Hubbry Logo
BrandBrandMain
Open search
Brand
Community hub
Brand
logo
8 pages, 0 posts
0 subscribers
Be the first to start a discussion here.
Be the first to start a discussion here.
Brand
Brand
from Wikipedia
Photograph of the Apple Store Omotesando in Tokyo, Japan
Apple Inc. is the world's most valuable brand in 2024 according to Brand Finance.[1]
The Coca-Cola wordmark is a distinctive brand logo used to attract the attention of people attending a sporting event, or watching it on television.

A brand is a name, term, design, symbol or any other feature that distinguishes one seller's goods or service from those of other sellers.[2][3][4][5] Brands are used in business, marketing, and advertising for recognition and, importantly, to create and store value as brand equity for the object identified, to the benefit of the brand's customers, its owners and shareholders.[6] Brand names are sometimes distinguished from generic or store brands.

The practice of branding—in the original literal sense of marking by burning—is thought to have begun with the ancient Egyptians, who are known to have engaged in livestock branding and branded slaves as early as 2,700 BCE.[7][8] Branding was used to differentiate one person's cattle from another's by means of a distinctive symbol burned into the animal's skin with a hot branding iron. If a person stole any of the cattle, anyone else who saw the symbol could deduce the actual owner. The term has been extended to mean a strategic personality for a product or company, so that "brand" now suggests the values and promises that a consumer may perceive and buy into. Over time, the practice of branding objects extended to a broader range of packaging and goods offered for sale including oil, wine, cosmetics, and fish sauce and, in the 21st century, extends even further into services (such as legal, financial and medical), political parties and people's stage names.

In the modern era, the concept of branding has expanded to include deployment by a manager of the marketing and communication techniques and tools that help to distinguish a company or products from competitors, aiming to create a lasting impression in the minds of customers. The key components that form a brand's toolbox include a brand's identity, personality, product design, brand communication (such as by logos and trademarks), brand awareness, brand loyalty, and various branding (brand management) strategies.[9] Many companies believe that there is often little to differentiate between several types of products in the 21st century, hence branding is among a few remaining forms of product differentiation.[10]

Brand equity is the measurable totality of a brand's worth and is validated by observing the effectiveness of these branding components.[11] When a customer is familiar with a brand or favors it incomparably over its competitors, a corporation has reached a high level of brand equity.[11] Brand owners manage their brands carefully to create shareholder value. Brand valuation is a management technique that ascribes a monetary value to a brand.

Etymology

[edit]

The word brand, originally meaning a burning piece of wood, comes from a Middle English brand, meaning "torch",[12][13] from an Old English brand.[14] It became to also mean the mark from burning with a branding iron.[12]

History

[edit]
In pre-literate society, the distinctive shape of amphorae provided potential customers with information about goods and quality. Pictured: Amphorae for wine and oil, Archaeological Museum of Dion.

Branding and labeling have an ancient history. Branding probably began with the practice of branding livestock to deter theft. Images of the branding of cattle occur in ancient Egyptian tombs dating to around 2,700 BCE.[15] Over time, purchasers realized that the brand provided information about origin as well as about ownership, and could serve as a guide to quality. Branding was adapted by farmers, potters, and traders for use on other types of goods such as pottery and ceramics. Forms of branding or proto-branding emerged spontaneously and independently throughout Africa, Asia and Europe at different times, depending on local conditions.[16] Seals, which acted as quasi-brands, have been found on early Chinese products of the Qin dynasty (221–206 BCE); large numbers of seals survive from the Harappan civilization of the Indus Valley (3,300–1,300 BCE) where the local community depended heavily on trade; cylinder seals came into use in Ur in Mesopotamia in around 3,000 BCE, and facilitated the labelling of goods and property; and the use of maker's marks on pottery was commonplace in both ancient Greece and Rome.[16] Identity marks, such as stamps on ceramics, were also used in ancient Egypt.[17]

Diana Twede has argued that the "consumer packaging functions of protection, utility and communication have been necessary whenever packages were the object of transactions".[18] She has shown that amphorae used in Mediterranean trade between 1,500 and 500 BCE exhibited a wide variety of shapes and markings, which consumers used to glean information about the type of goods and the quality. The systematic use of stamped labels dates from around the fourth century BCE. In largely pre-literate society, the shape of the amphora and its pictorial markings conveyed information about the contents, region of origin and even the identity of the producer, which were understood to convey information about product quality.[19] David Wengrow has argued that branding became necessary following the urban revolution in ancient Mesopotamia in the 4th century BCE, when large-scale economies started mass-producing commodities such as alcoholic drinks, cosmetics and textiles. These ancient societies imposed strict forms of quality-control over commodities, and also needed to convey value to the consumer through branding. Producers began by attaching simple stone seals to products which, over time, gave way to clay seals bearing impressed images, often associated with the producer's personal identity thus giving the product a personality.[20] Not all historians agree that these markings are comparable with modern brands or labels, with some suggesting that the early pictorial brands or simple thumbprints used in pottery should be termed proto-brands[21] while other historians argue that the presence of these simple markings does not imply that mature brand management practices operated.[22]

Amphorae bearing a titulus pictus and potters' stamps, found at Monte Testaccio

Scholarly studies have found evidence of branding, packaging, and labeling in antiquity.[23][24] Archaeological evidence of potters' stamps has been found across the breadth of the Roman Empire and in ancient Greece. Stamps were used on bricks, pottery, and storage containers as well as on fine ceramics.[25] Pottery marking had become commonplace in ancient Greece by the 6th century BCE. A vase manufactured around 490 BCE bears the inscription "Sophilos painted me", indicating that the object was both fabricated and painted by a single potter.[26] Branding may have been necessary to support the extensive trade in such pots. For example, 3rd-century Gaulish pots bearing the names of well-known potters and the place of manufacture (such as Attianus of Lezoux, Tetturo of Lezoux and Cinnamus of Vichy) have been found as far away as Essex and Hadrian's Wall in England.[27][28][29][30] English potters based at Colchester and Chichester used stamps on their ceramic wares by the 1st century CE.[31] The use of hallmarks, a type of brand, on precious metals dates to around the 4th century CE. A series of five marks occurs on Byzantine silver dating from this period.[32]

Copper printing-plate including the White Rabbit trademark of Jinan Liu's Fine Needles Shop, Chinese, Song Dynasty (960–1127 CE)

Some of the earliest use of maker's marks, dating to about 1,300 BCE, have been found in India.[15] The oldest generic brand in continuous use, known in India since the Vedic period (c. 1100 BCE to 500 BCE), is the herbal paste known as chyawanprash, consumed for its purported health benefits and attributed to a revered rishi (or seer) named Chyawan.[33] One well-documented early example of a highly developed brand is that of White Rabbit sewing needles, dating from China's Song dynasty (960 to 1127 CE).[34][35] A copper printing plate used to print posters contained a message which roughly translates as: "Jinan Liu's Fine Needle Shop: We buy high-quality steel rods and make fine-quality needles, to be ready for use at home in no time."[36] The plate also includes a trademark in the form of a 'White Rabbit", which signified good luck and was particularly relevant to women, who were the primary purchasers. Details in the image show a white rabbit crushing herbs, and text includes advice to shoppers to look for the stone white rabbit in front of the maker's shop.[37]

Roman oil lamp, showing underside with maker's mark. Museo Bellini

In ancient Rome, a commercial brand or inscription applied to objects offered for sale was known as a titulus pictus. The inscription typically specified information such as place of origin, destination, type of product and occasionally quality claims or the name of the manufacturer.[38] Roman marks or inscriptions were applied to a very wide variety of goods, including, pots, ceramics, amphorae (storage/shipping containers)[21] and on factory-produced oil-lamps.[39] Carbonized loaves of bread, found at Herculaneum, indicate that some bakers stamped their bread with the producer's name.[40] Roman glassmakers branded their works, with the name of Ennion appearing most prominently.[41]

Mosaic showing garum container, from the house of Umbricius Scaurus of Pompeii. The inscription, which reads "G(ari) F(los) SCO(mbri) SCAURI EX OFFI(CI)NA SCAURI", has been translated as: "The flower of garum, made of the mackerel, a product of Scaurus, from the shop of Scaurus"

One merchant that made good use of the titulus pictus was Umbricius Scaurus, a manufacturer of fish sauce (also known as garum) in Pompeii, c. 35 CE. Mosaic patterns in the atrium of his house feature images of amphorae bearing his personal brand and quality claims. The mosaic depicts four different amphora, one at each corner of the atrium, and bearing labels as follows:[42]

1. G(ari) F(los) SCO[m]/ SCAURI/ EX OFFI[ci]/NA SCAU/RI (translated as: "The flower of garum, made of the mackerel, a product of Scaurus, from the shop of Scaurus")
2. LIQU[minis]/ FLOS (translated as: "The flower of Liquamen")
3. G[ari] F[los] SCOM[bri]/ SCAURI (translated as: "The flower of garum, made of the mackerel, a product of Scaurus")
4. LIQUAMEN/ OPTIMUM/ EX OFFICI[n]/A SCAURI (translated as: "The best liquamen, from the shop of Scaurus")

Scaurus' fish sauce was known by people across the Mediterranean to be of very high quality, and its reputation traveled as far away as modern France.[42] In both Pompeii and nearby Herculaneum, archaeological evidence also points to evidence of branding and labeling in relatively common use across a broad range of goods. Wine jars, for example, were stamped with names, such as "Lassius" and "L. Eumachius"; probably references to the name of the producer.

Back section of a bracelet clasp with a hallmark of Hunnish craftsmanship, early 5th century

The use of identity marks on products declined following the fall of the Roman Empire. In the European Middle Ages, heraldry developed a language of visual symbolism which would feed into the evolution of branding,[43] and with the rise of the merchant guilds the use of marks resurfaced and was applied to specific types of goods. By the 13th century, the use of maker's marks had become evident on a broad range of goods. In 1266, makers' marks on bread became compulsory in England.[44] The Italians used brands in the form of watermarks on paper in the 13th century.[45] Blind stamps, hallmarks, and silver-makers' marks—all types of brand—became widely used across Europe during this period. Hallmarks, although known from the 4th-century, especially in Byzantium,[46] only came into general use during the Medieval period.[47] British silversmiths introduced hallmarks for silver in 1300.[48]

Bass Brewery's logo became the first image to be registered as a trademark in the UK, in 1876.

Some brands still in existence as of 2018 date from the 17th, 18th, and 19th centuries' period of mass-production. Bass Brewery, the British brewery founded in 1777, became a pioneer in international brand marketing. Many years before 1855, Bass applied a red triangle to casks of its pale ale. In 1876, its red-triangle brand became the first registered trademark issued by the British government.[49] Guinness World Records recognizes Tate & Lyle (of Lyle's Golden Syrup) as Britain's, and the world's, oldest branding and packaging, with its green-and-gold packaging having remained almost unchanged since 1885.[50] Twinings tea has used the same logo – capitalized font beneath a lion crest – since 1787, making it the world's oldest in continuous use.[51][52]

A tin of Lyle's Golden Syrup, first sold in London in 1885. Recognised by Guinness World Records as having the world's oldest branding and packaging.[53]

A characteristic feature of 19th-century mass-marketing was the widespread use of branding, originating with the advent of packaged goods.[15] Industrialization moved the production of many household items, such as soap, from local communities to centralized factories. When shipping their items, the factories would literally brand their logo or company insignia on the barrels used, effectively using a corporate trademark as a quasi-brand.[54]

Factories established following the Industrial Revolution introduced mass-produced goods and needed to sell their products to a wider market—that is, to customers previously familiar only with locally produced goods.[55] It became apparent that a generic package of soap had difficulty competing with familiar, local products. Packaged-goods manufacturers needed to convince the market that the public could place just as much trust in the non-local product. Gradually, manufacturers began using personal identifiers to differentiate their goods from generic products on the market. Marketers generally began to realize that brands, to which personalities were attached, outsold rival brands.[56] By the 1880s, large manufacturers had learned to imbue their brands' identity with personality traits such as youthfulness, fun, sex appeal, luxury or the "cool" factor. This began the modern practice now known as branding, where the consumers buy the brand instead of the product and rely on the brand name instead of a retailer's recommendation.

The process of giving a brand "human" characteristics represented, at least in part, a response to consumer concerns about mass-produced goods.[57] The Quaker Oats Company began using the image of the Quaker Man in place of a trademark from the late 1870s, with great success.[58] Pears' soap, Campbell's soup, Coca-Cola, Juicy Fruit chewing gum and Aunt Jemima pancake mix were also among the first products to be "branded" in an effort to increase the consumer's familiarity with the product's merits. Other brands which date from that era, such as Ben's Original rice and Kellogg's breakfast cereal, furnish illustrations of the trend.

