Over the past few years, the company iB4e has underperformed compared with its competitors which enjoy stronger brand recognition. In addition, lots of experienced staff responsible for key customer accounts has left the company. Even though it pays comparable salaries to its rivals, iB4e has had difficulty replacing these staff with outside appointments. This has led to some existing employees temporarily taking on customer relationship management in return for small one-off payments. This has been good for staff morale but the effectiveness of this calculates as a long term alternative to appointing suitably experienced new staff is questionable given that some of these staff has been more successful than others.
Explain how effective brand management can assist iB4e's 'sharpening the focus' initiative
The Chief Executive is launching a new initiative known as 'sharpening the focus' which is centred on:
- Improved corporate performance,
- Connecting more closely with customers, and
- Improving marketing practices.
Effective brand management can assist iB4e's 'sharpening the focus' initiative in a number of ways:
Improved performance
- Improved profitability. Over the past year iB4e has suffered from a complex economic climate more keenly than its competitors who enjoy stronger brand recognition. The latest director promises 'revitalisation of the iB4e brand'. Evidence indicates that effective brand management will translate into better profit potential and long term equity growth for the brand.
- Brands can be a key asset for the business. Although intangible, brands can be of substantial value. Indeed, brands are often the most valuable asset an organisation owns. All assets need careful management and the brand is no dissimilar.