs but consumer’s have to
identify which brand is providing better options among other brands. It is like a foundation of a
solid brand. Thus, brand and branding both are complex terms which include various things. In
other words it is a way of what customer is thinking. In short it is a promise to consumers in
behalf of organization. In this recent time clients has many options and choices with similar
quality and same features (Balmer, 2012). Apple is a leading company which stands out in a
densely crowded marketplace. People trust this brand and love to buy this company’s products as
they believe that this brand is superior to others. Branding will help them to differentiate
themselves from competition and provide them with better market. This advances in
manufacturing their quality commodities. In this modern world lot of brands of same products
create a huge amount of confusion what to buy and what not to. Thus, it is more complex as it
provides a lot of variety in commodities. Some of the objectives which give a good sense of
brand are that it should clearly deliver message of what product is for, it conforms your
credibility, and it is like an emotional connection between brand and consumer. Branding is like
a foundational piece in marketing communication. It aid them in understanding the purpose of
business objectives and with proper strategies they can fulfill their goals. This not only creates
loyal buyers but also loyal employees. It gives them with something that is to believe in
(Asmussen and .et. al., 2013). There are some of the benefits of branding which are as follows:
Customer’s Loyalty: They are very loyal towards any products if they are using that. They
will prefer that product only for their entire life. It takes a little time to choose so trust is very

important in this aspect. Thus company should always know about what trends their customers
are following and if they are fulfilling all desires of their consumers.
It provides a competitive advantage: whether you are profit or non-profitable company,
you need a specific road map or strategies to follow through which you can increase your
business so that you can stand differently in this competitive market. It provides you with
advantage of thinking differently. This initiative will help any organization to move forward.
Stable asset: In this changing world with new technologies brand is the only one asset which
makes you stable because strong brands can hold the power through all these changes.
Provides economic value: Intangible and tangible assets are the two categories in which
value of organization is divided. According to a study a period between 1975 to 2003 the value
of intangible was raised from 17% to 80%. Thus, this shows that an intangible asset is most
important and prominent amongst these two (Dinnie, K., 2015).
Some of the importance of using Branding as a tool:
Sales: The main focus of marketing department is to implement new methods which will
help them in increase productivity of any company. Packaging and branding are like two sides of
coin and are the two main effective ways to increase growth. Advertising is a successful brand
campaigns which assist their customers to know about any commodity as they can identify with
the brand name.
Generated Referrals: People love to tell or express about what brands they like, they
constantly tell others about how is the quality of that which they are using. This generates a
awareness about any specific brands (Ertimur and Coskuner-Balli, 2015).
Customers know what to expect: Through continues advertisement in social medias,
websites and television it puts customers consistent and at ease because they know what exact
thing they have to buy as every time they experience the brand.
Creates clarity and stay focused: Brand is a thing for which any consumer is specific about.
They have clear idea if this is the brand than what kind of products they will provide to their

clients there is nothing to guide them. Stay are clear and focused about their products. Clear
strategies help company to have one focused vision and mission.
Brand equity is kind of phrase which is used to describe the value of well known brands. It
simply generates more revenue and brand recognition. Thus, it refers to the value of any brand
which is associates with brand features and associations. A strong name of brand shows the
product quality which is essential for buyers. It helps them in determining products price
structure and assist in controlling the commodity differentiation. Brand equity is very essential
for understanding competitive dynamics of business-to-business (Burmann and König, 2011).
There is a difference between brand and a product. Where the former one is created by
company whereas latter is what which is build by people who are using them and it cannot be
copied and is unique in nature. Thus, product is what which is available in the market for sale
whereas brand is a name, symbol and sign. There are some of the key elements which are used in
brand management which are as follows:
Target Audience: It is important to target audience who most likely buy specific company’s
products. Those who will buy their commodity.
Clear mission and purpose: Having a clear mission and purpose organization can portray
his message in all of their communities. This enables them to have a strong connection with
their clients and with whom they are connected with (Buil, De Chernatony and Martínez, 2013).
Leverages and Uniqueness: uniqueness is one which differ any company with others.
Organization with its imperative defines their strengths. Therefore, every industry should provide
with services which are not used in the market yet.
Brand should be managed over time. In this rapid changing market nothing is constant
everything changes fast so as to grow their market. Companies which are highly dynamic in
nature, introduce new policies so that their companies don’t lack behind. Implementation of new
technologies is the biggest reason why it should be updated on time because this will increase
productivity and also performance of their employees. Apple company has also induces many
tools and techniques which is according to present scenario that is why their value has increased.

