A brand is a symbol or an element which used to present a product or service of a company. Brand management is not an easy task and it require heavy market knowledge and information so that customer demand and supply lead to facilitate in an appropriate manner (Annie Jin, 2012). There are various strategies and techniques required in order to manage the name of a company in positive direction so that their brand value could be maintain and enhance with long term aspect as well. This project is based on brand management consideration for Toyota whom used to deal in automotive industry. Hence, they required to assess about strategies which used to apply by their major rivalry in market Hyundai. This project will going to include about the understanding about creation and management of Brand with a course of time. There will be a need of portfolio management of a brand and its hierarchy for long term benefits. Further it will also describe about extension strategies which associated with management of brand over a long period of time. Moreover, it will also state about measurement of brand value of product and services with a span of time so that better strategies lead to get frame.
Definition of brand – A Brand can be characterized as a name which is given to an item or an administration with the goal that they can make a personality of themselves. It can in any shape like outline, image, include, term and so forth. It is fundamentally done by the organizations in order to influence a place from their item in the market and furthermore it to will be utilized by them to recognize their item from different items in the market.
It said that a good and positive brand image enables and support in gathering more and more number of customers. A well brand value always signify that products and services of a company always enable in satisfy their users for long term aspect so that chances of better return could be determine (Balmer, Liao and Wang, 2010).
Toyota and Hyundai both are well established companies in the automotive section where they provide high standard products with latest elements of technology (Baumgarth, 2010). Businesses are having good command over on product just because of delivery high standard products and services so that better suited growth could be gain. They have appropriate brand image at market where but Toyota have good image as compared to Hyundai as Hyundai already engaged in case of void of copyright act under which they got sued by the Honda for design allegation.
Differentiate brand from product:
|· A brand always enables in create difference among various product at market area|
· It cannot get copied due to having some special features into it.
· Created by targeting new and modify group of customers.
· Categorisation is easy by define suitable products and services and their nature.
|· Item which used to supposed to directly sale to customer individual.|
· Many products have similar nature of aspect with features.
· Target for creation of customers and done by manufacture.
· These products are not having any kind of tangible interference.
Importance of branding: Branding lead to derive many benefits for a company products and services which used to identify by managers of a company and required to adopt and take some beneficial steps to create an appropriate brand image. Following are the several importance of branding which need to understand by Toyota so that they lead to make their brand differ from others:
- Support in managing customer loyalty as a satisfied brand always bring customer back into a company.
- Enhance expectations of customer with other similar brands as well which create a competitive environment at market area.
- Support in control the cost of advertisement as users become the ultimate advertiser for the new products and services by a particular brand and services.
- Enables in creating a brand image which further assist in generating more revenue and wellbeing of a company.
Building good impression:
Another major support which determine by a brand over a product and service is that they used to bring out a good impression (Bergkvist and Bech-Larsen, 2010). A good impression would be carried down or bring out with effective branding strategies which support in deriving good results. Building a good impression towards customers only could be done with effective brand management strategies. This will support in gain better competitive edge and advantage which enables in deriving suitable future consideration for growth and development.
BRAND EQUITY: This define as such process when a whole product and services could be evaluated as separate entity with other assets of a company. There is a need to brand equity so that customers used to recognise product and service properly by not considering with similar to other one like Virgin group which have more number of products and each and have different brand equity at market world.
It enables in enhance the financial position of a company in lesser time period so that better results could be gain in future aspect (Burmann and König, 2011). For valuing brand equity of a company, logo, profit margin etc. determine several major aspects which support in evaluating brand equity of a company.
SOURCES OF BRAND EQUITY: Following are several number of consideration which have to understand by the Toyota and evaluate as major sources of brand equity which enables in providing good and positive future return:
- Brand Awareness – Enables in providing relevant data about product and services to the target customers which support in managing brand over the time and create a product differ from others as well.
- Brand Associations –This supposed to be evaluated as such element which related and coordinate with the name and fame of brand (Freling and Forbes, 2013). This should be in any format like voice, language etc.
