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UNIT-#01-branding Concepts

The document discusses the basic concepts of creating, developing, implementing and maintaining successful brands. It defines what a brand and branding are, and outlines the objectives and importance of branding from the perspectives of producers, consumers, resellers and society. Some key benefits of branding discussed include product differentiation, promotion, customer loyalty, consistency and creating value.
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0% found this document useful (0 votes)
104 views17 pages

UNIT-#01-branding Concepts

The document discusses the basic concepts of creating, developing, implementing and maintaining successful brands. It defines what a brand and branding are, and outlines the objectives and importance of branding from the perspectives of producers, consumers, resellers and society. Some key benefits of branding discussed include product differentiation, promotion, customer loyalty, consistency and creating value.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 17

LESSON #01

Basic Concepts in Creating Developing, Implementing and Maintaining Successful


Brands

Introduction

 Customers of a given product tend to associate its quality and reputation to the
company producing that product. This eventually makes the identity of the company as
perceived by the audience. A brand, at its core, is based on its audience’s perceptions
about the company and products they provide.
 The process of branding animals with a mark of ownership was a concept adopted by
manufacturers of the past years to identify their products. However, branding has
evolved from its origins of signifying ownership into a higher level marketing strategy
that pinpoint brands as indicator of products or company ownership and brands as
perceptions in the mind of consumers.

Meaning of a brand

 A brand is a combination of tangible and intangible elements that delivers the company
and its product identity in the mind of consumers. It is a means of differentiating a
company’s products and services from those of its competitors.
 A brand is a name, term, sign, symbol or design, or a combination of these, that is
intended and used to identify the goods and services of one business or group of
businesses and to differentiate them from those of competitors.
 A mixture of tangible and intangible attributes symbolized in a trademark, which, if
properly managed, creates influence and generates value.
 Examples of well-known brands include Coca cola, Azam, Sony, Mercedes, Acer, HP, etc.

Meaning of branding

 Branding the process of endowing products and services with the power of a brand to
create differences between products.
 The process includes activities like assigning specific name, term, symbol, or design or
combination of these to a product, description of what the product does to consumers
and the reasons consumers should care about the product.

Objectives of branding

 The main objectives of branding product are as follows:-


i) To differentiate a firm's product from competitors' products
 This makes customers feel easy to recognize products of genuine
producers.

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ii) To assist in promotion
 Branding help in conducting promotional activities such as advertisement,
personal selling, publicity, sales promotion etc. are conducted with brand
name.
iii) To increase prestige and status
 Branding helps to increase prestige, personality and status of producers,
distributors, resellers and customers.
iv) To maintain product quality
 Branding help firms to pay attention to maintain quality of the products in
order to sell and distribute the products with brand name. The firms,
which cannot maintain quality of their products, do not want to use brand
name.
v) To increase brand loyalty
 Branding to increase customer' loyalty to brand or branded product. In
most cases, customers buy only the branded products repeatedly.
vi) To legally protect the firm
 The other objective of branding a product is to protect the business firm
from any legal obstacles and get legal recognition and protection.
vii) To build values for customers
 Branding promotes the value of the products to consumers. Marketing
managers always concentrate their effort on promoting special quality
and advantage of the products of certain brand name.

Importance and reasons for branding

Branding is important among producers, consumers, resellers and the society at large as
follows:-

Importance and reasons for branding producers’ viewpoint

 From the producers' and sellers' point of view, the following advantages and benefits
can be enjoyed from branded products:
i) Product identification
 Branding simply product identification, handling and tracing. For instance,
when a TOYOTA motor vehicle need to be returned in factory.
ii) Means of communication and advertising
 Branding is the means communicating the company’s values, principles,
message, and even characteristics.
 Branding helps producer and sellers to promote their products and sales
through advertisement. Branded products can be advertised and
advertisement creates demand.
iii) Brands connect to customers

