Brand Management: Toyota and Honda's Strategies and Techniques

This report provides an in-depth analysis of brand management strategies employed by Toyota and Honda. It begins by highlighting the importance of branding as a marketing technique, emphasizing the role of brand equity and the Consumer-Based Brand Equity (CBBE) model in successful brand management. The report examines the components of brand schemes, including brand identity, meaning, response, and resonance, and discusses the significance of brand equity in building customer loyalty and generating sales. It also explores the differences between products and brands and delves into strategies for managing brand equity over time, such as brand reinforcement and revitalization. Furthermore, the report critically evaluates various tools and techniques used by both companies to measure brand value, offering insights into their marketing approaches and their effectiveness in maintaining a strong brand presence in the competitive automotive industry.

Brand Management

Table of Contents
INTRODUCTION ..........................................................................................................................1
SECTION 1......................................................................................................................................1
P1. Importance of branding as a marketing concept or technique..............................................1
M1. Brands are handled or managed successfully by using CBBE Model................................3
P2. Components of brand scheme for succeeding and building the brand equity......................4
M2 Apply appropriate examples within an organization............................................................6
D1 Critical evaluation of knowing branding within a business .................................................7
SECTION 2......................................................................................................................................7
TASK 2............................................................................................................................................7
P3 Various strategies of brand equity, portfolio management and brand hierarchy...................7
M3 Critical evaluation of brand equity using effective frameworks........................................10
TASK 3..........................................................................................................................................10
P4 Brands are managed of handled collaboratively at a global and domestic level.................10
M4 Critical evaluation of following various tools ...................................................................11
TASK 4..........................................................................................................................................11
P5 Various types of tools and techniques for managing and measuring brand value...............11
M5 Critically evaluation of techniques and tools for measuring brand value..........................13
CONCLUSION ............................................................................................................................13
REFERENCES................................................................................................................................1
.........................................................................................................................................................2

INTRODUCTION
A brand is a concept, services or product that is publicly famed from other concept,
services or products so that it can be usually marketed and easily communicated. Brand
management is the process of developing a long lasting connection or a relationship between a
business's product and perception of the client for the motive of creating segregation among
rivalry and making loyalty among audience (Ashworth and Kavaratzis, 2010). It is a marketing
function that uses special or effective tools in order to maximise the product’s perceived value. It
is also identified as an essential activity of improving, upholding and retaining a business image
so that the brand is related with positive results.
This project is based on different two brand in same industry such as TOYOTA and
HONDA. This assignment shown regarding the essential of branding as a marketing technique.
Different elements of brand strategies in order to building brand equity systematically, it is also
analysed in this report. Various strategies of portfolio management, brand hierarchy also
determined in this study. Strategies of brand extension which is also determined in this project in
an effective and efficient manner. Various kinds of techniques are used by the both organisations
in order to measuring their brand value, it is also described in this assignment.
SECTION 1
P1. Importance of branding as a marketing concept or technique
Brand: A brand is a symbol, design, name and term that differentiate an enterprise and
goods from its competitor in the eyes or mind of the audience. It is an important and useful term
for the business towards achievement of predetermined goals and objectives essentially.
Branding: It is known as an effective process and activity of developing a unique name,
image, logo, symbol and collection of some of these for a particular commodity in the mind of
consumer's which distinguish it from challenger's products (Brodie and et. al., 2013).
Brand Equity: It is identified as an amount of worth or valuable in intangible and
tangible assets that an image adds to a service or products. It is a set of brand liability and assets
associated to a brand, its symbol, design, name and term that subtract & add from the core value
of services and products to an enterprise and to customers.
Importance of branding as a tool of marketing
1

