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Brand Identity Prism
(Kapferer)
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KAPFERER represents brand identity diagrammatically asa six-sided prism as shown below:
Inte
r nalis
ation
Exte
r nalis
ation
Constructed Source/Sender
Constructed Receiver
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Physique according to him is the basis of the brand. E.G. the physique of Philips is technology and reliability while for the
brand Tata it is trust
Personality is same as Aaker, it answers the question whathappens to this brand when it becomes a person?
Culture symbolizes the organization, its country-of-origin and thevalues it stands for.
E.G. traditional brands like balsara, dabur and zandu.
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Relationship is the handshake between consumer and theorganisation. E.G. the relationship with safola is safety.
Reflection is the consumers perception for what the brands standsfor. E.G. cokes image more attract youth.
Self- image is what the consumer think of himself. E.G. benz Car owner think that since he has bought the car he is
treating himself to one of the best car in the world.
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Let us understand the model in detail
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What is a Brand???
A Brand is a complex symbol. It is the intangible sum of a products attributes, its name, packaging and price, its history, reputation, and
the way its advertised. A brand is also defined by consumers impression of people who use it, as well as their own experience
- David Ogilvy
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Brand Experience are of Tw o types
Brand Experience
External Internal
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The External Brand Experience include
Name Logo
Advertising Brand Identity Environments Products & Service
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The Internal Brand Experience include
Business Process Customer Relations
Brand Values Training Quality Staff Motivation
Recruitment Policies Technology etc..
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Now let us look at the Brand Identity Prism based on Kapferer model
and the 6 key dimensions in it
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Inte
r nalis
ation
Exte
r nalis
ation
Constructed Source
Constructed Receiver
-Business Process -Customer Relations-Brand Values -Training-Quality -Staff Motivation-Recruitment Policies -Technology etc..
-Name -Logo-Advertising -Brand Identity-Environments -Products & Service
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Physical Product features, symbols & attributes
Personality Character & attitude
Relationship Beliefs & association
Culture Set of Values
Reflection Customers view of the brand
Self-Image Internal mirror of customer as user of brand
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Let us now understand the prism with some examples
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For Sify Ind ia let us look at how they have built the brand basis theKapferer Model
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Sify India Physical
Kite Symbol, Online Access
Personality Innovative & Tech savvy
Culture Customer centric & Indian
Self -image "net" way of life empowered
Reflection Consistent & dependable performer
Relationship Best guide to the net
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Let us now understand the prism in more detail with a case study Adidas
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Case Study Adidas (1)The company Adidas was founded in the early 1920s as Gebruder Dassler Schuhfabrik, inHerzogenaurach in Germany. Adolf Dassler designed a pair of sport shoes in 1925 and few years later
he and his brother Rudolph were selling special shoes for tennis players and began design specificshoes for different sports. The family company split in 1948. After the split, Adolf (Adi) Dassler founded
Adidas and his brother Rudolph founded Puma. The three-stripe logo was designed in 1941 by AdiDassler and he registered it as a trademark for Adidas after the split.
The strength of Adidas was its product innovation. Adi Dassler registered more than seven hundredpatents. Adidas began selling its shoes in the United States after 1968 and in few years the companydominated the American market. The most important marketing breakthrough was the active promotionof global sporting events, especially the Olympics. The connection of Adidas to the Olympics has a richheritage. At the 1972 Olympic game in Munich, every official wore Adidas.
Activities: manufacture and distribution of textiles, shoes and appliances for sport and related products. Adidas has 107 subsidiaries in 20 countries, and exports to 160 countries. Exploitation of the registered
trademark Adidas is made where ever it is an opportunity. Activities of the company and its subsidiaries are directed from Adidas-Salomon AG's headquarters in Herzogenaurach, Germany.
Products: Adidas - Footwear, apparel, and hardware such as bags and balls. Salomon - Winter sportsincl. skis, snowboards, snowblades, ski boots and bindings, inline skates, hiking, apparel. Mavic Cyclecomponents, Bonfire Snowboard apparel. Arc'Teryx - Outdoor apparel, climbing equipment, Clich Skateboard equipment, footwear and apparel, Taylor Made-Adidas Golf - Golf equipment, golf apparel,
golf shoes and finally, Maxfli - Golf balls, irons and accessories
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Case Study Adidas (2)In the early 1980s Adidas has sales of $1 billion, and their brand-building model began to lose power.In America, the largest sports market, Nike had built a successful business in part of riding the
explosive growth of running and jogging among casual users. Adidas focused mainly on athletes inteam sports so they did not participate in the boom of the 1980s. Mostly therefore Adidas wasovertaken by Nike at that time.
