chapter 3 - textbook Flashcards

(74 cards)

1
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brand resonance model steps

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Ensure identification of the brand with customers and an association of the brand in customers’ minds with a specific product class, product benefit, or customer need.
Firmly establish the totality of brand meaning in the minds of customers by strategically linking a host of tangible and intangible brand associations.
Elicit the proper customer responses to the brand.
Convert brand responses to create brand resonance and an intense, active loyalty relationship between customers and the brand

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2
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The four questions (with corresponding brand steps in parentheses) are:

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Who are you? (brand identity)
What are you? (brand meaning)
What about you? What do I think or feel about you? (brand responses)
What about you and me? What kind of association and how much of a connection would I like to have with you? (brand relationships)

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3
Q

the pyramid

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at the bottom its salience (band identity)
performance, imgaery (brand meaning)
judgments, feelings (brand response)
resonance (brand resonance )

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4
Q

brand salience

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Brand salience measures various aspects of the awareness of the brand and how easily and often the brand is evoked under various situations or circumstances.
Brand awareness is a component of brand salience.

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5
Q

Brand awareness has two critical dimensions, which together determine brand salience:

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depth and breadth of awareness

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6
Q

depth of awareness (brand salience)

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The depth of brand awareness measures how likely it is for a brand element to come to mind and the ease with which it does so. A brand we easily recall has a deeper level of brand awareness than one that we recognize only when we see it.
ex: consumers think of tropicana when thunking about orange juice and dont need a cue

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7
Q

breadth of awareness brand salience

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The breadth of brand awareness measures the range of purchase and usage situations in which the brand element comes to mind and depends to a large extent on the organization of brand and product knowledge in memory
ex: beyond orange juice, consumers may think of tropicana drinks in dif contexts

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8
Q

Understanding how products are organized in memory is critical to brand salience

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  • marketers assume that products are organized in a hierarchal fashion –> product class, then product category, then product type, then brand
    Consumers often make decisions top-down: choose category → type → brand.
    The depth of awareness helps a brand come to mind quickly.
    The breadth of awareness ensures the brand is recalled in multiple relevant situations.

Brand Salience depends on both depth and breadth:
Depth ensures the brand is considered first within its type.
Breadth ensures the brand is considered in many purchase situations.
High salience increases the likelihood of the top-down decision leading to the brand, rather than a competitor.
In short:
A highly salient brand is easy to recall (depth) and relevant in multiple contexts (breadth). Marketers build this by linking the brand clearly to its product type and ensuring consumers encounter it in various situations.

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9
Q

strategic implciations of salience

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  • salience= depth+ breadth
    brands must not just be top of mind but also relevant in the right situation
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10
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high salient brands

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always recalled in relevant situations, drive consistent purchases, form the foundation for brand equity

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11
Q

While salience is necessary, it’s not sufficient for brand equity. Consumers also care about:

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brand meaning (built through brand associations)
the next row on the period
1. performance associations–> what the brand does
2. imagery associations–> what does the brand represent

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12
Q

2) brand performance

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Designing and delivering a product that fully satisfies consumer needs and wants is a prerequisite for successful marketing, regardless of whether the product is a tangible good, service, organization, or person.
have to make sure consumer expectations are met
Brand performance describes how well the product or service meets customers’ more functional needs.

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13
Q

Five important types of attributes and benefits often underlie brand performance,

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Primary ingredients and supplementary features.
Product reliability, durability, and serviceability.
Service effectiveness, efficiency, and empathy.
style and design
price

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14
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Primary ingredients and supplementary features.

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Customers often have beliefs about the levels at which the primary ingredients of the product operate (low, medium, high, or very high), and about special, perhaps even patented, features or secondary elements that complement these primary ingredients. Some attributes are essential ingredients necessary for a product to work, whereas others are supplementary features that allow for customization and more versatile, personalized usage. Of course, these vary by product or service category.

