Part 1 of 2 - Theory

Question 1 of 10 1 Points

A brand extension is:

A. the use of an established brand name for brands in unrelated markets or product categories.

B. the placing of product in oversized packets to make consumers feel that they are buying more.

C. the use of an established brand name on a new brand within the same broad market.

D. when two or more independent brands join forces to produce a combined brand.

Question 2 of 10 1 Points

Different products of a company marketed under one common name is known as _____.

A. umbrella branding

B. individual branding

C. combination branding

D. own-label branding

Question 3 of 10 1 Points

An individual brand name:

A. combines family and individual names to capitalize on the reputation of the company

B. does not identify a brand with a particular company.

C. helps the promotion of all of the brands carrying the family name.

D. is a group of brands that are closely related in terms of their functions and the benefits.

Question 4 of 10 1 Points

Brand positioning refers to:

A. addition of functional or emotional values to the core product.

B. the use of an established brand name on a new brand.

C. the changing of a brand or corporate name.

D. creating a unique place in the market relative to competing products.

Question 5 of 10 1 Points

_____ ________, an element of brand positioning, communicates the core values and characteristics of the brand creates a differential advantage with target consumers.

A. Brand extension

B. Brand values

C. Brand management

D. Brand augmentation

Part 2 of 2 - Case study

'The Notorious' Conor McGregor Born in Dublin, Ireland, Conor McGregor's rise to stardom has been one of sport's biggest success stories. He took up boxing at the age of 12, but was unemployed and surviving on benefits by the time he began training in mixed martial arts (MMA) in 2006. He signed a contract with the Ultimate Fighting Championship (UFC) in 2013, and his talent and dedication to the sport became obvious immediately. As well as his success in the ring, which has earned him the name 'The Notorious', he draws big crowds for trash-talking his opponents. In 2016, he became the first UFC fighter to hold two belts after taking the lightweight title while he was still reigning featherweight champion. In the summer of 2017, he made history and dominated headlines for months after tempting US boxer Floyd Mayweather out of retirement for a crossover fight in Las Vegas, which netted him a reported US$100 million (81 million). The McGregor brand Conor McGregor is one of the most bankable stars in the UFC and his rags-to-riches story has inspired millions around the world. Before Conor McGregor's rise to fame, MMA occupied a similar position in TV sports rosters and most viewers' minds as sumo wrestling or World's Strongest Man contests. It was viewed as an oddity and had a very small and dedicated fan base, often viewed as too violent for the mainstream. That is until Conor McGregor came on to the scene and literally changed the game. He burst into the mainstream, landing on magazine covers and luring many to a sport they might never have even considered. He has gone from being a name that only hard-core MMA fans recognized, to being one of the UFC's biggest names. McGregor has an abundance of confidence and charisma, a sharp wit and a flamboyant style inside and outside the octagon. Ambition is everything to McGregor and he is willing to take risks and achieve his goals. He has always been ambitious; since coming to the UFC, even as an unknown featherweight, he always predicted his fighting success and financial ambitions, and he has always had his eye on the end prize. Conor McGregor is a social media powerhouse and this has played a key role in developing his personal brand. His Instagram account has been well curated since day one and he has amassed 23 million followers. He also has a presence on Twitter, where he has 7.1 million followers, and on Facebook, where he has 7.6 million followers. Leveraging the McGregor brand McGregor has been actively involved in developing his personal brand, seeking to protect what he believes is his intellectual property, in conjunction with launching new products and licensing opportunities. In recent years, he has extended his brand in a number of ways. In late 2017, he made his mark in the fashion industry when he teamed up with his tailor David August Heil, CEO and creative director for clothing company David August, to work on a new menswear label. This new label, which was the first apparel venture for McGregor, offers modern suiting, sportswear and accessories inspired by McGregor's colourful style. Designed and priced to appeal to millennial males, who follow McGregor's sartorial swagger, the August McGregor line offers complete suiting options, including shirts and accessories. The fighter launched his own movie, Notorious, in November 2017. Filmed over the course of four years, it is a gripping access-all-areas account of McGregor's personal and professional journey from claiming benefits and living in his mum's spare room with his girlfriend to claiming multiple championship belts and nine-figure pay packets. Featuring exclusive interviews, unprecedented access and fight footage, it was promoted as 'the ultimate behind-the-scenes look at a sporting icon and his meteoric rise'. The movie enjoyed the biggest opening weekend of any Irish film that year at the Irish box office, with Notorious hitting the number-four spot for Irish cinema takings after it grossed 103,000 (172,000 including previews). Not all of Conor's brand extensions have been successful though. In August 2017, the fighter revealed his plan to cash in on his name by launching a whiskey brand using his moniker

