Brand management innovation

"Management innovation is the survival and development of enterprises of the soul." Corporate and brand is closely integrated with, the rise of corporate brand development will promote the growth and maturity. Maintaining the brand, is, enterprise management an important part. From the management innovation is the core content business survival guide to maintaining the brand and culture, it contains a number of elements, such as brand and the concept of innovation, technological innovation, system innovation, management innovation process. The weak link, so the brand asset management and development control is also weak.

Replacement product brand strategy

Modern science and technology as the first social productive forces, the first element of competition is also based on the strength of brand competition. Corporate brand to a position in the competition, we must maintain a technological innovation, constantly upgrading the product. Such an example: Hornsey cooperation in the refrigerator manufacturers in China have misjudged the level of technology and market consumption capacity, fluorine-free agents mistakenly believe that China in recent years the technology will not be successful and put into use. However, China has quickly developed a fluorine-free refrigerators and quantities listed environmental protection, at this time, they are still Shouzhao old refrigerator production line investment, eyes looking ahead and to make people of the opportunities and regret不已. In our country there are many foreign brands, such as "eliminating the stain" of washing powder and has launched more new products, its technical level was higher trend, which is why many consumers prefer the brand's sake.

The updated brand positioning strategy for the amendment

From the perspective of enterprises, there is no once and for all brands, from the perspective of the development of the times, the requirements of the content and form of brand constantly changing. Brand is a sense from the commercial, economic and socio-cultural point of view of these changes understand and grasp. Therefore, enterprises in brand building, due to their competitive situation and that the target market, sometimes because of the characteristics of the times, social and cultural changes caused by that location.

First, the competitive environment for business Bishijiuxu, Yangzhangbiduan, that positioning. American non-cola drinks - "Qixi" beverage, in the soft drinks market, the study found that cola drinks and always conservative type of people together, while those who are always thinking of trendy symbol of their desire to find Kuangfangbuji Thinking of the markers. So the drinks began to market the new image of the new packaging, and specifically encourage thinking trendy to organize various activities. Bishijiuxu strategy makes Qixi been successful. This is in the face of the two cola companies under the pressing to find a market gap, the brand new market positioning has brought vitality to them.

2. Time changes caused by that location. Such as the United Kingdom was founded in 1908, Lee Cooper (LEE COOPER) jeans is the world's famous fashion brand is one of Europe's leading jeans manufacturer, the past 100 years, his brand image in constant change: the 1940s -- -- Freedom of non-binding; 1950s - treason; 1960s - easily fashionable; 1970s - uninhibited rough; 1980s - under the new wave of标新立异1990s - Fanpuguizhen.

Update the image of brand strategy update

Update the image, as its name suggests, is the brand image of innovation to adapt to changes in consumer psychology, in the minds of consumers a new impression of the process. There are a few:

1. Concepts lead to changes in consumer enterprises to actively adjust brand strategy, create a new image. With people such as the enhancement of environmental awareness, consumers have begun to choose as a pollution-free consumer goods, choose a different brand standards, enterprises can be used to avoid when it hit the virtual method, the image re-shaping products, to avoid involving environmental protection, or A head-on and on the strategy, updated brand image to protect the environment.

2. Grade adjustment. Enterprises to develop new markets, new markets and the need to shape a new image, such as the Japanese car market in the image of the United States, experienced by the compact, fuel-efficient, low energy consumption, low cost to the image of high-tech image of the concept car Changes to the brand's growth has added new vitality.

