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B.M.

Assignment
( Hypothesis )

Submitted By :

Dheeraj Pujani PRN 09020541132 Markting & Finance

Table of Contents

Table of Contents ................................................................................................................................ 2 Basics of Brand Management ................................................................................................................. 3 Hypothesis: ............................................................................................................................................. 4 HOW TRENDS WORK IN THE WORLD.................................................................................................. 4 HOW TRENDS WORK IN PACKAGING .................................................................................................. 4 HOW DESIGNERS CAN HARNESS TRENDS ........................................................................................... 5 Colour and the Senses ........................................................................................................................ 5 Media & Marketing Trends, Impact and Migration ............................................................................ 6 Industry Examples: .................................................................................................................................. 7 Industry : Industry : Industry : Consumer Electronics ................................................................................................... 7 Beverages ...................................................................................................................... 9 Beverages ................................................................................................................... 10

Industry : FMCG (Cereals).............................................................................................................. 12 Industry : FMCG............................................................................................................................... 13 Industry : FMCG ............................................................................................................................... 14 Industry : Beverages ................................................................................................................... 16 Industry : Beverages......................................................................................................................... 18 Industry : FMCG ............................................................................................................................... 19 Industry : Beverages......................................................................................................................... 20

Basics of Brand Management 1. Brand The American Marketing Association defines a brand as a name, term, sign, symbol, or design, or a combination of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of the competition. According to Kotler, brands purpose is two-fold: i) They serve as a major tool to create product differentiation ii) They represent a promise of value.

2. Brand Image It is defined as impression in the consumers mind of a brands total personality. Brand image is developed over time through advertising campaigns with a consistent theme, and is authenticated through the consumers' direct experience. It is how a product or service is perceived. 3. Brand Identity It is defined as visible elements of a brand (such as color, design, logotype, name, symbol) that together identify and distinguish the brand in the consumers mind. The closer the alignment between Brand Image and Brand Identity more successful the brand will be.

4. Brand Equity It is defined as Brand's power derived from the goodwill and name recognition it has earned over time, and which translates into higher sale volume and higher profit margins against competing brands.

Hypothesis:

Changing brand attribute has an impact on brand perception of the consumer


PRODUCT DESIGN/PACKAGING
From food trendssuch as the introduction of chocolate to Europeans in the 16th century, to social trends like the mass migration to the U.S. in the 19th century, to the many environmentally conscious trends prevalent todaytrends have shaped and defined human progress. They mirror our attitudes, values, desires and dreams. HOW TRENDS WORK IN THE WORLD
Trends are typically not accepted at first, and in many cases even meet with controversy. It is human nature to follow, but it is the individuals who dont follow who break the rules and think differentlythat the majority ends up emulating. Influencers and early adopters are the ones who step out of the comfort zone and present us with something new. As a trend gains acceptance, it transforms and changes, taking on a life of its own through those who come to follow it. Typically, it gains upward momentum as increasing numbers of people adopt it, but once it reaches mass appeal, interest in a trend lessens or stabilizes as it becomes a mainstream idea or it may simply die out as another trend catches on and begins to grow.

HOW TRENDS WORK IN PACKAGING


Because packaging is so closely linked to consumer preferences, it provides a clear way to evaluate the stages of various trends. It is here that trends are transformed into functional applicationsthey help sell products. However, package design is also where the adoption of a trend can get complicated. If you are too early, you can miss your target consumer. Too late, and its seen as old news. So visual trends need to be applied with careful consideration of the products brand and its promise. Does the trend actually fit the brand, and will it attract the right buyer? Consumers are at different stages of acceptance within the bell curve of a trend, so its vital to understand the products consumers. You must learn the buying habits of

specific target audiences in order to better understand their comfort zones and how far the packaging can stretch to motivate a purchase. Its about knowing how far the brand you are designing for can be pushed.

HOW DESIGNERS CAN HARNESS TRENDS


Designers must understand what motivates and establishes visual trends. For the most part, these concepts are directly influenced by the environment and societal attitudes and beliefs. Emerging artists, underground music, fashion, the internet and small theatre companies provide fertile ground to view what will be tomorrows visual trends, and although they may ultimately look different in later commercial applications, their roots can be traced back to such origins. The recent rise of Pop Art and Lowbrow Art in advertising and packaging grew in popularity for years before appearing within mainstream brands like Target, Banana Republic and Coca-Cola. The resulting awareness and fresh artistic flare have given these brands a boost in popularity along with helping to move the associated visual trends up the bell curve.

