IDENTITY, POSITIONING, BRAND IMAGE AND BRAND EQUITY COMPARISON: A VISION
ABOUT QUALITY IN BRAND MANAGEMENT.
Eduardo de Paula e Silva Chaves
São Paulo Federal Institute, São Paulo University, Brazil
E-mail: eduardochaves@ifsp.edu.br
Submission: 20/02/2017
Revision: 01/03/2017
Accept: 24/04/2017
ABSTRACT
Marketing management implies the understanding of the
relationships between market and consumption, as well as the concepts related
to the maximization of a company’s results. This article sought to understand
the relationships between brand identity, positioning, brand image and brand
equity. We conducted a qualitative-quantitative research to describe the
existing connections between these definitions, and the conceptual and
operational gaps that arise from their management. The results present some
analyses of these gaps.
Keywords: Brand
identity, positioning, brand image and brand equity.
Track: Product and brand management.
1. INTRODUCTION
According
to Kotler and Keller (2006, p. 337), the bargaining power of buyers grows as
they focus on some issues: when the product represents a significant portion of
the buyer’s cost; when the product is undifferentiated; when the costs of
switching vendors are low; when buyers are price sensitive due to low profit
margins; or when previous stages can integrate the supply chain. For Isoraite
(2016), several variables are growing and gaining importance with digital
tools. Thus, it is necessary to study the relationship between marketing
variables.
Kotler
(2011) states that "to have low prices is not enough to build a feasible
business, you need to add quality and services for the customer to feel that he
is buying based on value”.
Thus,
it is not sufficient just to do marketing activities, it is necessary to investigate
if the market uses and appreciates these actions, so that they can bring
results, because it is increasingly difficult to keep loyalty strategies in the
retail sector.
A
high level of consumer’s loyalty is based on the performance perceived through
his complete satisfaction. Customers’ satisfaction becomes a leading retail
marketing goal (KOTLER; KELLER, 2006, p. 165).
Loyalty
is a big competitive differential, because loyal customers give preference to a
brand, are less sensitive to price and pay less attention to competitors (AAKER,
1998).
Therefore,
we defined the following research question: What are the main variables that
affect the quality of brand management? To do this, we studied the main
concepts related to brand management, such as identity, positioning, brand
image and brand equity, through the tools used in the retail market to assess
the loyalty of consumers. In parallel, we sought to identify which of these
tools are efficient and effective for brand management, and how to improve their
quality.
2. THEORETICAL
In
this section we address the following topics: brands, marketing mix, identity,
positioning, image and brand equity, according to the texts and authors found
in the literature research.
2.1.
Brand
According
to Aaker (1998, p. 7) "a brand is a distinct name and/or a symbol that
aims to identify a seller’s goods or services and differentiate these goods and
services from its competitors”. But for Tomiya (2010, p. 26), logo, name,
packing, communication and design are consequences of a branding strategy in
the organizational culture, in the objectives, in the articulation of
positioning and in the brand’s differential. The challenge of brand definition
is to develop a deep set of meanings for it. If the company treats a brand just
as a name, it fails in not giving it importance (KOTLER; 2011, p. 394).
The
process of brand management is used to develop awareness and extend customer’s
loyalty (WHEELER, 2012, p. 16). Corrêa (2009, p. 310) states that building a
brand in the consumer's mind goes through three stages: the creation of a
unique concept that differentiates the brand from competitors
(differentiation), the reason transmitted by the brand for the consumer to
prefer it (relevance), the emotional relationship between the brand and the
consumer (esteem).
Brands
have three main functions: navigation, which helps consumers to choose the
brand among various options; security, through brand communication on the
quality of the product or service, thus passing safety to the customer in his
decision making; and the engagement that brands provide through images and
languages, in order to lead the customer to identify with the brand (WHEELER,
2012, p. 12).
2.2.
Brand
Identity
Wheeler
(2012, p. 58) states that brand identity is a strategic tool and an asset that
provides quality reporting, increased recognition and competitive differences.
For Kotler (2011, p. 262) identity comprises the forms adopted by a company to
identify itself or to position its product.