Innovations are one of the key elements which will help any organization to remain ahead from
others (Du Preez and Bendixen, 2015).
Some of the challenges which are faced by any company are as follows:
Market place: it is economic system where different companies compete to sell their
products. It is encompasses with current technologies and audiences. It depends on area where
you sell in some place your brand is popular and in some place it may sound as vague.
Competition: Organization should aware of similar competitive rivals and should make new
policies so as to give a tough fight to remain in highest position.
Strategy: It is imperative to go hand in hand with marketing and advertisement, for this it is
essential to make proper strategies which will assist their companies to grow faster than others.
Customer: They are the one who buy company’s commodities and organization should know
what are the latest trends and what all is going into consumer’s mind so that they can fulfill all
the desires regarding their needs (Gromark and Melin, 2011).
P2 Key components of a successful brand strategy for building & managing brand equity
Brand is known as selected choices which comprises of its name, mark, logo etc. it is
directly linked with emotions of customers. Thus it is consumers feeling about a particular brand.
Many companies see it as assets (Brand Strategy. 2016.). Brand equity can be positive and
negative based on what reputation that brand is having in minds of customers. There are some
key components of successful brand strategy for maintaining brand equity which are as follows:
Differentiation: Strong brands make promise of being unique with their brands which they
consistently hold. This stands themselves different from other brands and consumers have a
reason of purchasing their goods which increase their revenues and sales (Valette-Florence,
Guizani and Merunka, 2011).
Knowledge: Knowledge about any commodity help them to know which brand is best in
current market. Through which they can spend their money in a right direction. Advertisements
in television, radio, magazines etc., assist them in knowing about what kind of brand they should
opt according to recent trends.

Relevance: Brands should be very relevant with conditions and evolving trends that
consumers can easily follow and opt accordingly. Company should address properly about the
product so that it can be reached to every person.
Strategies which can be used for maximizing Brand equity:
Brand Strategy: Creating a brand which is respected and recognized is very difficult in this
society. They should be easy and anyone can identify that. It should represent good value with
consistent quality. All legal and ethical standards should be followed and their products should
be easily available in markets. There should be a cycle of demand purchase so as to have a
smooth conduct of business. Company should plan so as to have coordination among all levels if
manufacturing, sales and distribution (Rauschnabel and et. al., 2016).
Communication: Without communication brand equity cannot be achieved. Market place
has created complication between consumer and brand because there are many fake products of
same brand which are available at same price. That is why it is very essential to have a strong
communication so that they can inform their customers about which is real or fake.
Awareness: Customers should aware about which brand is providing them great advantages
and fulfilling all their wants if consumers are aren’t aware of it. Thus, it means they should
remember a brand but there are many competing products but hardly has it made a difference.
For this brand managers should include social media and content marketing for advancement of
their brand (Melo and Galan, 2011).
Collaboration: company should be aware of with whom they should collaborate so that their
business can be increased. Team work strategies rely on this collaboration. Online collaboration
assist people come together around the world which makes effective marketing collateral.
P3 Different strategies of portfolio management, brand hierarchy and brand equity management.
Every company has promoted their product and service through advertisement.
Promotion mean create awareness of the product at market place, its help firms for sales their
product effectively. Promotion is a activities that provide knowledge to consumer about product
and services (Chauhan and Pillai, 2013). Through promotion activities company has create brand
image in consumer mind. Brand is may be a name or symbol or image that help consumer to
recognises that product and company mane like apple company have their brand logo C cut
apple fruit , then consumer see this image of apple fruit they well remind company name and
product. Brand is give positive image in consumers mind. Company has use brand management

