Four Characteristics of an Effective Brand
An effective brand name or brand mark should have four characteristics:
1. It should be easy to remember.
2. It should be noticeable.
3. It should differentiate your product from competing brands.
4. It should convey your product's purpose.
Branding helps consumer's identify your products in a crowded marketplace. There are three strategies you can implement to brand your product.
Branding Strategy:
· Family Branding
The first strategy is called family branding. This strategy includes placing your company's name on all your products, such as Icon Lawn Fertilizer, Icon Weed Eradicator, and Icon Yard Hatchet. When you promote one product in your family brand, you effectively promote all of your products.
· Individual Branding
The second strategy, individual branding, involves naming each product independently. By implementing the individual branding strategy, you can introduce several products in the same category and market each item to a different customer base.
For example, your organization may offer three bug spray products: Eradicator, Exterminator Plus, and Kill Zone. The individual branding strategy keeps your company's reputation from being tainted if one product is not well received in the marketplace.
· Brand extensions
. This strategy uses existing brands to introduce new or improved products. For example, suppose your company produces the Icon Weed Eradicator product. You may expand the Weed Eradicator brand by introducing Weed Eradicator Extra Strength or Weed Eradicator and Bug Immobilizer Spray.
Brand extensions can be combined with family and individual branding strategies to introduce new products. However, when developing new product strategies, you should avoid cannibalization, which is the introduction of new merchandise that will negatively affect the sales of your existing items.
Brand Equity:
· Brand's marketing and financial value
Once you establish a brand that is recognizable and successful, you develop brand equity. Considered one of the most important elements of an organization, brand equity is the marketing and financial value of a brand based on its reputation and market strength. In some instances, the value of a brand name can exceed the worth of an organization's tangible assets.
For example, Company A manufactures several well-known brands and declares a financial value of one billion dollars. Company B is thinking about purchasing Company A. and considers the brand equity to be worth three times the company's book value.
The brand equity Company A developed includes consumer awareness, loyalty, and perceived quality. Company B decision makers believe that buying Company A outright for three billion dollars is less expensive than creating and developing their own brands.
Packaging is an important element of your product strategy because it protects your product against
An effective brand name or brand mark should have four characteristics:
1. It should be easy to remember.
2. It should be noticeable.
3. It should differentiate your product from competing brands.
4. It should convey your product's purpose.
Branding helps consumer's identify your products in a crowded marketplace. There are three strategies you can implement to brand your product.
Branding Strategy:
· Family Branding
The first strategy is called family branding. This strategy includes placing your company's name on all your products, such as Icon Lawn Fertilizer, Icon Weed Eradicator, and Icon Yard Hatchet. When you promote one product in your family brand, you effectively promote all of your products.
· Individual Branding
The second strategy, individual branding, involves naming each product independently. By implementing the individual branding strategy, you can introduce several products in the same category and market each item to a different customer base.
For example, your organization may offer three bug spray products: Eradicator, Exterminator Plus, and Kill Zone. The individual branding strategy keeps your company's reputation from being tainted if one product is not well received in the marketplace.
· Brand extensions
. This strategy uses existing brands to introduce new or improved products. For example, suppose your company produces the Icon Weed Eradicator product. You may expand the Weed Eradicator brand by introducing Weed Eradicator Extra Strength or Weed Eradicator and Bug Immobilizer Spray.
Brand extensions can be combined with family and individual branding strategies to introduce new products. However, when developing new product strategies, you should avoid cannibalization, which is the introduction of new merchandise that will negatively affect the sales of your existing items.
Brand Equity:
· Brand's marketing and financial value
Once you establish a brand that is recognizable and successful, you develop brand equity. Considered one of the most important elements of an organization, brand equity is the marketing and financial value of a brand based on its reputation and market strength. In some instances, the value of a brand name can exceed the worth of an organization's tangible assets.
For example, Company A manufactures several well-known brands and declares a financial value of one billion dollars. Company B is thinking about purchasing Company A. and considers the brand equity to be worth three times the company's book value.
The brand equity Company A developed includes consumer awareness, loyalty, and perceived quality. Company B decision makers believe that buying Company A outright for three billion dollars is less expensive than creating and developing their own brands.
Packaging is an important element of your product strategy because it protects your product against