Colour and the Senses


General facts about sensory input and human beings: Although the olfactory sense was a human beings most important source of input in the pre-historic era, sight became our most important means of survival. Furthermore, as hunters and gatherers in the early days of our evolution, we experienced a variety of colors and forms in the landscape. This has become part of our genetic code. In our current state of evolution, vision is the primary source for all our experiences. (Current marketing research has reported that approximately 80% of what we assimilate through the senses, is visual.) Our nervous system requires input and stimulation. (Consider the effects of solitary confinement in jails.) With respect to visual input, we become bored in the absence of a variety of colors and shapes. Consequently, color addresses one of our basic neurological needs for stimulation.

Media & Marketing Trends, Impact and Migration

Industry Examples: Industry : Company : Consumer Electronics Apple Inc.

Change :
At the core of Apple's brand is great innovation, beautiful design and an ability to bring warmth and passion to those who may be completely averse to technical gadgetry but need it nonetheless to survive in today's world. A few years back, Apple announced a less reported but nonetheless brilliant decision to change its corporate name from Apple Computers to simply Apple, Inc. As a brand that represents innovation, Apple can list the desktop computer, graphical operating system, and mouse in its history as both computer hardware and software manufacturer; yet, Apple needed to move beyond computers to continue that innovation.

Apple Computers

Apple Inc.

Impact :
Apple now is a manufacturer of digital media solutions-MP3 players, touchscreen mobile phones, wireless routers, media storage and streaming devices, an online store and download service, software and computers.

Apple may have lacked the credibility to go straight from a computer to a mobile phone (iPhone). However, by moving into music players (iPod) first, they created new brand associations that focus on portability and music, which made the iPhone a more achievable stretch. Several key elements link the Apple brand with each extension, and this creates a "virtuous circle" where the extension benefits from the brand, and the brand benefits from the extension. It's incredible technical executions, coolness factor, and userfriendly designs and sleek aesthetic something which is at its core and makes it irresistible.

Industry :

Beverages

Brand

Tropicana (Pepsi Co.)

Change:
In January of 2009 Tropicana introduced the new package design as part of a $35million advertising and branding campaign, with the theme "Squeeze it's a natural", created by Peter Arnell. Within weeks loyal customers were complaining about the new package, saying that they missed the orange-and-straw graphic of the original.

"Brands are owned by the people who love them - forget that and you will lose your way"
Tropicana New Tropicana Old

Impact :
"After its package redesign, sales of the Tropicana Pure Premium line plummeted 20% between Jan. 1 and Feb. 22, costing the brand tens of millions of dollars." Well, in almost any product group, your most loyal users are also the ones who like things just the way they are. Yes, the new Tropicana design would have alienated older customers, but what if it attracted a whole new generation of customers to carry the product forward? "Sometimes you land in a great place, and sometimes you don't. And when you don't, you need to find a better place. Fast," Pepsi's CMO, David Burwick conceded.

Industry :

Beverages

Brand

Pepsi

Change :

Modification in Logo from time to time

Pepsi-Cola is one of the most famous soft drinks consumed worldwide. Manufactured and marketed by PepsiCo, it was first developed and produced in the early 1890s by Caleb Bradham, a pharmacist in New Bern, North Carolina labelled as Brads drink. In 1898, Bradham renamed his drink into Pepsi-Cola.

The Pepsi logo is one of the most famous and well-recognized logos in the world.

In 1905, a modified script logo was introduced, followed by a second change in Pepsi logo in 1906 with the inclusion of the slogan, The Original Pure Food Drink, in it. During the 1933s sugar crisis, Loft, Inc. bought Pepsi-Cola. As part of their marketing strategy, Pepsi-Cola doubled the quantity of its drink from six-ounce package size to twelve-ounces for 10 cents. Thus, the slogan Refreshing & Healthful was added to the Pepsi logo, which was printed on the bottle. In 1940, Walter Mack, the CEO of Pepsi-Cola, adopted the idea of 12-oz. embossed bottle with Pepsi-Cola baked into the glass. He further developed the idea of introducing the new bottle design with crown, labeled with the Pepsi logo. By 1943, the Pepsi logo adopted a bottle cap look that included the slogan, Bigger Drink, Better Taste. Later, in 1962, the Pepsi logo was replaced with two bulls-eye marks encircling Pepsi, and then again in 1973, into a boxed Pepsi logo with minor typeface changes.

Later at the companys 100 years celebration in 1998, Pepsi-Cola unveiled a new logo that symbolized the brands innovation and global recognition. The new Pepsi logo consists of a three-dimensional globe against an ice blue background, with the inclusion of the previously designed Pepsi typeface. It has been the official Pepsi logo of PepsiCo, till date.

