The process of strategic brand management means the development and application of the activities and programs related to marketing which help in managing and measuring the brand equity. Strategic brand management also looks at what attracts consumers to the brand and how these successful factors are to be effectively managed. It measures the brand equity and also evaluates the various trade-offs that are likely in the management of the brand activities. Brand equity can also be associated to the particular marketing advantages that the brand enjoys in the marketplace. There are four steps in the process of strategic brand management as
- Identifying and Establishing Brand positioning
- Planning and Implementing Brand Marketing Programs
- Measuring and Interpreting Brand Performance
- Growing and Sustaining Brand Equity
Identifying and Establishing Brand positioning: The thing that has to be understood is what the core values of the brand are and what positioning strategy is used to stay at par with the competing brands. Brand positioning is the “act of designing the company’s offer and image so that it occupies a distinct and valued place in the target customer’s mind”. In brand positioning, the company tries to create a better position in the minds of the consumers, vis-å-vis competition. Brand positioning tries to explain to consumers the main difference between the brand and competing brands on a particular attribute. At the same time, it tries to play down any disadvantage or negative aspect of the brand compared to Other competing brands. Positioning also tries to create the specific associations or linkages of the brand. The mental map is a representation of the various associations that the consumers have for various attributes or features of the brand. The core brand association can be considered the best descriptor of the brand values.
Planning and Implementing Brand Marketing Programs: A brand is said to have Strong equity when consumers have a great degree of awareness of the brand promises and also have positive associations with the various characteristics of the brand. This is determined by three factors mainly:
- The various ingredients or elements that make up the brand promise and how they are mixed.
- The supporting marketing program and marketing activities and their integration With the brand.
- The brand is also affected by other associations that are leveraged or indirectly transferred to it like the parent company, the country of origin, the image of the channel partner or the activities of a competing.
There are some important determinants that decide the brand equity elements:
i) Choosing Brand Elements: The brand elements are very important in the brand equity. These have to be chosen very carefully. The commonly used brand elements could be the website URL, brand names, the logo or the brand image, the slogan, the packaging details, etc. There can be many permutations and combinations with regards to these elements. Formation of favourable, unique and strong brand association depends upon the criteria and options used by the organisation for selecting the brand elements.
ii) Integrating the Brand into Marketing Activities and the Supporting Marketing Program: Marketing programs or activities also have a strong impact on the perceptions Of the consumers. These can be helpful in building brand equity and creating favoumble and positive associations of the brand in the minds of the consumer.
iii) Leveraging Secondary Associations: Lastly, secondary brand associations can also be leveraged in order to build brand equity. Secondary associations are created when a brand is associated with an entity which has its own associations.
Measuring and Interpreting Brand Performance: A brand audit helps in measuring and evaluating the positioning of a brand in the market. A complete investigation of the brand is carried out through brand audit. It helps in evaluating the brand’s performance, financial health, the various equity sources and the ways in which the brand equity can be leveraged and improved. With regards to brand audit, it is important to know the brand equity sources from both the producer and the consumer viewpoint. After the brand positioning strategy’ has been decided, the organisation has to implement the various marketing programs that generate, strengthen and sustain the brand associations. Marketing research can be used for evaluating and interpreting the effects Of these marketing programs on brand performance. Brand value chain is a useful technique for this task. The process Of value creation for brands can be tracked through brand value chain. It helps to gain insights on the effect of the various marketing investments and expenditures. It is for this reason that the organisation should have a criterion to measure the equity of its brands. For this purpose, a brand equity measurement system can prove to be helpful. This system is a set of processes which provides the organisation with accurate and timely information on various brand parameters so that the necessary decisions can be made. These decisions can be for short term as well as for long term. Therefore, two aspects are involved in System implementation – brand tracking System and having a brand equity management system.
Growing and Sustaining Brand Equity: Sustaining the equity of a brand or expanding it can be a difficult task for an organisation. Brand equity activities have a pretty broad sense of application. They study the ways branding strategies can be a reflection of concerns of the corporation and be adjusted according to market segments, geographical boundaries and changes in time. Brand equity can be very wide in terms of scope. It may be measured With regards to other brands, across several categories, across time dimensions or various Customer segments.
