Brand management system. Effective brand management of a flower shop

Brand management is the process of creating your own brand, i.e. trademark. Moreover, this includes only the initial stage of creating everything necessary for the future brand (name, logo, packaging design, etc.), as for brand promotion, marketing and competition, this does not apply to brand management. However, do not think that brand management is not such an important component of success. Quite the contrary, because it depends on what you initially put in the trademark, how you build a plan, how successful the symbolism will be, etc., depends on whether you can become a leading manufacturer, or remain among the small "consumer goods" and unsuccessful marketers.

Brand management is just the beginning!

Any entrepreneur must understand that having made effective brand management, he will have to promote it. No matter how brilliant your ideas are, people will not buy your product if you do not advertise it, if you do not compete, etc. Thus, creating a trademark is only half the battle, later you will have to work with it for a long time, invest money and personal time in it.

It is worth noting that almost anyone can carry out brand management. But another question: what kind of brand management? Many entrepreneurs do it through one place, hence the high percentage of unsuccessful entrepreneurs who promote their brand.

The name is everything!

Think a brand name doesn't really matter? No, it is perhaps the most important thing in the brand building process. The more attractive the name is, the easier it is to remember and pass on to friends and acquaintances, the more chances you have to become a top brand. And if your name is impossible to pronounce, it has nothing to do with the purpose of the product, then you will not achieve much success. The most important components of a brand name are brevity, attractiveness, uniqueness, creativity and disclosure of the content of your products. In principle, some brands promote themselves only on the name. If you don't believe me, then here's a real-life example for you:

A new chain of supermarkets with the original name "Tam-Tam" appeared in my city. At first, everyone laughed at this name, but today these stores are quite popular, and this is provided that the owners of Tam-Tam did not conduct any mass advertising campaign. They left exclusively on word of mouth, when people passed on information about an unusual supermarket among friends and acquaintances. Funny, creative and, most importantly, profitable.

Stages of brand management!

Choice of branch of activity.

From the very beginning, a person should think not about the brand, but about the area of ​​business in which he wants to work. Here you need to sit down and think about whether you can succeed in this area, whether you have enough skills and abilities. Also estimate, at least approximately, how much profit you intend to receive, what will be the cost price and, most importantly, why your products or services will be in demand among people. You may even have to conduct opinion polls, but it’s better to spend an extra couple of weeks than to regret the wrong choice for the rest of your life.

We conduct benchmarking - analysis of competitors!

When you have decided on the industry, it is time to do a little benchmarking, i.e. analyze how your competitors are doing. Attention should be paid only to the most successful, because if you want to create a brand, then strive for leadership. You should not even look at small brands, just to learn from their mistakes.

Think about why one brand is superior to another, what its competitive advantages are, how marketers work when advertising it, etc. Having made a competent analysis, you can make your own changes, additions, and then proceed directly to building your brand, taking into account all the advantages and disadvantages of competitors.

Some businessmen, in order to learn the secrets of competitors, get a job with them or introduce their person there. As a rule, analysis from the inside brings much more results, but it can take more than a year.

Come up with a name and logo.

About the name was painted above, now let's talk about the logo. In fact, your logo is the face of the company, and the more colorful, brighter and more attractive it is, the more successful your brand is. It is not necessary that the emblem has a lot of meaning, because people, for the most part, do not consider packaging in search of hidden philosophical overtones. However, the logo should not be completely “left” either. Its main characteristics: brightness, memorability, attractiveness, uniqueness.

It is worth noting that some businessmen try to make their logo look like an already promoted brand. Of course, this can bring results, but there are two drawbacks. Firstly, you can fall under the copyright laws and incur liability for plagiarism (even partial) in the form of a fine. Secondly, if you want to take a leading position in your camp or world, then your emblem must be unique. It is possible that you will go much further than the brand you want to fake.

Production and marketing planning.

This is a very long and important stage, which includes absolutely all the actions associated with creating your own business. I will not dwell on it, because this is material for a separate article.

Advertising campaign planning.

But it’s worth saying a few words about marketing planning. When your brand is fully created and registered in accordance with the law, you will start promoting it. So the advertising plan should be prepared in advance, because then you will not have time to draw it up. You have to calculate how much your advertising will cost, what types you will use, who will be targeted for marketing, etc. The more detailed your plan, the better.

Company and brand registration.

The last stage is the registration of the brand and business. At the same time, you draw up all the documents, register with the tax office, receive a license, permit, patent and many other documents. I will not dwell on this point either.

Marketing is an integral part of a successful brand!

I have said before and I will say it again: without marketing it is impossible to make a good and popular brand, or rather, it is possible to do it, but to promote it is not. Advertising can be different, from traditional to the most unusual options (as in the case of "Tam-Tam"), but it must be present without fail.

3 rules of a successful brand!

1. Don't waste money on advertising or other ways to promote your brand. If you save on absolutely everything, then you will not be the owner of a large and popular brand. A lot of money should be allocated for promotion, it is also advisable to order a logo and packaging design for professionals, and not do it “in haste” on your computer in Paint.

Bribes are also acceptable, but I didn't tell you that...

Afterword…

One thing to remember is that you won't be able to build a popular brand if you keep your goals down to earth. Even though you are now just a graduate of an economic university with a small initial capital, even if you are still far from the most prestigious brands, but this is only for now ... Set a goal for yourself: to become the best, and go for it, no matter what. Carry out brand management, promote a trademark and climb the "financial Olympus"! Only such an attitude can bring effective results.

The essence of brand management. The advantages of developing branding technologies are proven by the practice of the world's leading companies and lead to increased competitiveness, increased profitability of operations and shareholder value of the company, expansion of the scope of activities, development of new industries. The above is only a part of the benefits provided by brands to their owners. In the modern economy, where any, even the most insignificant, advantage becomes the basis of the company's competitiveness, branding becomes the competence of professionals.

