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BM Unit 2 Final

This document outlines the essential steps for effective brand building, including defining the brand, identifying the target audience, developing brand positioning, and creating a brand identity. It emphasizes the importance of establishing brand values and monitoring brand performance to maintain relevance and customer loyalty. Additionally, it introduces various brand positioning models, such as the Brand Benefit Ladder, Bull’s Eye Model, and Golden Circle Model, to help brands articulate their unique value and emotional connection with consumers.

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Vedaant Vaish
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0% found this document useful (0 votes)
43 views21 pages

BM Unit 2 Final

This document outlines the essential steps for effective brand building, including defining the brand, identifying the target audience, developing brand positioning, and creating a brand identity. It emphasizes the importance of establishing brand values and monitoring brand performance to maintain relevance and customer loyalty. Additionally, it introduces various brand positioning models, such as the Brand Benefit Ladder, Bull’s Eye Model, and Golden Circle Model, to help brands articulate their unique value and emotional connection with consumers.

Uploaded by

Vedaant Vaish
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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UNIT 2

Brand Positioning

Brand Building . Identifying and Establishing Brand Positioning and Values . Brand
Repositioning . Life Stages of a Brand. Brand personality. Brand Image

Brand building is the process of creating and developing a strong, memorable, and positive brand
identity in the minds of your target audience. A well-established brand can help you stand out in a
competitive market, build customer trust, and drive loyalty. Here are essential steps and
strategies for effective brand building:

1. Define the Brand


This step establishes the foundation of the brand. It’s about answering fundamental questions
regarding what the brand represents and its goals.
Mission Statement: What is the brand’s purpose? A mission should clearly define why the brand
exists and the problem it aims to solve.
Vision Statement: What does the brand aspire to achieve in the future? This outlines the brand’s
long-term goals and aspirations.
Core Values: These are guiding principles that dictate the brand’s behavior and decision-making
processes.
Unique Selling Proposition (USP): What sets the brand apart? The USP highlights why customers
should choose your brand over competitors.
Example: Tesla’s mission, “To accelerate the world’s transition to sustainable energy,” defines its
purpose and guides its product development and marketing strategies.

2. Identify the Target Audience

This step focuses on understanding who the brand is for. Knowing the target audience helps in
crafting a relevant and appealing brand.
- Market Research: Conduct surveys, focus groups, and analyze data to understand customer
demographics, preferences, and buying behaviors.
- Persona Development: Create fictional profiles representing ideal customers, detailing their needs,
motivations, and challenges.
- Audience Segmentation: Divide the target audience into groups based on shared characteristics,
such as age, income, interests, or geography.

Example: Nike targets both professional athletes and everyday fitness enthusiasts, tailoring its
messaging and products accordingly.
3. Develop Brand Positioning
Brand positioning is about how the brand will be perceived relative to competitors. It answers the
question: Why should customers choose this brand?

- Value Proposition: Clearly articulate the benefits your brand offers and why they matter to your
target audience.
- Differentiation: Identify what makes your brand unique in the marketplace.
- Positioning Statement: Create a concise statement that communicates the brand’s promise and
market position.

Example: Volvo positions itself as the leader in automotive safety, consistently emphasizing safety
features in its marketing.

4. Create a Brand Identity


Brand identity refers to the tangible and visual elements that represent the brand. It’s how the brand
appears to the world.
Key Components:
- Logo: A memorable visual symbol or wordmark.
- Tagline: A short, impactful phrase that encapsulates the brand’s essence. Example: McDonald’s,
“I’m Lovin’ It.”
- Color Palette and Typography: Colors and fonts that evoke specific emotions and are consistent
across all platforms.
- Brand Voice and Tone: The personality of the brand in its communications, whether professional,
friendly, or playful.

Example: Apple’s sleek logo, minimalist design language, and focus on simplicity all contribute to
its strong identity.

5. Develop Brand Message


The brand message conveys what the brand stands for and how it communicates with its audience.
Key Components:
- Core Message: The main idea the brand communicates in its marketing.
- Storytelling: Use narratives to connect emotionally with the audience. Stories about the brand’s
origins or mission can create strong connections.
- Consistency: Ensure the message remains consistent across all platforms and campaigns.

Example: Coca-Cola’s message, centered around happiness and sharing, is reflected in campaigns
like “Share a Coke.”
6. Implement Marketing Strategies
This step involves bringing the brand to life and increasing visibility through targeted marketing
efforts.

Key Channels and Strategies:


- Digital Marketing: Social media campaigns, search engine optimization (SEO), and email
marketing to engage with customers online.
- Content Marketing: Blog posts, videos, and infographics that provide value and resonate with the
audience.
- Traditional Advertising: TV, radio, print, and outdoor advertising to reach broader audiences.

Example: Apple uses product launch events and sleek advertising to showcase its innovation and
build anticipation for new products.