- Perceived Quality – Support in gain market share due to providing high quality standard products and services with comparison of major competitors. This enables in gaining and deriving better associated outcome.
HOW ARE BRANDS DEVELOPED AND MANAGE OVER TIME:
Brand always represent the valuation of a company in respect with others which need to understand by managers of a company. Brand value required to manage and develop with a course of time in better and suited manner so that chances of appropriate gain become possible in tenure. Many companies put them backward by not managing their brand value with a course of time. Thus, it is really important to manage brands with over time and time for gaining better and determined outcome.
One of a major issue or problem which could be face by managers of Toyota and Hyundai is that they less focused on managing brand value over time. Thus whenever a market area got target, it highly required to organise market survey and evaluate the brand value over the course of time.
They also need to determine about needs and wants of each and every group so that appropriate products and services could be deliver with a course of time. Without investigation expansion of brand in any particular area is a foolish decision which directly reflect on financial position of a firm (Gatti, Caruana and Snehota, 2012). Toyota have to determine about all new and modern technology which enables and support them to manage their brand with a course of time. This will bring down positive reflection and attribute towards brand so that chances of sustainability could be handle for long term aspect.
BRAND REINFORCEMENT: IN this process, management focus on defining that their existing customers will bring loyalty towards them or not (Iglesias, Singh and Batista-Foguet, 2011). With such loyalty they also have to focus on deriving and invite many new customers which facilitate and support in maximise sales and revenue of a company so that chances of deriving better and associated outcome could become possible for long term consideration. But there are few number of issues lead to identify which related with brand reinforcement technique of Toyota. These have to address by managers properly for managing product and services for long term consideration:
- What the product is actually representing, what are the core benefits of the product they are supplying.
- It also deals with the problems of how to make the brand superior in the market and making it more strong and favourable.
BRAND REINFORCEMENT STRATEGY: It is really important for managers to reinforce their products and services for long period of time. With effective and appropriate brand reinforcement technique, management become able to made their products and services superior from others as well as support in minimise all major issues and problems properly. Toyota have to determine such strategies and techniques properly so that appropriately brand get reinforce for long period of time in order to manage success and growth with sustainability:
BRAND AWARENESS: The first step or strategy define about brand awareness where management supposed to made their products and services available and get known about all users. Brand awareness directly enhance and increase profit and growth of a company so that better and supportive gain of profit could be done (Spence, M. and Hamzaoui Essoussi, L., 2010). Toyota need to maintain each and every product information at market area so that brand get reinforce with every due course of time which support in creating better growth and development.
BRAND IMAGE: Business and firms have to manufacture good and creative products and services which support in managing and creating positive and good image towards customers. A better and appropriate brand image always support in deriving good and positive results as well as outcome. Toyota always engage in ethical and suitable activities which support in gaining customer trust and loyalty. Hence, a good and appropriate brand image reflect and generate appropriate profit and revenue of a company not only but also reinforce the working operations more properly.
(Source: Brand Revitalization strategy, 2018)
MAIN CHALLENGES DEVELOPING A BRAND: Challenges are always been a part of growth and development. Whenever it talks about the growth, certain number of barriers got determine which create harm to business activities and operations whom need to understand by managers of a company properly as well as made appropriate and effective strategies to meet with them (Keller Parameswaran and Jacob, 2011). Development of brand brings positive reflection but it also includes about lots of energy, time and money as well. Hence, Toyota have to identify all kind of risk and potential challenges which used to come in front while developing brand and managing it with a course of time:
- EXPENSIVE – Need appropriate and adequate money so that brand could be manage again. This process need more money as compared with establishment due to developing brand value again in the market area as many competitors already taking place which bring some new and modify considerations.
- BARRIERS TO ENTRY – Need to take permission from a regulatory body or area where business wants to grow and develop their number of operations. This barrier to entry required to determine in advance so that better working ability could be present. Thus, managers have to identify all such area of operations where restrictions and barrier of free trade are more otherwise it will not going to support brand development and create issue as well.
