So What is Brand ?
A brand as “a name, term, sign, symbol, or design, or a combination of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.”A brand is thus a product or service whose dimensions differentiate it in some way from other products or services designed to satisfy the same need.
Brands identify the source or maker of a product and allow consumers—either individuals or organizations—to assign responsibility for its performance to a particular manufacturer or distributor.
Your brand is how your business is perceived and the elements that create that perception.
Brands perform valuable functions for firms.
First, they simplify product handling or tracing. Brands help to organize inventory and accounting records. A branded product offers the firm legal protection for unique features or aspects of the product. The brand name can be protected through registered trademarks; manufacturing processes can be protected through patents; and packaging can be protected through copyrights and proprietary designs. These intellectual property rights ensure that the firm can safely invest in the brand and reap the benefits of a valuable asset.
Brands create strong, favorable, and unique brand associations with customers, such as have Toyota (reliability), Hallmark (caring), and Amazon.com (convenience).
Advantages of Strong brands :-
- Improved perceptions of product performance
- Greater loyalty
- Less vulnerability to competitive marketing actions
- Larger margins
- More inelastic consumer (consumers’ buying habits remain the same even when the price of a product increases or decreases)
- Greater trade cooperation and support.
- Improved employee recruiting and retention.
- Greater financial market returns.
Choosing Brand Elements
Brand elements are devices, which can be trademarked, that identify and differentiate the brand.
BRAND ELEMENT CHOICE CRITERIA
There are six criteria for choosing brand elements. The first three—memorable, meaningful, and likable—are “brand building.” The latter three—transferable, adaptable, and protectable—are “defensive” and help leverage and preserve brand equity against challenges.
1. Memorable—How easily do consumers recall and recognize the brand element, and when—at
both purchase and consumption? Short names such as Rin, Amul, and Denim are memorable
2. Meaningful– meaning in names such as surf excel,phonePE, facebook
3. Likable – How aesthetically appealing is the brand element. Mc Donald, Coca Cola, Honda
4. Transferable -Ability of brand elements to introduce new products in the same or different categories Lenskart, Sugar Cosmetics, Bombay Shaving
5. Adaptable– Brand elements are adaptable and flexible will be easy to update. For example, a logo or who can be given the look or design a new one for them appear more modern and relevant.
e.g. Mahindra, HeroMotocorp
6. Protectable – They should be legally protectable and, as much as possible, competitively defensible. e.g Reliance, Bajaj Additionally, a brand must be protected from competition. If the name, package or other attributes are easy to copy, there will be many unique names that may be missing.