Final Exam Fashion Branding

History of Brand

Originated in ancient Greece. It was a means to distinguish the goods of one producer from another. Brands were used to protect products and give purchasers more confidence.

What is a brand

starts with an idea to solve a need. A brand name, term, sign, symbol, or design is intended to identify the goods and services of a group of sellers.

Brand Elements

Name, logo, symbol, package design, or other characteristics that identify a product and distinguishes it from others.

Brands vs products

products are the core of a brand that solves the brands purposes

segment specific vs brand-specific

segment specific: Hanes vs Victoria Secret- both mass market but VS might be more considered because of looks

brand specific value: Gucci vs Prada- Both are made in italy, difference when wearing it

Reduce risk to consumers

functional risk= products not performing

physical risk= danger

financial risk= not worth the money

social risk- embarrasement from others

Psychological risks= Affects the mental well-being

Time risk- Time= money

What a brand does for firms

• means of identification to simplify handling/tracking

• means of legally protecting unique features

• signal of quality level to satisfied customers

• means of endowing products with unique associations

• source of financial returns

Brand Equity

Customer-based brand equity is the differential effect that brand knowledge has on consumer response to the marketing of that brand

building brand concept

form of a proposal to solving a problem and convincce customers.

Company

creates a brand for financial gain by consistently satisfying customer needs. The company remains the sole legal owner and all its copyrightable elements and major investor and risk taker

Customer

shapes the brand and the brand creates a target customer in mind based on certain criteria (demographic, geographic, psychographic, lifestyle). End up determining the brand’s true market positioning.

Culture

culture and society shapes needs and aspirations of consumers. The rise of social media has reshaped how brands interact with consumers and present their culture. More informed consumers want two-way communication with the brand.

Customer Purchase Process

• Need realization

• information search

• analysis of alternatives

• purchase, send feedback

Communication to people inside and outside the comany

mission statement= internal audience

vision statement= External audience

values or about us= both audiences and growing

National Brand

owned by a national manufacturer and distributed through multiple retailers, both wholesale and retail

private label or store brand

manufactured and distributed only through stores that own the brand.

Exclusive

A collaboration between designers/manufacturers with retailers

Corporate

example Gap is the owner and there are brands underneath Gap

Independent

has extensions of the company’s image (ex: Air Jordan)

Building Brand Equity

brand knowledge- key to building equity and awarness of the brand name and beliefs about the brand image

Brand Recognition

consumers ability to confirm prior exposure to the brand when given the brand as a cue

Brand Recall

Consumers’ ability to retrieve the brand from memory when given the product category, the needs fulfilled by the category, or a purchase or usage situation as a cue

Brand attributes

descriptive features that characterize a product or service

brand benefits

personal value and meaning that consumers attach to the product or service attributes.

brand associations

associations need to be strong, favorable, unique and not shared with competing brands for building brand equity

brand positioning

the act of designing the company’s offer and image so that it occupies a distinct and valued place in the target customers minds

target market

set of all actual and potential buyers who have sufficient interest in, income for, and access to a product

Market segmentation

divides market into distinct groups of homogenous consumers with similar needs and consumer behavior; require similar marketing

Brand Salience

the first step in building brand identity and measures how easily the brand is evoked

Breadth and Depth

measures how likely and easy it is for a brand element to come to mind

Product Attributes

The product should fully satisfy consumer needs

price

creates mental associations with consumers and enables brands to charge a premnium over non-brands.

service

auxiliary services offered by the brand before, during, and after the purchase

• level and type of service differs by brand segments

• helps build long-term relationships with customers

• higher serv ice expected from luxury compared to mass-market brands

Distribution

• mass market brands require convenience and accessibility

User Imagery

associations about the type of person or organization who uses the brand

feeling- customer’s emoptional respoonses and reaction to a brand

brand personality- through consumer experience or marketing activites, brands may take on personality traits or human values

history and heritage- associations to brands past and certain noteworthy events in the brands history

criteria for choosing brand element

memorable

meaningful

likeable

transferable

adaptable

protectable

premium brands

• not built on exclusivity but emotional\

• better quality and benfits/innovation and creativity

• habe an element of craftsmanship nut not handmade entirely

• customers have higher discretionary income but are cross-shoppers

private label brands

owned by retailer and not manufacturer

• price is a major factor in success

• consumers will switch if the benefit they perceive in quality or image is less than the price they pay

• equal or better quality at a lower price point

• more economic sense if price gap is high with manufacturer brands

generic

no name products, not popular in fashion

copycats

imitate styles, colors, details of established manufacturer but lower prices.

