Question

Three Mark Questions:-
Explain any three advantages of 'branding' to the marketer?

Answer 1

Three advantages of branding to the marketer are as follows:

(i) Enables Marking Product Differentiation: Branding helps a

firm in distinguishing its product from that of its competitors. This enables the firm to secure and control the market for its products. (ii) Helps in Advertising and Display Programmes: A brand aids a firm in its advertising and display programmes. Without a brand name, the advertiser can only create awareness for the generic product and can never be sure of the sale for his product. (iii) Differential Pricing: Branding enables a firm to charge different price for its products than that charged by its competitors. This is possible because if customers like a brand and become habitual of it, they do not mind paying a little higher for it.