Skip to content Skip to sidebar Skip to footer

Complete and Comprehensive Guide on Brand Management

The equity of a company is not only derived from share ownership, but also from a brand owned and patented by a company. That is why, brand management is important to the company.

A company, generally engaged in the field of commodity production certainly has a number of brands that later became the image of the company. Broadly speaking, brand can be a very valuable asset for the company which is then used in a number of its products, for the purpose of captivating consumers.

A brand that captures the hearts of consumers is the brand or trademark of a product that users benefit from, and most importantly, a memorable name.

Brand serves to represent the commodities produced by a company. A company is required to provide strategic measures to build a brand. The strategic steps of brand building are usually broken down into brand management.

Contextually, or seen from the general condition of modern commerce, the present state boundary is not an obstacle because globalization has penetrated the wall that limits the scope of trade between countries. Due to these conditions, the competition between companies is getting tighter because there are a lot of products launched in one category, and each of the homepage aims to meet consumer needs.

The consequences of globalization bring many new brands that compete to get a place in the hearts of consumers.

In short, many eminent brands are the primary choice of consumers but many others simply become a name that meets market quotas but does not succeed in becoming a desired brand of consumers.

Under such conditions, it is not surprising that consumers face a large selection of commodities, though only a few brands are truly capable of meeting their needs. The strategic position of a brand management can be seen from the role of various communication channels such as advertisements in offering promises and claims to consumers related to the brand of a product produced by a particular company.

The success of a company in managing brand management makes the products they produce have distinct, sustainable, and more valuable distinct characteristics in the eyes of consumers.

When a brand already has the captivating power, then consumers will consider their selection on the brand. This is the concrete result that can arise from the brand management work. So, what are the strategies to be considered by those who handle brand management?

Brand Management Strategy: A Definition

In the business world, the strategic position of brand management is placed in an area where strategy serves as a general who gives command and leads the troops. The general led with the intention that the troops he led could win the battle in certain war zones. Such an analogy, if applied in the business world, can be seen from the CEO's strategic position (Chef Execituve Officers).

CEOs are people who run a company or an organization's wheels in order to achieve predetermined goals. So it is clear that a brand issued by the company is a concrete form of mission, vision, and goals that a company wants to achieve.

Furthermore, the brand management strategy is defined as an integrated, integrated, and broad-based plan that, in many respects, takes into account the environmental conditions in which the company operates.

The draft strategy is intended to ensure that the company's main objectives can be achieved through appropriate operational rules. From this second definition, it can be seen that the brand management strategy is an integrated, comprehensive, and comprehensive unified plan, whose results are directed towards achieving the overall corporate objectives.

In the formulation of brand management strategy, known three important activities, namely strategy implementation, strategy formulation, and also strategy analysis.

Another definition mentions that in brand management strategies, managerial decisions are needed, in addition to activities that determine the success of a particular brand so that it can be more accepted by the public. Therefore, three activities are known, namely evaluation, implementation / implementation, and strategy formulation / planning.

Of the several definitions mentioned above, brand management strategy is about how a leader chooses the best strategy alternative for the company as well as the organization.

Existing alternative strategies must be able to support the company's business continuously, and viewed as a whole: to be flexible and in line with the demands of environmental conditions found in the field.

We can say that brand management strategy is very important for a company, for the following reasons:
• Related to effectiveness and efficiency.
• Be able to anticipate any kind of changes that arise.
• Help to think about the interests of various parties.
• And within a broader scope: provide a useful direction for the company.

Read also: Defining Brand Leadership: 12 Ways To Achieve Brand Leadership

Brand management as a promise to consumers

When you enjoy a product advertisement of a particular brand, you will read or hear many promises that are believed to be inherent in a product. For example, Smartphones that understand your daily routine.

In many ways, the brand is a promise as well, spoken and written through advertising and a vow to be fulfilled by the manufacturer of the product brand.

