Brand equity is defined and a comprehensive framework is described that incorporates recent theoretical advances and managerial practices in understanding and influencing consumer behavior. This framework identifies sources and outcomes of brand equity and permits tactical guidelines as to how to build, measure, and manage brand equity, as will be developed further in other sections of the article. Customer-Based Brand Equity Understanding the needs and wants of consumers and customers is at the heart of marketing. A brand equity framework should therefore recognize the importance of the customer in the creation and management of brand equity. Accordingly, customer-based brand equity is defined as the differential effect that brand knowledge has on consumer response to the marketing of that brand. A brand is said to have positive customer-based brand equity when customers react more favorably to a product and the way it is marketed when the brand is identified as compared Continue reading
Marketing Management
Marketing management combines the fields of marketing and management. Marketing consists of discovering consumer needs and wants, creating the goods and services that meet those needs and wants; and pricing, promoting, and delivering those goods and services. Doing so requires attention to six major areas – markets, products, prices, places, promotion, and people. Management is getting things done through other people. Managers engage in five key activities – planning, organizing, staffing, directing, and controlling. Marketing management implies the integration of these concepts.
The Standardized Advertising Approach
There are three basic schools of thought regarding advertising standardization. First one is standardization approach which assumes that due to faster communication there is a convergence of markets and that costumer are becoming increasingly similar. Second is an adaptation approach which point to cultural differences and conclude that advertising must be adapted and the last one compromise approach which recognizes local differences but also that some degree of advertising standardization is possible. Standardized Approach Standardized or global advertising approach is practice of advertising the same brand or same product in the same way everywhere around the world. It looks for similarity across countries and segments to catch up a common thread to capitalize on adverting. That opinion shows that human needs and emotions are the same in everywhere. In addition this communication and transportation, technology, create a global market and desires of costumer around the world become homogenized. Global Continue reading
Diffusion of Innovation Theory
Diffusion of innovation theory was developed in the early 1950s by Everett Rogers. It seeks to explain the spread of new ideas through individuals and members of a social system. This theory is still widely used now to spread innovations and ideas from the scientific world to the political sphere. According to Rogers, the diffusion of innovation is the process by which an innovation is communicated through certain channels over time among the members of a social system. To understand that definition you must first understand some key terms. Innovation is used more generally here to mean an item, thought, or process that is new. Good examples of innovation would be automobiles, brain surgery, and a new kind of running shoe. It is important to realize that something can be an innovation in one place and have already been accepted in another. The other key term in the definition is Continue reading
Product Life Cycle Stages and Marketing Strategies
Under the current competitive marketing environment, how to manage a good marketing strategy for a certain product is quite crucial for an enterprise’s survival and development. Product is the most essential part in the marketing mix. Life cycle for a product is another most important factor which should be identified by an enterprise correctly. To understand product life cycle is very important for marketers when they are planning the marketing strategies for its product. Therefore, as far as the product life cycle is concerned, this article will first illustrate a comprehensive concept about the product life cycle. Following this, the article will analyze the specific marketing strategies which shall be referred by marketers in the marketing process. The Concept of Product Life Cycle Just like everything else, product has its own life cycle too. The theory of product life cycle (PLC) was firstly brought forward and shaped by Professor Raymond Continue reading
Sigmund Freud’s Psychoanalytic Theory of Personality
Sigmund Freud is considered by many to be the greatest psychologist in history. Opinions vary greatly on the validity of this, though all must agree that he is one of the most well known psychologists in history. He was well know for his research into the science of the mind, and is famous for his theories about the functions of the mind and the human psyche. One of Freud’s most famous theories is that of his views on the human personality, and the various psychological elements that play into it. An iceberg model is often used to describe Freud’s understanding of the mind. The conscious is the tip of the iceberg, barely above water. It is composed of our thoughts and perceptions. It is everything of which we are aware. The preconscious is just under the water. It is composed of our memories, stored knowledge, fears, and doubts. We are Continue reading
Qualities of a Good Advertisement Copy
The advertisement copy refers to the written contents of the advertisement including its text and head line. It can be referred to as the heart of advertising and should be drafted with utmost care; otherwise all the money invested in carrying out the advertisement campaign will go waste. In the words of William J. Stanton “The copy in an advertisement is defined as the written or spoken material in it, including head line, coupons and advertiser’s name and address as well as the main body of the message”. Simply stated advertisement copy means the total structure relating to the message which the advertiser wants to convey by using any medium of advertisement. The importance of a good advertisement copy can hardly be overemphasized. All the planning, research and expense would go waste if proper care is not taken in drafting an advertisement copy that will achieve the purpose of advertising. Continue reading