It is essential and significant for TOYOTA and HONDA towards achievement of long
term goals and objectives. It will help them in order to attract a large number of customers about
business products and services. Effective and unique brand image highly engage clients to
purchase more commodity. It delivers complete valuable information to customers and develop
trustworthiness and reliability of company effectively. There is some more significance of
branding as a technique which are describe as below:
Build client loyalty: TOYOTA and HONDA; both are famous and popular brand in this
industry and across the globe. Those business are largest automotive manufactures in all over the
world. They provide different variety and design in cars which is essential for the enterprise to
attract million number of customers (Buil, De Chernatony and Martínez, 2013). In order to make
long lasting relationship and loyalty, such organisations provide effective quality at affordable
price to the clients.
Generates turnovers and sales: Unique brand is an essential and significant part of
company’s success and development. Better branding position in marketplace and customer's
mind help the industry to increase their sales and turnover in limited time period. TOYOTA and
HONDA are famous and well known organisation in all over the world. In this, main motive of
such business is to provide quality products or services and gain maximum revenues.
Introduce new products and services: Branding is an effective process of developing
long-lasting relationship with customers. Better image of the company in marketplace, company
easily introduce their new car products to the clients. HONDA and TOYOTA conceive their all
cars products very different (Christiaans, 2012). They introduce their new car such as Lexus
LS430 and many others. It is also important for the organisation to accomplish predetermined
goals and objectives.
Difference between product and brand
There are some points which are describe both brand and product and different in the mind of
customer's and marketplace. Some difference are determined as below:
Basis Product Brand
Meaning Product is identifies as an
effective items which is
available in the marketplace
for the company to produced
The market is inundated with
large number of name,
products, sign, symbol, logo,
2

to the customers. person and services.
What is it A product is identifies what
business need.
A brand is identifies what
business want.
Uniqueness It can be copied by another in
an easy manner.
It is not copied by another.
Created by Product is mainly developed
by the manufactures in a
systematic manner.
Brand is created by the
business customers.
M1. Brands are handled or managed successfully by using CBBE Model
In order to manage the brand successfully, HONDA and TOYOTA apply Keller’s brand
equity model in an essential and systematic manner (Dempsey and Gruver, 2012). This is
essential and the foremost concept for company to maintain long-lasting relationship with
customers and maintain brand equity. This model covers four different parts which are
determined as below:
3

(Source: Keller’s Brand equity Model – CBBE Model by Keller, 2018)
Brand Identity: It is the first and foremost step which is essential for company to create
brand awareness in a systematic manner. In this, organisation introduces all their products and
services in marketplace and customer's mind.
Brand Manning: It is another important phase which is applied by company in order to
identify the meaning of brand. In this step, business entity sets their brand name which is
necessary for the enterprise to accomplish predetermined goals and objectives.
Brand Response: In this, response of audience is very important for the business
development and growth (Dinnie, 2015). Response of the customers is mainly categorised into
two parts such as feeling and decision of clients regarding cars and its features.
Brand Resonance: It is mainly divided into some parts such as behavioural loyalty i.e.
repeat and regular purchase, attitudinal attachment, community sense and progressive
engagement. In this stage, all clients are easily engaged with business brand and image even
when they are never buying and consuming goods.
4
Illustration 1: Keller’s Brand Equity Model

P2. Components of brand scheme for succeeding and building the brand equity
Brand Equity: It is a term that brand has earned in the form of its goodwill and image. It
is essential and foremost part of the company that define the business position in marketplace
and customer's mind. It is also identifies as a set of assets & liability related to a business name
and its symbol. It is analysis brand value in client's mind and marketplace that is seen by the
perception or experience of target consumer. It takers plan in advertising, promoting and many
other essential technique's of marketing (Du Preez and Bendixen, 2015). These are essential for
the organisation to develop long lasting and effective relationship with customers. HONDA and
TOYOTA are that the biggest or global most valuable care all afresh due to General motors and
Ford.
Importance and significance of brand equity: Brand equity is very essential and
important for the company to achieve long term goals and objectives. There are some importance
of brand equity are as below:
 One of the main advantage and important of brand equity is to create loyalty amongst
customers.
 Brand equity increased and maximised the effectiveness of marketing communication.
 It can reduce the cost of marketing through increased brand awareness.
 It assist the HONDA and TOYOTA to maximise their turnover and sales.
 Brand equity highly develop requirement and demands of cars. Strong and unique brand equity attract million number of clients about business services
and its quality products.
Brands are developed and managed over time: Brand is very important and essential part of the
company development and growth. Entire success and performance of the organisation is highly
depends on its goodwill and image in marketplace (Ertimur and Coskuner-Balli, 2015). There are
some kind of strategies which are mainly utilised by the managers of both enterprise in a
systematic way. These types of tools and strategies are described as below:
Brand Reinforcement strategy: In order to maintain and develop brand equity essential such
kind of strategy highly help them. This tool majorly emphasis on keeping the brand identity or
equity. It can be completed due to transferring the brand meaning in terms of:
 What are the goods which are being manufactured by the brand? Describe its core
benefits along with demand satisfaction.
5