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 Good brands connect with customers emotionally. When they purchase
products of the company, they know they have made a good decision.
Marketers want customers to feel good emotionally when they engage
with their companies and products. This help the firm win consumers’
purchasing decisions.
iv) Brands generate referrals
 People love to share things they like. They also love to talk and share
products through word of mouth, but they will also share the company’s
brand without even knowing it through using the company’s products.
For instance wearing, eating, or driving the company’s product, etc.
v) Brands form focus
 Many companies easily wander away from plans and goals when new
tasks arise. Having a strong brand helps the company to stay focused
and work towards missions and visions that need to be met as an
organization, while staying true to the established brand.
vi) Brands motivate employees
 Establishing a clear brand strategy provides clarity to employees that are
needed in order to be successful. Brands set guidelines for how
employees should act, what is expected of them and how they can meet
the organizations goals.
vii) Brands are a promise to customers
 Customers want to purchase products from companies that will take care
of them. Creating a brand allows the company to state their promise to
the customer. For instance who the company is and what does the
company have to offer. This help the firm win consumers’ purchasing
decisions.
viii)Brands create an experience
 Customers want an experience when they purchase items. When they
come to a company for instance, is its logo visually appealing, are its
employees friendly and helpful and are its products satisfactory? Their
experiences with the company’s brand will leave a mark.
ix) Brands provide value
 Strong brands give companies value beyond just their physical assets. For
instance, Nike has value within their equipment, offices, factories,
warehouse and products, but they have created even more value through
their brand and famous “just do it” slogan.
x) Brands set the company apart
 In today’s market, companies are never safe from competition. So it’s
critical that the company’s brand stands apart from the rest of the crowd.
The things the firm has that sets it apart from its competitors
xi) Brands create consistency

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 Concise and clear brands help customers to be at ease because they
know what to expect every time they use their product or come in to the
company’s stores.
a. Market control
i. Branded products can control market more than the unbranded ones. It
becomes possible to receive purchase order from customers for the
products, which have brand name or symbol.
b. Promotion of customer loyalty
i. If the products have brand name, 'brand loyalty' or 'brand patronage'
becomes possible. When a consumer has a good experience with the
company’s product, he or she will probably remember the brand, not the
product. People would learn to trust the company’s brand, so the next
time they have the need for certain products and services, they will look
the company up. This loyalty would help firm create an attachment
among its customers and influence their emotional decisions.
c. Expansion of product mix
i. A reputed manufacturing company, which produces and sells better
products of established brand, can also produce other new products
using same brand. The customers who have brand loyalty of the old
products confidently buy and use the new products of the same brand.
In this way, branding helps to develop, produce and sell new products.
d. Reduces price comparisons
i. If the products are branded, the customers do not compare price with
other products of different companies, because brand itself differentiate
the products and prices. Hence, the producer or sellers become free to
determine price.
e. Goodwill and image
i. Quality product and popular brand help increase goodwill and image of
the manufacturing firm and sellers. Such brand attracts general public
towards the firm. As a result, volume of sales increases. Besides this,
banks and financial institutions provide necessary financial help for
production and sales. Thus branding serves as a source of finance to the
firm.
f. Protection of unique features
i. Branding helps producers protect unique features of their brands from
being used (counterfeited) by other firms. For instance, brand name can
be protected through registered trade mark, manufacturing process can
be protected through patents, and packaging can be protected through
copyrights and proprietary designs.
g. Source of competitive advantage
i. The unique features of the brand can be used a tool to compete with
rivals in the market.

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h. Endow unique associations to product
i. Branding is a means of endowing products with unique associations such
as personality, security, comfort, etc.

Importance and reasons of branding from consumers' viewpoint

i) Product identification
 Branding plays an important role to help consumers or industrial users to identify
and differentiate the products from the other company. The consumers or users,
with little effort, can easily buy the products of the brand whichever they want.
This also simply information search and consumer buying decision.
ii) Stability in quality and price
 As the products, which have been branded, do not differ in quality and price, the
consumers can purchase such products with confidence. Moreover, mostly
reputed producers produce the branded products. The producer always tries to
improve quality by which the consumers get more utility and benefits from
branded products. This reduces risk in product buying decision.
iii) Buying spares and parts
 Branding helps customers to buy spares and parts for their automobile,
machines, and other equipment. As the producer produce such spares and parts
in the same brand name and trade mark, the customers do not have to be
cheated by counterfeit products.
iv) Regular supply
 As the branded products are supplied regularly, the customers can get and use
them regularly. If once the customers are satisfied with the products, they buy
the products of the same brand when need again.
v) Social prestige
 Social prestige, respect and status of consumers rise up from buying branded
products. Branded products also give psychological satisfaction to the
consumers.