The Quaker Company was one of the earliest to use a character on its packaging, branding, and advertising. Pictured: The Quaker Man, c. 1900

By the early 1900s, trade press publications, advertising agencies, and advertising experts began producing books and pamphlets exhorting manufacturers to bypass retailers and to advertise directly to consumers with strongly branded messages. Around 1900, advertising guru James Walter Thompson published a housing advertisement explaining trademark advertising. This was an early commercial explanation of what scholars now recognize as modern branding and the beginnings of brand management.[59] This trend continued to the 1980s, and as of 2018 is quantified by marketers in concepts such as brand value and brand equity.[60] Naomi Klein has described this development as "brand equity mania".[61] In 1988, for example, Philip Morris Companies purchased Kraft Foods Inc. for six times what the company was worth on paper. Business analysts reported that what they really purchased was the brand name.

With the rise of mass media in the early 20th century, companies adopted techniques that allowed their messages to stand out. Slogans, mascots, and jingles began to appear on radio in the 1920s and in early television in the 1930s. Soap manufacturers sponsored many of the earliest radio drama series, and the genre became known as soap opera.[62]

By the 1940s, manufacturers began to recognize the way in which consumers had started to develop relationships with their brands in a social/psychological/anthropological sense.[63] Advertisers began to use motivational research and consumer research to gather insights into consumer purchasing. Strong branded campaigns for Chrysler and Exxon/Esso, using insights drawn from research into psychology and cultural anthropology, led to some of the most enduring campaigns of the 20th century.[64] Brand advertisers began to imbue goods and services with a personality, based on the insight that consumers searched for brands with personalities that matched their own.[65][66]

Concepts

[edit]

Effective branding, attached to strong brand values, can result in higher sales of not only one product, but of other products associated with that brand.[67] If a customer loves Pillsbury biscuits and trusts the brand, he or she is more likely to try other products offered by the company – such as chocolate-chip cookies, for example. Brand development, often performed by a design team, takes time to produce.

Brand names and trademarks

[edit]
Coca-Cola is a brand name, while the distinctive Spencerian script and the contour bottle are trademarked.

A brand name is the part of a brand that can be spoken or written and identifies a product, service or company and sets it apart from other comparable products within a category. A brand name may include words, phrases, signs, symbols, designs, or any combination of these elements. For consumers, a brand name is a "memory heuristic": a convenient way to remember preferred product choices. A brand name is not to be confused with a trademark which refers to the brand name or part of a brand that is legally protected.[68] For example, Coca-Cola not only protects the brand name, Coca-Cola, but also protects the distinctive Spencerian script and the contoured shape of the bottle.

Corporate brand identity

[edit]

Brand identity is a collection of individual components, such as a name, a design, a set of images, a slogan, a vision, writing style, a particular font or a symbol etc. which sets the brand aside from others.[69][70] For a company to exude a strong sense of brand identity, it must have an in-depth understanding of its target market, competitors and the surrounding business environment.[9] Brand identity includes both the core identity and the extended identity.[9] The core identity reflects consistent long-term associations with the brand; whereas the extended identity involves the intricate details of the brand that help generate a constant motif.[9]

According to Kotler et al. (2009), a brand's identity may deliver 4 levels of meaning:

  1. attributes
  2. benefits
  3. values
  4. personality

A brand's attributes are a set of labels with which the corporation wishes to be associated. For example, a brand may showcase its primary attribute as environmental friendliness. However, a brand's attributes alone are not enough to persuade a customer into purchasing the product.[69] These attributes must be communicated through benefits, which are more emotional translations. If a brand's attribute is being environmentally friendly, customers will receive the benefit of feeling that they are helping the environment by associating with the brand. Aside from attributes and benefits, a brand's identity may also involve branding to focus on representing its core set of values.[69] If a company is seen to symbolize specific values, it will, in turn, attract customers who also believe in these values.[65] For example, Nike's brand represents the value of a "just do it" attitude.[71] Thus, this form of brand identification attracts customers who also share this same value. Even more extensive than its perceived values is a brand's personality.[69] Quite literally, one can easily describe a successful brand identity as if it were a person.[69] This form of brand identity has proven to be the most advantageous in maintaining long-lasting relationships with consumers, as it gives them a sense of personal interaction with the brand [72] Collectively, all four forms of brand identification help to deliver a powerful meaning behind what a corporation hopes to accomplish, and to explain why customers should choose one brand over its competitors.[9]

Brand personality

[edit]

Brand personality refers to "the set of human personality traits that are both applicable to and relevant for brands."[73] Marketers and consumer researchers often argue that brands can be imbued with human-like characteristics which resonate with potential consumers.[74] Such personality traits can assist marketers to create unique, brands that are differentiated from rival brands. Aaker conceptualized brand personality as consisting of five broad dimensions, namely: sincerity (down-to-earth, honest, wholesome, and cheerful), excitement (daring, spirited, imaginative, and up to date), competence (reliable, intelligent, and successful), sophistication (glamorous, upper class, charming), and ruggedness (outdoorsy and tough).[75] Subsequent research studies have suggested that Aaker's dimensions of brand personality are relatively stable across different industries, market segments and over time. Much of the literature on branding suggests that consumers prefer brands with personalities that are congruent with their own.[76][77]

Consumers may distinguish the psychological aspect (brand associations like thoughts, feelings, perceptions, images, experiences, beliefs, attitudes, and so on that become linked to the brand) of a brand from the experiential aspect. The experiential aspect consists of the sum of all points of contact with the brand and is termed the consumer's brand experience. The brand is often intended to create an emotional response and recognition, leading to potential loyalty and repeat purchases. The brand experience is a brand's action perceived by a person.[78] The psychological aspect, sometimes referred to as the brand image, is a symbolic construct created within the minds of people, consisting of all the information and expectations associated with a product, with a service, or with the companies providing them.[78]

Marketers or product managers responsible for branding seek to develop or align the expectations behind the brand experience. Their goal is to create the impression that a brand associated with a product or service has certain qualities or characteristics which make it special or unique.[79] Therefore, a brand can become one of the most valuable elements in an advertising strategy as it demonstrates what the brand owner is able to offer in the marketplace. This means that building a strong brand helps to distinguish a product from similar ones and sets it apart from competitors.[65] The art of creating and maintaining a brand is called brand management. The orientation of an entire organization towards its brand is called brand orientation. Brand orientation develops in response to market intelligence.[79]

Careful brand management seeks to make products or services relevant and meaningful to a target audience. Marketers tend to treat brands as more than the difference between the actual cost of a product and its selling price; rather brands represent the sum of all valuable qualities of a product to the consumer and are often treated as the total investment in brand building activities including marketing communications.[80]

Consumers may look on branding as an aspect of products or services,[11] as it often serves to denote a certain attractive quality or characteristic (see also brand promise). From the perspective of brand owners, branded products or services can command higher prices. Where two products resemble each other, but one of the products has no associated branding (such as a generic, store-branded product), potential purchasers may often select the more expensive branded product on the basis of the perceived quality of the brand or on the basis of the reputation of the brand owner.

Brand awareness

[edit]

Brand awareness involves a customer's ability to recall and/or recognize brands, logos, and branded advertising. Brands help customers to understand which brands or products belong to which product or service category. Brands assist customers to understand the constellation of benefits offered by individual brands, and how a given brand within a category is differentiated from its competing brands, and thus the brand helps customers & potential customers understand which brand satisfies their needs. Thus, the brand offers the customer a short-cut to understanding the different product or service offerings that make up a particular category.

Brand awareness is a key step in the customer's purchase decision process, since some kind of awareness is a precondition to purchasing. That is, customers will not consider a brand if they are not aware of it.[81] Brand awareness is a key component in understanding the effectiveness both of a brand's identity and of its communication methods.[82] Successful brands are those that consistently generate a high level of brand awareness, as this can be the pivotal factor in securing customer transactions.[83] Various forms of brand awareness can be identified. Each form reflects a different stage in a customer's cognitive ability to address the brand in a given circumstance.[11]

Marketers typically identify two distinct types of brand awareness; namely brand recall (also known as unaided recall or occasionally spontaneous recall) and brand recognition (also known as aided brand recall).[84] These types of awareness operate in entirely different ways with important implications for marketing strategy and advertising.

  • Most companies aim for "Top-of-Mind" which occurs when a brand pops into a consumer's mind when asked to name brands in a product category. For example, when someone is asked to name a type of facial tissue, the common answer, "Kleenex", will represent a top-of-mind brand. Top-of-mind awareness is a special case of brand recall.
  • Brand recall (also known as unaided brand awareness or spontaneous awareness) refers to the brand or set of brands that a consumer can elicit from memory when prompted with a product category
  • Brand recognition (also known as aided brand awareness) occurs when consumers see or read a list of brands, and express familiarity with a particular brand only after they hear or see it as a type of memory aide.
  • Strategic awareness occurs when a brand is not only top-of-mind to consumers, but also has distinctive qualities which consumers perceive as making it better than other brands in the particular market. The distinction(s) that set a product apart from the competition is/are also known as the unique selling point or USP.[85]

Brand recognition

[edit]

Brand recognition is one of the initial phases of brand awareness and validates whether or not a customer remembers being pre-exposed to the brand.[83] Brand recognition (also known as aided brand recall) refers to consumers' ability to correctly differentiate a brand when they come into contact with it. This does not necessarily require consumers to identify or recall the brand name. When customers experience brand recognition, they are triggered by either a visual or verbal cue.[11] For example, when looking to satisfy a category need such as a toilet paper, the customer would firstly be presented with multiple brands to choose from. Once the customer is visually or verbally faced with a brand, they may remember being introduced to it before. When given a cue, consumers able to retrieve the memory node associated with the brand exhibit brand recognition.[11] Often, this form of brand awareness assists customers in choosing one brand over another when faced with a low-involvement purchasing decision.[86]

Brand recognition is often the mode of brand awareness that operates in retail shopping environments. When presented with a product at the point-of-sale, or after viewing its visual packaging, consumers are able to recognize the brand and may be able to associate it with attributes or meanings acquired through exposure to promotion or word-of-mouth referrals.[87] In contrast to brand recall, where few consumers are able to spontaneously recall brand names within a given category, when prompted with a brand name, a larger number of consumers are typically able to recognize it.

Brand recognition is most successful when people can elicit recognition without being explicitly exposed to the company's name, but rather through visual signifiers like logos, slogans, and colors.[88] For example, Disney successfully branded its particular script font (originally created for Walt Disney's "signature" logo), which it used in the logo for go.com.

Brand recall

[edit]

Unlike brand recognition, brand recall (also known as unaided brand recall or spontaneous brand recall) is the ability of the customer retrieving the brand correctly from memory.[11] Rather than being given a choice of multiple brands to satisfy a need, consumers are faced with a need first, and then must recall a brand from their memory to satisfy that need. This level of brand awareness is stronger than brand recognition, as the brand must be firmly cemented in the consumer's memory to enable unassisted remembrance.[83] This gives the company huge advantage over its competitors because the customer is already willing to buy or at least know the company offering available in the market. Thus, brand recall is a confirmation that previous branding touchpoints have successfully fermented in the minds of its consumers.[86]

Marketing-mix modeling can help marketing leaders optimize how they spend marketing budgets to maximize the impact on brand awareness or on sales. Managing brands for value creation will often involve applying marketing-mix modeling techniques in conjunction with brand valuation.[69]

Brand elements

[edit]

Brands typically comprise various elements, such as:[89]

  • name: the word or words used to identify a company, product, service, or concept
  • logo: the visual trademark that identifies a brand
  • tagline or catchphrase: a short phrase always used in the product's advertising and closely associated with the brand
  • graphics: the "dynamic ribbon" is a trademarked part of Coca-Cola's brand
  • shapes: the distinctive shapes of the Coca-Cola bottle and of the Volkswagen Beetle are trademarked elements of those brands
  • colors: the instant recognition consumers have when they see Tiffany & Co.'s robin's egg blue (Pantone No. 1837). Tiffany & Co.'s trademarked the color in 1998.[90]
  • sounds: a unique tune or set of notes can denote a brand. NBC's chimes provide a famous example.
  • scents: the rose-jasmine-musk scent of Chanel No. 5 is trademarked
  • tastes: Kentucky Fried Chicken has trademarked its special recipe of eleven herbs and spices for fried chicken
  • movements: Lamborghini has trademarked the upward motion of its car doors
Figure 2. Demonstrating touch points associated with purchase experience stages

Brand communication

[edit]

Although brand identity is a fundamental asset to a brand's equity, the worth of a brand's identity would become obsolete without ongoing brand communication.[91] Integrated marketing communications (IMC) relates to how a brand transmits a clear consistent message to its stakeholders .[82] Five key components comprise IMC:[69]