Impact :
Over the past century, the Pepsi logo has been evolved into remarkable designs with significant modifications. All in all, Pepsi logo is an exemplary piece of creativity and innovation. No doubt, it is one of the most recognized logos, ever.

Industry : FMCG (Cereals)

Product : Kelloggs Cornflakes

Change :
Kellogg's has developed a hi-tech method to stamp out imitation cereals by branding Corn Flakes with the company logo.
The new technology enables the firm - which makes 67 million boxes of Corn Flakes every year - to burn the famous signature onto individual flakes using lasers. Kellogg's plan to produce a number of one-off trial batches of the branded flakes to test the system.

New Kellogs

Old Kellogs

Impact :
The laser uses a concentrated beam of light which focuses the energy within the beam, down to a very small spot on the Corn Flake. The energy density within the laser spot diameter is sufficient enough to give the surface of the flake a darker, toasted appearance without changing the taste. In recent years there has been an increase in the number of own brands trying to capitalise on the popularity of Kellogg's corn flakes. Kellogg's embarked on the project to reinforce that they don't make cereals for any other companies and to fire a shot across the bows of makers of 'fake flakes'. The company also released figures which show sales of Kellogg's Corn Flakes have raised in 2009 as shoppers with limited budgets opt for recognised, reliable brands.

Industry : FMCG

Product : Cascade Complete All in 1 dishwasher Detergent (P & G)

Change
Procter & Gamble thinks so, and it is using a packaging strategy that's consistently proven to be one of the most engaging topics at Shelf Impacts Package Design Workshops: the need to understand your consumer and then to look beyond your own category for adaptable packaging ideas.

P&G does just that in communicating the cleaning power of its reformulated Cascade Complete All in 1 ActionPacs automatic dishwasher detergent. The product is being introduced nationally in August. P&G leverages the brand's blue and green product colors in both the product gel and on the label. The clear polypropylene containerit offers a different look amid the category's paperboard containers and opaque bottleslets consumers see the product. The packaging, which P&G designed by working with LPK draws inspiration from beauty care products by leveraging a "jewelry box" design to make the Cascade detergent a more exclusive brand.

Impact
"Women who purchase Cascade already buy premium products in other categories," says Keara Schwartz, P&G Design Manager, citing the company's consumer research. "She values performance and experiences, and that translates across categories." Cascade design help bring a 20% to 25% sales premium at retail over competing brands P&G is the forefront of engaging consumers through design, and Cascade Complete is its latest package designed to elevate a commodity product into a lifestyle brand.

Industry : FMCG

Brand

: Heinz Ketchup

Change :
Colour influences brand identity in a variety of ways. Considering the example of Heinz which came out with a variant of its ketchup which had a colour different from the conventional red and that clicked with its customers

Old Ketchup

Various New Variants

Beginning in 2000, Heinz introduced EZ Squirtthe first non-red ketchup for kids. The colours included Blastin Green, Funky Purple, Stellar Blue and Mystery Colour. At first, the products were a big hit with the youngsters, but by 2006 all of the colours were discontinued.

Impact
Consider the phenomenal success Heinz E-Z Squirt Blastin Green Ketchup has had in the supermarket. More than 10 million bottles were sold in the first seven months following its introduction with factories working 24 hours a day, seven days a week to keep up with demand.

"The tremendous success of Heinz EZ Squirt Blastin' Green showed us that kids love decorating their food with colors that are bright, wild, even a little ... funky," Since Heinz introduced its first shade, "Blastin' Green," in October 2000, the company sold more than 25 million bottles of coloured ketchup. Last year, Heinz controlled 60% of the American ketchup market, an all-time high for the company Heinz produced 1 million rainbow coloured, mystery bottles. Consumers who bought the ketchup didnt know, until they squirted it on a burger or fries, whether they got pink, orange or teal.

Industry :

Beverages

Brand

Pepsi Blue

Change :
Pepsi comes out with Pepsi Blue is a berry-flavoured soft drink.

Pepsi Cola

Pepsi Blue

The flavour of Pepsi Blue was described by Pepsi only as "berry" and described by drinkers as like blueberries or raspberries, or similar to cotton candy with a berry-like aftertaste and much more sugary and syrupy than regular cola.

Ingredients
Carbonated water, High fructose corn syrup and/or Sugar, Citric acid, natural and artificial flavours, Phosphoric acid, Potassium citrate, Potassium benzoate and Potassium sorbate (to preserve freshness), Caffeine, Gum

Impact :
In the initial stage the Pepsi blue work well in the market. But later customer started compares it with kerosene oil and it fails in the market.

