Samsung and Keller’s Brand Equity

Brand Equity Ranking

The Rank of Brand Value in 2017

Samsung Galaxy

Samsung Galaxy

Do you well know about Samsung? We can often see Samsung advertisements in the streets or anywhere. Samsung is highly reputed as its mobile phones and it has been ranked as 6th biggest company in its brand reputation. In this way, Samsung has high brand value and reputation not only in Korea, but also in Europe, USA, Asia and in several different countries in the world. Then, how could Samsung establish such a high brand value and reputation through times? We can find the answer from Keller’s Brand Equity Theory.

First of all, the theory contains 4 levels, and from the bottom, we have a fundamental element “salience”. This is about Brand identity. An entrepreneur basically has to know how people know about his brand and acquire right messages. Thus, the entrepreneur’s mission is to let customers know that his brand is at premium price with noble quality products. If he fails to give a right message to the customers about the high price, customers would wonder why the price is so high. Meaning to say, he has to “demonstrate” how his brand produces satisfactory goods and services to the customers.  Samsung was successful in this mission that they could prove, in the market, that their brand has that “something” to satisfy the customers and naturally, of course, customers accepted Samsung’s price and its identity as a good brand. Moving to second level, it comes to “meaning”. It can be specified in 2 different sections; performance and imagery. It can give societal meanings, with positioning, onto reputation on goods, price, and product quality. For example, when selling a good fashion brand products, entrepreneur makes contribution to society with some portions of their income, then customers can have a pleasurable purchasing experience. Then, customers will more likely to have an affinity and loyalty to the brand. In case of Samsung, they could well build up this “meaning” level. Samsung has a tendency to give people a fantasy over their products by making people think as they know their stuff or they are professional while using Samsung products. Moreover, Samsung makes people to have a high loyalty on them by well activating CSR.

Third level is “Response”. It comes to judgments and feelings which mainly focus on reputation. A company will have good reputation if their visioning goods and services meet the needs of customers, in which this consequence reinforces on brand reputation. Samsung kept upgrading their brand reputation by Samsung pursuing for more professional and higher quality of products than their rival company Apple and providing their products to the customers in needs of their products. Last level is “relationships” which also can be said as “Resonance”. This level is closely related with customer loyalty. If these previous levels were a question like “who are you?”, “what are you?” and “What about you?”, then this fourth level can be a question of “What about you and me”. This level is a step of building affinities between a company and customers. It is also deeply related with resonance conception, if this level is successfully structured, customers have much lesser tendency to move to another brand. Furthermore, if this level is really strongly embedded between a company and customers, in some brands customers begin to form a community for the corporation. Samsung definitely was so successful to have several consumer made communities under them. Through times, Samsung’s efforts to manage the “before purchase service”, “purchasing service” and “after purchase service” were so successful enough to make people to have loyalty on them. Consequently, Samsung could have 7th ranked global conglomerate in the world.

Samsung has strongly structured themselves according to Keller’s Brand Equity Theory and became a highly valued company with high customer loyalty. In 2017’s statistical report, Samsung has 66,219 million dollar brand fund and ranked as 7th biggest corporation amongst several global conglomerates.

Source:

http://www.free-management-ebooks.com/news/kellers-brand-equity-model/

http://brandirectory.com/league_tables/table/global-500-2017

 

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Do it again

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During the years as a university student with the very high expectations for my own results, I’ve made numerous remakes of my assignments – which I’ve first believed to become a success, but later seen a great need to do the assignment in a completely different way that it was supposed to be. This blog text is a creation of one of these situations.

In the ever changing world of advertising and public relations, the beliefs and attitudes of the consumers are playing the most important role of every choice the company is about to do. At the moment we live in a very hectic era, where topics such as refugees, racism and climate change are covering our newspaper headlines all over the world. Due the digitalization, crisis in the middle east seems to be much closer in my thoughts than it used to be for example in the era when my parents used to be in my age.