tool to increase their profitability and image at market place in consumer mind. It’s very
important that firm have created positive image in consumer mind through spreading positive
information at market, this image are influence consumers buying behaviour.
Apple Company has big international software and hardware company. Apple has strong
brand image at market in consumer mind. They have use continues innovation strategy to make
innovative product. Apple use this strategy in their promotion that they will provide most
innovative product to their customers, and make positive strong image in consumer mind.
Consumer want to use advance technology those only provided by Apple (Christiaans, 2012).
Portfolio management – In one single firm many types of product and services have
been produce. Brand is not only the product image in consumer mind but also that is creating
company image in consumers mind. Brand portfolio means company have different type of
product each product have their own brand image. All product in single firm are represented by
parent brand, that parent brand are company name and image. The main focus of every company
has to capture large market share in a minimum risk. Brand portfolio management have use two
different types of strategy one is passive and second is active (Morgan, Pritchard and Pride,
2011).
Active portfolio management: Company has capture market share with a specific style.
Active portfolio management strategy use by company to take their branding decision actively,
that decision are review time to time and take appropriate action. Apple Company has actively
participated in their brand strategy and help to provide advantage to firm.
Passive portfolio management: In this strategy company management are not taking
any decision of brand management, investors of the organisation are taking decision on the
behalf of management and they can not consider forecasting of goods and services. Apple are
spreading their market into others country, they have positive impact on consumers mind and
establish good relationship with their Clients (Singh, Iglesias and Batista-Foguet, 2012).
Brand equity strategies – Brand equity are different from financial equity. Brand equity
can be described as value of brand at market place. Its measurable in monitory terms. On the
consumer point of view brand equity mean belief of consumer on brand. Apple Company has
world top most brand equity at market place. Company has to promote their product and services
to create image at market and that image become brand equity for the company. Consumer based
brand equity model are given by Kenvin Lane Keller, in this model company has follow some
steps to make brand equity one is brand identity, second brand meaning, three brand response,
four brand resonance.

Brand hierarchy – Brand hierarchy mean summarised branding strategy for displaying
number and nature of common & distinctive brand element with in an organization (Da Silveira,
Lages, and Simões, 2013). In context of this, brand hierarchy have three main objectives:
Leverage: Company have increased their brand through horizontal and vertical
strategies. Apple company has use both strategy for increase their market share.
Clarity: Company has promoted their offers clearly to consumer, so that customer are
easily crack the promotional message. Apple has seen the clarity in their brand.
Synergy: Apple company has use brand strategy for fulfil consumer expectation
associate with firms product and services.
There are many reason to consider brand hierarchy by an organisation. One main reason
is disordered brand undermine future planning of business. In this Apple use their resource in a
very effective manner, that provide directly impact on business related strategies those provide
profitability to firm.
P4 Collaboration and partnership for managing brand.
In today environment in world information technology company have strong brand image
at market to other sector company. Apple and Microsoft these two companies are lead the market
with advance technology in their product and services. Both companies have strong brand image
in consumer mind and high brand equity (Zenker, 2011). They are operating their business
outside the home country as well so that they are international firms. And their brand are
recognize at international level. These all international branding strategies are shown below:
Brand extension – Brand extension mean spreading the product at market place. Apple
Company has leading organization at market that gives opportunity to firm for increasing their
launched. Apple makes computers and phone for consumers.
Strategies and approach of brand extension: company go for brand extension when
firm recognise that they are capable to product quality goods and services for their customers.
Apple Company has enter in music sector after recognise consumer needs and wants, that
provide help to sell computers as well.

Company has analysis their potential for brand extension through varies brand strategies,
some are as follows:
Innovation: Microsoft company owner say that if you can to replace your product then
other one are replace it so that use innovation tool for long term sustainability. Apple are do that
same at high level, they will use continues innovation strategies to improve their own product
and service frequently. Apple Company has added value in their product through increase
specification and features (Da Silveira, Lages, and Simões, 2013).
Brand portfolio management: Apple has wide range of product and services in their
firm. Brand manager has use appropriate strategy for managing this portfolio in each one
categories of product.
Brand imagination: Company has integrated two or more than two brand for effective
enlargement. For this, Apple Company makes effective brand strategies and gain competitive
advantage at market place those increase productivity and profitability of the firm.
Market penetration: Market penetration mean company has sale their product to
existing consumers of particular goods. In this process consumer demand upgraded version of
existing product and services. Apple company has upgrade their product on continues bases so
that they will attract existing consumer to purchase upgraded version of their product that helps
to increase sells and profitability of the firm. This all process is about generating revenue form
existing consumers by providing better product and services. Through market penetration Apple
company has successful in their consumer retention strategies (Keller, Parameswaran and Jacob,
2011).
Product development: Company has known their market scenario and according to that
they wiil make strategies for future goals. Innovation is very important tool of product
development. Product development is a very risky strategy for the company because future is
uncertain. This strategy can be used by company when they are known their product is not new
for market. Apple Company takes risk and develop new product that provide first moving
advantage to firm at market place. Apple Company has launched Iphone which are unique for
current market (Ruzzier and De Chernatony, 2013).

