Question

What are the advantages of branding to marketers of goods and services

Options

• Branding enables a firm to distinguish its product from the product of other firms

• It facilitates advertising of the product. Only when a product is given a brand, it can be advertised and thereby, attract customers

• Through good branding manufacturers can create loyalty and habituality for their product.

• All of the above

Answer 1

All of the above

Explanation - 

Giving a product a distinct name, sign, symbol, or term is referred to as branding. The following are some of the benefits of branding for marketers.

1. Branding allows a company to differentiate its product from that of competitors.
2. It makes product promotion easier. Only once a product has been given a brand can it be advertised and so attract customers. A generic-named product cannot be advertised.
3. Good branding allows manufacturers to build product loyalty and habituality. As a result, the company can profit from it and demand a higher price for its goods.
4. It assists in setting the foundation for a new product launch. This is because a new product introduced under a well-known and respected brand is expected to receive a significant boost and benefit from the brand's reputation.