So it makes great sense why, for example brands such as Ford – which has been a notable company to promote the “American dream” and shaping the way of the infrastructure of the American cities from the early 20’s – are now taking part in a discussion about Donald Trump’s human discrimination ideology. They know what people are talking about and their brand’s original idea of an American nuclear family driving with their products isn’t exactly the sexiest picture to paint on a billboard.

Re-branding might be an excellent way to bring a brand back to life, which has already fallen a bit off the track, since the earlier mentioned beliefs and attitudes of the target groups and consumers have changed. Michael Johnson describes re-branding, in his book Branding in five and half steps, in the following way: “The days of organizations presenting themselves in the same way for decades have long gone. At its most basic level, a re-brand, can for a time, present new approach. But if it’s just wallpapering over the cracks, 21st-century consumers and clients can often see straight through an inauthentic offer.”.

But there’s a fine line between presenting new approach and wallpapering over the cracks, don’t you think?

(Picture: Eeli Rimpilä)
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CSR, for a brillant future.

During 2013, around 1135 Bangladesh workers died. I guess everyone knows « The collapse of Rana Plaza » ?

l-immeuble-du-rana-plaza-effondre-a-dacca-le-25-avril-2013_4885063

Rana Plaza was a sewing workshop for French, English and Spanish multinationals companies.

 

After the disaster, multiple peoples and companies think about how to change the wat of production for fashion industries.

Nowadays, multinationals companies controls one third of the global revenue. Some companies have a revenue more important than GDP(gross domestic product) of one country around the world. The globalization triggered the growth of exchange between companies, so the globalization enhance companies.

But, for Rana Plaza business, it was hard to prove who was guilty of what happened. Who is it ? Multinationals ? Suppliers ? Multinationals don’t accept their involvement in Rana Plaza’s collapse.

Back in 2000, where economic troubles and crisis were increasing, where globalization impacts and human activity damage the environment, and also where the poverty et precarity dominate the population, how to think smart for the next generations ?

The concept of Corporate Social Responsability came out in 60’ because of dangerous impacts on environment, however it got his print in company executives and peoples mind only from 2000.

The companies social responsibility consists to take care of all economics stakeholders.

With the amount of health troubles that companies staff suffer of, quality and safety at work became major axes focused by Companies Social Responsibility. For instance telecommuting, work schedule flexibility, child care directly in the company and more. CSR defend employment discrimination to promote equality between all employees with same capabilities. They apply some policies for religion, disable people. The social aspect of CSR is to give jobs & trainings accessible by everyone that is supported by those policies as well.

People became aware of our ecosystem damages forced to think and innovate environmental sector through circular economy, economic policies and C02 emission restrictions.

On the political hand, multinationals must support democratic values while taking care of the planet that lead to take some parameters in count (climate, ecosystems respects and also human relations).

tina_bio2_large

We believe in responsability, not charity.

We have a good example of Companies Social Responsibility usage: Della is a socially responsible fashion line working directly with a community in Ghana, West Africa. Every product is carefully handcrafted using authentic textiles sourced in the Volta Region. The passionate, talented women and men who create the pieces are given an opportunity to build a foundation for a better life through jobs, education and skills training. For instance, a dress costs around hundred euros, but the major part of the money is spread directly to the production site in Ghana, to make the region better (increasing life quality and conditions).

 

 

In a nutshell, all companies should adopt the Companies Social Responsibility guidelines. It is important that all companies and multinationals do not aim only one goal either it is long or short term. Maximization of incomes is not the only goal to be focused on. The idea of protecting economic actors, employees and the environment is not enough, we need also to have political involvement to come out with new ideas and policies to rule the world in a better way.

Several theories exist as the Relational theory, Managerial theory and Utilitarian theory ; CSR concept do not stop to be improved over the years. We can ask about the CSR limits and how to integrate this way of acting in everyone’s mind.

 

Corporate Social Responsibility: Corporate is business approach that contributes to sustainable development by delivering for all stakeholders.