The main management functions implemented by companies in the course of operational and economic activities and ensuring the effectiveness of management - planning, organization, control, leadership, motivation and a number of others - were identified at the beginning of the 20th century. However, these functions, and, accordingly, the methods and means of their implementation are not immutable. When the economic situation changes, they are constantly modified and deepened, in connection with which the content of the work performed by managers becomes more complicated.

The development of marketing took place against the backdrop of saturation of commodity markets. The separation of the marketing function from the general management system was dictated by the need to collect and analyze data in the sphere of goods circulation in order to adapt production to new market requirements due to the increasing demassification of consumer demand.

The subsequent development of market relations, increased competition and the complication of sales contributed to the introduction of new management approaches, functions and strategies. The need for competent, evidence-based management of branded assets contributed to the formation of brand management as an independent direction of management activity.

The brand management institute began to be created in the 30s of the XX century. In corporation Procter & Gamble a marketing division was organized on the principle of separate management of each brand. For the first time in the history of management, the position of a brand manager appeared, who was supposed to coordinate all intra-company operations related to the development, production and sale of the brand under his control.

Originating as an offshoot of the sales management system, brand management gradually gained more and more strategic importance: firms began to develop marketing strategies for individual brands and develop new markets. With the development of the general culture of the organization and the accelerated penetration of modern electronic technologies into the systems of intra-company management, brand management has transformed into an independent function that integrates different areas of intra-corporate relations. In modern conditions, branding is becoming a strategic process, implemented as part of a separate direction in the management of the company and coordinated by an individual specialist.

Brand management is a management function aimed at maximizing brand assets by integrating the means and methods of intra-company mechanisms based on a balanced investment approach to branding and the implementation of related communications both inside and outside the company.

The managerial essence of the brand management function reflects the objective conditions for the development of competition in the global market and is focused on creating effective brand management structures. These structures provide strategic cooperation with partners and interaction with consumers. In modern companies, structures that develop brand management integrate marketing, production, innovation and sales, optimize intra-company management in accordance with market demands. This integration of functions allows you to adapt the product to consumer expectations even at the stage of its concept development.

The new tasks entailed changes in the system of corporate relationships both vertically - between levels of management, and horizontally - between divisions of the scientific, industrial and marketing chain. As a result, flexible end-to-end brand management structures have emerged that use horizontal links between marketing, R&D, production, and sales departments. Accordingly, it was necessary to strengthen the coordination of activities between all departments at all levels of intra-company management. Thus, the development and introduction of new brands to the market has been transformed from a marketing to a corporate function.

Separated from the general system of intra-company management as a result of the increasing importance of brand assets in the activities of companies, brand management has acquired its own mechanism - management models and methods, special principles for organizing the management process, as well as the organizational structure of brand management.

How brand management function has a set of tools and methods implemented within the framework of strategic, operational and administrative-organizational management, and is based on certain principles. Each of the identified areas is focused on solving specific problems in the overall branding system at the corporate level.

Methods of administrative and organizational management of brands involve the definition of organizational forms of brand management, including the distribution of functions and the establishment of relationships between various services, departments and divisions of the company involved in the brand management process.

Within the framework of administrative and organizational management, the functions of decision-making in relation to brands are distributed among senior employees and empowered with the appropriate powers:

Establishing formal relationships between services, departments and divisions;

Distribution of responsibility between managers of different levels of management;

Development of specific schemes and procedures for decision-making, including the organization of information flows and technical support.

Modern organizational structures for brand management are highly complex and are determined by:

The production profile of the company (specialization in the production of one type of product or a wide range of products from different industries),

The nature of the product,

The field of activity of the company (orientation to local, national or international markets),

The scale and forms of foreign activities (manufacturing, trade, franchising and other operations),

Features of marketing strategies (work with consumer segments, positioning features, etc.).

Methods of strategic brand management are used to optimize the structure of the corporate brand portfolio as a result of strategic brand extensions. Brand strategies are developed at the corporate level and adapted to the specifics of national and local markets. The main marketing tools of branding are segmentation, identifying the preferences of target segments and developing the identity of each of the brands in the corporate portfolio.

Operational brand management methods are used in the development of brands throughout the life cycle and the formation of loyalty to them. Operational management of corporate portfolio brands is carried out in accordance with the developed brand plans.

Principles of brand management. The principles of brand management are understood as general norms, rules and patterns, and within which the links between the various elements of the intra-company system involved in brand management are realized. The number and ratio of such norms depend on the scope of the company, the specifics of intercompany relations, as well as the market strategies used.

The general principles of brand management, characteristic of most companies, regardless of their industry affiliation, field of activity and individual characteristics, are the following.

1. Value of intangible assets . Brands are the most valuable assets of a company. They provide additional profit, financial investment and consumer loyalty.

2. Importance of brand management. Awareness of the value of branded assets in the total capitalization of the company transforms branding into a corporate-wide strategic direction. Recently, the solution of many issues related to the development of brands has become the responsibility of the highest management departments of firms. In the most promising companies, brand managers occupy key positions in the top management.

3. Participation of everyone . Effective branding is ensured by the joint efforts of the functional and production departments of the company, customers and partners, including distributors, advertising and other organizations involved in the formation of brand loyalty. Each member of the system must be aware of its importance in the development of brands and be the bearer of common corporate values.

4. Cross-functional approach to branding is determined by the integrated nature of the relationship of production, marketing, sales, planning and other areas in the economic and commercial activities of the company. The introduction of an end-to-end brand management system contributes to the reorganization of the structure within corporate management in favor of integrating all its elements into a single branding process.

