Understanding Brand Attributes

Si
Gr x i
My ey nch
st an es
Brand?

er d
io we wid
us t e
What is the Territory of the

Contents
 Presentation Objective
 Understanding Branding
 From Products to Brands
 Brand Attributes
 Brand Management
 Brand Architecture
 Exercise
 Brand Building
 Brand Audit
 Connection Triangle
 Big Idea
 Evaluating Advertising

Presentation Objective

• To understand the facets / issues involved in
branding
• To develop a framework for building a brand

Al Ries, David Ogilvy & Ambani
Presentation incorporates
learnings from

India’s Branding School, founded by Reliance:
MICA
Personal Work Experience
Al Ries & Laura Ries: The 22 Immutable Laws of
Branding

Contents

Understanding Brand Building
Branding

Module 1

Understanding Branding

Branding

Module 1


Branding

Products to
Attributes Management Architecture Exercise
brands

Module 1 - Stage 1

From Products to Brands
Understanding Brand
Branding Building

Products to Attributes Management Architecture Exercise
brands

Module 1 - Stage 1

Understanding Brand

Brand v/s. Product
Branding Building

brands

 A brand is more distinctive than a product
 It is first of all a name, a means of identification
 Secondly it s a set of added values offering both functional and
psychological benefits

Above all ‘a brand is a promise’

Module 1 - Stage 1

Understanding Brand
Branding Building

brands

A Brand is a Promise

“ …A seller’s promise to deliver consistently
a specific set of features, benefits and services
to buyers.

Module 1 - Stage 1


…….a short-hand that communicates powerfully & reduces uncertainty

Fevicol Case

Sales Value AdSpend Adspend as %
Year
( Rs. Crores) ( Rs. Crores) of Sales
92-93 46.02 0.55 1.2%
93-94 77.12 1.7 2.2%
94-95 102.16 2.3 2.3%
95-96 138 3.28 2.4%
96-97 156.19 5 3.2%
97-98 151.68 5.51 3.6%
98-99 191.75 6 3.1%

Fevicol Case

Fevicol's Market Share
of Synthetic Adhesive Category

45%
42%
40%

35%
31.43%
30%

25%

20%

15%
10%
10%

5%

0%

1991 1994 1999

Fevicol Case
Fevicol's Growth Rate
vs. Category Growth Rate

60% 55%

50%

40%

30%

20% 16%
10%
10%
8%

0%

1992-95 1995-99

Category Fevicol

Brand as an Asset
 “If Coca Cola lost everything except for ‘the formula’ and its brand
name , it could walk into any bank in the world and get $100 billion
loan to start from the scratch”
Fortune Magazine

Module 1


Branding

Products to
Attributes
brands

Module 1


Branding

Products to
brands

Name Logo

Colours Essence

Module 1 - Stage 2

Attributes

Immutable Law of Name

In the long run the brand is nothing more than a name

Module 1 - Stage 2

Attributes
Understanding Brand
Branding Building Name Logo

Products to
Colours Essence
brands Attributes Management Architecture Exercise

Brand Name
 Short
 Kodak, Fuji
 CNN an AOL Time Warner Company
 Distinctive
• Toyota’s Lexus is distinctive.Toyota’s Luxury commonplace
• Orange was a striking name in a world of tel and coms
 Not mean anything rude or silly in another language
 Big Macs( McDonald’s) is a slang for big breasts in Canada

Module 1 - Stage 2

Attributes
Understanding Brand

Products to
Colours Essence

Brand Name

 Avoid generic / line extended names
• Xerox as opposed to Haloids Paper Master

• Xerox (Copier) is powerful. Xerox Computer is not

 Changing your name will not overcome a bad strategy
• “Monday” (Price Waterhouse Coopers )

Module 1 - Stage 2

Attributes

Immutable Law of Shape

A brand’s logotype should be designed to fit the eyes.

Both eyes

Module 1 - Stage 2

Attributes
Understanding Brand

Products to
Colours Essence

Brand Logo
• Simple logo, designed to fit both eyes
• Mercedes three star
• Logos with a horizontal bias
• Logo with a horizontal bias is esp. useful for retail brands
• Logo font has to be clear and legible
• A housewife does not buy Ariel because it is written in a specific
font

Module 1 - Stage 2

Attributes

Module 1 - Stage 2

Attributes

Immutable Law of Colour

A brand should use a colour opposite of its rival

Module 1 - Stage 2

Attributes

The Cola Wars: Energy Vs. Peace

Module 1 - Stage 2

Attributes
Understanding Brand

Products to
Colours Essence

Brand Colours
 Colours have meanings
• Purple means royalty
• Red is energetic
• Blue is peaceful

 Opposite colours can differentiate
• Coke is red, Pepsi is blue
• Kodak is yellow, Fuji is green

Module 1 - Stage 2

Attributes
Understanding Brand

Products to
Colours Essence

Brand Colours..
 Colours can help you stand out
• FedEx’s orange and purple packet stands out in corporate blue

 Logo and colours help, but the power of the brand
 Essentially in the meaning of the brand name in consumer’s mind, its
essence

Module 1 - Stage 2

Attributes

Immutable Law of Singularity

Most important thing for a brand is its
single mindedness.