  1. Advertising
  2. Sales promotions
  3. Direct marketing
  4. Personal selling
  5. Public relations

The effectiveness of a brand's communication is determined by how accurately the customer perceives the brand's intended message through its IMC. Although IMC is a broad strategic concept, the most crucial brand communication elements are pinpointed to how the brand sends a message and what touch points the brand uses to connect with its customers [Chitty 2005].[82]

One can analyze the traditional communication model into several consecutive steps:[69]

  • Firstly, a source/sender wishes to convey a message to a receiver. This source must encode the intended message in a way that the receiver will potentially understand.[82]
  • After the encoding stage, the forming of the message is complete and is portrayed through a selected channel.[92] In IMC, channels may include media elements such as advertising, public relations, sales promotions, etc.[82]
  • It is at this point where the message can often deter from its original purpose as the message must go through the process of being decoded, which can often lead to unintended misinterpretation.[92]
  • Finally, the receiver retrieves the message and attempts to understand what the sender was aiming to render. Often, a message may be incorrectly received due to noise in the market, which is caused by "…unplanned static or distortion during the communication process".[69]
  • The final stage of this process is when the receiver responds to the message, which is received by the original sender as feedback.[72]

When a brand communicates a brand identity to a receiver, it runs the risk of the receiver incorrectly interpreting the message. Therefore, a brand should use appropriate communication channels to positively "…affect how the psychological and physical aspects of a brand are perceived".[93]

In order for brands to effectively communicate to customers, marketers must "…consider all touch point|s, or sources of contact, that a customer has with the brand".[94] Touch points represent the channel stage in the traditional communication model, where a message travels from the sender to the receiver. Any point where a customer has an interaction with the brand - whether watching a television advertisement, hearing about a brand through word of mouth or even noticing a branded license plate – defines a touchpoint. According to Dahlen et al. (2010), every touchpoint has the "…potential to add positive – or suppress negative – associations to the brand's equity"[93] Thus, a brand's IMC should cohesively deliver positive messages through appropriate touch points associated with its target market. One methodology involves using sensory stimuli touch points to activate customer emotion.[94] For example, if a brand consistently uses a pleasant smell as a primary touchpoint, the brand has a much higher chance of creating a positive lasting effect on its customers' senses as well as memory.[72] Another way a brand can ensure that it is utilizing the best communication channel is by focusing on touchpoints that suit particular areas associated with customer experience.[69] As suggested Figure 2, certain touch points link with a specific stage in customer-brand-involvement. For example, a brand may recognize that advertising touchpoints are most effective during the pre-purchase experience stage therefore they may target their advertisements to new customers rather than to existing customers. Overall, a brand has the ability to strengthen brand equity by using IMC branding communications through touchpoints.[94]

Brand communication is important in ensuring brand success in the business world and refers to how businesses transmit their brand messages, characteristics and attributes to their consumers.[95] One method of brand communication that companies can exploit involves electronic word-of-mouth (eWOM). eWOM is a relatively new approach [Phelps et al., 2004][96] identified to communicate with consumers. One popular method of eWOM involves social networking sites (SNSs) such as Twitter.[97] A study found that consumers classed their relationship with a brand as closer if that brand was active on a specific social media site (Twitter). Research further found that the more consumers "retweeted" and communicated with a brand, the more they trusted the brand. This suggests that a company could look to employ a social-media campaign to gain consumer trust and loyalty as well as in the pursuit of communicating brand messages.

McKee (2014) also looked into brand communication and states that when communicating a brand, a company should look to simplify its message as this will lead to more value being portrayed as well as an increased chance of target consumers recalling and recognizing the brand.[98]

In 2012 Riefler stated that if the company communicating a brand is a global organization or has future global aims, that company should look to employ a method of communication that is globally appealing to their consumers, and subsequently choose a method of communication with will be internationally understood.[99] One way a company can do this involves choosing a product or service's brand name, as this name will need to be suitable for the marketplace that it aims to enter.[100]

It is important that if a company wishes to develop a global market, the company name will also need to be suitable in different cultures and not cause offense or be misunderstood.[101] When communicating a brand, a company needs to be aware that they must not just visually communicate their brand message and should take advantage of portraying their message through multi-sensory information.[102] One article suggests that other senses, apart from vision, need to be targeted when trying to communicate a brand with consumers.[103] For example, a jingle or background music can have a positive effect on brand recognition, purchasing behaviour and brand recall.

Therefore, when looking to communicate a brand with chosen consumers, companies should investigate a channel of communication that is most suitable for their short-term and long-term aims and should choose a method of communication that is most likely to reach their target consumers.[99] The match-up between the product, the consumer lifestyle, and the endorser is important for the effectiveness of brand communication.

Global brand variables

[edit]

Brand name

[edit]
Relationship between trademarks and brand

The term "brand name" is quite often used interchangeably with "brand", although it is more correctly used to specifically denote written or spoken linguistic elements of any product. In this context, a "brand name" constitutes a type of trademark, if the brand name exclusively identifies the brand owner as the commercial source of products or services. A brand owner may seek to protect proprietary rights in relation to a brand name through trademark registration – such trademarks are called "Registered Trademarks". Advertising spokespersons have also become part of some brands, for example: Mr. Whipple of Charmin toilet tissue and Tony the Tiger of Kellogg's Frosted Flakes. Putting a value on a brand by brand valuation or using marketing mix modeling techniques is distinct to valuing a trademark.

US government purchasing rules allow for federal departments to seek bids using a "brand name or equal" provision in their solicitation. Federal Acquisition Regulation 52.211-6 states that "where an item in [a] solicitation is identified as "brand name or equal", the purchase description [should] reflect the characteristics and level of quality that will satisfy the Government's needs. The salient physical, functional, or performance characteristics that "equal" products must meet are [to be] specified in the solicitation.[104]

Types of brand names

[edit]

Brand names come in many styles.[105] These include:

The act of associating a product or service with a brand has become part of pop culture. Most products have some kind of brand identity, from common table salt to designer jeans. A brandnomer is a brand name that has colloquially become a generic term for a product or service, such as Band-Aid, Nylon, or Kleenex—which are often used to describe any brand of adhesive bandage; any type of hosiery; or any brand of facial tissue respectively. Xerox, for example, has become synonymous with the word "copy".

Brand line

[edit]

A brand line allows the introduction of various subtypes of a product under a common, ideally already established, brand name. Examples would be the individual Kinder chocolates by Ferrero SpA, the subtypes of Coca-Cola, or special editions of popular brands. See also brand extension.

Open Knowledge Foundation created in December 2013 the BSIN (Brand Standard Identification Number). BSIN is universal and is used by the Open Product Data Working Group [106] of the Open Knowledge Foundation to assign a brand to a product. The OKFN Brand repository is critical for the Open Data movement.

Brand identity

[edit]

The expression of a brand – including its name, trademark, communications, and visual appearance – is brand identity.[107] Because the identity is assembled by the brand owner, it reflects how the owner wants the consumer to perceive the brand – and by extension the branded company, organization, product or service. This is in contrast to the brand image, which is a customer's mental picture of a brand.[107] The brand owner will seek to bridge the gap between the brand image and the brand identity. Brand identity is fundamental to consumer recognition and symbolizes the brand's differentiation from competitors. Brand identity is distinct from brand image.

Brand identity is what the owner wants to communicate to its potential consumers. However, over time, a product's brand identity may acquire (evolve), gaining new attributes from consumer perspective but not necessarily from the marketing communications, an owner percolates to targeted consumers. Therefore, businesses research consumer's brand associations.

The brand identity works as a guideline, as the frame in which a brand will evolve and define itself, or in the words of David Aaker, "…a unique set of brand associations that the brand strategist aspires to create or maintain."[108]

One of the facets to a brand's identity is self-image: How one brand-customer portrays their ideal self – how they want to look and behave; what they aspire to – brands can target their messaging accordingly and make the brand's aspirations reflect theirs.

According to Kapferer (2004), there are six facets to a brand's identity:[109]

  • Physique: The physical characteristics and iconography of your brand (such as the Nike swoosh or the orange pantone of easyJet).
  • Personality: The persona, how a brand communicates with their audience, which is expressed through its tone of voice, design assets and then integrates this into communication touchpoints in a coherent way.
  • Culture: The values, the principles on which a brand bases its behaviour. For example, Google flexible office hours and fun environment so the employees feel happy and creative at work.
  • Reflection: The "stereotypical user" of the brand. A brand is likely to be purchased by several buyer's profiles but they will have a go-to person that they use in their campaigns. For example, Lou Yetu and the Parisian chic profile.
  • Relationship: The bond between a brand and its customers, and the customer expectations of the brand (the experience beyond the tangible product). Such as warranties or services during and after purchase help maintain a sustainable relationship and keep the consumer trust.
  • Self-image: How one brand-customer portrays their ideal self – how they want to look and behave; what they aspire to – brands can target their messaging accordingly and make the brand's aspirations reflect theirs.

Brand image

[edit]
Apple: Known for innovation, sleek design, and premium quality, Apple's brand image appeals to consumers seeking cutting-edge technology.

Brand image refers to the perception consumers have about a brand, shaped by their interactions, experiences, and beliefs regarding the brand's products or services. It's the impression that resides in the minds of consumers, influencing their purchasing decisions and loyalty.[110]

Brand trust

[edit]
Nike: Associated with athleticism, performance, and motivation, Nike's brand image resonates with both professional athletes and fitness enthusiasts.

Brand trust is the intrinsic 'believability' that any entity evokes. In the commercial world, the intangible aspect of brand trust impacts the behavior and performance of its business stakeholders in many intriguing ways. It creates the foundation of a strong brand connect with all stakeholders, converting simple awareness to strong commitment.[111]

A positive brand image fosters trust among consumers, leading to increased loyalty and repeat purchases. When consumers perceive a brand positively, they are more likely to choose it over competitors.[110]

Market Differentiation

[edit]

A distinctive brand image helps a company stand out in a competitive market, making its products or services more recognizable and appealing.[110]

Visual brand identity

[edit]
The visual brand identity manual for Mobil Oil (developed by Chermayeff & Geismar & Haviv), one of the first visual identities to integrate logotype, icon, alphabet, color palette, and station architecture

Color is a particularly important element of visual brand identity and color mapping provides an effective way of ensuring color contributes to differentiation in a visually cluttered marketplace.[112]

Brand parity

[edit]

Brand parity is the perception of customers that some brands are equivalent.[113] This means that shoppers will purchase within a group of accepted brands rather than choosing one specific brand. Cranfield management professor Christopher Martin has referred to research confirming that consumers choose from a "portfolio of brands", and that factors such as availability will be a major determinant of actual choice.[114]

When brand parity operates, quality is often not a major concern because consumers believe that only minor quality differences exist. Instead, it is important to have brand equity which is "the perception that a good or service with a given brand name is different, better, and can be trusted" according to Kenneth E Clow.[115]

Expanding role of brands

[edit]

The original aim of branding was to simplify the process of identifying and differentiating products. Over time, manufacturers began to use branded messages to give the brand a unique personality. Brands came to embrace a performance or benefit promise, for the product, certainly, but eventually also for the company behind the brand.

Today, brands play a much bigger role. The power of brands to communicate a complex message quickly, with emotional impact and with the ability of brands to attract media attention, makes them ideal tools in the hands of activists.[116] Cultural conflict over a brand's meaning has also influences the diffusion of an innovation.[117]

During the COVID-19 pandemic, 75% of US customers tried different stores, websites or brands, and 60% of those expect to integrate new brands or stores into their post-pandemic lives. If brands can find ways to help people feel empowered and regain a sense of control in uncertain times, they can help people reconnect and heal (and be appreciated for it).[118]

Branding strategies

[edit]

Company name

[edit]

Often, especially in the industrial sector, brand engineers will promote a company's name. Exactly how the company name relates to product and services names forms part of a brand architecture. Decisions about company names and product names and their relationship depend on more than a dozen strategic considerations.[119]

In this case, a strong brand name (or company name) becomes the vehicle for marketing a range of products (for example, Mercedes-Benz or Black & Decker) or a range of subsidiary brands (such as Cadbury Dairy Milk, Cadbury Flake, or Cadbury Fingers in the UK).

