Implementation of turkey brand in foreign market marketing essay

‘’Don’t sell customers goods that they are attracted to; sell them goods that will benefit them’’Konosuke Matsushita

Introduction

The sun is new everyday(Aristotle, Metteorologica, B 2. p355a 13 context) , in this fragment Herakleitos illustrate that new coming days brings the change with itself higligthing the instance of change. The reason why l draw upon this fragment is that the unique and best way to survive against the change to create discrepancy. Today, brand, which is one of the best element of competition among firms, has been existed in the lives of people since people started living collectively, however after the human’s power of buying rises , the brand has a different importance on the human beings lives.

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After industrialization and trade agreements, today’s trade is a result of abolishment of barriers and free passage of goods(GATT, 1947). Abolishment of borders brought the highest level of competition between firms that forces the firms to differ. Today’s brand meaning is described as separation of other firm’s products from your own produced products in terms of the name, quality, symbols, logo, package. The concept of brand has been so meaty since technology improved and enabled costumer to reach advertorial knowledge seeking. As a result of people’s increased knowledge and perception level, consumers take the brand as a way of life not a tool. In this part of the study we will be examined the brand concept in terms of today and country.

1. BRAND

After the collapse of trade wall in a positive sense, firms recognized that this condition is so advantageous in their terms, from this moment firms goes to enhance the way of variety of products. At the end, those all conditions makes a new concept to born is Legibility. This element is a kind of road map that advices the firm to deliver its manufactured goods and services to its costumers through its competitors. As a resulf of increasing competition terms and flexibility to enter and exit market, firms started using legibility in order to rise up the sales and create a positive image in people’s mind. Many definitions is made concerns with brand and those all definitions expresses variety views severaly. According to The American Marketing Association which established amalgamated definition of a brand in 1960: ‘’a name, term, sign, symbol, or design, or a combination of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors’’ (Keller, Aperia, Georgson 2008 ). In this definition, is a description intended for product and mentioning about the other factors of brand. There is legal definition for brands which was internationally agreed: ‘’A sing or set of signs certfying the origin of a product or service and differantiating it from the competiton’’ (Kapferer 2008) In this definition, the concept of ownership is been highligted and the meaning of brand which was a sort of way protect the animal stolen past is described.‘’A brand is a set of mental associations, held by the customer, which add to perceived value of a product or service’’(Keller, 1998 ) This definition for brand enables us to understand that brand is more consumer-centric and highlights the importance of mental perception. The brand concept is a result of firm’s products and the knowledge consumers have in their mind related to firm’s products. Two dimensions can be mentioned that make up the brand personality of product. First , physical brand that everyone understands easily; brand name , logo, symbols, even used in the provision of product ; pack, advertisement, slogan, music etc. Physical brand is an element of brand management , yet physical brand is not adequate. There is the invisible part of brand’s essence. That value make up the spirit of the brand is emotional branding. Emotional brand means that differentiate brand from other products and affecting recipient emotionally. In this description , it is clear that brand has two main dimensions called as physical and emotional brand. Physical dimension can be seen easily by anyone due to its apperance , but emotional dimension address to details and emotional points. This description mainly based on emotional perception.( http:// www. yenimarka. com Accesed: 2january 2013)‘’The secret is to provide a place fort he brand in the minds of the desicion marker. The aim is to reach to the mind of desicion maker and to stay there, quickly remembered and the time comes to be strong enough to convience succeed’’(Fisk 2008). In this definition of brand , the perception left in the mind of consumer is the most concrete step fort he image of brand. The most important reason of the description is that first idea made up in the perception is true and will be the last desicion. Brand is a complex structure composed of invisible things. Brand has logo, symbols, identity and personality , but in those all ıf you say what is the sine qua none of there , we can say that the brand promise. Each brand must promise anything , should prove a benefit. Brand , the more accurate words, is a sort of contract formed among producers and consumers. İmpossible a brand without parole , it is just a product.(Borça Güven, ‘’Arçelik I am telling you’’feuilleton, Money magazine 2003) In this definition it is emphasized that the definition of brand’s classic promisees something and in order to be a brand it should have something need to promise. To illustrate it with an example , the perception of car purchasing can be given. Human being purchase BMW due to the belief of its confor and quality through the promises. The opposite situation is FİAT cars that could not provide its promises so that consumers thinks about the brand that less quality , low prices and less confor. Finally brand definition is made by de Chernatony(2001) ” an identifiable product, service, person, or place augmented in such a way that thebuyer or user receives relevant, unique, sustainable added values, which match their needs most closely (de Chernatony 2001, p. 6)”. Furthermore, the spelling, using and the meaning of brand(marka) are the same in Turkish language and Polish language.

