Transcript PRODUCTS AND BRANDS

PRODUCTS
UNIT 11
WHAT IS THE DIFFERENCE
BETWEEN A PRODUCT AND
A BRAND?
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PRODUCT - anything capable of satisfying a
want or a need
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BRAND - a product that is distinguished from
those of competitors by a name, sign, symbol,
design, etc.
PRODUCTS OR BRANDS? HOW MANY
DO YOU RECOGNIZE?
WHICH OF THE FOLLOWING CAN BE
CONSIDERED AS CROATIAN BRANDS?
HOW ABOUT THIS ONE?
List some of your favourite brands. Then
answer these questions.
1 Are they international or national brands?
2 What image and qualities does each one have?
3 Give three examples of brands to which you are loyal,
i.e.which you regularly buy without thinking about it.
Why are you loyal to them?
4 Are there any products for which you have no brand
preference or loyalty, but are a brand-switcher?
5 Can you think of any products for which the name of
the brand is totally unimportant, so that you do not
even notice it?
6 If you don’t buy branded goods, explain why.
7 What are the advantages of branded goods for:
a) the manufacturer?
b) the consumer?
HOW MANY WORD PARTNERSHIPS
CAN YOU MAKE?
__________
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BRAND
__________
__________
__________
__________
__________
__________
__________
MANAGER
PREFERENCE
LOYALTY
CLASSIC
LUXURY
IMAGE
SWITCHER
STRETCHING
AWARENESS
ESTABLISHED
RECOGNITION
WHICH WORD FROM THE PREVIOUS LIST
IS ILLUSTRATED BY THESE PICTURES?
BRANDING – INTRODUCTION
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http://www.youtube.com/watch?v=vOT07
BUo9jY&feature=fvwrel
 Does it work better than your regular
classes?
HOW DO YOU COMMENT ON
THIS QUOTE?
‘The most distinctive skill of professional
marketers is their ability to create, maintain,
protect and enhance brands.’
P. Kotler, American marketing guru
DID YOU KNOW?
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Despite the current economic climate, the
value of the top 100 brands has increased 2%
since last year, to $2 trillion - a marginal
increase of 1.7 percent.
WHICH ARE THE TOP TEN BRANDS AT THE
MOMENT? COMPARE THE CURRENT LIST TO
THE 2015 RANKINGS.
WHAT IS BRANDING AND
WHY DO WE NEED BRANDS?
Complete the text with the following words:
MONEY NAME
DIFFERENTIATE
SYNERGY
QUALITY
COMPETITORS’ VALUE
A brand can be a ____________, a term or a symbol. It is
used to ____________ a product from ____________
products. The brands guarantee a certain ____________
level. Brands should add ____________ to products. It’s
a ____________ effect whereby one plus one equals three.
But customers must believe they get extra value for
____________.
PRODUCTS AND BRANDS –
Pre-reading task – True or False?
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People, places and organizations cannot be considered as
products.
Product line is the same as product mix.
Slogans distinguish products and services from their
competitors.
B2B and B2C are different types of brands.
Companies always include their names in their products.
Corporate branding is connected with branded products sold to
companies and corporations.
Pringles is the name of the company which produces potato
crisps.
Brand cannibalism refers to the destruction of competing
brands.
The worth of a brand is never greater than a company’s physical
assets.
PRODUCTS AND BRANDS –
Reading, MK, p. 60
1 MATCHING
 Read the text and write a brief HEADING for each
paragraph.
2 COMPREHENSION
 Why do the companies' product mixes regularly change?
 Why do companies brand their products?
 What is the difference between corporate branding and
individual branding?
 Why do the big soap powder producers have a multibrand strategy?
 Why can the market value of companies be much higher
than the value of their tangible assets?
PRODUCT LINE OR PRODUCT MIX?