5. Operational communications . Effective brand management directly depends on the efficiency of internal communications that ensure the participation of all employees and the coordination of their actions in a single management process. The system of internal communications includes means, methods and forms of intracorporate communication. The traditional use of a written official message and the organization of corporate meetings are being replaced by modern forms of communication based on the development of internal electronic information transfer networks - Intranet and Extranet.

i For example, Ford's internal information network spans more than 120,000 workstations in offices and businesses around the world. With their help, information is updated hourly from production departments, design and engineering services, research laboratories, dealer organizations and other divisions of the company. A significant acceleration of the process of information exchange and processing allows not only to significantly reduce the period of introducing new cars into mass production, but also to take into account the preferences of target consumers at the stage of product concept formation.

6. Impeccable product quality. The high quality of the product, which is the basis of the brand, determines the functional satisfaction of consumers with the purchase and ensures their loyalty to the brand.

7. Constant work with consumers. Constant monitoring of consumer activity allows you to identify needs, requirements, expectations and preferences and put them into the product concept. For many companies, the principle of customer orientation becomes a corporate mission: "Consumers are at the center of everything we do" - corporate philosophy Ford Motor Company.

8. The commitment of consumers is the basis for the long-term development of the company. This principle of brand management is based on the value of a company's branded assets. Therefore, the formation and strengthening of customer loyalty is the basis for the long-term development of the company itself.

9. The strategies of all brands of the company are coordinated within this portfolio, forming synergy( option reaction to the combined effect of two or more factors, characterized by the fact that this effect exceeds the effect exerted by each factor separately) . All brands in the corporate portfolio are managed in accordance with developed mutually reinforcing strategies, which are agreed upon at the company level. Such a clear differentiation of brands allows you to create a unique offer for different consumer segments and at the same time avoid unwanted internal competition.

10. Transformation of corporate culture . The introduction of brand management principles into the internal management system radically changes the corporate philosophy of the company. The market sales strategy - "sell what is produced" - is being replaced by the modern concept - "produce what is sold in advance." This approach encourages the active participation of all divisions and partners of the company in the total capitalization of assets.

The practice of the world's leading firms testifies to the great importance of the principles of brand management in the development of brand capital. Managing a firm in accordance with these principles reinforces the corporate mission and values ​​of the company, establishes the general rules and norms of internal management, and also lays the foundation for effective production planning, increases sales and maximizes profits.

However, it should be noted that modern brand management is always associated with risk. Firms that strictly follow all the rules and principles of branding are always influenced by the market environment and are not immune from failure and the danger of competitors taking over. Thus, the Volvo brand, which firmly occupied the niche of a safe car, today is only in the top five of the safest, giving way to new brands - leaders in safety - Renault Laguna and others.

Company Nike very quickly and easily occupied a professional sports niche, traditionally owned by reebok, by outbidding an advertising contract from Michael Jordan, who for many years was the face of the company reeboke, as a result of which a stable associative image was formed.

■ theory and practice of brand management;

■ corporate brand management (portfolio management);

■ brand management process, branding.

Under theory and practice of brand management is understood as a system of scientific knowledge, including the theoretical base and systematic practice of the world's leading companies in the field of brand management and branding.

Corporate brand management reflects the corporate vision of the company's mission, its culture and management style. It implements the overall brand portfolio management strategy. An important area of ​​corporate brand management is the development of corporate identification programs, through which the company is recognized in the market, a high level of consumer brand awareness and consumer loyalty are ensured. Currently, corporate brand management is a priority in the development of companies.

Brand management as a brand management process represented by corporate and product branding and aimed at developing an appropriate identity. Branding is implemented in several basic areas, the degree of detailing of which is determined by the goals set. As a rule, these include the organizational component (formation of a working group, team, division or assigning functions to an individual leader), market research, development of a brand concept, planning of marketing programs for brand development, including organization and control of events.

The development of a new brand is a complex process that requires certain efforts from the entrepreneur, no matter how much experience he has behind him. Consistency and consistency will be the main guidelines, especially at the beginning of brand promotion. Perhaps, building a brand can be compared to building a house, since planning, design and quality assurance are indispensable here.

The first impression of the brand affects the further success and recognition from the buyer. In the flower business, brand management occupies a special place, as high competition and the sale of goods with a short shelf life oblige businessmen to be aware of marketing trends.

Beginners have a hard time: in addition to optimizing the internal mechanisms, they need to effectively present the flower brand in the general market.

Now there is a lot of literature and author's methods for promoting brands, the authors even identify special branding mechanisms for different business areas. We have summarized the most important rules of brand management so that you do not waste time looking for the right information and aim for the absolute success of your flower shop.

First, let's deal with the "foundation" of a strong brand, that is, let's talk about the special promotion of your products in the competitor's market.

What is brand management, which we have already mentioned above? If you know the answer, then you are well prepared to launch your flower business!

Successful communication with consumers will help in obtaining their loyalty: in our time it is important to anticipate the desires of the target audience, to find common ground with it.

Company face

The first thing you should pay attention to when starting a business is brand image. It is the visual image and the overall attractive picture that enters into the first dialogue with buyers. It should attract attention so that customers know about the existence of the brand and, if necessary, can easily recognize it or remember it. Brand image is defined by marketers as all the advantages of a product that are easily remembered by the consumer.

The unique design of the product guarantees its recognition. Obviously, the flowers cannot be marked in any way. It is unlikely that anyone is looking for a bouquet in which each bud has a branded store stamp. Therefore, direct all your creative energy towards creating the overall concept of the flower brand, namely the logo.

The logo combines color, font, and the general idea of ​​your flower business. This is a symbol that provides a consumer advantage. Funny cartoons or funny cartoon characters are not the best choice for a flower brand. It is better to fill the corporate symbol of the company with useful information about the quality of flowers and services for the buyer.

Azalea company logo

Use of the logo on employee clothing

A solid color or a combination of several shades should be associated with the buyer with your store. The font, as well as the color, should "catch" attention. Unique and aesthetic symbols will evoke positive emotions and approval from buyers.

