Wait a second!
More handpicked essays just for you.
More handpicked essays just for you.
Growing and sustaining brand equity
Chapter 10 crafting the brand positioning
Growing and sustaining brand equity
Don’t take our word for it - see why 10 million students trust us with their essay needs.
Recommended: Growing and sustaining brand equity
Positioning is a significant part of organizational or business strategy. MUJI, as a retail company, is consistently successful in branding and positioning in contemporary global market. This is shown in the article “The Commercial Zen of MUJI” written by Silvia Killingsworth in December 2015 on the New Yorker website. Began with describing the scene when MUJI opened a new flagship store on Fifth Avenue in New York, Silvia introduces the origin and current situation of MUJI. In her article, she explains the ‘no-brand’ branding strategy, and discusses the ways in which MUJI position their brand image in consumers’ minds. MUJI promotes ‘minimalism’ design against waste in packaging and production, emphasizing on recycling and reusability by utilizing …show more content…
(P179) Products need to be positioned when being introduced by a marketer to ensure characteristics most desired by the target market are highlighted. MUJI is an example that succeeds in positioning in marketplace. Launched by Seji Tsutsumi in 1980, Muji is a retail company from Japan which sells a wide range of household and living goods. The brand’s name is originated from its Japanese name “Mujirushi Ryohin” which denotes “no label quality goods”. As Silvia says in her article that, “The colors, patterns, and materials are generic, but everything, from toothbrush holders to storage boxes, comes in pleasing shapes” Every product in stores is in MUJI’s own style. With the slogan call “lower priced for a reason” and the concept “less is more”, MUJI offers high-quality, functional and affordable goods to its consumer from all over the world. A product’s position can be based of specific product attributes or features. MUJI has positioned itself primarily on simplicity, functionality as well as lower …show more content…
By using its own way of positioning and branding, MUJI manages to establish and develop its brand image as well as brand identity which leads to great brand equity. As shown in the article “The Commercial Zen of MUJI”, we can see that brand equity brings benefits to a brand by setting it apart from its major competitors and creating increased sales growth. Consequently, MUJI obtains the potential for higher marketshare. Hence, it is necessary to appropriately position a brand and maintain brand
Considering 4 elements of the marketing mix and the case discussion of the general trends in the industry, it seems that MCB is experiencing problem with place and determining its target market. The case provides many examples of the company's difficulties in gaining more retail locations, maintaining sufficient inventory level, and, the most important, improper positioning of its product, which impeded the MCB to reach its potential customers.
When the consistency of the information is built, the credibility of the brand becomes higher (Bengtsson, Bardhi and Venkatraman, 2010). It is suggested that asymmetric information leads to consumer uncertainty, which would therefore have a negative impact on brand image (Erdem and Swait, 1998, p. 138). Accordingly, consistency of the information has become a key factor that leads to the successfulness of a global brand since it reduces the uncertainty and the thinking process time of consumers (Lee et al., 2007). Several effects have been found regarding to standardization of a brand (Erdem and Swait, 1998, p. 138). Marketers will have a better control of the brand if the brand meaning has been consistent over the time (Erdem and Swait, 1998, p. 138). First of all, it increases brand equity, which would therefore improve consumer’s brand awareness (Erdem and Swait, 1998, p. 138). Second, it would reduce consumers’ uncertainty of the brand, which would thus increase the reliability of the brand and brand loyalty (Erdem and Swait, 1998, p. 138). Third, it greatly reduces the conflict of consumers’ cognitive structures, which would lead them to trust more on the brand (Erdem and Swait, 1998, p.
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.
Moving up the pyramid, the next level includes brand meaning – what are you? This incorporates performance and imagery. The product itself is at the heart of brand equity, and designing and delivering a product that satisfies the consumers’ needs and wants is crucial for successful marketing. In order to reach resonance at the top of the pyramid, the product must (at least) meet, if not surpass, customer expectations and functional needs. The goal here is to identify and communicate brand meaning. Performance dimensions consists of five categories: primary characteristics and supplementary features; product reliability, durability and serviceability; service effectiveness, efficiency and empathy; style and design; and
Ron Johnson spent a great deal of time and money to promote his ideas of “stores-within-stores” by turning floor space into an area to house several branded boutiques. He did this in order to attract a target market of a wider demographic which includes age, gender, and generation. One of the m...
