vk.
com/
engl
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s
hl
i
br
ar
y
Marketingstrategies
1 A hotistic
approach
to marketing
2
Marketing
i n c h a l l e n g i ntgi m e s
Brands
Thevalueof brands
Developing
a brandidentitythatlasts
Turning
rounda brandimage
lmproving
customer
experience
youth
a
market
7 Targeting
3
4
5
5
72
76
20
24
28
Seltingonline
8 Making
themostof anonlinestore
Keeping
onlinecustomers
9
32
36
Advertising
1.0lnternet
advertising
11 Gtobat
advertising
campaigns
12 Sponsorship
deatsforpromoting
brands
13 Viratadvertising
campaign
40
44
48
52
Expandinginternationally
14 Developing
a successfuI
national
brand
15 Expanding
brands
intotheRussian
market
16 Targeting
overseas
communities
56
50
64
Satisfied customers
17 Keeping
customers
loyalto brands
18 Developing
customer
relationships
58
Check
Tests
key
Answer
Glossary
76
72
80
90
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Thisunit looksat a newapproach
to marketing.
Discuss
thesequestions.
you?
1 Whattypesof advertising
do youlikeanddislike?
Whatirritates
andamuses
youdon'twant,e.g.TVads,pop-ups,
2 Howdo youavoidadvertising
spam,etc.?
phones.
people
todayhavebroadband
andDVDs
andusemobile
Howdoyouthinkthese
3 More
g:
developments
areaffectin
. companies'marketingstrategies?
r theworkof advertising
agencies?
Understandingthe main points
pageandanswerthesequestions.
Readthearticteontheopposite
yourideaswith
1 Afterreading
thearticle,canyousummarise
what'holisticmarketing'
is?Compare
otherstudents.
2 Whattwofactorshavemadecompanies
interested
in thisnewapproach
to marketing?
andInternet
advertising
aseffective
asbefore?
3 Whyisn'ttraditionatTV
havereacted
to thistrendin twoways.Whatarethey?
4 Marketers
wayof lookingat advertising
changed
thewayadvertising
5 Howhasa moreholistic
agencies
work?
to thewriter,manycompanies
wiltbeslowto moveto holisticmarketing.
Whyis this?
6 According
Choose
twoexplanations.
a) Hotistic
marketing
caninvolve
departments,
whichmakesmanaging
marketing
several
budgets
verycomprex.
b) Theyseeholisticmarketing
asa fashionthatwil[pass.
c) Thereis a lackof accepted
toolsfor measuring
theeffectiveness
of newmarketing
activities.
d) Mostadvertising
agencies
don'tyethavetherightskillsandexpertise.
Understandingdetails
Readthearticleagainandanswerthesequestions.
1 Thewritergivesanexample
of howconsumers
areavoiding
advertising
onthetelevision.
Whatis it?
places
2 Thewritergivestwoexamples
of alternative
whereadvertisers
canputadvertisements.
Whatarethey?
Whatexample
doesthewriteruseto illustrate
howadvertising
agencies
cangivecustomers
a
betterexoerience?
According
to thewriter,holisticmarketing
willmakeallocating
marketing
budgets
moredifficult.
Whatexampte
doeshegiveto illustrates
thispoint?
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U N J Ti
. ' S i I * L I S T I CA P P R O A { 9T. O
1 MARH.LTII{G
I{
I
I
I
The casefor holistic marketing
by Gary Silverman
A In big companies, marketing depaft'holistic
ments are adopting
marketing'
- a term that expresses the growing
desire of companies to use a greater
s variety of marketing methods to
communicate with their customers.
The move into holistic marketing
reflects two developments. Companies
are losing confidence in television
ro commercials.They are also aregrolving
more interested in the Internet and other
altemative ways of advertising.
15
Technologicaladvancesare giving
consumers the power to avoid
advertising. For example, DVDs
are making it easier for people to
record programmesand fast-forward
past television commercials, while
softr.vare helps them block Internet
20 pop-up advertisements and unwanted
e-mails.
C
Marketers have resoonded in two
ways. They are looking for nerv
places to put advertisements, such as
x ads on displays on bus shelters or
on mobile phone screens. And they
are beginning to see any contact
r'vith a consumer as a marketins
opportunity. The idea is to engagE
:o the customer wherever the customer
happens to be - a holistic approach to
marketing, in other words.
D
a better customer experience: for
example.how staff shouldansrverthe
telephone when customers call to ask
,m for infomation or make a comolaint.
They are also looking for rvays to
make the shopping experiencemore
interesting.and bring new excil.ement
and innovation to product packaging
+s and store display.
E
Although many marketers see the
advantages of a holistic approach to
their marketing, many may be slow
to adopt it because of practical
so complications.
F
Money for marketing comes from
marketing budgets. But in the new
world of holistic marketing, the lines
between marketing and other business
ss activities are blurring. In addition
to marketing, other departments in
a company also have a role, r.vhich
makes allocating marketing budgets
difficult. A website, for instance,
ar could be seen as a form of Internet
adverlising, but websites also function
asvirtual stores.So money for building
a site could equally go to a marketing
or product development department.
To make the situation more
G
complicated, companies are finding
it difficult to compare the impact of
ner.v kinds of marketing activity. In
holistic marketing, advertisers are no
ro longer interested in simply reaching
customers, but in engaging them.
The challenge is how to measure
the impact of marketing messages
- how well customers are paying
zs attention to their marketing messages.
H
There are companies working with
measurement tools that help with
this task, but until there is general
acceptance of these tools, companies
80 may find it difficult to justify any
change in how they allocate marketing
'With
budgets.
some new media, it is
much more difficult to put these budgets together.'says Alan Rutherford.
ss Global Media Director at Uniliver.
