Chapter 1 Marketing Strategy and Tactics l Co r to ra bo la s Co m pa ny Figure 1. Identifying the Target Market: The 5-C Framework Customers Competitors Context 2017 Alexander Chernev Figure 2. The 3-V Market Value Principle
Company value Customer value 2017 Alexander Chernev OVP The Optimal Value Proposition Collaborator value Figure 3. The Seven Attributes Defining the Market Offering Company value Customer value OVP Collaborator value
Tactics Market Offering Product 2017 Alexander Chernev Service Strateg y Brand Price Incentives Communication Distribution Figure 4. Marketing Tactics as a Process of Designing, Communicating and Delivering Value Designing value 2017 Alexander Chernev
Product Service Brand Price Value Incentives Communication Distribution Communicating value Delivering value Figure 5. Marketing Tactics: Company Actions and Customer Impact 2017 Alexander Chernev Company actions
Customer impact Designing the offering Attractiveness of the offering Communicating the offering Awareness of the offering Delivering the offering Availability of the offering Figure 6. The G-STIC Framework for Marketing Management Goal Focus Benchmarks
The value created in the target market Strategy Target market Value proposition Tactics Product Service Brand Price Incentives Communication Distribution Implementation Development Deployment Control
Performance 2017 Alexander Chernev The ultimate criterion for success Environment The specifics of the market offering The logistics of creating the offering The process of monitoring goal progress Chapter 2 Brands as a Means for Creating Market Value Figure 1. The 3-V Principle of Brand Management Company value
Customer value Product 2017 Alexander Chernev OVP Collaborator value Market Offering Service Brand Price Incentives Communication Distribution Figure 2. The Framework for Brand Management
Brand Strategy Target market Value proposition Brand Tactics Brand design Communication Customer Value Functional Psychological Monetary Company & Collaborator Value Strategic value 2017 Alexander Chernev Brand valuecreation model Monetary value Customer impact Company &
collaborator impact Chapter 3 Developing a Brand Strategy Figure 1. The Market Value Principle of Brand Management Company value Customer value OVP Brand 2017 Alexander Chernev Collaborator value Figure 2. The Three Dimensions of Customer Value Functional
value Customer value Psychological value Monetary value 2017 Alexander Chernev Figure 3. Brands as a Means of Creating Company Value Strategic value Company value Monetary value 2017 Alexander Chernev Figure 4. Brands as a Means of Creating Collaborator Value Strategic value
Collaborator value Monetary value 2017 Alexander Chernev Figure 5. Brand Association Maps of Nescafe and BMW Easy Energy Coffee Fast My drink Convenient George Clooney Fashionable 2017 Alexander Chernev Selfidentity Morning
My ritual Indulgence Great taste Power Nestl Technology Performance Consistent experience Fun to drive Sleek design Stylish Germany My car
Nescafe Nestea Connectivity Speed Status Precision Great Customized service Control features Local dealer Enjoyment Figure 6. The Three Dimensions of Self-Expression Status Personality Expertise 2017 Alexander Chernev
Figure 7. Harley-Davidson Brand Legend Muscle Fire Rebl Bond 2017 Alexander Chernev Icon Chapter 4 Designing Brand Tactics Figure 1. Key Brand Identifiers Logo Motto Character Brand name Soundmark
Packaging Product design 2017 Alexander Chernev Figure 9. Concept Storyboard 1 2 3 4 Customer Problem Alternative Options Company Offering What customer problem does the company aim to solve? What are the alternative means to
solve this problem? What are the key aspects of the companys offering? Customer Value How does the offering solve customers problem better than the alternative options? 2017 Alexander Chernev Chapter 5 Managing Brand Portfolios Figure 1. Designing a Brand Portfolio Strategy Product line Target Customers A Target Customers B Value Proposition A
Value Proposition B Market Offering A Market Offering B Product 2017 Alexander Chernev Service Brand Product Service Brand Price Incentives Price Incentives Communication
