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TM 13TM 13--11Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

Product Management

Product life cycle management

Brand equity management

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TM 13TM 13--22Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

The product life cycle curve and strategies

Sales

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TM 13TM 13--33Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

Product LIFE CYCLE EXTENSION

RejuvenationIncreasing investment cost by developing new uses,

improvements and strategies to keep consumersinterested in product.

Adding a Brand name

Identifying new Users

Marketing Unused By-Products

Developing a new Channel of Distribution

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TM 13TM 13--44Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

How Brand

Equity

Generates

Value...

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TM 13TM 13--55Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

The Disneyname adds

value to

movies suchas The Lion

King

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TM 13TM 13--66Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

Jockey extends

it brand to

include

underwear for

women

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TM 13TM 13--77Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

The Young & Rubicam Brand Asset Valuator

The most ambitious effort to measure brand equity across products, termed the

Brand Asset Valuator, is that of Young and Rubicam, a major global advertising

agency, who measured brand equity for 450 global brands and more than 8,000local brands in twenty-four countries. Each brand was examined using a thirty-

two item questionnaire that included, in addition to a set of brand personality

scales, four sets of measures:

1. Differentiation - Measures how distinctive the brand isin the marketplace.

2. Relevance - Measures whether a brand has personal

relevance for the respondent. Is it meaningful

to him/her?

3. Esteem - Measures whether a brand is held in high regard

and considered the best in its class. Closelyrelated to perceived quality and the extent to which

the brand is growing in popularity.

4. Knowledge - A measure of understanding as to what

a brand stands for.

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TM 13TM 13--88Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

Brand Dynamics...

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TM 13TM 13--99Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

The Young & Rubicam Power Grid

Low High

High Dove chocolatesTeddy GrahamsSnappleSwatchMolson

DisneySesame StreetDoritosSonyOcean Spray

Low QVCTAG HeuerStarbucksTimberland

OldsmobileBayerWessonRamada

Brand Stature(Knowledge and Esteem)

Brand Strength

(Differentiation

and Relevance)

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TM 13TM 13--1010Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

Power Grid

for Calvin

Klein...

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TM 13TM 13--1111Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

Power Grid

for Disney...

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TM 13TM 13--1212Copyright 1999 Addison Wesley Longman, Inc.Copyright 1999 Addison Wesley Longman, Inc.

Power Grid

for Coke...