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1. 1İmportance of Brand

Montaigne(1993, turkish version Sebahattin Eyüboğlu) specifies in his trials that he doesn’t like higgle and barganing process and this process frets him. He just wants to take what he wants as soon as possible and get out. In the meantime the idea of Malcolm Gladwell(Peter Fisk 2008) who is to take what comes to mind first, what is the basic of that idea ? İt is just the perception firms created is brand. Kapferer(2008) uses a question to look for an answer to why the importance of brand has a strategic concept. The question is why do customers purchase your goods that has a higher price than any other ? Answer ; beliefs and loyalty that are created overtime. According to Kapferer, thanks to strategies firm uses in times , faith and commitment created by firm enable customers to pay extra and creates pay extra feeling that provides extra benefits to the company. Based on that , the companies seted up strong brand provides much more adventageous than competitor which are not able to create brand feeling. Those all mentioned opens the door of finance which means the sales and customer numbers rise suddenly for the firm creates a strong brand. At the other hand , In terms of countries the condition is the same. The brand provides possitive or negative affect not only for the firm but also for countries. If the brand has a strongly positive effect, the country of brand will benefit from that positive effecr. Today , ın modern world , wars are not only being done with guns , but also with economic factors. As it is approved that the USA is the superpower of the world , the eight first companies listed in 2012 top brands ( By Interband ) are American. The significance of branding is unquestionable, particularly for the small business. Products which are known and worth to trust by consumers tends to be more attractive. Well defined and strong brand, gives  competitory advantage in the market. Therefore, it allows to charge more for product as consumers will remain loyal. That is consequence of coherent reinforcing of the brand providing positive reactions from the consumer. One way of attracting new customers is branding. İf customers come to the company because of all things that were heard about the product and business of it, then tends to be certain they are willing to buy something. Moreover, running marketing campaigns enables to create a wide net to gain sizable amount of customers. From there marketing employees are focusing with those leads to determine which company is really serious. Actions like these are costly, timeconsuming and bring uncertainty according to customers. On the contrary, branding is about attracting serious buyers at once.

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1. 2 The Importance in Terms of Consumers

The brand connotes different meanings in terms of consumers. According to the current points the brand may provide statu whereas the brand may just be a tool of meeting need. To illustrate it with an example , the brand just enables us to know the product and the name motivates us to purchase the product. If the consumer needs a television , he already has a brand in mind. The unique step consumers take is to purchase the TV. The firm distinguishes it self from other firms due to the brand and providing seperation. Provides confidence to the consumer if it is installed on the robustness of the brand image of your mind. The brand creates an positive and effective image in people’s mind and that ables the company to market the products easily. If we get the topic of Appel’s products , anyone could purchase the product of Apple because of the belief in quality , service and name of brand. Brand help customers indicate responsibility to direct manufacturer or distribtionBrand help choosing product help make decision about productReduction of riskReduction of searching (Keller , Kevin Lane (2008) )The main drivers of now a day’s explicit customers are: product quality, consequence, perfofmance, features, design and style. Consumers demands branding becouse of it’s facilities in discern product from milion avaiable in market. Additionally, the overwhelming variety of accessible products become difficult and forces customers to making decisions on the ground of price, quality, stylishness etc. This is part where branding resolve the problem of differentation for the customer. Therefore, google has perfectly implemented branding strategy, which complemented one of the most glouriously operative branding strategies carried out by the human.‘’High brand equity allows a company to enjoy reduced marketing costs because of high brand awareness and loyalty, gives a company more leverage in bargaining with distributors and retailers, permits the firm to charge more because the brand has higher perceived quality, allows the firm to more easily launch extensions because the brand has high credibility, and offers some defense against price competition’’.(Kotler, 2000 p189)Provides confidence to the customersDifferentiates the products from other products, provide diverstyCreates the perception of qualityAssist the desicion to purchaseEnables producers and consumers to contact

