MARKETING MANAGEMENT

12th edition

9
Creating
Brand Equity

Kotler Keller
Chapter Questions

• What is a brand and how does branding

work?
• What is brand equity?
• How is brand equity built, measured, and
managed?
• What are the important decisions in
developing a branding strategy?

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Google - 2002 Brand of the Year

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Brand

A name, term, sign, symbol or design, or a combination of

them, intended to identify the goods or services of one
seller or group of sellers and to differentiate them from
those of competitors.
(Sebuah nama,istilah,tanda atau disain atau kombinasinya,
Dimaksudkan untuk mengidentifikasi barang atau jasa yg
dijual oleh satu atau kelompok Penjualan & membedakan
produk tersebut dari produk kompetitor)

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Attributes of Strong Brands
(Sifat-sifat dari merek yang kuat)
• Excels at delivering desired
benefits
(Melebihi atas manfaat yg
diinginkan)
• Stays relevant
(Masih berhubungan/mempunyai
relevansi)
• Priced to meet perceptions of
value
(Harga bertemu dengan persepsi
nilai dari produk)
• Positioned properly
(Diposisikan sebagaimana
mestinya)
• Communicates consistent brand
messages.
(Menceritakan secara konsisten
pesan dari merek)
• Well-designed brand hierarchy
(Merek didisain dengan baik sesuai
tahapan)
• Uses multiple marketing activities
(Digunakan dalam seluruh
kegiatan pemasaran)
• Understands consumer-brand
relationship
(Mengerti pelanggan melalui
hubungan merek)
• Supported by organization
(Didukung oleh organisasi)
• Monitors sources of brand equity
(Menangkap sumber daya dari
kewajaran merek)
9-5
The Role of Brands
Peran dari sebuah Merek
Identify the maker
Identitas dari sipembuat produk

Simplify product handling

Menyederhankan dlm menangani produk

Organize accounting
Mengorganisasi laporan

Offer legal protection

Memberikan perlindungan hukum

9-6
The Role of Brands
Signify quality
Menandakan kualitas

Create barriers to entry

Membuat rintangan untuk masuk

Serve as a competitive advantage

Dipkai sebagai keunggulan bersaing

Secure price premium

Menjamin harga diatas sebenarnya

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Branding

Endowing products and services

with the power of a brand.
(Membantu produk dan jasa dengan
kekuatan dari sebuah merek)

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Brand Equity

The differential effect that brand knowledge has

on consumer response to the marketing
of that brand.
(Perbedaan pengaruh dari pengetahuan tentang
Merek yang direspon pelanggan untuk
Pemasaran dari merek tersebut.)

9-9
Brand Knowledge

Thoughts Feelings
Pikiran,ide Perasaan

Knowledge

Beliefs Images
Kepercayaan Gambar
Experiences
Pengalaman
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Brand Associations

Strong
Kuat

Unique
Unik

Favorable
Baik

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Marketing Advantages of Strong Brands
(Keuntungan Pemasaran dgn Merek yg Kuat)
• Improved perceptions of product
performance
(Dapat memperbaiki persepsi ttg
performa dari produk.)
• Greater loyalty
(Semakin loyal)
• Less vulnerable to competition
(Kurang mudah diserang dalam
kompetisi)
• Less vulnerable to crises
(Kurang mudah terserang krisis)
• Larger margins
(Keuntungan margin yg besar)
• Brand extension opportunities
(Perluasan peluang dari merek)
• Inelastic consumer response to
price increases
(Inelastis pelanggan merespon
naiknya harga.)
• Elastic consumer response to
price decreases
(Elastis konsumen dalam
merespon penurunan harga)
• Greater trade cooperation
(Perusahaan perdagangan yg
besar)
• Increase in effectiveness of IMC
(Meningkatkan efektivitas dari
marketing komunikasi)
• Licensing opportunities
(Peluang memegang lisensi)
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Branding a Place

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Brand Promise

The marketer’s vision of what the brand must

be and do for Consumers.
(Visi dari seorang pemasar bahwa merek harus
Bisa dan digunakan oleh pelanggan)

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The Virgin Brand

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Brand Equity Models
• Brand Asset Valuator = Young & Rubican
(Differentiation, Relevance,Esteem,Knowledge)

• Aaker Model = Prof. David Aaker

Brand loyalti, brand awareness, perceived quality,brand asosiation,
other proprietary assets such as patent

• BRANDZ = Millward Brown & WPP

• Presence, relevance, performance,advantage,bonding.