Importance and reasons of branding from society's viewpoint

i) Promotion of social events


 A company, which deals in products of reputed brand, sponsors for different
social programs such as education, health, sports, cultural campaign, seminar,
workshop etc. for the promotion of product. Such activities do not only promote
products but also make the society aware.
ii) Consumer welfare
 Branded products protect consumers' rights. If any wrong, defect or fault is
found in branded products, the consumers can get compensation according to
the legal provision. But if any defect, fault found in unbranded products or they
cause damage or loss, it becomes difficult to identify and take legal actions.

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iii) Environmental protection
 Products of reputed brand become helpful in environmental protection. On the
other, environmentally aware society gives priority to use environment friendly
brand. In this way, branding of products also helps protect environment.

Reasons for not branding

Consumers, sellers and producers can get different benefits and advantages from branding of
products. So, most of the products are branded. However, some producers do not give brand
name to their products. There are main two reasons for not branding their products. They are
as follows:-

i) To give brand is impractical due to nature of products and


ii) To avoid responsibility of their products

Factors related to nature of products

Branding of some products is impossible due to their nature. The products are sold without
branding them for the following reasons:

 Difficult to differentiate products


o Some products are difficult to recognize and differentiate them from the products
of other companies. Nails, clothe-pins, coal, raw petroleum, raw materials etc.
these types of products are impractical to give brand name. Their producers
cannot be differentiated. So, they are sold without a brand.
 Agricultural products
o Different agricultural products, especially vegetables are sold without branding
because they are quick perishables.
 Lack of standard quality
o If any products are not of standard quality, the producers do not give brand
name to them.

Responsibility factors

The other reasons for selling products without branding are to avoid responsibility or remain
indifferent towards the products. There are mainly two types of such responsibilities as follows:

 Demand stimulation and promotion


o Some producers do not like to take responsibility to create demand of goods
through personal selling, advertisement and other promotional activities. Due to
lack of financial resources, some producers become unable to advertise their
products and conduct promotional activities. So they sell their products without
any brand name through middlemen or directly to consumers. In some
conditions, wholesalers buy large quantity of unbranded products from producers
and sell them by giving brand name and symbol of their own.

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 Maintaining consistency and adequate quality
o If producers or sellers are unable to maintain adequate quality, uniformity and
rationality, they do not use brand in their products. If customers find differences
in weight, quality, consistency, uniformity etc. in the same products, they do not
buy such products again.

Because of the nature, some products cannot be branded. Some producers sell their products
without giving brand name for they do not like to take responsibility towards their products.

Conditions favorable to branding

 It is not always easy to establish a respected brand. The following conditions are
favorable to successful branding:-
o The product is easy to label and identify by the brand and trademark.
o The product quality is easy to maintain and the best value for the price.
o Dependable and widespread availability is possible. When customers start using
a brand, they want to be able to continue using it.
o Demand is strong enough that the market price can be high enough to make the
branding effort profitable.
o There are economies of scale. If the branding is really successful, costs should
drop and profits should increase.
o Favorable shelf locations or display space in stores will help. This is something
retailers can control whey they brand their own products.

Individual assignment

1. Explain how brand is differentiate from branding


2. Describes the likely consequences of not branding products or services of a
given company.

Food for thought

1. Explain why brand matters to the following entities:-


a. Consumers
b. Producers
c. Middlemen
d. Society
2. Explain how brands help firms achieve their marketing objectives.
3. While some manufactures manage to brand their products others fails. In the light of
this statement you are required to:-
a. Explain the reasons why some companies fail to brand their products.
b. Describe the likely consequences of not branding a product.
c. Suggest the conditions favourable for branding products.

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TYPES OF BRAND

Brand can be classified in different types on different basis such as ownership, market area and
number of product.

Types of brand on the basis of ownership

On the basis of ownership, brand can be divided in two as follows:-

i) Manufacturer's brand
o If the manufacturing firm itself gives brand name to its products, it is called
manufacturer's brand. Ownership of such brand lies with manufacturer.
ii) Middleman's brand
o Some producers sell their products to middlemen, wholesalers and retailers
without branding. Wholesalers or retailers sell such products giving seal of own
brand name. This is called middleman's brand.