Of course you already understand that making a promise is an easy thing, although keeping the promise becomes a difficult thing. One of the main functions of a brand - apart from being a differentiator - is that it has to carry out a promise and contains the things promised by the advertising associated with the product.

Strategic position of brand management can be seen, among others, from the brand function to buyers. There are several brand functions that are useful for buyers / consumers, among them are:

1) Reduce search costs because consumers get to know certain products quickly and with accurate results.

2) Reduce the risk felt by most buyers. For example: a product with brand AGY is a brand that promises consistency and quality.

3) Reduce the psychological and social risks. This is related to incorrect usage and product selection, which is easy to find if the buyer chooses the wrong brand. A reputable brand usually provides a psychological safety reward because it has a strong prestige and status.

As for the seller, a brand has several functions, among others:

1) A channel for introducing new and innovative products.
2) Brand is an effective promotion because of its focus.
3) Ownership of the premium price of a product that does not depend on basic economic laws.
4) Able to form market segment.
5) And able to form loyalty to customers or consumers.

Brand role for a Company

Brand on the surface is just a name to distinguish a product with other similar products. That is, a "XYZ" phone issued by company X of course has a difference with mobile phone "XXX" issued by the company Y.

Along with the development of the business world and management, brand not only acts as a differentiator, but also a symbol that sustains the image of the company.

In detail can be called that the name of a brand has become a tool for companies to maintain and develop customer loyalty. As a distinction between a category of similar products, the brand becomes a symbol to identify the services or goods of a particular group.

The differentiator that a brand brings is not just a name, but also about the specifications, advantages, and also the facilities brought by a particular brand. The name attached to a brand can develop its rules, which are generally influenced by external or internal changes.

Brand is an indicator of value (value) in which the benefits (get) obtained by customers divided by the give (give) given by them. In short, the price to pay determines the propriety or quality of a brand.

At first brand or trademark is just a name to distinguish, on the next development of the brand can be a name that is considered to represent an object after that brand is considered as a symbol and then develop into an image.

Brand is a means for companies to develop and maintain customer loyalty.

AAker's brand is a distinguishing name or symbol (such as a stamped or packed logo) to identify the goods or services of a particular seller or sales group and distinguish them from the goods or services produced by competitors. Brand development is further influenced by both internal and external changes.

Brand is an indicator of value offered by the company to the customer. Brand is an asset that creates value where the value as total get or all benefits obtained by the customer divided by the total give or all the sacrifices provided by the customer. So, the formula is: value = total get: total give.
We need to elaborate the formula further. First the total get is not just a term, but a basic count that includes two components, namely:

a) The emotional benefits that customers receive, in the form of feelings and emotions stimulation.
b) Functional benefits that are directly related to concrete functions owned or carried by a product.

While the total give includes several components, namely:

a) The price a consumer pays for a product of a particular brand.
b) And other costs that may arise as long as the customer consumes and also uses the product of the particular brand he bought.

We have seen four major components that intrinsically determine the power of a brand. The first conclusion, those who are very strong are names that are emotionally and functionally have certain benefits, which the other party judged by the price and other costs that he must pay.

A brand must generate the ratio between total give and total get as big as possible. Customer loyalty and satisfaction is measured by the quality of value offered by a particular brand released by a company.

Another function of a brand issued by a company can be identified through its role in helping a product escape the commodity nature of a brand, thus enabling the greatest service or product of the basic rules of the supply and demand curve.
It can be concluded that an attractive brand, with a strong price, you disqualify a competitor who issued another brand from the same category of goods.

Strategy in Building Strong Brand

After discussing the definition of brand management strategy, it is time to talk about how to build a strong and famous brand strategy. The first thing to do in managing brand quality is to build a framework to sustain marketing management performance.

The marketing framework of its form can vary, and from one to the other can be very different from its framework. However, one of the main foundations to consider is the creation of a framework that humanizes the customer.

'To humanize the customer' means here that the customer must be subject and not the object of the company.

