INTRODUCTION TO PANDORA
Pandora Jewelry is recognized as one of the most upcoming and unique jewelry company. It started its trade from Copenhagen, Denmark and now has become a global brand with stores in more than 80 countries on six continents. It is popular for its contemporary designs; inspired by Greek mythology Pandora uses hope and inspiration as the basis for their characteristic style. The product is targeted and designed for women with a concept to inspire women to express their individuality. It has a positive brand image for selling quality, hand finished and modern jewelry at affordable prices. Its strength relies on its unique selling point; it is a leading brand in the charms and bracelet category offering customizable accessories to its customers.
BRAND EQUITY
According to Kotler “Brand equity is the added value endowed on products and services, which may be reflected in the way consumers, think, feel and act with respect to the brand”.
The report will be looking into Aakers Brand Equity Model comprising of five components:
1.Brand Loyalty: is an extent to which consumers are committed to a certain Brand. Loyal consumers make repetitive purchases from the same Brand regardless of marketing pressures for example price and competitive products.
Companies like to use different marketing strategies to retain and increase loyal customers. Similarly Pandora uses channels like Pandora Club and social network sites like Facebook fan page to retain brand loyalty for existing and new customers. They also do loyalty card program like buy 10 Pandora items and get one free.
2.Brand Awareness: An extent to which a brand is recognized and consumers are aware of a certain product in the market. It is one of the most impo...
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...d add extra value to their brand.
Brand Extension: is a method in which a company launches a new product under the existing brand name but in a totally new category. Company uses this method hoping to leverage its existing customer base and brand loyalty to increase the revenues with the new offering. There should be usually some kind of logical association between the old product and the new one for Brand extension to be successful. (Investopedia)
Pandora can adopt this strategy by launching a new product under the name od Pandora Brand. Sunglass are a good option for them
Line Extension: an expansion of an existing product line. This adds varieties to the existing products for attracting new and existing customers by giving new options. (Investopedia)
Co Branding: when two firms form an alliance to work together to create a marketing synergy. (Investopedia)
A line extension or a new product line will require additional investment for product development and marketing activities.
In every given business, the name itself portrays different meanings. This serves as the reference point and sometimes the basis of customers on what to expect within the company. Since personality affects product image (Langmeyer & Shank, 1994), the presence of brand helps in the realization of this concept. Traditionally, brand is a symbolic manifestation of all the information connected with a company, product, or service (Nilson, 2003; Olin, 2003). A brand is typically composed of a name, logo, and other visual elements such as images, colors, and icons (Gillooley & Varley, 2001; Laforet & Saunders, 1994)). It is believed that a brand puts an impression to the consumer on what to expect to the product or service being offered (Mere, 1995). In other application, brand may be referred as trademark, which is legally appropriate term. The brand is the most powerful weapon in the market (LePla & Parker, 1999). Brands possess personality in which people associate their experience. Oftentimes, they are related to the core values the company executes.
Branding is defined as “the promot[ion] of a product or service by identifying it with a particular brand” (Merriam-Webster, 2015). Branding is also used to create a corporate image or brand by utilizing logos, corporate statements, and other images that will be associated with or displayed on all of that company’s products (Wolak, 2002). A brand is a valuable, enduring asset that is essential in creating and maintaining competitive advantage in an industry (Wolak, 2002; Murphy, 1988). This corporate asset can be just as important as the product or service behind it, because it carries name recognition and peace of mind to customers in the purchase decisions they make everyday (Hall, 2008). Brands essentially work as a “shorthand device” for consumers to evaluate product decisions by conveying a message of uniform quality, credibility, and experience
“Your branding strategy defines what you stand for, a promise you make, and the personality you convey” (“Brand Strategy”, 2015, para. 2). As well, it assists in the presentation of your product or service to stand out from the competition. According to Berkowitz (2011), there are five types of branding strategies: multiproduct, multibrand, reseller, co-branding, and mixed. The multiproduct branding strategy uses one name for all the various products within the company. For example, the hospital I work for includes its name in the off campus imaging centers, surgical outpatient centers, and free-standing emergency departments. As a result, customers are more inclined to associate the name with the good reputation, high standard of quality of care, and patient satisfaction of the brand. The multibrand strategy uses different brand names for each of its products. For example, Johnson & Johnson has various product lines which have their own brand name such as consumer health products, medical devices, and pharmaceutical products (http://www.jnj.com/). The purpose of this type of strategy is to attract and influence diverse market sections (Berkowitz, 2011). The reseller strategy is used when; one company purchases products from other companies and sells the products under their company name because they do not have the ability to manufacture the products themselves. Last, with
Differentiation through marketing strategies, this is a form of innovation driven by the need to create a superior brand (Sadler, 2003).
