How does Brand Management Work

How Does Brand Management Work? Know These Valuable Facts

Do you need to know more about brands and how to manage them? Read through this article for some useful information on brand management.
Brand management, as we know it today, has everything to do with the Fortune 500 multinational company, Procter & Gamble. Who would've known that the then small-time company, started in 1837, would change the world's marketing strategies for good. Yes, with the McElroy Memo in 1931, they popularized this marketing concept, and the world cannot thank them enough.

The Concept of a Brand

According to the Dictionary of Business and Management, a brand is 'a name, sign, or symbol used to identify items or services of the seller(s) and to differentiate them from the goods of competitors.' From this definition, we understand it as something that will help a customer to identify one product from another. An anonymous person once said that 'a brand is a collection of perceptions in the mind of the consumer.' This is so true, because from this we know that all products are not brands. It also helps understand the fact that it is a person's perception of a product or service. A good brand should have certain characteristics which include:
  • Ability to be legally protected
  • Pronounceable
  • Memorable
  • Recognizable
  • Captures attention
  • Reflects the image of the company
  • Can be differentiated from competition
Understanding Brand Management

This is a process used in marketing; in fact, it comes under one of the 4Ps of the marketing mix. It states that the brands have to be managed individually, so as to create a positive image around them and the company in the minds of the customers. This is a difficult task and one that has to be handled delicately. The other purpose is to build customer loyalty by means of creating an emotional bond between them and the brand itself. Brand managers must naturally have an understanding of the market and customer behavior. For the brand to be successful, it is important that its promise is met and satisfied, else it can seriously damage its image.

Tips

Follow the below tips to make a successful campaign:
  • Consistency: Where brand building is concerned, it should be consistent with the ideologies of the brand itself. People should be able to identify with it over a length of time.
  • Brand equity: This is the monetary value of the brand. It should create brand equity and make it grow.
  • Be aware of other brands: One idea is to use sub-brands, while this is good, you do not want to confuse the customer with too many of them under one name. One brand of the business should not eat into the image of another.
  • Do not be sidelined by profits: Most companies work in a manner where they employ different product managers, who have to work on a target basis. It is important for them to make profits, but brand managers have to be careful, so as to not get sidelined by the money and compromise the brand image.
  • Be dynamic: An important aspect is to avoid stagnation and to be continuously changing or dynamic. Companies should continuously be innovative with their strategy and keep the customers interested.
Understanding how this works is very important, especially if you're making a career in marketing.