A
strong brand should have a clear and valuable identity; if it doesn’t, this may
imply that the brand needs to be changed or extended. Identity represents what
the organization wants its brand to mean (AAKER; JOACHIMSTHALER, 2000, p. 49).
To
combine the two large brand dimensions (external audience - tangible, and
internal audience - intangible), it is necessary to develop a prism. These
dimensions must be described for each brand, in order to make clear the brand
identity and the main external perceptions regarding it (TOMIYA, 2010, p. 52).
For
Wheeler (2012, p. 21) brand identity helps to differentiate it from the
competitors, in building awareness and strengths of an organization, in
building brand value, through increased awareness, recognition and loyalty from
customers, which contributes –to the firm’s success. To be effective, brand
identity should focus on clients, differentiate the brand from competitors and
represent what the organization can do over time (AAKER; JOACHIMSTHALER, 2000,
p. 50).
2.3.
Brand
Positioning
Positioning
was developed by Al Ries and Jack Trout in 1981, who defined it as the basis
for enterprises to build their brands and customer relationships. Positioning
addresses the mix of price, product, promotion/advertising and place, called
the marketing mix g. Through these strategies, companies determine their
position in the consumer's mind, considering its competitors, and analyzing
their strengths and weaknesses (WHEELER, 2012, p. 24).
According
to Aaker and Joachimsthaler (2000, p. 51), brand positioning is part of the
brand identity and value proposition that will be actively transmitted to the
target audience. Positioning is what the brand wants to be for its consumers (CORRÊA,
2009, p. 313).
For
Tomiya (2010, p. 60) brand positioning should start from its identity. The
positioning proposal has to be different, unique and communicated to the
–target audience, clearly showing the advantages of the brand in relation to
its key competitors.
Positioning
must present a description of the consumers and what they want against the
competitive advantages of the company, besides being a reference for customers
to use or buy the brand (TYBOUT; STERNTHAL, in TOMIYA, 2010, p. 60).
2.4.
Brand
Image
According
to Cooper (2003), a concept is a set of generally accepted meanings and
characteristics associated with certain facts, objects, conditions, situations
and behaviors. Concepts are frequent and of general use, having been developed
over time through shared use. Yet a construct is an image or idea invented
specifically for a particular research and/or for developing theory. Constructs
combine the simplest concepts, especially when the idea or image that we want
to build is not directly subject to observation.
Brand
image is defined as the perception of the brand reflected in the consumer
memory associations (KELLER, 1993).
2.5.
Brand
Equity
Srivastava
and Shocker (1991) define brand equity, based on the client, as a set of
associations and behaviors of customers, distributors and the parent company of
a brand, which allows for higher sales volume and higher margins than would be
possible without the brand name, in addition to a stronger competitive
advantage and differential.
To
understand brand knowledge and how it relates to brand equity, based on the
client, we need to understand the basic notions of the memories principles.
Brand equity, based on the client, is defined as different effects, brand
awareness acts, on the consumer response to the marketing mix, or to the
marketing activities of the company (KELLER, 1993).
In
defining brand equity based on the client, attributed to memory, we must
reflect on its mediating position between the action of marketing and profits,
and also understand its character of cognitive reservoir. That is, a set of
associations and behaviors of customers and distributors of a brand that allow
a distributor to get higher sales and margins than would be possible without
the brand (RIJSMAN, 1995).
3. METHODOLOGY AND PREMILIMINARY ANALYSIS
3.1.
Research
type
The
article was built through an exploratory-descriptive study. Malhotra (2004, p.
100) states that exploratory research is significant in situations where the
researcher does not have the necessary knowledge to continue the research
project. For Hair, Babin, Money and Samouel (2005, p. 86), descriptive research
is used to measure the characteristics addressed in a research question. Thus
we obtained a qualitative result with the case study and a quantitative result
with the descriptive research.
The
methodology and database follow the work of Rodrigues, Menegazzo and Chaves
(2014), whose contribution was unprecedented regarding the relations between
identity, positioning, image and brand equity, mentioned in the next items.