The significance of brand update

With the brand update is that the business environment changes and changes in consumer demand, branded content and form of expression to the evolving development to meet the needs of socio-economic development. Update brand is the inevitable socio-economic development. As long as the socio-economic development and changes in the environment, people tend to demand characteristics of the diversity of social change in fashion, it would not exist once and for all brands, only the design of the times to meet the needs of the brand, brands have vitality. Brand innovation is the brand of self-development of an inevitable requirement, is to overcome the only way an aging brand. Due to internal and external reasons, the corporate brand in the market competition in the visibility, reputation declined, and sales, lower market share of brands such as the loss of the phenomenon, known as the aging brand. In modern society, more and more rapid technological advances, some of the industry, product life-cycle more and more short, while consumer awareness of the community, changes in the frequency of consumption concept is gradually accelerating, which will affect the life of the products in the market. Heroes such as licensing typewriters, used electronic typewriters English Super Pin 1, but later with the personal computer technology and the introduction of multi-task system, mechanical and electronic typewriters English port due to the lack of communication was out of the market, the brand will be IBM and other computer companies were brand replaced.

Brand extension of the decision-making steps

Brand extension decision-making step is to integrate the principles of brand extension to consider the decision-making, has been focused on the brand equity of the investigation, new products suitable for systematic analysis of the process.

(1). Brand equity investigation stage. This phase of the task is to detect the presence in the minds of the public and all relevant Lenovo brand. This stage to speculate what brand products to meet the significance. We need to get the brand awareness, including the attributes, personality, intent, heart, commitment and hide what are the potential. With quantitative can (identify brands and brand penetration) and qualitative methods of research. Qualitative research is constructive, and we speculate brand in the minds of the change in the product categories and expectations for the product brand for the conditions. Once the conclusions drawn, then you can look to the market. Then enter the second phase.

(2). Testing new product ideas. Test new products not only to identify the concept of brand extension for the related products, determine whether the extension in line with the brand, but also to determine whether a product is considered beyond its competitors, namely extension of the desire to create a market. For example, the McDonald's fast food brands, to enter the field of photography, is not particularly unrealistic. For example, the subject displayed at the McDonald's hamburger itself beyond the insights of family relationships, their performance is in the environment set the theme of regional activities.

Through the above stage of the study, namely, the brand extension can be divided into several regions: the internal core domain / product line extension, the external core domain / natural Lenovo, extension of domain / implicit in the potential of the FCA / threat of brand equity. They are from, to a four concentric circles of the relationship. This business of brand extension strategy is a long-term guiding role.

Brand extension alone can not rely on the decision-making over a two-step decision-making. Because the brand extension is the result of strategic decisions, but also with the production, marketing, financial and human resources and other factors considered. Brand extension usually involves some risk, a study could not accurately predict brand extension for a period of time results. Therefore, enterprises, brand extension strategy, we must focus on long-term interests. In any event, complete with brand awareness for the brand extension terms of decision-making is always necessary.

The disadvantages of brand extension strategies

(1). Damage to the original brand image. When a certain type of product on the market ahead of the status, the brand has become a strong brand, in the minds of consumers will have a special image orientation, or even become a synonym for such products. This will be a strong brand extension, as proximate cause of (that is the last impression on people's awareness of a more profound impact on the role of) the existence, it is possible to play a strong brand image consolidate or weaken the role. If the improper use of the brand extension, the original strong brand image represented by the information was weakening.

(2). Runs counter to consumer sentiment. A brand for the success of the process, the consumer is shaped by the corporate brand-specific functions, such as the quality of the psychological characteristics of specific targeting process. The strength of enterprises and brand extension to or incompatible with the original market has nothing to do with the products, on the contrary the psychological orientation of consumers. Such as "999" was originally Wei Yao in the well-known brands, "999" extend to beer, consumers will be difficult to accept. The brand extension of such misconduct, not only the effectiveness, but it will also affect the original strong consumer brands in the eyes of the specific psychological orientation.

(3). Cixiaobichang easily form the "seesaw" phenomenon. When a name on behalf of two or more of a difference in the product, consumers will inevitably lead to fuzzy understanding of the products. When the extension of branded products in market competition at the absolute superiority, consumers will be the strength of the original brand positioning transferred to the psychological extension of the brand. Thus, in effect weakened the strength of the brand advantage. This extension of the strong brands and brand competition Cixiaobichang situation changes, that is, "seesaw" phenomenon.