Corporate name-changes offer particularly stark examples of branding-related decisions.[120] A name change may signal different ownership or new product directions.[121] Thus the name Unisys originated in 1986 when Burroughs bought and incorporated UNIVAC; and the newly named International Business Machines represented a broadening of scope in 1924 from its original name, the Computing-Tabulating-Recording Company. A change in corporate naming may also have a role in seeking to shed an undesirable image: for example, Werner Erhard and Associates re-branded its activities as Landmark Education in 1991 at a time when publicity in a 60 Minutes investigative-report broadcast cast the est and Werner Erhard brands in a negative light,[122] and Union Carbide India Limited became Eveready Industries India in 1994 subsequent to the Bhopal disaster of 1984

Individual branding

[edit]

Marketers associate separate products or lines with separate brand names - such as Seven-Up, Kool-Aid, or Nivea Sun (Beiersdorf - which may compete against other brands from the same company (for example, Unilever owns Persil, Omo, Surf, and Lynx).

Challenger brands

[edit]

A challenger brand is a brand in an industry where it is neither the market leader nor a niche brand. Challenger brands are categorized by a mindset that sees them have business ambitions beyond conventional resources and an intent to bring change to an industry.

Multiproduct branding strategy

[edit]

Multiproduct branding strategy is when a company uses one name across all its products in a product class. When the company's trade name is used, multiproduct branding is also known as corporate branding, family branding or umbrella branding. Examples of companies that use corporate branding are Microsoft, Samsung, Apple, and Sony as the company's brand name is identical to their trade name. Other examples of multiproduct branding strategy include Virgin and Church & Dwight. Virgin, a multination conglomerate uses the punk-inspired, handwritten red logo with the iconic tick for all its products ranging from airlines, hot air balloons, telecommunication to healthcare. Church & Dwight, a manufacturer of household products displays the Arm & Hammer family brand name for all its products containing baking soda as the main ingredient. A multiproduct branding strategy has many advantages. It capitalizes on brand equity as consumers that have a good experience with the product will in turn pass on this positive opinion to supplementary objects in the same product class as they share the same name. Consequently, the multiproduct branding strategy makes product line extension possible.

Product line extension

[edit]

A product line extension is the procedure of entering a new market segment in its product class by means of using a current brand name. An example of this is the Campbell Soup Company, primarily a producer of canned soups. They utilize a multiproduct branding strategy by way of soup line extensions. They have over 100 soup flavours putting forward varieties such as regular Campbell soup, condensed, chunky, fresh-brewed, organic, and soup on the go. This approach is seen as favourable as it can result in lower promotion costs and advertising due to the same name being used on all products, therefore increasing the level of brand awareness. Although, line extension has potential negative outcomes with one being that other items in the company's line may be disadvantaged because of the sale of the extension. Line extensions work at their best when they deliver an increase in company revenue by enticing new buyers or by removing sales from competitors.

Subbranding

[edit]

Subbranding is used by certain multiproduct branding companies. Subbranding merges a corporate, family or umbrella brand with the introduction of a new brand in order to differentiate part of a product line from others in the whole brand system.[123] Subbranding assists to articulate and construct offerings. It can alter a brand's identity as subbranding can modify associations of the parent brand.[124] Examples of successful subbranding can be seen through Gatorade and Porsche. Gatorade, a manufacturer of sport-themed food and beverages effectively introduced Gatorade G2, a low-calorie line of Gatorade drinks. Likewise, Porsche, a specialized automobile manufacturer successfully markets its lower-end line, Porsche Boxster and higher-end line, Porsche Carrera.

Brand extension and brand dilution

[edit]

Brand extension is the system of employing a current brand name to enter a different product class. Having a strong brand equity allows for brand extension; for example, many fashion and designer companies extended brands into fragrances, shoes and accessories, home textile, home decor, luggage, (sun-) glasses, furniture, hotels, etc. Nevertheless, brand extension has its disadvantages. There is a risk that too many uses for one brand name can oversaturate the market resulting in a blurred and weak brand for consumers. Examples of brand extension can be seen through Kimberly-Clark and Honda. Kimberly-Clark is a corporation that produces personal and health care products being able to extend the Huggies brand name across a full line of toiletries for toddlers and babies. The success of this brand extension strategy is apparent in the $500 million in annual sales generated globally. Similarly, Honda using their reputable name for automobiles has spread to other products such as motorcycles, power equipment, engines, robots, aircraft, and bikes. Mars extended its brand to ice cream, Caterpillar to shoes and watches, Michelin to a restaurant guide, Adidas and Puma to personal hygiene. Dunlop extended its brand from tires to other rubber products such as shoes, golf balls, tennis racquets, and adhesives. Frequently, the product is no different from what else is on the market, except a brand name marking. Brand is product identity.

There is a difference between brand extension and line extension. A line extension is when a current brand name is used to enter a new market segment in the existing product class, with new varieties or flavors or sizes. When Coca-Cola launched Diet Coke and Cherry Coke, they stayed within the originating product category: non-alcoholic carbonated beverages. Procter & Gamble did likewise extending its strong lines (such as Fairy Soap) into neighboring products (Fairy Liquid and Fairy Automatic) within the same category, dish washing detergents.

The risk of over-extension is brand dilution where the brand loses its brand associations with a market segment, product area, or quality, price or cachet.[65]

Brand collaborations

[edit]

Brand collaborations refer to the participation of multiple firms in a branding initiative. Brand collaborations are short-lived or ephemeral "partnerships between brands in which their images, legacies and values intertwine."[125]p. 13 One of the most well-known is co-branding, a strategy in which two firms combine their brands into a single product.

Most recently, some brands have engaged in unconventional brand collaborations, partnering with other brands or designers with a significantly different design, esthetic, positioning or set of values.[125] For example, in 2017, Louis Vuitton partnered with the skateboarding brand Supreme.[126]

Multibranding strategy

[edit]

Multibranding strategy is when a company gives each product a distinct name. Multibranding is best used as an approach when each brand in intended for a different market segment. Multibranding is used in an assortment of ways with selected companies grouping their brands based on price-quality segments. Individual brand names naturally allow greater flexibility by permitting a variety of different products, of differing quality, to be sold without confusing the consumer's perception of what business the company is in or diluting higher quality products. Procter & Gamble, a multinational consumer goods company that offers over 100 brands, each suited for different consumer needs. For instance, Head & Shoulders that helps consumers relieve dandruff in the form of a shampoo, Oral-B which offers inter-dental products, Vicks which offers cough and cold products, and Downy which offers dryer sheets and fabric softeners. Other examples include Coca-Cola, Nestlé, Kellogg's, and Mars.

This approach usually results in higher promotion costs and advertising. This is due to the company being required to generate awareness among consumers and retailers for each new brand name without the benefit of any previous impressions. Multibranding strategy has many advantages. There is no risk that a product failure will affect other products in the line as each brand is unique to each market segment. Although, certain large multiband companies have come across that the cost and difficulty of implementing a multibranding strategy can overshadow the benefits. For example, Unilever, the world's third-largest multination consumer goods company recently streamlined its brands from over 400 brands to center their attention onto 14 brands with sales of over 1 billion euros. Unilever accomplished this through product deletion and sales to other companies. Other multibrand companies introduce new product brands as a protective measure to respond to competition called fighting brands or fighter brands.

Cannibalization is a particular challenge with a multi-brand strategy approach, in which the new brand takes business away from an established one which the organization also owns. This may be acceptable (indeed to be expected) if there is a net gain overall. Alternatively, it may be the price the organization is willing to pay for shifting its position in the market; the new product being one stage in this process.

Fighting brands

[edit]

The main purpose of fighting brands is to challenge competitor brands. For example, Qantas, Australia's largest flag carrier airline, introduced Jetstar to go head-to-head against the low-cost carrier, Virgin Australia (formerly known as Virgin Blue). Jetstar is an Australian low-cost airline for budget conscious travellers, but it receives many negative reviews due to this. The launching of Jetstar allowed Qantas to rival Virgin Australia without the criticism being affiliated with Qantas because of the distinct brand name.

Private branding strategy

[edit]

Private branding (also known as reseller branding, private labelling, store brands, or own brands) have increased in popularity. Private branding is when a company manufactures products but it is sold under the brand name of a wholesaler or retailer. Private branding is popular because it typically produces high profits for manufacturers and resellers. The pricing of private brand product are usually cheaper compared to competing name brands. Consumers are commonly deterred by these prices in good economic circumstances, as it sets a perception of lower quality and standard, but this view shifts in less ideal economic circumstances.[127]

In Australia, their leading supermarket chains, both Woolworths and Coles are saturated with store brands (or private labels). For example, in the United States, Paragon Trade Brands, Ralcorp Holdings, and Rayovac are major suppliers of diapers, grocery products, and private label alkaline batteries, correspondingly. Costco, Walmart, RadioShack, Sears and Kroger are large retailers that have their own brand names. Similarly, Macy's, a mid-range chain of department stores offers a wide catalogue of private brands exclusive to their stores, from brands such as First Impressions which supply newborn and infant clothing, Hotel Collection which supply luxury linens and mattresses, and Tasso Elba which supply European inspired menswear. They use private branding strategy to specifically target consumer markets.

Mixed branding strategy

[edit]

Mixed branding strategy is where a firm markets products under its own name(s) and that of a reseller because the segment attracted to the reseller is different from its own market. For example, Elizabeth Arden, Inc., a major American cosmetics and fragrance company, uses mixed branding strategy. The company sells its Elizabeth Arden brand through department stores and line of skin care products at Walmart with the "skin simple" brand name. Companies such as Whirlpool, Del Monte, and Dial produce private brands of home appliances, pet foods, and soap, correspondingly. Other examples of mixed branding strategy include Michelin, Epson, Microsoft, Gillette, and Toyota. Michelin, one of the largest tire manufacturers allowed Sears, an American retail chain to place their brand name on the tires. Microsoft, a multinational technology company is seriously regarded as a corporate technology brand but it sells its versatile home entertainment hub under the brand Xbox to better align with the new and crazy identity. Gillette catered to females with Gillette for Women which has now become known as Venus. The launch of Venus was conducted in order to fulfil the feminine market of the previously dominating masculine razor industry. Similarly, Toyota, an automobile manufacturer used mixed branding. In the U.S., Toyota was regarded as a valuable car brand being economical, family orientated and known as a vehicle that rarely broke down. But Toyota sought out to fulfil a higher end, expensive market segment, thus they created Lexus, the luxury vehicle division of premium cars.

Attitude branding and iconic brands

[edit]

Attitude branding is the choice to represent a larger feeling, which is not necessarily connected with the product or consumption of the product at all. Marketing labeled as attitude branding include that of Nike, Starbucks, The Body Shop, Safeway and Apple. In the 1999 book No Logo, Naomi Klein describes attitude branding as a "fetish strategy".[61] Schaefer and Kuehlwein analyzed brands such as Apple, Ben & Jerry's or Chanel describing them as 'Ueber-Brands' – brands that are able to gain and retain "meaning beyond the material."[128]

A great brand raises the bar – it adds a greater sense of purpose to the experience, whether it's the challenge to do your best in sports and fitness, or the affirmation that the cup of coffee you're drinking really matters. – Howard Schultz (President, CEO, and Chairman of Starbucks)

Bottles of Coca-Cola with labels printed in English and Hebrew
The color, letter font and style of the Coca-Cola and Diet Coca-Cola logos in English were copied into matching Hebrew logos to maintain brand identity in Israel.

Iconic brands are defined as having aspects that contribute to consumer's self-expression and personal identity. Brands whose value to consumers comes primarily from having identity value are said to be "identity brands". Some of these brands have such a strong identity that they become more or less cultural icons which makes them "iconic brands". Examples are: Apple, Nike and Harley-Davidson. Many iconic brands include almost ritual-like behaviour in purchasing or consuming the products.

There are four key elements to creating iconic brands (Holt 2004):

  1. "Necessary conditions" – The performance of the product must at least be acceptable, preferably with a reputation of having good quality.
  2. "Myth-making" – A meaningful storytelling fabricated by cultural insiders. These must be seen as legitimate and respected by consumers for stories to be accepted.
  3. "Cultural contradictions" – Some kind of mismatch between prevailing ideology and emergent undercurrents in society. In other words, a difference with the way consumers are and how they wish they were.
  4. "The cultural brand management process" – Actively engaging in the myth-making process in making sure the brand maintains its position as an icon.