7. Build Customer Relationships

Strong relationships lead to brand loyalty and advocacy. The focus here is on creating trust and
maintaining engagement with customers.

Key Tactics:
- Customer Engagement: Interact with customers on social media, respond to their questions, and
participate in discussions.
- Customer Support: Provide excellent service to address issues promptly and build trust.
- Loyalty Programs: Reward customers for repeat purchases or referrals to encourage loyalty.

Example: Starbucks’ mobile app offers rewards, personalized recommendations, and exclusive
offers, fostering a strong connection with customers.

8. Monitor and Measure Brand Performance


Continuous evaluation ensures that the brand remains relevant and effective.

Key Methods:
- Brand Metrics: Track metrics such as brand awareness, sentiment, and equity through surveys and
analytics tools.
- Customer Feedback: Use reviews, social media comments, and direct surveys to understand
customer opinions.
- Competitive Analysis: Monitor competitors to ensure the brand remains differentiated and
competitive.

Example: Amazon uses customer reviews and analytics to refine its offerings and ensure customer
satisfaction.
Brand building is an ongoing process that requires dedication, consistency, and the ability to
adapt to changes. When done effectively, it can lead to a strong and resilient brand that stands out
in the market, fosters customer loyalty, and drives business success.

Importance- Same as Brand

Identifying and Establishing Brand Positioning and Values .

Identifying and establishing brand positioning and values are essential steps in creating a strong
and meaningful brand identity. Brand positioning defines how you want your brand to be
perceived in the market, while brand values are the core principles that guide your brand's
actions and behaviors. Here's how to identify and establish brand positioning and values:

Identifying Brand Positioning:


Market Research: Conduct thorough market research to understand your industry,
competitors, and target audience. Identify gaps and opportunities that can inform your
brand positioning.
SWOT Analysis: Perform a SWOT analysis to identify your brand's strengths,
weaknesses, opportunities, and threats. This analysis helps uncover your competitive
advantages.
Competitor Analysis: Study your competitors' brand positioning to identify whitespace
or areas where your brand can differentiate itself.
Unique Selling Proposition (USP): Determine what makes your brand unique. Your
USP should be a distinct, compelling reason why customers should choose your brand
over others.
Customer Research: Understand your target audience's needs, desires, and pain points.
Identify the key benefits they seek from a brand like yours.
Brand Personality: Define the personality traits and characteristics you want your brand
to convey. Is your brand friendly, innovative, reliable, or something else?
Value Proposition: Clearly articulate the value your brand provides. What problems does
your brand solve for customers, and what benefits do they receive?

Establishing Brand Values:


Core Values Definition: Identify the core values that align with your brand's purpose and
mission. What principles will guide your brand's actions and decisions?
Mission Statement: Develop a clear and concise mission statement that communicates
your brand's purpose and its commitment to fulfilling it.
Value-Based Decision-Making: Integrate your brand values into all aspects of your
business, from product development and customer service to marketing and employee
engagement.
Leadership Example: Your brand values should start at the top. Company leaders and
founders should exemplify these values in their actions and behaviors.
Employee Alignment: Ensure that your employees understand and embrace the brand
values. Train and engage them to act in alignment with these principles.
Stakeholder Engagement: Extend your brand values to all stakeholders, including
suppliers, partners, and customers. Cultivate a shared sense of purpose and values.
Transparency: Be transparent about your brand's values and how they are put into
practice. Share your values through your communication and actions.
Adaptability: Be prepared to adapt your brand values as your business grows and
evolves. Values can evolve to reflect changing market dynamics and customer
expectations.

Establishing brand positioning and values is an ongoing process. Regularly revisit and refine
your brand strategy to ensure that it remains relevant and authentic. A well-defined brand
positioning and clear values create a foundation for building a strong and enduring brand
identity.

BRAND POSITIONING MODELS


Model 1: Brand Benefit Ladder Model
Brand Benefits Ladder is to translate product or service features into relevant psychological benefits
for consumer. The Brand Benefits Ladder is based on the theory that brands that connect with
consumers on a more emotional level build stronger equity and loyalty. Completing this framework
forces marketers to view their functional attributes and benefits through the eyes of their target
consumer. The ladder also ensures that there is alignment and credibility between the functional and
emotional benefits of the product or service. Once completed, a Brand Benefit Ladder can be used as
a tool to create more distinctive and emotionally resonant marketing communications.
1. Identify your target consumer. Use research to understand the relevant needs, values, attitudes, and
behaviours that define them. Make sure you can easily empathise with this consumer as a person.

2. List the functional attributes of your product or service. Consider all of the specifications,
features, and dimensions of your offering. Focus on those that provide your brand with a competitive
advantage.

3. Move up the ladder, and identify the tangible benefits that your product attributes deliver. Review
each item listed and ask yourself “what functional benefit or advantage does this attribute provide?”

