New PDF release: Brands and Branding (1st Edition) (The Economist)

By Rita Clifton, John Simmons

ISBN-10: 1576601471

ISBN-13: 9781576601471

Manufacturers this present day are key engines of financial power. faraway from being a superficial or beauty communications workout, manufacturers became a significant organizing precept at the back of many formidable businesses. This authoritative publication comprises contributions from the various field's prime practitioners, lecturers, and experts, analysing the character and advantages of manufacturers - fairly by way of their sustainable enterprise price and their wider social merits. this can be the definitive enterprise publication on manufacturers and branding. It not just explains the industrial power and significance of manufacturers, but in addition will body considering at the top perform of branding now and for the long run.

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Additional resources for Brands and Branding (1st Edition) (The Economist)

Sample text

In the case of Diageo, a name that has now “bedded down”, the company should have explained why it had decided to adopt a neutral name for the new holding company and issued firm reassurances regarding the famous trading names – particularly Guinness – that it would continue to use. Diageo, like Aviva, an insurance business, and Altria, mentioned above, is strictly a holding company name (as was the unfortunate Consignia, a name briefly adopted by the Post Office and now consigned to history). These names are not intended for “public consumption” – although a mischievous press made great play of post offices becoming “consignias” – so clarity is paramount; the rationale for change must be communicated to – and understood by – all stakeholder groups.

After all, they are key measures of consumers’ purchasing behaviour upon which the success of the brand depends. However, unless they are integrated into an economic model, they are insufficient for assessing the economic value of brands. Financially driven approaches Cost-based approaches define the value of a brand as the aggregation of all historic costs incurred or replacement costs required in bringing the brand to its current state: that is, the sum of the development costs, marketing costs, advertising and other communication costs, and so on.

This method is flawed because there are rarely generic equivalents to which the premium price of a branded product can be compared. Today, almost everything is branded, and in some cases store brands can be as strong as producer brands charging the same or similar prices. The price difference between a brand and competing products can be an indicator of its strength, but it does not represent the only and most important value contribution a brand makes to the underlying business. Economic use. Approaches that are driven exclusively by brand equity measures or financial measures lack either the financial or the marketing component to provide a complete and robust assessment of the economic value of brands.

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Brands and Branding (1st Edition) (The Economist) by Rita Clifton, John Simmons

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