Distribution Communication Distribution Figure 2. Designing a Brand Portfolio Strategy: Toyota Toyota product line Target customers Segment A Segment B Segment C Segment D Segment E Everyday transportation Commercial
transportation Utilitarian transportation Luxury experience Standard Standard Standard Standard Premium Brand Scion Toyota Toyota Toyota Lexus
Price $ $$ $$ $$ $$$ Toyota dealership Toyota dealership Toyota dealership Toyota dealership High-end dealership Value Practical and
proposition inexpensive Product Service Distributio n 2017 Alexander Chernev Brand portfolio Figure 3. Designing a Brand Portfolio Strategy: The Brand-Offering Matrix Target Customers TA TB TC TD Value Proposition VA
VB VC VD TE Marketing strategy VE Product P1 P1 P2 P2 P3 Service S1 S2 S2
S3 S3 Brand B1 B1 B1 B2 B3 Price R1 R2 R2 R3 R4
Incentives I1 I2 I3 - - Communication C1 C2 C2 C3 C4 Distribution D1 D2
D1 D3 D3 Market offering 2017 Alexander Chernev Brand portfoli o Marketing tactics Figure 4. Designing a Brand Portfolio Strategy: The ProductBrand Matrix Brand A Product 1 2017 Alexander Chernev Offering A1 Brand B
Brand C Brand D Offering B2 Offering D1 Offering C5 Product 2
Product 3 Product 4 Product 5 Product 6 Offering B3 Offering B4 Offering C6 Figure 5. Single-Brand Strategy
Brand A Offering 1 2017 Alexander Chernev Offering 2 Offering 3 Figure 7. Multi-Brand Strategy 2017 Alexander Chernev Brand A Brand B Brand C Offering 1 Offering 2 Offering 3 Figure 9. Internal Cobranding
Brand X 2017 Alexander Chernev Brand A Brand B Brand C Offering 1 Offering 2 Offering 3 Figure 12. Single-Brand, Cobranding, and MultiBrand Portfolio Strategies Single New parent brand sub-brand Single-brand strategy 2017 Alexander Chernev Endorsed Independent new brand new brand
Cobranding Multi-brand strategy Chapter 6 Managing Brand Dynamics Figure 5. Vertical Brand Extensions Price Upscale extension Price tier A Price tier B Price tier C Core offering Downscale
extension Benefits 2017 Alexander Chernev Figure 6. Horizontal Brand Extensions Price Extension A Category A 2017 Alexander Chernev Core offering Category B Extension B Benefits Category C Chapter 7 Protecting the Brand
Figure 1. Types of Marks Based on Their Distinctiveness Generic Descriptive Suggestive Must acquire secondary meaning to be distinctive 2017 Alexander Chernev Arbitrary Fanciful Can inherently identify the source of the goods Degree of protection Chapter 8 Brand Analysis and Planning Figure 1. The G-STIC Framework for Brand
Management Goal Focus Benchmarks Strategy Target market Value proposition Tactics Brand design Communication Implementation Development Deployment Control Performance 2017 Alexander Chernev Environment
Specific goal(s) to be achieved by the brand Value created by the brand in the target market Actionable brand elements The logistics of building the brand Evaluating the brand (brand audit) Executive Summary What are the key aspects of the companys brand management plan? Situation Overview Company What are the history, culture, resources, offerings, and ongoing activities of the company and its brands? Market What are the key aspects of the markets in which the brand
competes and/or will compete? Goal Focus What is the key outcome the company aims to achieve with the brand? Benchmarks What are the temporal and quantitative criteria for reaching the goal? Strategy Target market Who are the brands target customers, competitors, and collaborators? What are the companys resources and context? Value proposition What is the brands value proposition for target customers, collaborators and the company?
Tactics Design What are the key elementsidentifiers and referentsthat define the brand? Communication What are the means media and creative executionused to relate the brand to its target customers? Implementation Development Deployment What is the process of bringing the brand to market? How is the brand being developed? Control Performance How will the company evaluate the progress toward its brand-management goal?