Types of brand on the basis of market area

On the basis of market area, brand can be divided as follows:-

i) Local brand
o If supply of product is limited to local level, and the brand is only in local area,
such brand is called local brand. This type of brand is used for the products sold
or supplied to limited area. Such type of brand is also called regional brand.
ii) National brand
o The products which are sold or supplied to all over the nation with only one
named seal, this is called national brand.

Types of brand on the basis of number of products

On the basis of number of products, brand can be divided as:-

i) Family brand
o If a producer/manufacturing company gives same brand name to its different
products, this is called family brands. Also, if a company produces different
products of different nature, types and classes, it gives same brand name to the
products of same class.
ii) Individual brand
o The brand name used for only one product is called individual brand. Even if the
products are of same class, but different brand names are used for different
products, such brands are called individual brand.

FOOD FOR THOUGHT

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1) Describe various types of brands you know.
2) Classify types of brands on the basis of the following criteria:-
a. Ownership
b. Market area
c. Number of product carried.
3) Differentiate the following types of brands as applied in marketing:-
a. Family brand and individual brand
b. Local brand and national brand
c. Manufacturer’s brand and middleman’s brand.
4) Middlemen are marketing intermediaries that help to distribute, promote and finance the
sale of manufacturer’s product to final consumers. They are not however, involved in
the manufacture of any product besides provision of services. In your view explain why
middlemen are concerned with having middleman’s brand?

ELEMENTS OF A BRAND

Brand elements, sometimes called brand identities, are those trademarkable devices that serve
to identify and differentiate the brand. The main ones include; brand names, URLs, logos,
symbols, characters, spokespeople, slogans, jingles, packages, and signage as explained
hereunder: -
 Brand name: - a brand name also called a product brand is a word, group of
words, letters, or numbers that represent a product or service and can be
uttered. Examples, Coca Cola, Castle, Samsung, TIA, etc.
 Trade name: - a trade name is a phrase or symbol that identifies and promotes
a company or a division of a particular corporation; also known as a corporate
brand. IPP media for brands like ITV and Radio one stereo.
 Brand mark: -brand mark is a unique symbol, coloring, lettering, or other
design element. It is recognizable visually and does not need to be pronounced.
 Trade character: a trade character is brand mark that has human form or
characteristics. Example an image of powerful man on the Konyagi brand
indicating the power of the liquor.
 Trademark: a trade mark is a word, name, symbol, device, or combination of
these elements that is given legal protection by the government. Trademarks are
used to prevent other companies from using a similar element that might be
confused with the trademarked one.
 Service mark: a service mark is the same as trademark except that it refers to a
service offering. Service marks are thus registered words, symbols, or marks for use by
a single company for its service offering.
 Uniform resource locators (URLs): -URLs specify locations of pages on the Web and
are also commonly referred to as domain names. Anyone wishing to own a specific URL
must register and pay for the name

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 Logos and symbols: Logos and symbols include visual elements that indicate origin,
ownership, or association with the product. For example, families and countries have
used logos for centuries to visually represent their names, e.g. the Hapsburg eagle of
the Austro-Hungarian Empire, Kilimanjaro mountain in Tanzania for Kilimanjoro beers,
etc
 Slogans: Slogans are short phrases that communicate descriptive or persuasive
information about the brand. They often appear in advertising but can play an important
role on packaging and in other aspects of the marketing program. When Snickers
advertised, “Hungry? Grab a Snickers,” the slogan also appeared on the candy bar
wrapper itself. Other examples of brand slogans includes;

o Like a good neighbor, State Farm is there


o Just do it
o Nothing runs like a Deere
o Save 15% or more in 15 minutes or less
o We try harder
o We’ll pick you up
o Innovation at work
o This Bud’s for you
o Always low prices
 Jingles: Jingles are musical messages written around the brand. Typically composed by
professional songwriters, they often have enough catchy hooks and choruses to become
almost permanently registered in the minds of listeners, sometimes whether they want
them to or not. During the first half of the twentieth century, when broadcast
advertising was confined primarily to radio, jingles were important branding devices.
Example, “Give Me a Break” jingle for Kit Kat candy bars has been sung in ads since
1988 and has helped make the brand the sixth best-selling chocolate candy bar in the
United States
 Packaging: Packaging is the activities of designing and producing containers or
wrappers for a product. From the perspective of both the firm and consumers,
packaging must achieve a number of objectives;

o Identify the brand.