4. Move to the top rung of the ladder and review your Consumer Benefits from a more emotional
perspective. Go deep, and ask yourself “how does this brand make me feel?” Narrow to what your
brand can own.

5. Psychological benefits – The customer feels self-growth and improvement because of the brand’s
services.
(EXPLAIN THIS WITH ONE EXAMPLE FOR EACH RUNG IN LADDER)
Model 2: Bull’s Eye Model
This framework — as its name suggests — looks like a target with parallel circles that work towards
the centre. The bullseye is a framework that collects and analyses how customers feel about a brand,
determines what makes it special, shows how the position can be substantiated, and distills it all into
just a couple of words, the brand essence or the brand mantra.
Working from the inside of the bullseye out, this framework works as follows:

The bullseye: This is a brand’s mantra or brand’s essence. In one sentence, what does the brand stand
for? This should be a concise articulation of the heart and soul of the brand.

Ring one: These are the brand’s values. What are the band pillars and main communication themes?
What are the brands’s points of parity and points of difference?

Ring two: These are the substantiators, which should reinforce the brand’s points of parity and
difference. If a brand promises to be more environmentally friendly than their competitors, here is
where they should prove it. These ‘reasons to believe’ should support the brand’s key concepts.

Ring three: This is the brand’s character and visual identity. What is the brand’s personality and tone
of voice? What are the traits that make this brand unique?

Example: Nike - Using the Bullseye Model for Brand Positioning

1. Core (Center of the Bullseye):


• Brand Essence/Promise:
• Nike’s core brand essence is “Inspire every athlete to reach their full potential”. The
center of the bullseye focuses on what the brand stands for: empowerment, performance, and
inspiring individuals to be the best version of themselves.

2. Inner Circle (Primary Brand Positioning):


• Target Market:
• Nike targets athletes of all kinds, whether professional, semi-professional, or casual
fitness enthusiasts. It positions itself as a brand that understands the athlete’s mindset and needs.
• Differentiators:
• Nike emphasizes innovation in product design, quality, and technology (e.g., Nike
Air, Flyknit). These attributes set the brand apart from competitors in sportswear by offering cutting-
edge products that improve athletic performance.

3. Outer Circle (Supporting Features & Messages):


• Emotional Appeal:
• Nike taps into deep emotional connections through its famous slogan “Just Do It.”
The emotional appeal focuses on pushing limits, overcoming obstacles, and striving for excellence,
resonating with both athletes and non-athletes who seek personal growth and challenge.
• Brand Associations:
• Nike associates itself with famous athletes and teams (e.g., Michael Jordan, Serena
Williams) to enhance credibility and create a strong aspirational image. The brand’s image is also
linked to values such as perseverance, ambition, and success.
• Product Range:
• Nike offers a diverse range of products (sports apparel, footwear, equipment, etc.)
catering to different sports, fitness levels, and fashion-conscious consumers.

Summary of the Bullseye Model for Nike:


• Core Promise: Empower athletes to reach their potential.
• Inner Circle: Targeted towards athletes of all types, focusing on innovation,
performance, and quality.
• Outer Circle: Emotional branding, product variety, strong brand associations, and
aspirational messaging.

This approach positions Nike as a powerful and innovative brand with a strong emotional connection
to its consumers, allowing it to dominate not only in sports but also in lifestyle and fashion markets.
Model 3: Golden Circle Model/ Sinek’s Model
Originally coined by Simon Sinek, leadership expert and author of the classic “Start With Why,” the
Golden Circle theory argues that many of today’s most successful companies think beyond the
practical, rational benefits of the products and services they offer. While some companies start by
explaining what they offer to their customers, big names like Apple begin by examining the how and
the why behind their business first.
Just consider Apple’s slogan “Think Different” and how unrecognizable this tech behemoth would
be today if it instead settled on “We sell computers.” From Apple’s perspective, customers choose a
business based on more nebulous, emotional reasons than simply needing a MacBook or iPhone. In
short, people want to support companies driven by shared values and beliefs.

The fundamentals of the Golden Circle theory are relatively straightforward and consist of three
main parts.

The “why”
Since, as Sinek says, “People don’t buy what you do, they buy why you do it,” the question of “why
are we in this business?” should be the focal point of any brand. Naturally, small business and
nonprofit leaders are focused on the bottom line, but there is a valuable story to be told via the
reasons why your business or nonprofit does what it does.
Perhaps there’s an unfulfilled need in the marketplace or your community that your business will
cover, or maybe you simply have an innovative vision for the future of your industry. Perhaps your
business has a personal, or mission-driven “why.”
The “why” behind your brand should define the overarching purpose of the company beyond the
bottom line, giving customers and employees a more meaningful reason to support your business.

