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The Value of Branding for the Buyer and the Seller

The value of a brand is oftentimes determined by consumer perception of valuable traits that are most beneficial to consumers. Consumers decide whether they are going to be loyal purchasers based on potential product offerings and how those offerings fit into the consumers every day needs or household prerequisites. In most cases, organizations spend years perfecting their products to ensure the products are approved by the FDA (Food and Drug Administration) or various regulatory organizations to prevent future recall of products. Recently, new prescription drugs, for example, enter the marketplace as the best drug to treat a patients' current symptoms, consequently these same prescription drugs have encountered a massive recall as a result of recent fatalities or increase in health complications as a result of using those drugs. Negative legal ramifications end up being the consolation prize for creating a brand that lacks quality. Consumers tend to purchase products from brand names they can trust such as; Johnson and Johnson, Dove, or GE (General Electric). For the purchaser of the brand, value is obtained only if the brand is of high quality, which in essence builds consumer loyalty. For the seller of the product, he/she obtains value by increasing market share, and increasing profitability thus enabling the organization to receive a significant ROI (return-on-investment). "A brand represents many more intangible aspects of a product or service: a collection of feelings and perceptions about quality, image, lifestyle and status. It creates in the mind of customers and prospects the perception that there is no product or service on the market that is quite like yours. In short, a brand offers the customer a guarantee and then delivers on it" (Virtual Advisor, 2009).

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? Describe the value of branding for both the buyer and the seller.

The value of a brand is oftentimes determined by consumer perception of valuable traits that are most beneficial to consumers. Consumers decide whether they are going to be loyal purchasers based on potential product offerings and how those offerings fit into the consumers every day needs or household prerequisites. In most cases, organizations spend years perfecting their products to ensure the products are approved by the FDA (Food and Drug Administration) or various regulatory organizations to prevent future recall of products. Recently, new prescription drugs, for example, enter the marketplace as the best drug to treat a patients' current symptoms, consequently these same prescription drugs have encountered a massive recall as a result of recent fatalities or increase in health complications as a result of using those drugs. Negative legal ramifications end up being the consolation prize for creating a brand that lacks quality. Consumers tend to purchase products from brand names they can trust such as; Johnson and Johnson, Dove, or GE (General Electric). For the purchaser of the brand, value is obtained only if the brand is of high quality, which in essence builds consumer loyalty. For the seller of the product, he/she obtains value by increasing market share, and increasing profitability thus enabling the organization to receive a significant ROI (return-on-investment). "A brand represents many more intangible aspects of a product or service: a collection of feelings and perceptions about quality, image, lifestyle and status. It creates in the mind of customers and prospects the perception that there is no product or service on the market that is quite like yours. In short, a brand offers the customer a guarantee and then delivers on it" (Virtual Advisor, 2009).

? How would you go about developing a brand for the product and/or service you are writing about for your project (PepsiCo - Blackberry Twist )?

There are four critical stages of brand development that include: (1) discovery, (2) compare and contrast good and bad elements of the potential product, (3) product identification-detailing a story of ...

Solution Summary

This solution is regarding new product implementation: The value of a brand is oftentimes determined by consumer perception of valuable traits that are most beneficial to consumers. Consumers decide whether they are going to be loyal purchasers based on potential product offerings and how those offerings fit into the consumers every day needs or household prerequisites. In most cases, organizations spend years perfecting their products to ensure the products are approved by the FDA (Food and Drug Administration) or various regulatory organizations to prevent future recall of products. Recently, new prescription drugs, for example, enter the marketplace as the best drug to treat a patients' current symptoms, consequently these same prescription drugs have encountered a massive recall as a result of recent fatalities or increase in health complications as a result of using those drugs. Negative legal ramifications end up being the consolation prize for creating a brand that lacks quality. Consumers tend to purchase products from brand names they can trust such as; Johnson and Johnson, Dove, or GE (General Electric). For the purchaser of the brand, value is obtained only if the brand is of high quality, which in essence builds consumer loyalty. For the seller of the product, he/she obtains value by increasing market share, and increasing profitability thus enabling the organization to receive a significant ROI (return-on-investment). "A brand represents many more intangible aspects of a product or service: a collection of feelings and perceptions about quality, image, lifestyle and status. It creates in the mind of customers and prospects the perception that there is no product or service on the market that is quite like yours. In short, a brand offers the customer a guarantee and then delivers on it" (Virtual Advisor, 2009).

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