The brand value is a symbolic value; it is the resonance that a product has acquired over time, which comes from the perception that consumers have of the same brand. On the other hand, the value of the company is the sum of the intangible asset or brand value and the tangible asset of their products. The value of a brand seeks to quantify the economic benefits that a part of the assets of a company, the intangible asset, can generate over time. It is estimated that the average value of a brand represents thirty percent of the company value of the shares listed on the stock exchange (Mudambi, 2002).
In this regard, it will not be difficult to understand why branding has been the focus of many consumer goods companies for the past few decades. It is the competition among the corporations that are fighting for market share. Branding is the tool that converts the consumer from one brand to the other. Branding is designed by specialists that target their target customers by appealing to their needs and psychological interests, and many times, they attract the customers by promising great utility. The company that has the most successful branding strategy ends up having the larger share of the consumer market (de Chernatony, 1991).
Coca-Cola as the Brand
Coca-Cola went from being a pharmaceutical elixir to combat gastric problems in 1886 to becoming a ubiquitous sweetened drink by the late 1920s. Today, millions of bottles are consumed all over the world. The Coca-Cola brand has been recognized as the most influential and recognized brand in the world. The logo of Coca-Cola was used as a tool to embed the brand of the company in the minds of the consumers. This logo was considered a landmark innovation in branding that had more than a simple call to action behind the image or the message of the brand. Coca-Cola was among the first brands that were able to control the market by bringing in consumers to further raise brand awareness and consumer contact (Albanese, 2001).
With rising competition, the brand decided to launch a national contest to design a new bottle that would give the message to the consumers that this brand was unique and more consumer-oriented than other brands. It was then that a brown color liquid was registered as in a similar transparent glass-based bottle. The new packaging was prepared in mass by the existing tools but remained different at the same time. Further, the involvement of the consumers left the participants with a constant memory of associating with the brand. The rest became word of mouth, and the consumers became loyal and started to market it in their social connections, increasing the brand value and equity of the company (Albanese, 2001).
Influence of Branding on an Organization’s IMC
We must understand the concept of integrated marketing communication; when we use this term, we try to refer to the way in which a company coordinates the numerous communication networks it has to send its customers the same message, focused on the retention and attention-seeking of the consumer; which need be consistent with the features of the goods presented and the standards of the product, at the same period it must be substantial enough and providing enough utility to persuade the market to which the promotional strategy is directed. All these aspects come together, and branding remains the core. The integrated communication of the company is designed to advocate for that in various media platforms (Martin, 2015).
References
Albanese, F. (2001). Merchandising and Licensing to Improve Brand Equity. The Coca-Cola Case. Symphonya. Emerging Issues In Management, (1). http://dx.doi.org/10.4468/2001.1.06albanese
De Chernatony, L. (1991). Facilitating Consumer Choice Decisions: The Importance of Branding Cues. British Food Journal, 93(9), 50-56. http://dx.doi.org/10.1108/eum0000000002361
Martin, G. (2015). The Importance Of Customer Equity And Branding: A Research Note. Journal Of Business & Economics Research (JBER), 13(3), 153. http://dx.doi.org/10.19030/jber.v13i3.9287
Mudambi, S. (2002). Branding importance in business-to-business markets. Industrial Marketing Management, 31(6), 525-533. http://dx.doi.org/10.1016/s0019-8501(02)00184-0
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