What is brand management?; It is a question that we want to fully answer and clarify. Today, brands play an important role in selecting and purchasing products and customer services. Because the brand accounts for 45% of the world’s assets, according to a study by the European Market Research Association, recognizing and creating it can be useful in increasing a company’s stock value and, as a result, attracting customers and increasing its sales and market share.
Big brands are created randomly. They are the result of thoughtful and creative planning. Someone who is building or managing a brand must carefully create, develop and implement innovative strategies for it. To facilitate this planning, three useful models or tools are proposed, which in combination, provide basic insights into the micro and macro dimensions of building a successful brand.
3 Brand management models
1. Brand positioning model
This model describes how the brand creates a position in the minds of customers by creating a competitive advantage in the market environment and compared to competitors.
The first model deals with perhaps one of the oldest concepts in brand marketing. Positioning is the act of designing a company’s offers and creating an image to capture a specific space in the mind of the target market. The goal is to brand the contract in the mind of the consumer, to maximize the potential benefits of the organization. Brand positioning is a fundamental issue; Because it guides many marketing decisions.
A good position for the brand helps to lead the marketing strategy in three ways:
- Clarify the nature of the brand.
- Goals that the brand helps the customer achieve.
- In what unique way does it make this possible?
Everyone in the organization needs to understand the brand position and use it as a prerequisite for decision-making.
4 key components for positioning
Brand positioning requires that similarities and differences between brands be defined and related. In particular, there are four key components to building a superior competitive position:
- A reference competitive framework in terms of the target market and the nature of competition.
- Distinction points in terms of strong, desirable, and unique brand mental associations.
- Common points in terms of brand mental associations that neutralize any points of distinction from competitors.
- Brand philosophy, which summarizes the nature of the brand and key points of distinction in 3 to 5 words.
2. Brand compliance model
This model describes how the brand creates passion as well as loyal relationships with customers.
As mentioned, the brand positioning model deals with how to create a fully effective position for the brand. The brand compliance model deals with how to use the position created to build a strong brand that brings greater consumer loyalty.
Creating a brand can be expressed in several stages, back to back, the realization of each stage of which depends on the realization and success of the previous stage. All steps are aimed at doing a certain job with potential and actual customers. The steps are as follows:
1. Ensuring that customers fully recognize the brand identity and that the meaning of the brand in the minds of consumers is associated with a particular category of product or customer needs.
2. Creating a generality for the brand concept, firmly and firmly in the minds of customers, by linking the strategy to a list of factors that evoke meaning for the brand in a tangible and intangible way, with a series of specific characteristics.
3. Extract appropriate customer responses to this brand identity and concept.
4. Transform the brand response and use it to create an active and strong loyal relationship between customers and the brand.
These four steps create a list of fundamental questions that customers always ask about the brand, even if it is not explicitly possible, at least implicitly:
- Who are you? (Brand Identity)
- What are you? (Brand concept)
- What do I know about you? What do I think or feel about you? (Brand response)
- What is there between you and me? What kind of associations and how much contact do I want to have with you? (Brand relationship)
There is a very clear order in these steps to the “branding ladder” mode, from identity to concept, response, and communication. Thus, until identity is created, the concept can not be created, and the answer can not happen unless the concept is properly understood and explained and communication can not be achieved; Unless the answer is right.
3. Brand management chain model
This model describes how to chart the value creation process to better understand the financial impact of marketing costs and revenues.
A brand management chain is a structured approach, to evaluate the resources and output of brand equity and the way that marketing activities create brand value. The brand value chain identifies the many individuals within an organization who can potentially influence brand equity and should be aware of the effects associated with branding. Different people make different brand decisions and need different information. Accordingly, the brand value chain provides insights for managers, marketing executives, CEOs, and CEOs.
The brand management chain has several fundamental hypotheses. It assumes that brand value ultimately sits with customers. Based on this insight, the model then assumes that the value creation process for the brand begins when the firm invests in a marketing plan that targets actual or potential customers. Marketing activity is associated with the program and then influences the way customers think about the brand.
Taken together, these three models help marketers apply Brand management models, maximize profits, create long-term value for their brand, and determine the path ahead.
We hope that we have been able to give a suitable answer to the question “what is the brand management”. If you also have a tip to complete this article, share it with us.