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Iconic Branding As a Strategy for Private and National ICONIC BRANDING AS A STRATEGY FOR PRIVATE AND NATIONAL FAST MOVING CONSUMER GOOD BRANDS A thesis submitted in partial fulfilment of the requirements for the Degree of Master Commerce in Marketing by John William Duncan Department of Management, Marketing and Entrepreneurship University of Canterbury 2018 i ABSTRACT This thesis looks at iconic branding in the context of fast moving consumer goods (FMCG) in New Zealand. Iconic branding has been studied in a broad overall context but has not yet been considered for individual brand types. Although iconic branding literature covers a variety of brand types, it does not go into specifics on if, and how, each iconic brand type differs. This thesis studies the development of iconic brands in the context of FMCG and presents the process as a strategy option for FMCG brands. Currently there is no iconic branding literature that discusses these types of brands in a private or national brand context. Likewise, in FMCG literature discussing private and national brands there is no mention of iconic brands as either a concept or a strategy. As there is no overlap between the two literature streams this thesis breaks ground by integrating the concepts. Specifically, this research looks at iconic FMCG brands to find out how they are formed, how they differ from non-iconic FMCG brands, how consumers perceive them, and how brand managers can develop them. Data has been gathered with focus groups where consumers discussed their perceptions of iconic and non-iconic private and national FMCG brands. The use of projective focus group techniques allowed the researcher to uncover perceptions that consumers may not have expressed through traditional question and answer methods. Thematic analysis was then used to analyse the data and interpret themes. The findings revealed that iconic FMCG brands differ to non-iconic FMCG brands in three key ways. Iconic FMCG brands were found to have attachments with consumers, while displaying aspects of New Zealand cultural heritage, and greater visibility. This study presents iconic FMCG brands as a new sub-topic of study in iconic branding literature for future studies to explore further. This thesis contributes to FMCG literature by proposing iconic branding as a new strategy for both private and national brands. In addition, the benefits of this strategy that ii apply to private brands and how they can be used to combat any perceived gap between private and national brands is discussed. iii ACKNOWLEDGEMENTS I owe everything to my family and friends that have helped me during this journey. I only wish I could thank them each individually. Firstly I would like to thank my parents. I would not be where I am today without your endless encouragement and assistance. The self-belief you have instilled in me has given me the confidence to take on any challenge. I am eternally grateful for the head start you have given me in life and it is because of your love and support that I was fortunate enough to undertake this project. To not succeed would have been to waste the opportunity you have given me. To all my friends that supported me through this, I cannot thank you enough. My flatmates at 110*, thank you for putting up with me during the highs and lows of the process, I appreciate your on-going patience and your support. To the Mature Monos, thank you for the constant laughs and entertainment you provided, I am still stoked to have survived the purge. A special shout out to Julia for all your help through both undergrad and postgrad. To every single one of my mates that supported me through this I wish I could return the favour a thousand times over. To all of those who were kind enough just to ask how my thesis was going (and those who knew not to ask), even people that just stopped for a chat when we saw each other on campus, thank you for caring. Thank you to my extended family for everything you have done for me over the course of my thesis. You will be happy to know that after this I will be finished at university. A special shout out to my stand-in parents Popey and Al for all your help. Thank to my secondary supervisor Girish, your recommendations helped to seriously improve the quality of my work. Lastly, a huge thank you to my primary supervisor Ann-Marie, I could have written an entire page just thanking you for everything you’ve done for me. Your patience during your supervision of my thesis has been saintly. Thank you so much for all your assistance, pep- iv talks, and guidance, whether it was to do with my thesis or not, it all helped. I can’t even begin to imagine what my thesis would look like without your input. v TABLE OF CONTENTS Abstract .............................................................................................................................. i Acknowledgements ........................................................................................................... iii Table of Contents .............................................................................................................. v List of Tables ..................................................................................................................... x List of Figures .................................................................................................................... xi Chapter One – Introduction ............................................................................................ 1 1.1 Background ................................................................................................................... 1 1.2 Problem Orientation ...................................................................................................... 2 1.3 Research Objectives ...................................................................................................... 4 1.4 Contributions of this Study ........................................................................................... 4 1.5 Thesis Overview ........................................................................................................... 6 Chapter Two – Literature Review ................................................................................... 7 2.1 Introduction .................................................................................................................... 7 2.2 Definitions of Private and National Brands ................................................................... 7 2.2.1 Definition of a Private Brand ............................................................................... 7 2.2.2 Definition of a National Brand ............................................................................ 8 2.2.3 Alternative Terms for Private and National brands ............................................. 8 2.2.4 Similarities and Differences Between Private and National Brands ................... 9 2.3 Customer Perceptions .................................................................................................. 12 2.3.1 Historical Developments in Early Research on Private Brand Perceptions ...... 12 2.3.2 Early Perceptions of Private Brands, and their Influences ................................ 13 2.3.3 Evolution of Private Brand Products ................................................................. 17 2.3.4 Risk ................................................................................................................... 19 vi 2.3.5 Influences of Perception .................................................................................... 21 2.4 Competitive Strategies ................................................................................................. 25 2.4.1 Private Brand Competitive Strategy .................................................................. 25 2.4.2 Tiered Private Brand Strategy ............................................................................ 25 2.4.3 National Brand Competitive Strategy ................................................................ 27 2.4.4 Strategic Alliances as a Strategy ........................................................................ 28 2.5 Brand Equity as a Strategy ........................................................................................... 29 2.6 Brand attachment ......................................................................................................... 32 2.7 Iconic Brands ............................................................................................................... 34 2.7.1 Iconic Brands ..................................................................................................... 34 2.7.2 Developing Iconic Brands – Cultural Branding ................................................ 35 2.7.3 Iconic Brands in Retail ...................................................................................... 39 2.7.4 Iconic Brands in FMCG – Gap in the Literature ............................................... 39 2.8 Conclusion ................................................................................................................... 41 Chapter Three – Research Methodology ...................................................................... 43 3.1 Introduction ................................................................................................................. 43 3.2 Research Purpose ........................................................................................................ 43 3.3 Research Approach ....................................................................................................
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