Vitasoy Brand Management
Essay by vitaeric • February 21, 2016 • Term Paper • 1,964 Words (8 Pages) • 1,364 Views
Aim and Objectives
Many global and local brands are developing in Hong Kong; there are many factors to make brand to success. The aim of this assignment is critically review the brand development strategy of Vitasoy in Hong Kong. And the objectives of this assignment are below:
- First, this assignment is going to explain the concept of brand development decisions of Vitasoy.
- Second, this assignment is going to use Keller’s Customer-Based Brand Equity (CBBE) Model to explain the brand development decisions of Vitasoy.
- Third, this assignment is going to evaluate the role of the marketing mix of Vitasoy how to fulfill Vitasoy’s vision and mission.
Company Background
About Vitasoy
Vitasoy, nutritious beverage drink producer, was launched by Dr. Lo, Kwee-Seong in 1940 in Hong Kong (Vitasoy, 2015). Vitasoy promotes a series of nutritious products with high health quality and good taste to customers. Over the years of development, using new procedure of disinfection (e.g. ultra-high temperature processing (UHT)); introducing new packages (e.g. Tetra Pak packaging, Aseptic PET packaging); launching new product lines (e.g. Pure, Sansui Tofu, Calci-plus). Trustful production process, user-friendly package, and products of diversification, Vitasoy’s products are currently over HK$5,000 million annual sales in the period from 2014 to 2015 by providing in 40 markets worldwide (Vitasoy, 2015).
The vision of Vitasoy, mentioned by Vitasoy official website, is “aim to maintain its leadership in promoting superior quality of life through the production of high quality, great tasting nutritious products that satisfy customers in all markets.” And the mission of Vitasoy is “promoting consumer well-being is our number one priority. This is achieved through the provision of a variety of high quality nutritious foods and beverages.” (Vitasoy, 2015)
Brand Development Decisions of Vitasoy
Definition of Brand
A brand is a “name, term, sign, symbol, or design” (Keller, 2013) and “unique style, pattern, color scheme, and graphics” (Baisya, 2013) or combination of these and other elements, which identify the goods and services to the producer(s) from other competitors. (Baisya, 2013)
The Concept of Customer-based Brand Equity (CBBE) Model
To develop a successful brand, there are many characters to compose (The Mind Tools Editorial Team, 2015). Good brand recognition is somewhat systematic (Baisya, 2013). This assignment is going to use Keller’s Customer-Based Brand Equity (CBBE) Model to explain what a brand can be strong and how a strong brand can be built.
Keller’s Customer-Based Brand Equity (CBBE) Model shows us a figure of pyramid, simply four steps to build a valid and strong brand (Keller, 2013). The bottom one is the first step and the top one is the fourth step. This is one from the intrinsic value of the brand itself step to the outside performance of the brand, and how the customers’ experience reflect to the brand, thus develop a positive and closed relationship between brand and customers. The fourth step is not easy to reach as Keller place it on the top of the pyramid, which means the brand is successful. When the strong brand equity built, the brand can remain forever (Keller, 2013).
Applying Customer-Based Brand Equity (CBBE) Model
In details of the four steps of the framework, let’s discuss how the brand can be strong. The four steps are:
Establish the good Brand Identity;
Develop the right Brand Meaning;
Lead the correct Brand Response;
Cultivate the closed Relationship (MBA LIB, 2011).
The first step: Brand Identity
First of all, we need to create awareness of the brand (Cornelissen, et al., 2007). Ensure the brand can be easily recognized and aware by customers, and highly to make customers always think of the brand (Balmer & Gray, 2000). Good brand identity is easy to make customers to name the brand or recall.
To the application, the brand needs to focus what kind of the target customers, to know how the customers see, and to know the relationship of the brand character and the market segments (The Mind Tools Editorial Team, 2015).
Then brand must know what the customer’s needs to be satisfied, and know how customers choose the brand (Elvy, 1997).
The Role of Marketing Mix in Vitasoy’s Brand Identity
Vitasoy’s Brand Identity | Marketing Mix to achieve Vitasoy’s Brand Identity |
-How do customers see Vitasoy? -What are the customer’s needs to be satisfied? -What customers prefer Vitasoy than other brands? | Vitasoy as a beverage product manufacturer. The mainly product is soybean drink. This is a fast-moving consumer good (FMCG). Vitasoy is easy to find in supermarkets, stores, convenient stores; and especially in schools as its healthy image. The advantage of Vitasoy is promoting good life with health to customers; its products are fully nutritious, satisfied in all markets, especially customers who pay attention on healthy. Vitasoy was established in Hong Kong, therefore the slogan of “Stand by me” used in Hong Kong market. |
The second step: Brand Meaning
This is the intrinsic value of the brand, and what the brand stand for. To create the right brand meaning, mainly refers to “performance” and “imagery” (Keller, 2013).
Brand Performance refers to how the brand fulfills customers’ external needs. It is including “primary characteristics and secondary features”, “product reliability”, “durability and serviceability”, “service effectiveness”, “efficiency”, “empathy”, “style and design”, “price” (Keller, 2013). It is what the brand’s outlook (Ellinger, 2000).
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