Brand Management Report: Building and Managing Brand Equity

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BRAND MANAGEMENT

Table of Contents
Introduction...................................................................................................................... 3
Task 1 – Building and managing brand over time (LO1)..................................................4
Task 2 – Brand portfolio and hierarchy management......................................................8
Task 3 – Brand extension and leverage.........................................................................11
Task 4 – Measuring and managing brand value............................................................13
Conclusion..................................................................................................................... 16

List of figures-
Figure 1: Aaker's Brand Equity Model..............................................................................7
Figure 2: Keller's Brand Equity Model..............................................................................8

Introduction
This report highlight brand meaning as a name, term, sign, symbol, logo, which makes
the product different from other brands and it helps in identifying the products or goods
or services of the organization. Brand equity explains the brand value. Companies
create brand equity by making it recognizable, reliable, memorable, provides good
quality of products to the customers. It also explains stages of building a successful
brand to determine the target audience, define the brand mission, research competition,
create value propositions, determines brand guidelines and markets the brand of the
company. Marketing programs play a vital role in building brand equity, brand image
and brand awareness of the product. It also explains brand portfolio strategies and
brand management hierarchy in defining two levels strategic/decision-making model
and executive/support level. In brand, management hierarchy follows proper instructions
of work assigned by top-level management to the middle, middle to lower level in
chronological order of hierarchy.

Task 1 – Building and managing brand over time
BRAND IS POWER
The term brand simply means the name of any product of any company in the
industry. If a brand gets popular it can run for a long time period without any
interference. And keep going with good quality of goods and services. When a
customer is using a specific brand they got to stick with it because of their trust in the
equality of brand.
The brand can make the customer or people recognize their quality for their products
and services so that the customer can easily differentiate their product from other
products. It can help the customers for purchasing their own particular goods and
services because they were designed to distinguishing brand name that is not similar
to the other goods and services. A brand is capable enough to showcase the
business of any specific business and represent the ways in which it can be
recognized for a long time of period.
For the development of a brand, there are various possible ways that are outlined
below-
- Reputation in market
- Market advertisement
- Services for customers
- Promotional commodities
- Logo of brand
All these ways can together help in gaining attraction of people or consumers and
also get the attention of the sole business profile.
The term brand equity is described as a marketing term that represents the brand
value in the industry and market. The brand value can be recognized as an opinion of
consumer and their practices with that specific brand.
Generally, the brand can make the first impression on consumers and helps the
branding for making the goods and services stand alone in such a competitive
market. Branding can support the business in various ways that are discussed below-
1. Credibility- The Optimum Impression Ltd. organization is referred to as an expert
for the workplace if they consist of all the popular and fixed brands. When the
organization has correct knowledge of their brand and they work in a professional
way then it seems to be the most popular brand and the consumers would love to
purchase goods and products from that specific brand.
2. Stand-alone- Branding is something that makes the product differ from any other
product and gives the first impression to consumers so the brand must be so
popular so that it makes the product stand alone in the market.
3. Loyalty- Many of the consumers are attracted towards the brand that represents
the same values of consumer demands and hence they form a link with the brand
and with time they form an emotional bond with the brand.
4. Referrals- When a customer forms a bond with the brand they have given their
loyalty and trust to that specific brand and when they love their quality they would

love to share the details of that specific brand about their quality to their families,
friends, relatives, etc. and also the consumer spectators are the only marketing
source.
5. Consistency- The brand provides consistency in shopping as well as choices. As
by making choices, a consistent customer can get their products and services
within a short time period as they already have experience with that brand. It helps
to reduce the time utilized for making choices. (Lister, 2018).
Many of the elements can represent the importance of branding that can be shown
below-
- Enhancement in values of the business
- Make new customer connections
- It gets identify
- It can assist the advertisement
- It enhances the employees’ pride and happiness
- Formation of trust and loyalty within the marketplace
The branding can support the business practices for Optimum Impression Ltd. as a
most effective brand that can support the goods and services for an individual in the
market competition (Rosenbaum-Elliott et. al., 2015).
The brand equity is of two types depends on the popularity of the values of the brand.
There are two types of brand equity that are positive brand equity and negative brand
equity. There are mainly four components that impact the brand equity that is
knowledge, differentiation, esteem, and relevance.
Knowledge- customers cannot buy any of the goods and service without having its
proper knowledge of details. Many of the popular brands are capable enough to
advertise their brand among the new generation people so they are successful in
spreading the details of their brand value among marketplace and consumers.
Differentiation- the customers get assured by the products so that they can
differentiate their brand products from that of other brands. Also, this surety cannot be
considered as a sure deal for the market.
Esteem- Esteem is so relevant with appreciation and respect for the brand by its
consumers. And the esteem of brand equity can be measured with the support and
help of better quality goods and services in the market for the consumers.
Relevance- The brands must be relevant with the market trends as to get popular
among marketplace a brand must adapt all the current and upcoming trends that
make an effective and efficient brand. (Silvestre, et. al., 2018)
To establish strong brand management, some models are proposed that are Aaker’s
Brand Equity model or Keller’s Customer-Based Brand Equity (CBBE) model.