Schaefer and Kuehlwein propose the following 'Ueber-Branding' principles. They derived them from studying successful modern Prestige brands and what elevates them above mass competitors and beyond considerations of performance and price (alone) in the minds of consumers:[128]

  1. "Mission Incomparable" – Having a differentiated and meaningful brand purpose beyond 'making money.'[129] Setting rules that follow this purpose – even when it violates the mass marketing mantra of "Consumer is always Boss/right".
  2. "Longing versus Belonging" – Playing with the opposing desires of people for Inclusion on the one hand and Exclusivity on the other.
  3. "Un-Selling" – First and foremost seeking to seduce through pride and provocation, rather than to sell through arguments.[130]
  4. "From Myth To Meaning" – Leveraging the power of myth – 'Ueber-Stories' that have fascinated- and guided humans forever.[131]
  5. "Behold!" – Making products and associated brand rituals reflect the essence of the brand mission and myth. Making it the center of attention, while keeping it fresh.
  6. "Living the Dream" – Living the brand mission as an organization and through its actions. Thus radiating the brand myth from the inside out, consistently and through all brand manifestations. – For "Nothing is as volatile than a dream."[132]
  7. "Growth without End" – Avoiding to be perceived as an omnipresent, diluting brand appeal. Instead 'growing with gravitas' by leveraging scarcity/high prices, 'sideways expansion' and other means.[133]

"No-brand" branding

[edit]

Recently, a number of companies have successfully pursued "no-brand" strategies by creating packaging that imitates generic brand simplicity. Examples include the Japanese company Muji, which means "No label" in English (from 無印良品 – "Mujirushi Ryohin" – literally, "No brand quality goods"), and the Florida company No-Ad Sunscreen. Although there is a distinct Muji brand, Muji products are not branded. This no-brand strategy means that little is spent on advertisement or classical marketing and Muji's success is attributed to the word-of-mouth, simple shopping experience and the anti-brand movement.[134][135][136] "No brand" branding may be construed as a type of branding as the product is made conspicuous through the absence of a brand name. "Tapa Amarilla" or "Yellow Cap" in Venezuela during the 1980s is another good example of no-brand strategy. It was simply recognized by the color of the cap of this cleaning products company.

Derived brands

[edit]

In this case the supplier of a key component, used by a number of suppliers of the end-product, may wish to guarantee its own position by promoting that component as a brand in its own right. The most frequently quoted example is Intel, which positions itself in the PC market with the slogan (and sticker) "Intel Inside".

Social media brands

[edit]

In The Better Mousetrap: Brand Invention in a Media Democracy (2012), author and brand strategist Simon Pont posits that social media brands may be the most evolved version of the brand form, because they focus not on themselves but on their users. In so doing, social media brands are arguably more charismatic, in that consumers are compelled to spend time with them, because the time spent is in the meeting of fundamental human drivers related to belonging and individualism. "We wear our physical brands like badges, to help define us – but we use our digital brands to help express who we are. They allow us to be, to hold a mirror up to ourselves, and it is clear. We like what we see."[137]

Private labels

[edit]

Private label brands, also called own brands, or store brands have become popular. Where the retailer has a particularly strong identity (such as Marks & Spencer in the United Kingdom clothing sector) this "own brand" may be able to compete against even the strongest brand leaders, and may outperform those products that are not otherwise strongly branded.

Designer Private Labels

A relatively recent innovation in retailing is the introduction of designer private labels. Designer-private labels involve a collaborative contract between a well-known fashion designer and a retailer. Both retailer and designer collaborate to design goods with popular appeal pitched at price points that fit the consumer's budget. For retail outlets, these types of collaborations give them greater control over the design process as well as access to exclusive store brands that can potentially drive store traffic.

In Australia, for example, the department store, Myer, now offers a range of exclusive designer private labels including Jayson Brundson, Karen Walker, Leona Edmiston, Wayne Cooper, Fleur Wood and 'L' for Lisa Ho.[138] Another up-market department store, David Jones, currently offers 'Collette' for leading Australian designer, Collette Dinnigan, and has recently announced its intention to extend the number of exclusive designer brands.[139] Target Australia has teamed up with Dannii Minogue to produce her "Petites" range.[140] Specsavers has joined up with Sydney designer, Alex Perry to create an exclusive range of spectacle frames while Big W stocks frame designed by Peter Morrissey.

Individual and organizational brands

[edit]

With the development of the brand, Branding is no longer limited to a product or service.[141] There are kinds of branding that treat individuals and organizations as the products to be branded. Most NGOs and non-profit organizations carry their brand as a fundraising tool. The purpose of most NGOs is to leave a social impact so their brand becomes associated with specific social life matters. Amnesty International, Habitat for Humanity, World Wildlife Fund and AIESEC are among the most recognized brands around the world.[142] NGOs and non-profit organizations moved beyond using their brands for fundraising to express their internal identity and to clarify their social goals and long-term aims. Organizational brands have well-determined brand guidelines and logo variables.[143]

Personal branding

[edit]

Employer branding

[edit]

Crowd sourced branding

[edit]

These are brands that are created by "the public" for the business, which is opposite to the traditional method where the business creates a brand.

Personalized branding

[edit]

Many businesses have started to use elements of personalization in their branding strategies, offering the client or consumer the ability to choose from various brand options or have direct control over the brand. Examples of this include the #ShareACoke campaign by Coca-Cola[144] which printed people's names and place names on their bottles encouraging people. AirBNB has created the facility for users to create their own symbol for the software to replace the brand's mark known as The Bélo.[145]

Nation branding (place branding and public diplomacy)

[edit]

Nation branding is a field of theory and practice which aims to measure, build and manage the reputation of countries (closely related to place branding). Some approaches applied, such as an increasing importance on the symbolic value of products, have led countries to emphasize their distinctive characteristics. The branding and image of a nation-state "and the successful transference of this image to its exports – is just as important as what they actually produce and sell."

Destination branding

[edit]

Destination branding is the work of cities, states, and other localities to promote the location to tourists and drive additional revenues into a tax base. These activities are often undertaken by governments, but can also result from the work of community associations. The Destination Marketing Association International is the industry leading organization.

Brand protection

[edit]

Intellectual property infringements, in particular counterfeiting, can affect consumer trust and ultimately damage brand equity. Brand protection is the set of preventive, monitoring and reactive measures taken by brand owners to eliminate, reduce or mitigate these infringements and their effect.

Doppelgänger brand image (DBI)

[edit]

A doppelgänger brand image or "DBI" is a disparaging image or story about a brand that is circulated in popular culture. DBI targets tend to be widely known and recognizable brands. The purpose of DBIs is to undermine the positive brand meanings the brand owners are trying to instill through their marketing activities.[146]

The term stems from the combination of the German words doppel ('double') and gänger ('walker').

Doppelgänger brands are typically created by individuals or groups to express criticism of a brand and its perceived values, through a form of parody, and are typically unflattering in nature.

Due to the ability of doppelgänger brands to rapidly propagate virally through digital media channels, they can represent a real threat to the equity of the target brand. Sometimes the target organization is forced to address the root concern or to re-position the brand in a way that defuses the criticism.

Examples include:

  • Joe Chemo campaign organized to criticize the marketing of tobacco products to children and their harmful effects.[147]
  • Parody of the Pepsi logo as an obese man to highlight the relationship between soft drink consumption and obesity.[148]
  • The FUH2 campaign protesting the Hummer SUV as a symbol of corporate and public irresponsibility toward public safety and the environment.[149]

In the 2006 article "Emotional Branding and the Strategic Value of the Doppelgänger Brand Image", Thompson, Rindfleisch, and Arsel suggest that a doppelgänger brand image can be a benefit to a brand if taken as an early warning sign that the brand is losing emotional authenticity with its market.[146]

International Standards

[edit]

The ISO branding standards developed by the Committee ISO/TC 289 are:

  • 'ISO 10668:2010' Brand valuation - Requirements for monetary brand valuation ,
  • 'ISO 20671:2021' Brand evaluation - Principles and fundamentals .

Two other ISO standards are being developed by ISO/TC 289:

See also

[edit]

References

[edit]
Revisions and contributorsEdit on WikipediaRead on Wikipedia
from Grokipedia
A brand is a name, term, design, symbol, or any other distinctive feature that identifies one seller's goods or services as distinct from those of other sellers. A brand uses identifying markers to tell potential buyers not only what it does but also what it means and perhaps even the cultural values it stands for. In marketing and business contexts, it encompasses the overall perception, identity, and promise associated with a product, service, or organization, shaped through elements like logos, slogans, packaging, and consistent messaging to differentiate it from competitors. Brands serve as intangible assets that build customer loyalty, convey value, and influence purchasing decisions by creating emotional connections and trust. The concept of branding traces its origins to ancient times, around 2000 B.C.E., when craftsmen in civilizations like ancient Egypt and Mesopotamia marked their pottery and goods to signify ownership and quality. The term "brand" derives from the Old Norse word "brandr", meaning "to burn"; it referred to the ancient practice of marking livestock with hot irons, which evolved into modern trademarking as mass production and consumer markets expanded in the Industrial Revolution. Today, branding extends beyond physical marks to digital identities, including websites, social media presence, and experiential marketing, adapting to globalized economies and technological advancements. Effective branding is crucial for business success, as it enhances brand equity—the commercial value derived from consumer perception—which can lead to premium pricing, increased market share, and long-term profitability. Strong brands like those of leading corporations foster repeat business and advocacy, while weak or inconsistent branding can erode trust and competitiveness in crowded markets. Key components include visual identity (e.g., logos and color schemes), brand voice (tone in communications), and core values that align with target audiences, all managed strategically to maintain relevance over time.

Etymology and Origins

Etymology

The term "brand" originates from the Old English word brand or brond, attested around 950 AD, which denoted "burning," "fire," "torch," or even "sword," evoking the imagery of a piece of burning wood used for light or destruction. This usage stems from the Proto-Germanic root brandaz, meaning "a burning" or "burning piece," which itself derives from the Proto-Indo-European gʷher-, signifying "to heat" or "to warm." The linguistic evolution reflects a conceptual link between fire and marking, as the term gradually shifted from literal fire to the act of imprinting through heat. In Middle English, by the mid-15th century, "brand" had evolved to specifically indicate a "mark made by burning with a hot iron," particularly applied to livestock to signify ownership, a practice that built on ancient traditions but formalized the term's association with identification. The first commercial applications emerged in 14th-century Europe, where artisans in Italy and France used identifying marks—precursors to modern trademarks—on pottery and textiles to denote quality, origin, or guild affiliation, amid rising trade in goods like Florentine woolen cloth. Early non-commercial uses of marking for ownership predate the word itself, appearing in ancient civilizations as conceptual forerunners. In ancient Egypt, from around 2700 BCE, hieroglyphic seals and cylinder stamps impressed on clay or objects served to authenticate royal or personal possession, often featuring names or symbols rolled onto surfaces. Similarly, in ancient Rome, amphorae—vessels for transporting wine and oil—were stamped on handles with producers' or owners' marks during the 1st–3rd centuries CE, facilitating trade accountability across the empire. The etymological progression can be outlined as follows:
Proto-Indo-EuropeanProto-GermanicOld EnglishMiddle EnglishModern English
gʷher- ("to heat, warm")brandaz ("a burning")brand ("burning, torch")brand ("mark by burning")brand ("identifying mark, trademark")

Historical Evolution

The practice of branding originated in ancient civilizations as a means to denote ownership and authenticity. In ancient Egypt around 2700 BCE, symbols were used to mark livestock, indicating ownership and preventing theft. In Mesopotamia, early forms evolved from simple impressions to more complex cylinder seals by approximately 3000 BCE that served as personal signatures and trade identifiers. Similarly, in the Indus Valley Civilization circa 2500 BCE, steatite seals featuring animal motifs and undeciphered script were pressed into clay to stamp merchandise, facilitating trade and verifying provenance across regions. During the medieval and Renaissance periods in Europe, from the 12th to 16th centuries, craft guilds emerged as key institutions that regulated quality and introduced marking systems to distinguish members' products in growing urban markets. Guilds inspected finished goods and applied stamps or emblems—such as those used by stonemasons or textile workers—to certify authenticity and protect against counterfeits, laying groundwork for modern trademarks. Family crests and merchant stamps further proliferated, symbolizing reputation and lineage in an era of expanding commerce. The Industrial Revolution in the 18th and 19th centuries transformed branding amid mass production and the rise of packaged consumer goods, shifting from artisanal marks to standardized identifiers for widespread distribution. A pivotal example is the Bass Brewery's red triangle, registered in 1876 as the first trademark under the UK's Trade Marks Registration Act 1875, which distinguished its pale ale in competitive markets and symbolized quality during export booms. Procter & Gamble advanced soap branding in the late 1800s with Ivory Soap, introduced in 1879 as a pure, floating product marketed through innovative newspaper ads, establishing consumer trust via consistent packaging and claims of superiority. In the 20th century, branding professionalized with the emergence of dedicated advertising agencies, such as J. Walter Thompson founded in 1864, which pioneered space brokerage and creative campaigns to build national brands. Post-World War II, a consumer branding boom ensued, fueled by economic prosperity and television's advent; TV ads from the late 1940s onward promoted suburban lifestyles and household products, embedding brands in daily culture and driving mass consumption. Key milestones included the global dissemination of European brands via colonialism and trade routes, where imperial networks exported marked goods like Bass ale across empires, adapting symbols to diverse markets. Entering the 21st century, branding shifted toward digital platforms post-2000, emphasizing interactive consumer engagement and online identities while building on historical foundations of symbolic differentiation.

