Brand Management Strategies: A Comprehensive Report

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BRAND MANAGAMENT

Contents
Introduction....................................................................................................................................................2
Task 1.............................................................................................................................................................3
Introduction................................................................................................................................................3
Stages of building a successful brand........................................................................................................3
Role of the marketing department..............................................................................................................4
Body...........................................................................................................................................................5
Conclusion.................................................................................................................................................7
Task 2 – Brand portfolio and hierarchy management (LO2).........................................................................8
Brand portfolio strategy of the Volkswagen..............................................................................................8
The hierarchy management of brands within the organizations portfolio.................................................9
Management of brand equity of Volkswagen..........................................................................................11
Task 3 – Brand extension and leverage (LO3)............................................................................................13
Strengths of the brand..............................................................................................................................13
Weaknesses of the Audi brand and suggestion........................................................................................14
Collaborative and partnership agreement with the brand and its benefit.................................................15
Task 4 – Measuring and managing brand value (LO4)...............................................................................16
Brand value..............................................................................................................................................16
Brand awareness......................................................................................................................................16
Market share.............................................................................................................................................17
Consumer attitude....................................................................................................................................17
Purchasing intent......................................................................................................................................17
Conclusion...................................................................................................................................................19
References....................................................................................................................................................20
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Introduction
A brand is a power for a company because it enhances goodwill, reputation, profit and market
share of a company. Management of the brand is necessary for an organization in this highly
competitive business environment. No business can get success without adopting efficient brand
management strategies. A brand is the powerful identity of a company which helps the customer
to recognize and remember the brand when they make purchases of the products (Rosenbaum et
al., 2015)
In this assignment report in its first task part, the discussion will be done on brand, brand equity
and its management by using the different models along with the stages of brand management
and the role of the marketing department in the brand management will also get discussed.
The second task part will include the discussion on brand portfolio using the different models,
the brand hierarchy of a specific organization and different strategies of branding used to manage
the brand. The third task part of this report will analyses that how a brand can be leveraged by
using the different techniques and the task 4 part will describe different measurement and
management techniques used in the brand value of an organization
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Task 1
Introduction
A brand could be identified as colour, name, symbol, design and any other characteristics that
differentiate a product from the other products. A company use a brand to identify its product
and to create the company's image in the market. Brands are used in the marketing, advertising
and business. A brand defines the value of a product in the market and also reflects the identity
of an organization. A brand is a powerful weapon used to gain competitive advantages in the
market (Heding et al., 2015)
Brand equity includes a term that relates to the marketing and includes brand value that value can
be derived from the behaviour and perception of the consumers towards the brand name of the
services or products rather than from the service or product itself it is based upon the idea that
brand name of a company or product can generate more value in the market. Products of Well-
known brand name are more popular than the less known brand name products
Stages of building a successful brand
Brand building is used to create customer awareness and promoting a company's strategies of
marketing. It also enhances brand equity by using different advertising techniques and
promotional campaign. The stages of building a brand successfully are presented below:
Determine the target audience
Make an analysis and identification of your target audience whom you want to communicate the
useful information about the brand because that brand will satisfy their needs and desire and also
decide the way of communicating the brand as well as divide your audience into different groups
or segments (Theurer et al., 2018)
Determine the mission
Clearly, describe the purpose of the business and reflect the mission and objectives of your
business (Theurer et al., 2018)
Research on the competition
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Make an analysis of the competitors brand and what he has to offer in the market and what brand
strategies they are using in the market (Theurer et al., 2018)
Value proposition
Determine the value proposition for your brand that will help in differentiating the product from
the other brands of the companies. This will reflect the uniqueness of the product (Theurer et al.,
2018)
Brand guidelines
That would result in maintaining consistency in the business of the company. Rules and
regulations should be included here to establish effective interaction with the audience (Theurer
et al., 2018)
Marketing of the brand
Here the company will use an effective marketing technique to distribute and promote the brand
in the market such as marketing on social media, website and other advertisement or promotional
tools (Godey et al., 2016)
Role of the marketing department
•The marketing department is responsible for managing the brand in the market. They use selling
and promotional tools to create a brand image and brand awareness among the customers
(Boisvert and Ashill, 2018)
•Marketing unit involves an as large number of consumers to promote and create the brand
knowledge in the market and attracts them to purchase the product (Boisvert and Ashill, 2018)
•It is responsible for analyses the activities and strategies of the competitors are using in the
branding
•The brand is communicated by the marketing team and that helps in attracting and retaining
customer towards the brand
•Management of the brand is done by the marketing team to gain competitive outcomes
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•It analyses the need of the customers in the market and satisfies that need by creating and
communicating the brand to them (Boisvert and Ashill, 2018)
Body
Successful strategies for brand management
An organization can use specific brand management strategy to create brand equity, brand
revitalization, brand extension and reinforcing the brand in the market. Some strategies are
described here by using the different models (Boisvert and Ashill, 2018)
Aaker’s model of Brand Equity
David Aaker is the founder of this model and under this model, he described the brand equity by
combining different elements like brand awareness, brand association, brand loyalty, perceived
quality and proprietary assets of a brand these elements helps creating a value of a brand by
enhancing the value of a product or services (de Oliveira et al., 2015)
Brand loyalty
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Figure 1 AAKER'S MODEL OF BRAND EQUITY