As a result, advertising agencies
are not just thinking about television
commercialsthese days. They are
trying to f,gure out ways to give
книга выложена группой vk.com/englishlibrary
FT
UNIT1 "
A HOIISTICAPPROACH
TOMARKETING
tr
Understandingexpressions
Choose
for eachphrasefromthe article.
the bestexplanation
'Companies
1
arelosingconfidencein televisioncommercials.'(lines
8-ro)
a) Theydon'tthinkthatTVadvertsareasgoodas before.
goodresutts.
b) Theyno longerbelieve
thatTVadvertsproduce
'...
(lines
2g13.o)
2
engagethecustomer...'
of thecustomer
andkeepit
a) gettheinterest
b) havemoreconversations
withthe customer
octivitiesareblurring.'(lines
3 '...thelinesbetweenmorketingandotherbusiness
53-55)
activities
arelessclear.
a) Thedifferences
between
marketing
andotherbusiness
activities.
b) Thereis a bigdifference
betweenmarketing
andotherbusiness
tr
Word
search
Findwordsor phrasesin the articlewhichfit thesemeanings.
A)
new(paragraph
startingto do something
(paragraph
not
withparticular
aspects
A)
thinkingaboutthewholeof something, justdealing
(paragraph
B)
improvements
(paragraph
B)
fromhappening
try to prevent
something
(paragraph
B)
happening
completely
stopsomething
(paragraph
possibitity
C)
D)
thinkabouta problem
untilyouhavea solution(paragraph
(paragraph
h) plansshowing
themoneyavailable
D
(paragraph
giving
amount
i)
someone
theirshareof thetotal
D
(paragraph
give
good
for
H)
a
reason
something
i)
a)
b)
c)
d)
e)
f)
g)
Findtwo otherwordsin the articlewith the samemeaningasadvertisements.
tr
Wordpartnerships
fromthe article.
1 Matchthesewordsto makenoun-nounpartnerships
t hotistic
2 television
3 marketing
4 customer'
5 Internet
5 advertising
a) commercials
b) marketing
c) advertising
d) activity
e) agencies
f) experience
A, C,FandG).
2 Findfiveothernoun-nounpartnerships
startingwiththe wordmarketing(paragraphs
книга выложена группой vk.com/englishlibrary
UNIT1 " A HOLISTICAPPROACH
TOMARKETING
Thewriterillustrates
someof hispointswithpractical
examples.
he usesto introduce
them.
Complete
thethreephrases
programmes
r5-rZ)
1 ................, DVDs
aremaking
it easier
to record
...(tines
2 Theyarelooking
fornewplaces
to putadvertisements,
adsondisptays
on busshelters...
(tinesz3-zs)
...(tines59-6t)
couldbeseenasa formof Internet
advertising,
3 A website
Sentencecompletion
Usethewordpartnerships
fromExercises
C1andC2to comptete
thisextract.
'
C . . . . . . .e. . . . . . . . .i sc e n t r at ol a n e wa p p r o a ct ohm a r k e t i nkgn, o w n
as
. 3r el o o k i nf go re x c i t i nnge w
h . . . . . .m
. . . . . . . . . .M
' . a r k e t earnsda . . . . . .a. .. . . . . . . a
waysof engaging
thecustomers,
usinga mixof newmediaandm........
u
e si t hs m a lm
l . . . . . . .b. . . . . . . . .c a nd oa [ o t .
m . . . . . . . . 'E. v e cn o m p a n iw
tr
Prepositions
Usethe prepositions
in the boxto complete
thesesentences.
in in of to
with
1 T h e r ei s g r o w i n gi n t e r e s t . . . . . . I. n
. t e r n eat d v e r t i s i n g .
2
C o m p a n i ehsa v el o s tc o n f i d e n c.e. . . . . . .t e l e v i s i o a
ndvertising.
3
M o r ea n d m o r ec o m p a n i esse et h e a d v a n t a g.e. . . . . . .a m o r eh o l i s t i ca p p r o a c .h. . . . .. marketing.
4
M a r k e t e rn
s e e dt o v i e wa n yc o n t a c.t. . . . . . .c u s t o m e ras s a m a r k e t i n g
opportunity
isthewayforwardfor
Doagreewiththewriter's
viewthata morehotistic
approach
to marketing
marketers
andadvertising
agencies?
Writea shortreportmakingthecasefor or against
a moreholisticapproach
to marketing
in your
company.
lncludepracticaI
examples
to supportyourpoints.
witha consumer
According
to thewriter,advertisers
are'beginning
to seeanycontact
asa marketing
Aretheiranyrisksin suchanapproach?
Howdo youthinkcustomers
opportunity'.
andprospective
customers
wi[[react?
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Thisunitlooksat marketing
strategies
for survivingin difficulteconomic
times.
Discuss
thesequestions.
1 Howdoesaneconomic
slowdown
affectconsumers'purchasing
habits?
ls it thesamefor business
customers?
2 Whatcana company
doto survive
in difficult
economic
conditions?
Makenotesforeachof thesepoints.
o marketresearch
o advertising
spend
r distribution
. pricing
o productportfolios
3 In difficulttimes,marketing
budgets
oftengetcut.ls thisa goodidea?Why?/ Whynot?
tr
Understandingthe
mainpoints
Readthe articleon the oppositepageandanswerthesequestions.
1 Whatis thepurpose
of thearticle?
Choose
thebestoption.
a) to informreaders
aboutthechallenges
in difficulttimes
of surviving
b) to givereadersguidelines
abouthowto survive
c) to persuade
readers
to change
theirmarketing
strategy
2 Whatgivesyouthisimpression?
3 Thesearetheheadings
forthe mainideasin thearticle(r-6). Choose
oneof theheadings
for eachidea.
Adjust pricing tactics
i
Adjust product Portfolios
Focus on market share
%
Supportdistributorsj
--#
tr
Researchthe customer
Maintain marketing spend
Understandingdetails
Readthe articleagainandanswerthesequestions.
