M1 Marketing Studies with BrandPRO Business Simulation 2024 PDF

M1 Marketing Studies with BrandPRO Business Simulation 2024 M1: Introduction to Brand Management And Brand Equity Academic Year 2024-2025 Course Coordinator: Katharina Zeugner-Roth Paris Facilit...

M1 Marketing Studies with BrandPRO Business Simulation 2024 M1: Introduction to Brand Management And Brand Equity Academic Year 2024-2025 Course Coordinator: Katharina Zeugner-Roth Paris Facilitator:  Who I am Marcos Lima, PhD, HDR Brazilian, lived and studied in Brazil (Federal University of Bahia), US (St. Paul Academy, Michigan State University), Austria (Universität Klagenfurt) Worked for Bosch (Germany), FIEB / SECTI / Clicom (Brazil) Amadeus (France), EMLV (France) Former Director of IMBD MSc Program, Skema (Lille) Currently Associate Dean, Transformation Academdy at SKEMA and member of SCAI - Skema Research Center for Artificial Intelligence  Lille ZEUGNER, Katharina (CM) [email protected] ​HE Guojun / "Sawyer" [email protected] TRAN THI Huong / "Jenny" [email protected] CASTILHOS Rodrigo [email protected] ERTIMUR, Burçak [email protected] COUSIN, Aurélie [email protected] Paris LIMA, Marcos (CM) [email protected] DAUXERT, Tatiana [email protected] Teaching Team PACQUET, Mireille [email protected] (France) IGNATIEFF, Arabella [email protected] ANDRADE, Sérgio [email protected] DUCAMUS, Michel [email protected] Sophia STATHOPOULOU Anastasia (CM) [email protected] PINCHAUD, Gabrielle [email protected] NAHMIAS, Laurence [email protected] ​JOUSSEMET Caroline [email protected] CUTULI, Giulia [email protected] Marketing Studies I 3  Welcome to M1 Marketing Studies  By the end of this course, you should be able to understand :  Part 1 (3h) – The importance of branding in the marketing strategy  Part 2 (2h) – How to segment the market in order to target the most profitable consumers and to position your brand in this target’s mind.  Part 3 (1h) – How to develop the marketing mix according to an established positioning.  How to present your project  (Public Speaking Skills) – eLearning Module, 1h  How to apply these concepts in the real world with the Brand Pro Simulation  workshop sessions (12h) Why should you sit in this course? You would like to deepen your understanding of (brand) management principles You work in related functions and want to know how (marketing) strategy impacts performance You would like to increase your (individual contribution to) team performance and (communication) skills Marketing Studies I 5  https://www.youtube.com/watch? v=SBJ5tPixC5c&t=2s Brand Pro Teaser  https://www.youtube.com/watch?v=UsjoExvw3y0 What Is Brand Pro?  At the end of the semester…  1700+ students competing for best SPI  3 French Campuses  France (Lille, Paris, Sophia)  4 International Campuses  Brazil (Belo)  US (Raleigh)  China (Suzhou)  UAE (Dubai)  1 Campus Winner x 4 campuses (France + International)  1 Global Winner 8  Key Stages In The Brand Pro Experience  2 x 3h Lectures (Amphis) - Brand Management - eLearning on Public Speaking  4 x 3h Workshops (Local Instructors) - Roles and rules - Key decisions - Running the simulation 9 Marketing Studies I Contribution to Learning Objectives of the Program To select the best To contribute course of action substantively to To produce clear, to follow in order the product of a well organized to behave as group and verbal responsible demonstrate presentations managers leadership skills To understand in To analyze To apply theories detail extended globalization and and major speech and evaluate its concepts of complex texts in effects on marketing and English business other disciplines To assess a To benchmark To analyze and business issue existing apply advanced and formulate knowledge and concepts in a solutions in a apply it to finding specialized specialized new solutions to discipline discipline problems Marketing Studies I 10 Evaluation 40% = Your relative SPI performance in the game 20% = Your INDIVIDUAL MCQ score (Mid-Term Exam) 20% = Your INDIVIDUAL performance in the group presentation 20% = Your GROUP presentation grade  Google Digital Garage Course  Speaking in Public - https://tinyurl.com/PUBSPEAK23 - Free, 20-min e-Learning - Sign-in required 12 Marketing Studies I YouTube is your best friend for other resources on Public Speaking  Don't forget to use ChatGPT for tips! 14 Marketing Studies I  Course Material  CM Slides (6h) - Available on K2 (general section)  TD Slides (12h) - Available on K2, see section of your local instructor  Google Digital Garage Course: https://tinyurl.com/PUBSPEAK23  BrandPRO Manual : https://brandpro2.stratxsimulations.com/ (or K2) 15 Marketing Studies I Team Composition Before TD1, your TD professor will publish the team composition on K2 Marketing Studies I 16  Part 1a: Introduction to Brand Management 17 Marketing Studies I  What is MARKETING? 