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First, let's say a few words about strategic marketing and define the strategy. So, a marketing strategy is a set of basic decisions aimed at achieving the general goal of the company and proceeding from an assessment of the market situation and its own capabilities, as well as other factors and forces environment marketing. Determine the scope of tasks strategic marketing: systematic and continuous analysis of the needs and requirements of key customer groups, as well as the development of concepts for effective products or services that allow the company to serve selected customer groups better than competitors, and thereby provide the manufacturer with a sustainable competitive advantage. ...

Thus, the role of strategic marketing is to target the firm to attractive economic opportunities, i.e. capabilities tailored to its resources and know-how providing potential for growth and profitability. The strategic marketing process has medium and long term horizons; its task is to clarify the company's mission, define goals, develop a development strategy and ensure a balanced structure of the product portfolio.

A company must choose a common branding strategy that will not only influence all of its products, but also determine the direction of development of brand names for new types of goods. When it comes to branding strategy, a company faces five choices:

• · Expansion of the product line (extension of the brand name to new products within one product category);
• · Expansion of the boundaries of the trademark (extension of the brand name to new products from another category);
• · Multi-brands (different brand names for products of the same category);
• Introduction of new brands for new categories of goods
• · Combined trademarks (brands composed of two or more widely known brand names).

Expansion of the product line. The expansion of the product line means that within the same category of goods and under the same trademark, the company produces products supplemented with new properties (new tastes, components, packaging of a different shape, different colors or sizes). Thus, Ivan Taranov's Breweries expanded the product line of PIT beer, releasing, in addition to the main PIT light brand, PIT strong beer, PIT export, and PIT non-alcoholic beer. The vast majority of new products are produced as a result of a product line expansion strategy.

Extending a line carries a certain amount of risk and generates heated debate among professional marketers. One of the dangers is weakening the brand name's ability to clearly identify commercial varieties and is called the line extension trap. Previously, the customer, when asking for "Coca-Cola", meant only a drink in a 0.33 liter bottle. Today the seller has to find out which kind of his - "New", "Classic" or "Cherry" - the buyer has in mind. Simple "Cola" or dietary? With or without caffeine? In a bottle or in a can? In some cases, the identifying ability of the brand name is so strong that its use in expanding the product line simply misleads consumers and does not allow the company to achieve sales growth that would compensate for the costs of creating and promoting a new product. That is why the Ivan Taranov Brewery, when expanding the Doctor Diesel trademark, which is positioned as a strong beer, released a light beer called Draft Doctor Diesel.

Line expansion should result in new customer acquisition, not cannibalization or weakening of other company units.

However, the application of the strategy of expanding the product line is justified by the fact that products released under an already well-known brand have a better chance of survival than products under a completely new name. Some experts assess this strategy as the best way to grow a business. The success of Kimberly-Clark's Kleenex business has a lot to do with its product line expansion strategy. “We tried to have facial tissues in every room,” says one company employee. “And then they are sure to be used.” With this philosophy, under the Kleenex brand, 20 varieties of facial wipes have been developed.

Expanding the boundaries of the brand. This strategy is to brand new products from other product categories. Thus, the well-known Russian company Wimm Bill Dann produces yoghurts, curds, glazed curds, and milk under the Miracle trademark. The latest trend in corporate brand image building is the licensed sale of licenses for the right to use the brand name to manufacturers of a wide variety of goods. Not so long ago, peanuts and pistachios in bags and jars began to appear on the market under the trademarks "PIT", "Three Bears", "Bochkarev" and others.

The benefits of a brand extension strategy are similar to those of a family extension strategy, but it also carries risks. For example, a new branded product can disappoint consumers and damage other company products. Or the brand name may not match the new product. It is unlikely that the pasta under the Mila Mila trademark will be successful with consumers, since consumers associate this brand only with dairy products. The third danger is brand weakening, which occurs when consumers no longer associate a brand with specific or similar products.

Multibrands. Companies often launch products under different brands in the same product category, either to highlight different product attributes or to appeal to specific customer motivations. The multibrand strategy allows the company to expand its display space with distributors and protect its core brand with flank-brand products. For example, the Ivan Taranov Pivovarni company produces such beer brands as PIT (for a wide range of consumers), Tri Medveda (premium beer), Doctor Diesel (strong beer). Ideally, the brands of a company should absorb the brands of competing businesses, not each other. Sometimes a company inherits trademarks in the process of absorbing competitors. If "cannibalism" does take place, then the absorption of each other by the brands of the company should at least contribute to the growth of its net profit.

New trade marks. Starting the production of a new category of goods, a company may come to the conclusion that it is necessary to create a new trademark.

Combined brands. The use of combined (double) brands is a rapidly spreading phenomenon, the essence of which is the offering of goods under two or more well-known brands. Each brand providing partner expects the other brand to attract additional customers to the product. By sharing brands on packages, both sides hope to expand the consumer base through strong associations of another brand.