This contribution refers to the phenomenological method, and the concepts
acquired by the present author after many years of work with brands, both
academic and commercial.
3.2.
Methods
The
method used in this work consists of three parts: first, a case study with
supermarket managers; second, a field survey using questionnaires; third, an
in-depth and phenomenological analysis of the relationships between identity,
positioning, image and brand equity. This article developed a qualitative case
study together with a quantitative descriptive research in order to study the
retail tools used to get customers’ loyalty, and to analyze if these tools are
being efficient and effective (HAIR et al., 2005). To achieve the objectives,
we conducted a comparative analysis of the case study (indoors) and the
descriptive research (external environment). That is, there was a
qualitative-quantitative and phenomenological basis for the paper. In this
section we discuss the results of the in-depth interview with the supermarket managers
and the data analysis resulting from the descriptive survey of consumers.
Initially we present the diagnosis on the vision of the supermarket retail
brand (RODRIGUES et al., 2014).
3.3.
Case
Study
"When
one of the goals is to achieve qualitative assessments in order to build
theories, case study research is indicated" (MARTINS; THEÓPHILO, 2009, p.
62). We conducted this research by studying the brand, in which the strategies
referring to price, product, place and promotion were analyzed, in order to
outline the strategies and competitive advantages used to gain and keep
customers’ loyalty. These variables were chosen because when the 4 P's are
related to the company (internal), they are directly based on the 4 C's of
consumer (external), which makes this tool efficient and effective, achieving
consumer’s satisfaction without overly increasing internal costs (KOTLER;
ARMSTRONG, 2007). The achieved result provided the analysis of brand
positioning before its consumers.
When
seeking different ways to investigate one point, seeks to triangulation. This
triangulation is used to maximize the credibility of the qualitative study,)
stated that triangulation is a procedure that stands out to maximize
credibility.
Was
held with the manager marks an in-depth interview, this type of interview
allows dealing with complex issues that could hardly be properly investigated
through questionnaires, exploring them in depth. Then he drew up a roadmap with
only a few questions to guide the interview. (Writing Qualitative ANNEX B).
Alves-Mazzotti and Gewandsznajder (2001, p.169) consider documents "any
written record that can be used as a source of information." The document
analysis will be used to check and complete the data obtained by other
techniques.). We conducted unstructured observation in four stores of the
brand, to confirm the data collected, as unstructured observations are free,
without a way to preset registration).
Content analysis raised was based on the idea by Alves–Mazzotti and Gewandsznajder
(2001) who claim that the content needs to be organized and understood through
an ongoing process to identify relationships and dimensions, with the goal of
uncovering meanings.
3.3.1. Case
Study Analysis
In
these interviews we did not find indications of the use of the marketing mix as
a positioning tool. The manager uses the brand with great importance, the tools
proposed by Kotler and Armstrong together with constant research of the market.
According
to the manager of brand loyalty, conquest is by conducting satisfaction survey,
where the employee himself is trained to listen to customer complaints; search
door to door; customer service, which measures the satisfaction of the purchase
accomplished through the aftermarket. For the manager of the brand
"loyalty keeps us credible. You lose the customer from the moment he loses
confidence in the location he frequents. Cleanliness, validity, quality,
variety, service are small aspects of trust. No customer retention without
trust".
The
retail brand has four units located in four main regions (RODRIGUES, et al.,
2014).
For
Brand, promotion is one of the most important aspects, the manager stating that
invests "close to 1% of sales, more than 100 thousand month of
advertising, is a major cost today". Some of the tools used by retailers
brand is tabloid, radio, TV, social campaigns, promotion of products according
to seasonality, outdoor, city events, internet. "We are who makes more
marketing" (RODRIGUES; MENEGAZZO; CHAVES, 2014).
The
manager of brand claims that "price is credibility, trust, and the fight
to have uniformity, not to have large bumps market". The retail sector
separates two classes of products as priced: perishables and groceries, the
price of groceries is the same in any supermarket. For the Brand "price is
perishable trust, price is not groceries. The concept of price is the customer's
mind. Since price is value added, is the brand's status, yet ... "Relating
price and the supplier have the following brand positioning: when all the lower
price and not have to take more margin comes into contact with the supplier to
take advantage” (RODRIGUES; MENEGAZZO; CHAVES, 2014).
