Comprehensive Brand Management Report: Virgin Group Analysis

This report provides a detailed analysis of brand management, using Virgin Group as a case study. It explores the importance of branding as a marketing tool, examining its emergence in business practices and its impact on customer trust, brand recognition, and marketing efforts. The report delves into the key components of a successful brand strategy, including target audience, brand promise, perception, values, voice, and positioning, and their roles in building brand equity. It further discusses different strategies of portfolio management, brand hierarchy, and brand equity management, emphasizing the importance of brand portfolio and equity strategies. The report also highlights the significance of collaborative brand management and the various techniques for measuring and managing brand value, providing a comprehensive overview of brand management principles and their practical application within a multinational corporation.

Brand Management

Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Importance of branding as a marketing tool and reason of its emergence in business practices 1
Key components of a successful brand strategy and building brand equity...............................3
Different strategies of portfolio management, brand hierarchy and brand equity management.4
How brands are managed collaboratively and in partnership both at a domestic and global
level.............................................................................................................................................6
Different techniques for measuring and managing brand value.................................................7
CONCLUSION ...............................................................................................................................9
REFERENCES .............................................................................................................................10

INTRODUCTION
A brand is the unique identification that is been provided to an organization that helps the
firm to effectively connect with the proper management of the business operations and activities.
Other than this, branding is the proper management of the processes related to the brand,
effecting the operations and thus supporting the rise in placing a wide range of business activities
to a greater extent (Jugenheimer, Sheehan and Kelley, 2015). For present report, Virgin Group is
been chosen as the organization of context. It is a UK based Multinational organization.
The assignment will cover the importance of branding as the marketing tool and its
emergence as business practices. Besides this the effective brand management theories and
concepts are evaluated. Key components of successful brand building and brand equity. Different
strategies of portfolio management, brand hierarchy and brand equity is analyzed. Also, various
techniques to leverage and brand extension. Other than this, measures to manage the brand and
brand value is been discussed.
MAIN BODY
Company details
Virgin Group is a British multinational company which was founded by Sir Richard
Branson and Nik Powell in 1970. It operates in a wide variety of businesses like publications,
media, healthcare, traveling, banking and telecommunications. It is one of the largest MNC in
the world with approximately 71,000 employees and operating in about 39 countries. It has a Net
worth of about £19.5 billion.
Importance of branding as a marketing tool and reason of its emergence in business practices
Brand or branding is the activity that helps an organisation to carry out the business
activities and operations in order to gain a positive reputation for a firm. Branding is an
assurance which helps the firm to grow and develop a wide range of other process which assist
an organisation like selected business enterprise to have a good brand equity and market
position. This is important for the organisation to have a good market image and thus will help
the organisation to promote its products and services in much effective and significant manner
(Ertimur and Coskuner-Balli, 2015). A proper branding operation will support a good placing of
products and services that are been offered by the business organisation in much suitable and
significant manner. Branding is a very important marketing tools as psychologically, customers
prefer to purchase the branded products due to their reputation of having the high quality and
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superior productivity. The placing of a brand in a market is the major challenge that is been faced
by an organisation, but once it is properly established in market, it leads to effective growth and
placing of the business activities and operations in more significant manner (Renton and et.al.,
2017). Branding has the following impact as the marketing tools for a business enterprise:
 It improves the customer trust level: In marketing, the customer trust level is the most
significant factor that is required to be taken in consideration by the firm. A good trust
towards a firm or brand will lead to increase in its sales and thus, improves revenue of the
business operations in much effective and significant manner. Besides this, it will
encourage the firms like Virgin Group to improve their work process and activities in
much effective manner.
 Branding increases the recognition of firm: branding process that is been taken in the
consideration by the firm will help the firm to identify the business activities causing the
improvement in the recognition or identification of a firm among the customers in the
market (Solomon and et.al., 2014). It reduces the expenses that are been laid upon
carrying out of marketing operations and activities which will support the positive growth
and development of the organisation in much suitable manner. The improvement in the
customer preferences and helps the buyers to decide the proper measures to provide the
products and services accordingly.
 Leads to the growth of marketing Efforts: brand is been created by applying the high
quality products and services at the reasonable cost. The proper placing of the business
activities and thus handling of the promotional measures that are been taken in
consideration by the firm. Thus, the management of an organisation will lay a significant
and serious focus upon the marketing and promotional activities and measures to
maintain the brand image (Malik, 2015).