If you plan to trade, say, only Ecuadorian roses, then the content of the logo should be appropriate. It makes no sense to place, say, tulips or peonies, if the client still does not find them on the counter. Such trifles negatively affect the confidence of buyers, as they feel that the seller is cheating. Try to immediately choose the best tandem of content, color and font!

We never cease to remind you how important it is to know the preferences of your target audience.

It is your flowers that must meet the expectations of buyers. Only in this case it is possible to plan future business development steps. A successful brand harmoniously combines functional, social and emotional character. An ordinary outlet will become a brand when the buyer independently understands the need for it. A bouquet can be a symbol of something, signify a new life stage or express the sincere feelings of the giver.

Unfortunately, at the moment there is no universal formula for the balance between functional, social and emotional in a single brand. But you can use marketing analysis tools or conduct customer surveys to better understand the reasons for their purchases.

Brand benefits show its value to the consumer. A business owner must ask himself an important question: what would change in a society if its flowers suddenly disappeared? To answer, it is necessary to determine the mission of the flower brand, namely, why it exists on the market. The task of the florist is to make his store an integral part of the daily life of customers. Birthdays, name days, weddings and even funerals – there is a suitable flower arrangement for every occasion.

Who is this for?

Do not forget about the image of the consumer. As a rule, a flower company knows its consumer well, therefore, from the very beginning, it adjusts its principles of work and visual image to specific market segments. It is important to quickly help the client find exactly what he needs.

This is especially true for wholesalers, that is, business people value every minute of their time and, of course, will pay attention to a supplier who accepts and fulfills orders with deliveries faster than competitors. The well-known phrase “time is money” perfectly describes how the flower business model works. Work with public opinion! It's easier than it seems at first glance. Your product may drive consumer ratings. People are much more willing to trust reviews from customers like them. The presence of reliable positive reviews will have a positive effect on sales.

Now that we have decided on the first steps in developing a flower brand, let's move on to the most important part of this process. It's about positioning.

Positioning is the place that the store will occupy in the mind of the buyer.

You have to convince each client that your flowers are the freshest, highest quality, affordable and only found in this particular store. Without a clear positioning, you will not be able to create a general concept for a flower shop. Forget modesty! Why is it if you are ready to personally answer for the freshness of each bud?

Flower shop brand management is a complex process that affects both external and internal mechanisms for the development of a flower business. All of the above features refer to external image development techniques, but what can be attributed to internal ones? Naturally, a flower shop consists of more than just plants on display and a cash register. People play an important role in any business. How do employees, suppliers and partners perceive the image of the store? All of the above features relate to the external image of the flower shop. But effective brand management is a complex process that includes both external and internal features. How is your store positioned for its employees and suppliers?

Try to constantly develop the flower business so that its employees develop along with the brand. Encourage innovation, improve the skills of florists, create bonus programs that encourage the enthusiasm of sellers.

Experiment with new lines of business. For example, expand your standard shelf range with exotic flowers or potted plants. Be sure to maintain direct and feedback communication with your customers. If your financial indicators allow, try opening a second outlet in another area of ​​the city. Consider the specifics of the new target audience.

So you will have the opportunity to create and develop a small network of flower outlets. This fact in itself takes the brand image to a new level.

A flower brand, like any other kind of brand, requires control and management. Marketers use special mechanisms to promote the image of products and services, which include: brand idea, market research, competition analysis, creative advertising campaigns. As a business owner, don't be afraid to get involved in sales management. Try to personally know all the niches of the store in order to make the right decision if necessary.

But it is not worth completely shifting all the tasks of promotion to yourself. It is better to hire a professional brand manager who will professionally promote the store at different levels and platforms. A brand manager is not engaged in direct sales, his main task is to promote flowers under a specific brand, turn them into a desirable product, and turn your store logo into a guarantee of quality. The flower business will bring year-round income if, from the first days of its existence, you invest in it yourself and regularly finance it. Remember, business is impossible without risks, creativity and a creative approach to solving cases.

Recently, branding issues have increasingly become the object of theoretical research and scientific research. Nevertheless, these studies remain problems that are rarely addressed by theorists, among them is the assessment of the effectiveness of branding. Weak theoretical development of this problem is reflected in the actual practice of brand management. Despite the growing need to accurately measure the performance of brand building and promotion activities, few companies actually use branding performance metrics. If these indicators are used, then they measure the effectiveness of applying only a single branding activity (for example, the effectiveness of using marketing communications tools to promote a brand), and do not assess the effectiveness of branding as a whole as a set of activities to create and develop a brand.

Thus, there is a need for a clear methodology that allows you to evaluate the effectiveness of various branding activities in a complex, i.e. in the integrated assessment of effectiveness. This article proposes one of the options for possible approaches to solving this problem.

The first part of the article is devoted to a brief analysis of existing models for evaluating the effectiveness of branding. The second part of the article proposes an integrated approach to evaluating the effectiveness of branding, describes the structure and content of the main stages of evaluation in accordance with the proposed model.

Differentiation of approaches to evaluating the effectiveness of Branding

The concept of branding effectiveness. Efficiency characterizes the ratio of the effect obtained and the cost of its implementation and is “a kind of price or payment for achieving this result” [Bukhalkov, 1999, p. 341]. Thus, in order to define the concept of “branding effectiveness”, it is necessary to determine the costs of branding and the effect obtained.

Branding costs are determined by summing up the costs incurred to create and develop a brand: the costs of its development, creation and promotion using marketing communications. Information on the costs of conducting branding events is, as a rule, relatively accessible and convenient for processing and analysis.

However, when calculating costs, the following factors must be considered:

• the time period for which branding costs are calculated;
• structural components of costs in valuation. So, it is known that investments in advertising, on the one hand, lead directly to an increase in sales, which are measured immediately, on the other hand, these investments create brand awareness and image, which contributes to future sales;
• discount rates when adding costs (to bring past costs to the present period).

branding effects. Any effect reflects the degree of achievement of some given result, in the evaluation of which the actual or expected indicators are compared with a predetermined goal (planned indicators). If the result is not achieved at all, then the efficiency loses its positive economic value. So, in the production and economic activities of the company, the efficiency indicator expresses, as a rule, the amount of income per unit of costs, for example, the profitability of products [Bukhalkov, 1999, p. 341].