A great example of an established brand explaining its “why” can be seen in Tesla’s mission
statement: “Tesla believes the faster the world stops relying on fossil fuels and moves towards a
zero-emission future, the better.” This simple sentence summarizes the foundation of Elon Musk’s
company, attaching his brand to a nobler endeavor than simply selling electric vehicles or solar
panels.

The “how”
The next part of the Golden Circle theory addresses how your brand achieves its “why” objective.
This may include the processes or systems that separate your business from competitors. For
example, you can create an online clothing store that uses only ethically sourced fabrics to support
your “why” of moving fashion in a more sustainable direction.
For Amazon, Jeff Bezos’s stated “why” goal is to “continually raise the bar of the customer
experience by using the internet and technology to help consumers find, discover and buy
anything.”

How did his company manage to meet this objective and become such a powerhouse in the
ecommerce industry? For one thing, Amazon built a robust platform that’s easy to use, bringing
thousands of merchants together into a single online marketplace. To ensure expedited deliveries at a
lower cost to subscribers, Amazon also created its own fleet of vehicles and established micro-
fulfillment centers across the United States.
The “what”
The final aspect of a Golden Circle brand is what your company actually does in terms of the
products or services it provides. This portion of the Golden Circle theory should position your
company in the market as a distinctly unique and innovative industry leader.
While this part of the Golden Circle seems self-explanatory, it’s important to consider how your
offerings correspond to the why and how that defines your brand. What is it about your products or
services that bolster the purpose of your company? For a company like Tesla, selling electric
vehicles is simply a means to achieve its stated goal of making the world less dependent on fossil
fuels.

Regardless of “what” you are selling, your products or services must relate to the company’s primary
vision and motivation. If you keep the “why” squarely in mind, compelling brand messaging will
follow.

Positioning Statement

A Positioning Statement is a concise and clear description of how a brand or product should be
perceived by its target audience in comparison to competitors. It defines the unique value the brand
offers and communicates its core identity in the market. The positioning statement helps guide all
marketing strategies, messaging, and brand decisions to ensure consistency and focus.

Key Components of a Positioning Statement:


1.Target Audience: Who the brand is aiming to serve.
• Example: “For active individuals and athletes…”
2.Frame of Reference: The category or market in which the brand competes, or the context the
brand fits within.
• Example: “…in the sports apparel industry…”
3.Point of Difference (POD): The unique feature, benefit, or characteristic that sets the brand apart
from competitors.
•Example: “…who want high-performance, innovative products that help them achieve their
full potential…”
4.Reason to Believe: Supporting evidence or reasons that back up the point of difference, ensuring
the brand’s promises are credible.
• Example: “…backed by cutting-edge technology like Nike Air and Flyknit.”
Structure of a Positioning Statement:
A typical formula for a positioning statement looks like this:

“For [target audience], [brand/product] is the [frame of reference] that [point of difference] because
[reason to believe].”

Example of a Positioning Statement for Nike:

“For athletes who strive to reach their full potential, Nike is the sports apparel brand that delivers
innovative, high-performance products, because of its cutting-edge technologies like Nike Air and
Flyknit.”

This positioning statement clearly communicates Nike’s target audience, the competitive space it
operates in, its unique value proposition, and the reasons why it can deliver on that promise.

Importance of a Positioning Statement:


• Guides Marketing and Branding: It provides a framework for consistent messaging
across all touchpoints.
• Differentiates the Brand: Highlights what makes the brand unique, helping it stand
out in a competitive market.
• Clarifies Focus: Ensures that the company and its employees are aligned on what the
brand stands for and who it serves.

Brand Repositioning
Brand Repositioning is the process of changing the way a brand is perceived in the market, often in
response to evolving consumer needs, market conditions, or competitive pressures. It involves
altering the brand’s identity, messaging, positioning, or even its target audience to create a new
image or appeal. This can include adjustments to the brand’s value proposition, emotional appeal, or
overall market positioning.

Purpose of Brand Repositioning:


The primary purpose of brand repositioning is to ensure that the brand remains relevant, competitive,
and appealing to its target audience. It is typically driven by the following factors:
1. Changing Consumer Preferences:
• Consumers’ tastes, needs, and priorities evolve over time. A brand may need to
reposition itself to reflect these shifts and stay connected with its audience.
2. Market Competition:
• As new competitors enter the market or existing competitors adapt their strategies, a
brand may need to reposition itself to differentiate more effectively.
3. New Target Audience:
• A brand might want to appeal to a different demographic or market segment. This
could involve adjusting its tone, messaging, or even product offerings to cater to a new group.
4. Product Changes:
• When a brand launches new products or innovations, repositioning might be
necessary to communicate the updated benefits or features.
5. Declining Brand Image or Sales:
• If a brand is experiencing a decline in sales or a negative reputation, repositioning can
help rejuvenate its image and re-engage customers.
6. Cultural or Societal Shifts:
• Changes in societal values or cultural trends (e.g., sustainability, diversity, or health
consciousness) might prompt a brand to realign itself with these new values.