In 1990, Adidas was holding on to just a two to three percent share of the U.S. market. Between 1988and 1992 Adidas total sales dropped from nearly $2 billion to $1.7 billion. In the same period, Nikes sales went from $1.2 billion to more than $3.4 billion. From being the U.S. market leader in the late1970s, Adidass market share dropped to 3 percent in 1992. The European market shares dropped while Nikes shares grew.
Adidas also have had problems with the upstream value activities in their value chain. Traditionally, thecompany have their own factories and wholly owned subsidiaries. What happened in the '70s andforward, during the Adidas recession, was that Adidas was unable to ship products when it was
needed, and they had a long supply chain - it took 18 months to get a new shoe into the market. Thistime is now reduced by 50%. Methods used are e.g. reducing transporting times trough bypassingwarehouses and deliver directly to retailers. Today Adidas aims to have new products closer to themarket.
In 1997Adidas AG acquired the Salomon Group with the brands Salomon, Taylor Made, Mavic andBonfire. The new company is named Adidas-Salomon AG.
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Research Problem
The strategies of Adidas were based on advertising, sponsorship programs for team end eventsand sub-brands
Among the similarities between the campaigns for Adidas and Nike we can see their strategies toadvertise in a huge scale One difference is that Adidas Endorsement program is focusing on major global events, sports
associations, and teams, and Nike, in contrast, focuses on individual athletes and their success While Nike have Nike Town shops in the bigger cities in the world, Adidas have created The
Adidas Streetball Challenge which started out in Germany 1992 and five years later it had over500.000 participants
In the finals in Germany it attracted 3200 players and 40.000 spectators Both Nike and Adidas began their turnarounds by developing a brand identity In each case, this exercise led to a focusing of the brand and initiatives that built the brand in new
directions
How have Adidas used the instrument branding, and which roll did it play in thecompetition between Adidas and Nike?
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Now let us do a Comparative analysis through Kapferers Prism model
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Two aspects of Brand Identity
Sender Receiver
Physique Personality Reflection Self-Image
Kapferer meanswhat the central
purpose of the brand
is (that is what thebrand does)
Kapferer means thesoul of the brand
Kapferer means howthe individual in the
targeted groupidentify himself as aperson in relation to
the brand
Kapferer means howthe individual in the
targeted groupidentify the brand inrelation to himself
Two dimensions are still left to be explained in the prism, the Relationship and the
Culture
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The Relat ionship is, according to Kapferer, externalizing the brand from thecompany outwards, and the culture is an aid for internalizing the brand in theorganization and in to the conscious of the customer
The Cul ture is, according to Kapferer, the strongest dimension in the prism. Itrepresents the difference between one brand and another
Now let us look at the prism of Adidas and Nike
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Adidas
Picture of Sender
Picture of Receiver
PersonalityTraditional, conservative,collective
PhysiqueSports and fitness
RelationshipQuality and heritage CultureEuropean, Traditional
Inter n
alization
Exter n
alization
ReflectionTrue sportsmanship, Agood team player, Strong
work ethic
Self ImageRelates more to competingthan to winning
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Nike
Picture of Sender
Picture of Receiver
PersonalityLike Jordan, Woods PhysiqueSports and fitness
RelationshipSponsorship, ethics Culture American, Just do it!
Inter n
alization
Exter n
alization
Reflection Aggressive, provocation,in- your face
Self ImageCool, I am an athlete
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Adidas
Picture of Sender
Picture of Receiver
PersonalityTraditional,
conservative,collective
PhysiqueSports and fitness
RelationshipQuality and
heritage
Culture
European,Traditional
Inter nalization
Exter nalization Reflection
True sportsmanship, A goodteam player, Strong work ethic
Self ImageRelates more to competing than
to winning
Nike
Picture of Sender
Picture of Receiver
PhysiqueSports and fitness
Inter na
lization
Exter na
lization
PersonalityLike Jordan,
Woods
RelationshipSponsorship,
ethics
Culture American, Just do
it!