18 Marketing Studies I  Q: Why do consumers use brands? Marketing Studies I 19  https://app.wooclap.com/BP24A1  Why do consumers use brands? b) Brands: Why? For a Customer …informs …simplifies …increases value …creates group identity …guarantees Marketing Studies I 21  Brands: Why? How many brand encounters do consumers have per day on average? 22 Marketing Studies I  Breaking through the Clutter A Consumer is exposed to 300 to 600 messages per day on (S)He average effectively perceives between 30 and 80 Less than 10 messages will be memorized per day Source: Lendrevie et al., (2008) 23 Marketing Studies I Q: Who can identify the McDonald‘s logo? 24 Marketing Studies I  https://www.youtube.com/watch?v=9_XWp5fnXKc WHY Brands ?  Q: Why do companies use brands? Marketing Studies I 26  https://app.wooclap.com/BP24A1  Why do companies use brands? b)  Brands: Why? „If you don‘t brand your business, someone else will – and take your customers“ (Robert Faletra) 28 Marketing Studies I  Q: How old is the concept of branding? Branding already used in the stone age, when hunters used weapons of a specific brand Other traces of branding found in Chinese porcelain, pottery jars from Greece and Rome, goods from India dating back to 1300 BC Ancient Oil Lamps found in Modena, ~43 BC Source: http://www.romanhideout.com/News/2008/20081127.asp Marketing Studies I 29 The Emergence of National Manufacturer Brands  Branding as a result of mass marketing Q: Who can see the logo? 30 Marketing Studies I Brands: Why? For a Customer For a Business …positions …informs …differentiates …increases the margin …simplifies …creates loyalty …protects …increases value …creates group identity …guarantees 31 Marketing Studies I  Q: What is the difference between a product and a brand? Marketing Studies I 32  https://app.wooclap.com/BP24A1  What is a product? a) b) What is a Product? Anything we can offer to a market for attention, acquisition, use, or consumption that might satisfy a need or want. Physical Ideas Good & Servi Caus ce es Retail Place PRODUCT Outle t Peopl Sports Orga e ni- zatio n Source: Keller (2008) 34 Marketing Studies I What is a Brand?  Blind Beer Test Experiment A. DRINKER KNOWS WHAT HE IS B. DRINKER DOES NOT KNOW DRINKING WHAT HE IS DRINKING Source: Allison & Uhl (1964), JMR 37 Marketing Studies I What is a Brand? “A brand is more than a product, because it can have dimensions that differentiate it in some way from other products designed to satisfy the same need.” Kevin Lane Keller (2008) Marketing Studies I 38 What is a Brand?  Sign of recognition  Identification  Quality  Risk & Search Cost Reducer  Physical manifestation  Brand sign vs. brand name  Colors, typography  Psychological product  Symbolic device  Image in the mind of people  A set of values, shared by people 39 Marketing Studies I Types of Brands  National Manufacturer Brands  Retailer Brands Brands ≠ no brand  Generics 40 Marketing Studies I  https://app.wooclap.com/BP24A1  Which of these is NOT a brand? a) b) What is a Brand? “Name, term, sign, symbol, or design, or a combination of them, intended to identify the goods and services of one seller or group of seller and to differentiate them from those of Brand Elements competition.” (a brand’s physical manifestation) American Marketing Association “A brand is more than a product, because it can have dimensions that differentiate it in some way from other products designed to satisfy the same need.” Kevin Lane Keller (2008) 42 Marketing Studies I Brand Elements Brand Names & URLs Packagin Logos & g& Symbols Signage Brand Eleme nts Slogans Charact and ers Jingles Help marketers to increase brand awareness and create unique associations with a brand Marketing Studies I 43 Summary Why branding? – Customer vs. Financial Value What is a brand? – Sign of Recogniton – Physical Manifestation – Psychological Product How to build a brand? – Brand Elements 44 Marketing Studies I  Part 1b: Why Branding? From Customer to Financial Value 45 Marketing Studies I  Why branding? Q: Which brand do you prefer? 46 Marketing Studies I  Blind Cola Taste Experiment vs ? OPEN BLIND Prefer Pepsi 23% 51% Prefer Coke 65% 44% Equal/Can‘t say 12% 5% Source: Woolfolk, Castellan, & Brooks, 1983 47 Marketing Studies I  Intro: Brand Equity 48 Marketing Studies I  Brand Equity Brand Brand Brand Image Strength Valuation Brand Equity Causal Customer Orientation Firm Orientation 49 Marketing Studies I  Financial Brand Equity Financial BRAND EQUITY is the monetary value of a brand in terms of net revenues the brand is expected to generate over time, across all country markets. 