Brand Creation Process & Key Steps PDF

Brand Management – M1 Session 4 Séance 1 Isabelle ULRICH (Resp. of course) Teachers : Rouen A.Groult Reims A.Attari [email protected] E.Moore M.Beaurain 1 Outline S4 : Brand creation: process and key steps 1. 2. 3. 4. 5. 6. 7. Key players Process and key steps Criteria for ‘strong’ brand n...

Brand Management – M1 Session 4 Séance 1 Isabelle ULRICH (Resp. of course) Teachers : Rouen A.Groult Reims A.Attari [email protected] E.Moore M.Beaurain 1 Outline S4 : Brand creation: process and key steps 1. 2. 3. 4. 5. 6. 7. Key players Process and key steps Criteria for ‘strong’ brand names Risks associated to brand name creation Developing the Logo Product decisions Setting the product range strategy 2 1. Key players Firm : Brand Mgr / Legal Department /General Management Name Agencies : – – – – – Nomen (Vivendi, Velib, Clio, Vinci, Thalès, Natixis, Miracle, Mania…) Ipsos -Insight Marques (Candia, Lactalis, Fortuneo, Isio 4, Tissaia…) Bessis (Kangoo, Megane, Scenic, Logan, Dexia, Jaîpur, Navigo…) Demoniak (Noos, Allure, Pik & croq, Doctissimo, Avantages…) Kaos Consulting (Thalis, Zapatti, Arte…) Design Agencies : Carré Noir, Brand Image, Dragon Rouge Legal consultants (industrial property) : Promark, Beau de Loménie, Regimbeau… Administrations – for France : – INPI (Institut national propriété industrielle) – OHMI (Office d’harmonisation du marché intérieur) – OMPI (Organisation mondiale de la propriété industrielle) 3 A new brand proposes also a new offering Lots of Internal & External Partners to develop new brand’s products R&D Sales Force Production Brand Mgr Market Research Legal Finance 4 2. Process and key steps Create a new brand Develop a new concept Create in parallel a new brand-name 5 2.1. Develop a new concept 1. Market intelligence, Benchmarking, Prospective studies – Analysis of Market, Segments, Competitors… – Consumer analysis: Studies, Blogs… Identify key Consumer Insights which could be exploited – Company / Brand / Product-range analysis Strengths & Weaknesses 2. Diagnosis – Identify and agree key strategic segments / directions where to go 3. Phase of idea generation and selection – Idea generation (Mk, R&D, Outside partners, Crowd sourcing…) – Idea selection (internal screening, or 1st quantitative screening) 4. Concept development – Concept writing and lay-out (for a brand – or a product) – Concept testing : qualitative, then possibly quantitative 6 What is Consumer insight? Consumer insight = unmet needs, wants or desires of consumers on this category/market. Consumer insights are at the heart of strong concepts Understanding consumers thu qualitative/quantitative research is key to develop clear insights. Breakfast is a moment of pleasure, but I’d like my kids to eat something healthy and nourishing * 70% agree among women 25/50 - US Perspiration plus antiperspirants can cause yellow stains on the underarms of my clothes, and these stains are difficult to remove* I don’t trust myself, because my body is not perfect and I don’t look like models in magazines 7 What is Consumer insight? (ctd) In some markets, all key consumer insights are already addressed by the positioning of existing brands 8 Concept writing (1) Display on a board : Promise statement: « No more yellow stains! » Include a statement of empathy , explaining consumers you understand their problem. Include a Reason to believe Bottom of concept: Product range Price information (not necessary for qualitative study) ‘Wrap-up’ promise at the end of the concept Consumers should be able to read the concept in max 30 seconds 9 Concept writing (2) No more yellow stains! How many times has it happened to you? Yellow stains under the arms of your favourite T-shirt… But did you know that this problem may start with your deodorant? You see, the active ingredients in most antiperspirants can react with your perspiration, to leave ugly yellow stains on your clothes. Now, that’s all changed. Introducing New Brand A Blocks the reaction between your product and your perspiration Helps put an end to damaging yellow stains on your clothes. New Brand A has a Ph-balanced formula which works with a woman’s higher perspiration PH to keep her dry. Helps you stay dry, and your clothes stay clean. New Brand A No other antiperspirant can keep you and your clothes this clean. Available in Regular, Unscented, Powder Fresh scents. 10 CONCEPT PRODUIT BY AROMA-ZONE Defeat tightness and dry skin! How long have you been feeling this? This sensation of rough skin, which feels tight and reddens constantly for no reason...? But did you know that these inconveniences could be the result of dehydrated skin? Indeed, your skin is struggling to retain the water it receives. Why? A lack of production of essential lipids constituting the protective barrier that aims to retain this water. Here is Argan vegetable oil, by Aroma Zone The precious oil from Morocco renowned for its restorative and regenerating properties With more than 75% unsaturated fatty acids, Argan vegetable oil has a formidable restorative and regenerative action. Argan vegetable oil is the precious nourishing oil suitable for dehydrated skins. Argan vegetable oil Precious oil for dehydrated skin 11 Concept writing (3) You can test with consumers… – Concept with words only – Concept with words+ Brand logo and Brand product-range – Add pictures on top (as in advertising testing) – Concept without brand name: introduce brand name after (or several name candidates) 12 Concept Testing Better to test a name Variables: Like/dislike Understanding User image Brand image Distinctiveness Credibility Value for money Purchase intent Always mention a price for quantitative testing 13 2. 