(4). Implicate effect. Will crown a strong brand name in other products, if different products in quality, level on the difference between the poor, which makes the strong brand name products and brand extensions have an impact, not only damaged the extension of brand name products, but also implicate the strong brand.

(5). Dilute brand identity. When a brand on the market after the success in the eyes of consumers will have a special image orientation, attention also focused on the consumer to the product's function, quality and other characteristics on. If enterprises use the same brand launch function, is almost the same quality of similar products so that consumers fainted the first shift, the brand identity will be diluted.

Brand extension of benefits.

1. It can accelerate the positioning of new products, new product investment guarantee of quick decision-making accurate.
2. Help reduce the risk of new products in the market. Brand extension, is a new product has been made available on the brand, or even access to a well-known brands, can be greatly reduced consumer knowledge, recognition, acceptance, trust the process, is extremely effective in preventing the risk of new products in the market And can save tens of millions of high costs, effectively reducing the cost of new products. Compared with similar products, it stood with the same starting point, or even slightly better than rivals, the invincible with a competitive edge. The new brand extension beneficial to reduce the import cost of products in the market.
3. Brand extension will help strengthen the brand, increase brand that the economic value of intangible assets.
4. Brand extension can enhance the core brand image. To improve the overall brand portfolio of investment returns.

The concept of brand extension

Brand extension (Brand Extensions), is an existing brand name to use a new category of products. Brand extension is not only borrow on the surface of the brand name, but the whole of the strategic use of brand equity. With the global economy to accelerate the integration process, the increasingly fierce market competition, manufacturers of similar products in the performance, quality, price and other aspects of that difference is becoming increasingly difficult. The physical power of manufacturers marketing greatly weakened, the exclusive brand of resources makes brand manufacturers as the trial of strength between the competitiveness of an important bargaining chip. Thus, the use of the new brand or a brand extension of the old enterprises, the introduction of new products must face the decision-making brand. Brand extension is to achieve brand intangible assets transfer, the development of an effective way. Brand also bound by the life cycle, the existence of import period, growing, maturity and decline. Brands as intangible assets of enterprises is of strategic resources, how to give full play to their potential resources and brand extension of its life cycle has become a major corporate strategic decision-making. Brand extension of the new products on the one hand, the brand equity to achieve the transfer of new products on the other hand again extended the brand image of life, has become the realistic choice of enterprises.

Brand extension strategy

Brand extension strategy is to the success of existing brands, for new products or products that have a strategy.

Brand positioning to the decision-making

Brand positioning to the decision-making is a brand in the market, the initial location may be appropriate, successful, but later the companies may have to re-position. There are many reasons for, such as competitors may be following the corporate brand after the launch of his brand, and cut their market share, customer preferences will be transferred to the corporate brand of reduced demand, or the company decided to enter the new market segments.

In making the decision-making brand re-positioning, the first consideration should be given to transfer to another brand market segments by the cost, including changes in product quality costs, packaging costs and advertising costs. In general, the re-positioning of the span is, the higher the cost. Second, we must consider the brand positioning in a new location after the possible gains. Revenue size is determined by the following factors: a target market of consumers number of consumers to buy the average rate in the same market segment the number and strength of competitors and the market segments in the re-positioning for the brand to pay Price.

"Qixi" the brand repositioning is a typical example of the success. Qixi drink that many soft drinks in one, the survey showed that the main buyers are the elderly, they are asked to drink and a small irritation lemon flavor. Qixi company to a clever move, carried out a remarkable event, advertised himself as the production of non-cola drinks to get the non-cola drinks market leading position.

Brand cooperation strategy

Cooperation brand (also called dual-brand) are two or more brands in a product together. Each brand can look forward to another brand to strengthen the overall image or purchase intention.