o Convey descriptive and persuasive information.
o Facilitate product transportation and protection.
o Assist in at-home storage.
o Aid product consumption

Criteria for choosing brand elements to build brand equity

1. In general, there are six criteria considered when selecting brand elements. These are:-

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o Memorability: -Brand elements such as brand name should be easily
recognized and recalled. This is important for creation of awareness and easy of
identifying the product and its company in the mind of consumers. Brand
elements that promote this goal are inherently memorable and attention getting
and therefore facilitate recall or recognition in purchase or consumption settings

o Meaningful: -Brand elements should carry a descriptive and persuasive


meanings related to the product. Brand names for instance can be based on
people, places, animals or birds, or other things or objects. The descriptive
meaning is centered on the general information about the product or service.
Descriptive meaning help to build brand awareness and salience. Persuasive
meaning of the brand elements describes the specific information about
particular attributes and benefits of the brand and suggests suggestions of
something about the particular kind of product, or its key points-of-difference
attributes or benefits as compared to competitors. This is important in brand
image creation and positioning.

o Likeable: -Brand elements should be fun and interesting, rich in visual and
verbal imagery as well as aesthetically pleasing, even if not always directly
related to the product. A memorable, meaningful, and likable set of brand
elements offers many advantages because consumers often do not examine
much information in making product decisions.

o Transferable: -Brand elements should be easily transferable within and across


product categories carried by the company and across the geographical
boundaries and culture. Transferability measures the extent to which the brand
element adds to the brand equity for new products or in new markets for the
brand. The usefulness of the brand element for line or category extensions and
the extent to which the brand element add to brand equity across geographic
boundaries and market segments.

o Adaptable to necessary changes in consumer values and opinions:


-Brand elements needs to be flexible and adaptable to changes in consumer
values and opinions. Sometimes, because of a need to remain contemporary,
most brand elements must be updated. The more adaptable and flexible the
brand element, the easier it is to update it. For example, logos and characters
can be given a new look or a new design to make them appear more modern
and relevant.

o Legally protectable: -Protect-ability measures the extent to which the brand


element is protectable both in a legal and a competitive sense. Marketers should
choose brand elements that can be legally protected internationally, formally

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register them with the appropriate legal bodies, and vigorously defend
trademarks from unauthorized competitive infringement.

 A brand name is a word, letter or group of words or letters that can be vocalized. For
example, Coca-Cola, Nike, Azam, Mohamed Trans, Hp, Toshiba, etc. The brand name is
a fundamentally important choice because it often captures the central theme or key
associations of a product in a very compact and economical fashion. It connects a
product with the benefits a customer can expect.

Features of a good brand name

While branding any products, the producers should give proper brand name to their products. A
brand name may be good or bad. It may promote sales or may cause decrease in sales volume.
It may reinforce reputation, image and goodwill of the producer firm or may spoil. The selection
of good brand name is not easy. However, the following factors should be kept in mind while
selecting brand name:-

 Distinctive and attractive: -The brand name should be selected new and unique and
has not been used by any other companies. It should be attractive so that a large
number of customers are attracted.
 Short name: -A good brand name should be short. Short name becomes easy to
pronounce and remember. Short brand name can be also printed on little space or set
on products.
 Simple and easy to spell and read: -Simple and easy brand name should be selected
for a product so that it can be understood and pronounced by all customers. Easy of
pronunciations encourage word-of-mouth exposure that helps build strong memory
links.
 Easy to recognize and remember: -Brand name or symbol should be easy to
remember and recognize. Short and simple brand name can be easily recognized when
seen and remember for long.
 Should reflect the nature of product: -A good brand name should be able to reflect
the nature of product. Such brand name can make the consumers remember the use of
the products. For instance, "Quink", 'Nescafe', 'Angel Face' which reflect 'writing ink',
'drinking coffee', and 'makeup material' respectively.
 Can be pronounced in only one way: -A brand name should be pronounced in only
one way for a particular market to reduce risk of embarrassment.
 Can be pronounced in all languages: -A brand name should be pronounced in all
languages for international markets.
 Suggestive of product benefits: -Brand name should be suggestive of the product
utility. It should be such that when heard the name of the product, the consumers can
understand its benefits.