2. Create a brand name Overall, plan 3 months Preparatory phase 2 weeks Analysis – Brief a Name Agency (not always) Brief elements Market - Competitors Concept/Positioning Target Name search constraints 2-5 weeks Creative phase Creativity groups Individual creation Document search Software Brand database Selection phase 2 weeks Control phase 3 weeks Marketing Language Legal 14 Preparatory phase (1) Either brief an outside Name Agency. Or work internally (internal brand database, creativity workshops…) Brief Market informations + competitors Company informations + existing brands and products New concept/positioning: promise+reason-why Specify Product range (if already anticipated) Target Communication on this brand-name? Planning: target dates for finalized name and communication Specify the search: – Name for a unique brand ? – Further extensions to come? – Name decision based on consumer-testing? 15 Preparatory phase (2) Brief (ctd) Possibly add some evocation themes: - associated to brand promise Ex: « No more yellow stains » => secret, whiteness, purity, intimacy - associated to Company mission/values color, women, fun, seduction, glamour Possibly specify guidelines on brand architecture system - vs Company name: brand endorser ? 16 Preparatory phase (3) Name-search constraints Type of name – Simple word, created from real words (Pampers, Apple..) – Declined word: obtained from company name (Nespresso, Diorissimo, Danao) or other existing name – Expression (J’adore by Dior, La Vie est Belle by Lancôme..) – Initials (BNP) or acronym (FNAC, IKEA) – Invented word Meaning – What associations and evocations should the name have? Brand Personality – List of adjectives qualifying the sought brand personality 17 Creative phase Usually different techniques are used in parallel: Creativity groups (with foreigners) - grouping nameexperts, agency creatives, marketing people, etc… Individual creation (name experts, linguists etc…) Document research (international) Software on name generation Brands database => 200 / 5000 brand names, provided by the Name Agency 18 Selection phase Reduce the number of brand name candidates, taking into account 1) attractiveness, 2) coherence vs brief objectives Take into account Agency recommendation First selection by marketing team: 150/200 names First Legal identical search (always) => Selection of 15-20 names 19 Control phase Language : check pronunciation, understanding, lisibility, positive and negative associations to names in key target markets Legal : – – – – Identical search Use search Similarity search Possible negociations with other companies Marketing : check consumer appreciation of name (qualitative or quantitative research) 20 Trademark registration Territoriality principle (INPI, OMPI…) Specialty principle: products and services are classified in 45 classes, according to their nature and destination Validity conditions: Lawful, distinctive, available 21 Cost of creating a brand name 22 3. Criteria for ‘strong’ brand names Evoke the benefits, the promise of the brand Short name, easy to pronounce Distinctive International Easily declinable 23 Focus: research on brand name Cultural impact : pronunciation, gender – Product perception is more hedonic & positive when pronounced in French vs. in English Test « Vaner », « Randal » (Leclerc et al., 1994) – Brands better valued when their name has the same grammatical gender as the sex of the main user associated with the brand category (formal system languages – French, Spanish) Whisky Aizo rather than Whisky Aiza; Margarita Aiza rather than Aizo (Yorkston & de Mello, 2005) – English : women prefer names with E/I, men names with O/U 24 Focus: research on brand name Favourable impact of alliteration, assonance, onomatopoeia etc.. => better recall (Yorkston & Menon, 2004) Impact of meaning – Names of people, objects, animals… easier to recall in adverts (Robertson, 1985) – Descriptive names strengthen benefit and provide better recall (Keller et al, 1998) …. but may restrict brand name variations, limiting brand to original category – Impact of letters : X, consonants vs. vowels with different cultural impact… (Doeden, 1981; Heath et al, 1990 …..) 