THE STAGES OF BRAND DEVELOPMENT
Keller present a model of brand development which have to understand by the managers of a company so that they going to manage name and frame of business. This will assist them in dealing all major issues and problems define in area of brand development and growth. Toyota have to determine this model and understand properly so that they are going to manage and work properly and facilitate effective operations through dealing with such barrier and potential problems and challenges.
- CBBE MODEL ( BRAND RESONANCE PYRAMID )- It is the most commonly used model for Consumer based brand equity. Here, Keller has put the whole model in a four level pyramid (Kunerth and Mosley, 2011). The main aim behind creating this model is to simply build a strong brand that is based on consumers so that they should more of that product and also introduce it to their fellow people as well. The steps that are involved in this model are :
- Brand Identity – In this, the brand managers use market segmentation and unique selling preposition tools so as to aware the customers about the product and also make an identity in the market.
- Brand Meaning – Here, the main aim of the marketers is to identify and communicate what the brands means and what does it stands for.
- Brand Resonance – Through this the company tries to make each of their brand connected with the customers so that they can grow a strong bond with them (M’zungu, Merrilees and Miller, 2010).
PORTFOLIO STRATEGY :
Brand portfolio is such consideration under which an organisation used to sale out their products and services under one umbrella. This enables and support in managing brand value of a company through differ kinds of products and services. Thus, brand portfolio required to manage and underpin properly each and every product as per the needs and wants of customers so that chances of better and suitable gain could become possible in long term consideration where chances of better and suitable gain could be present in long term as well as better and appropriate growth could be assess by managing various brands under one portfolio setting.
A brand portfolio could be done with a single motive to maintain their variety of products under one umbrella. Toyota have to determine this aspect properly and they will going to evaluate all aspects properly. Under brand portfolio several number of questions will going to answer properly which stated as follow:
- Can a brand added to the portfolio?
- Is this essential to prioritise the product and services?
Following are the several number of portfolio management strategy which need to understand by managers of Toyota so that they will going to gain better results. Thus, some number of strategies which stated as follow:
- Active Portfolio Management strategy: This strategy applied by a manager to gain potential risk at market area. This active portfolio management strategy enables in dealing at market area. Active portfolio management strategy have to assess by Toyota properly so that they will going to gain and bear potential at risk market area.
- Passive Portfolio management strategy: – Business have to assess that they not lead and going to enter into such market area where risk are high. Passive portfolio strategy not have to utilise by Toyota and have to manage at market area.
|Toyota||Deal in various kinds of products and services where more number of products are dealing under one umbrella.||Some major products and items which used to provide by Toyota are Corolla etc. All of them have provide a sense of luxury.|
|Hyundai||They also use umbrella brand strategy where products used to sale out at market world in a moderate frame.||There are various products are selling under one umbrella section which are Hyundai Verna, i10, i20 etc. All of them have high range and target of middle class group of individuals.|
P4 Management of brands in partnership both at domestic and global level
Expansion of business is a major task in front of the management which enables and support an organisation to deal at wider level so that better and effective consideration could be done. With appropriate expansion of market area business become able to provide tough competition to major competitors at market area. With appropriate management of brand at domestic and international level, chances of deriving more resources become possible in nature (Solomon, 2014). A good and appropriate expansion always support business to get to know by others. Hence, with more name and frame, chances of getting sustainability could be done with effective consideration which further assist in better profit and growth. Toyota required to understand this aspect properly and understand term and its related techniques for managing expansion towards positive direction:
BRAND EXPANSION – This option could be gain when an organisation determine growth opportunities at big market (Huili, Y. A. O. and et. al., 2016). Brand expansion define as a process when a company increase their number of products at market area. More number of products which target each and every group of individual so that better market growth could be accomplish. Severa, brand expansion strategies which used to identify by Toyota design as follow:
LINE EXTENSION – For this approach, business evaluate about the new products for new market group at a modified area. This enables in deriving better growth and development so that business could be expand at international level where new section could be target for gaining growth and generating revenue.
CATAGORY AUGMENTATION – One more and new introduction of an innovative product support in expand through category augmentation. With this expansion a new product will lead to launch so that better and supportive growth could be accomplish with effective management.