This strategy is applied in a wide variety of forms. One is the use of the OEM brand, when, for example, Volvo advertises Michelin tires as an integral part of the entire car, or the advertisement for the Hershey chocolate syrup used in Betty Crocker cakes. Another form is the use of different brands of the same company. Another form is the use of brands of joint venture founders, for example, for light bulbs produced by the General Electric-Hitachi joint venture in Japan. Finally, there is a well-known strategy for common combined brands, such as in the case of Taligent, a technology alliance brand between Apple, IBM and Motorola.

Many manufacturers do not produce final products, but branded components - motors, computer microcircuits, food components, which, being part of the finished product, lose their individuality. These manufacturers strive to ensure that their brands are seen and advertised as the hallmark of the entire final product. Intel's consumer-centric advertising strategy has convinced many PC buyers to buy only those that carry the "Intel Inside" mark. As a result, major PC makers are forced to purchase Intel motherboards at a higher price instead of equivalent boards from other manufacturers.

Brand promotion policy aims to build a brand. Often the concepts "brand" and "brand" are mistakenly considered identical.

Brand - an image of a brand of a product in the mind of a buyer, distinguishing it from competing products. Structurally, the brand is subdivided into:

Corporate identity, a set of color, graphic,

verbal constants that ensure the visual and semantic unity of goods and services, all information coming from the company, its internal and external design (in English - corporate edentity);

• · The verbal part of the brand (in English - brand-name);
• · The visual image of the brand, formed by advertising in the perception of the buyer (in English - brand-image);
• · Packaging - the result of the development and production of the casing for the goods.

Thus, a trademark is a complex system consisting of several interconnected elements, each of which has a certain significance and which must be connected in accordance with the strategy of the development of the trademark and the concept of its promotion to the market and give the manufacturing company competitive advantages, distinguishing it from other brands, bringing it profit by satisfying the needs of consumers.

Brand policy

Brand policy Are actions aimed at creating, maintaining, protecting, strengthening and expanding the brand.

Let's briefly dwell on a number of brand strategies.

Product line expansion strategy (brand family) involves the release of additional trade items, usually with new characteristics, in the same category of goods and under the same brand.

Strategy for pushing boundaries, using the brand is the use of already successful brand names to launch new or modified products in a new category. As part of this strategy, the brand recognized by the market ensures rapid recognition of the new product.

Multibrand strategy (multibrand approach) implies the creation of additional brands in the same product category. Using this strategy allows you to differentiate products so that each brand offers different functions and properties to the respective target market segments.

Corporate Branding Strategy involves the promotion of all products to the market under a single brand. This strategy is the exact opposite of the multibrand strategy. Its use saves money on marketing investments and facilitates the process of product introduction to the market. This strategy uses a combination of corporate and individual brands.

New brands strategy implies the creation of new brands, in particular, then, to delimit a certain group of models from the traditional image of the brand, and is used in cases where the company begins the production of a new category of goods.

The combined use of these strategies can bring the greatest success. Their combination depends on the specific conditions of the enterprise and the content of its product policy. The chosen combination should prevent competition between own brands, ensure their development, as well as oppose competitors' brands on the market.

Repositioning trade mark Is a change in its positioning in the market. The corresponding decision is made under the influence of the success of a similar brand of competitors or in connection with a change in consumer preferences. In this case, it may be necessary to change the product and its image.

Brand and branding

Recently, in the marketing literature, along with the terms "trademark", "product brand", the term "brand" is widely used (in a number of sources - "brand"). At the same time, there are different interpretations of this term. One of them boils down to the fact that a brand is a prestigious, well-known brand, that the term "brand" should be considered synonymous with the term "brand". However, a number of experts argue that brand and brand should not be mixed. The brand in their interpretation is the symbol of the brand.

In some cases, a brand is understood as any high-quality, well-known product produced by a specific manufacturer. Typically, during the first few years, about 80–90% of products that first appeared on the market cease to be produced because the buyer does not perceive them. They say that only products with well-known brands remain.

A brand is usually understood as the whole set of representations, ideas, images, associations, etc. about a specific product that consumers have. Let's give another definition. Brand name Is a combination of tangible and intangible categories that form a favorable impression on the consumer of a product and cause a desire to purchase this product with a specific label. Allocate corporate brand – a brand that applies to the entire company as a whole, and brand product - a brand that refers to individual products or models.

From the point of view of the impact on the buyer, brands are divided into brand name (brand-name) - the verbal part of the brand and brand image (brand-image) - a visual image of a brand formed by advertising in the perception of a buyer. There is also a term brand image (Brand Image) is a unique set of associations that consumers have at a given time.

For different groups of goods (daily demand, pre-selection, etc.), the value of the brand is different, since it has a different influence as a factor motivating a purchase. Brand investment is effective only in markets where consumers see it as an important factor in purchasing decisions. Brands not only significantly reduce the risk of receiving a substandard product, but equally importantly, the risk of emotional disappointment.

Demand for products marketed under top brands is growing at a faster rate than demand for non-brand name products.

