1. 1.06 Positioning

2. Terms Brand: name/words/symbol that identifies an organization and its products Brand awareness: making target market recognize and remember brand name Brand image: consumers set of beliefs about a brand, which shapes their attitudes Brand equity: value a brand has beyond its actual functional benefits Brand loyalty: a consistent preference of one brand over all others in a product category 3. Purposes of Branding Allows an organization to distinguish and differentiate itself from others Affects consumer behavior 4. Branding Process Brand Awareness Brand Image Brand Equity Brand Loyalty 5. Factors That Influence Brand Awareness Team Name Mascot Logo The distribution of licensed sports apparel is an effective way to create team and brand awareness 6. Factors That Influence Brand Image Product features Product quality Price Brand name Customer service Packaging Advertising/Promotion 7. Categories of Factors That Impact Brand Equity Team-related Success/Performance Head Coach Star Player 8. Categories of Factors That Impact Brand Equity Organization-related Reputation & tradition League/Conference schedule Entertainment package/product delivery 9. Categories of Factors That Impact Brand Equity Market-related Media coverage Geographic location Competitive forces 10. Factors That Create Brand Loyalty Entertainment value Authenticity Fan bonding History/tradition 11. Terms Licensing: Permission to copy trademarked property for a percentage of actual sales, also called royalties Licensor: the rights-holder of the name, logo, or trademark Licensee: company paying for permission to use the name, logo, or trademark Note: sports marketers have an advantage in licensing because of sports universal appeal 12. Trademarks & Licensing Word, phrase, symbol, or design that identifies and distinguishes the company from others Has legal protection through the U.S. Patent and Trademark Office 13. Licensing & Endorsements Licensing: passive association with a licensee, sign & collect Endorsements: active association with a licensee--Try this product! 14. License Agreements Licensor Licensee Consumer 15. How Licensors Benefit Enhanced company image and publicity Increased profit from royalties. Increased brand awareness or recognition Increased opportunity for penetrating new markets 16. How Licensors Are Compensated Companies typically pay between 5 and 10 percent of wholesale sales in the form of royalties 17. Licensor Risks Potential for poor quality of a licensees manufactured products Partial relinquishment of control over the marketing mix of the brand 18. Licensee Benefits Existing brand awareness or recognition Lower advertising and promotional costs Increased possibility of success and profitability Connection with an athlete, sports team, entertainer, or corporation 19. Licensee Risks Athlete, entertainer, or corporation may lose popularity. Sports teams may suffer losing seasons Change in styles, trends, and consumer preferences Royalties and licensing fees can be expensive Manufacturing costs and risks Competition can drive up costs associated with fees and royalties 20. Endorsements & Testimonials Endorsement: using a celebritys presence to imply that the celebrity is associated with the organization Grand openings Autograph sessions Clinics/concerts Testimonial: using a celebrity in an advertisement testifying to the effectiveness of a product 21. Cross-Promotion Appearing in an advertisement for one brand while wearing/using another brand 22. Benefits of Celebrity Endorsements Reach another market Match brand with celebrity's image Effectiveness of promoting brands related to their sport/vocation 23. Bad Celebrity Endorsements Yikes! Cost Believability/Fit Negative Publicity 24. Celebrity Endorsements and the Law Statements must reflect honest opinion Statements must be substantiated Disclosure of financial ties 25. Naming Rights Key Players Team Corporations Advertising Agencies Television/Radio Rights Holders 26. Naming Rights Reasons to Sell Naming Rights Revenue Opportunity for new market Reasons to Buy Naming Rights Provides exclusivity Maximize exposure 27. Naming Rights Advantages Promote goods/services Promote customer retention Increase market share Disadvantages Cost Long-term commitment Association with losing team 28. Naming Rights Businesses to Avoid Gambling Adult Entertainment Controversial companies 29. Naming Rights Strategies Increase sales Increase market share Raise awareness