Steps Involved in Brand Repositioning:


1. Conduct Market Research:
• Assess the current perception of the brand, understand customer needs, and analyze
competitors. Gathering insights will help identify the areas that need change or improvement.
2. Define New Brand Positioning:
• Based on research, create a new positioning strategy. This could involve defining a
new target audience, clarifying the brand’s unique selling proposition (USP), or altering the
emotional connection the brand fosters.
3. Revise Brand Messaging:
• Update the brand’s messaging to align with the new positioning. This includes
updating taglines, advertising copy, and communication channels to reflect the brand’s fresh identity.
4. Product/Service Adjustments:
• In some cases, the product or service offering may need to be updated, improved, or
expanded to match the repositioned brand image. This can include changes in design, features, or
quality.
5. Rebrand:
• A full rebrand might include a change in the brand’s logo, color scheme, packaging,
or overall visual identity to reflect the new positioning. This ensures that the brand’s image matches
the message it wants to convey.
6. Communicate the Change:
• Effectively communicate the repositioning to both existing customers and new
prospects. This may involve targeted marketing campaigns, public relations efforts, and social media
strategies to make the repositioning visible and understood.
7. Monitor and Adjust:
• After repositioning, continuously monitor customer reactions, sales trends, and brand
perception. This helps in refining the repositioning strategy and making adjustments where
necessary.

Key Benefits of Brand Repositioning:


1. Relevance: It helps the brand remain relevant in a constantly evolving marketplace.
2. Increased Market Share: A well-executed repositioning strategy can capture new
market segments and grow the customer base.
3. Competitive Advantage: Repositioning helps a brand stand out from its competitors
and highlight its unique strengths.
4. Improved Customer Loyalty: A fresh and relevant brand image can build stronger
emotional connections with consumers, resulting in increased loyalty.
5. Rejuvenating Brand Image: When a brand experiences a decline, repositioning can
rejuvenate its identity and perception in the marketplace.
Difference between Rebranding and Repositioning
Rebranding and Repositioning are both strategies used to change how a brand is perceived, but they
have distinct goals, processes, and impacts. Here’s a detailed comparison:

1. Definition:
Rebranding: Rebranding is the process of changing the brand’s visual identity, messaging, and
sometimes its entire core identity. This includes elements like the logo, color scheme, packaging,
tagline, and even the brand’s name. Rebranding is often a comprehensive overhaul of how the brand
presents itself.
- Goal: To create a new or refreshed identity that better aligns with the brand’s vision, values, or
market position.

Repositioning: Repositioning involves shifting how the brand is perceived in the market, focusing
more on changing its position or message to appeal to a different audience, address new consumer
needs, or highlight different attributes. It may not always involve a complete visual change but
focuses on redefining the brand’s value proposition and positioning in the market.
- Goal: To change the way the brand is positioned in consumers’ minds relative to competitors or to
target a new market segment.

2. Focus:
Rebranding:
- Primarily focuses on visual and verbal identity (such as logo, design, name, packaging, etc.) and
often involves a more substantial, visual overhaul.
- Can also include changes to the brand’s overall message or personality.

Repositioning:
- Focuses on the brand’s market position or how it is perceived by its target audience. It is more
about altering the brand’s value proposition, target market, or emotional appeal without necessarily
changing its visual identity.
- Focus is on updating the brand’s market messaging to align with new goals, trends, or consumer
expectations.

3. When to Use:
Rebranding:
- When a brand needs a fresh start or wants to differentiate itself from competitors with a completely
new identity.
- Typically used when the brand has outgrown its initial identity, when there is a negative perception,
or after a major company change (e.g., mergers, acquisitions, or changes in leadership).
- Can also be used to appeal to a broader audience or reposition itself to cater to a different market.

Repositioning:
- When a brand wants to change its market position without changing its entire identity.
- Typically used when a brand’s existing positioning is no longer effective, or when it wants to
appeal to a different target market or emphasize a new point of differentiation.
- Can be used if the brand is facing increased competition or market shifts that require an updated
message but not necessarily a complete visual transformation.
4. Scope:
Rebranding:
- Often more comprehensive and may involve significant changes across multiple aspects of the
brand (logo, name, visual style, customer experience, etc.).
- Involves more drastic changes that affect the brand’s overall appearance and feel.

Repositioning:
- Typically less extensive than rebranding. It may involve changes to the messaging, target audience,
or marketing strategies without a major visual overhaul.
- The scope of change is usually more focused on strategic shifts rather than a complete identity
change.

5. Examples:
Rebranding:
- PepsiCo: Over time, Pepsi has rebranded its logo, packaging, and advertising to reflect changing
consumer preferences, like promoting a more youthful, modern image.