Products under popular brands within their segment can be positioned in higher price ranges than other similar products. Owning “strong” brands makes it easier for manufacturers to negotiate with independent distributors, as brands generate more revenue per square meter. A significant portion of brand consumers (25–50%) are more likely to abandon a purchase or postpone it than agree to a replacement. The level of absolute loyalty for conventional non-brand brands does not exceed 10-15%.

Derived from the term "brand" is the term "branding" (in a number of sources - "branding") - activities to develop a product brand, promote it to the market and ensure its prestige, as well as monitoring the compliance of the brand with the requirements for the level of its prestige. However, in foreign literature and dictionaries, the term "branding" has no special meaning, but is derived from the word "brand". Therefore, it is recommended to consider the term "branding" as a Russian example of industry slang practiced among certain groups of marketers.

Marketing professionals who view branding as a promising technology for creating long-term preference for a given product adhere to the following definition of branding.

Branding - it is the science, art and activity of creating long-term consumer preference for a product.

Branding, being an organizational and functional embodiment of the brand principle of marketing management at a manufacturer of goods, has become an essential tool of the North American school of marketing. The foundations of the branding theory were formulated by D. Aaker, professor at the University of California, and developed by D. Haig, J. Jacobi, and others.

It is possible to create a brand in the usual sense in any area, and not only a product or service becomes a brand, but the company itself as such.

A relatively new phenomenon in marketing is considered Internet branding (from English internet branding or e-branding), which covers the entire range of activities related to the creation and promotion of a new or existing brand on the Internet. Experts believe that it becomes a new round in evolution. modern marketing... Its advantages include obtaining feedback and building a dialogue with representatives target audience; reaching a wider audience than traditional approaches; the possibility of operational management of all processes of brand creation. The result of Internet branding is the emergence of both independent Internet brands and Internet-integrated versions of brands previously created in the traditional way.

Positioning, focusing, promising and segmentation are at the core of a brand's strategy. Let's briefly dwell on the first three pillars of brand strategy; enough is said about segmentation in the corresponding section of this book.

At the heart of positioning lies the well-known position of marketing that all consumers are different and absolutely all of them cannot like the product, therefore the manufacturer of the product always has to choose a specific consumer. We must strive to ensure that this product is preferred by a certain part of consumers, and not only indifferently bought by ordinary market visitors.

Focus is built on the fact that buyers, when choosing a product, focus on the main thing, so you need to make them notice the main value of the product. It is necessary to clearly show how this product differs from all others.

Promises, which the manufacturer gives by releasing a particular product on the market are very important in interaction with the consumer. This primarily concerns the price and quality, characteristics of consumer and other properties of the product, its compliance with the expectations of potential consumers. The promise allows the image of a given product, first of all, to gain a foothold in the minds of consumers, and then in the market.

There is a certain pattern in marketing: a very famous brand is always developing, a relatively modest brand is gradually fading away.

The constituent elements of a brand include: intellectual property (rights related to trademarks, industrial designs, inventions, know-how, copyrights); product design, external design; a well-thought-out marketing strategy and advertising policy (corporate identity, service, cooperation with the media, sponsorship, etc.); direct contact with the consumer.

By owning a brand, a manufacturer can significantly increase the profitability of its activities, since it attracts a loyal consumer and ceases to be hostage to the price game of competitors: stable demand is able to withstand negative fluctuations in foam in the market.

The significance of the brand for the consumer, in particular, is associated with the fact that the brand allows you to save such an essential resource of a modern person as time. Brands make it easier for the consumer to make choices. A brand in a leading position has on average twice the market share of a brand in position two and three times as much as a brand in position three. The profit picture is even more expressive. A brand leader has, on average, three times more annual profit than the second ranked and 10 times more than the third position.

Thus, the brand adds additional, very real value to the products, which brings tangible profits to the brand owners.

Company Procter & Gamble (P&G) was the first in the world to develop and implement a brand management system. Already in 1931, the term "brand management" was introduced there. The company currently owns 23 brands with global sales in excess of $ 1 billion, as well as 20 brands with sales of over $ 0.5 billion. These 43 brands are the driving force behind the company's growth and generate annual sales growth of 10%.

The main brands of the company: detergents and cleaners Fairy, Tide, Ariel, "Myth", Ace, Mr. Clean, Lenor, Comet, Fairy Oxi, Mr. Proper, Dreft; Pampers baby diapers; feminine hygiene products Always, Alldays, Tampax, Discreet, Naturella; hair care products Wash & Go, Head & Shoulders, Pantene, Shamtu, Herbal Essense, Wella, Londa; body care and perfumery Camay, Safeguard, Secret, Old Spice, Olav, Hugo Boss, Dolce & Gabbana, Gucci, Mexx, Baldessarini; oral care products Blend-a-Med, Oral-B, Crest; Cosmetics Cover Girl, Max Factor; razors Gillette, Venus; Duracell batteries; household appliances Braun; Folgers coffee; juices; Lams animal feed; Eukanuba.

Brand value assessment methods

There are several methods for assessing the value of brands. it total discounted value added method , total cost method , residual imputed value method.