1. 3 The Importance in Terms of Firms

To make success in branding, there is need for understanding prospects, needs and wants of customers first. For achiving this integrating brand strategies through the company on each point of public contact is the key. Brand must setle down in the subconscious of clients, customers and prospects. Result of this is amount of experiences and perceptions, which are susceptible to the influence of the brand or not. As the fight for customers is increasing day by day a strong brand is pricless. It’s cruciual to devote some investing in reaserching, building and defining your brand. All in all the brand is a place of a promise to the consumer. It’s basicly form in marketing communication and neccessery thing that can’t be ommitted. For that reason it is understendable that branding is not only about convincing target market to choose your brand beyond the others. The main poit of it is to demonstrate the brand as the only one which can solve the problems of the customers. .(Laure Lake , http:/about. com guide Accesed 4 january 2013). The brand can provide some positive values and conversely some negatives. For instance, some companies are not able to manage their most valuable asset – brand. Margaret Webb Pressler in ” The Power of Branding,” (Washington Post, July 27, 1997) gave an example of the Snapple brand. ‘’ Snapple brand almost as soon as Quaker Oatsbought the beverage marketer for $1. 7 billion in 1994. Snapple had become a hit through powerful grassroots marketing and distribution through small outlets and convenience stores. Analysts said that because Quaker did not understand the brand’s appeal, it made the mistake of changing the ads and the distribution. ‘’ In the consequence, as Snapple lost a significant part of the of Money and share market, in 1997, Quaker sold the company to Triarc for $300million, which since revived become floundering brand. (Margaret Webb Pressler, ” The Power of Branding,” Washington Post, July 27, 1997)

These objectives that a good brand will achieve include:

Provide the message prominentlyConfirms your credithworthinessAttachs your target prospects emotionallyİncentives the buyerReinforce User Loyalty(http:/http://www. scoop. it/t/the-world-s-strongest-brands/p/1268834652/http-marketing-about-com-cs-brandmktg-a-whatisbranding-htm)Since 2005 , Apple has passed on the rise and after 2012 he has a significant increases in the technology market approved by the interbrand 100 world brand datas. According to the last datas announced by ınterband , Apple has the brand value of 76. 568 m $. Apple proves the idea which is a strong brand with a strong strategy can take a high place in anywhere. Source : FutureBrand AnalysisThis chat shows how a strong brand play an important role in the total shareholder returns. Weakly branded firms follows strongly branded firms behind.

