Business 1.3

• Branding


  Creates a clear and distinctive logo, name or slogan that customers will instantly recognise
• Corporate branding


  Promoting the brand name of a corporate entity opposed to specific products or services e.g. Kelloggs, Unilever
• Product branding


  Brands associated with a specific product, individual product has its own logo and slogan but has the brand included
• Own label branding


  Brands that are in-house to a supermarket or retailer, lower branding budgets, mostly cheaper but can be lower quality e.g. Sainsbury's
• Rebranding


  Marketing strategy that can include a change to the design, promotion, packaging or distribution of an existing brand
• Strong branding advantages


  • Adds value to products
  • Makes price elasticity of demand for a product less elastic
  • Consumer perceives product to be of a higher quality
  • Customer loyalty
  • Can create a barrier so harder to enter the market
• Ways to build a brand

  2. Unique selling point (USP) - help with product differentiation

  3. Advertising, promotions and maintain customer awareness

  4. Sponsorship
• Emotional branding


  Matches the lifestyle values or associations of consumers to produce an emotional response
• Promotion


  To inform consumers about a product or persuade them to buy it, objectives are increasing sales and profits and awareness
• Types of media advertising

  • TV ads
  • Billboards
  • The internet (online adverts, social media, sales)
  • Digital communications (cheaper form of advertising)
• Digital communications


  • Online ads targeted at customers who've shown interest in a product
  • Ads on phones e.g. banners in apps
  • Viral marketing - gets users to pass on ads by sharing with friends e.g. a funny video
• Limitation of digital advertising is customers are exposed to a large number of digital ads so may ignore
• Other types of promotion

  • Competitions
  • Prize giveaways
  • Special offers like BOGOF
  • Sales promotions to raise awareness and increase sales
  • Personal/direct selling formal two-way communication between salesperson and customer
  • Event sponsorship
• Public relations (PR)

  Dealing with media, interviews, conferences to help raise awareness and create a good public image for the business
• Public relations builds credibility but things can be misinterpreted and create a negative image
• Design mix


  Function, Aesthetics, Cost
• Tangible products are made up of features and functions, services are non-tangible
• What influences the design mix

  • Changing social trends
  • Environmental factors
  • Ethical sourcing
  • Behaviour of customers