The method of total discounted value added. When implementing it, the difference in price between the branded product under consideration and the closest analogue sold under a brand that is not a brand is calculated, multiplied by the estimated sales volume throughout the entire life cycle of this brand and subtracted from the resulting product the costs of creating and promoting the analyzed brand.

The method of total costs. It consists in calculating all the costs of creating and promoting a brand, namely the costs of development, legal registration and protection, advertising, promotion and public relations. The method is available to every manufacturer. However, the costs do not always lead to the achievement of the result - the formation of the brand. Only the market can answer the question of how much a brand costs, so this method gives an approximate result.

Residual imputed value method. In accordance with it, from the total market value of the brand owner's goods, the following should be subtracted: the value of tangible and financial assets, as well as other non-brand intangible assets. The remainder resulting from these operations is credited to the brand as its value. This method is considered to be the best. However, to use it, you need to know the market value of the brand owner's goods, which is not always known.

The qualitative structure of practically all consumer markets in Russia has undergone major changes over the years of economic transformation. There has been a displacement of unlabeled products or products of little-known manufacturers by brands with strong market positions. Price competition has changed to Russian markets competition between brands, and today for a significant part of consumers, the popularity and reputation of a trademark are becoming the main criterion for making a purchase decision.

International scientific journal "SYMBOL OF SCIENCE" _№4 / 2015_ISSN 2410-700X

Tappaskhanova Elizaveta Oyusovna

Cand. econom. sciences, associate professor of KBSU Nalchik, RF, Е-mail: [email protected] Sherieva Marina Zamirovna Master student, KBSU named after Berbekova H.M. Nalchik, RF, E-mail: [email protected]

COMPANY BRANDED POLICY STRATEGIES AND THEIR SELECTION

annotation

The article discusses the role and importance of marketing for the effective functioning of an enterprise in market economy... On the example of domestic and foreign companies, the place of brand strategies in their marketing activities is determined. The factors influencing their choice are investigated. The necessity of improving the brand strategies of companies is substantiated.

Keywords

Marketing, brand, brand policy, brand strategy, market segmentation,

In September 1998, speaking at the 2nd International Conference on Marketing, organized by the Russian Marketing Association, the famous American marketer Philip Kotler noted: “In order for the company not to go bankrupt during the crisis, it needs to cut costs. on marketing. If under normal conditions marketing is needed for prosperity, then in times of crisis it becomes almost the only mechanism that will help a company to survive. " One of these areas of marketing activity is the company's product and brand policy.

“Put your mark on chicken or water,” writes Philip Kotler, “and you will live. Don't forget that a company is worth as much as its brand is worth. The $ 20 billion that Pepsi is valued at is the value of the brand, not the director or the plant. "

The main directions of improving the brand policy of an enterprise operating in the market are: awareness of the brand as a set of advantages: functional, psychological and economic, which the consumer receives from the use of goods; mastering the concepts of "brand value" and "brand equity"; creation of an effective structure for managing trademarks.

In the brand policy of the company, particular importance is attached to the choice of a brand name or a brand name. The key features of the brand, in addition to its commercial name, are: targeting, memorability, individuality, motivating characteristic. A brand name should carry the following four effects - memorability, complicity, poignancy, and aesthetic value. They should be aimed at ensuring that the consumer understands what is in the name of the commercial message and remembers the trade mark, and also, having heard this word, he has positive emotions. And if more than 20% of consumers have a positive attitude to a particular product, you can safely call such a product a brand.

An enterprise operating in the market can use various brand strategies: a strategy for expanding a product line, a strategy for expanding the boundaries of brand use, a strategy for corporate brands, a strategy for multi-brands (multi-brand approach), a strategy for new brands (Table 1).

As an example of a strategy to push the boundaries of brand use, Procter & Gamble got a great result by putting the well-known name “Fairy” for dishwashing on the detergent. The positive image of the name "Fairy" served as the "green traffic light" for commercial success from the sale of laundry detergent.

The domestic company Wimm-Bill-Dann is actively using the multi-brand strategy, producing at least eight different types of product line of yoghurts, four types of butter, six types of milk with different percentages of fat under the Mila Mila trademark.

The corporate brand strategy, which is the exact opposite of the multi-brand approach, when the company promotes all types of products under a single corporate brand, is used by Sony, Mars,

International scientific journal "SYMBOL OF SCIENCE" _№4 / 2015_ISSN 2410-700X

Nike, Adidas. This strategy is useful when the corporate brand has a strong position in the market.

All the described strategies can be successfully combined with each other, which depends on the specific conditions in which the company operates and the content of its product policy.

Product strategy development is based on marketing research and proper market segmentation, which helps to understand that consumers have differences and an internal hierarchy that largely determines their relationship with brands and their acceptance rate. Within these groups, various options are also possible.

Table 1

Branding strategies used by manufacturers of goods in the market

No. Name of strategy Description

1. Strategy for expanding the product line The company expands the additional qualities of the product, within one product category: changes the size or shape of the package, gives the product new taste, shape, color.