 What are the unique factors in this brand? How its change an audience to build a unique,
favourable and strong goodwill in their eyes or minds.
Brand reinforcement is essential for the company to monitoring their all products in
regular basis. With the use of this tool company also controlling all stages of product life cycle
such as growth, introduction, decline and maturity in order to retain a see on the variations in the
preferences of clients (Kapferer, 2017). The marketers select this tool to remind client regrading
the goodwill and long-lasting advantages. In order to maintain the unique image in the costume's
mind, some innovation, creative marketing section and researches are made with the modifying
market trends.
Apart from investigation and innovation such kind of strategies can be completed through
different marketing events such as:
Advertising: It is essential and easy concept of brand reinforcement. With the use of this
tool company easily showing their all cars ads on internet, billboard, Bulletins, radio, TV etc.
Exhibition: It is important tool which is give critical level to the images where the cars
with any innovative features or quality can be understood to the clients. It is also apply by both
organisation such as HONDA and TOYOTA in order to introduced their all products and
services in marketplace.
Sponsorship and Event: It is also essential and important for the company to display
their all products in marketplace. The business sponsor big program like: education, political
rallies, sports, awards functions etc. with the aim of prompting the clients towards their cars and
developing effective goodwill in marketplace and customer's mind.
Brand Revitalisation strategy: It is essential tool of marketing in order to maintained and
building brand equity in an essential manner. It is mainly utilised when goodwill of company
has reached maximum profits (Kelley, Sheehan and Jugenheimer, 2015). But sometime such
kind of technique fails for different cause like emergence of competitors or advanced technology,
variation is preferences and taste of customer's, new entry etc.
There are some difficulties which are mainly faced by HONDA and TOYOTA in order to
building and managing brand equity successfully. These are determined under this:
Barriers to entry: Main challenges and difficulties are faced by both enterprise while
creating unique brand in an essential manner. These are available in the term of more cost of
business operation and another hindrance that maintain maximum difficulties from easily
6

increasing industry and area of company. It can decrease productivity, profitability and
performance of enterprise which is difficult for the company to attain long term benefits.
Winning customer loyalty: It is another main difficulty which is face by each and every
organisation in its business operation and functions. In order to keep long-lasting relationship
with customer's and strong goodwill in marketplace. In this customer loyalty more significant, so
company should try to analysis better value proposition, solicit client command and engage
customers.
M2 Apply appropriate examples within an organization
HONDA and TOYOTA both are famous and popular brand in all over the world. There
are different examples of HONDA cars such as Civic TYPE R 2017, Accord sport 2017, CRV
2017 TURBO, HRV 2017, Civic 2017, CR-Z 2017, NSX 2017 and CRX 2017. All these are the
main model of the car. On the other hand TOYOTA also produced different models in their car
products. Main aim and motive of those organisation is to increase sales and revenues by
providing effective quality to the customers at affordable price (Li and Kambele, 2012). There
are two strategies such as Brand Revitalisation, Brand Reinforcement. Both are important for the
organisation to develop an effective image of them in marketplace and customer's mind. With the
use of these tools an enterprise easily attract large number of the customers towards business
products and services.
D1 Critical evaluation of knowing branding within a business
According to the Meskendahl, (2010) branding is very necessary part of the business
success and growth. An effective and unique brand image attract million number of customers
about cars and various services. Better goodwill help the enterprise to improve their performance
and profitability.
On the other hand Meskendahl, (2010) HONDA and TOYOTA both are unique brand in
all over the globe. So it help them to accomplish long term goals and maintain long-lasting
relationship with the customers essentially.
7