Repositioning:
- McDonald’s: McDonald’s repositioned itself as a “family-friendly” fast-food chain by promoting
healthier menu options and more family-oriented advertising campaigns, aiming to address shifting
health concerns and appeal to a broader demographic.
- Dove: Dove repositioned itself by focusing on real beauty and body positivity, targeting a broader
audience by challenging traditional beauty standards.

6. Impact:
Rebranding:
- Can create a new market perception and may be seen as a fresh start for the brand.
- Can alienate existing customers if the change is too drastic or if the brand loses its core identity.
- Typically involves a larger investment, as it affects all visual and communicative aspects of the
brand.

Repositioning:
- Aims to shift consumer perception and can lead to changes in brand loyalty, customer base, or
market share.
- It is less disruptive and typically involves a more gradual transformation.
- Lower cost than rebranding since it does not require a major visual overhaul but focuses more on
marketing strategy.

7. Duration and Process:

Rebranding:
- The process of rebranding can be lengthier and may involve designing new elements, testing the
new identity, and rolling out the new look across all channels.
- It often requires a larger and more formalized campaign to ensure that the new brand identity is
understood by consumers.
Repositioning:
• The repositioning process can be quicker, as it mostly focuses on tweaking
messaging, repositioning in marketing, and changing perceptions through advertising and
communication strategies.
• The changes are often less visible and more subtle.

Summary:
• Rebranding is a broader, more visual and identity-focused overhaul that changes the
brand’s entire appearance and sometimes its name. It is used when the brand needs a fresh start or
wants to completely redefine itself in the market.
• Repositioning, on the other hand, focuses more on changing how the brand is
perceived in relation to competitors or to a different target audience, without necessarily altering its
visual identity. Repositioning is about changing the brand’s message, target, or market position
rather than its entire identity.

Both strategies are essential tools in brand management but serve different purposes depending on
the need for change and the desired impact on the brand.

Brand life cycle and its stages


Both products and brands have a specific lifetime. The life cycle of a brand covers the period
from its introduction to the market until its withdrawal from the market. How to manage brand
life and how to adjust the appropriate strategy to its current stage? A brand's life cycle is usually
longer than its product's life cycle, because a brand may introduce several different products, and
some of them may be completely withdrawn at the same time. For this reason, there is a need to
focus so much on the brand's lifecycle to extend its existence in the marketplace.

Brand development stages

The brand life cycle, i.e. the moment from its introduction to the market to its recall, covers four
stages: introduction, growth, maturity and decline. Each of them implements a different
marketing strategy, e.g. brand communication strategy due to different brand awareness, different
attitudes of consumers towards it and the changing sales volume of its products. Different stages
cover different marketing goals as the market environment is also different.

Stage: introduction
At this stage, as the name suggests, the brand is introduced to the market, so it is completely new
and unknown among the recipients. You should therefore introduce intense advertising
campaigns that will grab your attention target audience. Promote your brand's features and
functions, quality and application of its products, which will encourage customers to try them
out. The key is the right brand positioning in the minds of consumers to create a unique one
brand identity. Communicate its values to build a positive brand image. It is worth reaching as
many potential customers as possible so that as many people as possible hear about your new
brand. That is why it is worth organizing fairs and promotions in stores for potential consumers.
At this stage, competition is low, so well-conducted promotion usually leads to high sales and a
growth phase.

Appropriate brand positioning, which should be preceded by the creation of a detailed one, is
extremely crucial in this phase brand strategy. If you're wondering what it looks like, read our
article: creating a brand image, and you will learn what specific steps should be taken to
consistently create a strong brand. When introducing a brand, ask yourself the following
questions: "what target group do I want to target?", "What unique values should my brand
have?", "How does my brand stand out from the competition?" Or "what are the opportunities to
use my brand's products? ? ” Remember that a properly planned brand positioning strategy is a
must at the stage of its implementation. It allows you to draw attention to the brand and highlight
unique and distinctive values.

Stage: growth
At this stage, the brand is in the minds of consumers, gaining its supporters, thanks to which
sales increase. The market accepts the brand and consumers begin to shape its image in their
minds. If you chose the right strategy at the introduction stage, then you can see the first effects
of marketing. It is necessary to focus on the further development of the brand: campaigns
emphasizing the brand's features and values, distinguishing it from the competition, but also
introducing new, innovative features. It is especially important to focus on the benefits offered by
the brand and arousing the need of consumers to have your products

Brand life cycle - maturity stage


At this stage, the competition is very fierce. Consumers have specific opinions about brands in
their awareness and choose the ones they prefer. New competitors may struggle to break through
the multitude of other brands and stand out with something new. Well-known and reliable brands,
in turn, have a significant advantage here. In this phase, the brand is often differentiated
according to a specific segment. For example, a company that entered the market as one of the
first will position itself as a quality leader.