PRODUCTS AND BRANDS –
Vocabulary, MK, p. 61
places of business for selling goods to customers (shops, stores,
kiosks, etc.) ______________
 a group of closely related products sold to the same customer
groups and marketed through the same outlets
______________
 all the different products, brands and items that
a company sells ______________
 businesses that sell goods or merchandise to individual
consumers ______________
 a graphic image or symbol specially created to identify a
company or a product ______________
 wrappers and containers used to enclose and protect a product
______________
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PRODUCTS AND BRANDS –
Vocabulary, MK, p. 61
the extent to which consumers are aware of a brand, and
know its name ______________
 the extent to which an activity provides financial gain
______________
 surfaces in a store on which goods are displayed
______________
 the sales of a company expressed as a percentage of total
sales in a given market ______________
 consumers who buy various competing products rather than
being loyal to a particular brand ______________
 the standard pattern of sales of a product over the period
that it is marketed ______________
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WORD PARTNERSHIPS – Which
words are missing?
 product l_________
 product m_________
 product l________
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c________
g _________ /d _________
sales
brand r_________
c_________ branding
i_________ branding
B _______ - to - B _______
marketing
 B _______ - to – C _______
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marketing
m______-b______
strategy
brand c_________
brand-s_________
brand v_________
market s_________
p_________ assets
t_________ assets
market v_________
WORD PARTNERSHIPS – Which
words are missing?
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product line
product mix
product life cycle
growing/declining sales
brand recognition
corporate branding
iindividual branding
Business - to - Business
marketing
 Business - to - Customer
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marketing
multi-brand strategy
brand cannibalism
brand-switcher
brand value
market share
physical assets
tanginle assets
market value
DISCUSSION: Brands and attitudes
1 What attitude would you associate with the
following brands?
Apple
BMW
Harley-Davidson
Ikea
Louis Vuitton
MTV
Nike
Sony
2 Which brands do you have an emotional
attachment to, because they represent your
attitudes and feelings?
"All the world’s a stage,
And all the men and women merely players.
They have their exits and their entrances,
And one man in his time plays many parts,
His acts being seven ages."
As You Like It, William Shakespeare
THE PRODUCT LIFE CYCLE
THE MARKETING CONCEPT – the sales of a product has
different stages
WHAT DOES IT SHOW?
The pattern of consumer demand for a product over time, and
accordingly the product’s pattern of sales over the period that
it is marketed.
THE MAIN STAGES
 introduction
 growth
 maturity
 decline
STAGES OF THE PRODUCT LIFE
CYCLE
THE PURPOSE OF EACH STAGE
INTRODUCTION
 develop b__________ a__________; pricing strategies → market
skimming or penetration
GROWTH
 develop b__________ p___________ and attract brand-switchers
 promotion: emphasize your c___________ d___________
 maintain steady growth and increase m_________ s__________
MATURITY
 the market becomes s___________ and further growth is limited
→ prevent the c___________ from penetrating the established
market share; defend your market share
 maintain b___________ l___________ and BRAND IMAGE
 extend the cash cow stage for as long as possible by using further
tactics
DECLINE
 the main decision: when to w___________ from the market?
 the sales still contribute towards fixed costs, but further
investment, such as a___________, is not likely to pay back
THE PURPOSE OF EACH STAGE
INTRODUCTION
 develop BRAND AWARENESS; pricing strategies → market skimming
or penetration
GROWTH
 develop BRAND PREFERENCE and attract brand-switchers
 promotion: emphasize your COMPETITIVE DIFFERENCES
 maintain steady growth and increase MARKET SHARE
MATURITY
 the market becomes SATURATED and further growth is limited →
prevent the COMPETITION from penetrating the established market
share; defend your market share
 maintain BRAND LOYALTY and BRAND IMAGE
 extend the cash cow stage for as long as possible by using further
tactics
DECLINE
 the main decision: when to WITHDRAW from the market?
 the sales still contribute towards fixed costs, but further investment,
such as ADVERTISING, is not likely to pay back
THE DURATION OF EACH STAGE
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likely to vary
WHICH FACTORS AFFECT THE DURATION OF EACH
STAGE?
 product type
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market conditions
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uncontrollable elements such as consumer trends
and competitor behaviour
STAGES OF THE PRODUCT LIFE
CYCLE – IN MORE DETAIL...