Core Concepts

Definition and Purpose

A brand is defined as a name, term, design, symbol, or any other feature that identifies one seller's good or service as distinct from those of other sellers. This definition, established by the American Marketing Association in 2017, emphasizes the brand's role in differentiation within competitive markets. A brand uses identifying markers to tell potential buyers not only what it does but also what it means and perhaps even the cultural values it stands for. The fundamental purposes of a brand extend beyond mere identification to encompass building consumer trust, fostering loyalty, and creating emotional connections that influence purchasing decisions. Brands facilitate market segmentation by allowing companies to target specific consumer groups with tailored offerings, thereby enhancing relevance and appeal. Additionally, brands reduce consumer search costs by serving as shorthand signals of quality and reliability, simplifying choice in complex marketplaces. In theoretical frameworks, brands function as promises to deliver consistent value, as articulated in David Aaker's model of brand equity, where the brand represents a covenant between the company and consumer regarding expected performance and experiences. As intangible assets, brands contribute to overall equity, with valuation methods like Interbrand's assessing worth through the formula: Brand Value = Financial Forecast × Brand Role × Brand Strength; here, the financial forecast projects earnings from branded products, the brand role measures the brand's influence on purchase decisions (typically 0-15% attribution), and brand strength evaluates factors such as leadership, stability, and geographic scope on a 0-100 scale. While a product refers to the tangible or functional offering that satisfies a basic need, a brand adds layers of perceived value, reputation, emotional resonance, symbolic meaning, and cultural values that elevate it beyond utility. In contrast to a trademark, which provides legal protection for specific identifiers like names or logos to prevent imitation, a brand encompasses the broader perceptual and relational aspects without inherent legal enforceability.

Brand Identity

Brand identity refers to the internal, strategic framework that outlines how a brand intends to present itself across all touchpoints, ensuring consistency in its core values, attributes, messaging, and the cultural values it represents. This framework is controlled by the organization and serves as a blueprint for all branding decisions, distinguishing it from external perceptions. It encompasses the tangible and intangible elements that define the brand's essence, guiding everything from product development to communication strategies. A seminal model for understanding brand identity is Jean-Noël Kapferer's Brand Identity Prism, introduced in his 1986 work and elaborated in subsequent editions of Strategic Brand Management. The prism conceptualizes brand identity as a six-faceted structure, visualized as a hexagonal prism divided into two parallel triangles representing the brand's internal facets and its external reflections. The left side (brand as an object) includes physique (physical attributes and visual style), personality (human-like traits and tone of voice), and culture (underlying values and origins); the right side (brand as a relationship) comprises relationship (the bond with consumers), reflection (the user's mirror image), and self-image (the user's internalized ideal). This model emphasizes that identity flows from the sender (the brand) to the receiver (the consumer), promoting a holistic view that integrates both rational and emotional dimensions. The development of brand identity typically begins with a brand audit, a systematic evaluation of the brand's current assets, performance, and market position to identify strengths, weaknesses, and opportunities for alignment. This process involves analyzing internal documents, consumer research, and competitive landscapes to establish a clear foundation. Following the audit, organizations craft a positioning statement to articulate the brand's unique stance, often using a template such as: "For [target audience], [brand] is the [category] that [benefit] because [reason to believe]." This statement distills the brand's strategic intent, ensuring all elements align with intended identity. In corporate branding, identity often unifies the entire organization under a single framework, contrasting with product-specific identities that may vary for individual offerings. Unified corporate identity systems promote coherence across divisions, as exemplified by IBM's program initiated in 1956 under designer Paul Rand, which standardized the logotype, typography, and color palette to convey reliability and innovation enterprise-wide. This approach, starting with Rand's striped "IBM" logotype, evolved into comprehensive guidelines that reinforced the company's technological leadership. A key example of a robust brand identity is Apple's, established in the 1970s through early design choices emphasizing simplicity, innovation, and user-centricity. The 1977 rainbow apple logo by Rob Janoff symbolized approachability and creativity, while initial marketing positioned the brand as a tool for empowering individuals against corporate conformity, laying the groundwork for consistent guidelines that persist today.

Brand Image and Personality

Brand image refers to the set of associations and meanings that consumers form about a brand, representing the sum of its attributes, benefits, attitudes, symbolic meanings, and cultural associations in the consumer's mind. According to the associative network memory model, these associations are stored as nodes connected by links in memory, where brand image emerges from the strength, favorability, and uniqueness of these links, influencing consumer perceptions and behaviors. For instance, a brand's image can encompass functional attributes like product quality or symbolic benefits like status, shaped by direct and indirect experiences. Brand personality extends this by anthropomorphizing the brand, attributing human-like traits to it, which helps consumers relate emotionally and differentiate it from competitors. Jennifer Aaker's framework identifies five core dimensions of brand personality: sincerity (e.g., down-to-earth, honest, wholesome, cheerful), excitement (e.g., daring, spirited, imaginative, up-to-date), competence (e.g., reliable, intelligent, successful, technical), sophistication (e.g., upper class, charming, feminine/masculine), and ruggedness (e.g., outdoorsy, tough, masculine/feminine). These dimensions are measured using a 42-item Brand Personality Scale, where consumers rate traits on a 5-point Likert scale (1 = not at all descriptive to 5 = extremely descriptive), allowing for quantitative assessment of personality profiles. The formation of brand image and personality is influenced by multiple factors, including direct consumer experiences with the product, advertising that links the brand to specific traits or endorsers, and word-of-mouth communication that reinforces associations. For example, Coca-Cola's brand personality emphasizes sincerity and excitement through its portrayal as friendly, all-American, and refreshing in campaigns, fostering a warm, approachable image. In contrast, Volvo's image centers on competence, particularly reliable safety, derived from innovations like the three-point seatbelt and reinforced by its core value of protection, leading consumers to perceive it as a trustworthy guardian. Perceptions can vary culturally; for instance, studies across six nations show that individualistic cultures like the U.S. emphasize excitement in brand personalities, while collectivist cultures like Japan prioritize sincerity, affecting how traits are inferred and valued.

Brand Awareness, Recognition, and Recall

Brand awareness represents the foundational level of consumer familiarity with a brand, encompassing the extent to which individuals can identify or retrieve it from memory in various contexts. According to marketing scholar Kevin Lane Keller, brand awareness specifically includes two core components: brand recognition and brand recall, which together form the depth and accessibility of brand knowledge in consumers' minds. Top-of-mind awareness occurs when a brand is the first one that comes to consumers' minds within a relevant product category, signaling strong cognitive availability. Brand recognition refers to consumers' ability to confirm prior exposure to a brand when presented with a cue, such as identifying a logo or slogan in a visual display. In contrast, brand recall involves unaided retrieval of the brand from memory, such as spontaneously naming it when prompted with a product category like "athletic footwear." These distinctions highlight different levels of cognitive processing: recognition requires lower memory effort and is often measured in aided conditions, while recall demands stronger, more accessible associations. Key metrics for assessing brand awareness include unaided recall percentage, calculated as the proportion of respondents who spontaneously mention the brand divided by total respondents, multiplied by 100. Recognition is typically evaluated through forced-choice surveys, where participants select the brand from a set of options or confirm familiarity upon exposure. An overall Awareness Index can combine these by averaging or summing responses, such as Awareness Index = [(number recognized + number recalled) / total respondents] × 100, providing a composite measure of familiarity. For instance, in the sportswear category, Nike demonstrates exceptionally high recall, with brand awareness exceeding 95% in U.S. surveys from the 2020s, reflecting its dominant top-of-mind position globally. Strategies to build brand awareness leverage cognitive principles like repetition and priming within established models. Repetition in advertising enhances recall by increasing exposure frequency, fostering familiarity through the mere exposure effect and strengthening memory traces over time. Priming effects occur when subtle cues, such as visual elements or contextual triggers, activate brand associations in memory, facilitating easier recognition and retrieval without direct prompting. These tactics align with the hierarchy-of-effects model, exemplified by AIDA (Attention, Interest, Desire, Action), where the initial attention phase establishes awareness as the prerequisite for subsequent consumer engagement.

Brand Elements

Names and Trademarks

A brand name serves as a primary identifier of a product's origin, distinguishing it from competitors and signaling the source to consumers. It also conveys key attributes or qualities associated with the brand, such as reliability or innovation, thereby influencing consumer perceptions and expectations. Additionally, an effective brand name enhances memorability, facilitating easier recall and recognition in a crowded marketplace. Brand names are categorized based on their level of distinctiveness, which impacts their eligibility for trademark protection. Descriptive names directly describe the product or service, such as Whole Foods for a retailer specializing in natural groceries. Suggestive names hint at the product's qualities without explicitly describing them, exemplified by Netflix, which evokes internet-based movie streaming. Arbitrary names use common words with no inherent connection to the product, like Apple for computers. Fanciful names are entirely invented terms, such as Kodak, offering the strongest protection due to their uniqueness. Under trademark law, particularly in the United States, brand names must demonstrate sufficient distinctiveness to qualify for registration with the United States Patent and Trademark Office (USPTO). Generic terms, which merely name the product category (e.g., "computer" for a computing device), are not protectable as they cannot function as source identifiers. The registration process involves filing an application specifying the goods or services in one or more of the 45 international classes (Classes 1-34 for goods and 35-45 for services), followed by examination for conflicts, descriptiveness, and overall eligibility. Marks that are descriptive may acquire distinctiveness through extensive use and secondary meaning, allowing registration under Section 2(f) of the Lanham Act. Historically, the Bass Brewery's red triangle logo for Bass Ale holds the distinction of being the first trademark registered under the UK's Trade Marks Registration Act 1875, effective from January 1, 1876. This milestone formalized the protection of brand identifiers amid growing industrialization and trade. In modern contexts, trademarks face the risk of genericization, where widespread use erodes exclusivity; for instance, Bayer lost its U.S. trademark for Aspirin in 1921 after courts ruled the term had become generic for acetylsalicylic acid-based pain relievers. Selecting a brand name requires rigorous criteria to ensure viability and protection. Linguistic checks assess global pronounceability and cultural connotations, avoiding unintended negative meanings across languages to support international expansion. Comprehensive availability searches verify trademark, domain, and linguistic clearance, preventing conflicts and legal challenges.

Visual and Verbal Identity

The visual identity of a brand encompasses its graphical elements, including logos, color palettes, and typography, which collectively create a recognizable aesthetic that communicates the brand's essence without words. Logos serve as the cornerstone of this identity; for instance, the Nike Swoosh, designed in 1971 by graphic designer Carolyn Davidson for $35, draws inspiration from the wing of the Greek goddess Nike, symbolizing speed and motion, and has evolved minimally to maintain its simplicity and versatility across products. Color palettes are selected based on psychological associations to evoke specific emotions, with red often used to convey energy, passion, and urgency in branding, as seen in applications by fast-food chains to stimulate appetite and attention. Typography further reinforces visual coherence by specifying fonts, sizes, spacing, and capitalization rules that align with the brand's personality, ensuring legibility and stylistic consistency in all communications. Verbal identity complements these visuals through linguistic elements like taglines and tone of voice, which articulate the brand's message in a memorable and consistent manner. A seminal example is Nike's "Just Do It" tagline, introduced in 1988 by advertising agency Wieden+Kennedy, inspired by the last words of convicted murderer Gary Gilmore but repurposed as an empowering call to action that boosted the brand's motivational appeal and sales. Tone of voice guidelines dictate the style of language—whether formal, playful, or authoritative—to maintain a unified personality across verbal expressions, preventing dilution of the brand's core attributes. Brand books, or comprehensive style guides, outline these visual and verbal elements to enforce consistency across all media, from print to digital touchpoints, fostering trust and recognition among audiences. Coca-Cola's brand identification manuals, compiled from documents spanning 1969 to 1979, exemplify this by detailing rules for logos, typography, colors, and packaging to preserve the brand's iconic red-and-white aesthetic during a period of global expansion. Such guidelines mitigate risks of fragmentation, as inconsistent application can erode brand equity, while consistent branding has been shown to increase revenue by up to 30%. Illustrative examples highlight the interplay of these elements. Starbucks' original 1971 logo featured a detailed brown siren (a two-tailed mythological figure) inspired by old nautical tattoos, which was redesigned in 1987 to a simplified green version, aligning with the brand's coffee heritage and evoking approachability and mystery while adapting to modern tastes. Similarly, McDonald's golden arches, introduced in 1962, maintain core uniformity but incorporate regional cultural adaptations in signage and contextual visuals—such as stylized interpretations in markets like France or India—to resonate locally without compromising global recognizability. These components, when cohesively managed, transform abstract brand strategies into tangible, enduring expressions that differentiate in competitive landscapes.