1 Thewritergivesfiveexamples
of howconsumer
behaviour
canchange
in difficulteconomic
conditions.
Whatarethey?(paragraph
B)
getthebestresultswitha reduced
Thearticleincludes
foursuggestions
thatwitlhetpcompanies
advertising
budget.
Whatarethey?(paragraph
E)
(paragraph
3 Howcancompanies
makesuretheirdistributors
continue
to stocktheirfullrange?
G)
pricingtacticsdoesthewritersuggestto makeproductsmoreattractive
4 Whatshort-term
to customers?
(paragraph
H)
I
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U N I T2 "
Surviving tough
marketingtimes
by John Quelch
A Companiesshould keep thesepoints
in mind whenmakingmarketingplans
for difficult economic conditions.
I ...............
Don't cut the budget for market
research.You needto know morethan
ever how consumersare reacting to
a downturn. Consumerstake longer
searching for consumer products
ro and negotiate harder for price
reductions. They are more willing
to delay purchases,trade down to
less expensivemodels or buy less.
C Must-havefeaturesof yesterdayare
rs today'scan-live-withouts.Brandsthat
B
M A R K E T I Nl N
GC H A L L E N G ITNI M
G ES
returnsooliciesto motivatedistributors
are trustedare especiallyvalued and
can still launchproductssuccessfully, s5 to carry your full product line. This
is particularlytrue with new products
but interest in new brands and
thatarestill unproven.Be carefulabout
categoriesdeclines.
moving to low-priced distribution
channels.This can damageexisting
20 2 . . . . . . . . . . . . . . . .
D This is not the time to cut back on oo relationshipswith distributorsand the
imageof your brand.However,it may
advertising. It is well documented
be also a good time to drop weaker
that brands that increaseadvertising
distributors.
during an economic slowdown,
when competitorsare reducing their
5................
advertising, can improve market
shareandprofits.And they cando this H Customerswill be looking around
for the best deals.It may not be necat lower cost than during good
essaryto cut list prices,but you may
economictimes.
need to offer more temporary price
Brands may be able to negotiate
promotions,such as specialoffers or
better advertisingrates. If you have
to reduce your marketing spend, zo reductions.It may also be useful to
give betterdiscountsfor quantity.
try to maintain the frequency of
advertisements
by changingfrom 30replacto l5-second advertisements,
In all but a few technology
ing radio with televisionadvertising, I
categorieswhere prospectsfor future
or increasingthe useof directmarketing, which gives more immediate 7s growth are strong.companiesare in
competition for market share and,
salesimpact.
in some cases, survival. To stay
,!0 3 .
competitive, look carefully at your
cost structure.This will ensure that
F
Marketersmust recalculatedemand
for each item in their product lines 80 any cuts or consolidation activities
save the most money with the least
as consumerstrade down to models
impacton customers.
that are good value,suchas cars with
Successful companies do not
+s fewer options.In tough times, multiJ
purposegoods have advantagesover
abandontheir marketingstrategiesin
specialised products, and weaker ss times of economic uncertainly,they
just needto adaptthem.
items in product lines shouldbe cut.
Gimmicks are out; reliability, safety
so andperformanceare in.
G
4................
Carrying large amountsof stock is
risky. So offer financing and better
FT
meaning
Understanding
the bestexplanation
fortheseideasfromthearticle.
Choose
(linesr4-r5)
1, Must-hove
aretoday'scan-live-withoafs.
featuresof yesterday
products
a) People
whichdon'thavetherightfeatures.
buytoo many
areno longerwanted.
b) Manyproduct
features
thatpeoplethoughtwereessentiaI
c) People
canlivewithoutproducts,
eventheonesthathavetherightfeatures.
2 Gimmicksoreout; thingslike reliobility,safetyandperformance
arein. (tines49-50)
products
fashionabte;
instead,
thepoputar
areones
a) Products
thathavenorealvaluearenolonger
thatofferrealvatue.
products;
products.
b) Peopte
no[onger
wantfashionable
theyonlywantserious
whenbuyingproducts.
c) Reliability,
havebecome
thenewfashions
safetyandperformance
книга выложена группой vk.com/englishlibrary
UNIT2 "
MARKETING
lN CHATLENGING
TIMES
Definitions
(a-i).
(1-9)withtheirmeanings
Match
thesewordsfromthearticle
1 categories
2
rates
3
demand
4
returns
5
promotions
6
discounts
7 channels
E
8
consolidation
9
prospecE
a)
b)
c)
d)
e)
f)
g)
in theusualprice
reductions
groupsof products
thatareattof thesametype
youusegettingforgettinggoodsto customers
thesystems
goodsreturned
because
theyarefaultyor notwanted
intended
activities
to hetpsella product
bringing
together
separate
activities
intoone[argerwhole
goodsandservices
people
particular
theneedthat
havefor
h) thepossibitity
thatsomething
willhappen
i) basiccharges
fora service
Wordpartnerships
partnerships
Matchthesewordsto makenoun-noun
fromthearticle.
1
2
3
4
5
6
advertising
market
marketing
distribution
product
tist
7 price
8 consolidation
g
a)
b)
c)
d)
e)
f)
g)
share
tines
promotions
prices
activities
rates
spend
h) channels
Sentence
completion
UsewordsandphrasesfromExercises
A andB to completethesesentences.
7 D . . . . . . .f.o" r t h e l a s t t h r e e m o n t h s w a s o n l y s t i g h t t y d o w n . S o f o r t h i s y e a r , t h e l . . . . . . . . p . . . . .
o u rp . . . . , . 1
. .. . . . . . s. .h' o u l sdt a yt h es a m eb, u tw es h o u l od f f e ar t t r a c t i vp e. . . . . . p. .. . . . . . . .f 0o ,re x a m p l e ,
ptaced
offersanda d........"
of lOo/o
fororders
in January.
special
2 4 . . . . . ,r . . . . . . . h
. "a v eb e c o mm
e o r ec o m p e t i t i vs e
ow
, es h o u l b
d ea b t et o r e d u c o
e u rm . . . . . . .t . . . . . . . . b
withoutcuttingtheamountof advertising
we do.
