Brand Portfolio Prerogative: Five Challenges and Research Themes Within Brand Portfolio Management

--Henrik Uggla and Maryam Lashgari

This paper discusses five emergent trends within brand portfolio management. These important trends are presented in the following order and format: reiteration between branded house and house of brands; replacement of brand architecture idealism with dynamic brand portfolio management; brand portfolio pressure; and reintegration of the brand portfolio promise through brand alliances.

© 2012 IUP. All Rights Reserved.

Rethinking Brand Loyalty in an Age of Interactivity

-- Don E Schultz and Martin P Block

The assumption of customer brand loyalty is one of the major underpinnings of today’s marketing systems. Much professional and academic research is being conducted to determine how the new interactive communication systems might be used to increase or enhance brand loyalty. This exploratory study suggests that interactivity and the new interactive communication systems may actually be destroying, rather than enhancing, brand loyalty. The net promoter score is used as the criterion variable to identify brand loyalty and test the premise in two product categories, ready-to-eat cereal and salty snacks. Substantial growth in the ‘no brand preference’ category for both product areas is found. Suggestions are made for additional research to support/refute these initial findings, and if confirmed, how marketers should react and how research priorities should be changed.

© 2012 IUP. All Rights Reserved.

A Confirmatory Factor Analysis on Brand Equity in Mobile Handset Market: SEM Approach

-- Rinal B Shah

This study examines the practicality and application of a customer-based brand equity model in Indian mobile handset market. Hence, the important attributes to make any mobile handset brand successful in Indian market will be disclosed. The study is based on Aaker’s conceptual framework of brand equity. Structural Equation Modeling (SEM) is used to investigate the causal relationships between the four brand equity dimensions and overall brand equity in the mobile handset market. The study used a sample of 105 customers from Ahmedabad city. Strong support was found for brand loyalty dimension which is the influential dimension of brand equity, while perceived quality, brand awareness and brand association dimensions represent weak support. The paper shows that mobile handset brand managers and marketing planners should consider the relative importance of brand loyalty in their evaluation of overall brand equity. They should concentrate primarily on building brand loyalty. Future research needs to be done if the results are to be expanded to other regional cities of Indian market in the light of significant gaps between different cities. Further research by adding performance measurement into the model could also strengthen this analysis.

© 2012 IUP. All Rights Reserved.

Brand Valuation: A Strategic Tool for Business

--Govind Narayan

Companies across the globe are now increasingly recognizing the power of value of brand as it provides high competitive advantage for business in competitive market place. During the last three decades, the business world has undergone a paradigm shift with the effect of brand as a concept getting attention and becoming an effective tool for retainment and sustenance in the competitive world. Brands are considered to be an asset for a company which increases the worth of the concern. Like any other asset, brand generates revenues and value for the company. However, it is a matter of debate whether it should be shown in the balance sheet or not, and if it is shown, then what should be the financial treatment of the brand and what should be the method of computation of such value of brands. This paper is an attempt to outline the conceptual background of valuation of brand by reviewing the available literature.

© 2012 IUP. All Rights Reserved.

Rebranding @ Airtel: An Analysis

--Jayashree Dubey and Babu P George

The competitive challenges being faced by telecommunication service firms are constantly on the rise. As a result, not only their day-to-day operational plans but also the marketing tactics and strategies need frequent revision. Rebranding has become an important strategic tool by which these firms manage their customer-perceived brand image. Airtel, which is India’s leading telecom company, has undergone a massive rebranding exercise to create a uniform global identity. The competitive challenges brought in by technological changes such as 3G and more recently 4G, in addition to the exogenous innovations in the sector (e.g., Voice over Internet protocol) and the rise of various social communication platforms, exacerbated the need for Airtel to fundamentally rethink its brand position. However, the immediate motivation for Airtel to rebrand itself was to reposition itself as a global telecom player after acquiring a number of overseas telecom companies. The paper discusses Airtel’s rebranding strategy from multiple vantage points and in the process elucidates insights into successful rebranding.

© 2012 IUP. All Rights Reserved.