These two are the best strategies for the Toyota and Hyundai to deal at market area which further assist them to generate more and more revenue with appropriate brand image at market area. Both these companies required to grow themselves towards luxury cars manufacturing as they producing less luxury vehicles. Both these firms have good and appropriate technologies which assist in designing effective cars (Spence and Hamzaoui Essoussi, 2010). Although, they need to join hands together and start operating in diverse market world. This will might bring better and appropriate opportunities so that chances of sustainability at domestic and international market become possible as well as better competition will going to provide to big firms like Audi, BMW etc.
Keeping in mind the end goal to oversee and outline a decent brand picture, organizations make utilization of association in a feasible way. It is notable that Toyota and Hyundai are well known brands that are working in advertise since long time and that too effectively. They both are doing its assembling in the vast majority of the nations and giving effective items and administrations also (Vigneron and Johnson, 2017). It is likewise trusted that on the off chance that they will consolidate their hands then they can create shockingly better autos for the general population.
In the present business condition, organizations are confronting various types of issues or problems because of the progressions presented in the earth. Thus, it is particularly critical for the organizations to keep up their client base as they are having a high danger of losing them whenever because of the presence of numerous new contenders. In the automotive part, there are such huge numbers of organizations that are working like TATA, AUDI, BMW etc. every one of these organizations are considered as contenders of Hyundai and Toyota. In this way, they have to define successful techniques to keep up their piece of the pie and increment it too. They are likewise required to look at their image an incentive on ceaseless premise. It is required to be done as a result of the accompanying reasons:-
- Business financial report
- Adjustment or variation
A major thing which need to understand by managers of a company is that they have to made and determine valid comparison with their rivalries and competitors properly which enables them to identify their key factors as well as their weakness in define area:-
|· They used to design and manufacture products and services as per requirement of customers’ needs and wants.|
· Use suitable marketing approach where suitable kinds of offers get provided which facilitate to attract customers.
|· Determine each and every culture properly which enables them to manufacture products and services.|
· They are producing cars which good in design and control attractiveness of each and every group of individual
SWOT analysis of Toyota:
· Portfolio is very vast in nature where petrol and diesel products are available at differ range and variations.
· Variety of features like air bags etc. which enables and support in attracting differ range of customers.
· Products getting renew with every course of time.
· Best utilisation of resources and technology for managing their products.
· Lesser market presence in lower developing area.
· High handling cost of products because they have luxury appearance.
· Utilising effective promotional strategies for managing brand value over the time.
· Lower focus on diversification
· With a define course of time hybrid cars demand are getting expand.
· Business become able to manage their portfolio through new and modify vehicles which facilitate effective growth towards business and its products and services.
· Well utilisation of social media techniques for promoting products and services.
· Gaining competitive advantage and edge through better and suitable innovation.
| Threats |
· Competitors gaining higher market share which could treat and harm business at negative constant.
· Lesser control on home territory reflect their losing control at international market area.
· With due increase of prices of petrol and diesel at emerging countries also define as threat for Toyota.
· A major threat is getting gain through government policies which reflect lesser growth and development
The various approaches that can be applied by Toyota and Hyundai are:
- FINANCIAL APPROACH :- Here, the primary point of the organization is to focus on adjusting the present things or supplant them with the new items in the market so it can do their activities in the more extended period (Zarantonello and Schmitt, 2010). The properties that are incorporated into this are:
- An approach based on marketing – It contains every one of the statistical data points that are available in the commercial centre.
- Approaches based on income – It is vital for the organizations to give products and enterprises to individuals according to the necessities.
CUSTOMER BASED APPROACH: – In the clients are considered as the last ones who utilize the item and on the off chance that they will like the item then they will buy it.