2. Strategy for expanding the boundaries of brand use The company releases a new or modified product under a well-known brand, which in this case becomes an umbrella brand.

3. Multibrand strategy (multibrand approach) The company uses two or more brands for one category of goods, positioning them in the market in different ways.

4. Corporate Branding Strategy A brand strategy in which the company uses its name as an overwhelming brand name for all of its products

5. Strategy of new brands The company starts production of a new category of goods.

For each such group, the firm must develop its own branding strategy. The wrong market segmentation or the wrong strategy can easily damage a company's reputation. Therefore, when developing a branding strategy, a company should not only pay close attention to the age definition of the group, but also to its definition in accordance with the social hierarchy. It is correct for the manufacturer, in this case, to use the strategy of horizontal stretching of the brand, when a product line is created for different target groups, taking into account both the age specifics of a particular audience and its lifestyle and characteristics.

In order not to lose the audience, the company can use the so-called portfolio strategy or brand portfolio strategy. For example, Sony accompanies the consumer at all stages of his life cycle, offering a wide variety of products, including games, films, digital cameras, camcorders, televisions and hi-fi equipment. In this way, Sony has created the concept of a parental brand that is dominated by a family spirit.

The Mars company actively uses such a strategy as the creation of subsidiary brands, which is focused on five main points:

1. A brand must be the leader in its market.

2. The brand must have a level of public trust.

3. It must be physically and financially viable throughout the world.

4. The brand must represent the highest level of quality.

5. It must be able to meet important global durability requirements.

While this strategy is the cheapest strategy out there and is essential when launching a new product, maintaining and using such a brand portfolio is not always a guarantee of success for a company.

So, a brand is an important objective characteristic of a product, but at the same time it has specific features that distinguish it from a product. The main functions of a brand can be realized within the framework of alternative variants of brand strategies and their combinations. The managerial choice of a brand strategy essentially depends on the specifics of the market environment, correct market segmentation and other factors.

List of used literature 1. Kotler Philip Marketing management. Analysis, planning, implementation, control. - SPb: Peter. -2011. - p. 17.

International scientific journal "SYMBOL OF SCIENCE"

2. Kotler Philip Marketing management. Analysis, planning, implementation, control. - SPb: Peter. -2011. - P.18.

3. Tappaskhanova E.O., Tokmakova R.A., Khandokhova Z.A. Development of branding strategies for the teenage market. // Practical Marketing. - 2015. - No. 3. - p.22.

4.A.V. Korotkov, I.M. Sinyaev. Marketing management: textbook. manual for university students studying in the specialty 061500 "Marketing" - 2nd ed., revised. and add. - M .: UNITY-DANA. - 2005.-463 p.

5. Tappaskhanova E.O., Bischekova F.R., Dandokhova Z.A. Peculiarities of teenagers' purchasing behavior in the KBR market // Practical marketing. - 2014. - No. 11.- P.21.

© E.O. Tappaskhanova, M.Z. Sherieva, 2015

Tolmachev Vladislav Pavlovich,

Bachelor of the Faculty of State and Municipal Administration, FGOBU VO "Financial University under the Government of the Russian Federation" Moscow, RF

email: [email protected] Chin Duc Bach,

Bachelor of the Faculty of State and Municipal Administration of the Federal State Educational Institution of Higher Education "Financial University under the Government of the Russian Federation" Moscow, RF

email: [email protected]

MAIN PARAMETERS OF THE ORGANIZATION OF THE BUDGETARY SYSTEM OF THE CITY OF MOSCOW

Annotation.

Currently, more and more attention is paid to the issue of the budgetary system. Moscow is the largest nationwide financial center of the Russian Federation. In the article, the authors consider the main parameters of the organization of the budgetary system of the city of Moscow.

Keywords Budget, budgetary system, Moscow

Today, Moscow is the largest nationwide financial center of the Russian Federation. More than half of the registered banks in the country are concentrated in Moscow, and the offices of the largest companies are located. The budget of the city of Moscow can be compared with the budget of average states. Now a lot of attention is paid to the issue of the budget of the city of Moscow: how to increase the sources of budget revenues, with the help of which it is possible to reduce the level of the budget deficit and how to achieve a surplus.

Currently, there are many definitions of the concept of "budget". But most often, the budget is understood as the formation and spending of funds intended to finance the tasks and functions of an organization, state or local government.

Another definition of the concept of "budget" is as follows: "... the budget is public economic relations that mediate the process of formation, distribution and use of the centralized monetary fund of a certain state-territorial or municipal entity, which is at the disposal of state authorities or local self-government, intended to finance the general tasks of the territory and is the main financial plan, approved by the relevant legislative (representative) body in legal form ... ".

In the opinion of OV Rublevskaya, MV Romanovsky, ". The budget is defined only as the main financial plan of the state for the current year, having the force of law."