50 Marketing Studies I  Financial Brand Equity Calculation According to Interbrand Role of Brand: Brand Strength: Ability to Comparison of brand to secure the expected delivery non-branded product of expected future earnings Balance sheet Primary research, expert Score from 0 to 100 panel, historical role of Benchmarked within industry brand Source: Interbrand (2011) 51 | Marketing Studies I  https://app.wooclap.com/BP24A1  Which are the world’s most valuable brands? a) b)  The World’s Most Valuable Brands 123 53 Source: Interbrand (2020) Marketing Studies I  https://www.youtube.com/watch?v=9_XWp5fnXKc Interbrand Ranking  Q: How to become the world’s most valuable brand? Marketing Studies I 55  Brand Equity Brand Brand Brand Image Strength Valuation Brand Equity Causal Customer Orientation Firm Orientation 56 Marketing Studies I  Customer-Based Brand Equity Customer BRAND EQUITY focuses on the differential effect of a brand on consumer response. It contains behavioral (e.g., loyalty) and image (e.g., affect and cognition) components. 57 Marketing Studies I  Customer-Based Brand Equity Stages of Brand Development Branding Objectives Relationships intensive, active (what about you relationships and me?) Consumer consumer Brand brand Resonance resonance positive, Responses accessible (what about you?) responses Consumer consumer Consumer consumer Judgments Feelings judgments feelings strong, favorable Meaning & unique brand (what are you?) Brand brand Brand brand associations Performance performance Imagery imagery Identity deep, broad (who are you?) Brand Salience brand salience brand awareness According to Keller Source: Keller (2008) 58 | Marketing Studies I (2008)  Brand Salience Consumer consumer Brand brand Resonance resonance Consumer consumer Consumer consumer Judgments judgments Feelings feelings Brand awareness/salience is related to the strength of the brand in Brand Performance Brand Imagery consumer’s memory brand salience Depth of brand awareness = likelihood that a brand element comes to mind – Ease of recognition and recall – Strength and clarity of category membership Source: Keller (2008) 59 Marketing Studies I  https://app.wooclap.com/BP24A1  Do you recognize the brand? a) b)  Q: Do You Recognize the Brand? Brand recognition: consumer’s ability to correctly discriminate the brand as having been seen or heard before 61 Marketing Studies I  Brand Recall  Which orange-juice brand Top of comes to your mind first? Mind  Which orange juice Unaided brands do you know? Recall  Which brands out of the Aided Recall following do you know?  I don‘t know that brand Unaware Brand recall: consumer’s ability to retrieve the brand form memory when given the product category, the needs fulfilled by the category, a purchase or consumption situation 62 Marketing Studies I  Exercise: Retail Alphabet Game http://www.joeykatzen.com/alpha/ver4/#gu ess 65 Marketing Studies I Exercise: Retail Alphabet Game  Team up with a 2nd person  Go to: https://tinyurl.com/ BRANDGAME24  Take 10 minutes to play the game (do NOT click on the "give me the answers button until the very end!)  After 10 mins, discuss in your team: - How many trademarks could you identify? - What distinguishes these trademarks from the others you could not identify? 66 Marketing Studies I  Brand Imagery Consumer consumer Brand brand Resonance resonance Consumer consumer Consumer consumer Imagery: “The way in which a productMeaning or Judgments judgments Feelings feelings / service attempts to meet customer’s Association Brand Performance Brand Imagery psychological or social needs” s brand salience 1. User profiles (perceived type of person or organization that uses the brand) 2. Personality and values 3. Purchase and usage situations (under what conditions brand typically bought & used?) 4. History, heritage and experiences (links with events in (personal) brand history e.g. colour, country-of-origin, competitive challenge) Source: Keller (2008) 67 Marketing Studies I  Q: What type of car do they Q: Which one would you marry? date? drive? John Peter 68 Marketing Studies I  Brand Performance Consumer consumer Brand brand Resonance resonance Consumer consumer Consumer consumer Judgments judgments Feelings feelings Performance: “The way in which a product Meaning / or service attempts to meet customer’s Brand brand Performance performance Brand Imagery Association functional needs” s brand salience 1. Beliefs about ingredients & features 2. Reliability (consistency performance over time & from purchase to purchase), durability (expected economic life), serviceability (perceived ease of service when