Next stage: fall


Features of this stage include: falling prices, low competitiveness, the appearance of new
products and brands. Our brand is losing importance. However, you can take action to prevent
this. One has to catch this moment and act in a timely manner. You can find a new market,
change the positioning of your brand or rebrand.
Brand Personality
A brand personality is something to which the consumer can relate. If the consumer becomes a
regular customer, they may start to identify parts of their own personality with the brand
personality.

KEY TAKEAWAYS
● Brand personality is a set of human characteristics that are attributed to a brand name.
● Companies should accurately define their brand personalities so they resonate with the
right consumers.
● A company's brand should aim to elicit a positive emotional response from a targeted
consumer segment.
● The personal side of brand personality is so important especially in the digital age of
artificial intelligence and automation.
● Don't confuse brand personality with imagery, which consists of a company's creative
assets.

Aaker’s Model
The most widely-used brand personality model used in marketing was developed by Jennifer
Aaker. Similar to the Big-5 human personality scale, the findings also revealed five robust
dimensions: Sincerity, excitement, competence, sophistication and ruggedness.

1. Sincerity
Description: This dimension includes brands that are seen as down-to-
earth, honest, trustful and cheerful, for example. Often, sincere brands are viewed this way due to
the fact that they follow and communicate ethical practices, their commitment to the community
or concerns with consumers.
Sincere brands also often apply clear consumer policies to avoid ambiguities, they establish good
customer relationships, and support employees and the social and natural environment. Sincere
brands are rarely involved with scandals or controversial situations. It is exactly the contrary.
They understand and act as being part of a larger collective societal group. As consequence of
some or all of such practices, they are viewed by consumers (or society as a whole) as
being sincere.

2. Excitement
Description: This dimension involves brands which are perceived as being imaginative, up-to-
date, inspiring, edgy and spirited. Thus, often these brands often use colorful logos, uncommon
fonts, portray themselves in unexpected and exciting places and situations.
You may also find them frequently being exposed in sports competitions and large scale music
events. Their team of marketers do their best to promote them as organizations that “think
outside of the box” to inspire and excite consumers.
Eg. Red Bull
3. Competence
Description: Competent brands are the ones which are primarily seen as
being reliable, responsible, intelligent, and efficient. These consumer perceptions are often based
on how well a product or service performs, and how the organization behaves in society and in
the market.
Therefore branding is commonly displayed with strong and thick fonts, colors which convey
trust (blue and white, for example), their ambassadors tend to be knowledge of the product or be
perceived as trustworthy. Other common practices include a tendency to highlight the quality of
suppliers and efficient production practices,
for example. Apple

4. Sophistication
Description: Sophisticated brands are the ones perceived by consumers as upper
class, romantic, charming, pretentious and glamorous. Thus, it is no surprise to imagine that
sophisticate brands are commonly found across luxury industries and on high priced brands (for
their product categories) across other industries.
Applications of sophisticated branding can vary across a multitude of industries, ranging from
fashion and accessories (watches and clothes), to cars, medical equipment and food and dining. It
is also very common in feminine brands or female targeted brands. In order to express
sophistication, brands often adopt delicate and thin fonts, simple designs, light colors and are
associated with charming and upscale environments. Also, they are often portrayed in upscale
contexts (Luxury hotels, European cities and modern companies).
Eg. Louis Vuitton

5. Ruggedness
D e s c r i p t i o n : F i n a l l y, t h i s d i m e n s i o n i n c l u d e s b r a n d s t h a t a r e s e e n
as outdoorsy, tough, masculine and western, for example. For this reason, rugged brands have a
tendency of being male oriented, of developing brand concepts which contain dark colors (often
black, gray, navy blue, green), strong and thick fonts, less fine details and they portray their
products in outdoor (mountains, rivers, farms, oceans, cliffs) and extreme scenarios (heavy rain,
foggy weather, snow).
The general aim is to convey the idea that the product is resistant, durable and made for people
who are brave, willing to take risks, with low fear and that do not wish to have an ordinary life.
What is brand image theory?

The brand image theory as Philip Kotler defined it, is a branding concept that explains how
consumers form perceptions and attitudes towards a brand based on their experiences and
interactions with that brand. According to Kotler, the brand image is created by the sum total of
all the experiences that consumers have with the brand. These experiences come from consumers
exposure to and interactions with advertising, packaging, product quality, customer service, and
other touchpoints.
The way brand image theory works is that consumers will have a more favorable attitude
towards a brand if they have had positive experiences with it. Consequently, brand image can
greatly influence consumer behavior and purchasing decisions. The theory highlights the
importance of creating a consistent and positive brand image through all of a brand's marketing
and communication efforts.

Kotler also suggests that a strong brand image can help a brand stand out from its competitors
and increase brand loyalty among both potential and existing consumers. This can be especially
important in highly competitive markets where consumers have many options to choose from.