Module 1 - Stage 2

Attributes

Single-mindedness means consistency.
Fresh and interesting manifestations of a single idea.

Module 1 - Stage 2

Attributes
Understanding Brand

Products to
Colours Essence

Brand Essence
 A brand must “leverage a compelling truth”
 Linux stands for freedom as opposed to Microsoft’s monopoly

 A brand should mean a single powerful thing: the essence
 Essence of Volvo is Safety
 Essence of Tata is trust
 Essence of Fevicol is bonding

Module 1 - Stage 2

Attributes
Understanding Brand

Products to
Colours Essence

Brand Essence
 A brand should also be clear of what is not its essence
 In India, STAR NEWS is not a channel of the masses unlike STAR PLUS
 A brand should drive single mindedly its essence
 Volvo has been selling safety for 35 years
 Raymond has been selling the complete man for over 2 decades
 Essence of Dettol is protection against germs
 A brand loses its essence if it starts meaning a lot of things
 What is Miller :A regular,light,draft,cheap, expensive beer

Module 1 - Stage 2

Attributes

Immutable Law of Word

A brand should try to own a word in consumer’s mind

Module 1


Branding

Products to
brands

Co-Brand Stealth Brand

Fighting Brand Multi-Brand

Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products to
brands
Attributes Management Architecture Exercise Brand

Co-Brand
 Brands need to address a similar need segment
– Kellogg's Pop-tarts with Smuckers Jam
 Brands with complementary strengths: Seen often on the Net
– NY Times gives Amazon credibility
– Amazon makes NY Times look modern.

Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products to
brands

Stealth Brand
 Brand building that attracts customer attention but not of rivals
• Home-to-home, word of mouth / PR, internet community building
• Krispy Kreme relies only on PR

 Good option when unsure of a new medium/market
 Little promotion for Maytag website as opposed to a buy.com. Maytag sold
1000s of Neptune washers on web

Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products to
brands

Fighting Brand
 Pricing led branding option. Works as a competitive response.
• Smirnov (Heublein) Case
 Smirnov attacked by W’schmidt @ $1 less
 Heublein raised the price of Smirnov
 Heublein introduced Reiska(fighting brand) at the same price
point as W’schmidt
 Heublein added Popov lower than both

Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products to
brands

Fighting Brand
 Built as new, independent brand
• Prevents dilution of the leading brand

 HLL introduced Wheel to fight Nirma

Module 1 - Stage 3

Management

Immutable Law of Siblings

There is a time and place to launch a second brand

Possibly even a third or a fourth brand..

Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products to
brands

Multi Brand
 Key to a multi-brand approach is to give each sibling a unique
identity
 Time, Fortune,Life, Money, People

 Tempting to mash the brands and top it with corporate frosting
 Tata Salt,Tata Tea

 Second brand risks diluting equity
 Is Kingfisher Mild drinker more likely to be from Kingfisher or from
Fosters?

Module 1 - Stage 3

Management
Stealth
Understanding
Branding
Brand
Building Co-Brand
Brand

Fighting
Multi-Brand
Products to
brands

Multi Brand..
 Common product area focus
 Shampoos: Clinic Plus, Ayush, Sunsilk
 Single attribute segmentation
 Price:Maruti 800, Zen, Esteem
 Sibling creates a new category
 Herbal Anti-Dandruff category by Ayush

Module 1


Branding

Products to
brands

House of Endorsed
Brands Brand

Sub Brand Branded House

Module 1 - Stage 4

Architecture

Immutable Law of Contraction

A brand becomes stronger when you narrow its focus

Module 1 - Stage 4

Architecture

The Economist is red and daring.
Provocative, brutally honest and non-conformist

Module 1 - Stage 4

Architecture
Understanding Brand House of Endorsed
Branding Building
Brands Brand

Branded
Sub Brand
Products to
brands
Attributes Management Architecture Exercise House

House of Brands
 Often dictated by corporate strategy. Core competence of the firm
is marketing / branding
• P&G is the prime example. Its “big” with the channel
 Multiple independent brands allows company to fill each niche
• Helps brand focus
 Gives an opportunity for the company to focus on each brand and
contract its scope.