Reasons for failure :

The taste of pepsi blue was like cotton candy with a berry and much more sugary and syrupy than regular cola It was tinted using blue 1, a highly controversial colouring agent banned in numerous countries at the time Sugar taste was not accepted by the consumers

Industry : Beverages

Brand

: Frooti ( Parle Products)

Change :
Frooti is the first tetrapak fruit juice in India. Launched in 1984, Frooti still holds a dominant position in the Rs300 crore tetrapak fruit juice (TFJ) market.

Old Frooti

New Frooti

Frooti was positioned as a mango drink that is Fresh-n-juicy For over 7 years, the company promoted the product using that famous baseline. The product has tried to create excitement in the market through a series of new variants and packing.

The old green color of the bottle changed to brighter mango color with lot of graphics added to it.

Impact
Parle tried to reposition the brand to appeal to youth aged between 16-21. The positioning changed to be more fun based. The campaign is the famous Digen Verma campaign. This campaign was considered as one of the most successful teaser campaigns in India. The campaign lasted for 15 days started in February 2001. It increses the sales of the frooti. Although Frooti enjoys a commanding (75%) market share , Frooti is facing stagnation. Frooti may have to reposition itself again to appeal to cola drinkers.

Industry : FMCG

Brand

: GE Caulk Singles

GE Caulk Singles are replacing squeeze tubes and caulk guns for convenient, on-the-go application. Huntersville, NC-based Momentive Performance Materials' GE Caulk Singles is a single-use disposable package of caulk. It reinvents the caulking experience for the consumer by eliminating the need for either a caulk gun or a squeeze tube. Caulk Singles dispense easily with one hand, require no tools, and leave essentially no waste in the package. The product's 1.25-oz packaging, created by Ideo, uses geometric bellows and other hidden mechanisms. Benefits of the packaging include: An appropriate size for most common caulking jobs. Small enough to store in small spaces, such as kitchen drawers. Makes it easier to dispense the caulk with one hand. Eliminates or reduces unnecessary waste by evenly dispensing the caulk from the back to the front of the package. Helps create an even, neat bead of caulk despite changes in pressure, minimizing the cleanup and dry time. Suggested retail price is $1.99 to $2.99 per pack.

Industry : Beverages

Brand

: Vanilla Coke (Coca Cola)

Change :
Vanilla Coke was touted as the greatest innovation since Diet Coke in 1983. It also has the distinction of the greatest flops after the New Coke. Vanilla Coke came with a bang in the Indian market in April 2004.

2004 saw the unusual scream " Wakaw" played across mass media. We all looked up in awe : a brand new variant from Coca Cola : Vanilla Coke. The brand was targeted at the metro youth was different. It was different in taste promotion, package, price etc. Vanilla Coke was promoted in retro style. The brand had Vivek Oberoi , the then bollywood flame endorsing the brand in an unusual style. Vivek sported the retro look with typical combination of Elvis style + Shammi Kapoor style in an Old Lamby Scooter screaming Wakaw.

Impact
The ads were surely clutter breaking and backed by 360 degree branding efforts that ensured good publicity. The creative done by the famed Prasoon Joshi was discussed in all media and that ensured truck loads of free publicity. The brand also got into viral marketing. The campaign along with Contenst2win asked the customers to SMS Wakaw to 8558 inorder to win goodies. According to media reports, the campaign resulted in 440,000 SMS in just 4 weeks creating a record of sorts. Within one year, the brand has been taken out from most of the Indian states. The brand is said to be available in Gujarat, Kolkata and Delhi.

It went out of market without much noise in 2005

Reasons :
The product may have been bad. The TG may not have liked the taste. Although Coke has test marketed this product, there is always a chance that the customers may have disliked the taste. The campaign was not targeted at the right segment. This campaign had its fair share of critics also. I liked the campaign because I have seen the old stars and the lamby etc and could easily relate the old characters and the concept. But for a twenty year old, he may not relate or understand the concept. The brand may have lost out in that respect. The brand was priced at a premium over the ordinary coke. This may have discouraged the TG from checking out the brand. Together with the retro campaign not clicking with the intended audience may have given a double whammy for the brand Indian SD industry is a duopoly. Pepsi and Coke rule the roast and there are brand loyal on both sides. The new variant will be tested first by the Coke loyal and not the Pepsi loyal. Hence like most of the Product line extensions, the variant will be pitted against the mother brand. Hence the customers may have compared the new variant with the classic coke and not as a new drink. And surely the classic coke won .

Conclusion :
After looking at the examples it is clear that changing the attributes associated to the brand has an impact on the consumer. Weather the impact is negative or positive depends upon

The product may have been bad. The TG may not have liked the taste. The campaign was not targeted at the right segment. The brand was priced at a premium over the ordinary