 Motivates the employees: Branding will help the employees of an organisation to work
more effectively with dedication in order to sustain the brand image and reputation of
products and services in the mindset of people, impacting the overall operations and
effective placing of the business activities in much suitable and significant manner.
Branding has emerged as an effective marketing tool in order to carry out the business
practices and other operations in much effective and significant manner. With the globalisation
and increasing of competition in market, branding has turned out to be the major weapon and
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support for a firm to exist and perform within a marketplace (Renton, Daellenbach and
Davenport, 2016). It helps an organisation like Virgin Group to take suitable measures and
enhance the quality of their services and products improving their market share and brand value
of their offerings. Besides this, it plays a very significant role in increasing revenue of a business
entity. Thus, this can be said that the proper placing of a wide range of business activities and
operations supports the proper management and emerging of branding activities over a time in a
very effective manner.
Key components of a successful brand strategy and building brand equity
As branding is considered as very important for an organisation to have the effective and
significant growth rate, the proper development and management of a brand strategy is very
important for an organisation (Burmann and et.al., 2017). The brand strategy includes the
effective and proper measures of establishing, developing and maintaining of brand image in the
organisation. Brand Equity is the positive perception and placing of the brand name for a
particular product or services. Thus, making a good brand strategy and equity, various Key
components are required to be taken in consideration that will help the firm to enhance and
improve the branding activities in a very significant manner, which are as below:
 Target Audience: In order to have the proper management of the business operations
and activities to have a better branding, the firm is required to set its target audience and
buyers. This will help the firm to clarify the needs and requirements of buyers they will
encounter and develop a good quality product or service accordingly.
 Brand Promise: It is the agreement or trust factor that impacts the better development of
the brand strategy and equity for a firm (Rosenbaum-Elliott, Percy and Pervan, 2015).
This will help the organisation to improve the effective placing of the business activities.
Besides this, it will help the firm to have a positive customer perception.
 Brand perception: An organisation like Virgin Group is required to maintain and evolve
the brand perception of an organisation in much effective and positive manner as it helps
the firm to have a suitable and better growth factor and thus will lead the organisation to
enhance the quality of measures to meet buyers requirements (Rauschnabel and et.al.,
2016). Other than this, it assists the fir to positively perceive the brand and the products
or services offered by it.
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 Brand values: this is the major factor that is required to be placed within organisation in
order to carry out business operations related to brand development and placing of the
strategies in much suitable and significant manner. The brand value includes the quality
standards and operations that are been taken in consideration by the firm to maintain and
retain their customer base and market share.
 Brand Voice: this is the representation of the products and services related to the firm,
supporting the placing of business operations and activities in much suitable manner
(Heding, Knudtzen and Bjerre, 2015). A good brand voicing is dependent on the quality
and extent of services that are been offered by a firm like Virgin Group to represent the
brand equity that is been gained by the firm.
 Brand positioning: It is the proper placing of the market position or place that will help
the firm to improve the competitive advantage of the firm that will help the Virgin Group
to have a good growth. Besides this, it will increase the effective accessibility of an
organisation to carry out the wide range of business activities and operations that are been
placed by the firm.
This will help the firm to carry out the business operations in much effective way. The
proper placing of business activities and thus will lead the fir to improve the quality of
operations. Brand Equity is been improved in positive manner helping he fir to enhance the
quality of business operations (Ashworth and Kavaratzis, 2017). The successful placing of the
business operations and activities will help the firm to enhance the quality of operations that are
been placed within the organisation. The good and effective placing of the business operations
and thus will help the firm to enhance the firm to carry out marketing processes and techniques
that will help the firm to enhance the proper improvement in gaining a good range of market
share. It will help the selected business enterprise to develop a good and high quality products
and services, which will contribute to have an effective improvement in the brand equity.
Different strategies of portfolio management, brand hierarchy and brand equity management
The proper measures are required to be taken in consideration by the selected business
entity to carry out the portfolio management and brand hierarchy with the proper brand equity
management that will help the firm grow and develop the business operations. These strategies
and other management measures that are been discussed by the firm will help it to have a
significant growth improvement in market positioning (Buil, Martínez and Matute, 2016). As
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branding is a very important factor that is been taken in consideration by the business
organisation to have a sustainability and customer satisfaction level, it various parts like portfolio
management, brand hierarchy and brand equity in much suitable and effective manner. Some of
major strategies that are been taken in consideration by a firm are as follows:
Brand Portfolio: This involves all the brands and related products and services by the firm
under one common name. This will help the firm to improve the quality of operations that are
been taken in consideration by the firm. It includes the two major strategies luike passive and
active management. In the passive management, the investors are willing to accept the market
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Illustration 1: Portfolio management process
Source: Portfolio management process, 2019

returns gained by brand. On the other hand, the active management includes the asset allocation
process that will help the firm to improve the quality of business operations and activities that
will help the firm to improve the services and product quality by the firm.