The
brand performs extensive work in the aftermarket, where checks - with customers
"is missing some product in your shopping allowed to buy any branded item,
and why not buy this product", from the responses register the missing
product and the information is passed along to the Manager, aiming to leave not
miss the items mentioned. There are also a major concern with products
manufactured within the establishment, especially with regard to quality and
hygiene, using the same tools mentioned (RODRIGUES; MENEGAZZO; CHAVES, 2014).
3.4.
Descriptive
Research
We
conducted the survey through questionnaires based on the variables of the 4P's
of the marketing mix that can influence loyalty: price, product, place,
promotion, and three questions related to the level of loyalty for the brand,
having to verify whether the tools used by the brand are being efficient and
effective in the process of loyalty. The result of the descriptive survey
revealed the image of the brand in the importance of the variables that
influence loyalty.
One
objective of descriptive research is to obtain a quantitative result thus
applied the questionnaire because they "are used to collect quantitative
data from a large number of people in a quick and convenient way". (HAIR et
al., 2005, p 157). For the validation of the factor analysis that allows
synthesizing the volume of information collected on variables in a
significantly smaller number of variables and factors. (HAIR e. al., 2005). The
reliability analysis is needed to estimate what is the reliability of the
measurements and average statistics made on the sample. (Quantitative
Questionnaire Appendix B). These data were tabulated in Excel and statistically
analyzed with the aid of the software Statistic Package for Social Science
(SPSS), enabling the application of quantitative analysis.
Rey
(1993), states that the concept of regression in statistics is related to
positive or negative that the dependent variable suffers when there is a
one-unit increase in the independent variable. We used the Multiple Regression,
which according to Hair et al. (2005) is the most realistic. Loyalty was used
as the dependent variable, and the marketing mix as independent variables in
multiple regression, it is possible to insert independent variables of the same
type in the equation and estimate a single dependent variable. ).
Was
analyzed by regression analysis of randomness that comes from two or more
variables, or external factors that may influence the concealment of some
functional relationships. (REY, 1993); multicollinearity by analysis that
provides more accurate estimators of regression coefficients. (WERKEMA; AGUIAR,
1996); through the analysis of normality, which involves the verification of
hypotheses and development of confidence intervals and also heteroscedasticity
which analyzes the level of discrepancy between the independent variables. (BUSSAB,
1998). place Gujarati
Alpha
Conbrach's are measures of reliability. These range from 0 to 1. The closer to
1, the degree of reliability is attributed. Being 0.60 and 0.70 limits for
acceptable values, ie, they are the minimum acceptable for a variable to be
below those numbers they are not acceptable to the Alpha's Conbrach (HAIR et
al., 2005, p. 90).
Factor
for Hair et al. (2005, p. 90) consists of a linear combination of the original
variables, namely the case of pools variable factor in explaining or summing
the set of 'n' variables in a single factor "x".
Correlation
to assess whether there is a relationship between the behavior of two or more
variables and the extent to which this interaction occurs. A positive
correlation (0 <r <1) indicates that the two variables tend to increase
or decrease simultaneously. A negative correlation coefficient (-1 <r <0)
when said variable value tends to increase the other tends to decrease, and
vice versa. The value "1" or "-1" indicates a perfect
linear relationship. The value "0" indicates no linear relationship
between the variables. (HAIR et.al, 2005, method 313).
3.4.1. Descriptive
Research Analysis
For
the analysis of the variables the type of Likert scale was used, according to
Bell (2008) cited in Machado, Camfield, Cipolat and Quadros (2012, p. 7) these
scales are used to unlock the power of feeling or attitudes towards the subject
of the questions. The questionnaire was applied at the outlet of the brand
stores, aiming to give up the post-consumption data, because when interviews
are held in the output of an establishment, people are chosen bearing in mind
the fact that just to use the property.
