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Strategic Brand ManagementAdvanced understanding of consumer and brand valueSneak PreviewRoland BergerNew York, Paris, MunichOctober 20021The right or wrong brand strategy has immediate impact onbusiness success, profitability – and thus on corporate value··The importance of brands is ever increasing: Consumers are increasingly bombarded withadvertising messages and information. As a consequence of this information overkill, a brand has become theabbreviation of all its positive and negative rational and emoti onal associations – brands increasingly give peopleorientation and identity in a crazy worldBrand companies are ever battling against numerous imperfections–––Sales managers, marketing managers, and product developers often work in isolation from each other.As a result, the marketing mix is usually individually optimised, overloaded“ and not entirely conclusiveThe results of the various players along the strategic brand development process are not compatible witheach other, i.e. a huge loss of information between market researchers, strategists, and advertisingcreatives is the consequenceThe success or failure of a particular brand strategy is often difficult to explain. Discussion about thestrategic development of brands tend to be abstract and are generally subject to the emotional, subjectiveimpressions of the people involved: the language is prone to misunderstandingsThus, the strategic development of brands often happens by coincidence·The brand strategy has a direct impact on the brands corporate value, i.e. successon the market, growth, market share, price, margins, and earnings – and thus on market capitalization andcorporate valueSource: Roland Berger2Brands are developed by coincidence – the strategic brandmanagement process is fragmentedBrand DiagnosisBrand Strategy DevelopmentBrand Strategy ImplementationLaunchMarketResearchSWOTAnalysisStrategyConceptionStrategyApprovalSolutionCreationSolutionApprovalExecutionMarketResear-cherQual/QuantResearchQual