Reflection Aggressive, provocation, in-
your face
Self ImageCool, I am an
athlete
Comparative Analysis
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Comparative Analysis (1) Nike centred their brand equity model on the platforms, the endorsement focus strategy, creating a
dominant media presence, development of Flagship stores, Nike Town and sub-branding
The Adidas strategies were based on, endorsement focus strategy, advertising, sponsorshipprograms focusing on major global events, sports associations, and teams, and sub-brands To create brand awareness both companies have been using endorsement strategies in their
brand-building programs What differs is that Adidas focuses on sponsorship of teams and events e.g. national teams and
big sport events like the Olympic Games and different World Championship events. This will helpthem to create awareness with help from different types of media
In contrast Nike has their focus on individuals like M. Jordan and T. Woods and their successstories About the second strategy, advertising Nikes advertising strategy was to create dominant
presence in media. Nike created media presence in several trend setting United States cities. TVads linking Nike to a city were used, but real drivers were huge oversized billboards and murals onbuildings that blanketed cities with messages featuring key Nike-sponsored athletes, not products
Adidas took up the competition with Nike through raising their advertising budget to a level that
made it possible to compete with Nike on the same conditions and the same strength as Nike didto capture the consumer interest Adidas did not just spend more money; they made an impact with brilliant executions. They
made TV and other advertising campaigns. The company communicate their heritage ofinnovation, technology and big success stories with personalities like Emil Zatopek, Mohammad Ali
Adidas tried to spread meanings like We know then - we know now and There is nothing betweenyou and success, so exceed your own expectations and limitations and Earn it
The success was obvious and after hard work and striving toward a top position in the industry Adidas was back in business.
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Comparative Analysis (2) Nikes third strategy was to develop, flag ship stores, Nike Town shops in bigger citys, first
national, and then abroad Nike was the first company to establish flagship stores and it turned out to be a sensation Adidas choice was to experiment with sport events, with which they made great success.
Examples of that is the Adidas Streetball Challenge a local three-person team basketballtournament, this event started out as a trail in Berlin in the beginning of the 1990s as one timeoccasion
In the mid 1990s it had become a huge sport event with about 500.000 participants all over thebigger cities in Europe
In the finals in Germany it attracted 3200 players and 40.000 spectators Adidas made hereby a brand-building success The Nike customer associated the Nike brand with words like sports, attitudes and life style.
Reasons for that is one can relate to or identify one self to Nikes marketing campaigns like Justdo it and the companies front athletes like Michael Jordan and Tiger Woods. For Adidas oneimage study of consumers found the brand very trendy, modern and cool
The survey was made in late 1990s. All marketing actions that both companies are implementing
will hopefully result in loyal customers Adidas introduced a sub-brand in 1990 to serve the high-end products for all categories of shoesand apparel. The Equipment sub -brand would represent the best, whatever the product was
The low- end products, for the normal consumer still have a high technology and level ofinnovation because of their inheritance of the older innovations and technology from the Equipmentline
This strategy made the Adidas brand take on a different meaning; it still meant participation,
emotion and performance
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Comparative Analysis (3) This was a success strategy for Adidas so successful that Nike copied their idea and introduced
their own line, the Alpha line, based on the same idea Nike advanced from $1 billion dollars in 1986 to $ 9.9 billion in 2002, Adidas advanced from $1.7
billion in 1992 to $4.8 billion in 1998 According to sales figures for the both companies, it seems that both Nike and Adidas companies
have succeeded to create a brand loyal customer who perceives the Nike and Adidas products astop quality
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Conclusion (1) Both Adidas and Nike have used the same theoretical systems to create their brand building
programs The companies are benchmarking each other, using the techniques from each others successes,
when Nike launched their sub-brand product Alpha line which was benchmarked on Adidas alreadylaunched sub-brand of the Equipment product line for the elite of sports men
We can find many similarities like endorsements strategies and the companies advertisingstrategies but what differs in the endorsement strategies is that Adidas focuses in sponsoringteams and global events, while Nike have their center of attention on stars in specific sport likebasketball and Michael Jordan or in golf and Tiger Woods
About advertising both companies have about the same scale and scope of advertising but they tryto communicate different messages
The messages from Adidas is; the only one you compete with is your self whereas Nikecommunicate a provocative, aggressive winner attitude which can be related to the Americansports attitude You dont win silver, you lose gold
As we can understand the two companies are aiming at nearly the same targeted customer groupbut with a slightly differentiation of attitude
Adidas stand for a competing and winning over your self-attitude, and Nike stands for a winningover everyone attitude The differentiation is based on the differences in culture between the two companies and between
Europe and USA As an overall reflection one can see that Adidas had to overcome, that the both companies had the
same target group. Adidas choose a brand-building strategy that built on the same theoreticalcriterias as Nike. But they created a differentiation in identity of the brand (as seen comparing
analysis in the Kapferer Prism Model above) compared to Nike
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Conclusion (2) Adidas had the same strategy within creating equity value to their brand They challenged Nike in endorsement strategy, and in advertising, but with a slight difference in
communicated message, by doing it trough the same medias. To differentiate them self and maketotally own awareness activities, events like Adidas Streetball Challenge was created. Events likethose communicated the Adidas brand around the world
According to the results and positions the brand-building programs have given both Adidas andNike in the sport industry, one can say that branding have been a totally determining factor. On topof that they made it so good that they are used as models in higher education.