CC BY
8PROBLEMS OF LOCAL BRAND FORMATION IN
UZBEKISTAN
Musayeva Shoira Azimovna
Professor of Samarkand Institute of Economic and Service https://doi.org/10.5281/zenodo.7841630
Abstract. This article describes the process of developing marketing materials and brand management which develops identification and designation of responsible personnel, brand promotion, development of an integrated marketing communications plan, and determination and evaluation of its effectiveness.
Keywords: marketing, enterprise, production, communication, brand, technology, market,
sales.
Regardless of the fact that the Republic of Uzbekistan is rich in resources, the production of technologically finished finished products, the delivery of well-known goods, and the solution to the problems of satisfying the wishes and needs of the domestic market are considered urgent issues. In the scientific and research work of the "Marketing" department of the Samarkand Institute of Economics and Service, it is closely related to the activities of "SAG" JSC, "Samarkand-apparel" JSC.
In the Address of the President of the Republic of Uzbekistan Shavkat Mirziyoyev to the Oliy Majlis on December 28, 2018, integration of our economy into the world market and support of exports is defined as one priority task. The President of the Republic emphasized that "We need to move to an export-oriented economy and create a competitive environment in the domestic market." In the effective implementation of this task, solving the problem of building a local brand is important.
At the end of the 80s of the last century, the theory of branding was developed in economics, and it was proven that the level of recognition of a product or service among consumers is based on it. In 1981, well-known marketers Jack Trout and Al Rice in their book "Positioning: The Struggle for Popularity" tried to clarify the role of advertising in finding a place for a product or service in the market. In other words, the process of transforming the received feeling about the product into a need in the consumer's imagination was theoretically confirmed through advertising. Such views lead to the formation of branding. The fact that the product occupies a certain place in the mind of the consumer, and can show its characteristics different from competitors, began to bring income to the manufacturer or intermediary.
Strategic, management director of DDVPol According to Feldwick (Paul Feldwick): "Brand reflects the set of feelings in the imagination of the consumer."
Such an approach shows that the basis of advertising lies in the brand, that is, recognition, and vice versa, through advertising, it is possible to increase the level of recognition of a product or service to the public. For this reason, the development stages of advertising in the 20th century can be expressed in the following sequence:
• Trade offer;
• Image (reputation);
• Positioning;
• Branding.
While the sales offer and positioning focus on the differences that distinguish brands from each other, image (prestige) and branding take into account the emotions (emotions) of consumers. We believe that while a brand expression represents an outcome, branding reflects the process of achieving that outcome. Such an approach plays an important role in clarifying the stages of branding of local products.
Brand formation should go through the following stages (Figure 1)
Setting a goal and striving for it
i
Project planning
1
Analyzing the current state of the brand
1
Analysis of the market situation
1
Representing the essence of the brand
1
Develop brand management strategy exit
1
Brand promotion
1
Brand monitoring
Figure 1. Stages of brand formation
In Figure 1 expression done of stages content in themsolutionwe will show that it will be realized through the assigned tasks.
1-stage. Setting a goal and striving for it.
At this stage, the following important areas should be clarified:
- Analysis of the company's mission;
- Determining the position of the proposed brand in the brand system of the company or organization;
- Determining the desired state of the brand (its characteristics, life cycle, competitive advantages);
- Express the measurable parameters of the brand.
2-stage. Project planning.
Traditional methods and opportunities should be revealed in planning:
- Available resources analysis reach (financial, work with andothers);
- Identification of the customer, participant and team of executors;
- Determining the duration of the project;
- Identify other conditions and limiting factors.
3-stage. Analyzing the current state of the brand.
This step is performed for existing brands and the following information is determined:
- It is seen to what extent the understanding of the brand is in the target audience;
- The attitude of the target audience to the brand is determined;
- The level of brand affinity is considered;
- The essence of the brand in the current state is compared to the imagined desire or need.
4-stage. Analysis of the market situation.
This stage applies to both the domestic and foreign markets, and it is necessary to take into account its current state and conditions in the forecast period:
- Competitors analysis reach (assortment, purposeful audience, positioning, shifting methods, price formation).
- Analysis of the expected target audience (descriptions, their wishes, desires);
- Sales markets (demand, share, dynamics);
5-stage. Representing the essence of the brand.
This stage is one of the most important stages, it determines for whom and why the level of recognition of the product or service is needed:
- Shows the brand's mission, positioning (positioning) and usefulness for the target audience;
- Individuality: values, imaginations, features, competition, superiority;
- Elements that make up a brand (name, logo or brand, character or character, font, packaging and so on).
6-stage. Developing a brand management strategy.
It is important to define the strategy and to develop long-term target plans, considering the prospects of changes in the market situation. In our opinion, it is important to take into account the principles, functions and other tools of management, rather than adapting the management strategy to the existing management apparatus. The following tasks are performed at this stage:
- Develop the rules for creating marketing materials and express the process of brand management;
- The brand which develops (the brand keepers) identification and designation of responsible personnel;
- Developing an action plan for brand promotion (integrated marketing communications);
- Development of a brand monitoring (monitoring) process plan and determination and evaluation of its effectiveness.