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15
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Product reliability, durability, and serviceability.

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Reliability measures the consistency of performance over time and from purchase to purchase. Durability is the expected economic life of the product, and serviceability, the ease of repairing the product if needed. Thus, perceptions of product performance are affected by factors such as the speed, accuracy, and care of product delivery and installation; the promptness, courtesy, and helpfulness of customer service and training; and the quality of repair service and the time involved.

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16
Q

Service effectiveness, efficiency, and empathy.

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Customers often have performance-related associations with service. Service effectiveness measures how well the brand satisfies customers’ service requirements. Service efficiency describes the speed and responsiveness of service. Finally, service empathy is the extent to which service providers are seen as trusting, caring, and having the customer’s interests in mind.

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17
Q

style and design

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The design has a functional aspect regarding how a product works that affects performance associations. Consumers also may have associations with the product that goes beyond its functional aspects to more aesthetic considerations such as its size, shape, materials, and color involved. Thus, performance may also depend on sensory aspects such as how a product looks and feels, and perhaps even what it sounds or smells like.

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18
Q

price

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The pricing policy for the brand can create associations in consumers’ minds about how relatively expensive (or inexpensive) the brand is, and whether it is frequently or substantially discounted. Price is a particularly important performance association because consumers may organize their product category knowledge in terms of the price tiers of different brands

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18
Q

3) brand imagery

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Brand imagery depends on the extrinsic properties of the product or service, including how the brand attempts to meet customers’ psychological or social needs. It is the way people think about a brand abstractly, rather than what they think the brand actually does. Thus, imagery refers to more intangible aspects of the brand, and consumers can form imagery associations directly from their own experience or indirectly through advertising or by some other source of information, such as word of mouth

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19
Q

Many kinds of intangibles can be linked to a brand, but four main ones are:

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User profiles
Purchase and usage situations
Personality and values
History, heritage, and user experiences

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20
Q

User Imagery

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mental photo of who y=uses the brand. One set of brand imagery associations is about the type of person or organization who uses the brand. This imagery may result in customers’ mental image of actual users or more aspirational, idealized users.
Consumers may base associations of a typical or idealized brand user on descriptive demographic factors or more abstract psychographic factors.
Demographic factors : Gender. Venus razors and Secret deodorant have feminine associations, whereas Gillette razors and Axe deodorant have more masculine associations.
Age. Pepsi and Under Armour shoes have tried to position themselves as fresher and younger in spirit than Coca-Cola and Nike, respectively.
Race. Goya foods and the Univision television network have a strong identification with the Hispanic market.
Income. Sperry’s shoes, Polo shirts, and BMW automobiles became associated with “yuppies”—young, affluent, urban professionals
Psychographic factors might include attitudes toward life, careers, possessions, social issues, or political institutions; for example, a brand user might be seen as iconoclastic or as more traditional and conservative

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21
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Purchase and Usage Imagery

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A second set of associations tells consumers under what conditions or situations they can or should buy and use the brand.
Associations to a typical usage situation can relate to the time of day, week, month, or year to use the brand; location—for instance, inside or outside the home; and type of activity during which to use the brand—formal or informal.
Describes the situations in which the brand is used:

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22
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Brand Personality and Values

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Through consumer experience or marketing activities, brands may take on personality traits or human values and, like a person, appear to be modern, old-fashioned, lively, or exotic.