1. 3 The Importance in Terms of Countries

Thanks to the value created by the brand that provide a couple of plus value to the existing geography. If we classify ; Export benefitsPositive impact to balance of tradeEmployment benefitsPositive image for the countryContributes benefits to TourismProvide cash flow to economy of the countryServes as a cultural ambassadorChange the social perceptionToday , firms don’t represent just themselves with brands created by the firm , at the same time they represent the countries to which they belong. Perhaps the most striking example of this concept is Chinese goods. In our country , China is not just a country in the mind’s people at the same time it is a kind of perception in the minds that the products they produced as the cheapest and non guality. Because of that perception , quality products produced in chinese are not demanding. If we take the subject in this repect , in the process of entrenca to european union for turkısh republic not only goods and services sectors effecting , but also some other brand values should be created like art , sport , etc. in order to remove the negative image over europe countries to be approved entrance. Investments on such sectors will help the country to take effectively. Orhan Pamuk brought a possitive impact to the image of Turkey with wining the Nobel Prizes in 2005 in the field of literature. Being the third in the FİFA world cup also gave a possive image to Turkey in terms of being known with sport , art , and other sectors. Simply , some fotball players like Okan Buruk , Emre Belozoğlu , Hakan Şükür, Arda Turan, Hidayet Türkoğlu those all known well in the world and that brings benefits to the country in the sense of being known with good issues. The most important brand is Barcelona due to the numbers of tourists visits with regards to the sport activities , sponsors for Barcelona team. A few well known brands of Sweden and Switzerland makes the countries to be popular in terms of economic , social and life. The opposite situation for countries like India , Russia , Brazil and Indonesia where no global brand existed , that causes such countries not to be known well and grown. Those all countries has a high potential market in itself and does not need to any deman outside. Some small countries where have a global brand looks for a potential markets to market , sale its products potentially. Big companies has strong brands , however those firms doesnt seem good at exporting the goods. Those companies turns to subcontracting to the countries where they believe safe. Philip Kotler is asked about the branding , branding strategies and the importance of brand to country of Turkey. He answers that Turkey certainly should not think about miss the branding train. Turkey should continue to subcontracting and by the time it should create its own global brands that can take the country to be known outside. For instance , Sanyo in Japan started to grow with subcontracting , as soon as it reached its capasity and knowledge , it started to create its own brands. Kotler(Philip Kotler, http://www. capital. com. tr/turkiye-global-marka-yaratmada-ucuncu-asamada) expresses that the creation of global brand is made of six steps and higlighting the third of those six is Turkey.