In branding, it is much more difficult to define the concept of effect, since brand building is associated with the creation of not only material, but also emotional and symbolic values. Therefore, the concept of effect in branding is multidimensional. Due to the complex nature of costs and benefits, when evaluating the effectiveness of branding, a set of branding effects should be considered.

It seems that effects in branding can be divided into perceptual, behavioral and economic effects. Perception effects are associated with the creation of brand awareness and the formation of a positive attitude towards it (through various marketing communications activities). Behavioral effects are associated with the formation of brand loyalty. Economic (financial and market) effects are associated with an increase in sales volumes or brand market share, an increase in brand equity.

Approaches to evaluating the effectiveness of branding. Currently, many authors, to one degree or another, have touched on the issue of evaluating the success or effectiveness of branding, offering various approaches to solving this difficult task. Below, in a summarized form, a number of approaches and models are presented that allow evaluating the effectiveness of branding. It is obvious that the brief overview shown does not exhaust all existing approaches, however, most of the proposals left outside of it are to some extent similar to the options for evaluating the effectiveness of branding below.

Model L. de Cernatoni. L. de Chernatony in his works focuses on the importance of a holistic approach to evaluating the effectiveness of brand management. In 1998, he undertook a study that demonstrated the need to use a whole range of criteria to assess the success of a brand, both based on business indicators and obtained by evaluating consumer opinions.

Later, this approach was developed in the development of a matrix consisting of two columns (internal and external brand assessment) and five rows (brand vision, organizational culture, brand objectives, brand essence, implementation and search for resources for the brand).

On fig. 1 shows five categories representing the building blocks (successive stages) of creating and developing a brand. Within each of them, questions were formulated (a total of 51 questions) that make it possible to determine the effectiveness of branding at each specific stage of brand building.

The answers to these questions are given on a scale from 0 to 5 points. For each of the categories, an integral score is calculated (arithmetic mean of the scores for the entire number of questions within a certain category). So, for example, in the case of the Brand Vision option, the denominator is 14.

Rice. 1. Evaluation of branding effectiveness at various stages of brand building
Compiled by: .

The next step is to build a brand health chart, which makes it possible to assess its viability. Thus, in the hypothetical example given by Cernatoni, the analyzed brand enjoys strong support from the "organizational culture", but has problems in terms of "brand objectives" (Fig. 2).

A thorough analysis of the brand health chart allows specialists to identify areas in which it is necessary to take measures to improve the effectiveness of brand management.

Model M. Sherrington. M. Sherrington (M. Sherrington) proposes to assess the effectiveness of branding using a key performance indicator (Key Performance Indicator - KPI), which is tied to the company's strategy and its specific vision of the market [Sherrington, 2006, p. 220]. Sherrington emphasizes the need to identify a dominant KPI, arguing that this is "an excellent way to focus a business on the right growth pattern and verify that growth goals are being achieved" [Sherrington, 2006, p. 224]. On the one hand, the simplification of the system of indicators aimed at adapting to a specific market situation is justified. On the other hand, there are certain limits to simplification, and therefore, it is unreasonable to reduce such a complex and multifaceted construct as a brand to one dominant indicator. In addition, such an approach still requires constant monitoring of the strength (viability) of the brand and additional verification of the sufficiency of the chosen dominant KPI, which may not simplify, but, on the contrary, complicate the assessment system as a whole.

Rice. 2. Brand health chart (hypothetical example)
Source: .

Model D. Aaker. Brand management guru, American specialist D. Aaker believes that the effectiveness of branding should be evaluated based on the analysis of indicators of the use of brand capital assets, such as “brand awareness”, “perceived brand quality”, “brand loyalty” and brand associations.

The effectiveness of the use of assets can be assessed using a system of indicators (Fig. 3), which the author called “a dozen indicators of brand equity” (“Brand Equity Ten”). At the same time, the author believes that effective brand management includes a system of not only financial, but also behavioral and market indicators [Aaker, 2003, p. 376-377]. It should also be noted that this "ten" does not necessarily represent the optimal set for all possible situations and, according to the author, requires modification to be tied to a specific situation and the task being performed.

As shown in fig. 3, the first four groups of indicators are consumer assessments of brand equity assets obtained as a result of research. The fifth group uses indicators that reflect the situation on the market (market share, brand representation in the distribution network). At the same time, according to D. Aaker, consumer loyalty to the brand remains the key parameter of brand capital, since it is “an entry barrier for a competitor, the possibility of obtaining a price premium and time to respond when new competitor products appear, as well as an obstacle to destructive price competition. » [Aaker, 2003, p. 380].

Rice. 3. The Top Ten of Brand Equity Source: [Aaker, 2003, p. 380].

Approach by T. Munoz and S. Kumar. T. Munoz and S. Kumar propose to build a branding assessment system based on three classes of metrics (perception metrics, behavioral metrics, financial metrics), which make it possible to evaluate the effectiveness of branding. At the same time, the company itself determines which metrics will be included in these groups. The disadvantage of the proposed model is that it does not include market metrics (e.g., market share and brand distribution rates), focusing only on consumer and financial metrics.

Research by D. Lehman, K. Keller and J. Farley. In 2008, the results of a study by D. Lehman, K. Keller and J. Farley devoted to the study of brand metrics were published. The main goals of this analysis were to identify "universal" brand metrics (cleared from cross-cultural differences in the perception of brands) and establish subordination between them. The results obtained made it possible to form an assessment system from six key groups of brand metrics, including "brand awareness", "comparative advantage", "interpersonal relationships", "brand history", "brand preference" and "brand commitment". In addition, the need to pay more attention to metrics such as “interpersonal relationships” and “brand story” is emphasized. Unfortunately, this study is devoted to purely consumer metrics (to a greater extent - to perception metrics and to a lesser extent - to behavioral metrics). Nevertheless, the formed groups of metrics can be used to build a general model for evaluating the effectiveness of branding.

