Branding, Naming Rights, and Personality in Marketing Communication

Topic 10 Branding Naming Right and Personality Marketing Communication 2 Universidad Europea All rights reserved Content Objectives 3 1 Brand Concept 4 2 The Importance of Brands 5 3 Brands and Sports 6 4 The Origins of the Adidas Brand 7 5 Brand and Logo 8 6 Brand Equity 9 7 Branding Strategies 10 8 The Concept of Naming Rights 11 9 The Origins and Objectives of Naming Rights 12 10 Celebrity Branding 13 101 Examples of Celebrity Branding 13 Summary 14 Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 3 Objectives The objectives of this presentation are To define brandbranding and how they are created considering what they mean in a consumer society and the premises on which they are based To describe how the concepts Naming Rights and Celebrity Branding are used in the sports industry using real examples To design the brand strategy which will define the company Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 4 1 Brand Concept What is a brand The primary mean to identify a product and to set it apart from the rest What the customer buys or uses What that product means to the consumer 1 2 3 Important A company has among its assets the nominal or intangible asset which includes items such as patents brands or special franchises But what is a brand AMA American Marketing Association defines it as a name term design symbol or a combination of them intended to identify the goods or services of one seller or group of sellers and to differentiate them from competitors In mature markets brand value is very important as it adds value and sets the brand apart from the rest making it an essential element for the brands survival on the market and allowing it to compete using something other than price Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 5 2 The Importance of Brands Lets take a look at the importance of brands Customers purchase a certain brand for the objective and subjective values that come with it and they are willing to pay more money for their favorite brand This is why it is so important to build a brand wisely from the start and to preserve its essence over time and in the market Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 6 3 Brands and Sports Today we dont have just brands but also private label brands which also make people happy when consuming them as they get the same quality or even better at a better price Important Brands are essential in sports People do not consume just a sport but also a brand and the values that come with it Brands define us and allow us to feel identified with them A brand is more than just a good it is a feeling an emotion an attitude an experience and the feeling of belonging to a group Nike Michael Jordan himself is a brand with which many people feel identified a feeling and a personal brand It is worth mentioning here how important the Air Jordan line became to Nike as well as the many values conveyed by the brand and which we associate with the Nike Air Jordan line These values are one of the main reasons why these products are purchased Thanks to the values associated with this line it became the perfect formula for Nike to overcome the crisis it was in during the late 90s This is a clear example of a brand linked to a brand Marks quoted for educational purposes Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 7 4 The Origins of the Adidas Brand In 1920 during the first postworld war period a German called Adi Dassler and his brother Rudolf founded GEDA Gebrüder Dassler Schuhfabrik a small footwear company in their mothers laundry Origins They made their first athletic shoes out of the precarious materials available at the time Their great revolutionary contribution to athletic shoes was the use of heels which improved the grip During the 40s the two brothers took separate ways due to various disagreements with Adolf keeping the company and changing its name to Adidas The new name comes from the diminutive of Adolf Adi and the first three letters of the last name Dassler Marks quoted for educational purposes Logo The brand logo uses a laurel leaf with three stripes across it which represent running tracks In 1996 they left the trefoil design for their classicretro products and combined the running tracks with the trefoil to create the current logo three diagonal stripes over the brand name in lowercase letters Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 8 5 Brand and Logo Graphic Design It is the graphic design used to visually represent the brand a crafted design which evolves over time while the brand almost never changes Logos however do evolve For example if we compare Real Madrids first and current logos we can see that the logo has evolved significantly Brand Evolution A clear example of a brand whose logo has evolved and changed to the point of giving rise to different brands with different values is the Adidas Originals line which launched using the old logo targeted a completely different audience from the technical side of the brand which has a different logo In other words a different logo graphic design and set of promises to the consumer can be created under the same brand Marks quoted for educational purposes Important A brand is what we say out loud Taking Real Madrid as an example Real Madrid is the name of the brand and the logotype or logo would be the team crest Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 9 6 Brand Equity Brands are an intangible asset of a company a subjective value of essential importance whereas products come after the brand and are tangible Brand equity although it is not measurable gives an added value to the product a value which is composed of assets and liabilities There are 5 categories of brand equity Brand loyalty Brand awareness Perceived quality Additional associations to the brand Owned brand assets patents registered trademarksetc How does the Marketing Science Institute define brand equity The value that is added by the name and rewarded in the market with better profit margins or market shares It can be viewed by customers and channel members as both a financial asset and as a set of favorable associations and behaviors Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 10 7 Branding Strategies Multiproduct branding Putting the same brand on all products that the company has on the market even though each product may be different Multibranding Giving a different brand to each category of products Although it is expensive to implement and promote this strategy and it also has additional expenses it allows us to better segment the market thus reaching more consumers Second brands It involves a different brand identity with a lower or higher quality and price The second brand is usually cheaper Brand alliances