Cooperation in the form of a variety of brands. Cooperation is a brand of intermediate goods, such as the Regal Motors Corp. said the ad, which uses Michelin tires. Another form of cooperation is the same enterprise brands such as Motorola's new phone using a "Motorola Zhang Zhongbao," Zhang Zhongbao company is also a registered trademark. There is also a form of joint venture brands, such as Hitachi's use of a light bulb, "Hitachi" and "GE" co-branded;

The new brand strategy

For new product design new brand strategy known as the new brand strategy. When enterprises in the new product categories in the launch of a product

, It may be found in the original brand name is not suitable for it, or the new products are better and more appropriate for the brand name of the enterprise, need to design a new brand. For example, Chunlan Group to produce the famous air-conditioning, when it decided to develop motorcycles, using the name of the feminization of Chunlan this is not the appropriate, therefore adopted a new brand "Chunlan leopard." Also, the original production of health products Yangsheng Tang development of drinking water, use a better brand name, "the farmer Springs."

Although the multi-brand strategy has many advantages, but also there are many limitations.

(1) With the introduction of new brands, its net contribution to the market rate Jiangcheng a marginal decline trend. Economics of marginal utility theory tells us that as a consumer of the increase in consumer goods, the goods were diminishing marginal utility of the trend. Similarly, for an enterprise, with the increase in brand, the new brand-to-business market marginal contribution rate is off the trend of diminishing. This is due to the limited resources within the enterprise, to support a new brand is sometimes necessary to reduce the estimated cost of the original brand on the other hand, enterprises in the creation of new brands on the market because competitors will be the resistance without achieving the desired results They will address the new corporate brand launch a similar competitive brands, or intensify the existing brand marketing efforts. In addition, another important reason is that as companies in the same online brand products increased between the brand will inevitably erode each other's market. In the sudden expansion of the market difficult, it is difficult to imagine the new brand to attract consumers are all competitors customers, or has never used the product, especially when the product differentiation smaller, or the same product Online different brand positioning difference not significant, this brand eroded among the phenomenon is particularly significant.

(2) brand promotion cost more. Enterprises to implement multi-brand strategy, it means that limited resources can not be allocated to the profitability of the few strong brands, brands need a long-term, a huge publicity budget. For some enterprises, it is elusive.

Multi-brand strategy

The same product categories in the introduction of multiple brand strategy known as the multi-brand strategy. Securities investors often invest a variety of stocks, an investor of all shares held by the collection is the so-called portfolio (portfolio), in order to reduce the risk of increased profit opportunities, investors must constantly optimize the equity portfolio. Similarly, the establishment of a portfolio of brands, the implementation of multi-brand strategy, often based on the same considerations, and such brand portfolio among various brand image is also linked to the existing differences, not stew, contains a combination of the overall concept More than individual significance.

(1) nurturing the needs of the market. Not a single brand alone can cultivate a market. Although initially a certain brand to outshine others, but once hard, and so it opened up to a fertile market, other people will be flocking to. Many market competitors opened up a common market, the market will help the rapid development and maturity. When the market began to divide, many contributors to the advertising market usually unavoidable, its effect is to further strengthen the product category of the common advantage. Some market at the beginning of a dynamic, but not the final form of climate, one of the reasons is that few participants. If a wholesale market only 23 shops, empty, the market is not what the market. There are a number of brands together to support an overall market absolutely necessary. Personal computer market as an example, if a business only Apple monologue, no other computer manufacturers follow-up, absolutely impossible for this popular form today's PC market.

(2) various brands so that enterprises have the opportunity to maximize market coverage. Not a single brand alone can occupy a market. As the market matures, the needs of consumers gradually broken down, a brand can not maintain its basic meaning and at the same time meet the same objectives. That is why some enterprises to create a number of brands to the market to different segments of their mind. On the other hand, Western retailers in recent years the rise of self-brand manufacturers to issue a strong challenge to shake the manufacturers to establish and maintain a brand on the active and dominant position. Multi-brand strategy will help manufacturers and retailers curb brokers control a brand further about their own abilities.