Model by S. Davis and M. Dunn. There is another model for assessing the effectiveness of branding - the approach proposed by S. Davis (S. Davis) and M. Dunn (M. Dunn), which we propose to dwell on in more detail. In their opinion, in order to assess the role of the brand in achieving the strategic and tactical goals of the company, it is necessary to develop indicators (metrics) of branding effectiveness - “measurable parameters for evaluating the effectiveness of the actions of a brand-oriented company, i.e. a company that adheres to the rule of compliance with existing or desired brand policy when making strategic decisions” [Davis, Dunn, 2006, p. 147].

To develop branding performance indicators, S. Davis and M. Dunn suggest using the concept of contact branding. It is based on the fact that by identifying and controlling the points of contact between the brand and the consumer, it is possible to evaluate the effectiveness of brand management. At the same time, points of contact are understood as all those ways, using which “existing and potential consumers come into contact with the brand, and which can or are already being used to influence current or future decisions related to the brand” [Schultz, Kitchen, 2004, p. 137].

To evaluate the effectiveness of branding, Davis and Dunn propose to analyze the formation of consumer experience from the perspective of three groups of consumer-brand contact points, such as:

1) experience before making a purchase;

2) experience at the time of the purchase;

3) post-purchase experience (Figure 4).

At the same time, the authors of the model note that the division of contact points into these groups is very arbitrary, since the same points can be in more than one group at the same time and influence the behavior of both potential and real buyers.

Rice. 4. "Wheel" of points of contact with the brand
Compiled after: [Davis, Dunn, 2005, p. 19].

The first group of touchpoints, aimed at attracting new consumers, forms knowledge about the brand before making a purchase. The experience of contact with the brand can be gained primarily through the impact of various marketing communication tools: advertising, viral marketing, PR-actions, sales promotion. These marketing communications tools aim to, first, create brand awareness; secondly, to form the perception of the brand and the expectations associated with it; thirdly, to convey the main benefits and advantages of a branded product to a potential buyer; fourthly, to achieve the inclusion of the brand in the buyer's choice package. At the same time, in our opinion, marketing communications (primarily advertising) should not be used to overestimate, exaggerate the expectations of buyers from the acquisition of this brand, since the negative experience of using a branded product after purchase can lead to consumer disappointment and unwillingness to re-purchase products under the corresponding brand name. name.

The second group of points of contact is formed during the purchase. It aims to create a positive consumer contact with the brand during the purchase. The formation of a favorable impression of the brand is influenced by the quality of service and the professionalism of the sales staff, the atmosphere in the store, merchandising, sales promotions at the point of sale (distribution of trial samples, tastings).

The third group is contacts after making a purchase. It is aimed, firstly, at maintaining a favorable image among consumers who have purchased a brand; and, secondly, to achieve a high level of satisfaction from their purchase. For the formation of a positive experience after the purchase, after-sales services, guarantees, and service are very important. However, the main goal of creating a post-purchase experience is to increase the number of customers loyal to the company and brand. This goal is achieved not only by a high level of service and brand support in accordance with the expectations that arose before and during the purchase, but also by loyalty programs (discount programs, sales promotions, loyalty clubs).

As a result, the effectiveness of contact branding lies in the fact that the consumer receives a positive impression at all levels of contact with the brand. A negative customer experience at one of the touchpoint levels will lead to ineffective branding overall. In other words, a favorable impression received by the buyer at one of the levels of points of contact with the brand is not always able to “compensate” for the negative attitude towards him experienced at another level. Thus, poor after-sales service will undermine the trust of the buyer in the brand, and the brand promises made in the two previous stages of formation will be in vain. It becomes clear that it is the total amount of brand contacts that consumers accumulate over time that determines their response to branding programs that are not limited to managing individual contacts, but involve managing the entire process of shaping the consumer experience before, during and after the purchase.

In this regard, it is very important for the brand manager to understand how existing and potential consumers come into direct contact with the brand.

Metrics of contact branding in the model of S. Davis and M. Dunn. There are two types of metrics that, according to S. Davis and M. Dunn, should be taken into account in the company's metrics system. Tactical metrics provide branding performance diagnostics in terms of shaping the customer experience at brand touch points. The authors note that these metrics “help you evaluate the activities you carry out that are relevant to existing or potential customers within one of three groups of brand touch points” [Davis, Dunn, 2005, p. 244].

The tactical Davis and Dunn include the following branding effectiveness metrics: brand awareness; brand awareness; brand relevance; brand trust; fulfilling brand promises; brand preference; brand review; ; brand promise fulfillment; brand satisfaction; brand recommendation [Davis, Dunn, 2005, p. 245-252].

Thus, the listed tactical metrics should be taken into account when evaluating the effectiveness of company activities at points of contact with the brand. Performance analysis provides an opportunity to identify brand strengths and weaknesses and identify those brand touch points that need to be strengthened.

Strategic metrics, in turn, “provide a diagnosis of brand impact on business performance. These metrics help evaluate the impact of your brand building activities on the overall performance of the brand, and thus the overall performance of the company” [Davis, Dunn, 2005, p. 244].

The following six strategic branding performance metrics provide an opportunity to assess how a company's brand building efforts and actions at brand touch points affect overall performance:

1) brand extension;

3) retention of brand buyers;

4) buyability of the brand;

5) price premium for the brand;

6) brand loyalty.

The choice of certain metrics for assessing the effectiveness of branding depends on the specific objectives of the assessment. Without a clear understanding of specific goals, the company will constantly experience difficulties in determining which of the metrics is really fundamental to it. Table 1 can provide guidance in choosing the most appropriate metrics for a company, given its goals.