Brand loyalty helps in gaining competitive advantages and ensures that customers are loyal to the
brand of the business. It also helps in decreasing the marketing cost of a product. The Unilever
organization has created customer’s loyalty towards its several brands (Oliveira et al., 2015)
Brand awareness
It refers to the knowledge of a brand to customers and they take it into consideration at the time
of purchasing of the product. Customers are aware of the brands of the Unilever Company and
the company has leveraged its brand over a period of time (Oliveira et al., 2015)
Perceived quality
When the brand is perceived as the qualitative brand it creates more profit for the company and
that can be seen in the purchasing rate of the brand. Differentiation and quality of the products
enhance the perceived quality of the brand. The Unilever organization have extended its brand
because of the quality of its brand and the company is gaining a high margin (Oliveira et al.,
2015)
Brand association
It reflects the differentiation of the products and positive attitude of the consumers towards it and
the association of the brand knowledge helps in making a purchasing decision (Oliveira et al.,
2015)
Other proprietary assets
Relationship with the advertising and other channels, patents, trademarks and logo also results in
creating brand equity. Unilever organization has a strong trademark, patent and attractive brand
name that attracts more customers in the market. It is the brand name of the company which
secure it from the crises (Oliveira et al., 2015)
Unilever is crafting a brand for life using the three pillars
 People first (by giving the first priority to the customers and develops those products
which satisfy their needs)
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 Indispensible brand (building only those brand that people cannot live without
purchasing)
 Magical experience (sharing the magical experience with the customer on the path of
their purchasing)
Conclusion
Importance of branding as a marketing tool
 Branding helps in the promotion of the products and provides relevant information about
the brand
 Branding helps in identifying customer needs and then fulfilling them with the powerful
efforts
 It motivates and attracts potential customers to purchase the products
 It establishes an emotional relationship with the target audience to fulfil their demand
 Increases customer satisfaction and loyalty by delivering good brand value
 It creates the uniqueness of the products that help in gaining an understanding of the
brand
 It helps in increasing the credibility of the brand in the market
Task 2 – Brand portfolio and hierarchy management (LO2)
Brand portfolio strategy of the Volkswagen
Brand portfolio basically includes the collection of different brands which are controlled by a
company itself. Small companies may have a single brand but large organizations generally
consist of multiple brands and that is termed as the brand portfolio. Three types of model are
used in a brand portfolio branded house, house of brands and house blend (Wallina and Spry,
2016).
House of brands
This includes multiple brands under the same organization and creates a unique identity of the
company in the market for example Volkswagen. Under this model each and every brand are
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independent and failure of any brand will have little or no effect on other brands (Spry and
Lukas, 2016)
Volkswagen has 12 brands under the single brand name and its every brand operated as a single
unit in the market. The products of Volkswagen include small to luxuries cars and other vehicles.
And low consumption motorcycles. It also has some commercial products such as buses, heavy
trucks and pickup buses. Volkswagen in the brand of the automobile industry and distributes its
products in many countries (Volkswagen, 2019)
Figure 2 BRAND PORTFOLIO OF VOLKSWAGEN
Source: (Volkswagen, 2019)
Branded house
This model describes that only a single brand name used by the company for its different
products. For example apple and dell (Spry and Lukas, 2016)
House blend
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This is the combination of the house of the brand and branded house and reflects characteristics
of both model, for example, Microsoft has this model to penetrate into the new target market
(Spry and Lukas, 2016)
The hierarchy management of brands within the organizations portfolio
The brand hierarchy includes a sequential arrangement of different brands that are different and
unique from each other but they have a strong relationship with others. Generally, it refers to the
grouping and combining different brands into the portfolio of an organization (Wallina and Spry,
2016). The brand hierarchy under the portfolio of Volkswagen is presented as follows:
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Source: (Volkswagen, 2019)
Volkswagen has grouped its different brands into different categories such as cars, pickup,
trucks, motorcycle and other luxury vehicles. The 12 brands of Volkswagen includes Audi,
passenger cars, SEAT, SKODA, Bugatti, Bentley, Lamborghini, Porsche, Ducati, Scania, MAN
and Volkswagen commercial vehicles. Hence it has a large range of automobile brands which are
served worldwide to its customers. Each brand has its own nature and characteristics and that
helps in differentiating the brand from each other. Volkswagen has designed its products for all
the segment people lower level to the upper level (Volkswagen, 2019).
Hence Volkswagen a brand hierarchy with different brands and each brand presents its own
products. The popularity of its brand is creating brand equity for Volkswagen. The products of
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Figure 3 BRAND HIERARCHY OF VOLKSWAGEN

Volkswagen satisfy vehicle need of the customers. The designing and positioning of the brand
attracting a large number of customer group in the market
House of the brand is an effective model because it includes various brands under the name of a
company and a combination of different brands provides confidence and strength to an
organization to achieve competitive advantages. In the branded house only a single brand name
is used for all the products and failure of a brand will make a negative impact on the other brands
so the house of brands model is appropriate (Wallina and Spry, 2016).
Management of brand equity of Volkswagen
Keller’s Brand equity Model – CBBE Model by Keller
According to this model, there is a core relationship with the brand and its customers. The brand
strategies are designed and developed according to the need of the customers. Management of
the brand equity of Volkswagen will be understood by using this model (Keller and Brexendorf,
2017)
Figure 4 KELLER'S BRAND EQUITY MODEL
Source: (Keller and Brexendorf, 2017)
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