Types of brand image

There are several types of brand image that can be created:

Functional Image: This type of brand image is associated with the practical
benefits that a product or service offers, such as reliability, quality, or durability.
Emotional Image: This is associated with the emotional benefits that a product or
service provides, such as happiness or security.
Personal Image: This type of brand image is associated with the personal
attributes of a product or service, such as style or uniqueness.
Social Image: This means an association with the social status that a product or
service conveys, such as luxury, exclusivity, or sophistication.
User Image: This type of brand image is associated with the people who use a
product or service, such as athletes, celebrities, or parents.
Symbolic Image: This is associated with the symbolic meanings that a product or
service represents, such as freedom, adventure, or success.
Different brands may choose to focus on different types of brand image, depending on
their target audience and marketing goals. The goal of brand image building is to
create a consistent and positive image of the brand amongst consumers that
differentiates it from its competitors.

Brand image vs. brand identity

Since they are often confused, let's compare brand image with brand identity. When you start
building a brand, you’ll think strongly about how you want to distinguish it from others. This is

the catalyst for establishing an authentic brand identity, the unique voice and visual appearance
that helps you communicate your brand’s message to audiences.

Your brand identity is like its personality, a culmination of choosing a brand archetype, creating a
logo, developing your brand’s voice, choosing brand colors, and more. These elements are the
foundation for your brand, and are used to influence your products, services, appearance,
content, and marketing efforts.

What best distinguishes brand identity from brand image is the fact that your brand identity
reflects your own perception of your brand. Of course, it’s also the way you hope others will
perceive you - but that’s not always the case.

Brand image is what other people think about your brand, and it's an important thing to be aware
of. Oftentimes, even your best efforts can result in a good brand. In the words of Scott Cook,
co-founder founder of Intuit, “a brand is no longer what we tell the consumer it is - it is what
consumers tell each other it is.”
Real-World Examples of Brand Personality
There are many examples in the corporate world of how brand personality works. Here are some
common, well-known ones.

Dove
Dove chooses sincerity as its brand personality. In doing so, the company hopes to attract
feminine consumers who don't like the superficial image associated with many personal care and
beauty brands.

One of Dove's major marketing pushes was the Real Beauty campaign, which features videos
that explored how brand images are retouched and photoshopped. It also uses models with
diversely-sized bodies in its advertisements and features interviews with celebrity activists on its
websites. All this creates a brand personality that feels thoughtful and genuine, which appeals to
customers who don't want to be associated with traditional beauty standards.

Nike

Nike has an excited brand personality that motivated athletes identify with. The company's motto
"Just Do It," evokes a driven, athletic person who is always willing to pursue new goals.

Nike's products and marketing tend to feature bold colors, such as neon accents, that feel
energetic and modern. Its commercials show people overcoming obstacles or achieving goals
while wearing Nike apparel. Its brand personality feels active, ambitious, and inspirational,
which are all personality traits that athletes tend to associate with themselves.

Luxury Brands

Luxury brands, such as Michael Kors and Chanel, aim to create a sophisticated, glamorous brand
personality, which attracts a high-spending consumer base.

These brands use images that evoke elitism and luxury, with elegant settings and glamorous
clothes. Michael Kors calls its rewards programs "VIP," while Chanel has a section on its
website devoted to "haute couture." Their goods are priced above what many shoppers can easily
afford, and since they have highly-recognizable logos, customers who buy them can flaunt their
ability to make those purchases without having to say anything directly. All this creates a brand
personality that showcases the upper-class, trendy lifestyle that their ideal customers want to be
associated with.
Starbucks

Starbucks has positioned itself as having multiple components to its brand personality, including
sophistication, sincerity, and excitement. It uses different components of its business to achieve
each of these.

● Sophistication: Starbucks advertises its coffee as high-end. Employees are educated


about the different types and blends, and Starbucks offers its own exclusive line of coffee
for sale. The company has introduced many branded drinks that become cultural
touchpoints, such as the Frappucino.
● Excitement: Starbucks encourages membership by offering rewards, including seasonal
games such as "Adventure Awaits" in summer, when customers can win prizes. The
company usually has seasonal drinks that are only available for a limited time, which
drives social media excitement.
● Sincerity: To counter the dislike of customers who see Starbucks as "too corporate," the
company has a strong environmental and social message. It includes sections on
environmental impact and diversity on its website, as well as running partnerships with
different charities or offering discounts to groups like veterans.

By creating a brand personality with so many different but complementary aspects, Starbucks is
able to appeal to a wide variety of customers who associate themselves with different priorities
and traits. For example, customers who define themselves as socially conscious might generally
avoid buying from large corporations. But they can still feel good about associating with
Starbucks because the brand supports ESG goals and talks about how they treat their workers.

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