Brand and Packaging: Definition, Types, and Strategies

Brand: Definition and Importance

A brand is a name, term, symbol, design, or a combination thereof, which aims to identify the goods or services of one seller or group of sellers and differentiate them from competitors. The brand is a fundamental aspect of a product strategy; it is the formal identification of the product, in order to differentiate it from the competition. It protects customers and vendors from competitors who want to market products that appear equal.

Elements of a Brand

• Brand Name: The part of a brand that can be spoken.
• Brand Mark: The emblem distinguishes a brand, product, or company and is recognized by sight.
• Logo: Consists of numbers or abbreviations to facilitate typesetting.

Key Features of a Strong Brand

• Easy to learn and remember.
• Readable.
• Associated with the benefit provided by the product or service.
• Does not have a negative meaning in other countries.

Advantages of Branding

• Helps the manufacturer segment the market.
• Makes it easier for the seller to process orders.
• Improves care claims.
• Brand name and registration provide legal protection.
• Exclusive use of the brand name gives the seller the opportunity to attract a group of loyal and profitable customers.
• Good brands help to build the corporate image.
• Allows for product differentiation.

Types of Brands

• Manufacturer Brand: (e.g., Sony)
• Private Label Brand: (e.g., Hipercor)
• Franchise: (e.g., McDonald's)
• Collective Mark: (e.g., INDUYCO)

Brand Decisions and Strategies

One of the key strategies is to decide which brand to use for a product. Options include:

• Individual single brand name.
• Brand and multi-product.
• Brand marks designated by the name of the company along with the product name.

These strategies aim to build brand loyalty among customers.

Packaging: Protecting and Promoting Your Product

The goal of packaging is to protect the product from climatic hazards and risks during transportation. It also facilitates identification and handling in the procurement process and storage. Packaging is defined as the outer covering of the product and plays a significant role in representing the company.

Functions of Packaging

• Protection
• Conservation
• Display
• Promotion

Aspects to Consider When Designing Packaging

• Form/Size/Format
• Design/Style
• Materials
• Label

Labeling Requirements

Labels must provide information on:

• Product name
• Name of the manufacturer, packer, etc.
• Product composition
• Recommended use-by date
• Product content
• Essential characteristics
• Batch number
• Place of origin (in cases of high-power electrical products)