intel q1q2

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What was the original motivation behind launching the “Intel Inside” campaign?

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Page 1: Intel Q1Q2

What was the original motivation behind launching the “Intel

Inside” campaign?

Page 2: Intel Q1Q2

Underlying reasons for the shift in branding:– Consumer’s choice of PCs based only on

manufacturers’ brand image– General focus shift towards the mass

market, non-technical business and home PC users or the Circuit City buyer

– All competitors using the veritable alphabet soup to brand their products leading to difficulty in establishing POD

– Intel decides to redirect its advertising efforts from manufacturers to computer users

What benefits did Intel expect to reap from the new branding strategy:

– Continue its tradition (of launching a new generation of products and communicate the value of new technology) of being a leader with respect to innovation: this time around with a new branding effort

– Establish a clear POD and a distinct brand identity for Intel products

– Transfer positive brand equity of 386 & 486 microprocessors to Intel, the company and later to other Intel products and technologies

– Change Intel’s image from a microchip maker to a quality standard bearer

– Position itself as a premium product with a premium price

Brand strategy combining both push & pull elements:

Use of logo around the words “Intel Inside”

Use of co-op marketing funds to share PC OEM ad expenses

Launch an Intel ad program to build brand equity

Page 3: Intel Q1Q2

The Tipping Point: March 1991 court ruling that Intel cannot trademark the “386” designation for its microprocessor family

• Brand messaging– Explicit:

• Investing in an Intel microprocessor gives you the “power and compatibility to take you to the future.”

• Intel is the final word in “safety” and “technology”• Building trust using the message: powered by the “creator of

microprocessor”

– Implicit:• Communicate Intel’s depth as a corporation vis-à-vis their competitors• Reverse public perception that Intel was an impersonal, unfriendly tech

company• What is inside your computer is as important if not more than the PC

manufacturer

Page 4: Intel Q1Q2

Q2

Page 5: Intel Q1Q2

• Intel wanted to establish the name of the company and identify the high performance product inside the computer

• invested in "ingredient" branding - the creation of equity as an input brand.

• Intel gained the trust of the consumer who were apprehensive about quality and reliability of microprocessors.

• Their Intel inside campaign worked to assure customers of high quality and reliability

Page 6: Intel Q1Q2

Core Values

Quality

Compatibility

Reliability

Technology

Leader

Efficiency

“ ‘Intel. Leap ahead.' is a simple expression that declares who we are and what we do. This is part of our heritage. Our mission at Intel has always been to find and drive the next leap

ahead -- in technology, in education, social responsibility, manufacturing and more -- to continuously challenge the status quo. It's about using Intel technology to make life better,

richer and more convenient for everyone.” –Eric Kim

Page 7: Intel Q1Q2

• Intel believes that technology holds the key to a better life and future.• Their efforts are concentrated towards bringing in new technology and

hence the phrase— ‘amazing things happen with Intel’• Intel brand core values are :• Performance • Innovation • Trust• They have managed to keep a constant brand image despite new and

creative advertising• Their core values have remained the same.• The consumers identify "look for the Intel Inside logo" as an assurance of

quality. • All quality computers such as IBM, Compaq etc use Intel Microprocessors

thus assuring people that Intel is a quality product.

Page 8: Intel Q1Q2

Q 4. From a consumer perspective how does the Intel Inside logo affect your PC buying decisions ?

Brand Intel has been successful in creating a brand Image that performs and conforms to each level of the Brand Pyramid. At the top level, when it comes to creating“resonance” or “equity” with the customer, the Brand has Done exceedingly well. The different brand elements, combined with exceptional Co-branding with almost all the leading computer manufacturingBrands has made “Intel” synonymous with computer hardware.Personally, the resonance is so strong that to me, a computer/laptopWithout the “Intel Inside” logo is almost incomplete in its entirety.

Brand Pyramid: Keller