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,STRATEGIC BRAND MANAGEMENTBUIlDING, 1tASURING, AND MANAGING BRAND fQUITYTHIRD EDITIONKevin Lane KellerAmos Tuck School ofBusinessDartmouth College----PEARSONPrenticeHallPearson Education International

BRIEF CONTENTSPart I: Opening PerspectivesChapter 11Brands and Brand ManagementPart II: Identifying and Establishing Brand Positioningand Values 47Chapter 2Customer-Based Brand EquityChapter 3Brand Positioning4797Part III: Planning and Implementing Brand MarketingPrograms 139Chapter 4Choosing Brand Elements to Build Brand EquityChapter 5Designing Marketing Programs to Build BrandEquity 184Chapter 6Integrating Marketing Communications to BuildBrand Equity 229Chapter 7Leveraging Secondary Brand Associations to BuildBrand Equity 279139Part IV: Measuring and Interpreting Brand PerformanceChapter 8Developing a Brand Equity Measurement andManagement System 315Chapter 9Measuring Sources of Brand Equity: Capturing CustomerMind-Set 353Chapter 10Measuring Outcomes of Brand Equity: Capturing MarketPerformance 402Part V: Growing and Sustaining Brand Equity432Chapter 11Designing and Implementing BrandingStrategies 432Chapter 12Introducing and l'Jaming New Products and BrandExtensions 489Chapter 13Managing Brands over TimeChapter 14Managing Brands over Geographic Boundaries andMarket Segments 588Part VI: Closing PerspectivesChapter 15iv315635Closing Observations635546

-Prologue: Branding Is Not Rocket Science xivPreface xvAcknowledgments xxAbout the Author xxiPart I: Opening PerspectivesChapter 11Brands and Brand ManagementPreview12What Is a Brand? 2Brands versus Products3Why Do Brands Matter?ConsumersFirms669Can Everything Be Branded?Physical GoodsServices101115Retailers and Distributors17Online Products and ServicesPeople and Organizations21Sports, Arts, andEntertainmentGeographic LocationsIdeas andCauses19232526What Are the Strongest Brands?27Branding Challenges and OpportunitiesSavvy Customers30Brand Proliferation35Media Fragmentation35Increased CompetitionIncreased Costs303636Greater Accountability36The Brand Equity Concept37Strategic Brand Management Process38Identifying and Establishing Brand Positioning38Planning andImplementing Brand Marketing ProgramsMeasuring and Interpreting Brand PerformanceGrowing and Sustaining Brand EquityReview39404142Discussion QuestionsBrand Focus 1.042Historical Origins of Branding43v

viCONTENTSPart II: Identifying and Establishing BrandPositioning and Values 47Chapter 2Customer-Based Brand EquityPreview 48Customer-Based Brand EquityBrand Equity asa Bridge4849Making a Brand Strong: Brand KnowledgeSources of Brand EquityBrand AwarenessBrand Image4751535456Building a Strong Brand: The Four Stepsof Brand Building 59Brand Building BlocksBrand SalienceBrand PerformanceBrand Imagery60606465Brand JudgmentsBrand Feelings6768Brand Resonance72Brand-Building ImplicationsCreating Customer Value7479Customer Relationship ManagementCustomer Equity7981Relationship of Customer Equity to Brand EquityReview8486Discussion Questions87Brand Focus 2.0 The MarketingAdvantages of Strong BrandsChapter 3Brand Positioning97Preview 98Identifying and Establishing Brand PositioningBasic ConceptsTarget Market989899Nature of Competition104Points of Parity and Points of DifferencePositioning Guidelines107110Defining andCommunicating the CompetitiveFrame of Reference 110Choosing Points of Difference114Establishing Points of Parity andPoints of DifferenceUpdating Positioning over Time117Defining and Establishing Brand MantrasCore Brand AssociationsBrand Mantras122Internal Branding12512112111588