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 Adaptable to various changes: -A good brand name should be adaptable to changes
in consumer values, packaging and labeling needs, and to any advertising medium in
order not to go out-of-date.
 Should not be obscene: -Obscene (offensive) word, symbol or sign should not be
used in brand name. If selected such word, symbol or sign for brand name of any
product, it spoils the image and reputation of the firm.
 Legally safe and available for use: -Brand name should be legally safe. Before
selecting and using any brand name, it should be confirmed whether or not any other
companies have already used the selected brand name. If the selected brand name has
been already registered and is being used by any other firm or company, such brand
name cannot get registered in the company's register's office. As a result it cannot be
legally safe.

Group assignment

2. Explain how brand is different from a product.


3. Describe the characteristics of a strong brand.

4. FOOD FOR THOUGHT

1. Identify and describe elements of a brand


2. Explain the qualities of a good brand name
3. Outline the general criteria of establishing a good brand name
4. Explain the criteria for choosing brand elements to build brand equity.
5. Describe how brand name is different from trademark.

BRANDING AND INTELLECTUAL PROPERTY

 There are three types of property that can be owned by a person or entity. These
include:-
o Real property such as land and materials that are attached or fixed to the land
e.g. houses.
o Chattel, also sometimes known as “personal property” which include movable
goods like cars, furniture, machines and other equipment.
o Intellectual property which include ownership interest by an individual or entity
in creations of the human mind that may be protected under the law.
 The ownership and the rights associated with ownership of the first two types of
property (real property and chattel) are pretty straightforward. In general, ownership of
these types of property means the right to possess it, the right to enjoy it, the right to
sell it and the right to prevent everyone else on Earth from doing the same.

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Meaning of intellectual property

o Intellectual property (IP) refers to creation of the mind such as inventions, literacy and
artistic works, symbols, names and images used in commerce.
o In branding context, intellectual property include all aspects of marketing activities
designed to invent and develop new science for the company’s products and the brand it
builds to sell products.

Types of intellectual property

o Intellectual property is divided into two categories:-


o Industrial property: - that includes patents for inventions, industrial designs, and
geographical indications.
o Copyrights: -this covers literacy works such as novels, poems, and plays; films;
music; artistic works such as drawings, paintings, photographs and sculptures;
and architectural designs.

Reasons for protecting intellectual property

 Safeguarding intellectual property is beneficial to among countries, inventing companies


and consumers as well. Intellectual property are legally protected by intellectual
property rights (IPRs)

Protecting intellectual property from the country perspective

 Countries safeguard IP for the following reasons:-


o To provide legal protection of new creations which encourages the commitment
of additional resources for further innovations;
o To foster economic growth and development through improved productivity as
the result of innovations in various industries;
o To provide incentive for technological innovation. E.g. super competitive profits
because of limiting competitors, the right provided by patent;
o To create new jobs, industries and opportunities for all the citizens in the
country;
o To earn greater trade and Foreign Direct Investment (FDI) flows, which in turn
translate into faster economic growth;
o Progress and well-being of humanity rests on its capacity to create and invent
new works, in areas of technology and culture. This enhance the quality and
enjoyment of life; and,
o To strike a balance between the interest of innovators and the public interest.
This provides an environment in which creativity and invention can flourish for
the benefit of all.

In the view of individual investors/companies

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 To the innovating individual or companies, intellectual property protection provides the
following advantages:
o It is a license to sue and protect competitive advantage. E.g. production formula
such as that of Coca-Cola;
o It is a license to build partnership with other firms;
o It helps in attracting capital for investments;
o It provides a bargain power to the firm;
o It provides market exclusivity and premium pricing;
o It is a market entry and barriers to entry in the market. E.g. a third party patent
potential may threat a certain firm to market entry;
o It provides legitimate ownership of the property;
o It provides an image of a trustworthy company;
o It is a source of wealth creation. IPRs allow creators or owners of patents,
trademarks or copyrighted property to benefit from their creativity work;
o It provides a monopoly power which is a market advantage; and,
o It provides incentives to researchers and inventors to continue producing better
and more efficient products for consumers.