Brand Communication and Positioning

Brand communication encompasses the strategic dissemination of a brand's identity through various channels to engage consumers and reinforce perceptions. The communication mix includes key elements such as advertising, which delivers persuasive messages via media like television, digital platforms, and print to build awareness and desire; public relations (PR), which fosters favorable relationships and credibility through earned media and events; and sales promotions, which offer short-term incentives like discounts or samples to stimulate immediate action. These components are integrated under the Integrated Marketing Communications (IMC) model, which emphasizes coordinating all promotional tools around a unified brand message to enhance efficiency and consumer impact, as pioneered by Don Schultz in his 1993 framework focusing on customer-centric, data-driven strategies. Brand positioning involves crafting a distinct place in the consumer's mind relative to competitors, often visualized through perceptual mapping, a technique that plots brands on axes representing key attributes such as price versus quality to reveal market gaps and opportunities. For instance, a perceptual map might position luxury brands like Rolex in the high-price, high-quality quadrant, contrasting with budget options like Timex in the low-price, low-quality area, helping marketers identify differentiation strategies. Central to effective positioning is the unique value proposition (UVP), a concise statement articulating the specific benefits that set the brand apart, such as Volvo's emphasis on superior safety features to appeal to risk-averse families. This approach, formalized by Al Ries and Jack Trout, treats positioning as a battle for mental real estate, prioritizing simplicity and relevance to avoid consumer confusion. Strategies in brand communication often leverage emotional or rational appeals to connect with audiences, with emotional appeals evoking feelings like joy or aspiration to build deeper loyalty, while rational appeals highlight logical benefits such as performance or value to drive informed decisions. For example, emotional appeals in smartphone ads might portray devices as "the friend who shares my life," fostering hedonic value and affective trust, whereas rational appeals stress "cutting-edge technology and practicality" to enhance utilitarian value and cognitive trust. Storytelling techniques further amplify these appeals through narrative arcs, structuring messages with orientation, conflict, climax, and resolution to create engaging journeys; Nike exemplifies this by employing singular plot arcs in campaigns like "Choose Go," where a protagonist overcomes challenges using Nike products to inspire catharsis and empowerment. Measuring the effectiveness of brand communication and positioning includes metrics like share of voice (SOV), which calculates a brand's media expenditure or mentions as a percentage of the total category to gauge visibility and competitive presence, with higher SOV correlating to increased awareness and potential market share growth. Positioning errors can undermine these efforts, as seen in the 1985 New Coke launch, where Coca-Cola reformulated its iconic product based on blind taste tests favoring a sweeter version, misjudging consumers' emotional attachment to the original and eroding trust, leading to backlash and the swift reintroduction of Coca-Cola Classic after 79 days. Such cases underscore the need for aligning communication with core brand equity to avoid perceptual misalignment.

Branding Strategies

Individual and Corporate Branding

Individual branding involves assigning unique, standalone names to each product or service, allowing them to develop independent identities separate from the parent company. This approach enables companies to target diverse market segments with tailored messaging and positioning, as seen in Procter & Gamble's laundry detergents Tide and Ariel, which cater to different consumer preferences in various regions while maintaining distinct brand personalities. The primary advantage is enhanced targeted appeal, permitting precise marketing strategies that resonate with specific demographics without diluting focus across a broader portfolio. However, it comes with drawbacks, including higher operational costs for separate advertising, packaging, and distribution efforts for each brand, which can strain resources and complicate management. In contrast, corporate branding employs an umbrella strategy where the company's overarching identity serves as the primary brand for all offerings, fostering a unified image across product lines. A notable example is the Virgin Group, which applies its core "Virgin" name and rebellious, customer-centric ethos to diverse ventures like Virgin Atlantic airlines and Virgin Records music label, creating cohesion despite varied industries. This method facilitates the transfer of brand equity, where positive associations and trust built in one area—such as innovation in travel—extend to others, reducing the need for individual product promotions and amplifying overall reputation. These strategies are often framed through the house of brands versus branded house models, as conceptualized in brand architecture frameworks by scholars like Sylvie Laforet and Kevin Lane Keller, which emphasize how firms structure portfolios to balance independence and synergy. A house of brands model aligns with individual branding, treating each product as an autonomous entity under a corporate owner, exemplified by Unilever's portfolio of over 400 distinct brands like Dove and Hellmann's, which operate independently to address niche markets without leveraging the parent name. Conversely, the branded house model embodies corporate branding, with sub-elements subordinated to the master brand, as in Apple's approach where products like the iPhone and MacBook are marketed under the singular Apple identity to reinforce themes of premium innovation and design consistency. This dichotomy allows companies to choose based on goals like risk isolation in house of brands or equity leverage in branded houses, though hybrids exist for nuanced applications.

Multiproduct and Extension Strategies

Multiproduct strategies enable brands to expand their offerings within or beyond existing categories by leveraging established equity, thereby driving growth while managing risks such as dilution. Product line extensions represent one core approach, where a brand introduces variations to its current product lineup to target different consumer segments or needs. Vertical extensions involve alterations in quality or price levels within the same category, such as a premium version of an existing good to appeal to upscale markets or a budget option for price-sensitive buyers. In contrast, horizontal extensions maintain similar quality and pricing but introduce new features, flavors, or formats within the category, like adding seasonal variants to a snack line. Assessing the fit of these extensions is crucial for success, with David Aaker's framework identifying key factors including the perceived fit between the original product and extension, marketing support, and trial potential, which collectively influence consumer acceptance and minimize negative impacts on the parent brand. Brand extensions extend this strategy further by applying the core brand name to entirely new product categories, capitalizing on accumulated equity to reduce introduction costs and build awareness quickly. A seminal example is the Virgin Group's expansion from music records in the 1970s to airlines with Virgin Atlantic in 1984, where the brand's rebellious and innovative associations successfully transferred to aviation, enabling market entry against incumbents. However, such extensions carry dilution risks if the new offering fails to align with core brand associations, potentially eroding overall equity. The Harley-Davidson perfume launch in the late 1980s exemplifies this failure, as the rugged motorcycle image clashed with the feminine connotations of fragrance, leading to poor sales and backlash that temporarily harmed the brand's tough persona. Subbranding offers a hybrid solution, combining the parent brand with a descriptive modifier to create distinct yet linked identities for specific line variants, enhancing portfolio organization. For instance, Nestlé's KitKat Chunky subbrand differentiates a thicker, chunkier version from the standard bar, allowing targeted positioning without fully detaching from the core KitKat equity. This approach benefits line clarity by signaling unique attributes—such as size or flavor—while leveraging the parent brand's strength, reducing confusion among consumers and enabling more precise marketing efforts. Evaluating these strategies requires monitoring metrics like cannibalization, where new products erode sales of existing ones; the cannibalization rate is typically calculated as the percentage of extension sales derived from the parent brand's volume. Brand dilution, particularly in quality perceptions, can be assessed conceptually through the interaction of pre-extension quality and extension fit, where low fit multiplies the risk of diminished parent brand evaluations post-launch, as supported by Aaker and Keller's model emphasizing fit as a moderator of quality transfer.

Collaborative and Multibranding Approaches

Collaborative branding, often referred to as co-branding, involves two or more independent brands partnering to create a joint product, service, or marketing campaign that leverages the strengths of each partner. This approach allows brands to combine their equities, reaching new audiences and enhancing perceived value through synergy. A prominent example is the 2006 partnership between Nike and Apple, which launched the Nike+iPod Sport Kit, integrating Nike's running shoes with Apple's iPod Nano to track fitness data, resulting in increased engagement for both brands in the sports and technology sectors. The advantages of co-branding include shared marketing costs, expanded market reach, and the transfer of positive associations between partners, which can boost innovation and consumer trial. For instance, complementary co-branding like Nike and Apple's encourages co-consumption, where users pair products from both brands, fostering loyalty and cross-promotion. However, risks are significant; a negative event affecting one partner can damage the other's reputation through guilt by association, potentially leading to consumer backlash or partnership dissolution. A notable failure occurred in the long-standing Shell and LEGO collaboration, which ended in 2014 after environmental activists criticized LEGO for associating with an oil company, harming LEGO's family-friendly image despite decades of joint toy sets. Multibranding strategies enable a single company to offer multiple distinct brands within the same product category, targeting diverse consumer segments and minimizing internal cannibalization through differentiated positioning. Procter & Gamble (P&G) exemplifies this with its extensive portfolio, including competing laundry detergents like Tide (premium) and Gain (value-oriented), allowing the company to capture over 50% market share in categories like fabric care by addressing varied price sensitivities and preferences. This approach reduces risk by diversifying revenue streams and enables fighting brands—lower-priced offerings designed to counter competitors' low-end products, such as private labels—without diluting flagship brands. Challenger brands represent disruptive entrants that adopt aggressive positioning to contest established market leaders, often through innovative distribution, pricing, or messaging. Dollar Shave Club, launched in 2011, challenged Gillette's dominance in razors by offering affordable, subscription-based blades via direct-to-consumer channels and viral humor-driven marketing, eroding Gillette's U.S. market share from 70% in 2010 to around 54% by 2016. This led to Unilever's $1 billion acquisition of Dollar Shave Club in 2016, demonstrating how challengers can achieve rapid growth and force incumbents to adapt. Overall, these approaches can yield substantial market share gains; for example, P&G's multibranding has sustained leadership in consumer goods, while co-branding successes like Nike-Apple have driven billions in combined revenue. Yet, failures underscore the need for alignment, as mismatched partnerships or unaddressed risks can result in lost equity and financial setbacks.

Alternative Branding Models

Attitude branding emphasizes the emotional and symbolic aspects of a brand, positioning it as a representation of a broader lifestyle or set of values rather than focusing solely on product functionality. This approach contrasts with functional branding, which highlights practical benefits like performance or price, by instead cultivating an iconic identity that resonates on a deeper, affective level with consumers. For instance, Harley-Davidson exemplifies attitude branding through its association with freedom, rebellion, and a rugged biker lifestyle, transforming motorcycles into symbols of personal identity and community belonging that extend far beyond mere transportation. No-brand branding strategies adopt a minimalist or generic approach, deliberately downplaying traditional branding elements to emphasize product quality, affordability, and authenticity without the perceived excess of marketing hype. This model reduces costs associated with advertising and packaging, allowing companies to offer competitive pricing while appealing to consumers seeking unpretentious, value-driven options. A prominent example is Muji, the Japanese retailer whose name translates to "no-brand, quality goods," which focuses on simple, functional designs that promote sustainability and anti-consumerist ideals, fostering loyalty through perceived genuineness rather than overt promotion. Similarly, the short-lived Brandless initiative sold everyday essentials in plain packaging at fixed low prices, aiming to eliminate branding overheads and save consumers up to 40% on costs, though it ultimately highlighted the challenges of fully escaping brand perception. Private labels, also known as store brands, represent retailer-owned products that mimic national brands in quality but are sold under the retailer's name, offering a cost-effective alternative that enhances retailer control and margins. These brands have seen significant growth, with U.S. private label unit volume reaching 25% across major product sectors in the past year, driven by consumer preferences for value amid economic pressures. Walmart's Great Value line exemplifies this model, accounting for 31% of the retailer's sales and purchased by 72.7% of U.S. consumers, providing affordable staples that build store loyalty without relying on external manufacturers' branding. Derived brands involve creating spin-offs or sub-brands from an established parent entity, blending elements of public recognition with private customization to target niche markets or extend product lines. This strategy allows for mixed public-private approaches, where the parent brand provides endorsement while the derived brand adapts to specific needs, mitigating risks through shared equity. Gatorade, under PepsiCo, illustrates this through its portfolio of derived offerings like Propel (a low-calorie variant) and Muscle Milk (a protein-focused extension), which leverage the core Gatorade identity for hydration and performance while expanding into fitness nutrition, consolidating PepsiCo's sports-related brands under one umbrella for cohesive market penetration.

