Brand Names as Short-hand Devices

Brand names evoke a lot of clues, thereby reducing the need for a detailed information search. Miller (1956) has proposed that human mind processes information in terms of’ bits  just like computers. But unlike a computer, human mind can process seven bits of information only simultaneously. Even information carried by a branded grocery items on its package is in hundreds of bits. There is bombardment of information from all sides. Suitable methods must be devised to cope with such a huge amount of information.

Bits of information are, therefore, aggregated into larger groups or ‘ chunks ‘. A label reveals several ingredients which constitute a product. These could be chunked together as ingredients. Price information is combined with this chunk to be interpreted as a high quality offering. Later a brand  name is seen, but it is not familiar. Then the company making it becomes known. This is related to earlier chunks to infer that this is a premium brand. The entire information now emerges as a well-presented container of a quality product priced highly and selling through a reputed retailer and made by well-known manufactuer noted for his promotion. When we come across an ad for the brand, we are able to recall all this information quickly. Brand name evokes an information chunk stored in the memory.

Marketers have to facilitate this process. They have to see that larger chunks of information sink into consumer memory. Such chunks can be quickly accessed through associations from brand names. Branding is thus a short-hand device. Frequent exposure to ads facilitate the chunking process either by active or passing acquisition of information. It is no use repeating the brand name, without associating appropriate attributes with it.

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