Brand Positioning and Brand Equity
Introduction
Brand positioning means the use of marketing technique to identify and differ the products in the various other products. It builds a strong brand and helps the company to reach targeted customers. Brand equity means the position of the company in the marketplace where it is working. It builds in the form of customer loyalty and brand visibility. A brand identifies by the name, logo and the image of that identifies the products that help the company to reach the customers. There are many ways to measure the brand and manage brand equity. The brand also negative and positive influence.
Products of Coles supermarkets
Coles supermarkets is an Australian public retail company that provides the customer with all the types of products which they use in their daily needs. Coles has over 100,000 employees and covers 80% of the Australian market. The company offers various products like
Dairy products: Coles offers a huge variety of dairy products from milk to the cheese. This is intake in the consumer as the daily need for its developing of the bones.
Baby products: Coles offers a wide range of baby products which includes their soaps, shampoo, wipes, and nappies. These are properly tested and recommended by the other authorities that they are god for the skin.
Fresh fruit and vegetables: It buys the fruits and vegetables from the local producer that are among 350 growers of Australia. In this area, the company should achieve great success.
Meat: The fresh beef, pork, lamb and other varieties are Australian grown. The grown vegetables help in meeting the taste requirements of the consumer.
Liquor: At the Coles, the company is providing a wide range of variety of liquor for the consumer. The different varieties where it can be bought are the liquor land, vintage sellers, first-class liquor and first choice liquor market (Our products, 2019).
Competitive Information
Coles is one of the leading brands in the lifestyle and retail sector. The Coles is the brand that ranks 5th in the market position of the retail sector. It has the main competition with the Woolworth Company that ranks 4th position. The brand value changes in Coles is higher than that of Woolworth. The brand value change is 30.9% in Coles and 23.1% in Woolworth. The products of Coles are also gaining more recognition in the market. With the help of brand recognizing they almost capture 80% of the Australian market. The various other competitors are Amazon, Target, Walgreens and many others. The products that compete for the most are that of daily use like milk products, meat, fruits, and vegetables.
Environmental Scanning
The scanning of goods evolves that the products are environmentally friendly and the milk and especially the baby products are medically tested. The goods are alcohol-free, fragrance-free, ph balanced and dermatologically tested. The milk products are free from any adulterer items that cause harm to the body of the consumer. The baby products are safe for the sensitive skin of the babies. The packaging used is also to recycle items that can be used more than once after the treatment (Brand Finance, 2019).
Demand
With the increase in the brand position, the demand of the products gets increased with the increase in customer loyalty towards the company. The prices strategy used by the company is ‘Down Down’ it means the prices for the selected goods are lower to increase their performance in the market. This strategy has increased the company sales and production has also been increased but with the help of minimum input. The milk products supplied by the Coles was increasing over the period of time. In 2010 and 2012 the product recorded the highest sales in the market around 2500 million liters. The strategy is perfectly fit for all the consumers because lower price encourages the consumer to purchase more from the market without any hesitation. The selling of goods has been increased by 50 to 200% and the selling of milk products increases even more than the other products. The company also get a higher profit and captures a large market area of Australia using this strategy. There are many other improvements like an increase in the productivity of the assets other than the increase in demand for the product (Kamarajugadda Sandeep, 2012).
Source: (Kamarajugadda Sandeep, 2012)
Market Segmentation
Market segmentation refers to segmenting the market according to the needs of the consumer and the amount of services that are given tailored individually. It requires the separate of the product or different marketing structure. The segmentation was done on the basis of three criteria
- Product forms: The divide should be done on the basis of the products made by the company. The milk products and it offers it for the two varieties that is for the children and the adults. The baby products are tested and especially made for them only.
- Usage situations: The Coles divide the products according to the use that is for the daily use needs and for the luxurious needs. The daily use products has different prices according to the pricing strategy implemented by the organization.
For the successful positioning in the market it is not necessary to develop something new but it is necessary to manipulate the already applying strategies in the market. Positioning strategies can be done against the competitor and the customer who are buying the product of the company. Coles has achieved the brand value growth among all the retailers in the market (Haagenson, et. Al., 2013).
Conclusions
From the above analysis it is concluded that the brand positioning is the main factor that affects the position of the company in the given market area. The brand value can be the enterprise value, business value and the contribution by the brand. The strategies can be put to use to achieve the brand value of the business. In this report there is the detailed analysis of the company Coles and its different market segmentation. The Coles make the product and the pricing strategies that helps in increasing the demand of the product in the market.
References
Brand Finance, 2019. Annual report on the most valuable and strongest Australian brands. [Online]. Brand Finance. Available at: https://brandfinance.com/images/upload/australia_100_locked.pdf. [Accessed at: 21 August 2019]
Haagenson, E., Rajagopalan, B., Summers, R.S. and Roberson, J.A., 2013. Projecting demand extremes under climate change using extreme value analysis. Journal‐American Water Works Association, 105(2), pp.E40-E50.
Kamarajugadda Sandeep, 2012. Analysis of the grocery industry. [Online]. Kamarajugadda Sandeep. Available at: https://www.academia.edu/4615254/Analysis_of_the_grocery_industry_Coles_Supermarkets. [Accessed at: 21 August 2019]
Market segmentation, 2019. Welcome to Coles. [Online]. Market segmentation. Available at: https://www.dlsweb.rmit.edu.au/bus/mk100/html/lect_6.html. [Accessed at: 21 August 2019]
Our products, 2019. Coles supermarkets, Australia. [Online]. Our products. Available at: https://www.coles.com.au/our-range/our-products/baby. [Accessed at: 21 August 2019]