 

References :

Dellala website

Scientific article

 

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Every childhood is filled with movie theme songs. And today it doesn’t take us long to remember at least one melody, hearing which as a child could make us run across the house towards the TV.

But as we grew older, music started meaning something different to us. We started hearing it more through our earphones and less from TVs. But it’s not because we stopped paying attention. On the contrary, it is quite typical for today’s most successful cinematic franchises, such as Marvel, not to have theme songs. Tony Zhou, a film editor, explains why in his video essay.

But this made me think about all sorts of brands.

I started looking for brands that have memorable, irreplaceable theme songs carrying them just like its logo carried Nike. Sadly, the closest I got was Mac OS’s startup chime.

e2aa56df57d5def320d30dea0c6f832a_rolling-stones-logo-download-rolling-stones-logo-clipart_1600-1067And don’t get me wrong: brands still love using music whenever they get a chance, and it can be quite memorable too. For example, Microsoft used Start Me Up by The Rolling Stones at the launch of Windows 95. But the song wasn’t written for the launch and already had one strong brand overshadowing all possible future associations, which was the band performing it. Songs like this can be quite ineffective for branding because they are uncontrollable. Over time they can start associating with all sorts of things that brands nor their creators could ever predict. For example…

So why don’t brands have their own original theme songs?

Well… Michael Bierut, a graphic designer, once said: “it really is about thinking of these symbols as being empty vessels. And then you pour meaning into them”. He said it about logos, but I strongly feel that it also applies to music in branding. It takes years of consistent exposure to create a recognisable and meaningful brand. And if many try it with logos, why not try with a song? Many movies did it quite well after all.

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The greater good brand

All companies have distinctives features, values and objectives which makes us prefer a brand over an another. These elements create a real identity which we want to be a part of, each person have their own preference : brands design, products qualities, family brands mainly because of their stories, savoir-faire and social brands…

But concerning this last kind of brand, can we estimate that social actions are only for social brands? And did you already hear about CSR ?

CSR means Corporate Social Responsibility and it’s a form of business self-regulation which ensures respect of the law, environment, ethical norms, human rights and consumers. Also there is an increasing number of people who pay attention to brand commitment, CSR using and its impact on the environment or on local populations.

In order to understand more, let’s see why people are attached to these brand’s actions and how much helpful it is. Take the example of Grameen Danone Foods. It’s a collaboration of two business: Danone which is a global agri-food business and Grameen Bank which is a bank specializing in micro-credit. But unlike the usual companies that act Business to Business or Business to Cosumer this one turned towards pyramid markets (BoP) , also this partnership has allowed to create Bangladesh’ factories in order to provide basic dairy products at low prices (around 0,06 euros) for Bangladeshis suffering of malnutrition. In fact this deficiency is a big problem for the country because it affects the majority of the population, who are constantly in the danger of becoming sick very easily, and having difficulties in their studies or work. It’s a real development barrier, but thanks to Grameen Danone Foods actions they can improve their level of vitamins and minerals. It also helps the country development, because it increases the number of employment (more micro-farmers, sales ladies, factory employees…) and their quality of work.

All these actions are a real added value for both businesses,which was possible through the determination of Danone and the micro-credit of Grameen Bank. Who can not like this kind of brand, knowing all the actions it is implementing to meet the needs of the greater good while developing its economy. These actions are not negligible, on the contrary we have to make the opportunity to create more of them,and believe in the potential of every single person.

Prof. Yunus and Franck Riboud sign the joint venture contract of Grameen Danone

Muhammad Yunus and Franck Riboud respective director of Grameen Bank and Danone sign the joint venture contract of Grameen Danone

 

 

Article :

Jebarajakirthy, Charles ; Thaichon, Paramaporn ; Yoganathan, Dhanushanthini

Enhancing corporate social responsibility through market orientation practices in bottom of pyramid markets: with special reference to microcredit institutions.

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