Prokhorenkova L.Yu. defines the budget, "on the one hand - as the main centralized fund and a system of monetary relations, on the other hand, as the main financial plan of the state, an estimate of income and expenses." Therefore, we can say that the budget represents a certain

1.2. Relationship between product and brand. Brand strategies

The decision regarding the trademark is an important strategic decision in the field of the company's product policy, which determines the presentation of the product on the market, its place in the minds of buyers. Traditionally, marketers distinguish three levels in any product (Figure 1.3):

· Product by design - a way to solve a problem, the main benefit for the sake of which a consumer purchases a product. This basic benefit or functional utility is provided by each brand in a given product category. This is the measurement of time for hours, the movement of goods and passengers for a transport company, etc .;

· Goods in real performance - external design, brand name, packaging, quality level and a set of other consumer properties that together determine the benefits from the purchase of goods. Brand is the most important, but not the only factor that forms the second level of the product;

· Goods with accompaniment - additional services and benefits for the consumer, created on the basis of the goods by design and goods in real performance (guarantees, delivery of goods, terms of payment, etc.).

Figure 1.3. Three product levels

Consequently, the commodity turns into something more than just a set of objective material characteristics. Consumers tend to view a product as a complex set attributes or benefits that meet their needs.

The term "attribute" literally means an essential feature, an integral part of an object. J.-J. Lamben believes that attribute denotes the benefit that the buyer of the goods is looking for [Lamben, p.108]. This term adequately describes the components of both the second level (product parameters in real performance or necessary attributes) and the third (a set of services accompanying the sale of a product, or added, reinforcing attributes).

All types of goods of a certain product category provide the basic benefit to the consumer in an almost uniform way, since competition and the speed of dissemination of scientific and technical innovations neutralize differences in technology. Therefore, in a significant number of markets, the choice of the buyer is determined not by the product itself by design or by the underlying benefit, but by how this benefit is provided, that is, the necessary and added attributes provide customer satisfaction.

It is believed that in most cases, buyers are not too interested in the objective characteristics of the product, they perceive a product or brand as a set of attributes corresponding to the benefits sought by the buyer. This perception is a component of the brand image, an important component of the brand.

Moreover, not every objective characteristic of a product becomes an attribute. For example, it is unlikely that the buyer of a TV or other product, which, in Lamben's terminology, has internal qualities (cars, computers, medicines), is interested (and he will be able to understand) the internal structure of the TV, its kinescope and other elements. Most likely, he is interested in the brand of the TV, with which he associates a certain quality, its price or price-quality ratio, the ability to connect video, as well as some aesthetic perception of the TV (2-4 attributes). While the objective characteristics of the TV are significantly greater.

Multi-Attribute Product Concept and Review theoretical approaches Western experts to the presentation of a product / brand as a set of attributes are presented in the work of J.-J. Lamben. The concept of a multi-attribute product allows you to visualize the process of identifying the dominant attributes of a product based on the analysis of objective characteristics of the product and the study of significant consumer benefits (Fig. 1.4.).

Naturally, the lists of attributes differ for different products, moreover, an attribute is essentially a discrete variable, that is, it can acquire different values ​​in accordance with the degree of presence of the attribute in the evaluated brand. But the general trend of development commodity markets and competition is the expansion of the list of product attributes, which become important criteria for consumer choice, and, therefore, serve as the basis for differentiation of brands of goods.

Attributes can be objective (have functional utility), or be products of perception, in the latter case, empirical attributes are distinguished (quality as the most important empirical attribute, the repetition of which is expected by the buyer, purity, freshness) and symbolic (prestige, individuality, other emotional and aesthetic values ). J.-J. Lamben notes that brands are dominant attributes that make it possible to distinguish brands from each other. So, if all brands of goods are sold at a similar price, then in this case the price is an attribute, but not dominant. The dominant (unique) attribute is the brand name. Conversely, if all brands of a product offer virtually the same characteristics and compete only on price, then price becomes the dominant attribute, in which case consumers, as a rule, do not see a significant difference between brands. As noted by J. Angel and others [p. 57], in this case the status of a product category falls to the status of a product group in which no brand has a distinctive advantage.

It is noticed that the perception of goods and their brands by potential buyers is practically based on a small number of comparisons (two or three attributes, which are called macro characteristics).

The brand itself is an objective characteristic of the product, but in order to fulfill its role, it must have a number of attributes. F. Kotler a priori sets such attributes, considering that a brand is a complex multi-level symbol, but in one book he notes six attributes, of which three are dominant, in the other - four attributes, of which two are dominant.

The attributes of the brand, according to F. Kotler, are:

1. Certain product properties with which the brand is associated. The consumer associates a high quality property with many branded goods. In addition, for Mercedes, for example, such properties are reliability, high price, prestige of the car.

2. Product benefits. The properties of the product must be presented in the form of functional or emotional benefits to the buyer (Purity is purely "Tide").

3. Value. The trade mark carries information about the manufacturer's value system (Mercedes strives for representativeness, safety, prestige). The marketer must identify target customer groups that share these manufacturer values.

