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04. February 2019

Wikipedia defines Ingredient Branding as “creating a brand for an ingredient or Dunlop Sicherheitsschuhe Arbeitsschuhe Schuhe Herren Safety schuhe 1063,component of a product, to project the high quality or performance of the ingredient”. Another popular definition is Intel’s  “a promotion of a brand within a brand to the end user” or as it is defined by Uggla / Filipsson based on Baumgarth (2004) and Rizeboos (2003): “Ingredient Branding is a specific form of brand collaboration, distinct from co-branding that highlights a specific component or brand attribute to enhance a product or service that can potentially become a category point-of-parity, create multi-level visibility, awareness, differentiation and preference in the down-stream value chain” (© The Icfai University Press, 2008).

Other interpretations of Ingredient Branding also existPARA Stiefel AUSTRIAN PARATROOPER Stiefel VINTAGE ARMY SURPLUS JACK MOUNTAIN GERMAN,for example from P. Kotler, D. Aaker. E. Joachimsthaler, K.Keller, C.Baumgarth and many others. Please refer to their literature for further details.

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The vast majority of companies are not able to adequately convey the entire value they are creating for their respective value chain, asUSMC Mens GoreTex Temperate Weather Stiefel Vibram Durashock Sole Coyote 8.5W NIB,they are often locked into their role as an anonymous supplier. Their value and their contribution to the finished product is unknown to most market participants beyond their direct customer lineSOKAIDO spike schuhe morning mist I-88 29.0cm F S from japan,and therefore they are exposed to the "Lopez-effect"; named after the once famous Head of Purchasing at Volkswagen, who was known for his merciless negotiations with suppliers. Price & margin pressure, unfavorable payment terms and exchangeability as a supplier are the economic consequences. Not a great position to be in. 

Ingredient Branding provides a valid Brand & Business model escape from this unfavorable position in the supplyPost XChange Damen Stiefeletten JESSY 5256100 rot 578025, chain. The fundamental principle of it is to apply a A. TESTONI schwarz LEATHER UPPER MADE IN ITALY Größe 36 US 5.5,

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By starting to communicate the benefits of the Ingredient to at least one level below direct customers, adamen Stiefel Robert Clergerie Größe 38 New Made In France Leather Retail @ 800+, company can start to build firstly awareness and then create demand for its component in the downstream value. By doing this successfully over a longer period of time they can elevate their position in the value chain and emerge from the role of a supplier to the position of a business partner. 

After the recognition of the Ingredient Brand has been successfully established, variousAJ407 CALPIERRE schuhe braun oscuro cuero damen botines EU 40,5, push-marketing activities can be executed together with direct customers and distribution channels (e.g. Retail) in order to stimulate the sell-out of the finished product with the branded ingredient. 

The key question to establish an Ingredient Brand is therefore, how muchMonster Frankenstein Inner Zipper Extreme Platform Ankle Stiefel schuhe Adult Men, increased value can a product, component or service add to the finished product to make that IngredientWOLVERINE Mens Stiefel Größe 9.5 M Plainsman braun Style W40251 WORK, for the buying decision. As described in our Next Generation Ingredient Branding section, relevance might not only be a performance driven criteria, but could also be influenced by soft factors such as attitudes, brand values, transparency or sustainability efforts. What makes a component Bare Traps damen Oria2 Closed Toe Mid-Calf Fashion Stiefel, for the buying decision of the final product differs from product to product, from category to category.  
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Finally, two very common mistakes should not go uncommented.

  1. The belief that you can build an Ingredient Brand without establishing the Pull-Function.
  2. The belief that you can build an Ingredient Brand only through Retail or Distribution

In both cases success is very unlikely. At the beginning stage, IngredientSteve Madden Floruss Leather Stud Point Low ankle Stiefel Größe 7, Branding is a hen-and-egg situation. Some of your direct customers probably won’t be amused and will resist your idea of establishing an Ingredient Brand in the first place. Retailers have proven over the past 50+ years that they Steve Madden Frauen Goldie Geschlossener Zeh Fashion Stiefel, any brand to their advantage that can potentially generate them more revenue and profit, but building a brand for a supplier, that’s not in their general business interest. And Distribution/distributors deliver no added value for a brand. They fulfill solely the logistics and distribution function. 

LuckilyEnzo Angiolini damen braun Leather Knee Stiefel 10.5 M,in today’s digital and contentKristofer Damen Stiefel ANDREN YETI Leder Textil, driven Marketing world, there are endless opportunities to create the pull-function through NEW rot WING Stiefel 9016 MENS 12 BECKMAN ROUND CIGAR LEATHER schuhe FREE SHIP,, which are also an integral part of the BRAIND offering. 

Are you ready for Ingredient Branding? Check your Ingredient Brand Fitness Check Dr Martens Air schuhe 8A45 US SZ 10 Vtg Doc Martens Lace Up Leather Stiefel,.

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