The marketing management framework should also be based on future-oriented vision and objectives, in the sense that it must be able to design a plan that will foster long-term relationships with consumers, so they feel satisfied, and ultimately will contribute to the welfare of stakeholders.

Therefore, the mindset for the development of a marketing management framework should rest on three key platforms:

1) The movement that became the foundation for aligning itself with the changing dynamics of demand and also to answer the competition with other parties.

2) Concern that is accompanied by the main concern is provided by innovating in the field of managerial, service or product, and also in the field of strategy.

3) Innovation in managerial and strategic fields will result in highly innovative products or services, and this is a value-added process. The ability to innovate through a brand will ensure the emergence of a sense of satisfaction to the customer, which in turn will foster trust and long-term loyalty.
Above we have talked a lot about the issues of consumer satisfaction that will lead to long-term, sustainable, and full relationships with consumer trust and loyalty. A certain amount is required to realize all these things.

Bring consumer loyalty and trust

Strong brand management can achieved the consumer loyalty and trust. There are 9 strategic values, 3 development values, and 5 delivery values needed to bring consumer loyalty and trust.

The nine strategic values are:

1) Stakeholders Described a fruit of success in which the welfare of stakeholders is not only useful for shareholders, but also for the overall elements in companies such as employees, and even more consumers who are bound by a particular product brand. That's why it takes a thorough approach to marketing and business.

2) service interpreted as an added value derived from a certain product brand, which is then delivered to customers who buy the product. Value added is intended so that the expectations and needs of consumers are met.

To note is the quality of internal services must be well designed, so it will not interfere with the process of forming value-added. Poor internal services will affect the final quality of a particular product brand given to customers.

3) Strategy: This relates to the design of objectives that are specifically spelled out in marketing programs, actions, and planning, which should be made in a particular context, namely Business-Corporate Marketing. A wholly integral approach must be used so that the gears between the three contexts work well.

4) Segmentation: It deals with the strategic tools used to convey the added value customers acquire when buying a particular product brand.

Mapping is clearly needed to know the ins and outs of consumers and their needs. Thus, segmentation is a way of selecting the targeted area. Mapping is done by first selecting the market and dividing it into specific groups and then assigning identity to each group.

This way allows a company to map the distribution of groups and then find out about group differences when compared to other segments of the group. Knowing clearly mapping patterns helps companies develop efficient brand marketing techniques to reach specific segments.

5) Solution: A certain product brand not only gives big name, but also solution which is expected to solve problem faced by consumer and also able to fulfill their requirement.

Solutions are not only defined in this way, but are also defined as unexpected surprises that may be obtained in the supply domain. To get a solution, a company must make a consultative approach, so that he can find the root of the problem being faced by consumers.

6) Strike: The market is an arena of warfare, where competition and market dynamics arise. A company that manages a particular product brand must be able to implement innovative measures, attacking certain markets with specific strategies to meet consumer needs.

7) surprise: Innovative action or steps often serve as a surprise. This can shock the market, and simultaneously meet consumer expectations for a particular product brand that brings innovation in it.

8) System: System development requires the right combination of intuition forecast and effort. This combination is thought to be based on rational risk management considerations.

9) Shake: Any type of marketing activity related to a particular product brand must be run by integrating it systematically so that victory can be achieved.

The 3 development values, consist of

1) Newness: In the business of brand development, not only required the modification of the concept, but also innovation supported by creativity.
2) Nourishment: This is related to the application of relationship marketing where network maintenance becomes the spearhead
3) Networking: This relates specifically to how a network expansion program is established and applied.

5 values of delivery

1) Competence: It deals with the focus in brand marketing management that requires skills in communicating effectively and interpersonally.

2) Customer: It means the same as consumer-oriented activities. Consider the customer as king, as well as consider brand marketing activities as something similar to consulting activities.

3) Competition: This means that what is delivered must be competitive, and different in the sense of speed and image built around certain product brands.