4. Individuality (uniqueness) trade mark.

At the same time, the most durable qualities of a brand are its value and individuality. It is these qualities that define the essence of each brand.

Unlike F. Kotler, J.-J. Lamben believes that brand attributes should be identified for each target group. The identification of attributes that consumers of a given target group consider to be intrinsically inherent in the product and which are used as selection criteria is an important step in brand formation and management.

The author of this study, by analogy with J.-J. Lamben, believes that the attributes of a product depend on the product itself, as well as the expectations of the target consumer group. Thus, our study of the expectations of consumers of sausages and other meat products showed that consumers are concerned about cleanliness in the places of production of these products... This is an important attribute on which brand advertising can be accentuated.

Consequently, the trademark gives the product, in addition to the functional basic utility, a number of additional attributes aimed at satisfying the needs and wishes of customers, thereby helping to form the image or reputation of the product. Apparently, this is the main purpose of the trademark.

People perceive the presence of attributes in a trademark, use them as criteria for comparing brands, this helps them structure the surrounding commodity reality and, ultimately, facilitates the choice.

The consumer's perception is “the meaning he ascribes to things”. This process takes place on an individual level, so it turns out that each object has a different image for each individual consumer. For example, a consumer may believe that a certain product is of good quality in terms of rational, technical, but at the same time does not like and does not want to buy it in terms of perception (irrational, affective perception).

The perception of the product can be based on one's own experience and personal impressions, collected information, opinions of friends and colleagues, advertising. Perception is an important component of the brand image, although it may not match the true nature of the brand..

But because people act in what they think is right, true reality, whatever it means and however defined, plays less of a role in marketing than perceived reality(perceived reality). It is this perceived reality that shapes the environment in which a particular firm operates. It is believed that goods and brands retain the same image for a long time, regardless of whether it is good or bad, and it takes a long time and great efforts to improve this image [Deyan, p.144].

The vodka market is a striking example confirming the importance of research on perceived reality. In August 1998, pair testing of famous brands of expensive vodkas was carried out in Moscow: Stolichnaya, Dovgan, Smirnov and Smirnoff. Initially, consumers tried different vodkas without a name (closed test), then they tried vodka with a well-known name (open test). The test results are shown in table. 1.2.

Table 1.2

Evaluation of vodka brands

They show that the established image of the brand influences the perception of consumers and their choice among competing brands. Moreover, a well-known brand can by itself not only attract, but also alienate the buyer, regardless of the quality of the product itself. In a blind test, the Smirnoff brand was the undisputed leader in terms of taste, all consumers expressed a desire to buy this particular brand. However, in an open test, the ratings of this brand fell sharply. Subsequent arguments of consumers showed that they consider vodka to be a purely Russian (Russian) product that foreigners do not know how to make (a stereotype of perception). Smirnoff was unable to convince consumers that this was indeed Russian vodka, so consumers massively refused to buy this vodka when they found out what exactly they were trying. This example shows that consumer choice is influenced by formed image of the brand in the perception of consumers.

Market research shows that consumer perception is measurable, that is, consumers are able to express their views on the brands they know. The main measures are the relevance (importance) of the attribute and the degree of perceived presence of the attribute in the brand (Figure 1.5).

The matrix allows you to highlight areas with various problems and, on the basis of this, develop corrective actions for the brand in question. Thus, a strong brand image means that attributes that are important to the consumer are perceived as well represented in the brand. This should be emphasized in the firm's communications policy. The weakness of the brand means that, in the opinion of consumers, an attribute that is important for them is absent in the brand or is poorly expressed. In this case, it is necessary to strengthen the presence of the attribute, or explanatory work, if the attribute is present, but not perceived by consumers in an appropriate way.



Figure 1.5. Attribute Importance / Expression Matrix (Lamben, p. 143)

False forces mean that the attributes are well represented in the brand, but they are not important to consumers. For example, a manufacturer focuses on high quality products, while consumers are interested in fashion compliance.

And, finally, false problems concern attributes that are weakly expressed, but also of little value to the consumer.

From the standpoint of the brand as a set of attributes, the main task of management is to identify and maintain the dominant attributes that are important for potential consumers and are perceived by them as inherent in the brand.

Based on what has been considered, it is possible to compare the product and its brand. Such a comparison will allow to highlight the specific features of the trademark, its main market functions, to determine the role and significance of the brand for its owner and for potential consumers.

A product and a brand are inextricably linked with each other. A brand is an objective integral characteristic of a product - a product in real performance. But on the other hand, the brand lives an "independent life" in the market, has its own distinctive characteristics (Table 1.3).

Table 1.3.

Comparison of the parameters of the product and its brand

Options		Trademark
Purpose of creation	Commercial - making a profit	Informational - identification of a product on the market, its separation from similar products
Process of creation	The product is physically created in the company during the production process	It is not a physical entity, it is created in the market, in the minds of buyers
Specifications	Objective: functional value, complex of consumer properties and services (3 product levels)	Brand attributes: properties, benefits, value, personality
Life span	Obsolete according to life cycle theory	A successful brand lives a long time
from competitors	A competitor can copy. Protection - patent, know-how.	Protected by law (unique). Registration of the brand
Result	Firm's bottom line, source of income	Intangible asset of the firm, source of additional value of the firm and its goods

In general, the role and significance of a brand for consumers is that it allows the identification of goods and their manufacturers, thereby facilitating the choice among similar goods, guarantees the same level of quality for goods with the same brand and that the expectations of customers will be met.