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23
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Five dimensions of brand personality (with corresponding subdimensions)

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are sincerity (down-to-earth, honest, wholesome, and cheerful), excitement (daring, spirited, imaginative, and up-to-date), competence (reliable, intelligent, successful), sophistication (upper class and charming), and ruggedness (outdoorsy and tough)

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how do brand personalities get formed
Consumers infer personality from brand experiences or marketing communications. its a long term asset
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how should brands strategically craft their brand personality
All brand communications should reinforce a consistent personality. Personality shifts should be gradual, maintaining credibility. Consumers often choose brands matching their self-concept or ideal self. Publicly consumed products amplify the signaling effect of personalit
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Brand History, Heritage, and Experiences
Finally, brands may take on associations to their past and certain noteworthy events in the brand’s history. These types of associations may recall distinctly personal experiences and episodes or past behaviors and experiences of friends, family, or others. They can be highly personal and individual, or more well-known and shared by many people. ' 0 evokes personal memories, helps establish emotional connections Example: Hyatt Hotels → Tailors each hotel to a customer segment, building unique experiences and emotional connections.
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strategic implications of brand imagery
Goal: Create strong, favorable, and unique associations in consumers’ minds. Brand imagery, combined with brand performance, forms brand meaning, which shapes customer responses: Brand judgments (head): Rational evaluations of quality, credibility, and value Brand feelings (heart): Emotional responses like warmth, excitement, or trust Bottom line: Strong imagery differentiates the brand, enhances emotional engagement, and strengthens customer-based brand equity.
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4) brand judgements
Brand judgments are customers’ personal opinions about and evaluations of the brand, which consumers form by putting together all the different brand performance and imagery associations.
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Four Key Types of Brand Judgments
judgments about quality, credibility, consideration, and superiority.
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brand quality
Definition: Consumers’ overall evaluation of the brand’s ability to deliver on functional attributes and benefits. Focus: Perceived quality, customer value, and satisfaction. Importance: Often forms the basis for brand choice. Example: A consumer perceives a car brand as reliable and high-performing → forms a positive quality judgment.
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brand credibility
Definition: The extent to which consumers see the brand as trustworthy, competent, and likable. Three dimensions: Expertise: Competent, innovative, market leader Trustworthiness: Dependable, acts in customers’ best interests Likability: Fun, interesting, enjoyable Example: FedEx → Expertise in logistics, trustworthy delivery, and engaging marketing communications Importance: Credibility builds confidence and emotional connection with the brand.
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Brand Consideration
Definition: The extent to which consumers consider the brand as an option for purchase or use. Depends on: Favorable attitudes, credibility, and strong brand associations. Importance: Even if a brand is liked or trusted, it must be actively considered during decision-making to influence behavior.
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Brand Superiority
Superiority measures the extent to which customers view the brand as unique and better than other brands. Do customers believe it offers advantages that other brands cannot? Superiority is critical to building intense and active relationships with customers and depends to a great degree on the number and nature of unique brand associations that make up the brand image.
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5) BRAND feelings
Definition: Brand feelings are customers’ emotional responses and reactions to a brand. They reflect how the brand makes consumers feel, both individually and socially. Unlike brand judgments, which are rational evaluations, brand feelings are emotional and experiential. Purpose: Positive brand feelings strengthen loyalty, advocacy, and purchase behavior. They are most effective when readily accessible in the consumer’s mind during encounters with the brand.
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How Brand Feelings Are Evoked
Through the marketing program (advertising, promotions, packaging, social media) Through actual product consumption or usage experiences Transformational advertising: Aimed at changing consumers’ perception of the usage experience to evoke desired emotions
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Six Key Types of Brand-Building Feelings
warmth, fun, excitement, security, social approval, self respecy
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warmth
Soothing, comforting, sentimental feelings Makes consumers feel calm, affectionate, or nostalgic Example: Heritage food brands like Welch’s jelly, Quaker oatmeal, Aunt Jemima pancake mix
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fun
Playful, joyous, lighthearted feelings Evokes amusement, excitement, and entertainment Example: Disney (theme parks), Microsoft Xbox, YouTube