• Brand Resonance
• Brand salience, brand performance, brand imagery, brand judgments,
brand feeling, brand resonance

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 9-17

Knowledge
Brand Asset Valuator (BAV)

(Pengetahuan)
Esteem
Brand Equity

(Penghargaan)
Relevance
(Relevansi)
Differentiation
(Perbedaan)
Figure 9.1 BAV Power Grid

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Aaker Model – Brand Identity

Brand-as-product Brand-as-organization
(Merek sebagai produk ) (Merek sebagai organisasi)

Brand-as-person Brand-as-symbol
(Merek sebagai orang) (Merek sebagai simbol)

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Aaker Model – Brand Assets

Brand loyalty
Loyalitas merek

Brand associations Brand awareness

Persahabatan merek Kesadaran merek

Proprietary assets Perceived quality

Sbg pemilik Aset Merasakan kualitas

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The BRANDZ Model

Bonding=Ikatan

Advantage=
keuntungan
Performance= Daya guna
•levansi
Relevance= Relevansi

Presence = kesadaran

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Figure 9.2 Brand Resonance Pyramid

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Drivers of Brand Equity

Brand Elements
Brand name,logo,symbol,slogan,jingle dll

Marketing Activities
Mr. Licky = yelow smile face

Meaning Transference
Person, place or thing

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Brand Element Choice Criteria

• Memorable • Transferable
(Mudah diingat) (Dapat ditranferkan)

• Meaningful • Adaptable
(Penuh dengan arti) (Dapat beradaptasi )

• Likeability • Protectible
(Menyenangkan) (Dapat melindungi)

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The cupped
hands are
an element
of Allstate’s
brand

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Slogans
• Like a good neighbor, • We try harder
State Farm is there • We’ll pick you up
• Just do it • Nextel – Done
• Nothing runs like a • Zoom Zoom
Deere • I’m lovin’ it
• Help is just around the • Innovation at work
corner
• This Bud’s for you
• Save 15% or more in
15 minutes or less • Always low prices

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Designing Holistic Marketing
Activities

Personalization

Integration

Internalization

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Figure 9.3 Secondary Sources of
Brand Knowledge

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Measuring Brand Equity

Brand Audits

Brand Tracking

Brand Valuation

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Table 9.2 The 10 Most Valuable Brands

Brand 2004 Brand Value (Billions)

Coca-Cola $67.39
Microsoft $61.37
IBM $53.79
GE $44.11
Intel $33.50
Disney $27.11
McDonald’s $25.00
Nokia $24.04
Toyota $22.67
Marlboro $22.13
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Interbrand’s Brand Equity Formula

Brand earnings Brand strength

• Brand sales • Leadership (25%)
• Costs of sales • Stability (15%)
• Marketing costs • Market (10%)
• Overhead expenses • Geographic spread
• Remuneration of (25%)
capital charge • Trend (10%)
• Taxation • Support (10%)
• Protection (5%)

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Bucky Lasek for Campbell’s
Soup at Hand

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Managing Brand Equity

Brand Reinforcement

Brand Revitalization

Brand Crises

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Surviving a Brand Crisis

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Devising a Branding Strategy

Develop new brand

elements

Apply existing brand

elements

Use a combination of
old and new

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Branding Terms

• Brand line • Line extension

• Brand mix • Category extension
• Brand extension • Branded variants
• Sub-brand • Licensed product
• Parent brand • Brand dilution
• Family brand • Brand portfolio

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Brand Naming

Individual names

Blanket family names

Separate family names

Corporate name-
individual name combo

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Crest Whitestrips

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Brand Roles in a Brand Portfolio

Flankers Cash Cows

Low-end High-end
Entry-level Prestige

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Marketing Debate

 Are brand extensions good or bad?

Take a position:
1. Brand extensions endanger brands.
2. Brand extensions are an important
brand-growth strategy.

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Marketing Discussion

 How can you relate the different

models of brand equity? How are
they similar? Different? Can you
construct a model that incorporates
the best of each?

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