4) Convenience: Namely a variety of basic rules that must be applied so that customers feel comfortable when using a specific product brand.

5) Care: This means the company has a concern in terms of community development and has a strong desire to satisfy the buyer's expectations.

Taking into account all the values described above, a company can get an important reference for approaching consumers.

In the approach to consumers, the most important is to have an understanding of the consumer's decision-making process and how consumers react to a particular product. Furthermore, all kinds of strategic decisions are at the business level, in corporate hands, and decisions are made on the marketing strategy of a particular product brand.

In order for the brand to attract the attention of consumers, it takes a lot of image creation program and segmentation-targeting-positioning.

Both programs are based on concepts such as capability-core-consistency. As seen from the name of the concept, the most important is consistency in terms of ability to improve while maintaining the quality of a product, as well as the value of delivery to consumers.

In short, in building the quality of a brand or trademark, a company needs a solid strategy.

To build such a robust strategy, it is necessary to see the market creatively, and to divide the market into several segments.

There are measures to consider when defining a market segment:

1) What are the advantages possessed by the brand that wants to be marketed.
2) The competitive situation in the targeted market segment
3) Growth of targeted market segment
4) The size of the target market.

After assessing and considering the four measures above, what needs to be done next is to establish the brand position. The market is a place where various brands of products sold and consumers will definitely feel confused when choosing the right product.
That's why brand management becomes very important. A company must immediately place the brand position, communicate the value that diusungnya (which shows the benefits of the brand compared to products of the same category), thus formed the reason why consumers should choose a brand that worked by the company.

After positioning the brand in the midst of broad consumers, what must be done then is to give a personality identity.

The point is, a particular product brand must have a unique personality, so it has an identity, and about in the hearts of consumers targeted by the company. In general it can be said that the brand of a product has a number of characteristics that distinguish it with other similar products. Determining a unique identity becomes a way for a brand to hit the heart of a targeted consumer.

In order to have a strong identity, a brand needs consistency in terms of communicating the brand personality. This will help in terms of positioning the brand in the middle of a market that fits.

When a consumer knows a brand, and gives a certain impression to it, then the brand can be associated with a number of attributes inherent in the brand, and also inherent in the memory of consumers. However, this is not without obstacles.

One of the biggest obstacles to communicating the identity and personality of a particular product brand is: what the company wants to communicate is not necessarily perceived as intended.

This happens for example when a company wants consumers to think that they can get the ease of managing documents using GHI Smartphone from manufacturer J, but it turns out consumers do not think as desired by the J company.

The biggest challenge of brand management revolves around how the conception and brand identity presented to consumers can be perceived as desired by the company.

The mind of the consumer is the most important thing, and this is influenced by how the identity and personality of the brand designed by the manufacturer, so that in the end the brand can provide great benefits for producers.

That's why a company must manage its brand portfolio continuously so that the brand can stay competitive in the market in terms of winning the hearts and interests of consumers, and thus the brand can compete in a very tight product market. D

nature of brand portfolio management or trademark owned, there are several things to note:

1) Deciding the market to be addressed in accordance with the aspirations and brand competitiveness.
2) How far a brand can go. In a sense: how much popularity a brand has.
3) Meeting the two things mentioned above, while thinking about achieving business goals to build the company.

How to build brand identity?

It has been said above that a brand is a symbol, name, sign, or design that is shaped in such a way as to introduce the services or goods produced by a particular company. That's why the name of a brand should be pronounced easily.

In addition, brand marks are an intrinsic part of a brand that can be visually recognized but can not be pronounced.

This is derived from the use of distinctive letters, colors, designs and symbols. To build a brand identity, the company should pay attention to several things below:

1) Brand equipments, in the sense of using more than one brand working under one roof. You can take an example on the Samsung issued a series of laptops (VITA), Smartphone (Galaxy series), and so forth.

2) The driving force, which makes the attraction through a well-known brand that is essentially a way to attract new people and to invite old customers to more interact with products that carried by the brand.