3 S p e c i a tsi shto p a
s n do u rw e b s i taer et h em a i nJ . . . . . . .c. . . . . . . .f .o ro u rh a n d - m a cdheo c o l a t e s .
4 Forallc........"
in theautomotive
thep........0
fornextyeararenotgoodandtheycanexpect
sector,
muchlowersales.
10
книга выложена группой vk.com/englishlibrary
UNIT2 "
tr
TIMES
MARKETING
lN CHALTENGING
Wordsearch
Findwordsin the articlewhich fit thesemeanings.
a) buy a cheaperkind ofthing than before(paragraphB)
C)
b) thoughtto be good (paragraph
C)
c) consideredimportant(paragraph
(paragraph
you
pay
F)
for it
d) worth the money
G)
e) havea bad effecton something(paragraph
f) only neededfor a shorttime (paragraphH)
g) stop doingsomethingbecauseit's too difficutt(paragraph
J)
'difficult
B, D, F andJ).
economicsituation'(paragraphs
Findfour otherphrasesin the articlethat mean
Languageof decrease
smalter,
the ideaof becoming
or makingsomething
B-Dthatexpress
1 Findfourverbsin paragraphs
Thenaddat leasttwootherverbsthathavea similarmeaning.
e.g.decrease.
r in the correctform.
2 Complete
withverbsfromExercise
thesesentences
t v e trh el a s tr z m o n t h s .
1 O u rs a l e .s. . . . . .. . . . . . .b. yz 5 p e rc e n o
longterm.
thecompany
wilthetpsavemoney,
butwittdamage
2 ........staffnumbers
3 l t w o u l db ea b i gm i s t a kteo . . . . . . . . . . . . .o. na l lp r o m o t i o nsaple n d i n g .
couldwe........?
4 Whatotherareasof expenditure
downturn.
Why?/ Whynot?
aneconomic
Doyouagreewiththewriter'sadviceforsurviving
givingyourtop eight
company,
Manager
of medium-sized
2 Writea shortreportfortheMarketing
guidelines
for surviving
a recession.
yourideasto keystaffin themarketing
team.
3 Present
improve.
untilconditions
to cutbackon alladvertising
4 Youhaveheardthatyourbossintends
approach.
analternative
against
thisandsuggesting
Writeane-mailadvising
1
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Thisunit looksat the importance
of brandsandsomeof the
challenges
theyface.
Discussthesequestions.
1 Whatadvantages
do strongbrandsgivea company?
2 Whatchallenges
do brandsfacetoday?
3 Thinkof a brandthat has mademistakesbut recovered.
Whatmistakesweremade?
Whatdid it do to recover?
tr
Understandingthe
mainpoints
Readthe articleon the oppositepageandsaywhetherthesestatements
aretrue (I) or false(F).
Correctthe falseones.
1 Toomuchfocusonshort-term
profitsis a dangerous
strategy
whendeveloping
brands.
2 Google
hasbecome
thetop brandin its category
in a veryshorttime.
According
3
to thewriter,it is impossible
for brandsto recover
whenthingsgowrong.
The
writer
thinks
brands
are
less
important
now
than
before.
4
5 lt hasbecome
easierfor brandsto moveintoforeignmarkets.
6 Themostseriousproblem
thatbrandsfacetodayis howto deatwiththeitlegatcopying
andreproduction
oftheirbrands.
7 According
to thewriter,themainbenefits
of havinga strongbrandarefinancial.
tr
Understandingdetails
Readthearticleagainandanswerthesequestions.
1 Whichbranddoesthewritermention
asanexample
of:
1 a top newbrand?
2 a brandthattookbadstrategic
decisions?
3 a brandthatlostits position
asa top brandbuthasgotit back?
4 a brandthathasbeenverysuccessful
all overthewor]d?
5 a brandwhosereputation
graduates?
hashetped
to attracthigh-quatity
2 Whichindustries
arementioned
asexamples
of industries
affected
byittegat
copying?
3 Thewritergivesthreebenefits
of developing
Whatarethey?
strongbrands.
t2
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i"lffij'i -i "" THi: \r*e\t-{-l[
fiil i?RAt\i*S
The challengeof keepitrgbrandsstrong
by John Gapper
A A corporate bland. like a human
reputation,is somethingof great value.
But there is ahvays a temptation to do
something for short-term prolit that
s can damage a brand in the long term.
Many companieshave given in to this
temptation and leduced the quality of
their productsol stretchedtheir brands
unr.visely. They then spend years
l0 trying to repair the damage.This gives
thosecompaniesthat manageto resist
the temptation the chance to develop
brands that have huge value both to
B
customers
andshareholders.
Google is an example of an
outstanding brand. The Intemet
domain name google.com rvas only
registered in September 1997. But,
less than l0 years later. Goo-qle's
determination to become the top
search-and-informationservice allorved it to outstrip Yahoo. And it did
this at the cost of not putting display
advertisementson its home page.
C There have been many examples
of brands that have been dama-eedby
strategic enors. for example Levi's.
rvith its unsuccessfulmove into suits.
The good nelvs is that rvell-established
brands can recover lvhen things go
wrong. One example is Apple. It
lost its direction after the departure
of Steve Jobs. its co-fbunder. but
regained its position rvith his return.
l 5 Apple's expansion out of computers
into audio and visual products rvas
extremely important in its revival.
D Without question, brands are more
important then ever before. More
companies norv consist essentially of
intangible assetssuch as patentsplus
'In
the value of their brands.
today's
r'vorld, the advantagesof innovation
do not last as long, and there are ferver
things that protect companies from
competition. As other things become
equal, they are left rvith brands,'
says the Executive Vice-President of
Millrvard Brown Ootimor.
