Rodan and Fields Business Opportunity

MKTG 4550:The Role of Marcom

Dr. Campbell

Th 8/25/11

Today’s Learning Goals

• Concept of “Brand equity”– Benefits

– Definition

• How marketing communications influence brand equity

• Basic concept of integrated marketing communications– Definition

What is a Brand?

• “…A name, term, sign, symbol, or design, or a combination of them, intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of competition.” (AMA)

Why are Brands Important?

• In what ways can brand equity provide value to a firm?

• In what ways can brand equity provide value to customers?

Definition: Customer-Based Brand Equity

The differential effect thatbrand knowledge has on

consumer response to the marketing of that brand.

Kevin Lane Keller

Customer-Based Brand Equity

BRAND EQUITY

Awareness

BrandAssociations/

Meaning

Customer-Based Brand Equity

BRAND EQUITY

Awareness

BrandAssociations/

Meaning

Strong

Favorable

Unique

Building Customer-Based Brand Equity

• Creating a brand requires putting a label and meaning to a product or service– Label Brand elements

– Meaning Marketing mix• Strong

• Favorable

• Unique

Role of Marketing Communications

• Marketing Communications are good at these necessary tasks– Establishing a label (awareness)

– Developing meaning

– Associating the meaning with the label

Essential Function of Marcom

Build brand equity

Steps in Creating Strong Brand Equity

• Determine desired, differentiated positioning

• Develop a great product

• Create accessible, favorable brand attitudes by communicating consistent brand position/image in all elements of the marketing mix– Product

– Pricing

– Distribution

➜Marketing Communications

The Goal of Marcom Management

Manage all “brand contacts” to build a cohesive, strong

brand

What is“Integrated Marketing Communications”?

American Association of Advertising Agencies

Marketing communications planning thatrecognizes the added value of a

comprehensive plan that evaluates…a variety ofcommunication disciplines…and combines these

disciplines to provide clarity, consistency, and maximum communications impact.

Conclusion

Promotion management is the process of developing

communications strategy and coordinating the promotional mix elements to develop and control

an integrated program of effective marketing communication that builds strong brand equity.

Takeaways

• The value of brand equity is derived from the value that brands bring to firms and their customers.

• The brand resides in the mind of the consumer– Brand awareness and brand associations are the basis of

customer-based brand equity

– CBBE is the differential effect arising from brand knowledge

• The primary goal of marcom is to build the brand

• Strong brands are built when project a coordinated, consistent, unified image in the marketplace through a variety of communications tools.

How measure Consumer-Based BE?

• Given that the overall goal of marcom is to build a strong brand, how will we know if we are? How can we measure?

• What is the differential effect that our brand gains? What response to our product is due to the brand?

Coming up…

• Next class (T 8/30)– BB Ch 2

– Due: Getting to Know You Exercise• This is on CULearn