Fachhochschule Nürtingen

Image: The key to success

by

Marion Weiler

BSH Huntington Beach, California
Marketing Department

Internship - Summer 2001

Table of Contents:

1. Introduction ... 1

2. Definitions ... 2

3. Correlation between image and brand ... 3 
3.1 The Iceberg Analogy ... 3
3.2 Identity-oriented management of brands ... 4
3.3 Chances of image-strong brands ... 6
3.4 Why do consumers prefer image-strong brands? ... 7

4. Signification of brand marketing ... 8

5. Tools of brand marketing ... 9
5.1 Brand management ... 9
5.2 Brand positioning ... 10
5.3 Identity-oriented marketing of brands ... 11

6. Influence of failures on the image ... 13 
6.1 Measures to reduce the negative effects of failures on the image ... 13
6.2 Extent of negative effects of failures on the image ... 14

7. Case study: The US-brand Thermador ... 15
7.1 The image of Thermador ... 15
7.2 Brand marketing of Thermador ... 16 
7.3 Failures and their effects on the image of Thermador ... 17

8. Conclusion ... 18

Table of figures:
Fig.1: The Iceberg Analogy Seite 3
Fig.2: Components of brand identity Seite 5
Fig.3: Brand Steering Wheel Seite 9

1. Introduction

Image - the key to success. In fact, a positive image matters for a company to be successful and it is a good opportunity to get positive publicity. On the other side there are other things, which are important to be successful. There are management ratios like productivity, profitability, liquidity and many other ratios, which count in order to value a company numerically. In my following work, I will only refer to the image.

Image is not only developed through advertising. The products should suit the corresponding brand and the selected advertising medium should support the brand and its image through its means of communication in order to create a total image of the company, the brand and the products. The brand and the image of a company represent the promise that products and services will perform to expectations.

The identity-oriented marketing of a brand and its products contributes in addition to revalue a company identity through good image. In this connection, I will focus more closely on the importance of brand identity and brand marketing.
Furthermore, I will base my report on Thermador, an American kitchen appliance manufacturer, where I conducted my internship, to clarify the important role of Image. Thermador′s corporate office is located in Huntington Beach, California. All employees of hierarchy level and departments are located here. Since my internship experience was conducted with Thermador, it enabled me to develop a deeper insight into the company and the brand. Thermador was bought in 1998 on its good image by the German company Bosch-Siemens-Home Appliances Ltd. and is banished almost exclusively in North America. The brand Thermador represents qualitatively high-value built-in appliances and has established, over a period of more than 70 years, an outstanding name in the home appliances industry throughout North America.

2. Definitions

Image:
Image is something not visual and not sizable. It forms itself subconsciously in the imagination of a person. The concept is diverted out of the verb "to imagine".

Brand:
A brand is a trademark or an unmistakable name. The brand is therefore the recognition sign of a product or a manufacturer.

Brand identity:
The brand identity is the sum of all features of a brand, which distinguishes this brand article durably of all others and settles there with its brand personality.

Brand management:
Brand management is the analysis of a brand. It is supposed to be assessed for what the brand represents and how it is supposed to be presented and directed outwards.

Brand positioning:
Brand positioning represents a plan process. The goal of positioning a brand is to determine certain product characteristics in order to reach both a dominant position in the mind of the consumer, and a sufficient differentiation to competition products.¹

Brand marketing:
Brand marketing is the targetted commercialization of a brand. The goals are to construct an emotional relation between the consumer to a certain brand, as well as to create a need for the consumer to possess the brand, and therefore the product.

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1 Comp.: Meffert, H.: Marketing-Grundlagen marktorientierter Unternehmensfuehrung, Wiesbaden 2000, P. 851