E
The lowering of trade barriers,
plus advances in technology and
globalisation, makes it easier for
brands to cross borders. Buyers of
mobile phones around the lvorld
ss now expect handsetsmade by Nokia.
Samsung, Motorola or other global
brands.and local brandsfind it difficult
to compete.Luxuly-goods companies
like LVMH have been vely successful
oo in expanding national brands across
borders and transforming them into
global brands.
F
But brands face challenges. One
has come from manufacturers of
o: genelic products in indush'iessuch as
pharmaceuticalsand the food industly.
Although drugs companies invest
billions in research,they also feel the
need to use marketing to respond to
;o generic competition. Even over-thecounter medicines such as painkillels
are carefully branded.
Another challenge is the ease
G
r.vith rvhich products can be pirated.
zs It is difficult for Western motor
manufacturers to stoD their cars and
trucks being copied. lt is even harder
for entertainment companies to
stop music and films being digitally
so reproduced over the Internet and on
CDs and DVDs.
H
Despitethesechallenges.
companies
that build strong brands have big
advantages over competitors. They
ss allor.v companies to increase their
revenuesand margins.There are other
benefitstoo. For example, a top brand
like Microsoft can recruit the best
graduatesfrom business schools and
m keep them longer.
FT
meaning
Understanding
A n s w e rt h e s eo u e s t i o n s .
1 Thewritersays,'But thereis alwaysa temptationto do somethingfor short-termprofit ...'(tinesl-+).
W h i c hs e n t e n c e
s h a th e i s s a y i n g ?
b e s td e s c r i b ew
a ) C o m p a n i easl w a y sw a n tt o t r y t h i n g st h e ys h o u l d n 'dt o b e c a u s e
t h e yc a ns e eq u i c kp r o f i t s .
profits.
b , i C o m p a n i easr ea l w a y sl o o k i n gf o r n e ww a y so f m a k i n gi m m e d i a t e
2 Thewritersays,'Anotherchattengeis the eosewith whichproductscon be pirated.'(Iinesn-l d.
W h i c he x p t a n a t i obne s td e s c r i b etsh e p h r a s ei n i t a l i c s ?
a J l t ' sv e r ye a s yt o s t e a lo t h e rc o m p a n i eps r o d u c t sa n d s e l lt h e mt o o t h e r s .
b ) l t ' se a s yt o i l l e g a t tcyo p ya n ds e l lo t h e rc o m p a n i e sp'r o d u c t s .
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t1
UNIT3"
THEVALUEOFBRANDS
tr
Definitions
(a-h).
Matchthesewordsandphrases
fromthearticte(1-8)withtheirmeanings
products
whatit coststo produce
between
andtheir
1 stretched
theirbrands
a) difference
price
selling
b) something
thata business
has,butis notphysical,
so hardto value,
2 intangible
assets
e.g.a brandname
receives
c) moneythata company
overa periodof timefromsetling
3 patents
goodor services
givinga company
d) tegatdocuments
therightto sellanewproduct
4 value
or invention
thatis sotdundera general
namefora typeof product,
e) a product
5 tradebarriers
ratherthana brandname
products
isworthin money
f) howmuchsomething
6 generic
g) useda successfuI
brandnameto sellotherproduct
types
7 revenues
8 margins
tr
h) something
thatmakestradebetween
twocountries
moredifficult,
e.g.importtaxes
Word
search
Findwordsor phrases
in thearticlewhichfit thesemeanings.
(paragraph
A; twowords)
1 bigandimportant
(paragraph
2 causeharmto something
A)
(paragraph
A)
3 donewithpoorjudgment
(paragraph
good
B)
4 extremely
thanothers(paragraph
B)
5 be moresuccessful
6 gotbacksomething
afterlosingit (paragraph
C)
of becoming
strongagain(paragraph
C)
7 theprocess
(paragraph
8 moveintoothercountries
E)
(paragraph
completely
E)
9 changing
tr
Wordpartnerships
Matchtheverbs(1-5)withthenouns(a-e)theygo within thearticle.
1 damage
2 outstrip
3 lose
4 regain
5 face
a)
b)
c)
d)
e)
its position
a brand
chattenges
(Yahoo)
a competitor
direction
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UN|T3"
THEVALUEOFBRANDS
Vocabulary
development
1 Makea listofwordpartnerships
fromthearticlewiththewordbrond(s).
Organisethem into two groups.
a) verb-nounpartnerships,
e.g.damagea brand
partnerships,
b) adiective-noun
e.g.outstandingbrand
2 Completethesesentencesaboutcompanyrecoveryusingthewordsand phrasesin the box.
Makesurethe verbsare in the correctform.
cha[[enges damage losedirection recover stretch regain repair revival
S a m s o n i t ree c e n t l yl a u n c h e d e s i g n elru g g a g ea n d h a sp l a n sf o r a r a n g eo f h i g h - e n dm e n ' s
s h o e s s, u n g l a s s easn d s t a t i o n a r yl s. t h i s a g o o ds t r a t e g yo,r i s i t . . . . . . . .t h e b r a n dt o o f a r ?
I n t h e l a t e9 0 s ,N i k ef a c e dc r i t i c i s m
a b o u tp o o rw o r k i n gc o n d i t i o n isn i t s s u p p l i e fra c t o r i e isn
A s i a .T h en e g a t i v ep u b l i c i t ys e v e r e l.y. . . . . . .i t s b r a n d ,a n d i t t o o k s e v e r ayI e a r st o . . . . . . . .
itsreoutation.
D e s p i t em a r k e t i n g
e f f o r t st o t u r nt h e b r a n da r o u n d L
, e v iS t r a u s sh a ss t i [ [n o tm a n a g e d
to ........
i t s f o r m e rp o s i t i o na s a t o p b r a n d .