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excitement
Energizing, thrilling feelings that make consumers feel alive or “cool” Example: Red Bull → associated with energy, adventure, and exhilaration
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security
Feelings of safety, comfort, and self-assurance Reduces worry or anxiety for the consumer Example: Insurance brands → Allstate (“You’re in Good Hands”), State Farm (“Like a Good Neighbor”)
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social approval
Sense that others view the consumer positively for using the brand Enhances social status or recognition Example: Cadillac → historically a symbol of social approval
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self respect
Feelings of pride, accomplishment, or fulfillment Enhances consumers’ self-esteem or sense of doing right Example: Tide → linked to “doing the best for the family”
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These six feelings can be divided into two broad categories:
The first three types of feelings are experiential and immediate, increasing in level of intensity; the latter three types of feelings are private and enduring, increasing in level of gravity
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It’s not enough for consumers to have any response—
they need positive judgments and feelings to drive favorable behavior like purchase, loyalty, or advocacy. Responses must also be accessible and come to mind when consumers think of the brand. Brand judgments and feelings can favorably affect consumer behavior only if consumers internalize or think of positive responses in their various encounters with the brand.
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6) brand resonance
Brand resonance describes the nature of this relationship and the extent to which customers feel that they are in sync with the brand
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two dimensions of brand resonance
intensity of the bond customers feel and activity engendered by this loyalty Intensity of the bond → How strongly customers feel attached to the brand Activity engendered by loyalty → How actively customers engage with and support the brand
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four categories of brand resonance
1. behaviour loyalty attidudinal attachment sense of community active engagement
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Behavioral Loyalty
Can gauge behavioral loyalty in terms of repeat purchases and the amount or share of category volume attributed to the brand- how often do customers purchase a brand and how much do they purchase? Purchase frequency and volumes matters CLV can be enormous for behaviourally loyal customers
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Attitudinal Attachment
Resonance requires a strong personal attachment but behavioural loyalty does is not sufficient for resonance Customer should go beyond having a positive attitude to loving the brand Creating greater loyalty requires creating deeper attitudinal attachment through programs that satisfy customer needs and these attitudinally loyal customers can turn into brand evangelists
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Sense of Community
Brand can take on a deeper meaning by conveying a sense of community- this may leave to customers feeling a sense of kinship or affiliating with other people associated with the brand A stronger sense of community among loyal users can engender favorable brand attitudes and intentions
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Active Engagement
Strongest affirmation of brand loyalty occurs When customers are engaged or willing to invest time, energy, money or other resources in the brand ex: joining a club centered around a brand Companies are making it easy to buy branded merchandise so they can express their loyalty Customers may choose to visit brand-related web sites, participate in chat rooms, etc Strong attitudinal attachment or social identity or both are necessary for active engagement with the brand to occur
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The strongest brands will be those that
customers become so attached and passionate that they become evangelists or missionaries and attempt to share their beliefs and spread the word about the brand marketers must design efficient brand building marketing programs but the success of those efforts depends on how consumers respond and the actions they take
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Brands should have a Duality
Strong brands appeal to both the head and the heart Strong brands will use both product performance and imagery to create varied consumer responses to the brand By appealing to rational and emotional concerns a strong brand provides consumers with multiple access points reducing competitive vulnerability Rational concerns can satisfy utilitarian needs, whereas emotional concerns can satisfy psychological or emotional needs-> very good for brand to combine both Distinctive physical and emotional benefits can drive greater shareholder value ex: Mastercard
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Brands should have richness
Strong brands both have breadth (in terms of duality) and depth (in terms of richness) Marketers should first establish category identification before considering strategies to expand brand breath With brand performance marketers may want to link primary characteristics and related features before adding additional associations to the brand Page 96 Brand imagery usually begins with concrete initial articulation or user and usage imagery then leads to abstract associations Brand judgements usually begin with positive quality and credibility perceptions that can be connected later to brand superiority Brand feelings usually start with either experiential ones (fun, excitement, etc) or inward ones (security, social approval, etc) Resonance has an order which starts with behavioral loyalty but attitudinal attachment or sense of community is almost always needed for active engagement