SECTION 2
TASK 2
P3 Various strategies of brand equity, portfolio management and brand hierarchy
Brand management: It is a best process of evaluating business positioning & designing
of strong image in marketplace. It is primarily supported on certain parts which assist to develop
better and unique goodwill of business logo, pricing etc. HONDA and TOYOTA are a famous
and popular brand in all over the world.
Brand Equity management: Brand equity is very important and significant for creating
long-lasting relationship or connection with customers (Meskendahl, 2010). Unique brand equity
and identity can make an effective goodwill and creating brand loyalty or trueness will made
better position in customer's mind and marketplace.
Portfolios management: This concepts refers as an art and term of creating better
decision regarding business policies, plan, investment mix and distribution of assets for an
organisation and personal. It is very essential and valuable management for the business in order
to analysis their strengths, opportunities, threats and weakness.
Brand portfolios strategies: It is a part of strategy which is useful for the organisation to
generate maximum sales and profit. By using this tool company easily attract large number of the
customers and develop long-lasting relationship with them (Qian, 2014). It includes two essential
parts which are important for the company are as follow:
Active portfolio: Such kind of strategy is very important and significant for the HONDA and
TOYOTA in order to generate more revenue and sales. Main utilisation of this technique is to
attract million audience towards business image.
Passive portfolios strategy: With the use of this type of tool company easily reduce
manufacturing cost and increase their sales or turnover. It is used by both organisation to
accomplish predetermined objectives and goals.
Brand Equity: Brand is main and essential part of the company development and
success. For achievement of long term goals and objectives, company provide better quality in its
cars. It is known as a value and strength of the company that show its worth. Main aim and
objectives of each and every enterprise is to analysis their goodwill and image in marketplace.
TOYOTA and HONDA is a world famous and Japanese brand name manufacturing small, high
8

and mid range automobile. Honda was setup in 1948 at Tokyo and now it is biggest brand in
such kind of sectors (Smith, Smith and Wang, 2010). In order to maintain customer relationship
and brand image, manager of both organisation use CBBE model which is essential for them to
accomplish predetermined goals and targets. There are few steps which are includes in this
model are determined as below:
Brand identify: It is a first step which is important for the enterprise in order to recognise
brand position in marketplace as well as client's mind. In this manager of those business organise
an effective research with aim to understand basic needs and demands of audience regarding cars
products.
Brand meaning: It is another phase which is essential for the organisation to identify
their brand name systematically. It is also important for the organisation to develop an effective
image in marketplace.
Brand response: It is third phase which is essential for the enterprise to understand
customer opinion regarding business products and services. Positive views of the clients
regarding business image consist self-satisfaction, security and fun to build long-lasting
connection among customers (Solomon, 2014).
Brand Resonance: It is a last phase which includes active attachment, sense of
community, loyalty, customer behavioural and engagement etc. This activity is important for the
business entity to enhance their performance and profitability.
Brand Architecture of TOYOTA and HONDA: It can be identified as a framework of brands
within an organisation. It is essential for the business to develop their effective position and
image in marketplace. With the help of this company easily maintain long-lasting relationship
and connection with customers. There are mainly two types of brand portfolios which are
determined as below:
Brand portfolio TOYOTA HONDA
Branded House Company use single brand and
image across entire categories.
With the use of such kind of
brand company easily
emphasis on the image as well
as increase their profits.
House of Brand In this, brand name are It is very essential model for
9

disconnected and independent,
they are not connected with
each other.
the company to introduce their
car model in publicly.
Companies Umbrella Brand Corporate Brand
HONDA Such type of brand is follow
by the HONDA in order to
maintain and accomplish
competitive benefits (Spence
and Hamzaoui Essoussi,
2010). In this business attaches
few brand to all of its
commodity: Strong financial
outcomes for organisation.
Honda is a corporate brand in
all over the world. Main
motive of this business is to
achieve maximum profit.
TOYOTA It is also important for the
organisation to develop long-
lasting relationship with
customers. Maximum initial
awareness class it is also a part
of umbrella brand.
Corporate brand of Toyota is
truck, SUV/Vans, cars,
financial services Lexus and
many other.
M3 Critical evaluation of brand equity using effective frameworks
CBBE model is very beneficial and valuable for the organisation to maintain their brand
equity in marketplace as well as customer's mind effectively (Story and Hess, 2010). It is very
important framework for the enterprise to increase their sales and revenues by providing quality
and effective model in cars to the customers at affordable price.
10