E x p e r t s a yM a c D o n a t d.'.s. . . . . .i n t h e U S Aw a s m a i n t yd u et o t h e d i v e r s i f i c a t i oonf i t s m e n u
a n d l o n g e r e s t a u r a nhto u r s .
5
E x p a n d i ni g
n t h e U S Aw a sa b a ds t r a t e g idce c i s i o na,n di t w i l lt a k et i m ef o r t h e b u s i n e stso . . . . . . . ..
6
F o l l o w i ntgh e d e p a r t u r eo f S t e v eJ o b sA
, ppte
gonefrom strengthto strength.
; b u t s i n c eh i s r e t u r nt,h e c o m p a n yh a s
O n eo f t h e b i g g e s t . . . . . .t.h. a t p h a r m a c e u t i cbar la n d sf a c ei s c o m p e t i t i ofnr o mg e n e r i cp r o d u c t s .
Choose
a company
your
thathasstretched
its brandsuccessfutly
or stretched
it unwisely.
Research
youranalysis
chosen
company,
thenpresent
of whythestrategy
worked/ didn'twork.
2 Discuss
howcompanies
piracy
gtobatty.
canprotect
theirbrands
against
whenexpanding
3 According
to thewriter,Luxurygoodscompanies
likeLVMHhavebeenverysuccessful
in expanding
nationolbrondsacrossbordersandtransforming
themintoglobalbrands.Whydo youthinkthey
havebeensosuccessfut?
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15
Thisunit looksat the importance
of creatinga strongbrandidentity,
drawingon the exampleof Duracett.
Discuss
thesequestions.
1 Thinkoftwobrands
name,logoanddesign.
thathavea memorable
o Whatmakesthemworkforyou?
o Whatimageandmessage
do theycommunicate
to theircustomers?
2 Whataretheadvantages
of havinga strongbrandname,logoanddesign?
tr
Understandingthe
mainpoints
pageandchoose
Readthearticleontheopposite
the bestoptionto complete
eachstatement.
1
2
3
4
5
6
E
it is I isn'tenough
on creating
a strongbrand.
Forcontinued
success,
to focusmarketing
hasachievedI is stiilworkingtowardsits obiectiveof becoming
thetop brandfor batteries.
Duracell
is thatit will lasta longtimeI is welldesigned.
Themainmessage
the brandwantsto conveyto consumers
imageandmessage
haschangedo lot I stayedthesomeovermanyyears.
TheDuracell
in becoming
wellknowna[[overthewortd.
Thebrandhosf hasn'tsucceeded
name,
message
hightight
the product's
attractive
appearance
Duracell's,
designand
/ benefits
for consumers.
Understandingdetails
to complete
thesenotes.
1 Scanthe articlequicklyto findinformation
Brand name:
1
Former brand owner:
Current brand owner:
3
Launch date:
4
Competitors:
5
Main consumer benefit:
Design features:
7
questions.
2 Readparagraphs
FandG carefully
andanswerthese
growth?
1 Howdidthebrandidentitycontribute
to thebrand's
learnfromDuracell
aboutdeve]oping
a brandidentity?
2 Whatthreelessons
canothercompanies
t5
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:l:
UNIT4 '" DTVELSPIftG
A BftAruS
iDE}:TITY
TFIAT
LASTS
:.:::::
:.
t,:-.:
|.::,
t:::
Duracellandits longer-lastinglooks
by Meg Carter
A
s
B
rs
C
zo branding has helped it maintain
its position as the world's leading
Launching a product is one thing;
manufacturer of high-performance
keeping the product ahead of the
alkaline batteriesfor the best part of
40 years.
competitionis the next big challenge.
As technologyallows manufacturers D The brandwas develooedin the US
to match their comoetitors' latest
in 1963.whenitsthenparentcompany.
ideasever faster,creatinga powerful
PR Mallory,wantedto introducea new
brandandeffectivelymanagingit over
battery and challengethe dominance
time is essentialto ensurea lasting
of Eveready,the formermarketleader.
competitiveadvantage.
:o PR Mallory used brand consultants
To be a businesssuccess,an idea
Lippincott to createa brand identity
needsnot only to be better than its
for the new battery, and in 1964,
competitors',it needsto be seen to
Duracell was launched.The battery
be better.And it needsto be protected
soon overtook Eveready to become
from competitionby communicating :s the world's biggest-sellingalkaline
its strengthsand points of difference
batterybrand- a positionthe business
through visual pointerssuch as logo,
still maintains in the face of the
designandpackaging.
recentand rapid rise of supermarkets'
In the case of Duracell, now part
cheaper,own-labelproducts.
of the GilletteCompany.innovative E
Lippincott's advertising brief in
1963 was to createa new brand that
would help Mallory becomemarket
leaderand that would also be strons
enoughto carry new product lines.
+s The solution was to oosition the
productas an energysource.and to
do this by focusing on the battery's
major consumerbenef,t - its longer
life. This inspiredthe Duracell name,
so which was created to communicate
the concept of endurance,and the
product'sdistinctiveblack, white and
copperdesign.
F
The key elementsof the Duracell
ss brand identity are the distinctive
name and logo, the colour scheme
and the brand's positioning as the
most enduring alkaline batteries on
the market. These three elements
oo provideda platform for future growth
as the companyextendedinto related
products such as lithium, silveroxide and zinc-atr batteries,as well
as lighting productssuch as torches.
os It was also powerful enoughto tum
Duracell into a globally recognised
consumerbrand.Sinceits introduction
in 1964, the brand identity has been
the inspiration for advertising for
zo the brand.
G Duracell offers a number of
lessonsfor brandstoday.The first is
the impoftance of thinking beyond
the product itself. Focusing on the
zs product's benefits rather than the
product itself gave Duracell a much
strongerposition in the intemational
marketplace.The secondis the power
of a strong brand name. Finally, the
so designsolutioncreateda new 'visual'
language that became synonymous
with the idea of an endurine source
of enersv.
