1. a BRAND is forever !
A framework for revitalizing declining and dead brands

3. Brand is an identity of a product, service or business
to differentiate from others
NAME
LOGO
NAME & LOGO
SLOGAN
COMBINATION

4. Thus Brand is the
power of a product
And
Power of a Brand
lies in its EQUITY

5. Brand equity is defined as the differential effect that
consumer knowledge(i.e. brand awareness and image)
about a brand has on the
customer’s response to marketing activity.
If a brand has high
Awareness and strong,
unique and favorable Image
It has strong equity

6. While some once famous
Brands declined and
Ultimately got extinct
Over the period of time
Some of Brands revived from
decline or death

7. Brands who REVIVED from a decline or death
Ford Motor’s TAURUS
HARLEY DAVIDSON

8. Brands who DECLINED and got EXTINCT
PAN AMERICAN Airways
General Motor’s
OLDSMOBILE

9. Why some of the BRAND revive and other could not

10. Causes of Brand decline

11. Managerial actions

12. Managerial actions, strategy
and tactics, are main
generative force in brand’s
evolutionary growth

13. Managerial Actions
Product quality
Price increase
Price cuts
Brand neglect
Inability to stay
with target market
If compromises quality for cost cutting it
may not effect in short run but harm in long run
Raise price without offering a corresponding
benefits may lead to decline
Cut prices to increase sales
To maintain low price have to use cheaper material
When brand becomes popular, inaction creeps
in. Successful brand also need continues
attention
Reach out to new customer and alienate old
loyal customer

14. Environmental factors

15. 1. Market are dynamic
2. Market transforms with
time due to technology
3. Change in legal environment
Environmental factors

16. Environmental factors
Android overcame Symbian
Due to technology advancement
and now Symbian is defunct
Polaroid was prominent once
But went bankrupt
due to digital imaging and
cameras

17. Environmental factors
Kodak also faced similar environment change problem
but company realize and made necessary change, introduced
digital cameras to fight against HP and SONY, and avoided
possible death

18. Competitive actions

19. Competitive actions
Relentless onslaught from competitor
Merging and acquisition
Cost cutting
Innovative technological advantage

20. Competitive actions
Nike wiped out Adidas in U.S.
With its advertising through
Celebrity and more American trend
Walmart overcame Kmart
By its “everyday low prices everyday”
Cost cutting science strategy
Kmart was forced to merge with
Sears Roebuck to fight back Walmart

21. Competitive actions
Blockbuster, a giant in the video rental business
was in strong position but began to decline when
Netflix started offering video rentals via postal mail

22. Deconstructing brand decline

23. By predicting decline and taking
actions accordingly can save brand
from death
brand equity

24. 3 key elements of brand equity

25. Differential effect

26. Differential effect
A brand must provide a different image in
Its customer mind from other brands.
It can be done either by
VALUE PRICED- Good quality at low price
Or
POD (Points of difference)- Superior
quality product and benefits

27. Brand knowledge

28. Brand knowledge
Brand knowledge has two components
Brand awareness
Brand image
High aided recall and
high top of mind recall
Strong & unique
brand association

29. Customer response

30. Standards for measuring customer responses
Sales figures
Purchase intentions
Brand loyalty

31. Customer responses
Brand switching triggered by
• Price increase
• Entry of new competitor
• Negative news about brand
To avoid decline Brand equity
aspects to be considered
&
For long run success brand
knowledge and differential
effect have to be addressed

33. Brand’s equity is the most valuable asset
for a company.
Where Introducing a new brand costs
tens of millions of dollar,
revitalizing existing brands
with
proper diagnosis, strategy and execution
is a worthwhile exercise

35. Is the brand worth reviving?

36. Is the brand worth reviving?
Declining brand can be revived if it has
 Significant residual value and brand equity
 Revival cost is not very much
 Premium value and Singular focus with
well define differentiation
In some cases Reviving the brand is not
worthy, brands that suffer from low awareness
Or a negative image it is better to kill the brand
than to invest in it.

38. Long term perspective is imperative
Well thought out strategy and execution
Redefine & rebuild

39. Blockbuster was under attack by Netflix.
Blockbuster closed its unprofitable stores
that were closely situated and used
that to benefit its online rental program
Which has more promising future
Long term perspective not only used to revive
the declining brand but also can be used to
phase out own brand

40. Toyota QUALIS was at the top of market
competing with Tata SUMO.
QUALIS was launched as family MPV
Toyota never wanted a “Taxi ” Tag on
Qualis so Toyota phased out
QUALIS brand from India and invest in INNOVA
Maruti Suzuki decided to phase out of Maruti 800.
Because it was unable to upgrade to Euro lV.
It also became outdated model so it was better to
Phase out and benefit this to built in other brand
Like Maruti Suzuki ALTO.

41. Carefully reposition the brand, invest in it
and educate the market

42. Carefully reposition the brand, invest in it
and educate the market
Tata Nano hit the high revenues in its first year
But due to its “Cheap Car” tag its sales decreased
in following years.
Thus Tata decided to refresh its image by offering
new snazzy colors and features and launching
eco-friendly, bi-fuel variant came up with new tagline
“Celebrate awesomeness”

43. Correct mismanagement of the brand

44. Correct mismanagement of the brand
Rebuild quality
Resist temptation to “milk” the brand
Pursue a carefully defined target market

45. Correct mismanagement of the brand
Harley Davidson almost got killed due to
low price bikes offering the low quality.
Harley Davidson improved quality,
extended its product line
and subsequently achieved a complete turn around.
It reversed its strategy of cost cutting.
Today it sells its motorcycles to high-end market

46. Correct mismanagement of the brand
Aggressive form of milking entails cutting prices steadily
Apple was losing its top-of-mind awareness
after its struggle in the PC market.
It made investment in technology and launched iPod
instead of cutting prices in PC market
Apple brand came to fore front once more

47. Correct mismanagement of the brand
St. John decided to reach out to teenagers and young adults because they
Represented a growth segment thus by shifting its focus mid-way
to a more promising younger audience, thus brand alienated its core customer
In such situation sub-brand can be a effective strategy.
St. John introduced “Youth by St. John” to target only younger market.
It used St. John as a bridge to build a new brand.
Once the Youth brand established,
St. John name withdrawn from it

48. Let the REVITALIZING begin !

49. Causes of brand decline
Managerial actions
Environmental factors
Competitive actions
Key elements of brand equity
Differential effect
Brand knowledge
Consumer response
Revitalizing of Brand
Brand worth reviving or not
Long term perspective
Reinvent, Reposition, Revive
Correct the mismanagement

50. Created by Khemendra Raj Pingoliya, IIT
Kanpur
during an internship
by Prof. Sameer Mathur, IIM Lucknow.
www.IIMInternship.com