Customer Based Brand Equity

Customer based brand equity : 1)

Brand Salience : A) Brand awareness: It refers to customers ‘ability to recall and recognize the brand under different condition and to link the brand name logo symbol and so forth. For MNG – Brand name : MNG by Mango, MNG, Mango. This brand name is easy to remember but confusing because so many names. And the names do not suit with the product because mango is the name of fruit but it is included in fashion industry. Name is not unique, not so different and charming at all. URL : www.mango.com . the URL is nice and colorful, have some nice graphic, relevant information. But que me pongo by mango- this link is really annoying. Visitors can go back in the same web page. They have to open a new window again. Logo:

Jingle : Have several nice and mind blowing jingles which is available on www.irishmusic .com. Packaging: Mango goes green for packaging. Mango has a container and packaging waste prevention plan in place, which has been approved by the company administration. The following actions have taken place so far within the framework of this plan: They have minimized the thickness of the boxes down to the technical limit that prevents breakage and crushing. They have also minimized the individual packages for garments and accessories in terms of dimensions and density, while retaining their capacity to avoid breakage and to be processed by the distribution machinery. They have minimized the size of the labels, to just the size that allows them to be read correct. It is worth noting that all internal shipments are made using reused boxes.

It is also worth pointing out that all the boxes used are made with 100% recycled material. To facilitate recycling, all these als are paper-based, eliminating any metallic elements (staples, etc.) Finally, our organization adheres to the waste and packaging management systems established in the different countries in which we operate (green point systems and others)

B) Product category structure:

men and women fashion product.

Accessories

Jewelries

bags

Women’swear for parties formal men’swear

Clothing

watches

sportswear

perfume

For casual women

c) Strategic implication: This means that the brand must not only be on the top of the mind but it must also do so at the right time and places. That’s why it has the stores almost all the major cities in the world which is also its purpose to be in all major cities in the world. Some stores r open from 8 am to mid night. The stores opening and closing depends on the timing of that market and country also. These stores are situated in major shopping complex of major cities. Such as , in Thailand , it is in Siam Paragon shopping mall in Bangkok. Mango opened its first store in 1984, in Barcelona. The company now has some 600 stores in Europe, about 250 of those in Spain. The chain is the second-largest exporter in the Spanish textile sector, behind Zara's parent, Inditex. Last year Mango posted about $1.65 billion in sales, up nearly 10 percent from 2005. The chain generates roughly 75 percent of its sales outside Spain. On average, it opens about 150 stores per year. Unlike H&M and Zara, Mango is privately held.

Stores in US: Mango's U.S. stores will range from 4,000 to 8,000 square feet (5,000 square feet on average). In Europe Mango stores measure between 8,000 and 10,000 square feet, with some being as large as 20,000 square feet. Gomez says the decision to locate primarily in malls rather than street-front locations is the main reason for the

size discrepancy. "Most of our locations in Europe are larger street-front stores," he said. "We are targeting some street-front locations in the U.S., but America has more of a mall-based shopping culture, so that's where we need to be." Mango has a mix of franchised and corporately owned stores. The chain says it is aiming for a ratio of 70 percent franchised and 30 percent company-owned stores in most markets. Currently, seven of Mango's 12 U.S. stores are franchises. Franchising is one way for a private company with limited capital to expand, Davidowitz says. The downside is that this can lead to inconsistency and quality-control problems that can damage the brand. Mango says it can mitigate that risk by maintaining some company-owned stores. "The corporately owned stores give us a direct connection to the market, and we can see firsthand what's going on and what problems we're encountering," Gomez said.

2) Brand performance: A) service effectiveness :Mango shops make that clothes according to size provided by customers. B) Service efficiency : When the customers choose the size, style and colour, the shop made it at once for them. C) Service empathy : they are caring for customers who wants to buy their product but not for others who are looking for some information. For online orders they put many information in the website www.mangoshop.comwhere people can set their order. This website answers almost every question that comes to customers’ mind when they want to purchase online. Service in Stores One of organization’s priorities is service to customers, including advice, suggestions, complaints etc and also obtaining customers’ opinions on offer so that they can adapt to their tastes and requirements. Customer service is provided in the stores directly through their specially trained personnel. This training (theoretical practical) is focused on the areas of customer service policy, the offer, merchandising, trends, the company’s philosophy etc. The training is always adapted to the employee’s role. They are very aware of the fact that store personnel have to face the daily challenge of offering an excellent service. Service from Central office