CONTENTSBrand Audits126Brand Inventory128Brand Exploratory129Brand Positioning and the Supporting MarketingProgram 131Review131Discussion QuestionsBrand Focus 3.0132Rolex Brand Audit132Part III: Planning and ImplementingBrand Marketing Programs 139Chapter 4Choosing Brand Elementsto Build Brand Equity 139Preview140Criteria for Choosing Brand ity143Options and Tactics for Brand ElementsBrand NamesURLs154Logos and ng165Putting It All TogetherReview174176Discussion QuestionsBrand Focus 4.0Chapter 5144145178Legal Branding Considerations179Designing Marketing Programsto Build Brand Equity 184Preview185New Perspectives on Marketing185Integrating Marketing Programs andActivitiesPersonalizing MarketingReconciling the NewMarketing ApproachesProduct Strategy194Perceived Quality and ValueRelationship MarketingSummary199186188196195194vii

viiiCONTENTSPricing Strategy200Consumer Price Perceptions200Setting Prices to Build Brand EquitySummaryChannel StrategyChannel Design211211Indirect Channels214Direct Channels217Web Strategies218SummaryReview219220Discussion QuestionsBrand Focus 5.0Chapter 6201211221Private Label Strategies and Responses222Integrating Marketing Communicationsto Build Brand Equity 229Preview230The New Media Environment231Challenges in Designing Brand-Building CommunicationsRole of MultipleCommunications234Overview of Marketing Communication OptionsAdvertising235Promotion256Event Marketing andSponsorshipPublic Relations andPublicityPersonal Selling232235259264266Developing Integrated MarketingCommunication Programs 267Criteria for IMC Programs267Using IMC Choice Criteria271Review272Discussion QuestionsBrand Focus 6.0Chapter 7273Coordinating Media to Build Brand Equity 274Leveraging Secondary Brand Associationsto Build Brand Equity 279Preview280Conceptualizing the leveraging ProcessCreation of NewBrand Associations281Effects on Existing Brand Knowledge282GuidelinesCompany281283284Country of Origin and Other GeographicAreas 285Channels of DistributionCo-BrandingGuidelines289292Ingredient Branding298288

CONTENTSlicensing301Guidelines303Celebrity Endorsement 304Potential ProblemsGuidelines305307Sporting, Cultural, or Other Events 307Third-Party SourcesReview308311Discussion Questions311Brand Focus 7.0 Going for Corporate Gold at the Olympics312Part IV: Measuring and Interpreting Brand PerformanceDeveloping a Brand Equity Measurement andManagement System 315Chapter 8Preview316The New Accountability316The Brand Value Chain 317Value Stages318Implications324Designing Brand Tracking StudiesWhatto Track325325How to Conduct Tracking Studies330Howto Interpret Tracking Studies332Establishing a Brand Equity Management System 333Brand Equity Charter333Brand Equity Report336Brand Equity ResponsibilitiesReviewDiscussion QuestionsBrand Focus 8.0Chapter 9339348349Managing Brands at Ogilvy & Mather 350Measuring Sources of Brand Equity: CapturingCustomer Mind-Set 353Preview354Qualitative Research TechniquesFree Association354355Projective Techniques360Zaltman Metaphor Elicitation TechniqueBrand Personality and ValuesExperiential MethodsSummary365369370373Quantitative Research TechniquesAwarenessBrand Image374379Brand Responses383Brand Relationships386374315ix

I"xCONTENTSComprehensive Models of Consumer-Based Brand EquityBrand DynamicsEquity Engine391Relationship to the CBBE ModelReview392392Discussion QuestionsBrand Focus 9.0Chapter 10393Young & Rubicam's BrandAsset Valuator393Measuring Outcomes of Brand Equity:Capturing Market Performance 402Preview403Comparative Methods404Brand-Based Comparative Approaches404Marketing-Based Comparative ApproachesConjoint Analysis409Holistic Methods410Residual ApproachesReview405411Valuation Approaches413422Discussion Questions426Brand Focus 10.0 Branding and Finance427Part V: Growing and Sustaining Brand EquityChapter 11390390432Designing and ImplementingBranding Strategies 432Preview433Brand Architecture433The Brand-Product Matrix 433Breadth of a Branding StrategyDepth of a Branding StrategyBrand Hierarchy434439446Building Equity at Different Hierarchy LevelsCorporate Image Dimensions448453Designing a Branding Strategy462Number of Levels of the Brand Hierarchy464Desired Awareness and Image at Each Hierarchy LevelCombining Brand Elements from Different LevelsLinking Brand Elements to Multiple ProductsDeveloping a Brand Architecture468469Adjustments to the Marketing Program469Using Cause Marketing to Build Brand EquityAdvantages of Cause MarketingReview473473Designing Cause Marketing ProgramsGreen Marketing466467475477480Discussion Questions482Brand Focus 11.0 Weathering a Brand Crisis: The Tylenol Experience482