7- stage. Brand promotion integrated marketing communications.
This phase is implemented in accordance with the management strategy adopted in phase 6, and a consumer outreach plan is developed. Especially now, it is implemented on the basis of the concept of marketing relations and serves to implement the social development policy established in 2019.
This stage tries to find a solution to the following tasks:
- A media plan, that is, a plan for working with mass media, is developed;
- Advertising products are developed;
- Placement of advertising products is carried out in communication outlets;
- Comprehensive consumer orientation programs are developed.
8- stage. Monitoring (observation) of the brand and evaluating the effectiveness of actions.
At the final stage, evaluation of the final results, comparison of the obtained results with previous indicators, implementation of the plan. It is aimed at solving the following tasks:
- Monitoring of the measurable parameters of the brand (indicators determined in step 1);
- Comparison of the current and desired state of the brand;
- Change strategy or tactics. In the conditions of the innovative economy, such a need is increasing more and more.
Before expressing the characteristics of brand formation in Uzbekistan, we should pay attention to the trends in the marketing theory of brand, positioning, advertising, and PR (public relations) systems. For example, foreign marketers El Rice, G. Dan, Dj. It should be noted that the views of the above-mentioned economic categories in the literature of Yaffe et al. are outdated in modern business and marketing, especially considering the local mentality. They were based mainly on two principles: the first is that people are more receptive to simple, simple views or appeals than complex ones. Second, it is natural for people (consumers) to try to accept new information within their knowledge. But,
In practice, unfortunately, we can observe the situation of imitation of a well-known foreign brand. For example, the company "Tokhtanyoz ota kolbasalari", well-known in our republic, uses the trademark of the American basketball team "Red Bulls" in its logo, the dairy company "Dobroe derevenskoe utro" imitates Russian brands, and we can cite many other examples.
There are also cases where the same businessmen or companies use foreign brands as their own logos. For example, although there is no "McDonalds" company in Uzbekistan, it is possible to find cases of its trademark being used, or "Khorazm burger" being the name of the product or company. Of course, such a situation limits the possibility of products and services produced in Uzbekistan to enter the foreign market.
Taking this into account, the following requirements should be met when creating a local brand in branding theory and practice:
1. Based on the requirements of the innovative economy, we must ensure that local products are compatible with local customs and traditions in order to become a brand.
2. Without jumping from one category (type) of product to another, attention should be focused only on this product. It is more appropriate to create a new brand.
3. Being the first to offer a new product or service in the minds of consumers is better than being the first or best in the industry.
4. Brands enter life slowly and its success is measured in ten years, brands that entered quickly may have a short life.
5. In a certain case, the excess of advertising does not build the brand, on the contrary, it can harm it. For this reason, in our opinion, it is appropriate to develop a PR (public relations campaign) system and use advertising to recall information about a product or service.
We expressed this proposal in the system of using marketing communications presented in Figure 2:
Figure 2. Communications in Marketing
In foreign practice, a lot of attention is paid to the tasks of marketing communications. Because it plays a big and important role in the transformation of a product or service into a brand. For example, marketers Rossiter and Percy distinguished the following five communication tasks in their development [5]:
- formation of the need for the product category;
- formation of information or knowledge about the trademark;
- expressing the attitude towards the trademark;
- sales promotion;
- shopping assistance.
The sequence of execution of these five tasks is interdependent and the role of advertising in all stages is incomparable. In our opinion, the most important thing in the implementation of these tasks is to take into account Uzbek traditions, traditions, history, and to be able to express oriental culture. In addition, in creating a local brand, forming a relationship to a brand or product and information about it the development of the notification system takes an important place. For this, it is necessary to take into account the rules in the following order:
1. Awareness is divided into two types - familiarity and reminder. In practice, a consumer can recognize brands five times more than they remember them.
2. A typical consumer may not remember more than seven brands of a single sales category.
3. Advertising can be quickly forgotten (Figure 3). As we mentioned above, the excess of advertising can lead to a decrease in attention to it, or to the state of not reading it at all, or not understanding it. A similar situation can be observed in awareness.
4. Awareness can build a good relationship. Especially as information increases, consumers begin to focus more on satisfying their most basic needs.
Figure 3. The dynamics of forgetting
The majority of consumers use 2-3 brands of one product or service category. For example, the most popular brands of milk products are "Nestle", "Musaffo", "Kamilka". Today, the brand "Dobroe derevenskoe utro", which occupies more of the market, but its imitative status, destroys it as a local brand.
As shown in Figure 3, consumer recall is halved after one month of exposure to the ad during the advertising process. This situation depends on the mentality of people. For this reason, famous companies such as Coca-Cola, Pepsi, RC, etc. pay a lot of attention to the reminder stage in the advertising process. In Uzbekistan, the Imzo brand is now using the same technology.
In his Address to the Oliy Majlis, the President of the Republic of Uzbekistan, Sh. mentioned the following thoughts: "I saw success in effort, and failure in indifference and laziness." Of course, this wisdom requires us to work hard to form a national brand and launch it on the world market, to conduct extensive marketing research in this regard, and to take from the world experience aspects that correspond to the mentality of our people.
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