Corporate Branding Advertising And Marketing

Corporate brand by any measure is very important to contemporary organisations. Corporate brand has come to be a important asset for any firm, which some times have worth beyond the book worth.

To answer the question stated above it's significant to explain what a corporate brand is. It really is then also vital to appear in to the situation how a corporate brand is valuable to an organisation. What type of financial benefit it could give to an organisation and to what extent it assists organisations to obtain competitive positive aspects more than its competitors.

You will discover several definitions of corporate brand presented by distinctive authors and scholars. A number of the defamations are as follow:

David A. Aaker defined corporate brand as "As the brand that defines the organisation that deliver and stand behind the supplying, the corporate is defined primarily by organisational associations. In particular, a corporate brand will potentially possess a wealthy heritage, assets and capabilities, people today, values and priorities, a local or international frame of reference, along with a formance record."

(Brand portfolio strategy by David A. Aaker, California management review vol46 no3 spring 2004.)

In accordance with Balmer (2003) the corporate brand is observed as a sixth identity variety known as the covenanted identity, which can be viewed as independent and distinct. Balmer (2001) created the mnemonic C2ITE (Cultural, intricate, tangible, ethereal and commitment), this reflects the corporate brands special attributes and assists recognize essential characteristics on the corporate brand.

Though Lawer and Knox (2004) state that a corporate brand is really a strategy to conceive, manage and communicate corporate brand values in order to guide managerial decisions, actions and normative firm behaviour. It might then state that brand is commonly the name of a solution or mark of ownership.

So being able to express its self genuinely and openly and after that communicate the message to its customers clearly.

"The corporate branding philosophy, at it really is core, represents an explicit covenant involving organisations and it really is crucial stakeholder groups, which includes customers" (Balmer & Greyser, 2003)

Corporate branding can be defined as "Corporate branding refers to the practice of using a company's name as a product brand name. It is actually an attempt to leverage corporate brand equity to create item brand recognition."

wikipedia.org/wiki/Corporate_branding

The keeping of an organisations promise can lead to corporate brand equity; this is when customers hold favourable, strong, and unique associations about the corporate brand in memory (Keller 1993). You can find many advantages of corporate branding as corporate brands represent the class and well known by every body, for example once David Beckham said, "I can't even imagine using any nothing else then Adidas". Though he is the contracted model for Adidas but at the same time it reflects that Adidas as luxurious and expensive item and also a status symbol. This made sports people with money buy that item. Rolex watches can also be an example for this, Rolex are known as the watches for high-class individuals. This makes men and women with money buy the Rolex watches to show the class. This is the brand equity of Adidas and Rolex.

Brand equity can be transferred to other products as well. This can be seen in the case of VW buying the Skoda. Before VW took more than Skoda's sales were declining but in recent years Skoda has improved and its sales has gone up as well due VW's transferred its brand equity to Skoda. G.M motors have also bought distinct corporate brands such as Daewoo and Volvo and have transferred the brand equity to them brands.

This does not stop here you will discover so many other benefits an organistaion can have by having a corporate brand. Newman (2001) suggests that success rate of a new item or service can increase by twenty percent if it has a corporate brand behind it. Also costs could be reduced when launching the product or service than if it did not possess a corporate brand supporting it.

This is due to the trust and credibility build by the organisations. Customers prefer to stay with the organisation they have dealt with before. When Mercedes build the 4*4 persons have bought the vehicles even though it was the first time Mercedes has launched a 4*4 vehicle. Mercedes has achieved this through due to the string branding and consumer trust on them.

Corporate brand has a longer life as compare to other resources with in the company. For example Coca Cola the brand is much older then the plants and location used to make it. It's also older then the human resources those make the item. Grant (1991) stated that the corporate brand tends to decay slowly, and strong corporate brands can decrease the competition in the market. Products have shorter lifecycle so corporate brands are preferred over just item brand.

A corporate brand is an intangible asset so it really is difficult to copy as it truly is not a item from a production line. Corporate brand represents a logo or a slogan that is protected by laws, which are in place. Slogans or logos are more secure then the product it self as it is actually easy to copy a product but it really is nearly impossible to copy a logo.

Corporate brand assists achieving the economies of scope, which means it is actually less costly to get a firm to produce two separate products than for two specialized firms to produce them separately. For example Nike has a slogan of "Just Do It" across the globe and through its advertising Nike can promote its various products and services.

Due to advancement in technology and in communication world is becoming a small community. Consumers are more knowledgeable then ever. Globalisation is common amongst all the big organisations. Corporate brand is essential for the globalise organisations to show that their core value is same wherever the product is.

Corporate branding is also pretty useful when organisations want to enter into a new market. This can be seen when Samsung entered into mobile communication market, Samsung did not have much experience in mobile market but their recent mobile model Samsung D500 has outclassed Nokia and Motorola's models. This is achieve mainly through innovation but brand equity played its part as well. Samsung is brand which consumers can trust and is known to get a time.

In line with Balmer (2001) a corporate brand is observed as a rare entity due to brands exclusive pattern of development. Companies with corporate brands have competitive advantages more than those that do not have corporate brand. The brand name, logo plays a vital role in awareness and it also provides the peace of mind to clients. Olins (2001) classed Manchester United and British Airways as organisations with corporate brands. Reason that these organisations have corporate brands is because that's how they presented their brands through advertising and marketing such as T.V advertising, Billboards and other promoting campaigns. These companies have spend millions of pounds on advertising to possess a corporate brand, as organsiations with corporate brand believes that this will give them a competitive advantage. It might be stated by considering Olins statement that corporate brand is very important for the organisations.

Davis suggests corporate brands are not required by some companies, for example those that may possess a portfolio of brands such as Unilever and Proctor and Gamble, tends to use the branding of products rather than implementing a corporate brand. This challenge of importance of having a corporate brand has not been taken by these major organisations in past for example surf is often a solution by Unilever. Unilever's general emphasis is on item branding as compare to one corporate brand. But the importance of a corporate brand has been explored on these big companies.

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