Table 1. Joint review of brand goals and metrics

Source: .

Integral branding effectiveness evaluation model

Each of the above approaches to evaluating the effectiveness of branding has its own advantages and disadvantages. Most of them are characterized by the premise that it is necessary to use consumer and financial market metrics to obtain an adequate estimate. We share this position, however, in our opinion, none of the existing assessment models fully covers all the necessary indicators. One of the most promising approaches for the development of a new, integral model for evaluating the effectiveness of branding is the model of contact branding by S. Davis and M. Dunn. The choice of contact branding effectiveness metrics as fundamental in the system of indicators of the effectiveness of branding events as a whole is explained, in our opinion, by the fact that they:

• are practice-oriented, as they allow you to evaluate how the brand manifests itself outside of companies in terms of customer expectations and competitors' actions;
• provide information for making thoughtful strategic and tactical decisions on the creation, promotion and after-sales service of the brand;
• provide diagnostics of the impact of the brand on business performance;
• allow the company to more effectively invest in the support and development of brands;
• act as starting base indicators (indicators of the first level effect - the effect of perception), on the basis of which it is possible to build a chain of behavioral, market and financial indicators for evaluating the effectiveness of branding [Starov, 2008, p. 251].

However, we propose to structure the system of metrics proposed in the Davis and Dunn model not from the standpoint of the implementation of strategic and tactical goals, but from the standpoint of interdependence and mutual subordination of metrics. It seems that this approach allows creating the basis for the development of an integral model for measuring the effectiveness of branding, where each of the 17 metrics associated with a specific category of brand touch points can belong to one of the following four generalized groups of metrics identified on the basis of contact branding marketing activities:

1) perception metrics;

2) behavioral metrics;

3) market metrics;

4) financial metrics (Fig. 5).

These groups of metrics make it possible to carry out integral monitoring of branding effectiveness (primarily the implementation of perception effects, behavioral, market and financial effects), i.e. track how effectively investments in the construction and development of the brand are used.

Perception metrics determine the degree of consumer awareness of the brand, their understanding of the advantages and benefits of its acquisition, the possibility of its inclusion in the selection package, i.e. evaluate consumer behavior before they make a purchase of a brand.

Rice. 5. Contact wheel and branding performance metrics

Behavioral metrics assess aspects of consumer behavior primarily after a purchase, which are manifested in brand preference, repeat purchases, loyalty and willingness to recommend a favorite brand to others.

Market metrics determine the competitive position of the brand in the market, predetermine the economic and financial results of branding. Indicators such as market share, brand development index, distribution level represent the main market metrics for evaluating the effectiveness of branding.

Financial metrics reflect the return on investment in the brand, the financial assessment of brand equity growth due to successful contact branding activities. For this, indicators such as ROBI (brand investment efficiency) and current brand value are used.

All these types of metrics provide an opportunity to fully evaluate the effectiveness of branding (Table 2). According to well-known experts in the field of brand management T. Munoz and S. Kumar, “the key benefit of the brand evaluation system is that it allows you to link branding and financial results” . All of these indicators are interrelated and interdependent. Improving the target indicators of one of the groups of metrics contributes to the growth of the performance of the indicators of the other group of metrics.

For example, let's trace the relationship between market and financial metrics. Strong brands have significant market share: typically, the market share of the leading brand is twice that of the brand in second place, and three times that of the brand in third place in the market. The brand with the largest market share produces the highest value. According to a study of 2600 companies, the rate of return on investment of brands with a market share of 40% is, on average, three times higher than those of brands with a market share of 10% [Doyle, 2001, p. 237] (Fig. 6).

Table 2. Branding performance metrics

Perception Metrics		Behavioral metrics		Market Metrics	Financial Metrics
Awareness	Acquaintance and willingness to be included in the selection kit	Buying decision	Loyalty	Market behavior	Creating Cash Flows
Are consumers aware of the brand?	What do consumers think about the brand?	How do buyers behave?	How do buyers behave after the purchase?	How does the brand behave in the market?	How does a brand create added value?
induced awareness Spontaneous awareness	Brand differentiation Brand relevance Brand Trust Influence of the brand on the purchase decision Brand awareness	Acquiring customers with a brand Brand Buyability Brand Preference Price premium Brand Excellence	Brand Satisfaction Brand Commitment Keeping brand promises Retention of brand buyers	Brand market share Brand distribution level Brand development index Brand extension	Brand value

Compiled after: [Davis, Dunn, 2005, p. 245-253; Munoz and Kumar, 2004, p. 383].

Rice. 6. Relationship between market share and brand return on investment
Source: [Doyle, 2001, p. 238].

Let us consider these groups of metrics in more detail.

Brand perception metrics (Table 3) are divided into two groups:

• awareness metrics;
• metrics of familiarity with the brand and readiness to be included in the selection kit. This group of metrics is measured during consumer marketing research. The group of perception metrics includes both metrics that are widely used in other branding performance evaluation models (for example, brand awareness or influence on the purchase decision) and less common metrics (for example, brand awareness).

Table 3. Brand Perception Metrics

Metrics	What does it measure?
Awareness
Brand awareness and recognition	Measures brand visibility in the market
Brand introduction
Brand differentiation (uniqueness)	Measures the degree of uniqueness attributed by current and potential customers to a brand
Relevance (relevance) of the brand	Shows the relevance and relevance of brand value to various stakeholders, given unmet market needs
Brand Trust	Measures whether a brand's promise seems accurate and compelling to existing and potential customers
Considering a brand among alternative buying options	Shows how willing consumers are to include a brand in the final set of considered purchase options
Influence of the brand on the purchase decision	Demonstrates the likelihood with which a brand is included in the final set of options considered before making a purchase decision
Brand awareness	Measures whether potential buyers really know what the brand means, what value it provides, and what benefits can be obtained from the experience of interacting with the brand

Behavioral metrics (Table 4) are aimed at assessing the cognitive and affective attitude towards the brand, which forms a general opinion about it. They can also be divided into two groups of indicators:

1) related to the purchase decision;

2) related to behavior after the purchase.