Module 1 - Stage 4

Architecture
Branding Building
Brands Brand

Branded
Sub Brand
Products to
brands

Endorsed Brand
 Endorsement used as a device to transfer brand assets from one
brand(corporate) to another
 Titan from TATA, transferring trust
 Danger of diluting the equity of endorsing brand
 Best as a transitional strategy
 Gain, from makers of Ariel

Module 1 - Stage 4

Architecture

Immutable Law of Expansion

Brand’s power inversely proportional to scope.

Module 1 - Stage 4

Architecture

The Volkswagen bus ad, talked only about ‘plenty of room’

Module 1 - Stage 4

Architecture
Branding Building
Brands Brand

Branded
Sub Brand
Products to
brands

Sub Brand
 Inside out branding.Company pushes core brand in different
directions
 Sub-branding can destroy what branding builds
• Donna Karan menswear, DKNY, DKNY menswear, DKNY kids

Module 1 - Stage 4

Architecture

Immutable Law of Company

Brands are brands, companies are companies.
There is a difference.

Module 1 - Stage 4

Architecture
Branding Building
Brands Brand

Branded
Sub Brand
Products to
brands

Branded house
 Consumers buy brands, not companies
 Danger of branded house, being many things to one group of people
• Virgin? Does “Virgin trains” work?

 May motivate trade, so might be useful for PR purposes with
trade/other stakeholders
• P& G way

Module 1


Exercise
 Two brand positioning within the same brand family?How do we
reconcile the two positions?

 The options available to us
1. Single brand

2. Stand Alone New Brand

3. Transfer of Brand Assets from an existing brand

 What are the pros and cons of each option ?

Module 1


Branding

Products to
brands

Single Brand
Options
Family

Stand Alone Transfer of
Brand Brand Assets

Module 1 - Stage5

Exercise
Understanding Brand Single Brand
Options
Branding Building Family

Products to
brands
Attributes Management Architecture Exercise Brand Brand Assets

 Single Brand Family

 ‘Stand-alone’ New Brand

 Transfer of Brand Assets ‘x from y’

Module 1 - Stage5

Exercise
Options

Products to
brands

Option : Single Brand family
 Constant values / different products
• Dettol antiseptic / soap / hand wash
• Crest toothpaste / Mouth wash (But not chewing gum)

 Differentiate on product usage
• IBM Value Point - Entry level purchase
• Gillette Good News Line - Disposables

Module 1 - Stage5

Exercise
Options

Products to
brands

 Use as umbrella branding
 TATA Trust
 SONY Electronic technology
 But Taj from TATA for Performance segments
 Difficult for a single brand to straddle Performance and Price
segments
 Surf entry in popular segment with Surf Easywash. Withdrew after 2 yrs
 Gap changed Gap Warehouse to Old Navy Clothing due to perceived
brand erosion

Module 1 - Stage5

Exercise
Options

Products to
brands

Learnings

+ Cheaper than creating a new brand
- Difficult to stretch brands across Price and Performance
- Risk of eroding present position
- Lose opportunity of creating a new segment

Module 1 - Stage5

Exercise
Options

Products to
brands

Option : ‘Stand-alone’ New Brand

 Levers enters popular segment successfully with Wheel as opposed
to Surf Easywash

 Levers use of brand-wise differentiation of brand values and
attributes to target consumer segments- Surf / Rin / Wheel / OK
detergents

 Toyota launches Lexus to enter the Premium Auto segment credibly

Module 1 - Stage5

Exercise
Options

Products to
brands

Option : ‘Stand-alone’ New Brand
Learnings
+ Clear brand identity, values and assets
+ Create new opportunity of a range possibility in Popular segment
+ Leave present brand secure
- Expensive to build brand assets
- Difficult to build trial as a stand-alone Brand

Module 1 - Stage5

Exercise
Options

Products to
brands

Option: Transfer of Brand Assets ‘x from y’
 Titan (from Tata’s)
• Worked well for Titan
 Sonata (from Titan)
• Eroding equity of Titan
 Gain (from the makers of Ariel)
• Apparently a ‘Transitional Strategy’

Module 1 - Stage5

Exercise
Options

Products to
brands

Option: Transfer of Brand Assets ‘x from y’
Learnings
+ Cheaper than developing a new brand
+ Can be used as a ‘Transitional Strategy’
- Still a risk of eroding present image
- Possible mix of values and assets

Module 1 - Stage5

Exercise
Options

Products to
brands

Branding Options: Conclusion
 ‘Single Brand family possible if:
 Different products / similar values
 Differentiate on end use

 ‘Stand-alone ‘New Brand’ best option to straddle values - however it
is expensive to create a new Brand
 ‘Transfer of Brand assets ‘x from y’’ possible, especially as a
transitional strategy - still a risk of eroding present values and
mixing values and assets

www.mastersungroup.com
http://strategy-execution.blogspot.com
chandra@mastersunindia.com

Understanding Brand Attributes

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