repair needed) 3. Service effectiveness (how completely the brand satisfies service requirements) efficiency (manner of service delivery: speed, responsiveness) empathy (extent service providers seen as trusting, caring and having customers’ interests in mind) 4. Style & design (evaluation size, shape, materials, colour, sound, smell…) 5. Pricing policy (price segment,price volatility) Source: Keller (2008) 69 Marketing Studies I  https://www.youtube.com/watch?app=desktop&v=7ug8tHiR Coca Cola’a Secret Formula  Consumer Feelings Consumer consumer Brand brand Resonance resonance Consumer consumer Consumer consumer Judgments judgments Feelings feelings Feelings: “Emotional responses and reactions with respect to a brand … How does the brand affect customers’ Brand Performance Brand Imagery feelings about themselves and their relationships Emotional with others?” brand salience Responses 1. Warmth – soothing feelings (calm, peacefulness, sentimental, warm-warmhearted, affectionate) 2. Fun – upbeat feelings (amused, light-hearted, joyous, playful, cheerful) 3. Excitement – different upbeat feelings (energized, ‘experiencing sth. special’, cool sexy) 4. Security – safety, comfort, self-assurance 5. Social approval – positive feelings about the reactions of others 6. Self-respect –consumers feel better about themselves (pride, accomplishment, fulfillment) Source: Keller (2008) 71 Marketing Studies I  Consumer Judgements Consumer consumer Brand brand Resonance resonance Consumer consumer Consumer consumer Judgments judgments Feelings feelings Judgements: “Customers’ personal opinions and evaluations of the brand, based on the different Brand Performance Brand Imagery performance and imagery associations.” Rational brand salience Responses 1. Brand quality 2. Brand credibility (the extent to which the brand is seen as credible in terms of perceived expertise (competent, innovative, market leader…), trustworthiness (dependable, keeping customer interests in mind) and likeability (fun, interesting, worth spending time with) 3. Brand consideration (likelihood that customers will include it in their choice set) 4. Brand superiority (extent to which customers view the brand as unique and better than others) Source: Keller (2008) 72 Marketing Studies I  Consumer Resonance Consumer consumer Brand brand Resonance resonance Resonance: “extent to which customers Consumer consumer Judgments judgments Consumer consumer Feelings feelings feel ‘in sync’ with the brand.” Brand Brand Performance Imagery 1. Behavioral loyalty brand salience 2. Attitudinal attachment 3. Sense of community 4. Active engagement (ambassadorship, evangelism) Source: Keller (2008) 73 Marketing Studies I Exercise: Brand Equity of IKEA  Team up with a 2nd person  Imagine you are the newly appointed brand manager of IKEA  How would you improve brand equity? - Formulate at least one question and/or measure for each element in the pyramid  You have 10 minutes for the exercise  https://tinyurl.com/ BPPPTA1 74 Marketing Studies I  Exercise: IKEA How does IKEA build brand equity? Give at least 1 example for each Branding Objectives element of the pyramid! intensive, active relationships positive, accessible responses strong, favorable & unique brand associations deep, broad brand awareness 75 Marketing Studies I  Solution: Brand Equity of IKEA IKEA loyalty card Consumer consumer IKEA hackers Brand brand Resonance resonance good deal, convenient, fun, entertaining, socially good customer service, low quality Consumer consumer Consumer consumer accepted, DIY self-respect Judgments judgments Feelings feelings functional & diverse design Swedish image, family DIY, short-term home solution Brand brand Brand brand friendly, innovative & Performance performance Imagery imagery inspirational Depth: DYI furniture retailer Brand Salience brand salience Breadth: diverse products: Food & Decoration 76 Marketing Studies I  IKEA: How to stimulate WOM (Brand Resonance) 77 Marketing Studies I  Summary Brands deliver value to companies and Firms need to brand their consumers. products in order to break They serve as sign of through the clutter and recogniton, physical protect their business manifestation and psychological product Customer-based brand Financial brand equity equity refers to the measures this effect and differential effect of a indicates the monetary brand on consumer value of a brand response 78 Marketing Studies I  Homework!  Prepare for the Brand Pro Challenge !!! - Preview the simulation: https://brandpro2.stratxsimulations.com/ - Download & study the manual : 79 Marketing Studies I Thank you! Questions? [email protected] (Course Coordinator) YOUR EMAIL https://tinyurl.com/ BPPPTAP1