3) The conditions that encourage the naming of a brand must pay attention to several things, among which demand for products is large, have a quality standard that is easy to maintain, has a product with high perception value, and has a product that is easily recognizable.

4) Recognize that the product will be more easily recognizable if it has a brand name that: describes the benefits and quality of the product, easy to pronounce its brand name, has a unique name, easily translated into various foreign languages, if in the future want to melanukan brand expansion, have legal protection.

5) Have a product that has a high perception value. In this case, a brand name will be qualified in line with the quality of the product perceived through it.

6) A product must have a brand name with standards and quality that is very easy to maintain, both in value and legally.

Because that's why it's important for a company to start considering brand names that reflect the quality of the products it sells.
As mentioned above, the brand name is an oral and verbal promise filed through advertising and other marketing modes. It is therefore important for a company to choose a name that reflects the quality of the product it creates.

Nevertheless, the problem is not solved only in the realm of brand name. There are many challenges to be faced by companies that have issued brand names for the products they produce.

These challenges that must then be faced and managed well so that brand names that have been formed have the quality commensurate with what was promised. The following paragraphs will explain more about the challenges that must be faced to maintain the brand name quality.

Challenges in brand management

There are many challenges to be faced by those who intend to shape the personality and identity of a brand. Challenges come from external and internal factors, including:

1) Fragmented markets that are difficult to analyze and tend to change at any time. This point also calculates other factors such as offering media.

2) The pressure of intense competition, and also the level of price competition is strong, between one brand with another brand.
3) The strategy carried, which is very complex and rely on partnership.
4) Innovation and deviation.
5) Short-term pressure.
6) And other investment pressure.

These six things, however, are common factors that can be very influential in the business of personality building and the identity of a brand. Similarly, in the chain of brand management, the six should be incorporated into the management strategy, with the intention that a company can anticipate changes in the business field.

Maintaining the Identity and Personality of a Brand

Once the personality and identity of a brand is obtained, the next thing to do is to keep it. The image of a brand may decrease in quality, and this is what the company should anticipate.

If there is a service failure associated with a particular brand, a company must immediately conduct a service improvement program. Immediate service improvements can keep consumers from running, turning to other brands.

From the explanation above, the image of a brand can of course be categorized as an entity, or a very fragile asset.

Brand must be built, and the building must be maintained from time to time because the image of a brand can be destroyed instantly even in just one night.

There is a kind of explosion event that can undermine the image building of a brand of a particular product and finish it down to the root, therefore it is important for a company to maintain the brand image of the product it manages.

The fragile side of the brand is called the dark side of brand equity. To save a brand image that has been destroyed, there are three principles that must be done.

1) Innovate and rediscover to be relevant in targeted markets.
2) Focusing on the consumer.
3) Reshuffle the company / organization to really have a business orientation.

In addition to the above three principles, several advanced principles must be considered, including:

1) Make the most of your time.
2) Pay attention to the potential that is around.
3) Strengthen the team's foundation.

A brand of a particular product that has fallen its image can be improved, with the company having a clear vision of how the product will be managed and able to meet the needs of the consumer as much as possible. The person managing a corporation with a global brand must keep the product of a certain brand from falling off its reputation.

So, what do you get from this brand management lesson?

Those who work to build personality and brand identity must be aware that the building can not be built for a day. Building a brand equity takes a long time, and if it can be built it will bring many benefits and benefits, among which prices are above the average competitor.

Having a strong brand equity means that a company can escape the underlying economic laws that the price of a product will go down as the offer increases, and vice versa.

Strong brands are not dependent on the basic economic laws that apply. The price of a prestige product brand depends on the value of a brand, which in many ways is represented by its personality and identity.

In closing, it is clear that the equity of a strong brand or trade will greatly help the company to expand its brand, and then try to enter a new market niche never before imagined.

Utilization of new niche is useful to increase income, and closer the company with customers. The strategic position of brand management can be seen from such things.