It get determine from the above project that brand always support in managing and enhancing profit of a company. Brand management need to assess the scenario of market properly with identification of competitors strategies as well. With effective brand management, business become able to sustain at market area for more period of time for maintain their competitive edge. A good brand is one which include their name as a marketing tool and provide offers to clients so that an appropriate and effective brand value could be built with a course of time. For maintaining the brand equity, hierarchy and portfolio at market area firm need to work on their products and services with valid comparison of their competitors. For managing brand value at domestic and international level, business could adopt the rationale of partnership and collaboration of work so that more resources could be put into product and service delivery and manufacturing. Customer based approach, financial approach define as few of the one which could be utilise as major techniques in regarding management of brand with a span of time. They enables in managing brand value with a course of time and support in gaining strength for a firm which enables them to deal at market for long term.
Books and Journals
Allman, H. F. and et. al., 2016. Brand image evaluations: The interactive roles of country of manufacture, Brand concept, and vertical line extension type. Journal of International Marketing. 24(2). pp.40-61.
Annie Jin, S. A., 2012. The potential of social media for luxury brand management. Marketing Intelligence & Planning. 30(7). pp.687-699.
Balmer, J. M., Liao, M.N. and Wang, W. Y., 2010. Corporate brand identification and corporate brand management: How top business schools do it. Journal of General Management. 35(4). pp.77-102.
Baumgarth, C., 2010. “Living the brand”: brand orientation in the business-to-business sector. European Journal of Marketing, 44(5), pp.653-671.
Bergkvist, L. and Bech-Larsen, T., 2010. Two studies of consequences and actionable antecedents of brand love. Journal of brand management. 17(7). pp.504-518.
Braun, E., Kavaratzis, M. and Zenker, S., 2013. My city–my brand: the different roles of residents in place branding. Journal of Place Management and Development. 6(1). pp.18-28.
Burmann, C. and König, V., 2011. Does internal brand management really drive brand commitment in shared-service call centers?. Journal of Brand Management. 18(6). pp.374-393.
Freling, T. H. and Forbes, L. P., 2013. An empirical analysis of the brand personality effect. Journal of Product & Brand Management.
Gatti, L., Caruana, A. and Snehota, I., 2012. The role of corporate social responsibility, perceived quality and corporate reputation on purchase intention: Implications for brand management. Journal of Brand Management. 20(1), pp.65-76.
Gyrd-Jones, R. I., Helm, C. and Munk, J., 2013. Exploring the impact of silos in achieving brand orientation. Journal of Marketing Management. 29(9-10). pp.1056-1078.
Huili, Y. A. O. and et. al., 2016. Research on External Influence Factors of Brand Extension into New Markets Based on Ecological Niche Theory. International business and management. 12(2). pp.1-4.
Iglesias, O., Singh, J. J. and Batista-Foguet, J. M., 2011. The role of brand experience and affective commitment in determining brand loyalty. Journal of Brand Management. 18(8). pp.570-582.
Kapferer, J. N., 2017. Managing luxury brands. In Advances in Luxury Brand Management (pp. 235-249). Palgrave Macmillan, Cham.
Keller, K. L., Parameswaran, M. G. and Jacob, I., 2011. Strategic brand management: Building, measuring, and managing brand equity. Pearson Education India.
Kunerth, B. and Mosley, R., 2011. Applying employer brand management to employee engagement. Strategic HR Review. 10(3). pp.19-26.
M’zungu, S. D., Merrilees, B. and Miller, D., 2010. Brand management to protect brand equity: A conceptual model. Journal of Brand management. 17(8). pp.605-617.
McDowell, W. S., 2011. The brand management crisis facing the business of journalism. The International Journal on Media Management. 13(1), pp.37-51.
Meskendahl, S., 2010. The influence of business strategy on project portfolio management and its success—a conceptual framework. International Journal of Project Management. 28(8). pp.807-817.
Qian, Y., 2014. Brand management and strategies against counterfeits. Journal of Economics & Management Strategy. 23(2). pp.317-343.
Solomon, M. R., 2014. Consumer behavior: Buying, having, and being (Vol. 10). Upper Saddle River, NJ: Prentice Hall.
Spence, M. and Hamzaoui Essoussi, L., 2010. SME brand building and management: an exploratory study. European Journal of Marketing. 44(7/8). pp.1037-1054.
Brand Management- Meaning and Important Concepts. 2017. [Online]. Available through: <http://www.managementstudyguide.com/brand-management.htm>.