FUNCTİONS OF BRAND

According to brand strategies created before the brand occured , each brand has a function without looking ıf the brand is in good or service sector. These functions determine the purposes of the brand. According to consumers , the main point is to reach the right product , whereas for producers is to minimize the cost. According to Hollensen(2011 global marketing fifth edition) brand has got 4 function and these functions have got the same goals: to create new sales or crank up repeat sales(keep customer loyal) and these functions are : To distunguish a company s offering and differentiate one particular product from its competitorsTo create identification and brand awarenessTo guarantee a certain level of quality and satisfactionTo help with promotion of the product1. Discriminant FunctionDistinctiveness is one of the most important reasons why the brand is existence. Brand is one the essential point that distinguish goods and services produced by enterprises from other producers. Because of ever consumer’s owning unique character and perception mechanizm , the brand with the speciality of distinctiveness conveys the product to consumers by distinquishing it from competitors and other products. Blind test for Coca-Cola and Pepsi would be a good example for that. Neurologically , when subjets drank Pepsi , the brain’s reward center ( ventral putamen ) acted five-fold higer , ıf the results were announced that all participant prefered Coca-Cola. (Fisk, Peter 2008). According to the result of research , Coca – Cola provisions the distinctiveness which is the existence of brand with implemanted strategies. How the product is perceived by consumer namely brand is the point , not the difference in taste2. identification and brand awarenessKapferer(2008) defined identification ’’ To be clearly seen, to quickly identify the sought-after products, to structure the shelf . Based on that statement , the identity the product creates in the mind of consumers fronts the consumers rapidly and directly to the brand. For instance , when any consumer goes to supermarket , the shock on eyes an alcohol brand in the long alcohol shelfs. Selective perception is the result of highligted identity created by brand. Brand awarness is a concept describes that how strong images in the mind of consumer created by brand and as it is compared by consumers with other brands is the point of the brand.. According to Aaker(1996 pg 114-115)Awaraness is an significant and sometimes underestimates(undervalued)fundamental(component)of brand equity. moreover, awareness can affect perceptions and choices,’’Brand awareness reflects the salience of the brand in the customers mind’’ Additionaly, Aaker defined levels of awareness these are : Recognition(Have you ever heard of BEKO?)Recall(What brands of white-goods can you recall?)Top of mind (the first-named brand in recall task)Brand dominance(the only brand recalled)Brand knowladge(I know what the brands stands for)Brand opinion(I have an opinion about the brand)These two functions enables to increase the possibility of choosing brand , ıf the right strategies implemanted by brand and that means the lives of brand continues. Plays a key role in ensuring the stability of the brand. In addition , according to a research conducted in Turkey called the first brand comes to mind , (Nielsen March 2011)(www. nielsen. com) the first three rows are : Arçelik(%18. 1)Adidas(%8. 4)Ülker(%6)The reasons for this will be explained in detail in the following sections. 3. . Guarantee FunctionAs we mention above Kapferer(2008) defined Guarantee function of brand: ‘’ To be sure of finding the same quality no matter where or when you buy the product or Which is an important concept in this statement , the brand will provide the current standards today and tomorrow wherever it is purchased. Guarantee concept can be evaluated as a promise to consumers given . After consumers identify which products to buy , it is usual for consumers to purchase the brand they are familiar to. Therefore , ıf the consumers don’t find the same level of quality and satisfaction in their permanently used products , İt is normal that consumers front to other products means competitors. That condition causes the firm to lose brand value , otherwise by gaining the condifence of consumers , consumers start to call the product not with its name , with its brand. For instance , in Turkey , tissue is called not with its name , with a brand name of Selpak. 4. promotion functionAdvertising function of the brand is becoming more and more important because of the high number of company in the market and consumer habits. Functions of the difference one of the main function of brand has a characteristics fuction which is to provide reinforcement. It provides to remain in the mind of customer for more than and allow customer psychologically to remain loyal to the company. Diesel company would be a lovely example. Slogan which was used in the last clock advertisement is ” to be brave ” invites consumers to nevre oneself. That slogan carries the product in a different part of the perception of consumers. As consumers wear a diesel clock , it causes consumer to believe that he is brave. Pursuan to Sami Karahan when selecting the brand to be used , some proactive words should be used such as hard imitation , conducive to remain under consciousness , easy to read . KARAHAN S., Ticari İşletme Hukuku, 18. Basım, Mimoza Yayınevi, Konya, 2009 s 167 168)On the other hand, According to Kapferer(2008)’’Brand doesn t provide just information of source but performs certain other functions which justify its attractiveness and its monetary return (higher price) when they are valued by buyers’’. and the question is what are these functions, How does brand creates value in the perception and eyes of customers. Kapferer(2008) defined these function in 8 step and these are : İdentificationPracticallyGuaranteeOptimisationBadgeContinuityHedonisticEthicalAll these functions serve for customer benefits furthermore everystep has got different meaning and benefit in the eyes of customers. İdentification: ıt’ s obviously seen,: to determined number of products demanded furthermore to assess sought- after products. Practically: loyal customers are willing to buy products demanded from particular brand . thus to provide them energy and Money savings. Guarantee: ıt s expected that, Customers always look forward to find same quality and satisfaction from product or service. this function helps customers to avoid from uncertainity. Optimisation: the significant idea from perspective of customers is to buy products which are the best for their needs. Badge: The Brand is the thing which exists in the customer mind and this perception is thus represeted to others. Continuity: If customers get satisfaction from the brand this occurs a relationship between consumers and brand for long years. Hedonistic: brand attractiveness creates magnetism on consumers which is linked to ıt s logo communication and successEthical : All activities are related with social responsibilty, are done by brands make up positive effects on customers perception through ecological, citizenship…Basically, The first two functions facilitate consumer choices and saving of time. these functions are the basis of brand essence. ıt also creates symbol facts on customer perception. next three functions decrease the perceived risk. the last three functions are associated with reponsbility of brand on consumers. Moreover, This table defined the relationship between brand role and distributor s own brands market share.