Question
Enumerate any four advantages of branding.

Answer

Following are the advantages of branding:
  1. Enables marking product differentiation: Branding helps a firm to distinguish its product from the other competing products available in the market.
  2. Helps in advertising and display programmes: Without a brand, the advertiser cannot promote and create awareness for and sale his product.
  3. Differential pricing: By building brand acceptance and brand loyalty, a firm can charge a different price for its product than that of its competitors.
  4. Ease in introduction of new product: If a new product is introduced under an established brand name, it is likely to be accepted easily and get a quick start.

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