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Chapter 6 Branding and building relationships with the database Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-1 Learning objectives 1. To understand how we build relationships with brands. 2. To examine the concept of brand identity; looking at brand names, symbols and packaging. 3. To look at how brands are measured in terms of brand audits, brand equity and their relationships with consumers. 4. To explore the concept of engagement and how people engage with brands— emotionally, behaviourally and digitally. 5. To investigate the database as a driver of the IMC process. Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-2 Brand audit Name Symbols Brand identity Measuring the brand Brand relationships Packaging Building brand relationships Transactional & relational data Developing the database Database drives traditional & digital media Database Branding & Database Brand equity Emotional bonding Brand engagement Behavioural bonding Digital IMC & branding Social networks Virtual worlds Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell UGC Mobile 6-3 Footy fever Source: Courtesy of Brisbane Lions Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-4 What is a brand? Various definitions of a brand A brand is a perception resulting from experiences with, and information about, a company or a line of products. Duncan, 2005 A brand can be defined as a name, symbol, logo, trademark and so forth that identifies and differentiates a product or service. Keller, 1996 Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-5 Brands vs products A brand differentiates a product from its competitors Brands have tangible & intangible qualities. A brand is more than a product or service Brand value derives from a combination of both marketer activities and consumer activities. Consumers may have both emotional and behavioural relationships with a brand. Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-6 Tangible and intangible dimensions of the brand Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-7 Memorable brands Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-8 Valuable brands Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-9 Facets of a brand Brand identity Brand name Brand Brand symbols Packaging Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-10 Brands and identity What do you think? Is the iPhone a mobile or a must-have? Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-11 Brand audit Name Symbols Brand identity Measuring the brand Brand relationships Packaging Building brand relationships Transactional & relational data Developing the database Database drives traditional & digital media Database Branding & Database Brand equity Emotional bonding Brand engagement Behavioural bonding Digital IMC & branding Social networks Virtual worlds Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell UGC Mobile 6-12 Packaging Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-13 Measuring brands Brand audit Brand equity Measures Brand relationship Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-14 Brand audit Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-15 Brand equity Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-16 Brand equity (cont.) Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-17 Brand relationships Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-18 Top Australian brands Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-19 Brand audit Name Symbols Brand identity Measuring the brand Brand relationships Packaging Building brand relationships Transactional & relational data Developing the database Database drives traditional & digital media Database Branding & Database Brand equity Emotional bonding Brand engagement Behavioural bonding Digital IMC & branding Social networks Virtual worlds Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell UGC Mobile 6-20 Consumers and brands Consumer bonds Emotional bonds Behavioual bonds Consumers feelings about brands, the nature of any emotional rapport and the emotional state associated with the product category. Refers to key behaviours leading to brand purchase or brand commitment. Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-21 Emotional bonds Emotions Personality Product benefits Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-22 Emotional bonding Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-23 Behavioural bonds Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-24 Engaging with consumers’ digital lives 1st generation 2nd 3rd generation generation 4th generation Interactive communications: single platform communications that engage consumers where traditional medias cannot reach. Brand touchpoints: multiple platforms where consumers can engage with the brand and integrate it into their lives. Social connectivity: converts consumers into brand ambassadors, providing tools to influence community opinions through social networks. Brand customisation: consumers take personal ownership of the brand, by customising content and expressing their individuality. Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-25 Social networking Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-26 Facebook Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-27 Top ten Facebook brands Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-28 Reasons for unsubscribing from Facebook pages Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-29 Australian companies’ attitudes to social networking 70% intend to participate in social media 40% intend to increase the marketing budget on social media and will divert funds from other marketing activities to do so Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-30 Other brand platforms Virtual worlds Platform User generated content (UGC) Mobile advertising Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-31 User-generated content Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-32 Brand audit Name Symbols Brand identity Measuring the brand Brand relationships Packaging Building brand relationships Transactional & relational data Developing the database Database drives traditional & digital media Database Branding & Database Brand equity Emotional bonding Brand engagement Behavioural bonding Digital IMC & branding Social networks Virtual worlds Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell UGC Mobile 6-33 The database Data informs and enhances business decisions Businesses generate transactional data in the normal course of doing business The key is to add value to transactions and turn them into relationships The database epitomises the drive for greater control, superior information, tighter targeting and more reliable measurment Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-34 The database: types of data Types of data Transactional Relational Quantitative data Sales value, sales history Qualitative data Lifestyles, values, beliefs Captured via: Scanner data, credit cards, membership cards Captured via: Buyer-seller relationships, customer touch-points, online contacts, etc. Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-35 How database marketing works Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-36 B2B database Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-37 Sources of database information Information Sources Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-38 Database and IMC Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-39 Summary and conclusions Companies use brands to relate with customers. Brands transcend physical products. Customers may have emotional or behavioural relationships with brands. Much of our knowledge about how customers think about brands is stored electronically. The database is a key driver of the IMC process. Copyright 2012 McGraw-Hill Australia Pty Ltd PowerPoint Slides t/a Advertising and Promotion 2e by Belch, Belch, Kerr & Powell 6-40