Forged among brands that complement each other on the market in order to strengthen their image in general and specifically their perceived quality Alliances are typically used to give less well known brands a positive perception of quality through their association with more prestigious brands Private label branding Private brands which are property of generic distributors and products They are commonly referred to as white label products Vertical brands Combines the identity of the product and the store concept Zara Abercrombie and Apple Store Cobranding An alliance among several companies or brands to create a new brand Nestea for example is the product of the partnership of brands of the same industry in this case the beverage industry Nestlé and CocaCola Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 11 8 The Concept of Naming Rights Even though the current environment requires a quick advertising impact with an immediate effect on sales we must not despair and must take advantage of the opportunities that sports provide What exactly are naming rights The sale or transfer of the rights to name sports stadiums and arenas is referred to as naming rights a practice which has taken off in Spain in recent years In the sports industry naming rights make up a large portion of the income to be made by the owners of sports facilities Why are they important A large network of businesses has appeared around the global phenomenon of sports drawn by their great social appeal which has led to increased financing needs Nowadays every athletic club in the world must make significant financial investments and with the loss of institutional funds the sports organizations have no choice but to look for additional strategies in order to survive Important Naming Rights are used in sports sponsorship as a longterm marketing tool It is also linked to the brand awareness something that can only be constructed over time Example Formula 1 remains one of the main strategic attractions in addition to the worldwide or continentwide events which take place mostly in even years Its high impact and visibility pay off for large brands drawn to the appeal of this advertising sponsorship strategy Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 12 9 The Origins and Objectives of Naming Rights Origins Naming rights originated in the US where they have an extensive history which goes back at least 40 years In Europe they were first popularized in the United Kingdom the Netherlands and Germany and are now spreading throughout the rest of the continent They have proved to be a profitable strategy and almost all professional sports facilities in the United States are currently financed through these kinds of contracts They are gradually gaining ground in Spain Objectives The main objectives of this type of sponsorship are To build brand awareness Attention Visibility Impact at a lower cost than using traditional means To get the consumer to identify with the brand Return of investment derived from several commercial activities Example The Spanish Basketball Clubs Association ACB added Endesa to its name at a time whereas the first division league was renamed Liga BBVA and the second Liga Adelante Banco Santander currently owns these naming rights through the Liga Santander and the Liga 123 Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 13 10 Celebrity Branding The consulting agency Personality Media is a company specialized in conducting studies and helping companies choose promoters for their companies They work with a database of about 2100 celebrities and survey over 40000 consumers and users in Spain Clear differences can be observed in their studies depending on the gender of their survey respondents 101 Examples of Celebrity Branding The use of celebrities to advertise the attributes of a brand or productservice so that the customer associates them both with the same attributes is called celebrity branding or celebrity endorsement A rising number of companies and brands are using these marketing tools as they have observed that they lead to a remarkable increase in monetary profits and brand equity Remember Five of the ten highest ranked people in Spain are athletes including Rafael Nadal Pau Gasol Andrés Iniesta Vicente del Bosque etc Example Tennis player Rafael Nadal has appeared in an endless number of commercials in recent years and has been the face of many very wellknown brands He has been named global ambassador for the fashion company Tommy Hilfiger specifically for its Underwear and Tailored collections starting in Fall 2015 This is an example of his many collaborations with brands such as Banco Sabadell Kia Mapfre Pokerstars Movistar and Nike Marks quoted for educational purposes Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 14 Summary Brand equity is of vital importance because it adds value and sets the brand apart from the rest Customers are therefore willing to pay greater amounts of money for their favorite brand Also important in this field are the concepts of naming rights the sale or transfer or naming rights and celebrity branding the use of celebrities to advertise the attributes of a brand or productservice Brand equity is characterized by brand loyalty name awareness perceived quality additional associations to the brand and assets owned by the brand Remember that there are various sales strategies such as multiproduct branding multibranding second brands brand alliances private label branding vertical brand and cobranding Marketing Communication Branding Naming Right and Personality Universidad Europea All rights reserved 15 Bibliography Links of interest 1 Marketing News 2014 Tommy Hilfiger ficha a Rafa Nadal Available at httpwwwmarketingnewsesinternacionalnoticia1087354028505tommyhilfigerficharafa nadal1html Accessed July 28 2015 2 Marketing News 2014 Si buscas prescriptor esta es la lista de los personajes más valoradores por los españoles Available at httpwwwmarketingnewsestendenciasnoticia1084299029005buscasprescriptorlista personajes1html Accessed July 28 2015 3 Personality Media 2014 Dani Rovira y Marc Márquez se suben al Top 10 Available at httpwwwPersonalitymediaessitioindexphpnoticiasnotasdeprensaitem135top10 2015html Accesed July 28 2015 All intellectual property rights for this work shall remain the sole property of the Universidad Europea de Madrid SLU Any reproduction distribution to the public or any other use in general of this work in whole or in part is strictly prohibited Unauthorized use of this work as well as any damages arising from the infringement of the intellectual and industrial property rights of the Universidad Europea de Madrid SLU may give rise to the exercise of any corresponding legal actions and whenever applicable to any liabilities arising from said actions