Sarkar, A. N., & Singh, J. (2005). New paradigm in evolving brand management strategy. Journal of Management Research, 5(2), 80-90. Retrieved from http://search.proquest.com/docview/237238894?accountid=28644
In conclusion, the customer- based brand equity model is an important platform that may help in building a strong brand. It could assist a company in assessing its progress as well as providing a blueprint for marketing research activities. If properly planned and implemented, it could help the company in achieving its marketing strategies and in the realization of an increased profit margin (Grover & Vriens 2006, p. 147).
...of brand equity in an organizational-buying context. Journal of Product & Brand Management, Vol. 6(6), pp. 428-437.
Companies use a collection of brand equities to represent their products in the market (Voolnes, 2012). Brand equity refers to the commercial value that is derived from the perception of consumers on any given brand name of particular products in the market as opposed to the product itself. Ataman (2003) notes that the effect to the consumer is in the brand name and not the product itself. Companies use logos, trademarks and a collection of other symbols to present this information to the customers. The use of these symbols is meant to try and capture the customer mindset so that they can be thinking about the company products at all times through the items they possess at home (Estes, Gibbert, Guest, & Mazursk, 2012). This can well be explained by use of the customer-based brand equity model that brings together the requirements for a publicly renowned brand in the market.
A brand is utilized by a company to differentiate its products from others in the market. Some techniques for accomplishing this are through the use of distinguishing logos, names, color schemes, and slogans. An effective branding strategy is one of the most important components for gaining a significant advantage in a progressive market. Basically, a company brand is its promise to its customers about what can be expected from its product and how it differentiates from the competitors. The branding strategy is the part of the marketing plan that explains how and to whom the company proposes on conveying its brand messages. It will also explain where the company plans to advertise and what it will publicize both visually and verbally (Williams, 2013). Home Depot’s marketing plan will contain domestic and global branding strategies and will be a collaboration of brand messages from both Home Depot and Reach the Top®.
Definition; - “brand equity is the added value endowed on products and services. It may be reflected in the way consumer think, feel, and act with respect to the brand, as well as in the price, market share and profitability the brand commands.”(Kolter and Keller.2012, p265) according to the case study of Holland and Barrett, brand equity refers to high brand value, brand with high value equity means, H&B has the ability to create some sort of positiv...
Secondly, some light has been thrown on the previous researches by various authors on the similar topics by providing with a summarised form of the same. It helps in better understanding of the ongoing concepts and perceptions on the concept of brand and its importance.
In conclusion, the customer- based brand equity model is an important platform that may help in building a strong brand. It could assist a company in assessing its progress as well as providing a blueprint for marketing research activities. If properly planned and implemented, it could help the company in achieving its marketing strategies and in the realization of an increased profit margin
Marketing and branding, two of the most common used words in the contemporary world, is closely linked to each other without doubts, but the importance of branding to successful marketing is enquired to measure in term of the question. In fact, various people have different ideas on marketing and branding. For most of people, or customers, the two are normally combined in their minds or even equal to each other. For example, people could raise Apple as the answer for both questions of "what is good branding" and "what is successful marketing". In fact, they are two separate topics on academic, and branding is just one of the numerous marketing activities apparently. However, the perception of consumers might be a good guide to answer the question.
Brand offers superior quality of the service to the customer’s expectation and satisfaction. Furthermore, people are much attached to the branded products, as majority of the people purchase the branded products with the belief that brands show their status and life style in the society. And also because they believe that they are purchasing quality when purchasing branded product. As duration of stay creates impact of brand on consumer behaviour, so verification of brand image, brand loyalty and personality should be considered as the significant factors in this regard. It can also be said that there is need to improve the product of a particular brand so that the impact of brand on consumer behaviour is more effective in comparison to the existing scenario. The study also reflects that the product features are very essential for consumers. Advertising plays a very important role in achieving growth for any product or brand. The right media for advertising products and services should be chosen to gain customer attention.