Premium store brands

superior quality at lower prices

value innovators

high innovation and lower prices

Brand Product Positioning

Each item at the store: Different stock keeping units= SKU

variety= number of merchandise category

Assortment: one category of the merchandise

Importance of pricing

• creates identity

• helps in postioning

• determines income

price strategies

price skimming- introducing product at premium price and lowering with increasing competition

price penetration- introducing product at attractive low price to gain market share

price lining- all items same price

price zoning- price floor and ceiling

odd pricing- prices ending in odd digit

Distribution

exclusive- through stores owned by the brands manufacturer or the brands own store

limited- may be sold in one or more stores, chain of stores or selective department stores that suit its targeted positioning strategy and image

mass- avaliable to almost any retailer willing to carry the products, These are usually budget products that generate profit through high sales volume

Brand Communication

firms attempt to inform, persuade, and remind consumers about the brands they sell and why to buy

paid media

traditional media used by brands

ex: tv, radio, print ads, promotions, product packages, paid influencers

Owned Media

media brands control to some extent, usually created by the brand

ex: websites, emails, social media pages, stores

Earned media

consumer communications about brand growing (social media, customer reviews, word of mouth, bloggers, influencers?0

Integrated Marketing Communications

present a consistent brand image through all communications with customers

criteria for IMC programs

coverage- audience reach

contribution- unique info about the brand

commonality- brand identity remains

complementarity- synergy across different channels

conformability- all similar across offerings

cost- $ communication budget

omni channel

seamless multichannel, consistency and tracking

Brand product Hijacking

situation where a brand is meant to target a specific market segment and user group, but gets picked up and popularized by a different one

product listing hijacking

and unauthorized seller lists a counterfeit version of the original product. This could be at a lower price points or the actual payment.

communication hijacking

situation where consumers taking over the marketing and promotion of the brand and its products

RFID- Radio Frequency Identification

digital and electronic technology have allowed products and services to be designed, packed, delivers and experienced in new and different ways.

ROMI (Return of marketing investment)

A measure of how much money is invested in marketing vs how much equity the brand is generating

• difficult to measure short-term profits

Brand Audit

the stage where the orginaztion assesses the brands performance and measures customers reactions

• based on evaluation, decisions are made on repositioning or growth

Brand Inventory

presents the company perspective and provides a comprehensive profile of how all the products and services are sold by a company, are marketed, and branded

Brand Exploratory

presents consumer perspective.

Brand Reposition

plan which the brand redefines its market position, target customer, and strategy n eeds to establish a new relationship with a new group of customers

Brand Relaunch

a strategy by which the brand is reintroduced after a period of demise or lack of market interest

Brand Revitalization

an approach whereby the brand is refurbished and modernized . Meant to stay relevant to its existing customers with the possibility of gaining new groups

Brand deception

when a brand lies and sends false message to customers

Brand irrelevance

when a brand fails to evolve with its market and its customers

Brand Fatigue

when a brand gets old and loses interest in reinventing itself

Co-branding

Initiative between two different brands that collaborate and decide to use both brand names on a single product or service.

vertical integration

manufacturing—> wholesaler—> retailer —> consumer

• company performs more than one stage of activites in the supply chain

Brand Extension

introducing new product lines or categories

brand extension advantages and disadvantages

advantages:

• offers more complete solutions for the consumers

• brands become more visible and powerful

• reach various markets and segments

• requires less marketing for the new brand extension

Disadvantages

• brand might lose credibility or become diluted due to extensions

Licensing

• gets royalty in exchange for giving rights to use

• licensee has to obtain permission from the licensor to use brand images

Global Expansion

• geographic extension of the brand