Question

Explain the advantages of branding to marketers of goods and services.

Answer 1

The advantages of branding to marketers of goods and services are :

(i) Helps in advertising: A marketer can easily communicate the characteristics and distinctiveness of the product through a brand name.

(ii) Establishes identity: Branding creates a unique identity that can be differentiated with similar products. This in turn also ensures customer loyalty for a brand.

(iii) Differential pricing: An established brand name can allow a business to change the prices of the product and remain competitive in comparison to their competitors.