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Leveraging secondary Brand knowledge

Consider the following

Scotch Tata Vaio

Peter Nano Sony Mcdonalds Kingfisher Parker Oscars Metro

Force India Amitabh Bachan Danny boyle Wholesale


Geography/ countries Companies Other brands Characters Events Spokespersons Third party sources Channels of distributions

It is..

Leverage of related secondary brand associations i.e. brands themselves may be linked to other entities that have their own knowledge in the minds of the consumers In effect some associations or responses become transferred from other entities to the brand. This indirect approach of brand building is known as leveraging secondary brand knowledge

Consider this

You are into business of coffee Selling high quality beans and powder produced from Karnataka You want to diversify into packaged food How many secondary associations can you relate?

Conceptualizing the leveraging process

Creation of new brand associations Effects on existing brand knowledge

Awareness and knowledge of the entity Meaningfulness of the knowledge of the entity Transferability of the knowledge of the entity


Commonality leveraging strategy Complimentary branding strategies


Three main options for new brands Create a new brand Adopt or modify an existing brand Combine an existing and new brand

Country of origin and other geographic areas

Champaign Scotch Pasta Burger

Channels of distribution

Transfer of store image Store associations


New product can be linked with existing corporate or family brand which has its own set of associations

Advantages and Disadvantages

Borrow needed expertise Leverage equity you dont have Reduce cost of product introduction Expand brand meaning Source of additional revenue

Loss of control Risk of brand equity dilution Negative feedback effects Lack of brand focus and clarity Organizational distraction

Ingredient Branding

Involves creating brand equity for materials, components or parts that are necessarily contained within other branded products Teflon non stick Dolby

Requirements for ingredient branding

Consumers must perceive that ingredient matters to the performance Consumers must be convinced that its superior There should be distinctive way (logo)to communicate the ingredient


involves contractual arrangements whereby firms can use the names, logos, characters and so forth of other brands to market their own brands for some fixed fee. Spiderman

Celebrity endorsements


Using well known and admired people to promote products. The idea being.. Famous person can draw attention to a brand Shape the perceptions of the brand based on the knowledge they have about that person.

Q ratings

Rate the following on One of my favorite Very good Good Fair Poor Never heard of him/her

Consider them..

SRK Amir khan Brad Pitt Akshay Kumar Sudeep Al pacino Daniel radcliffe Sachin Tendulkar Wayne Rooney David Beckham Michael Jackson Magic Jhonson

Potential Problems

They may be over used lacking specific product characteristics or seen as opportunist or insincere There must be a reasonable match between celebrity and the product Raj Thakery endorsing Bihar state tourism Celebrity are not always celebrities Faith in celebrity, they only endorse but never use them. Distraction from brand ( Dyna, Vivel, Fiama-de wills)


Sponsored events can contribute to brand equity by becoming associated to the brand and improving the brand awareness Also improves strength, favorability and uniqueness of existing associations

Third party sources

Indian dental association ISI