Brand Equity: The brand equity is the major factor that is been taken in consideration by the
firm to have an effective growth. Some major strategies and factors that are been taken in
consideration by the firm are:
 Brand Strategy: It involves the measures which lead to the proper labelling and
identification of the good values and ethical measures.
 Communication: The proper placing of the communication measures will help the
selected organisation to maintain and develop its brand image in the vividly cultured
market place. As Virgin group is a MNC, this measure will help a lot to the firm (Balmer
and Wang, 2016).
 Awareness: Effective awareness of the competitive strategies will help the consumers to
identify and adopt a brand. This will assist the fir to have a good customer base and
improve the marketing processes in much effective manner.
 Collaboration: For a firm, completely relying on its marketing and branding process
may not be adequate. Hence, in this case, the firm can opt for the collaboration or
teaming up with other firm to improve its productivity and thus will lead the organisation
to enhance the quality of measures in much effective manner.
Brand Hierarchy: It is the corporate structure that is been placed within an organisation,
carrying out its operations and thus placing of the fir in much suitable and significant manner. It
helps the firm to place the effective classification of a brand and thus will lead to the
improvement of business activities and operations. It involves the four major stages, which are:
 Corporate: it involves the company or the brand to carry out the proper placing of
business operations and activities that supports the effective placing of a product or
service.
 Brand range: It is the part or the section of a complex firm or organisation that help the
fir to carry out the business operations which will help the fir to evolve and hold a better
management of the products and services (Borkovsky and et.al., 2017).
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 Individual brand: This is an effective placing of the individual product or service that is
been classified under one single brand name. It may include the series or group of
products that are been launched by firm under that brand name.
 Modifier: this is the modification or upgrade that is been done on the product in order to
meet the customer requirements and effectiveness of the organisation in much suitable
manner.
How brands are managed collaboratively and in partnership both at a domestic and global level
The proper management of the domestic and global level operations are been taken in the
consideration by the fir that help the organisation to enhance the quality of business activities
and operations that will help the fir to enhance the quality of business activities and thus will
contribute to carry out the business operations in much suitable and effective manner. This will
help the firm to enhance the quality of operations and thus will support a proper rise in branding
operations which are been taken in consideration by the firm (Brunk, 2016). These strategies will
support a proper management of a wide range of operation and thus will cause the selected
business entity to carry out the business operations of an organisation in much effective manner.
Some major strategies that are been taken in consideration by Virgin Group to operate its
operations on local and global level are as follows:
 Understanding customers requirements: this is the major aim of a firm for having the
effective placing of the business operations and activities that will lead the organisation
to enhance the quality of good and services offered by the firm. The p[roper identification
of customers needs and demands will help the fir to enhance the quality of business
operations which are been followed by an organisation. The identification of the
expectations of buyers from the brand to develop the products and services accordingly.
This will help the fir to gain an effective customer satisfaction level and thus improves
brand image and equity of organisation.
 Placing the brand properly in market: This is the measure or strategy that help the
firm to enhance the quality of business operations and thus will lead to the significant
placing of business operations and thus will support the effective gaining of the customer
base in much easy and suitable manner (Abrahams, 2016). Besides this, the proper
placing of the company or brand within the market will help the firm to enhance the
market share and placing of business operations in much effective way. The improvement
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in the strategic planning is been required to be taken in the consideration by the firm will
help the organisation hence, lead the firm to develop a good perception in mindset of its
buyers and pursuing them to opt and favour their brand as compare to their competitor.
 Brand translation: This is the major concept which is required to be taken in
consideration by a brand or corporation in order to operate properly and effectively on
international market level. This will help the fir to enhance the fir to improve the quality
of business activities which are been taken in consideration by the firm. Besides this, the
words, logos and even colour scheme of the brand name is required to be taken in
consideration by the firm which will improve the overall placing of business operations
and thus needs a significant attention.
 Broad and futuristic thinking: looking at the amount of competition that is been faced
by an organisation on the local as well as the international market level, the management
of firm is required to have the broadly open and futuristic thinking and planning process
(Zhang, 2015). This will help the firm to enhance the quality of operations and thus will
lead the firm to improve the quality of business activities and other operations that are
been taken in consideration by selected MNC. It assists the firm to innovate and adopt the
latest technologies to ave a good customer satisfaction level.