Environment How will the company monitor the environment to identify new opportunities and threats? Exhibits What are the details/evidence supporting the brand management plan? 2017 Alexander Chernev Figure 3. Customer Brand Value Map Target Market Brand Design Customers Identifiers What company-owned elements (name, logo, motto, character, soundmark, product design, packaging) uniquely identify the brand? Competitors Referents What concepts (needs, benefits, experiences, occasions,
activities, places, people, objects, products, services) define the meaning of the brand? What customer need does the brand aim to fulfill? Who are the customers with this need? What other brands aim to fulfill the same need of the same target customers? Customer Value Brand Communication Value Proposition What are the key touch What value does the brand create for target customers? Brand Mantra What is the essence of the brand? What does the brand represent? Brand Strategy 2017 Alexander Chernev
Media points (TV, radio, print, online, place, in-person, packaging) of the brand with its target customers? Creative How are the brand design and brand positioning expressed in a companys communication with its customers? Brand Tactics Figure 4. The Brand Audit Company value audit Brand Action Plan Company value Brand Goal Strategic Monetary Brand Strategy Target market
Value proposition Brand Tactics Brand design Communication Customer Actions Customer Behavior Marketing Tactics Product Service Price Incentives Market Forces Customers Competitors Communication Collaborators Distribution Context
Implementatio n Purchase Usage Advocacy Customer Value Psychological Functional Monetary Customer Experience Brand image Brand implementation audit Brand action plan audit 2017 Alexander Chernev Customer value audit Chapter 9
Brand Equity and Brand Power Figure 1. The Impact of Brand Power on Customer Behavior Company Branding Activities Brand Image Company Non-Brand Activities Product Service Price Incentives Communication Distribution Direct impact Brand power Indirect impact Customer Behavior Purchase
Advocacy Usage Brand equity Company Value Monetary 2017 Alexander Chernev Strategic Chapter 10 Brand Research Figure 1. The Framework for Measuring Brand Impact Company activities Brand image Brand image research 2017 Alexander Chernev
Customer value Customer behavior Company value Brand value Brand power Brand equity research research research Figure 2. Brand-Positioning Map Dimension 1 Brand A Brand B Dimension 2 Brand C Brand D 2017 Alexander Chernev Figure 3. The Semantic Differential Method
Good Bad Happy Sad Strong Weak Brand A Indecisive Brand B Decisive Active Fast 2017 Alexander Chernev Passive Slow Figure 4. The Brand Relevance Scale
1 2017 Alexander Chernev 2 3 4 5 Figure 5. Likert Scale Strongly disagree 2017 Alexander Chernev Disagree Neither agree nor disagree Agree Strongly agree
Brands as a Means of Creating Customer Value Identification benefit Functional value Signaling benefit Performance benefit Emotional benefit Customer value Psychological value Self-expressive benefit Societal benefit Monetary value
2017 Alexander Chernev Signaling benefit Financial benefit The Brand Value Map Brand Design Target Market Identifiers Customers What customer need does the brand aim to fulfill? Who are the customers with this need? Collaborators What other entities will work with the company to fulfill the identified customer need? Company What are the companys resources that will enable it to fulfill the identified customer need? Competitors
What other brands aim to fulfill the same need of the same target customers? Context What are the sociocultural, technological, regulatory, economic, and physical aspects of the environment? Value Proposition Customer Value What value does the brand create for target customers? What company-owned elements (name, logo, motto, character, soundmark, product design, packaging) uniquely identify the brand? Referents What concepts (needs, benefits, experiences, occasions, activities, places, people, objects, products, services) define the meaning of the brand?
Brand Communication What are the key touch points (TV, radio, print, online, place, in-person, packaging) of the brand with its target customers? Creative Collaborator Value What value does the brand create for the companys collaborators? Company Value What value does the brand create for the company? 2017 Alexander Chernev Brand Strategy Media
How are the brand design and brand positioning expressed in a companys communication with its customers? Brand Tactics
