Importance of Brands

In any but most primitive societies or where the economy is totally controlled ( a rare phenomenon these days) people seldom buy goods -  to satisfy needs. They buy brands - to satisfy wants. How often people ask for soft drinks? They specify Coke or Pepsi or perhaps 7up. Women do not buy shampoo , it is Pantene, Sunsilk or Head & Shoulders.

Why do Customers prefer to buy Brands??

A Successful brand :

• Is perceived as a unique bundle of benefits - tangible and intangible - that match the buyers want very closely
• Signifies consistency of quality and hence dependable performance.
• Reduces effort, risk and uncertainty during purchase.
• Identifies, promises and reassures....

A brand is essentially a marketer's promise to deliver a specific set of features, benefits and services consistently to buyers, but it is complex symbol that may symbolize six levels of meaning

1. Attributes : Mercedes suggest well built, expensive, durable and well engineered cars
2. Benefits : Attribute translated into functional and emotional (tangible and intangible) befits. "Durable may translate into functional benefit " I may not have to buy another car for several years", expensive may be perceived as emotional "Mercedes makes me feel important"
3. Values : The producers values are enshrined in the brand. Mercedes indicates high performance safety and prestige.
4. Culture : Mercedes suggest German culture - Organised, efficient and high quality.
5. Personality : Mercedes may suggest a "no nonsense" boss.
6. User : Mercedes is "for those who arrived" not a junior officer or a college student.

For customers, brands are products with added values, often intangible, always desirable. Added value arise from brand experience (leading to familiarity and hence reduction of risk) from belief in the efficacy   of the brand; from the user profile; from the appearance due to packaging; from advertising. Also from celebrities endorsing the brand.

Brand - A name, term, sign, symbol or design or a combination of these, used to distinguish products of one marketer from products of competing sources.

Brand Name - that part of the identity that can be pronounced;

Brand Mark - that part which is recognizable but cannot be uttered.

Trade Mark - a brand identity which is legally protected against deceptive look-alike, counterfeits etc.

Branded products have become utterly important over the world and in India; in the past couple of decades, a few hundred brands have been launched in India, many to inglorious deaths. Even when products have been largely sold as commodities, brands have been launched to cater to the minuscule minority that wants, and can afford to pay for branded satisfaction. Examples like branded atta, rice, chicken...