Aaker’s Brand Equity model-
It is the contribution of brand awareness, brand loyalty, and brand association of the
brand for the final offer of an appreciated or excellent goods and services for the
consumers. Aaker’s equity model mainly concentrates on brand identity work. Here
are the major four structures that lie under Aaker’s equity model that are brand as a
symbol, person, organization, and product.
1. Brand as Symbol- It comprises of visual and sound effects, the tradition and
culture of the brand and their demonstrative codes.
2. Brand as Person- It comprises of the brand’s character and brand’s
relationship with customers.
3. Brand as Organization- It covers several sectors like essentials of the
workplace, regulated mechanisms against worldwide activities actions.
4. Brand as Product- It comprises of the product’s scope, product’s factors,
users and uses, product’s value, product’s quality, origin country. (Wang, et.
al., 2015)
Figure 1: Aaker's Brand Equity Model

Keller’s Brand Equity model -
Another model is Keller’s Customer-Based model that can also be referred to as
Customer-Based Brand Equity (CBBE) model. Such type of model highly works for
the below-described references that are-
1. Brand Identity and recognizing
2. Brand Meaning and senses
3. Brand Comeback and responses
4. Brand Resonance or quality
Figure 2: Keller's Brand Equity Model
Branding can be referred as a marketing tool that is necessary because it does not
just make an unforgettable impression but also allows the consumers and clients to
remember what can be the expectations form the Optimum Impression Limited.

Task 2 – Brand portfolio and hierarchy management
Introduction- this section will look up to the brand portfolio strategies and
methodologies that will help in the analysis of the management hierarchy of the
workplace. And also the strategies and methodologies used for brand equity
management are also discussed here. The TESCO organization is chosen to illustrate
this task that is so popular in supermarket series of UK. These supermarkets are one of
the biggest groceries and clothing market in the UK. Apart from this some strategies
and methodologies are used for brand portfolio management and brand equity
management and also used for brand hierarchy management.
TESCO is most popular for their biggest place in supermarket chain of UK and also
through worldwide. They used to supply their goods and services worldwide. So the
TESCO organization must need to use these effective and efficient strategies and
methodologies of a brand portfolio that’s very important for them. It will assist them for
their brand value and image in the market and industry and can also support the
TESCO organization to enhance their revenue and sales value in the market. By using
these several strategies and methodologies, the organization can achieve and
accomplish their targeted goals and objective. (Lake, 2019).
Some of the strategies used by TESCO organization to enhance their productivity and
to manage their brand portfolio are-
1) Customer needs analysis-
This methodology or strategy can assist TESCO organization for gathering all the
required information about the changes exist in customer’s needs and also gives
detailed information about the new trend or any changes in the existing trend. All
these steps can assist the organization to make changes in their goods and services
as per the market and customer demands that changes in current market and trend.
This can assist the organization in making a clear brand image and brand value in
the market and improve their productivity by enhancing the brand portfolio of
TESCO.
2) Set-up role to each and every brand-
It is necessary for any organization to set their roles and targets for their goods and
services. Hence, the goods and services provided by the company represent their
brand in the market and if they fix some target value for their goods and service then
it’s been easy to analyze the performance of each and every services and product. It
can also assist in the formation of further methodology and strategy for
accomplishing the targeted goals and objectives for goods and services.

