Describe the value of branding for both the buyer and the seller. How would you go about developing a brand for the product and/or service you are writing about for your project? What are some ways of promoting brand loyalty? Please also discuss why, for at least the personal computer, many customers prefer a no-brand-name PC? Is the price all that matters? Shouldn't they also be concerned about quality? Please explain and discuss.© BrainMass Inc. brainmass.com October 24, 2018, 8:34 pm ad1c9bdddf
Branding is an important part of a company, and in fact, the power of the brand has a numerical value associated with it. For example, in financial statements, the value of the brand name is included in assets.
A powerful, recognizable brand name is what companies strive to develop. Imagine a scenario where two customers are talking, and one mentions brand XX. The other person then says "I love brand xx. They make the best products in their class". That is every marketer's dream. It is essentially free advertising for them. The consumers who spread word of mouth communication spread the word for free to their friends and colleagues. For the consumer, a strong brand also gives the piece of mind that they are purchasing a reliable product, from a store that has great customer service.
A brand is more then just the name of the company - it could become synonymous with the quality of the products the store sells, the type of customer service they deliver, their return or exchange policy, their after customer care.... All of these meld together to create one ...
This posting explains how branding is just not an empirical term - it can actually have a numerical value associated to it. It explains the importance of promoting brand loyalty, and explains why someone would buy a "no-name" computer in approximately 750 words.
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).View Full Posting Details