3.4.1.1. Reliability
First
we analyzed the degree of confidence of individual variables. Where we got the
results shown above. The form of analysis was based on the idea of Hair et.al
(2005) on the size of the Cronbach's alpha coefficient, as already mentioned in
the figure. Rated up to LE1, LE2, LE3 (loyalty variable) issues as very good,
where it can be concluded that the combined of LE1, LE2 and LE3 measure loyalty
issues coherently.
The
questions, NL1, NL2, NL3 (variable level of loyalty) are classified as good,
with this result we obtain a set of questions that measure levels Loyalty
consistently. P01, PO2, PO3 (variable products) make up a group that issues can
be classified as moderate, this result can also conclude that PO1, PO2, PO3
measure product consistently.
Have
questions formed by PA1, PA2, PA3 (group variable place), PAO1, PAO2, PAO3
(group promoting variable), PE1, PE2, PE3 (group variable price) classified as
low intensity of association, and up as a result groups that do not
consistently measure the variables place, promotion and price.
Figure 1: Cronbach's Alpha Results
Source: Rodrigues,
Menegazzo, Chaves; 2014.
3.4.1.2. Preliminaries
Regression
We
conducted a pre-test in Excel with fifteen questionnaires to conduct an
analysis of collection time, understanding of the issues, quantity demand and
consistency issues for better collection.
3.4.1.3. Regression
Variables Pure
After
the tab in the Excel program, held an average with issues of fairness variable
(LE) over issues of fairness level (NL), in order to obtain only one dependent
variable named LE (overal). In the following was carried out with a regression
LE dependent variable and PAO1, PaO2 PAO3, PE1, PE2, PE3, PE4, PO1, PO2, PO3,
PA1, PA2, PA3, independent variables, yielding the following equation:
LE(OVERAL)=PAO1+PAO2+PAO3+PE1+PE2+PE3+PE4+PO1+PO+PO3+PA1+PA2+PA3+£
Figure 2: Variables Equation Pure
Source: Rodrigues,
Menegazzo, Chaves; 2014.
Based
on this result it was found that these variables influence the fairness in
42.6. But this value is a relationship that is mild to social science. It found
the need to perform a correlation of these pure variables, obtaining the result
of the individual influence of each variable to the loyalty, where he managed
the variable that explains the most and the least variable that explains the
fairness, performing the analysis of the pure variables, ie, LE1, LE2, LE3,
PE1, PE2, PE3, PE4, PA1, PA2, PA3, PO1, PO2, PO3, PAO1, PAO2, PAO3, NL1, NL2,
NL3.
3.4.1.4. Complete
Regression fairness factor.
In
search of a better explanation for the research problem we used the analysis
tool dimension reduction SPSS software to transform variables on factors,
transforming LE1, LE2, LE3, NL1, NL2, NL3 issues only loyalty factor. To obtain
a more accurate result than the average performed in Excel. Thus originated the
following regression equation:
LE=PAO1+PAO2+PAO3+PE1+PE2+PE3+PE4+PO1+PO+PO3+PA1+PA2+PA3+£
Figure 3: Outcome 2: Loyalty Factor
Source: Rodrigues,
Menegazzo, Chaves; 2014.
Figure 4: Loyalty Factor Equation
Source:
Rodrigues, Menegazzo, Chaves; 2014.
Transforming LE1, LE2, LE3, NL1, NL2, NL3 issues only
one factor can obtain a result that represents a significant intensity relative
to the social science regression analysis.
Loyalty = + Price +
Product + Promotion + Place + £
Figure 5: Factors Equation
Source: Rodrigues,
Menegazzo, Chaves; 2014.
Based
on this improvement in results, we used factor in all the independent
variables, transforming PAO1, PAO2, PAO3 factor in Deal; PE1, PE2, PE3, PE4
factor in price; PO1, PO, PO3 in product and factor PA1, PA2, PA3 in place
factor. Thus originated the following regression equation:
Figure 6: Outcome 3: Regression Factors
Source: Rodrigues,
Menegazzo, Chaves; 2014.