Multi-brand offers a flexible, help limit the expansion of opportunities for competitors, making competitors are in every segment of the existing brands are entering the obstacles. In the price war to defend the main brand, multi-brand is indispensable. Those secondary brands, as a small unit forces, launched a price war to the competitors to quickly crack down on the flank, who helped to provoke both difficult to Gu. At the same time, the core brand's leading position will be Haofa prejudice. Leading brands shoulders ensure that the entire product category of the profitability of the task, their status must be defended Otherwise, once the charm of its decline, product unit profit would be difficult to rehabilitation or the end of the brand would be rejected by retailers.

(3). Highlight and protect the core brand. When the need to protect the image of the core brand, multi-brand presence all the more significant, in the absence of core brands in the grasp of innovation can not be blindly risk. For example, to defend the brand equity, the Disney film production companies in its use of multiple brands, making Disney enterprises can produce all types of movies, so as to avoid the damage of Disney's prestigious image. In the West, the retail system to the keen interest in brand diversification, manufacturers use of multi-brand strategy to improve their overall market share, to increase their weight in the trial of strength with retailers.

Therefore, the multi-brand strategy will help cultivate business, market coverage, lower marketing costs, restrictions on competitors and effectively respond to the challenges of retailers.

product line expansion strategy

Product line expansion refers to the existing product line to use the same brand, when to increase the product line of products, still use the original brand. The new products are often partial to improve existing products, such as adding new features, packaging, design and style, and so on. Usually manufacturers of these products will be marked on the packaging of different specifications, different features or different users. Expanded product line are many reasons for, such as to take full advantage of surplus production capacity; meet new consumer needs first to become a full product line for the company to fill the market gap, with the introduction of new competitors or competitive products In order to get more shelf position. Product line expansion of interests: the survival rate higher than the expansion of products of new products and new products are usually the failure rate of 80% to 90%; meet the needs of different market segments; complete product line can be competitors of defense Attacks. Product line expansion of the negative: it may lose its brand name to a particular significance. With the growing product line, will dilute the original brand identity and image, increase consumer awareness and choice of the difficulty sometimes because the original brand is too strong, causing confusion product line expansion, with sales volume insufficient to They offset the development and marketing costs if the consumer fails to distinguish between the eyes to a variety of products, will create a product line with the old and new products in the fratricidal situation.

Brand strategic decision

Brand strategy has five kinds of decision-making. Namely: product line expansion strategy, brand extension strategies, multi-brand strategy, the new brand strategy, brand strategy of cooperation.

Brand name decision-making

Brand name refers to the decision-making decisions all the products use one or several brands, or different products were using a different brand. On this issue, can generally have the following four types of decision-making mode:

1. Individual brand name. That is, the decision of each product using a different brand. Use of individual brand name for each product to a different market position and is conducive to increasing sales and confrontation competitors, it can also disperse risks, so that enterprises will not be because of the reputation of certain products affected by the poor performance. Such as "P & G" a washing powder company to use the "elimination of stains," "Bilang"; soap to use the "skin Shu-kai" the use of toothpaste, "Jia Jieshi."

2. All products use a common family of brand names. Which means that enterprises of all products using the same brand. For those who enjoy high reputation of the well-known enterprises, all brand name products adopt a unified strategy to take full advantage of its brand name effect, so that enterprises of all products sold. At the same time businesses on the cost of introducing new products is also relatively low cost, to new products enter the market. For example, the U.S. General Electric Company's GE products are used as a brand name.

3. The major categories of products using a different family of brand names. Enterprises to use this strategy, the general is to distinguish between different categories of products, a product category of products to use the common brand family, so in different product categories in the area of establishing their own brand image. Companies such as the swift production of a product category is the ham; There is also a major chemical fertilizers, were named "Puli Mu" and "high-fat Luo."

4. Individual brand name and corporate name and use. That is, the decision of its different types of products are taking a different brand name, brand name and before adding the names of enterprises. Such strategies of the enterprises for the development of new products. In the new products with brand names on the business name, so that new products can enjoy the reputation of enterprises, and a different brand name, will enable all kinds of new products show different characteristics. For example, Haier Group launched a "Pathfinder" color TV, "Hercules" Freezer, "Prince", "Little Prince" and "small child prodigy" washing machines.