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Brand Failures

Definition: Enhancing a brands equity directly through advertising campaigns and


indirectly through promotions such as cause championing or event sponsorship is
known as brand building.

Branding is name, term, design, symbol or any other feature that identifies product
Branding is the process of creating a name and look for your business.

Effect of a brand?
Compels preference in consumers mind by
undertaking the following task:
eye on the market
the target consumer
competitions
market objectives
the trademark

Importance of Brands today
Brand is a promise.
Brand is a specific combination of logo, words,
type font, design, colors, personality, price,
service, etc.
Bundle of attributes.
Sometimes a brand is memorable because of
the little things.


Consumer & their perspective

Identification of Source of Product
Assignment of Responsibility to Product Maker
Risk Reducer
Search cost Reducer
Promise, Bond, or Pact with Maker of Product
Symbolic Device
Signal of Quality


Classic brand failure
NEW COKE
Summary
Created to compete with Pepsi
New Coke was a top secret operation
Large amount of money to market New Coke
Public was overwhelmingly negative about New Coke
Old Coke formula was returned with HFCS
Objectives
A large marketing campaign was created to compete with Pepsi.
Coca-Cola attempted to make Coke taste more like Pepsi.
Smoother
Sweeter
Bolder

Reason
Campaign failed.
Coca-Cola failed to ask critical questions to its beloved fan base:
Do you want a new Coke?
Mistake cost money and reputation for a moment in time.
NEW COKE
Purpose
Coca-Cola invested a large amount of money into a failed campaign.
The company assumed New Coke would be better.
Removed a successful product, Old Coke.
Coke drinkers should have been addressed.

Concentrate on the brands perception.
Dont clone your rivals.
Feel the costumer love and loyalty.
Maintain the core quality of the product.
Dont be scared to U-turn.
Do the right market research.

Lessons from New Coke (Solution)

Brand Extension
Using an established name of one product class for entering
another product class.
Using a successful brand name for launching a new or
modified product or line is known as brand
extension strategy.
An expansion strategy in which firms use already established
and successful brand name for introducing a new or modified
product


Brand Extension
Adversely affect value associated with brand.
Brand extension that fails to make an impact may dilute
equity of a reputable brand name.
Brand extension may carry typical attributes of parent that
may be dangerous to extended brand.

Negative impact
BRAND EXTENSION FAILURES

Harley Davidson perfume-The sweet smell of failure


PONDS TOOTHPASTE- a failure owning to brand
perception

Cast Study
American motorcycle manufacturer
distinctive design and exhaust note
licensing of the Harley-Davidson logo amounts to approx. 5%
of the companys net revenues.
Long-term relationships with the customers


Harley Davidson Perfume
T-shirts
Jackets
Caps
Gloves
helmets key chains
socks
ornaments etc.
Brand Extension
Ponds is a unilever product
Ponds made a smooth transition from a cold cream to Age
defying creams, soap, face-wash, talc etc.
The attributes required in toothpaste case were simply
missing.
To consumers the brand Ponds was nothing but fragrance
& a consumer product for external application only
Thus perception of cleanness and freshness is taken so
differently in different
products.


Ponds toothpaste & extension failure
Know what creates core value for your brand
Dont take something away that your most loyal consumers
love
To reach new audiences, start with your core brand
promise
Failure helps you learn and come back stronger

Bottom line: Know your brand. Your authenticity is what
creates connection and authenticity and connection
never go out of style even if the world around us
changes.

Case study learning
Every market has a different culture, failure to understand
that culture while adapting a brand extension can lead to
brand failure
Cultural Failure
McDonalds in India-
Changed their menu to suit the Indian taste palate.
They also began cooking their food in vegetable oil as opposed to
animal fat.
Removed beef and pork from the menu to appease religious values.

Dominos In India-
Changed menu for Indian people- introduced variants like Peppy
Paneer, Tandoori Chicken etc.

Tupperware India-
Introduced boxes keeping the Indian requirements in mind like 5kg
rice box & masala box amongst others.

Cultural Transitions
Rebranding is a marketing strategy.
Rebranding efforts include a name change, new logo or
packaging and image, marketing strategy,
and advertising themes.
Goal is to influence a customer's perception about a product
Re-Branding Failure
Not thinking carefully before rebranding can risk undermining
their previous marketing efforts.
Makes changes for the simple reason that this makes sense for
the company.
End up following in the ill-fated footsteps.

Tropicana Products is an American multinational company
which primarily makes soft drinks.
It was founded in 1947 by Anthony T. Rossi in
Bradenton, Florida.
The company specialises in the production of orange juice.

TROPICANA
PepsiCo re launched Tropicana with new packaging and created
a new advertisement to promote it.
The old design of an orange with a straw in it was replaced with
a glass of orange juice.
The normal screw cap was replaced with a squeezable cap
which had the appearance of half an orange.

TROPICANA Re-Branding
Labelling
Information Structure
Tone of Voice
Typography
Imagery
Colour
Brand Speak
Affordances


Re-Branding Failure
Never try to solve something which is not a
problem in the first place
Conclusion

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