After
traveling for several features and analysis, one can arrive at the result that
the place factors, price, product and promotion influence the loyalty factor in
60.7, this being a result that represents a relationship of intense and fully
acceptable to social science.
Aiming
to enhance data analysis, there was an individual detailing the influence of
each factor in relation to the loyalty factor by analyzing the correlation of
factors.
Table 1: Correlation Factors
Source: Rodrigues,
Menegazzo, Chaves; 2014.
This
analysis was based on the idea, mentioned by Hair et.al (2005), where the
correlation between loyalty and place and promotion are classified as mild,
almost imperceptible, may be concluded that the plaza and promoting factors are
practically insignificant in the construct of the loyalty factor.
Looking
at the price and loyalty and product afforded a moderate correlation, this
analysis price and product are the factors that correlate with the loyalty
factor. Thus it is concluded that price and product are the factors that most
influence the construct of loyalty.
4. RESULTS ANALYSIS
In
previous chapter discusses the results of the in-depth interview with the owner
and the data analysis descriptive survey of consumers. Initially we present the
diagnosis of vision of the retail supermarket brand (RODRIGUES; MENEGAZZO;
CHAVES, 2014). In the analysis of sequence data to descriptive research with
consumers is presented. Now we will be presented the phenomenological vision of
problematization. The main result of this article is to present a
phenomenological view about brand management.
4.1.
Main
contribuition
According
to the proposal problematic, it can be stated that you get the expected results
to achieve the proposed objectives, for which the brand positioning (internal
environment) to variable product (variety) is the tool that most influences the
loyalty of its consumers. Also found that for the brand image (external
environment) the product factor is the most efficient and effective tool used
by the brand.
For
positioning the second tool that most influences the loyalty of its consumers
is the promotion variable for the image that variable is no longer as relevant,
is the third most important tool in the construct of loyalty.
Have
a variable price for the brand image is the second most important tool to form
loyalty. But for brand positioning this variable is not considered a relevant
tool in the construct of loyalty from its consumers process for the brand if
only price she would not have the image. Importantly, innovation and usefulness
of the methodology and research methods of this study. A source of analysis and
cross between the internal and external environments, presented the
relationship between positioning and brand image.
The
main contribution of this article refers to the process of analyzing the
quality of brand management. The model presented in this article aims to
describe and understand the measurement of quality in brand management, through
a comparison between the internal and external environments of the company.
Internally search is the conceptual definitions of identity and brand
positioning. In the external environment seeks to conceptual definition ns of
image and value of corporate brand.
The
comparison between the internal and external environments presents the
measurement of the quality of brand management. That is, if there is
consistency between internal actions and external response of the brand it is
assumed that there is quality management. Thus, in reviewing the publication
prepared by the last author (08.15.2016) created a measurement model of brand
management quality as the following figure:
Figure 7: Brand Quality Management Model
Source: Search Results
adapted Parasuraman, Zeithmal, and Berry (1988).
The
main gaps in the management of the brand quality can be found in the conceptual
model. These gaps are described in the gaps 1, 2, 3, 4 and 5. They are:
Gap1:
difference in the managers' interpretation of the expectations of the brand's
consumers.
Gap
2: brand identity is being understood by managers in their positioning and
translated in marketing (marketing mix) consistent;
Gap3:
the market understood the company's marketing activities and absorbing the
placement proposed by the company;
Gap4:
brand communication transfers a value proposition superior to its competitors
that is actually delivered in quality.
Gap
5: the company's image translates into brand value compared to its competitors.
Thus,
we seek to understand the management of the company's brand quality. What is
needed is a better and more thorough analysis to validate the assessment
framework of the quality of brand management.
5. FUTURE STUDIES PROPOSAL
It is
suggested to readers and researchers with some proposals for future studies
based on this article, such as studying which the most relevant variables in
consumer loyalty in retail process from other regions. Study which the most
relevant variables in consumer loyalty in trade in various economic activities
process. Extend the same methodology to wholesale companies. In addition to
replicating the method presented here, in various companies according to
variables of importance to marketing.
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