25 4. Risks associated to brand name creation Strong legal risk – Legal availability of name is a challenge « Champagne » launch in 1993 forbidden after trial en 1993 renamed YSL in France. Bio renamed Activia in 2006 26 4. Risks associated to brand name creation Strong legal risk (ctd) – Legal and protectability value of the brand Availability Distinctiveness Geographical expansion Width of the protection of products and service (for each country) Usage : significant exploitation of products or services in the registered trademark Tolerance (brand defended or not) => Registering a trademark takes 5 months leadtime in France 27 4. Risks associated to brand name creation Legal risk Linguistic risk Nova in Latin America. Bourjois difficulties in Spain & Latin America Detergent Tide not transferable in France (Ariel instead) Chambourcy yogurt not acceptable in China (brand cancellation by Nestlé) Time risk Optic 2000 Jean-Claude Killy (perceived as skis from 60’s-70’s = outdated) Names with old connotations: Crédit Communal (changed in Dexia) Functional risk (Générale des Eaux; Canard WC) 28 5. Developing the logo Key steps : 1. Search & benchmarking - Competitors’ logos (international) - Close markets or « inspiring » markets (e.g. cosmetics for food, fashion for make-up..) 2. Designing the logo - Marketing brief to Design Agency (or internal) - Design Agency selection - Presentation of logo candidates - Selection & rework 3. Final selection and control – Qualitative or quantitative testing 29 Brief to Design Agency Market / Competitors Company information Brand : positioning, planned product-range Target Brand logo vs company logo (architecture) Any packaging constraint you anticipate Planning Budget Planned consumer research to evaluate logo before launch? 30 Some principles to guide brand logo creation How to search design ideas for logos Project Key-words Synonyms Agency House, Office, Home,… Symbols => Help your Agency in providing words and ideas expressing the brand promise Choice of font for the name (dafont.com) – 2 fonts maximum in a logo Watch out for color symbolism Choice of colors – 2 or 3 colors maximum in a logo 31 5. Product decisions Decisions are taken, concerning different Product Levels : 32 Core (benefits) : Moving from A to B conveniently Generic product (attributes): Color, aesthetics, shape, performance, fun … Augmented (services): Insurance, credit, GPS, iPhone integration, … 33 Product policy within the company Strategy Marketing strategy Product range/product development / brand management Operational marketing Operational decisions on product level, line and range management 34 Product decisions – what and who ? (1) Developed at the Strategic Marketing Dept Skin-care cream : - Ingredients - Texture - perfume I-pod : - Technology - Additional features - Design 35 Product decisions – what and who ? (2) Branding decisions: taken at the Strategic Marketing Dept Most often, a new product is developed within an existing brand franchise, or a new brand (brand decision) Pack decisions: mostly at the Strategic Mk Dept Protection of product Convenience Communication tool : key benefits, values Identifying, storing, shipping => Operational Mk Places for labelling and information => Operational Mk 36 Illustration of pack protection, convenience, and communication: builds brand image 37 Product decisions: what and who ? (3) Guidelines developed at the Strategic Mk Dept Local adaptation , translation More at Strategic Mk Dept 38 Front label & back label Information to adapt & translate locally by Operational Mkg Information and components adated locally by Operational Mkg 39 7. Setting the product range strategy Product range: a set of products belonging to the same product category produced and sold by the same brand/company Product line: group of closely related products due to function, similar target customers, distribution outlets or pricing. Badoit product range 40 at Unilever (Us) Dove Bar/Body-wash Sku = stock keeping unit Beauty bars (3 skus) Body wash (3 skus) Dove Deodorants Product Range Dry spray anti-perspirant (3 skus) Line Advanced care and protection (3 skus) Clinical protection (3 skus) Premium protection (3 skus) Basic Protection (3 skus) Dove Body lotions 2 skus Dove Hair Advanced Hair Series ‘Quench’ (3 skus) Product Range Clean & Moisture (3 skus) Line Intensive Repair (3 skus) Oxygen Moisture (3 skus) Color Care (3 skus) Style+Care (3 skus) 41 42 43 Product assortment The set of all products and items a particular seller offers for sale. A set of product-ranges. 44 Ex: Nivea assortment How many Product-ranges ? Nivea Deodorants product-range : How many lines? Line Fresh féminin, depth ? Length Déodorants ? 45 How to set the product-range strategy Study competition product-range – Identify competition for each type of line and product on the category – Reveal possible positioning for your new products 46 How to set the product-range – new brand Study consumer insights vs your competitors’ and own brand’s product-range analysis – Reveal pertinent positioning for your new products – Analyse consistence of each product vs overall brand positioning & values Schweppes: 10 scents/lines – Match leader or not? Finley: 4 scents/lines Tonic Pamplemousse+orange Citron+fleur de sureau Orange+cranberry Indian Tonic Pamplemous’ Lemon Agrum’ Ricqlès Mango Passion Pech’ Pom’ Dark Side 47 Product range management actions (1) Pruning ] Reduction of the number of items Suppress slow-moving skus Improve product range profitability Decrease cannibalization Unclear range = risk of confusion & customer dissatisfaction 48 Product range management actions (2) Line extension ] Extending the range Definition : use an existing brand to market a new product belonging to a product category already covered by the brand Line extension represent 65% of product launches (Source : Research International, 2004) 49