Advanced and Global Applications

Personal, Organizational, and Nation Branding

Personal branding refers to the strategic process by which individuals intentionally create, position, and promote a unique and positive image of themselves to achieve professional or personal goals. This practice draws from marketing principles, treating the self as a "brand" to differentiate in competitive environments, such as job markets or public spheres. Key strategies include developing personal websites to showcase expertise, engaging in networking to build relationships, and consistently communicating core values across platforms. A prominent example is Oprah Winfrey, whose personal brand evolved from a talk show host into a multifaceted media empire through authentic storytelling, philanthropy, and endorsements that foster deep consumer attachments. Winfrey's approach exemplifies "dynamic branding," where adaptability and emotional resonance sustain long-term influence, turning personal narrative into a billion-dollar enterprise. Organizational branding, often termed employer branding, involves crafting and promoting an organization's reputation as an attractive workplace to recruit and retain talent. This strategy emphasizes unique value propositions, such as innovative perks and culture, to signal desirability in the talent market. For instance, Google has positioned itself as the "best place to work" through offerings like free gourmet meals, on-site wellness facilities, and flexible schedules, which enhance its appeal to top engineers and innovators. Metrics like Employee Net Promoter Score (eNPS), which gauges employees' likelihood to recommend the organization, help measure branding effectiveness, with higher scores correlating to improved retention and advocacy. Nation branding applies branding concepts to countries, aiming to shape global perceptions for economic, diplomatic, or cultural benefits. It involves public diplomacy tools to promote national identity, tourism, and investment. The "Incredible India" campaign, launched in 2002 by the Indian government, exemplifies this by highlighting diverse heritage and modernity to boost tourism, resulting in increased visitor numbers and positive international imagery. Frameworks like the Anholt Nation Brands Index evaluate nations on dimensions such as tourism, exports, and governance, providing benchmarks for branding efforts. These branding forms interconnect, as strong organizational branding can enhance individuals' personal brands through association. For example, alumni networks from prestigious universities or companies leverage shared organizational prestige to amplify members' professional identities and opportunities. This synergy fosters mutual reinforcement, where corporate reputation bolsters personal credibility, and vice versa, in networked economies.

Digital and Social Media Branding

Digital branding emerged in the 1990s with the advent of static websites, which served as basic online brochures for companies to establish a web presence and provide information through simple HTML pages and early email marketing efforts. By the early 2000s, the rise of search engines like Google revolutionized digital strategies, enabling targeted advertising and improved discoverability. The transition to social media accelerated in the mid-2000s, with platforms like Facebook opening to the general public in 2006, reaching 12 million users by the end of the year and growing to 50 million by October 2007, shifting branding toward interactive, community-driven engagement. User-generated content (UGC) has profoundly influenced branding by fostering authenticity and trust, as consumers perceive peer-created material as more credible than traditional ads, with 79% reporting it sways purchasing decisions. UGC enhances brand loyalty by building community and social proof, often leading to higher engagement and conversion rates compared to branded content alone. Social media strategies increasingly leverage influencer partnerships to amplify reach, particularly on platforms like TikTok in the 2020s, where brands such as Gymshark and Chipotle have executed campaigns using micro-influencers to drive viral challenges and product trials, resulting in millions of views and boosted sales. Virality is measured through metrics like shares and engagement rates, where a rate of 1-6% indicates strong audience interaction, calculated as total engagements divided by reach or impressions. Challenges in digital branding include the transient nature of ephemeral content, such as Instagram Stories, which disappear after 24 hours and demand rapid creation to capture attention but complicate long-term strategy. Algorithm changes on platforms like Instagram further hinder visibility, as updates prioritize user relevance over chronological feeds, often reducing organic reach for brands by up to 50% without paid promotion. By 2025, AI-driven personalization has transformed branding via chatbots and recommendation engines, enabling real-time tailored interactions that increase customer loyalty and revenue, with 92% of businesses adopting such tools for hyper-targeted experiences. Metaverse branding continues to expand from initiatives like Nike's Nikeland, launched in 2021 on Roblox as an immersive virtual world for avatar customization and events, fostering ongoing community engagement and virtual product sales. A notable example is Wendy's Twitter strategy starting in 2017, where sassy roasts of competitors and users built a bold, humorous brand personality, significantly increasing engagement and contributing to sales growth through viral interactions.

International Standards and Protection

The international protection of brands is primarily facilitated through key treaties that establish frameworks for multi-jurisdictional registration and enforcement. The Madrid System, governed by the Madrid Agreement of 1891 and the Madrid Protocol of 1989, allows trademark owners to file a single international application for protection in multiple member countries, administered by the World Intellectual Property Organization (WIPO). This system simplifies the process by extending the territorial scope of a base national or regional registration to up to 130 territories, reducing administrative burdens and costs for global brand owners. Complementing this, the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS), adopted in 1994 under the World Trade Organization (WTO), mandates minimum standards for trademark protection among its 166 member states, including requirements for registrability, duration of protection (at least seven years, renewable indefinitely), and enforcement against infringement. These treaties ensure harmonized legal protections, promoting fair competition and reducing barriers to international trade in branded goods and services. Standards bodies play a crucial role in standardizing brand-related practices beyond registration. The International Organization for Standardization (ISO) introduced ISO 10668 in 2010, which outlines requirements for monetary brand valuation, incorporating financial, behavioral, and legal parameters to ensure consistent and reliable assessments. This standard emphasizes approaches such as the income, market, and cost methods, aiding stakeholders in measuring brand strength for financial reporting, mergers, and licensing. Similarly, WIPO oversees the Nice Classification, established under the Nice Agreement of 1957 and updated periodically, which categorizes goods and services into 45 classes for trademark registration purposes, facilitating uniform application across jurisdictions. These classifications help prevent conflicts by clearly delineating the scope of brand protection, with the 12th edition effective from January 1, 2023, incorporating modern categories like digital services. Brand protection strategies focus on proactive monitoring and legal enforcement to combat threats like counterfeiting, which undermines global markets. Companies employ surveillance tools and services to track unauthorized use, with the global trade in counterfeit and pirated goods valued at approximately $467 billion in 2021, representing 2.3% of world imports according to the Organisation for Economic Co-operation and Development (OECD). Common responses include issuing cease-and-desist letters to halt infringing activities, often followed by litigation or cooperation with customs authorities for seizures. These measures, supported by TRIPS enforcement provisions, help preserve brand integrity and revenue, with organizations like the International Trademark Association advocating for enhanced global collaboration. Despite these frameworks, international brand protection faces challenges, particularly cultural mismatches that can erode effectiveness or lead to unintended negative associations. For instance, when Ford introduced the Pinto model in Brazil during the 1970s, the name translated to slang for "small male genitals," resulting in poor sales and a subsequent rebranding to Corcel, highlighting the need for linguistic and cultural due diligence in name selection. Such issues complicate uniform application of treaties like the Madrid Protocol, where local sensitivities may require tailored adaptations to avoid dilution or rejection. Additionally, varying enforcement capacities across countries under TRIPS can hinder consistent protection, especially in emerging markets prone to counterfeiting.

Contemporary Challenges and Expansions

Brand Dilution and Doppelgänger Images

Brand dilution refers to the erosion of a brand's equity, where its distinctiveness, reputation, or perceived value diminishes due to factors such as overuse, inconsistent application, or negative associations. This phenomenon can occur through two primary types: dilution by blurring and dilution by tarnishment. Blurring involves the weakening of a brand's uniqueness when it becomes associated with too many unrelated products or services, reducing its mental availability and source identification in consumer minds. Tarnishment, on the other hand, arises from negative linkages, such as scandals or poor quality perceptions, that harm the brand's reputation and evoke unfavorable emotions. A common cause of brand dilution is overextension, where a brand stretches into new categories without sufficient fit, leading to consumer confusion or backlash. For instance, Gap's 2010 logo redesign, intended to modernize its identity, replaced the iconic blue square with a minimalist Helvetica font and square, sparking widespread criticism for diluting the brand's established equity and visual heritage. The swift online outrage, including over 14,000 parody logos created within days, forced Gap to revert to the original design after just one week, highlighting how abrupt changes can accelerate perceptual harm. Doppelgänger brand images (DBIs) represent a specific risk to brand equity, manifesting as consumer-generated parodies, memes, or narratives that contest official branding and amplify negative perceptions. These anti-brand expressions, often disseminated via social media by loosely organized networks of consumers, activists, and bloggers, challenge emotional branding strategies by exposing perceived ethical or social contradictions. In the 2010s, McDonald's faced notable DBIs through online memes and visuals like "McDiabetes," which satirized the brand's health impacts by juxtaposing cheerful advertising with images of obesity and illness, thereby tarnishing its family-friendly image and influencing consumer attitudes toward reduced purchase intent. To mitigate brand dilution and DBIs, companies must actively monitor social sentiment using analytics tools to detect emerging negative narratives early. This involves tracking online conversations, sentiment polarity, and viral trends to enable proactive responses. A recovery example is United Airlines' handling of its 2017 passenger removal incident, where initial mishandled communications exacerbated backlash; subsequent strategies included CEO apologies, policy overhauls on overbooking, and enhanced employee training, which helped rebuild trust and stabilize stock value over time. Brand dilution can be quantified using metrics derived from consumer surveys evaluating changes in brand association strength and distinctiveness before and after dilutive events.

Expanding Societal Role

Brands have increasingly permeated cultural landscapes, serving as powerful status symbols that facilitate social mobility. Luxury goods, such as those from Chanel or Louis Vuitton, signal wealth and achievement, enabling consumers to navigate social hierarchies and express aspirational identities in societies with high income inequality. This phenomenon is particularly evident in emerging markets, where acquiring such brands represents a tangible step toward upward mobility. On a global scale, the proliferation of brands like McDonald's exemplifies the McDonaldization thesis, where standardized, efficient consumption models homogenize cultural practices and accelerate globalization, reshaping local traditions into uniform experiences since the 1990s. Economically, brand equity constitutes a substantial portion of global value creation, with the total worth of the top 5,000 brands exceeding $14 trillion in 2025, equivalent to approximately 12% of the world's nominal GDP of $117.17 trillion. For leading corporations, this is starkly illustrated by Apple, whose brand value reached $574.5 billion in 2025, accounting for over 14% of its $3.9 trillion market capitalization and underscoring how intangible brand assets drive shareholder value and economic output. Beyond commerce, brands exert behavioral influence by subtly guiding consumer decisions through nudges rooted in behavioral economics, such as default options or social proof that steer choices toward preferred products without limiting freedom. They also play a pivotal role in identity formation, where fandoms around brands like Star Wars foster deep emotional attachments, allowing individuals to construct and express personal narratives through merchandise, events, and communities that reinforce belonging. Looking ahead, brands are expanding into Web3 technologies, particularly through non-fungible tokens (NFTs) for loyalty programs since 2021, enabling decentralized ownership of digital assets that enhance customer engagement and create verifiable, transferable rewards. Examples include Nike's RTFKT acquisitions, which integrate NFTs to build exclusive communities and sustain long-term loyalty beyond traditional points systems.

Ethical and Sustainable Branding

Ethical branding emphasizes transparency and accountability in business practices, particularly in areas like fair labor and supply chain management. For instance, Patagonia's 2011 "Don't Buy This Jacket" advertisement campaign urged consumers to reconsider unnecessary purchases, highlighting the environmental impact of overconsumption while promoting the brand's commitment to durable, repairable products. This approach fostered trust by aligning marketing with genuine ethical values, contrasting with practices like greenwashing, where companies make unsubstantiated environmental claims to appear sustainable without substantive action. To avoid greenwashing, brands must substantiate claims with verifiable data and third-party audits, as recommended by marketing experts. Sustainable practices in branding often involve adopting eco-labels and circular economy models to minimize waste and resource depletion. Fair Trade certification, for example, verifies that products are sourced through ethical supply chains ensuring fair wages and safe working conditions for producers in developing regions, allowing brands to signal genuine sustainability to consumers. Similarly, IKEA's buy-back and resell program, launched in the early 2020s, enables customers to return used furniture for store credit, with items refurbished and resold to extend product lifecycles and reduce landfill waste. These initiatives support a shift toward circularity, where products are designed for reuse rather than disposal. In 2025, ethical and sustainable branding has increasingly integrated Environmental, Social, and Governance (ESG) criteria, driven by regulatory frameworks like the EU Green Deal introduced in 2019. The Green Deal mandates stricter sustainability standards, including ecodesign requirements for products to enhance recyclability and reduce emissions, compelling brands to embed ESG into core strategies for compliance and competitiveness. Consumer trust remains pivotal, with a 2024 NielsenIQ survey indicating that 61% of global consumers agree environmental issues adversely impact their health, driving demand for sustainable brands. However, failures like H&M's 2018 labor scandals—where supplier factories were found paying poverty wages despite living wage pledges—led to significant backlash, eroding trust and highlighting the risks of non-compliance. A foundational framework for ethical and sustainable branding is the triple bottom line, coined by John Elkington in 1994, which evaluates business performance across three dimensions: people (social equity), planet (environmental health), and profit (economic viability). This approach encourages brands to balance financial success with societal and ecological impacts, promoting long-term resilience over short-term gains. By prioritizing the triple bottom line, companies can differentiate themselves in a market where consumers increasingly favor brands demonstrating verifiable ethical commitments.

References

Add your contribution
Related Hubs
User Avatar
No comments yet.