From the perspective of consumers

 Intellectual property protections (IPRs) help consumers in the following ways:-


o Assist to build confidence and trust to consumers to buy reliable products or
services.
o International protection and enforcement mechanisms help to discourage
counterfeiting and piracy.

Components of a brand that can be protected under intellectual property

 The components of a brand that can be protected as valuable intellectual assets of the
company include:-
o Product name
o Logo
o Slogans
o Design of the product
o Distinctive colors of the product or packaging
o Copy in the advertisement
o Look and feel of the retail location or point of sale
o Distinctive sounds and smell associated with the product or company
o Music that accompanies the advertising campaign
o Content created on the website.

Methods of protecting intellectual property

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 The elements of the brand protected under intellectual property can be protected in the
following ways:-
o Trademarks
 A trademark is a distinctive and recognizable sign, design, word, phrase,
expression, logo, or other graphic symbol that is used to distinguish one
product, company or organization from another.
 Trademarks seek to legally protect the new graphic design in the market
and help to protect against customer confusion.
 Trademarks may be registered with government authorities. Taking this
step affords the holder of the trademark much greater protection than
would be available in the case where the trademark is not filed.
 Trademarks can apply to slogans, mottos, or logos and can even apply if
the goods of a particular manufacturer or seller are packaged in a unique
way (called “trade dress”).
 However, it must be noted that marks, designs or logos must be unique
or at least be very distinctive before they will be offered trademark
protection.
o Trade secretes
 Trade secretes refers to confidential information regarding the process,
method or design that a manufacturer or seller uses to design, market or
otherwise develop a product. For instance, formula for Coca Cola
products.
o Copyrights
 Copyrights are protections provided by the law to an individual or entity
for original works produced by that author.
 Copyright law protects the authors of original works.
 Copyright protection for any original work is automatic and it arises
immediately upon completion of a work. Still, the protection afforded can
be greatly enhanced by registering the copyright with the Copyright
Office.
o Patents
o A patent is a form of right granted by the government to an inventor,
giving the owner the right to exclude others from making, using, selling,
offering to sell, and importing an invention for a limited period of time, in
exchange for the public disclosure of the invention.
o An invention is a solution to a specific technological problem, which may
be a product or a process and generally has to fulfill three main
requirements: it has to be new, not obvious and there needs to be an
industrial applicability.
o Design patents
 Design patent, sometime called industrial design right, or design right
protects the visual design of objects that are not purely utilitarian.

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 For example, the shape of the package or product, configuration or
composition of pattern or color, or combination of pattern and color in
three-dimensional form containing aesthetic value.
o Trade dress
 Trade dress is a legal term of art that generally refers to characteristics of
the visual and aesthetic appearance of a product or its packaging or even
the design of a building that signify the source of the product to
consumers.
 It is the overall look and feel of the brand in terms of its uniqueness in
attributes such as shape, color, design, etc.
 Trade dress is difficult to protect. For some types of trade dress, the
marketer need to prove that the consumer really believes that the trade
dress is the source of indicator for the company. That is the company is
the source of that product or package. Example, the unique curved
shape of the Coca-Cola bottle is protected as dress.
 Only once the company proves that its package or program has achieved
distinctiveness, can it be protected as trade dress.
o Geographical indications
 Geographical indications and appellations of origin are signs used on
goods that have a specific geographical origin and possess qualities, a
reputation or characteristics that are essentially attributable to that place
of origin. Most commonly, a geographical indication includes the name of
the place of origin of the goods.

FOOD FOR THOUGHT

1. Define intellectual property in the context of branding.


2. Identify the brand elements that can be protected under intellectual property law and
discuss the methods used to protect each of the brand element identified.
3. Why do brand managers need to protect their brand elements under intellectual property
law?
4. Describe the benefits derived from protecting intellectual property in the following light:-
a) Consumer’s view point.
b) Innovating individuals and companies.
c) Countries standpoint.

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