Product vs' Brand

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Product vs. Brand
A product is something that is made in a factory
A brand is something that is bought by a customer.
A brand is unique.
A product can be copied by a competitor.
A product can be quickly outdated.
A successful brand is timeless.
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Why is Marketing Becoming More Important?

• Sales Declines
• Slow Growth Need Sustaining Sales or New
  Markets
• Changing Buying Patterns and Customer Wants
• Increasing Competition, including New Products
• Increasing Marketing and Sales Expenditures.
• Understanding the 7 Ps People
  (Target/Customer),
• Planning, Product/Service Development, Pricing,
• Place/Distribution, Promotion, and
  Partners/Alliances.

3
What is a Brand?

• Its the companys definition of what they have
  to offer.
• A brand is a product that has a personality.
• A promise to the customer.
• What the customer knows about your specific
  product. Its your image.
• How the company or product is perceived?

4
What is a Brand?

• A set of product perceptions by the consumer.
• It is a personality developed over time.
• A brand signifies a relationship with the
  customer.
• It is the companys most valuable asset. Its
  also the main differentiator, the best defense
  against price competition, and the key to
  customer loyalty.
• Competitors can copy your features and benefits,
  but they cant steal your brand.
• Its a promise. But it must be backed up by
  performance.

5
Model Proliferation Brand Identification

• BMW Brand
• 3-Series Nameplate
• 325i, 325iX, 325Ci coupe,
• 325Ci convertible, 325 wagon and 330i
• 1995 vs. 2005 Models of Cars
• Cars 480 591
• Trucks 430 999
• Total 910 1590 AutoWeek
  11/2005

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What is a Brand? Brand Identification

• A brand is much more than a nameits a symbol,
  trademark, logo, term, sign, design or
  combination, which distinguishes a product from
  others.
• Sets a companys products apart from competition.
  Its the perception of the product in the minds
  of the consumers
• The marking of livestock. Artists signing their
  work.
• Your first opportunity is in the name. Easier to
  order and remember.  
• Most important is consistencyglobally too. 

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What is a Brand? Brand Identification

• A brand is much more than a nameits a symbol,
  trademark, logo, term, sign, design or
  combination, which distinguishes a product from
  others.
• Sets a companys products apart from competition.
  Its the perception of the product in the minds
  of the consumers
• The marking of livestock. Artists signing their
  work.
• Your first opportunity is in the name. Easier to
  order and remember.  
• Most important is consistencyglobally too. 

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What is a Brand? Brand Identification -2-

• Examples

1.    Batteries DieHard contains a promise of
long use. Sears has Craftsman, DieHard, Homart
and Kenmore.
2.    Mercedes promises well-built, prestigious,
safety, performance.
3.    Co branding/Dual branding "Intel inside."
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What is a Brand? Brand Identification -3-

• More Examples

4.    Need to keep it fresh. Look at Coca-Cola.
Its image is as fresh today as when it started.
Its not luck. Its careful nurturing and
development of the brand. Can exploit brand
equity with brand extensions, if there is value.
5.    Look at licensing. Need control over who
uses your brand. Sunkist.
Why? Lowers marketing costs, greater trade
leverage, can charge higher price, defense
against price competition, more easily launch
line extensions.
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What is a Brand? Brand Identification -4-

• Salt is in bright-colored packages.
• Oranges are marked. Labeled. A guarantee of
  quality.
• BMW paid 60 million for the Rolls Royce name.
  Nothing else.
• A brand can convey
• Attributes Benefits Values Culture
  Personality
• Sellers promise to deliver a specific set of
  features.
• Brand equity is the value a brand adds to the
  product.

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Brand Awareness or Brand Insistence

• Turning or Translating Brand Awareness Into Brand
  Insistence.
• AIDA
• Awareness Interest Desire Action

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Branding

• Major Macroenvironment Forces and Trends
• ..Broad Environment
• Demographic
• Economic
• Natural/ Ecological
• Technological
• Political/ Legal
• Social/ Cultural

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Marketing and Branding

• Products vs. Brands
• Look at Marketing Process
• Analyzing Marketing Opportunities
• Segmentation, Targeting and Positioning
• Developing Marketing Strategies and 7Ps
• Planning Marketing Programs
• Executing, Managing and Evaluating Marketing
  Efforts

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Marketing Flows

• Physical Flow
• Title Flow
• Payment Flows
• Information Flow
• Promotion Flow
• Suppliers, Intermediaries, Transporters,
  Wholesalers,
• Dealers, Retailers, Banks, Marketing Firms,
• Advertising Agencies, Media, Customers, Users

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Marketing and Branding

• Most Purchased Nations Number One Food
• 3 of Grocery Sales
• Grown, Cut, Separated, Sorted, Cleaned, Labeled,
  Packaged, Shipped, Handled With Care.
• Stickers
• Potatoes

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Marketing and Branding

• Wine
• 1980 2000
• 2500 Wholesalers/Distributors 250
• 250 Wineries 2500
• 1,400 different brands of Chardonnay
• 16.8 of wine drinkers
• consume 88
• of the wine sold.
• 3,700 wineries in 2004. But only 13.4 of
  Californias 800 wineries had distribution in all
  50 states.

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White, Red, Rose
1960 17 73 10
1970 24 50 26
1980 54 26 20
1990 68 18 14
2000 57 36 7
White Red Rose

• 60 increase in Red, from one media event.
• Pinot Noir sales up 147 since movie Sideways
• U.S. is on track to overtake France and Italy as
  top wine producing nation in the world.
  WSJ 2/05

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Wine

• Merchandising and Events
• Distribution
• Liquor by the Law

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Marketing of Beef, Veal, Pork, Lamb, Chicken,
Turkey, Fish
In Pounds (LBS) US Per Capita ConsumptionRetail
WeightSource USDA

• From the National Cattlemens Beef Association
• US Produced 25 of worlds beef supply.
• US Agriculture recommends 5-6 ounces of cooked
  meat a day.
• Beef is 6 of total grocery store sales.

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Marketing of Beef, Veal, Pork, Lamb, Chicken,
Turkey, Fish

• National Cattlemens Beef Association
• Beef. Its what for Dinner.
• Pork. The Other White Meat.
• Big Texan Steak Ranch in Amarillo.
• Ostrich on British Airways.
• The Turkey Store. The Turkey Restaurant.
• McDonalds

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