Market development: Market development means launching their product and services
at new market place for new consumers. Apple company has launch their product and services
into others country as well so that they will develop their market. Through market development
company may increase their profitability and market share because they will encourage new
consumers for purchasing firm product and services. Apple company have operate their business
in several country so that, they have an opportunity to develop new market according to their
culture and environment.
Diversification: Diversification means developing existing product to attract new
consumers by new product and services. Its a risk minimization tool for the brand managers. Its
decrease risk of lees number of consumers, that strategy provide high market share to the firms.
Through diversification company has sustain their original consumers and approach new
consumers which help to gain profits and high market share. Apple company ahs use this
strategy for developing its new innovative product. I-tunes is one of the example of this strategy
that use by Apple company for selling their phones and computers (Kapferer, 2012).
Brand collaboration and partnership – Many company joints hands for creating
innovative product and services for the consumers, its provide help to company focus on their
key work area. Company can not do everything their key work area are restricted, and they are
specialist of their work. That is why they will joint their hands with other company for increase
their work area. Apple company joint their hands with Cisco for increase their work area. Both
companies are developing best experience through network of Cisco. They have launched their
new goods like IOS integrations, MacOS from Cisco etc. This strategies use by company for
analyzing entire performance and execution of product and services at market place.
P5 Evaluating brand value by using different types of measurement techniques.
Brand value mean how many consumer are associated with company product and
services, those prefer this brand over others brand. Brand value are realize when owner of the
company are sell their business to other they will receive some amount of money of brand name,
that is called brand value. Brand value is very important part of the business those support to
management for taking decision and create profitability for the firms for growth & success of
company (Asmussen and .et. al., 2013). Its very use full tool for attracting large number of

consumers from population to sell their product and services. Many types of techniques are used
by company for retaining brand value is as follows:
Perspective of brand value: This is prim phase for the company where they are grow
their brand image in consumer mind over the competitors. Hard and soft two types of perspective
are use by company. That is very valuable for consumers because its provide best price to them.
Apple Company have use effective mode of communication for spreading their massage among
the market. They will use different communication channel for creating awareness and build
brand image in consumers mind.
Evaluate consumer behaviour toward brand: every person is different in their taste
and needs & wants. For full fill these need and wants of the customer, Company have to analysis
consumer behaviour. In consumer behaviour firm may do research of consumer attitude,
personality, motivation, learning style, perception etc. toward brand. According to that research
they will take decision on strategies formulation.
Determine goals and objectives for brand value: When company go for branding they
will make sure about companies goals and objective should be full fill by this method of
branding. Apple company firstly identify their objecting of branding, after that they will set goal
for achieving these objectives in a effective manner. Apple company management has provided
full guideline of making brand strategies (Dinnie, K., 2015).
Aspect of brand value: company has use marketing tool like advertisement, promotion,
communication channels etc for creating brand awareness at market place. Apple use various
communication channel for promoting brand like public relation, sponsorship etc. for gain
attention of many consumers toward product and services.
Evaluation of brand discrimination: In this process consumer are give their opinion
about product and services of the company. That is show, what is the consumer perception about
company brand. This provides help to company make strategies for generate positive perception
about brand value by consumers. Every organization has to capable to identifying and evaluating
their brand value and product worth (Ertimur and Coskuner-Balli, 2015).

Collecting brand value by qualitative and quantitative research method: Research
method have two types qualitative and quantitative. In qualitative research method company
have gather information from analyzing consumer behavior, information are not in numbers that
are situational answers like strong, very strong, agree, disagree etc. In quantitative research
method company arrange numerical information and interpreted for making conclusion
(Burmann and König, 2011).
CONCLUSION
From the above report we can conclude that brand management is a very vital component
of any organization in development and growth. In order to measure their targets they implement
new technologies, brand image and perception of clients. Therefore company is required to make
effective image which can attract as many people which will increase their revenues. Apple is
one of the leading company which is aware of their software and hardware and they know how
to attract more consumers. They are providing them with very good devices for which customers
can be reliable on their products.

