Marketing: Branding

• A brand is a unique name, term, symbol or design which is intended to signify the goods and services of one seller or group of sellers and to differentiate them from competitors’
• The main purpose of a brand is to give identity and differentiate products for example Colgate and Aquafresh are both toothpastes with different brands
• Over time, this image becomes associated with a level of :
• credibility,
• quality,
• and satisfaction in the consumer’s mind
• Brands help a business to position its products in the market relative to those of competitors
• Brands also act as a signature summary of what the product is all about
• They provide a sense of security and assurance about the quality of the product
• It adds value to the product making it more appealing for example a Samsung branded phone has more perceived value when compared to an unbranded/generic phone
• Branding allows a business to cultivate and create loyalty of customers thus obtaining repeated sales
• There are different types of brands:
• Individual brands-covering a single product e.g. Pampers, Nappies, iPhone
• Family brands-  those that contain family names for example Heinz, Mohammed Mussa. These can cover a single product of a wide range of products
• Divisional brands- these cover a large division of the company for example Coca Cola covers a division of Delta Beverages International
• Distributor brands- when a retailer or wholesaler creates their own brand in an attempt to create loyalty
• It also allows the seller to exert greater control over the product they sell
• Examples of distributor brands include Mohammed Mussa

To access more topics go to the O Level Business Notes