'Notorious'. However, Seamus O'Hara of Carlow Brewing Company is attempting to block McGregor's attempts to register 'Notorious', complaining that McGregor's trademark is identical to his 'Notorious Red IPA Pale Ale', covers identical product categories and is likely to confuse the public. McGregor has also been trying to trademark several words and phrases associated with his personal brand, as part of a strategy to capitalize on his global commercial appeal as one of the world's best-known sports stars. However, he has been faced with legal opposition from a number of multinational consumer brands. In September 2017, he applied for a European trademark for 'Mystic Mac', a nickname he acquired for predicting the outcome of his fights. However, this was opposed by Make Up Cosmetics (MAC), Inc., the New York-based make-up giant, which argued that it could be confused with its products if McGregor used his proposed brand to sell men's toiletries. McGregor's 'Mystic Mac' application was also opposed by the German company that owns the Mac Jeans brand, which claims it would confuse its customers if applied to clothing. The fighter's application to register his name, 'Conor McGregor', was opposed in the EU by a Dutch fashion company that already holds the trademark McGregor for clothing and accessories. McGregor is also seeking a European trademark for 'ChampChamp', a moniker he publicly bestowed upon himself as the holder of world belts in two different weight divisions in MMA. That application was opposed by the Irish division of the global company behind the Champion sportswear brand. It has also been opposed by Cleats LLC, a US company that makes the Champ brand of sports footwear studs. In addition, McGregor is seeking a European trademark for the phrase 'I am Boxing', which was opposed by the Swiss retailer Migros, which sells the 'I Am' brand across several product classes of cosmetics and clothing. McGregor's worldwide success has allowed him to exploit his publicity rights beyond the octagon (and boxing ring). He has signed endorsement deals with many brands, including Beats by Dre, Monster Energy, Reebok and Bud Light. In early 2018, he also signed a deal with Burger King and appeared in its advertising campaign promoting its products. It is estimated that all his endorsement deals round up to approximately US$8 million. Controversy Since he exploded on to the world stage, McGregor has found himself embroiled in extremely controversial moments, whether it's on social media, in press conferences or in the ring itself. He has been slammed for apparent homophobic slurs, when he was caught on camera calling Andre Fili a 'f***ot' after his defeat of training partner Artem Lobov at UFC Gdansk. He was at the centre of multiple controversial racist moments during the build-up to his mega-fight with Floyd Mayweather, including telling his opponent to 'Dance for me boy!' In his press conference with Nate Diaz in the lead-up to the UFC 202 fight, a slanging match between the fighters occurred that descended into bottles being thrown across the room. In a more recent controversy, an arrest warrant was issued by the state of New York following a major disturbance at the Barclays Centre in April 2018 after a media event ahead of UFC 223. The fighter was caught on video attacking a bus full of fighters with metal railings and chairs, with two fighters injured. McGregor eventually handed himself into authorities and was charged with three counts of assault and one count of criminal mischief. The future UFC president Dana White has worked hard to polish the image of the organization, which resulted in a US$4 billion sale to WME-IMG in 2017. The modern UFC is a huge corporate identity desperate to appeal to the mainstream. However, UFC executives have been frustrated with McGregor ever since he knocked out Jose Aldo in 13 seconds back in UFC 194. The win propelled McGregor to new fame, making him almost bigger than the organization itself. It has been argued that this is something he has exploited and that has made him more difficult to

control. The UFC may have put up with his behaviour because, for a time, it made it money. However, some would argue that McGregor's antics, particularly his arrest in April 2018, have crossed a line and that he's nothing like the McGregor who became the UFC's greatest star. There is a belief that, in his early career, McGregor was a humble and introspective man and that was what made him relatable. His success story was one of a common man striving after his passions. However, has he been corrupted by money and power? Some wonder how McGregor can expect to be taken seriously when he can't control his actions or his mouth. Furthermore, how could the UFC feel comfortable and secure continuing its relationship with him when McGregor continues to cause compromising and indefensible public relations incidents through impulse? For those in the Conor McGregor camp, there is also a fear that the McGregor brand will be damaged. Sponsors may be turned off due to the fighter's controversial behaviour and there may be potential damage to the McGregor brand that will impact his future sponsorship earnings. However, McGregor's commercial reality is different to that of other athletes, as he makes the vast majority of his money from in-ring competition rather than sponsorship deals. According to sponsorship expert Rob Pearson, associate director of Teneo PSG, 'While many athletes need to supplement their income with endorsement deals, McGregor's reality is very different. He is worth more than 140 million according to the Sunday Independent Rich list and makes on average US$15-20 million per fight in the UFC. In 2017, he made an estimated US$8 million in sponsorship endorsements - small fry considering he makes that in five minutes in the octagon!'

Question 6 of 10 1 Points

Which of the following refers to a company who does not want another company to use its logo?

A. Copyright

B. Trademark

C. Brand origin

D. Patent

Question 7 of 10 1 Points

Which of the following key benefits does the McGregor brand provide to consumers?

A. Creative value

B. Ethical value

C. Symbolic value

D. Functional value

Question 8 of 10 1 Points

The use of Coner McGregor to help sell a product or service is known as:

A. celebrity empowerment.

B. celebrity endorsement.

C. celebrity equity.

D. celebrity announcement.

Question 9 of 10 1 Points

In regard to the McGregor fashion label, which of the following can be considered as an augmented product element?

A. Quality

B. Brand values

C. Styling

D. Features

Question 10 of 10 1 Points

Brand equity of the McGregor brand can be defined as:

A. a measure of the distinctiveness of the brand in the marketplace.

B. a measure of the popularity of the brand in the marketplace.

C. a measure of the brand's market share in the marketplace.

D. a measure of the strength of the brand in the marketplace.