For manufacturers, the trademark largely determines the subsequent advertising and sales activities, protects the brand owner from unfair competition, allows you to expand or diversify the product range without additional advertising costs, since you can spread the brand's awareness to new products. In addition, trademarks help the seller segment the market and increase control over marketing programs. Strong brands contribute to the strengthening of the company's image, provide the favor of intermediaries and consumers.

The specific features of the trade mark allow us to determine its main functions: it is an information-reminiscent function, a prestigious, barrier and economic function (Figure 1.6).

Various types of marketing activities are used by the brand to carry out these functions: advertising, public relations, sales promotion campaigns, pricing and sales policies.

But in order to successfully perform its functions, a newly created trademark must meet certain criteria:

• Protectability, that is, the brand must be unique (individual), which allows it to be registered and thereby provide legal protection.
• Advertising, that is, the brand must be memorable, uniquely identified in the minds of consumers with a certain company or product, and also have such characteristics as ease of use in advertising materials.

The specified functions of the brand can be implemented in various brand strategies. In the most general form, the following brand strategies of diversified enterprises can be distinguished.




In conclusion, we note that the owners of a trademark can be different economic entities, which receive the main economic benefits from the use of the trademark. There are the following types of brands.

The manufacturer's brand, or national brand, is created by the manufacturer and belongs to him. Abroad, such brands are owned by the largest manufacturers (IBM, Mars, P&G, Nestle, etc.), only such brands are used in the automotive industry. In Russia, the overwhelming majority of brands are manufacturers' brands, which is due to the underdevelopment of sales networks and integration processes that allow the creation of joint brands.

A private label, or retail brand, a brand of a store, an intermediary, as its name implies, is created and owned by the intermediary. Abroad, such brands are a powerful competitor to the manufacturer's brands (brands of distribution networks Otto, Mark & ​​Spencer), such brands also appear in Russia, but so far the territory of their operation is limited, as a rule, outside the city, in addition, the brand is often unknown to consumers who are not visit this store. Private labels are not as influential as they are in the west. In Novosibirsk such brands are Artlina, Nonolet.

Licensed marks are often used in the production of clothing and fashion accessories. Manufacturers of such goods acquire the right to use a well-known brand for a fee (royalty).

For example, the well-known Italian firm Benetton sells licenses for the right to use its brands to other manufacturers, it has already signed more than 60 licensing agreements, placing its logos on a wide range of products not related to clothing. However, such a policy can lead to the destruction of the image of the popular brand, as happened with the Gucci brand, originally under this brand were produced luxury shoes and handbags. In the 1980s, the company spread its name and, accordingly, its authority extremely widely, providing the brand with 14,000 different products, including T-shirts, sunglasses, watches, dishes, etc. As a result, the firm was unable to control the quality of all products eligible for the Gucci label, which led to a decline in the brand's prestige, as well as a decrease in sales and profits.

A variety of licensed brands are franchised brands, such as McDonald's, Coca-Cola, etc. An example of a Russian licensed brand is the Dovgan brand.

Joint (combined) stamps are the result of widespread development in modern business of integration processes leading to the pooling of resources of competing firms, the creation of joint ventures, joint products (Taligent is a brand of the alliance of Apple, IBM, Motorola, products under the General Electric / Hitachi brand appeared on the market).

A fresh strategic move is to advertise one brand using the prominence of another, usually the brand of a related product (“XXX is the ideal hair dryer for hair washed with NNN shampoo”, “PPP washing powder is the best product for the KKK washing machine”).

Consequently, the forms and methods of using trademarks are constantly evolving, as are the brands themselves. For effective management of trademarks, it is necessary to take into account the specifics of the market environment in which the brand operates.

So, a brand is an important objective characteristic of a product, but at the same time it has specific features that distinguish it from a product. The main functions of a brand can be realized within the framework of alternative variants of brand strategies. The management choice of a brand strategy depends significantly on the specifics of the market environment and other factors, which are discussed in detail in the next section.

1 Allocation of product categories involves the division of products of the same purpose into groups in accordance with distinctive features (drinks such as "cola"). It is believed that within one category competition between brands is stronger than between products of different categories, that is, consumers easily switch to another brand within the same category. This is the basis of approaches to structuring a competitive market and its presentation in the form of hierarchical structures such as a tree [see. p. 2.3].

2 Kachalov I. Secrets in packaging. // Marketer. - 1999. - No. 1. - P. 22-24.

3 The Italian in America. // Marketer. - 1999, No. 1. - P. 57.

4 Dixon P. Marketing Management. - M .: Binom, 1998 .-- S. 310.