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FT
17
UNIT4 "
DEVELOPING
A BRANDIDENTITYTHAT
LASTS
tr
Understandingexpressions
Choose
the bestexplanation
foreachphrasefromthearticle.
'...
(linesz-3)
t
keepingtheproductaheadof thecompetition...'
a) makingsuretheproduct
stayscompetitive
products
b) making
suretheproduct
continues
to bemoresuccessful
thanothercompeting
'...
(linesz8-29)
2
challenge
thedominance
of Eveready...'
position
a) fightagainstEveready's
of powerin themarket
b) question
whetherEveready
is stilla powerin themarket
(tines5o-51)
theconcept
of enduronce...'
3 '...to communicate
periods
a) theideaof lastingover[ong
of time
b) theideaof beingunbreakable
tr
Definitions
(a-i).
Matchthesewordsandphrasesfromthe article(1-9)with theirmeanings
1 launching
2 competitiveadvantage
3 communicating
4
branding
5 overtook
6 inspired
7 positioning
8
platform
with
9 synonymous
g
a)
b)
c)
d)
e)
f)
thebasisonwhichsomething
canbedeveloped
closely
connected
to
wasthemotivation
for
became
moresuccessful
something
thathetpsyoube moresuccessful
thanothers
people
product
how
thinkabouta
in relation
to a company's
products
otherproducts
andothercompeting
g) introducing
something
new
h) sharinginformation
withothers
people's
i) activityof givingbrandnamesto products,
developing
awareness
of them.etc.
Wordsearch
phrases
Findadjectives
or adiectival
in thearticlewhichfit thesemeanings.
1
2
3
4
5
6
usingnewmethods
andideas(paragraph
C)
(paragraph
mostimportant
C)
workingin a superior
wayto others(paragraph
C)
(paragraph
different
to othersandeasyto recognise
E)
lastingfor [ongtime(paragraph
fl
(paragraph
knownall overtheworld
F)
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UNIT4 "
OEVELOPING
A BRANO
IDENTITY
THATLASTS
Wordpartnerships
1 Matchthesewordsto makenoun-nounpartnershipsfromthe article.
1
market
a) brief
2
brand
b) products
3
own-label
c) identity
4
advertising
d) brand
5 consumer
2
e) leader
Matcheachnoun-nounpartnershipfrom Exerciser with the correctmeaning(a-e).
dl
b)
c)
d)
e)
p r o d u c t s o t db y a p a r t i c u l asrh o pa n d h a v et h e n a m eo f t h a t s h o po n t h e m
a n a m e ,s y m b o a
l n dd e s i g nt h a t d e f i n e sa n dd i f f e r e n t i a t easc o m p a n y 'psr o d u c t so r s e r v i c e
t i l [b e a d v e r t i s e d
a d o c u m e nw
t h i c hg i v e sd e t a i l sa b o u th o w a p r o d u c w
a b r a n dt h a t i s s o l dd i r e c t o c o n s u m e r sr a
. t h e rt h a nt o b u s i n e s s e s
p r o d u cw
t i t h t h e l a r g e sst h a r eo f t h e m a r k e t
Sentencecompletion
UsewordsfromExercises
CandDto complete
thesesentences.
e yi tot u aen. . . . . . . . b m a r k e t i n g a d v a n t a g e , s o i t ' s i m p o r t a n t t o g e t i t r i g
1 Astrongb........;......g
. .iuvw
2 T e s c o , t h e l . . . .".U. .K. s u p e r m a r k e t c h a i n , i s f a c i n g i n c r e a s i n g c o m p e t i t i o n . A s a r e s u l t , i t h a s
o
t h eb r a n d epdr o d u c ittss e t t as n di ss e t l i nm
g o r eo . . . . . . .- .1 . . . ..... p . . . . . . ...
o
u
c a m e r aasn dw a st h er y r. . . . . . .1. . . . . . . . .i nt h ep h o t o g r a p fhi ti cm
3 K o d apkr o d u c ehd. . . . . . .-.p
market,butsincethearrivalof digitatcameras,
it haslostitsway.
o
t en e e di s J . . . . . . .". a n d; . . . . . . . .a d v e r t i s itnhga tw i t ta p p e at ot t h ey o u t hm a r k e It '.v eg i v e n
4 W h aw
T o u c h G l o w t h e a . . b. .......... . . . ' L e t ' s h o p e t h e y c o m e u p w i t h s o m e c r e a t i v e i d e a s .
::11.,:.:
il:i:= -:....-..=.-'
C h o o s ea b r a n da n d m a k en o t e sf o r e a c ho f t h e s ep o i n t s .
. l d e n t i f uw h o t h e t a r g e ta u d i e n c e
i s a n dw h a tt h e i rw i s h e sa n d d e s i r e sa r e .
. Selecttwo uniquebenefitsthat makethe branddistinctiveand attractiveto consumers.
. Explainwho the maincompetitors
yourchosenbrandhasovertheirbrands.
areandwhat advantages
Thinkof a companythat hassuccessfutly
changedits brandidentity,(e.g.Accenture).
Discussthe
r e a s o nf o r r e c r e a t i ntgh e i d e n t i t ya n d h o w i t h a sb e e nc o m m u n i c a t eadc r o s st h e c o m p a n ya n dt o t h e
w i d e rw o r l d .
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19
Thisunit looksat a problemwith Microsoft's
brandimageandthe company's
marketingstrategyfor improvingit.
Discussthesequestions.