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Customer Networks Strengthen Brand Resonance
Customer networks can be a resource for building brand resonance- this has been around for a long time a number of digital native brands have relied on networks of customer relationships to generate many positive outcomes including attracting new customers and deepening relationships with existing customers New customers are more receptive to hearing things from peers than from traditional advertising Co-creation could occur of both products and branded content through companies with users that form aort of the online platform- this will increase customer identificatio with the brand and will help create strong brand resonance
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The Brand Value Chain
The brand value chain is a structured approach to assessing the sources and outcomes of brand equity and the manner by which marketing activities create brand value Helped to better understand ROI for marketing investments Provides insights for brand managers, CMOS, CEOs etc simila r to the brand resonance model, The brand value chain believes the value of a brand resides witht he customers
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stages of the brand value chain
Stage 1: firm invests in a marketing program targeting actual or potential customers Stage 2: what customers know and feel about the brand Stage 3: this mindset will affect brands performance: how much customers purchase, the price they pay, etc Stage 4: investment community considers the market performance and other factors and arrives at an assessment of shareholder value and value of the brand There are linking factors between stages- These linking factors determine the extent to which value created at one stage transfers or “multiplies” to the next stage
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the 3 multipliers are the filters (or “gates”) that determine how much value successfully moves from one stage of the Brand Value Chain to the nex
program quality multiplier, marketplace conditions multiplier and investor sentiment multiplier
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Marketing program Investment
Any marketing program investment that can contribute to brand value development Ex: product research, development and design, trade or intermediary support, marketing communications including advertising, promotion, etc, direct and digital marketing… pr and employee training The ability of a marketing program investment to multiply down the chain depends on the program quality multiplier (qualitative analysis)
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Program Quality Multiplier
The ability of the marketing program to affect the customer mindset will depend on its quality, this a way to test the quality of a marketing program:
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Distinctiveness:
How unique is the marketing program? How creative or differentiating is it?
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five parts to te program quality multiplier
disctivness relevance integrated value excellence
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Relevance:
How meaningful is the marketing program to customers? Do consumers feel the brand is one they should seriously consider?
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Value:
How much short-run and long-run value does the marketing program create? Will it profitably drive sales in the short run? Will it build brand equity in the long run?
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Integrated:
How well integrated is the marketing program at one point in time and over time? Do all aspects combine to create the biggest impact with customers as possible? Does the marketing program relate effectively to past marketing programs and properly balance continuity and change, evolving the brand in the right direction?
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Excellence:
Is the individual marketing activity designed to satisfy the highest standards? Does it reflect state-of-the art thinking and corporate wisdom as success factors for that particular type of marketing activity?
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Customer Mind-set
In what ways have customers been changed as a result of the marketing program? How have those changes manifested themselves in the customer mind-set? Customer mindstead includes everything that exists in the minds of customer in regards to the brand; thoughts, feelings, etc - the brand resonance model captures a lot of this
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The 5 A’s list can highlight important measures of the customer mind set similar tot eh resonance model:
Brand Awareness: The extent and ease with which customers recall and recognize the brand and can identify the products and services with which it is associated. Brand Associations: The strength, favorability, and uniqueness of perceived attributes and benefits for the brand. Brand associations often represent key sources of brand value, because they are the means by which consumers feel brands satisfy their needs. Brand Attitudes: Overall evaluations of the brand in terms of its quality and the satisfaction it generates. Brand Attachment: The degree of loyalty the customer feels toward the brand. A strong form of attachment, adherence, is the consumer’s resistance to change and the ability of a brand to withstand bad news like a product or service failure. In the extreme, attachment can even become addiction. Brand Activity: The extent to which customers use the brand; talk to others about the brand; seek out brand information, promotions, and events, and so on. Brand value is created at this stage when customers have 1) deep brand awareness 2) appropriately strong, favourable and unique POP and PODs 3) positive brand judgments and feelings 4) intense brand loyalty and attachment 5) high degree of brand activity