Our central offi ces include a specialized customer service department to respond to any enquiry, problem or suggestion. Requests are dealt within Mango’s five official languages: Spanish, English, French, German and Catalan. In 2006, a total of 58,800 requests were handled. The main means of communication used were as follows: Fax / letter Via chat Telephone calls E-mails/Websites 4% 15% 38% 43% The source of these enquiries varied: direct from customers, from stores, form head offi ce staff, etc. The main themes were as follows: Suggestions Request for information 1% 77%

Congratulation0s 2%

Complaints 20%

In addition, numerous calls were received from students: 377 in the year 2006, requesting information about Mango for research projects. Mainly these were design, marketing, advertising, economic science and business students.

Materials : Manufacturers’ raw materials All suppliers of finished products receive written instructions from MANGO on the legislation with regard to the use of products and substances in the manufacture of the raw materials that they acquire. Once production is underway, we monitor these substances by means of exhaustive control of the same in all our articles. This verification process is carried out through the selection, on the part of our organization, of certain garments and/or accessories from each reference, in accordance with established statistical criteria, and sending these to the laboratory for comprehensive analysis. This laboratory issues a certificate for all our articles (1). In this system, the selection of references for analysis is always carried on final production garments and accessories, since changes in the fabrics and their components and the materials acquired by the supplier can occur during the design process and initial production trials. The aforementioned instructions for suppliers include substances that are both regulated and unregulated by the laws of the various countries. The latter are included as recommendations, given that reports and specialized studies have classified them as being potentially hazardous under certain conditions. Monitoring and control is also carried out on such substances, in the same way as with regulated substances, in accordance with specific c statistical criteria.

During the 2006 financial year, of the garment and accessory collections manufactured, the following incidents were detected: Azoic dyes (arylamines) - 12 cases Formaldehyde - 4 cases Phenolic compounds - 4 cases In 100% of cases the garment or accessory was withdrawn from the collection and no longer sold. In cases where manufacturers provide Oeko-Tex certification for certain garments or accessories, the analysis described for this type of production is not carried out according to the information below: Raw materials in production workshops Unlike the previous system, since our organization acquires the raw material directly, we ask our suppliers for Oeko-Tex certification for all textiles. Said certification is issued laboratories in each country authorized by the Swiss organization Oeko-Tex. Once said certification has been obtained, we send the raw materials to suppliers for manufacture. It is worth noting that Oeko-Tex involves a much more extensive control than the one envisaged in the legislation of the various countries, since monitoring is carried out on a greater number of substances identified by this organization and because of the application of lower tolerance limits than those envisaged in the legislation in certain substances. It should also be pointed out that Oeko-Tex is the most prestigious and demanding international reference in the research, identification, evaluation of tolerances and control of hazardous substances in textiles (further information is available at www.oeko-tex.org). No incident has been detected in 2006 with this system since we do not accept any raw material without this certificate. Price, style & design – The stores are set to open in major metropolitan areas, where Mango's style is likely to be well received, says Jose Gomez, vice president of international business development. Mango targets women 18 to 35, and both its casual and its dressy lines range in price from $20 to $250. "Our style is for the young urban woman who knows the latest trends and with little direction can create her own look," Gomez said. "Our collections are coordinated, so we can dress a woman from 8 a.m. to midnight." "Fast fashion has revolutionized American apparel retailing," said Howard Davidowitz, chairman of Davidowitz & Associates, a New York City-based retail consulting and investment banking firm. "Speed is the heart and soul of the apparel chain business, because who has