CONTENTSChapter 12Introducing and Naming l\Iew Productsand Brand Extensions 489Preview490New Products and Brand ExtensionsAdvantages of Extensions490494Facilitate NewProduct Acceptance494Provide Feedback Benefits to the Parent BrandDisadvantages of Brand ExtensionsCan Confuse or Frustrate ConsumersCan Encounter Retailer Resistance499502S02503Can Fail and HurtParent Brand Image506Can Succeed but Cannibalize Sales of Parent Brand506Can Succeed but Diminish Identification with AnyOne CategoryCan Succeed but Hurtthe Image of the Parent BrandCan Dilute Brand Meaning507508510Can Cause the Company to Forgo the Chance to Develop a NewBrandUnderstanding HowConsumers Evaluate Brand ExtensionsManagerial Assumptions511Brand Extensions and Brand EquityVertical Brand Extensions512514Evaluating Brand Extension Opportunities517Define Actual andDesired Consumer Knowledge aboutthe BrandIdentify Possible Extension Candidates518Evaluate the Potential ofthe Extension CandidateDesign Marketing Programs to Launch Extension519521Evaluate Extension Success and Effects on ParentBrand Equity 522Extension Guidelines Based onAcademic ResearchReview538Brand Focus 12.0 Guidelines for Profitable Line ExtensionsChapter 13Managing Brands over TimePreview523538Discussion Questions546547Reinforcing Brands547Maintaining Brand Consistency548Protecting Sources of Brand EquityFortifying versus Leveraging550551Fine-Tuning the Supporting Marketing ProgramRevitalizing Brands558Expanding Brand AwarenessImproving Brand ImageEntering NewMarkets566568570Adjustments to the Brand PortfolioMigration Strategies572Acquiring New CustomersRetiring Brands577510511574572551539518xi

xiiCONTENTSReview582Discussion Questions584Brand Focus 13.0 Corporate Name ChangesChapter 14584Managing Brands over GeographicBoundaries and Market Segments 588Preview589Regional Market Segments589Other Demographic and Cultural SegmentsRationale for Going International590591Advantages of Global Marketing Programs591Economies of Scale in Production and Distribution592Lower Marketing CostsPower and Scope593594Consistency in Brand Image595Abilityto Leverage Good Ideas QUickly andEfficientlyUniformity of Marketing Practices595596Disadvantages of Global Marketing Programs596Differences in Consumer Needs, Wants, andUsage Patternsfor Products 597Differences in Consumer Response to Marketing Mix Elements597Differences in Brand and Product Developmentandthe Competitive Environment 598Differences in the Legal Environment598Differences in Marketing Institutions599Differences in Administrative Procedures599Standardization versus CustomizationStandardization andCustomizationGlobal Brand Strategy603Global Customer-Based Brand EquityGlobal Brand Positioning599601605607Building Global Customer-Based Brand Equity6071. Understand Similarities and Differencesin the Global Branding Landscape 6082. Don'tTake Shortcuts in Brand BUilding3. Establish Marketing Infrastructure6096124. Embrace Integrated Marketing Communications5. Cultivate Brand Partnerships6136156. Balance Standardization andCustomization7. Balance Global and Local Control8. Establish Operable Guidelines6186226239. Implement a Global Brand Equity Measurement System10.Leverage Brand ElementsReview624625Discussion Questions627Brand Focus 14.0 China's Global Brand Ambitions 629624

CONTENTSPart VI: Closing Perspectives635Closing ObservationsChapter 15Preview635636Strategic Brand Management Guidelines636Summary of Customer-Based Brand Equity FrameworkTactical Guidelines638What Makes a Strong Brand?Special Applications642644Industrial andBusiness-to-Business ProductsHigh-Tech ProductsServices652Retailers655Small BusinessesOnline660663Future Brand PrioritiesBuilding Brand Equity666666Measuring Brand Equity667Managing Brand Equity668Achieving Marketing BalanceReview668673Discussion Questions673Brand Focus 15.0 The Brand Report CardEpilogueCreditsIndex676677679645649674636xiii

The Brand Equity Concept 37 Strategic Brand Management Process 38. Identifying and Establishing Brand Positioning 38 Planning andImplementing Brand Marketing Programs 39 Measuring and Interpreting Brand Performance 40 Growing and Sustaining Brand Equity 41 Review 42 Discussion Questions 42 Bran

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