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The extent to which value created in the minds of customers affects market performance depends on factors beyond the individual customer, 3 important factors:
1) Competitive superiority: How effective are the marketing investments of competing brands? 2) Channel and other intermediary support: How much brand reinforcement and selling effort is being put forth by various marketing partners? 3) Customer size and profile: How many and what types of customers are attracted to the brand? Are they profitable? The value created in the minds of customers will translate to favorable market performance when competitors fail to provide a significant threat, when channel members and other intermediaries provide strong support, and when a sizable number of profitable customers are attracted to the brand
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Market Performance
Customer mind set affects how customers react in the marketplace in 6 main ways The first two look about price premiums and price elasticities, the third outcome is market share Brand value is created with higher market shares, greater price premiums, and more elastic responses to price decreases and inelastic responses to price increases fourth outcome is brand expansion, the success pf the brand in support line and category extensions and new product launches int orelated categories Fifth outcome is cost structure or reduced marketing program expenditures thanks to the pravilaing customer mind set Sixth outcome is brand profitability which occurs when the other 5 are combined The brand value created and determined in the stock market valuation depends on external factors, particularly the investor sentiment multiplier
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Investor Sentiment Multiplier
Financial analysts and investors consider a host of factors in arriving at their brand valuations and investment decisions: Market dynamics: What are the dynamics of the financial markets as a whole (interest rates, investor sentiment, supply of capital)? Growth potential: What is the growth potential or prospects for the brand and the industry in which it operates? For example, how helpful are the facilitating factors and how inhibiting are the hindering external factors that make up the firm’s economic, social, physical, and legal environment? Risk profile: What is the risk profile for the brand? How vulnerable is the brand to those facilitating and inhibiting factors? Brand contribution: How important is the brand to the firm’s brand portfolio? The value the brand creates in the marketplace is most likely fully reflected in shareholder value if there are no environmental barriers and when the brand contributes a large portion of the firm’s revenue
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Implications of the Brand Value Chain
Value creation starts with marketing investments The first step is always what the company puts into the brand: campaigns, R&D, design, customer service, sponsorships, training, etc. BUT → Spending money isn’t enough; how well it’s done matters (that’s where the program quality multiplier comes in). Multipliers matter at every stage Marketing investments don’t directly create financial value—they go through customer mindset → market performance → shareholder value. At each stage, multipliers can boost or reduce impact: Program Quality Multiplier = Was the marketing campaign effective? Marketplace Conditions Multiplier = Did external market dynamics help or hurt? Investor Sentiment Multiplier = Do investors believe in the brand’s future value? Marketers can control the first multiplier (program quality), but the second and third involve external forces outside their control. Different stakeholders care about different stages Brand/category marketing managers focus on customer mindset → are customers more aware, loyal, engaged after the campaign? COOs / business unit leaders focus on market performance → are sales, share, margins, and extensions improving? CEOs / CFOs / investors focus on shareholder value → is the brand driving stock price, P/E multiples, and market capitalization? This ensures alignment: marketing isn’t just “fluffy,” it connects to hard financial metrics. The model provides a roadmap for measurement It gives firms a structured way to track how brand investments → customer perceptions → market outcomes → shareholder value. Example measures: Marketing investment: budgets, media spend, innovation spend Customer mindset: surveys on awareness, associations, loyalty (quant + qual research) Market performance: internal accounting, retail scanner data, market share, pricing power Shareholder value: stock price, analyst reports, interviews with investors This helps companies identify bottlenecks (e.g., strong customer mindset but weak market performance could mean poor distribution or competitive pressure). Feedback loops make it dynamic, not linear The process isn’t a straight line—it loops back. Examples: Stock price rises → boosts employee morale → better customer service → improves customer mindset. A bold marketing campaign → may attract investor attention immediately, even before it shifts consumer mindset. Some marketing programs (like sponsorships or CSR) may take years to fully impact market performance and shareholder value. So companies must monitor both short-term and long-term effects, and not assume immediate ROI.