Table 4. Behavioral brand metrics

Metrics	What does it measure?
Buying decision
Acquiring customers with a brand	Shows the number of new customers acquired by the company as a result of brand asset management activities.
Superiority	Indicates whether buyers consider the brand under study to be unique and superior to others
Brand Buyability	Measures the number of existing customers who purchased more of your products or services as a result of your brand building efforts and thus generated more revenue for you.
Price premium	Determines the amount of premium to the price that can be set for the brand relative to the prices of branded goods of competitors in this category
Brand Preference	Determines the brand's priority in the set of options available to customers
Loyalty
Brand Commitment	Allows you to assess whether customers are returning to the brand again
Retention of brand buyers	Measures the number of customers a company would lose if it did not use a sound brand asset management strategy that provides an understanding of the degree of loyalty customers have to a brand
Fulfilling the brand promise	Measures the degree of trust existing and potential consumers have in brand promises
Brand Satisfaction	Determines the degree to which a brand meets consumer expectations
	Shows the number of buyers committed to the brand and evaluates their willingness to recommend the brand to others

Compiled after: [Davis, Dunn, 2005, p. 245-253].

market metrics. In our opinion, the following indicators should be attributed to the main market metrics that allow determining the effectiveness of branding:

• brand market share;
• brand development index;
• level of brand distribution;
• brand extension.

Brand market share is one of the most important marketing performance indicators of branding, reflecting the competitiveness of the brand, its ability to attract potential and real buyers.

The brand market share can be determined by the formula proposed by G. Dowling [Dowling, 2006, p. 102]:

Brand market share = Penetration rate x (Frequency of purchases x Number of purchases). (1)

Based on formula (1), we can conclude that three strategies should be used to increase the market share:

1) an increase in the number of purchased branded goods in one visit to the store (through the use of various sales promotion techniques, in particular, sales of packages containing several units of branded goods at the price of one unit, as well as the use of coupons at points of sales sales promotion;

2) increasing the frequency of brand purchases in the market (a strategy aimed at persuading people to use a branded product more often and more intensively);

3) an increase in the degree of brand penetration (the percentage of buyers of the desired brand from the total number of buyers who purchase goods of a certain category to which this brand belongs).

Brand switching dynamics and market share. Market share and its dynamics can be tracked based on the analysis of switching between brands. In this regard, the study of this problem, carried out by J.-J. Lambin (J.-J. Lambin).

To simplify the analysis of switching, Lamben limited himself to considering a market consisting of two competing brands. As shown in fig. 7, in terms of dynamics, each specific purchase has three outcomes:

1) purchase of goods of brand A;

2) purchase of goods of brand B;

3) refusal to purchase.

Rice. 7. Dynamics of switching between two brands

The position of a brand manager (sometimes a product manager), a person responsible for the growth and development of a particular brand or product line, can be increasingly found today in large and medium-sized companies.

The head of the company should pay attention to the fact that over time, the brand manager begins to less and less manage his brand or product line, and more and more is engaged in local management of the sales department.

The company's management requires the brand manager to grow and develop the product line (the entire brand line). The brand manager is considered as the main specialist in this product, who is best versed in the product, its properties, and differences. He is better than others aware of the intrigues of competitors and the strengths and weaknesses of their products. He finds new markets by relentlessly segmenting and differentiating markets, products and customers. He is the main inspirer (and in fact, kicker) of sales and purchases. The brand manager is the one who, after all, can be questioned for everything that has even a hint of the name of his product.

The brand manager, as a rule, does not have real authority to influence the employees of the sales and purchasing departments, so he spends a significant part of his time building relationships, and most often "persuading" or thinking out how to get his company's employees to do something that will increase sales. his directions.

Leadership needs quick and visible results, but be careful not to change concepts. So that the brand manager does not simply become the best seller of his product. He knows him best of all and he needs to sell him the most, so let him sell - the position of management, which is the main reason for the gradual reduction of the influence of the brand manager on the organization and management of the development of his product line.

As time passes, the company's management asks quite fair questions - why is the brand manager so poorly aware of the situation with competitors, where are the new super-successful products, who forces the purchasing department to improve the terms of supply for this product group, why is the brand manager not thoroughly aware of the situation with customers … After all, this position was created precisely to resolve such issues. “And, in general, a brand manager will not do it until you tell him…”

And the brand manager is already responsible for everything that is at least indirectly related to his product, so he does not have time to fully do anything. He is involved in dozens of business processes, in each of which he controls something, asks something, instructs someone, receives a report from someone, sends data somewhere, follows someone. It is an important link in the normal (not some super-efficient, but just normal) functioning of its product group.

Therefore, after some time, it will happen that either the competence of the brand manager will be called into question, or he will have an assistant.

In the above diagram, I want to highlight the main tasks that should be in the work plan of the brand manager and which he should pay close attention to in the daily routine.


1. "Sell" the brand to employees and top officials of your company. Instill confidence in them and infect them with love for the brand.
2. "Sell" the brand to distributors.
3. Develop and execute a brand development plan.
4. Position the brand in such a way as to provide it with advantageous differences and advantages compared to competitors.
5. Develop and implement activities to establish a close relationship between the brand and target customers.
6. Design and implement brand loyalty programs.
7. Carry out activities aimed at increasing brand awareness, both within your company and among buyers and consumers.
8. Develop brand standards and don't let anyone break them.
9. Manage brand capital, increase its value.
10. Provide patent and legal brand protection.
11. Fanatically loving your brand.

Ensure that the brand manager does only the work for which he was appointed to this position and do not let the rest of the company push duties and responsibilities onto him just because the brand manager "needs it the most."

Based on training materials