Analyzing Brand Strategies: Vertu, Bezoya, and More
Brand Analysis: Strategies and Components
Vertu: Constituent Levels and Benefits
Commodity: Communication and status contribution.
Tangible Output: Brand, design, product quality, related accessories, and aesthetic benefits.
Symbolic Benefits: Guarantee, impact of butler service on positioning, brand positioning, and premium luxury glamour. Vertu has a strong interest in launching a range of products on behalf of Ferrari, reinforcing brand positioning as a luxury line with exclusivity and higher possibilities of segmentation. Vertu also benefits from Ferrari’s global brand character.
Bezoya Premium: Product Components
Quality: Low sodium content.
Design: Attractive new bottle format.
Brand: Strong brand advantage used competitively.
Customer Service: Via its website.
Packaging and branding are important components. The strategy involves brand extension: a Bezoya brand line, a consistent set of products under the same name, and the Pascual Nature brand. Bezoya is strongly associated with the Pascual brand. All packaging displays the Bezoya Pascual logo, providing a brand guarantee.
Easy Cut: Price Fixing Method
- Discuss pricing margins to adjust costs to the maximum.
- Use a method based on competition, considering the power to fix prices.
Price Fixing Strategies:
- Discounts, for example, when an internet service is acquired.
- Psychological pricing, such as prices cut just below whole euro amounts (e.g., €9.99).
- Competitive strategies, using discounted prices to attract price-sensitive consumers.
Opinion: Price Increase May Vary in Tobacco Sales
An increase in price may be difficult to implement due to varying demand data. Tobacco has an inelastic demand. The elasticity of demand shows the relationship between a percentage change in price and its impact on product quantity demanded, specifically the percentage change of the demand. Consumers are very sensitive to price; small price variations cause large variations in quantity demanded for goods with elastic demand.
Nestle Distribution Strategies
Nespresso (Coffee):
Uses a direct channel: web-based, network of stores, and telephone. Market coverage is through exclusive distribution in the case of stores for both coffee and coffee makers. Multiple distribution is used to serve the consumer through multiple channels.
Senseo:
Uses an indirect channel, both long and short (through supermarkets and hypermarkets). Market coverage occurs through selective distribution. Multiple channels are used to reach consumers.
Positioning:
Nespresso conveys an image of exclusivity, while Senseo feels more popular.
Jauregi D: Channel Length
Aniz uses a direct channel type, meaning there are no middlemen between the company and the consumer. This has caused a destructive conflict, leading to the abandonment of the distribution channel. Different levels within the channel create a vertical conflict.
DL: Mix as a Concrete Element
Steinway uses a Steinway titled artist activity, which corresponds with public relations because it involves creating or maintaining diverse publics to promote a favorable image of their products (advantage: no additional charge).
Media Type: Shackleton
First, Shackleton used direct marketing with its clients. Then, the campaign turned into an action and viral marketing, which can be considered within buzz-marketing.
- Issuer (Shackleton as a first source of communication)
- Consolidation of iJam-concept, image, product, and its packaging.
- Message-emotional.
- Support: mail, internet.
- Channel-halfway between the personal and impersonal.
- Decoding-The client had to assign a meaning to the iJam.
- Receiver-Clients.
- Response.
- Feedback: congratulations, critiques.
- Noise: Video on YouTube, which the company could not control.