The value of having to hand a corporate brand
A corporate brand is an intangible asset so it is difficult to copy as it is not a product from a production line. Corporate brand represents a logo or a slogan that is protected by laws, which are in place. Slogans or logos are more secure then the product it self is easy to copy a product but it is almost impossible to copy a logo.
Corporate brand helps achieving the economies of scope, which means it is less costly for a firm to produce two separate products than for two specialized firms to produce them separately. For example Nike has a slogan of “Just Do It” across the globe and through its advertising Nike can promote its different products and services.
Due to advancement in technology and is a small community. Consumers are more knowledgeable then ever. Globalization is common among all the big organizations. Corporate brand is important for the globalise organization to show that their core value is the same wherever the product is.
Corporate branding is also very useful when organization wants to enter into a new market. Samsung D500 has outclassed Nokia and Motorola’s models. Samsung D500 has outclassed Nokia and Motorola’s models. This is the gain mainly through innovation but the brand equity played its part as well. Samsung is a brand that can trust and is known for a time.
According to Balmer (2001) a corporate brand is seen as a product of unique brands of development. Companies with corporate brands have competitive advantages over those that do not have corporate brand. The brand name, logo plays a vital role in awareness and it also provides the peace of mind to customers. Olins (2001) classed Manchester United and British Airways as the organisations with corporate brands. Reason that these companies have their own advertising as T.V advertising, Billboards and other marketing campaigns. These companies have spent a lot of money on advertising and advertising. It can be stated by Olins statement that corporate brand is important for the organization.
Davis suggests that brand brand portfolio of brands such as Unilever and Proctor and Gamble, tends to use the branding of products rather than implementing a corporate brand. This issue of importance of having a corporate brand has been taken by Unilever. Unilever’s general emphasis is on product branding as compare to one corporate brand. But the importance of a corporate brand has been explored on these big companies.
Balmer stated in his journal of general corporate branding management “Mighty proctor and gamble who traditionally espoused the idea that their brands should stand on their own two feet, have realized the importance of managing Proctor and Gamble as a brand. be presented as the ultimate corporate brand. ”
(Corporate branding and Connoisseurship by Balmer J.M.T Journal of management Vol 21 no 1 autumn 1995.)
From statements above it can be stated that corporate loyalty does not mean any other product. This can be true in the case of products like Rolex or Mercedes but when it comes to the day of the day and as we will not travel an extra mile to get a Safeway milk. Many people will just go to a nearest corner shop or a service station to get a bottle of milk.