something first matters a lot in fashion. Consumers want the newest thing, and they want it now. Mango says it can move items from the design stage to the stores in three to six weeks, depending on the complexity of the merchandise, which is considerably swifter than the industry average of nine months. But please don't call it fast fashion, pleads Gomez. "It reminds me of fast food, and that has negative connotations," he said. "I call what we do 'speed to market.' We have fresh products in our stores every week. And we're not just delivering one piece here, another there - we're actually creating whole new styles on a regular basis." Affordable prices help encourage frequent repeat business. "The clothes are inexpensive enough that customers can keep coming in, keep spending and keep up with all the latest trends without blowing their budget," said Faith Hope Consolo, chairman of the retail leasing and sales division of New York City-based Prudential Douglas Elliman. "As a result, this segment of the market does tremendous volume." Sophisticated and edgy, MNG by Mango offers the hottest European fashions in a sleek, easy-to-browse setting perfect for today's busy travelers. Designed for the modern woman, styles range from classic basics such as simple tees, trousers, jeans and trench coats to swimwear, elegant evening dresses and avant-garde ensembles. Many pieces of the seasonal collections are limited editions. "Bright colors in fitted styles and more sophisticated pieces in black, white and khaki appeal to SFO travelers who make room for style in their suitcases," said Nina Lundgren, travel retail director, international expansion for Mango. "From dress up to dress down, women will always be fashionable in something from MNG by Mango." The store's dramatic and exciting interior maintains the understated elegance and well-known style of the brand. Chic mannequins dressed in eyecatching outfits draw customers into the sleek, contemporary black and white interior space at MNG by Mango.

3) Brand Imagery: Brand imagery is the way people think about a brand abstractly in other way how this brand meets customers psychological and social needs.4 main factors : a) User profile : ( who uses the brand)

Men and women, age between 18-35. b) Purchase or usage situation: Under what condition they can and should buy the product. Fast-turnaround retailers are able to refresh their inventories more quickly for several reasons. First, they tightly control production and distribution, often keeping these functions in-house, or at least outsourcing them to a lesser extent than many U.S. retailers do. They also produce items in smaller batches, creating scarcity that prompts customers to make snap purchasing decisions to get the items they want. And by clearing out limited quantities quickly, the companies can respond immediately to the latest fashion trends and stock the next must-have items. "Fast-fashion retailers have single-handedly changed the mind-set of the American shopper," said Jane Hali, vice president and director of retail and merchandising consulting at Coleman Research Group, New York City. "Americans used to wait until items went on sale to buy them because stores had such large quantities of each item. Now shoppers know that the item they want isn't going to be in the store for very long, and they better buy it now, because it's not going to be there the next time they come in." c) personality and values : Mango represents excitement( imaginative and up-to-date), sincerity ( honest and cheerful), sophistication ( upper-class and charming) How does this personality et formed? Since its early days, MANGO has worked with top models. They have been the brand’s image in each season and some became highly identified with MANGO in Spain, as was the case with Claudia Schiffer, who featured in all the campaigns from 1992 to 1995. The 90s were the years of the supermodels and MANGO featured many of them on the covers of its catalogues. Naomi Campbell, Christy Turlington and Eva Herzigova posed for the top photographers and flooded the city streets thanks to MANGO’s campaigns. The new century brought some of the most unforgettable MANGO images, with campaigns with Maja Latinovic, Inés Sastre, Karolina Kurkova and Milla Jovovich. We also repeated our previous success with Claudia Schiffer. More recently, new generation celebrities such as Lizzy Jagger, Alice Dellal and Dakota Johnson have featured as our radiant cover girls. Some renowned

actresses and models such as Elizabeth Hurley and Lauren Hutton have also collaborated with us. d) History and heritage: (past and certain noteworthy event) In 1998, Mango position itself as Spain’s 2nd largest textile exporter. In 2006, Spanish retailer Mango have launched a new international fashion competition aimed at design entrepreneurs. known as El Botón (The Button), the idea behind the Mango Fashion Awards is to help those designers who have started out in the commercial world to grow into a flourishing label.

4) Brand judgment: Brand judgments are customer’s personal opinion about and evaluation of the brand which consumer form by putting together all the different brand performance and imagery associations. 4 types are particularly important: A) Brand quality: though people have different opinion about service but most of them have positive and good opinion about relative low price, product quality , changing design and style, and convenience. B) Brand credibility: brand credibility describes the extent to which customers see the brands credible in terms of 3 dimension: Perceived expertise: Mango is one of the market leader and it is competing with Zara, Topshop, H&M. Trustworthiness: people have a trust about the quality and price. Brand likeability: Though people consider about other brand they still feel fun and excitement about Mango product. c) Brand consideration: If people consider the brand for possible purchase or use. As a market leader Mango have consideration of consumers for purchase beside Zara , TopShop and H&M. d) Brand superiority: this is not unique brand than others. It may be different in different countries, in different shops, in different style or design and different service but to think about it overall it is not superior to other brands.