It is very necessary for TESCO organization to have proper hierarchy management that
is fixed and targeted with their roles in the organization as TESCO is one of the
foremost supermarket series across the worldwide. So a hierarchy of management is
proposed for resolving all the issues of an organization that are-
Level 1- This is the basic level where employees from various departments are isolated
that will help the organization to identify them easier. For instance, the clothing
department has subsections of man’s clothing, women’s clothing, kids clothing. ( Urde,
2016).
Level 2- This step is higher than Level 1 as some high department include in this level
to control and supervise the sub-departments and team to resolve their issues at ground
level only. For instance, the clothing department in the TESCO store has their own
manager with their employee team.
Level 3- This the highest level having manager and supervisor to completely monitor
the entire store and resolve the issues and problems of that store. For instance, Store
manager for TESCO organization.
Level 4- This is the last level, where the manager of the region, manager of
headquarters are available for controlling and super visioning the store performance
and resolve all the store issues.
According to (Mal, et. al., 2018) the brand equity of TESCO organization needs to be
managed and for that, it needs to adopt some brand strategies and methodologies that
are discussed below-
1) Loyalty towards customers- It is necessary for TESCO organization to establish a
good relationship with their clients and consumers and for that, it is necessary that
brand must be loyal with their customers with their quality of goods and services. For
this state, the brand needs to provide their goods to all the customers at the same
rate and do not provide any duplicate copy of that product.
2) Product’s quality management- as TESCO is one of the foremost supermarket
series in the UK and across the worldwide so this is important for them to manage
the quality of their goods and services that they provide to their clients or
consumers. This can assist them for enhancing their brand image and their brand
value in the market and gain attraction of many customers and business towards
them.
The TESCO organization use House of The Brand strategy for managing the needs
and requirements of the organization. This strategy can assist in managing brand equity
in the marketplace.
The House of The Brand can assist in making multiple brands under a single workplace.
TESCO is using this brand portfolio approach for managing their multiple store products

and services. One of the drawbacks of this strategy is that several names come under
one brand cannot be remembered for a long time like Cadbury have many other
products but it’s difficult to remember their names individually so it’s been renowned by
Cadbury only. ( Schmidt, et. al., 2018)
Conclusion- The brand strategies and brand hierarchy management are discussed
here with the help of TESCO organization. By using all these strategies and hierarchy
management the brand image and value of TESCO get improved at the marketplace
that results in revenue and sales value enhancement.

Task 3 – Brand extension and leverage
Introduction-
The brand extension and leverage is a brand management strategy for assisting the
entrance of workplace by using the strength of existing brand names inside a new brand
environment and still they are getting connected with goods and services categories by
having a proper communication link with goods and services that are necessary with
their values for the clients or consumers. For example, the coffee manufacturer keeps
using the brand names to motivate the retailing machine launching.
The TESCO organization have many brands underlies them and one among them is
Stockwell & Co. It is one of the tertiary TESCO brands that is used for basic groceries. It
is renowned after the former tea retailer T.E. Stockwell that is TESCO’s fractional name.
The recent brand strategy of the workplace is very remarkable as it is capable enough
for gaining the attention of several customers and businesses towards them with
beneficial outcomes and resultants that represent that the recent brand strategy is
working accurately as per the norms and protocols of the workplace. The brand value
measurement processes are the market-based brand estimation used in TESCO
organization for the comparison of brand values that were already sold out of other
organizations and then perform the market price analysis process. The Optimum
Impressions Limited match the dealings of organization with other present
organization’s dealings that involves the brand sale, quotations of stock-market and
dealings of the workplace. (Dessart, et. al., 2015).
Strength-
- The TESCO organization is one of the foremost supermarket series in the UK or
across the world-wide.
- They are the foremost stakeholder of the market in the UK or across the worldwide,
and takeover the 4 percent shares in the market of UK.
- Even though their geographical diversification were their strength as they have many
outlets worldwide.
Weakness-
- The main weakness of TESCO organization is about their outlet failure in Japan and
the US because their business didn’t get that expected success in Japan and
America’s market.
- Also, the TESCO organization had faced a fraud scandal in the 2017 year and then
the government has charged them for that and they go down in a big loss.
- The sales of TESCO organization get improved by the low-cost strategy but it leads
the TESCO brand with less profit for their products and services.