REFERENCES
Books and Journals
Keller, K. L., Parameswaran, M. G. and Jacob, I., 2011. Strategic brand management:
Building, measuring, and managing brand equity. Pearson Education
India.
Kapferer, J. N., 2012. The new strategic brand management: Advanced insights and
strategic thinking. Kogan page publishers.
Barrow, S. and Mosley, R., 2011. The employer brand: Bringing the best of brand
management to people at work. John Wiley & Sons.
Rosenbaum-Elliott, R., Percy, L. and Pervan, S., 2015. Strategic brand management.
Oxford University Press, USA.
Hanna, S. and Rowley, J., 2011. Towards a strategic place brand-management model.
Journal of marketing management. 27(5-6). pp.458-476.
Balmer, J. M., 2012. Corporate brand management imperatives: Custodianship,
credibility, and calibration. California Management Review. 54(3). pp.6-
33.
Asmussen, B. and .et. al., 2013. The multi-layered nature of the internet-based
democratization of brand management. Journal of Business Research.
66(9). pp.1473-1483.
Dinnie, K., 2015. Nation branding: Concepts, issues, practice. Routledge.
Ertimur, B. and Coskuner-Balli, G., 2015. Navigating the institutional logics of markets:
Implications for strategic brand management. Journal of Marketing. 79(2).
pp.40-61.
Burmann, C. and König, V., 2011. Does internal brand management really drive brand
commitment in shared-service call centers?. Journal of Brand
Management. 18(6). pp.374-393.
Buil, I., De Chernatony, L. and Martínez, E., 2013. Examining the role of advertising and
sales promotions in brand equity creation. Journal of Business Research.
66(1). pp.115-122.
Du Preez, R. and Bendixen, M. T., 2015. The impact of internal brand management on
employee job satisfaction, brand commitment and intention to stay.
International Journal of Bank Marketing. 33(1). pp.78-91.
Gromark, J. and Melin, F., 2011. The underlying dimensions of brand orientation and its
impact on financial performance. Journal of Brand Management. 18(6).
pp.394-410.
Valette-Florence, P., Guizani, H. and Merunka, D., 2011. The impact of brand
personality and sales promotions on brand equity. Journal of Business
Research. 64(1). pp.24-28.
Förster, K., 2011. Key success factors of TV brand management: An international case
study analysis. Journal of media business studies. 8(4). pp.1-22.
Rauschnabel, P. and et. Al., 2016. Brand management in higher education: the university
brand personality scale. Journal of Business Research. 69(8). pp.3077-
3086.

Melo, T. and Galan, J. I., 2011. Effects of corporate social responsibility on brand value.
Journal of Brand Management. 18(6). pp.423-437.
Chauhan, K. and Pillai, A., 2013. Role of content strategy in social media brand
communities: a case of higher education institutes in India. Journal of
Product & Brand Management. 22(1). pp.40-51.
Christiaans, L., 2012. International employer brand management: A multilevel analysis
and segmentation of students' preferences. Springer Science & Business
Media.
Morgan, N., Pritchard, A. and Pride, R., 2011. Destination brands: Managing place
reputation. Routledge.
Singh, J. J., Iglesias, O. and Batista-Foguet, J. M., 2012. Does having an ethical brand
matter? The influence of consumer perceived ethicality on trust, affect and
loyalty. Journal of Business Ethics. 111(4). pp.541-549.
Da Silveira, C., Lages, C. and Simões, C., 2013. Reconceptualizing brand identity in a
dynamic environment. Journal of Business Research. 66(1). pp.28-36.
Zenker, S., 2011. How to catch a city? The concept and measurement of place brands.
Journal of Place Management and Development. 4(1). pp.40-52.
Da Silveira, C., Lages, C. and Simões, C., 2013. Reconceptualizing brand identity in a
dynamic environment. Journal of Business Research. 66(1). pp.28-36.
Ruzzier, M. K. and De Chernatony, L., 2013. Developing and applying a place brand
identity model: The case of Slovenia. Journal of Business Research. 66(1).
pp.45-52.
Online
Brand Strategy. 2016. [Online]. Available through: <http://www.marketingmo.com/strategic-
planning/brand-strategy/>.
Strategies for maximizing Brand Equity. 2015. [Online]. Available through:
<http://www.rightmixmarketing.com/branding/maximizing-brand-
equity/>.