5)Brand feeling: Brand feeling is customer’s emotional response and reaction to the brand. 90% sales? Zara? MNG? Topshop? Like.. Oh wow

Posted by: icedeyez87starlight on: May 31, 2007 In:| Friends| Fun| Shopping Comment! We heard about this warehouse sales. 90% sales for zara,mng, all the wonderful brands in the end. BIG BIG SIGN wif a $29.90 sign. And below it in small letters, $34.90 for non-members And the clothes were like. Rags? So fuckin’ disappointing. Seriously. I went there with Azira and Kamini and we were super pissed!!! Sangeetha came only at a later time and so the 4 of us headed down to Bugis street to ease our disappointment and get something nice. lol So shopped around Bugis Street lor~ Managed to get a pair of grey jeans WHeE =P Definitely more worth it than the stupid warehouse sale which doesn’t even seem like one! Sita Shenes and sita’s sister were there as well but we got seperated during our shopping spree and reunited for dinner at QIJI… awesome nasi lemak they have there! Misty Says: October 20th, 2006 at 7:21 pm I voted Mango because not only they have branches in big cities of Philippines but they do have also a lot of branches in different cities of Europe! which definitely means very accessible shops! Guess how many shops they have in Germany? All cities you can imagine! (not less-than 20!) Unfortunately Zara has atleast 3 shops i am aware of (in the whole of Germany though). I go ga-ga over their sale season as the prices go lower than the prices in manila! I guess the 50k (Euro 800) GC from the genie will get a long way here. So, here we can see different people have different brand feelings. Some feel positively some feel negative. It depends on the perception, condition, selling items and attributing as well. 6)

Brand resonance: It describes the nature of relationship and the extent to which customers feel that they are “in sync” with the brand. a) Brand loyalty:

lala abes Says: October 22nd, 2006 at 9:07 pm I’d still go for MANGO!!!! MANGO!!! Comfort. Style. Fit. I always get noticed when I’m in my best MNG wear. I think some clothes in Zara are for the professionals, simply working people. Not so alluring and appealing. Although, I love the clothes in their kid’s section. Fits my niece. As for TOopshop, I just like their short skirts. But the tops are quite for bigsized women. One can never go wrong with MNG– whether its just a simple plain shirt. b) Brand attachment: Paolo Says: October 22nd, 2006 at 9:20 pm

Mango of course! It fits my wifey perfectly! hundred thou every year for MNG.

She spends more than a

C) Brand community: There are no exact or specific online community forming. But there are some online communities who like to write about Mango products. Such as- Facebook, ShopCrazy, Fragrentica, etc. D) Brand engagement: Barcelona, 29 April, 2008, MNG has launched fashion design contest “el Bolton” to promote and drive the introduction of new designers Explaining how Mango did not want to be chasing big name designers like so many high-street retailers, or promoting graduate talent which is already covered by so many awards, creative director Ricardo Agostini described the competition as "an original niche… an award that will focus on entrepreneurs, people who have already been brave". The requirements for entry include already having sold at least one collection commercially and having designed at least two previous seasons collections. El Botón wants to be seen as a credible award and so is offering a €300,000 prize with no obligation to design subsequently for Mango. The competition wil take place every 18 months and is being backed by five of the top European design schools; Central Saint Martins in London, the Institut Français de la Mode in Paris, Istituto Marangoni in Milan, the Royal Academy of Fine Arts in Antwerp and the Escola Superior de Disseny in Barcelona - so the entry standard will no doubt be pretty high. A website launched for the competition is available in six languages and includes a downloadable application form- making it easy for any young international designer to participate- and with such a hefty amount to win they would be crazy not to. A clever idea by Mango- not only will they get some great press and their pick of the top business-savvy design minds to top up their creative teams with but, thanks to all the universities involved they also get an endless supply of interns!

Those who are engaged in this event directly or indirectly shows their preference for the brand in terms of brand resonance. So, here we can see different people have different brand feelings. Some feel positively some feel negative. It depends on the perception, condition, selling items and attributin as well.