Brand management can be considered as one of the important tools for every organisation which is needed to be managed by organisational professionals to rise up brand equity and market share of business. In the present report will be discussed on Audi organisation which is one of the largest German automobile manufacturing company and BMW organisation as well. In addition to this, the report will be analysed on the importance of branding as marketing tool and why and how it has emerged in business practice or key components of successful brand strategy for building and managing brand equity. Furthermore, different types of mechanisms can be adopted by both organisations in order to proper management of their portfolio management, brand hierarchy and brand equity management using appropriate theories. Numbers of techniques will be discussed in assignment writing about both organisations to work collaboratively and in partnership both at domestic and global. In addition, the report will be defined about different types of techniques for measuring and managing brand value image.
P.1 Importance of branding as a marketing tool and emergence of it in business practices
Definition of brand: Brand is a name, symbol, sign, name and logo of a particular company which is being utilised by an organisation for their specific types of products and services to make them different from other market players in industry (Zarantonello and Pauwels-Delassus, 2015). Branding tools are utilised by each organisation in order to create a unique brand name which generates loyalty, trust, faith and premiums for targeted audience in the marketplace. Audi is one of the well-known brands in automobile industries worldwide.
Importance: Branding can be considered as an essential tool for any organisation which creates effective brand values amongst its targeted customers which pull them to buy it. It encourages the value of organisation in an industry and influences its customer to frequent purchases of same products and services again and again. As a result, sales and profitability level will be increased within business.
Brand equity: Brand equity refers to a value premium that a company generates from a product with a recognisable name, when compared to generic equipment. Audi Company does not implement strategy to create brand equity by providing valuable and memorable products but to maintain services of the business within the industry (Williams Jr and Omar, 2014). Mass marketing complains also helping organisation to creation of brand equity. It can be considered on brand premiums on the customer's mind which encourages them to frequent arrival of customer to purchase same brand's product. Audi now has created better brand equity which helps them to generate sufficient amount of success at workplace.
Importance of branding as marketing tools
Running a business is one of the challenging tasks for any business owner. Brand creation and its management are one of the crucial tasks for Audi which is needed by its professionals to promote and advertise its activities within the business environment sufficiently. It can help an organisation to clearly deliver their valuable messages to its targeted audiences.
To create customer loyalty: Audi in one of the popular auto-make company at worldwide. It is well known for manufacturing world-class automobile products and services. In order to make it popular amongst targeted audience, branding approaches as marketing tools can help them to achieve their desired objectives within the firm (Su and Tong, 2015). The organisational professionals’ uses brand-creation approaches by promotional practices to build up effective brand loyalty on the consumer's mind. Audi provides luxury and sports car products to its customers which create impressive brand premiums for its customers. After quality care, all products, people get satisfied by its automobile goods and it helps the organisation to become its customers loyal towards its particular products.
To become well-known: Brand as a symbol and tool on which company can get its products and services popular among its customer. In this context, numbers of promotional techniques are being utilised by its professionals by which Audi has becomes one of the most popular brand at worldwide. In order to become well known among its targeted audience, Audi making efforts to creating brand values by delivering quality of automobile products and services towards its loyal customers, so they will be able to each out their expected audience by creating valuable branding in industry.
M.1 Use of theories, models and concepts for branding
Branding Theory: Branding is an image that consumers have in mind. It is also unique characteristics that have been developed all the time in order to differentiate actual products from its competitors. Audi now has becomes one of the effective well-known brand in automobile industry at worldwide which enables them to rise its customer base at global as well as at domestic level (Sartori, Mottironi and Corigliano, 2012). There are the basic values which have been identified by its professionals to create more functionalities premiums of its existing products so it allows them to attain desired success and reach out to expected sales within marketplace. Brand concepts must address customer interest and lifestyles. Essential factors which is affecting the brand image and perception among marketing communication program that must be implemented to the public to create brand perception and brand equity as well.