People are buying the product which gives them prestige. Marketers have interest on consumer psychology and they are playing with every day by showing that their product will give prestige in the society. It’s true that the transparent societies now needs brands image. Marketers analyze the interest and needs of consumer than create the product according to the need of the society. Brand can attain the people attraction and the business can have the good reputation by giving satisfaction to consumer. If the brand gives satisfaction and function are according to the expectation of consumer than the brand gets good image on the mind of consumer. brand image is great weapon to use for the competitors it builds in years , at once the business gets brand image it has competitive edge from other brands in the market. When consumer rely on the brand the company can create the long term relation with the consumer, in other words (CRM) consumer relationship management. The brand image has effect on the choice of every individual there believe and attitude change their preferences. Brand image can be effected by price as price is an important part for consumer when they are making purchase decision if they find the value of brand is equal to the pricing they purchase that brand if not they refuse it. Similarly the image of brand can be effected by the attributes and features or
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.
One of the fundamental parts of successful brand creation process is developing the strong brand image and communicate brand ID across all available media channels. This essay will discuss and evaluate companies NIKE marketing strategies in terms of companies brand development efforts. The company’s success in the footwear, apparel and accessory markets will be linked with marketing branding concept. Furthermore, the discussion on NIKE marketing strategies and their efforts to preserve and increase the leading market position and marketing activities to increase brand equity will be discussed and critically evaluated.
Brand image is about how consumers perceive a product and the ability for the customers to be loyal to the brand irrespective of the threats from its competitors. Starbucks prides itself as the best coffee produce, and most consumers have been heard admitting that the company produces coffee that is quality and that makes users sometimes to consume even when they had not budgeted for it. Cleanliness seems to be another strategy that Starbucks uses to promote the image of its brands because customers can trust their products and knows that the company is keen enough in cleaning its environments and the utensils used for the preparation of coffee and other brands. Brand image is critical for measuring brand equity, and it is from this point of view that the company comes up with marketing and operational strategies to make it successful (Keller & Lehmann, 2006). Brand resonance is another important technique that should not be avoided because of its impact towards the study. The attachment that a consumer has to a product will help discover the relationship between a customer and a product. Identifying oneself with a product is only possible if the product is
By quality/value – positioning of the product based on high quality. Also can be claimed that the product have high value.
The review of relevant literature is to identify what's brand awareness and how to carry out in strategic marketing, and consumers' behavior. The study prove that the significant factors on brand awareness as a perception of product, service, and image of the company and has a tremendous effect on consumers’ evaluation of system results. From reading all of the relevant journals, it is understandable that the significant factors on building a successful brand image and awareness is consumers and their relationship with the brand, company, service and the product. Brand awareness is the vital importance to marketing strategy and marketing communications because it links customer behavior to firms’ financial metric. Keller (2001), noted, customers’ reaction toward brand awareness is associated profitably brand equity.
By communicating a new value proposition, brand management aims to change the brand’s former brand percep-tion and link the new brand image to the new position. Of course, also within re-positioning, new attributes have to demonstrate points of difference and superi-ority. By emphasizing the brand’s uniqueness, management enables the cus-tomer to perceive higher brand value in their mind (cf. Friis 2009, p. 19). If the brand elements are not relevant for the target audience or the brand proposition was not chosen correctly, brand identity will not be perceived as credible and communication will fail. Therefore, companies have to analyse their target groups accurately before choosing new attributes, which they want to communicate. Management has to find out what are the target audience’s needs, wants and desires and what do they believe in. The organizations values should in best case overlap with the values of the audience. New brand attributes have to follow specific communication objectives, which are focussed on changing the custom-ers’ perception (cf. Feddersen 2013, p.
“Linked to a brand, its name is the symbol that adds to or subtract from the value provided by a product or service.” (Aeler, 1991) Like country of origin, brand equity is also one of the reasons why some people want to have a well-known brands in the whole world. Sometimes it is not all about the price anymore because in today’s generation brand is more important than
The second step deals in creation of proper brand meaning through powerful and unique brand connection with the customers. The third step involves invoking positive brand response while the fourth one involves engaging the customers so as to build a brand affiliation aimed at enhancing active brand loyalty. However, some building blocks are requisite in order to achieve these steps. These...
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.