 Having good partners: For a firm, operating alone in a market is not so easy. It needs
efficient partners to run its operations at global level. Thus, the firm is required to
collaborate or acquire suitable partners to carry out branding activities in a very effective
manner. Besides this, it will help to easily penetrate the foreign market. Besides this,
working with a good and effective partner firm on the global level will help the selected
firm to have a good idea and accessibility to a wider range of customer base. This will
help the firm to enhance the measures to carry out the branding processes and operations
within the organisation and the operating country.
Different techniques for measuring and managing brand value
In order to have a good management of the business activities and operations, the proper
handling of the brand development and valuation is required to be managed and effectively
placed by the organisation to have the proper placing of business operations and action plans
(Dinnie, 2015). The valuation process is required to place the effective operation that will assist
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the effective planning of the branding processes and activities. Some major factors that are been
taken in the consideration by the firm are:
 Cost based brand valuation: This measure of the brand valuation is placed to have the
effective placing of the business activities and operations which will support the effective
evaluation of the assets and liabilities that are been owned by an organisation. This will
help the firm to enhance the quality of marketing or branding processes. This process can
be used by every firm for either evaluating its growth or redeveloping the branding
strategies in much effective and significant manner (Juneja, 2018). This method is also
helpful to relaunch the brand or its offerings and to carry out other activities and this will
help the firm to enhance the quality of business operations which will support the proper
following of business activities and operations for the branding. Besides this, it will give
the firm a proper idea about the net expenditure and other expenses at the firm.
 Market based brand valuation: this valuation type is effectively based on the proper
management of the business operations and activities that will help the firm to enhance
the firm to carry out the branding operations in much effective and significant manner
(Klopper, Lubbe and Prins, 2016). This helps the selected organisation to carry out the
effective placing of branding measures in much suitable and effective placing of the
products and services to be offered by Virgin Group. This is important to carry out by the
competition point of view as it supports the effective placing of business operations and
thus will lead the selected organisation to enhance the quality of branding activities in
much effective way. This is also taken in consideration by the firm in order to acquire or
purchase any other firm. These helps an organisation like Virgin Group to determine its
market share and effective positioning while carrying out the comparison with the
identical firm, product or service branding.
 Income based brand valuation: this is the process involving the “in use” status within
the firm. This will help the organisation to determine the position and effective placing of
the business enterprise in much effective and suitable manner. This measure of valuation
of the brand will include the proper assessment of the current valuation and expenses that
are been taken within the organisation leading to the placing of a wide range of branding
strategies and other options affecting the core compatibility of the organisation. It will
support the appropriate evaluation of cash flows, incomes or profit gained and cost saving
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approaches that will help the Virgin Group to enhance its market presence and overall
brand image with equity (Singh and Uncles, 2016).
Besides this, the proper management of the brand value will help the fir to enhance the
quality of operations and other business activities which will support a suitable rise in
maintaining a positive brand image helping to carry out a wide range of business operations to a
greater extent.
Other than this, various approaches of brand valuation are placed within organisation that
will help in growth of firm in much effective way. Some of them are as follows:
 Cost based approaches: it is basically associated with cost creation and replacing of
brand that will help the firm to improve its performance and have a good profitability.
 Market based approaches: It is the identification of an approach at which a brand and
its products are been sold and gain the highest valuation by a willing buyer or seller. It is
basically based on brand equity.
 Income based Approach: Also known as the economical use approach, it is the
determination of future net earnings and which are attributed to brand value with its
current usage. It includes the process of open market valuation.
 Intra brand approach: this approach involves uses commercial consultation from other
firm on brand value. It specialises the firm to carry out proper brand strategy analytics
and valuation of brand using suitable adjustments of proper valuation measures. It
provides a firm base to employ various criteria and improves brand strength.
CONCLUSION
On the basis of the assessment of the business activities and operations related to the
branding processes in the assignment, this is been concluded that brand management and
improvement is one of the major concern of an organisation that helps the firm to improve the
quality of branding operations that are been carried within the firm. The effective assessment of
the importance of the branding as the marketing tool is been done with the assessment of iyts
emergence on the business practices. Besides this, the key components of a successful brand
strategy and equity is been taken in the consideration. Various strategies related to portfolio
management, brand hierarchy and equity are been analysed with measures to manage a
successful brand on the global and domestic level in which, effective partnership is been taken in
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