Rafael Portugal | Branding Cases

Core Business: Sports equipments and apparel

Profile:. Market leader.. Large distribution: 42 stores in 10 states.

Concentration in the Southeast of Brazil.. Positioning: Everything of sports for everyone.

Main goal:Expansion in the Northeast

and South of the country.

Problems:. Brand awareness outside the Brazilian Southeast.. Perception of “small neighborhood store”.. New big players: Adidas and Puma, which started to operate their own stores in the country.

Solutions:. Development of the Mega Store concept: store divided by categories (each sport = one category).. Operate mainly as Mega Stores, being an anchor store in large commercial malls.

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. Service wrap: offer services related to each sport. i.e.: fixing of tennis rackets, areas to test store products and pool of sports lessons.

Solutions:. Partnership with Nike to launch new Centaurostores, using the image of famous Brazilian athletes.

Banner in a mall – Ronaldinho GaúchoBillboard - Roberto Carlos

Solutions:. Hiring of athletes, ex-athletes or sports experts as Category Managers.. Use of successful athletes’ images to promote brands that they endorse and the store.. New logo and standard store layout with new symbol and vibrant colors: enhancement of

the sport identity – application to all stores.

Results:. 15 new mega stores in 2 years. Presence in 14 Brazilian states.. Consistency in the brand image – one standard store layout.. Enhancement of the relationship with major sports products brands.. Consolidation as the largest sports products retailer in Latin America.

Project for the Branding Course – Post-MBA at McGill University

Core Business: Fast food

Main goals:. Transition from donut & coffee

to food & beverage business.. Growth in the rest of the US and

$ 10 B of revenue in 2010.. 15,000 stores in 2015.

Profile:. Franchise model.. Present in 36 states / 5,000 stores.. 70% of sales come from beverages.. Positioning: Convenient fresh donut

& coffee for the mainstream.

Problems:

. Brand perception – messy and unclean stores,fat and unhealthy food , a donut place.

. Risk of losing current customers due tochanges in the product line.

. Inconsistency in the experience offer and communication.

. Fierce competition: McDonald’s, Starbucks and Subway.

. Poor brand awareness outside New England.

Solutions:. Repositioning: make it a wider brand for the mainstream and enhance the fresh and convenient attributes. Add new attributes: healthier (more quality and care about customers) & social and family (the opposite of the elitist and individualist Starbucks).

. New product features and service wrap: fat free donuts, more salads and healthy sandwiches to get customers in lunch time & afternoon , coffee condiments, special season and events products and informal customer interaction.

. Keep prices of traditional products and set higher prices for new offers.

Proposed Core & Extended Brand Values

. Creation of the Dunkin Express service – for gas stations and similar places, with limited product offering.

. Distribution in rolling kiosks in high density areas and public events.

. New store design, with the open kitchen concept.

. National advertisement with local content: community people, not heroes and food being prepared.

. New logo – thinner and with DD as the symbol (already present at the current America Runs On Dunkin campaign).

. Implementation timeline: 5 years, making an evolution of the brand, not a revolution, giving enough time to customers to perceive the change of the brand.

. New packaging + nutrition info + menu more organized + classic products line.

. Brand extension: DD Joins You! – Catering service.

Projected Results:

. Get more premium prices with the new product line.

. Standard consumption experience.

. New perception: DD, Food & Beverages, “We can count on DD”,all day service, better overall quality.

. Increase revenue from more expensive products (food, not beverages), increasing the overall profitability.

. In New England – renewal of customer base.

. Outside New England: improvement of brand awareness.

Core Business: Ware house and electronic products

Profile:. Largest retailer group in Minas Gerais (3rd main state of

Brazil).. Low cost strategy.. Positioning: The lowest price in Brazil, good deal.

Main goals:. Repositioning of the brand.. Expansion of operations to the Southeast and Northeast of the country.

Problems:. Brand reputation – cheap brands, common products.. Poor attraction of stores – old layouts, traditional small retailer stores.. Inconsistency in communication – unclear positioning, promotion of many attributes.. Fierce competition of huge players: Casas Bahia, Ponto Frio and Magazine Luiza.

Solutions – Phase 1:

. Marketing research: 70% of purchase decisionsin this sector were made at the point of sales.

. New visual communication, new store design,logo application and colors identity – add yellowon the background.

Solutions – Phase 1:

. New approach – customer can touch, ‘feel’ the product before the sales people approach.

. Partnerships with renowned partners’ brands - promotion of their brands at the store.

. Enhancement of the low cost image and of the proximity to the customer.

. Concept of mobility – products on sales, new releases should be at the front of the store.

Solutions – Phase 2:

. Mega Stores in big shopping centers:.Trendy, high-tech and high margin products.. Reinforce the low price image and the close

proximity to the customer.. Concept of mobility – products on sales , new releases should be at the front of the store.

. New logo design: modern font, box with round corners, brightness.

Results:

. Consistent brand identity, sustaining 3 mainattributes: best deal, quality & close service.

. Positive impact on customer perception:more quality, modern stores & better service.

. Better deals with manufactures due to the merchandising spaces in store.

. Expansion: from 37 stores in 2003 to 77 stores in 2004.

. Revenues: from R$ 100 million in 2003 to R$ 322 million 2004.

. Silver Award of POPAI - Point of Purchase Advertising Institute - The Global Associationfor Marketing at Retail.

Core Business: Home appliances

Profile:. Market leader.. High brand awareness, recognized high quality.. Very traditional brand, it is part of the housewives’ day-by-day. . Positioning: We make with care.

Main goals:. Repositioning of the brand: beautiful design + easy to use.. Introduce the new slogan We do everything for you.. Keep sales growth and release of new products.

Problems:. Retraction of the market in 3.67% in the previous year (2003).. Brand perceived as old and expensive.. Lack of consistency in communication – no common visual identity

in the point-of-sales (POS) merchandising of the product line.

Solutions:

Two Marketing surveys:

. 80% of the purchase decisions in this market are made by women.

. 90% of women purchase decisions in these product categoriesare made at the POS.

. Endorsement of celebrity Luiza Brunet,ex-top model, the most trustable and admirablewoman in Brazil according to marketing surveys.

. Ms. Brunet is an example of beauty, motherand successful business woman for many Brazilian women.

. Events with Ms. Brunet introducing the new slogan,promotional campaign and new products.

Solutions:

. New concepts in the visual communication for all products in 2,500 points of sales – transparency, trendy design, lightness.

. Correlation between product and modern women attributes: practical, beautiful, independent.

. Enhancement of the quality and the commitment and dedication of the brand to the customers.

. Launch of the website Walita Cooking Centre with recipesand free cooking online courses.

. Release of a recipes book – inspiring the use of Walita products.

Results:

. Sales growth of 15%.

. Big impact on media due to Luiza Brunet endorsement and trendydesign of POS material – creation of BUZZ in newspapers and in segmentedmedia for woman: celebrities, beauty and fashion magazines, websites and blogs.

. Improvement of the awareness of the complementation of the products functions - products seen as a product line.

. Refreshment on brand image in customer perception: modern, fashion and easy to use.

. Gold Award of POPAI - Point of Purchase Advertising Institute - The Global Association for Marketing at Retail.

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