1 Whichbrandsdo think havea havea strongbrandimage.Why?
2 What kind of thingscandamagea company'sbrandimage?Whatcana companydo to repairit?
3 Whatwordsdo you associatewith the Microsoftcorporatebrand?the Windowsbrand?
tr
Understanding
themainpoints
Readthe articleon the oppositepage.Mark the orderin whichtheseeventshappened.
a ) C o m p e t i t i ofnr o mA p p t eh i g h l i g h t e idn a d e q u a coyf t h e W i n d o w sb r a n d .
b) Microsoftplansto haverepresentation
in key electronicretailchainsin the USand
U Ka n d i n o t h e rs t o r e st,o s u p p o r tc o n s u m e r s .
c) 2007].MicrosoftlaunchedVista,a newWindowsoperatingsystem,but with technical
a n d c o m p a t i b i t i tpyr o b t e m s .
d) Microsoftlauncheda marketingcampaignto improveits image.
e) Levelsof customersatisfactionimproved.
f) Windowsbrandreputationhit a low
g) Appte[auncheda negativeadvertisingcampaigncriticisingVista.
h) Microsoftlaunchedan advertisingcampaignin the USto improvethe imageof Bi[[Gates,
the Microsoftfounder,and the company.
i) Satisfaction
levelsfor the Windowsbrandfe[[.
j) 2008:Microsoft[auncheda new improvedversionof the Vistaoperatingsystem.
E
tr
@
n
n
m
n
T
I
n
u
Understandingdetaits
Readthe articleagainand answerthesequestions.
1 Whywas Microsoftlessconcernedaboutconsumersin its earlydays?
2
Howdid Appte'sentryinto the marketaffectMicrosoft?
3
Whywerecustomersdissatisfied
with Vista?
4 Whywas it importantto sotvethe Vistaproblembeforeputtinga lot of marketingeffortinto improving
t h e i m a g eo f t h e b r a n d ?
5 W h i c ho f t h e m a r k e t i n g
i n i t i a t i v efso r i m p r o v i n tgh e b r a n di m a g eh a d n o t b e e nc a r r i e do u t a t t h e t i m e
t h i sa r t i c l ew a sw r i t t e n ?W h i c hw o r d st e l l v o ut h i s ?
20
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LiltllT5 '" TU*fllF{*RGUt{S
A fiRAnd[.]r
IIWA{}H
Microsoft says 'We're humAntoo'
rvith 89 per cent of consumers norv
'satisfied'
'very
saying they are
or
satisfied' rvith the softrvare.
The next task was a major
F
marketing push to change how
consumersfeel about Windows. That
is not a simple thing to do. It rvill take
'philosophical
a
change' in the rvay
:s Microsoft thinks about its custolners.
says Brad Brooks, Head of Windolvs'
ConsumerProduct Marketing.
Their first action was an advertising
G
carnpaignon US television. featuring
r,o Bill Gates and American comedian
Jerry Seinfeld. By putting Mr Gates
rvith Mr Seinfeld, Microsoft hoped
[o humanise its founder and, by
extension,the company too. Microsoft
2007. Many computer usersfound that
6s wants consumers to understand that
'lve
the ner'v softlvare '!vas not comoatible
have a sense of humour. we're
:s rrith some ol' their old peripherals.
human too', saysBrad Brooks.
such as printersor scanners,and that it
H
Customer satisfactionhas to have a
ran slorvly. Nor did the softrvare have
far more centratpositionin Microsoft's
ro thinking. Mr Brooks says, 'It's not
obvious new consumerbenefits.
D
good enoughjustto sell a lot oflicences
Satisfaction was not good, and
:o Apple saw the chance and launched
or have good businessresults.'As part
a devastating anti-Vista advertising
of the marketing push, he plomises a
campaign, describing Microsoft's softdeeper'conversation'rvith consumers.
ware as unstable, exposed to security
rs This means a stronger ernphasis on
threats and very dull. This helped
retail, with a direct Microsoft presence
planned (a store lvithin a store) at a
35 strengthenanti-Microsoft perceptions.
E
Microsoft r.vaspushed into action.
number of electronics retail chains.
The first and most imporlant task
including Best Buy in the US and
rvas to improve the Vista customer
so Dixons in the UK. The company also
experience. Without
that, any
has plans to have 150 representatives
'gurus',
ro new marketing initiativesto improve
in retail stores.Referred to as
the brand's image could be countertheir job rvill be to help custornersget
productive. and could tarnish the
more out of their PCs.
brand image even more. Microsoft
claims that since the releaseof an up+s dated version in July 2008, customer
satisfaction levels have imoroved.
J
by Richard Waters
Microsoft's Windo"vs operating system, one of the lvorld's most successful consumer products, is also one of
the rvorld's most neglectedbrands.
An estimated lbn people use PCs
that run on Windorvs. Most of the
company's revenuescome from sales
to business customers. and it has no
direct relationship r'vith consumers
- they have to deai with electronics
retailers and PC manufacturers, not
the company that makes the software.
That r,vasn'timportant when Windows
was an unchallengedmonopoly, even
l 5 if an unloved one. Competition from
Apple's machinesand laptopsthat run
on the Linux operatingsystemchanged
things. Caught in this unfamiliar
competitive situation, the Windorvs
20 brandhas beenfound rvanting.
C That brand rveaknesswas uncovered
after the launch of Windows Vista in
FT
Understanding
meaning
Choosethe best explanationfor theseideasfrom the article.
1 '...whenWindowswoson unchallenged
monopoly...'(tinesrl-r4)
2
a i h a dt o t a tc o n t r ool f t h e m a r k e ta n dt h e r ew e r en o o t h e rc o m p e t i t o r s
b i h a da t a r g es h a r eo f t h e m a r k e ta, n d o t h e rc o m p a n i efso u n di t d i f f i c u lt o c o m p e t e
'lt witt takea "philosophicol"
changein the wayMicrosoftthinksabout itscustomers...'(tines
53-55)
a J a m o r es e n s i b t e
a n d c a l mw a y o f t h i n k i n ga b o u ti t s c u s t o m e r s
b ) a d e e p e ra n d m o r et h o u g h t f uwt a y o f t h i n k i n ga b o u ti t s c u s t o m e r s
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