Final Customer Purchasing from the Product Producer

Use Steps: Use steps include all the customer's value added activities or the consumption of the product itself. These steps include all the costs the customer incurs in employing the product in its intended use.

C.
Experience: Enhance the experience the customer has with the product

3. Increase the customer's sense of security with the product

C. Your investment is safe

Use different brands for different price points

No. SIC Year Note
1 0 2003 The use of sub-brands and endorsed brands help handle situations where the corporate brand is stretched. However there are challenges that corporations still face. Corporate brands are trying to stay relevant, create value propositions, manage negative associations, adapt the corporate brand to different contexts and make the corporate brand identity happen. A brand's boundaries directly affect the relevance of the brand and its potential to extend into new product markets.
2 2084 2002 Ravenswood Winery has produced a Vintners Blend. The collection is fruitier and easier to drink and retails for about $7 a bottle. 400,000 cases are produced a year. There is a pricier line, the Vineyard Designated Series which sells for about $50 a bottle.
3 2200 2003 Springs Industries, the textile maker, uses the Wamsutta brand for its upper-price-point products.
4 2300 1997 Levis is waking up with a move to pump up its Silver Tab brand, the eight-year-old brand considered more stylish among young consumers.
5 2389 2002 Levi is also introducing a new sub-brand called "Type One". This new sub-brand is distinguishable from the "red tab" line in that in includes lower-slung fronts, narrower knees and extra-wide flares. This sub-brand will sell from $35 to $95.
6 2851 1992 Sherwin-Williams has aimed its individual brands at specific markets and priced them competitively–different within each market.
7 3531 1985 Cat is turning its attention to broad-scale marketing of smaller equipment that it already sells. It has grouped its smaller machines under a single marketing umbrella and is selling them as the Century Line.
8 3674 2003 Until recently, Power Integration's products were in 15% of a then-$700 million addressable market. Those products included its mainstay TopSwitch for the high end voltage market and TinySwitch I for the lower end.
9 3711 2000 BMW has announced a plan to build an entry-level compact under the BMW marquee. This is the very step that BMW tried to avoid by acquiring Rover. They wanted to protect the prestige of BMW by selling higher-volume, cheaper cars under the Rover brand.
10 3949 1999 Brunswick Corp. entered the bicycle business in 1996 with the purchase of the low-priced Roadmaster brand from Roadmaster Industries for $109 million. Brunswick added the Mongoose line of bicycles in 1997, a moderate-to high-end bicycle sold by mass merchants.
11 5311 2003 To meet the demands of its customers for a cosmetics department, Kohl's discount department store recently made a deal with Estee Lauder cosmetics company. Estee Lauder, not wanting to jeopardize its upscale name or its relationship with high-end department stores, is creating a new company division called BeautyBank to develop products and brands exclusively for Kohl's.
12 7011 2001 Some large hotel chains including Starwood Hotels & Resorts Worldwide (which owns and operates hotels like Sheraton and Westin) have begun cashing in on the popularity of boutique properties. Starwood launched its W brand to compete in the boutique-hotel market.
13 7011 2005 Starwood Hotels & Resorts was the first major hotel firm to introduce a boutique brand for urban markets with the W Hotel. InterContinental launched the Indigo last year, and recently Choice Hotels came out with Cambria Suites.

<< Return to Use Steps