Marketing Mix Products and Brand Strategies
FASH 2071 - Fashion Marketing and Brand Development
University of Cincinnati
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
In this research paper importance of branding will be discussed with regards to placing a
product in the minds of the consumers. The paper will then delve into the relationship element
of the brand with its users or consumers. Finally a comparison will be made between two brands
of different product categories to establish the importance of creating relationships with the
consumers. In a nutshell, the paper will serve to bring forth the key cornerstone of brand
management.
Branding is the most important aspect of business in this contemporary age with the scores of
brands marketed around the world. Ever more so, due to the global nature of business activities
where boundaries are no longer a restraining factor to companies’ access to various markets.
So in essence, branding is to make a product or a service look distinct from its competition.
In this era marketing has shifted from traditional cost-price models to value driven models.
Customer retention has become more important than seeking new markets due to increasing
competition demanding a larger share of customers’ shrinking pockets. A loyal customer is now
a greater asset than ever before. In this framework, with marketers constantly aiming to retain
customer loyalty, it is inevitable that these loyal customers form a relationship with brands.
Brand managers must understand the strength of such a relationship and nurture it accordingly.
I will attempt to argue for this proposition by drawing examples from one brand each in two
product categories, namely Verizon (Product category: Cell phone service) and Disney
(Product category: movie studios).
Disney, movie studio has epitomized the relationship with its consumers. From what started as
a movie studio, the Disney Corporation has ventured into theme parks, Disney channel and
other businesses. The relationship with the children and the young ones has kept the brand
afloat and guarded against the competition. The children have been able to associate themselves
with the characters of Disney, be it Mickey mouse or Cinderella both on screen and also through
the interactions with the mascots in the Disney theme parks. So just goes to bring home the
point of a brand related with a product category; Disney is the first name on the top of the
minds of the young children when asked about their favorite cartoon characters. (Haig, 2004)
Disney makes animated movies targeted at families and mainly to kids. Kids are impressionable
and therefore quick to identify themselves with their favorite cartoon characters. Disney enjoys
tremendous fan following from kids due to unforgettable characters it creates to transport them
into a fantasy world for the duration of a feature movie. It cherishes its relationship with these
kids and comes out with services and products tailored to their personality and style. When a
kid sleeps in the night with a stuffed animal depicting a Disney character, Disney goes an extra
mile to retain his loyalty, to maintain this relationship for long term. This is evident from a look
at their website which is a bandwagon of imagination. Each kid is invited to own a page for a
wonderful browsing experience.
Another brand of service that has had a unique relationship with its consumers is Verizon cell
phone service. Branding a service gets complicated as more focus has to be given to the factors
besides the service itself; that is the environment has to be built around the service. Verizon has
been a leader in the cell phone service because of its reliable services as well its multicultural
marketing focus on all the ethnicities living in the United States from the Hispanics to the
Asians. It has also kept the relationship with its strong community services with a way of
interacting with its consumers.
Vodafone Group Plc is the world’s leading mobile telecommunications company. In the United
States the Group’s associated undertaking operates as Verizon Wireless (Vodafone, 2009). They
put a lot of effort into managing customer relationships. The Vodafone perspective is that the
real challenge is to train your team to effectively use Customer Relationship Management
(CRM). Analysis should include questions such as which customers are most profitable, most
loyal or most effective. Which customers are more trouble then they are worth and other such
inquiries before implementation of a system for CRM. Verizon and other companies also look
to tap into social networking services such as Facebook and Twitter to better communicate with
current and potential clients. One study in the Journal of Statistical Science found that ‘network
neighbors’ (consumers linked to previous customers) adopt services at a rate three to five times
greater than those selected by otherwise best marketing practices (Byrne, 2009).
The importance of branding and relationship with the end consumers can never be underscored
further especially in this age of brand conscious people. So brand managers need to plan out a
brand plan and incorporate in it the relationship with the consumers as advocated by Susan
Fournier, a marketing commentator. Relationship marketing has grown from traditional view
in the context that latter is centered on lone and separate transactions whereas former has
individual and identifiable customers at its heart. Relationship marketer wants to get and keep
customers. Loyalty is important because of the benefits associated with retaining customers.
Therefore an organization focuses on nurturing long-term, cost effective relations with its
customers.
A customer who considers himself related to a brand will expect to be treated fairly and will
want to receive extra value. This means the marketer will need to provide highly customized
service to each individual. Customer retention has a direct impact on profitability and past
research has claimed that it can be five times more expensive to obtain a new customer than to
retain one (McIlroy & Barnett, 2000). No matter which product category or brand is studied,
customers have very strong relationships with brands. It’s vital to carefully manage these
relationships in order to gain maximum benefit out of it. It’s proven that retaining a customer
is far less costly then attracting a new one.
Marketers must perceive their brands as entities capable of delivering strong and powerful
messages. Their job is to make sure these messages speak positively to customers, letting them
know that the brand values this relationship and exists to satisfy their needs properly. If
marketers fail to achieve this target, they risk the company going out of business very soon
since customers are hard to get by in this competitive age and if they are let go, a lot of negative
image in created for the company which in turn would restrict the incoming of new customers.
