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The brand health of Gucci

Uni ID: U5316094
Name: Guangjun Dong
Course Name: Marketing Strategy
Course Code: MKTG 7027

1 Introduction
1.1 The necessity and importance of brand health
A strong brand identity is a key factor in the success of all business, whether large or small. The brand health of a product, services or provider is guaranteed to have a significant impact on consumer awareness of the brand. Brand health is related to consumers’ current and future value and differences in competitive position. (Berg, Matthews, & O'Hare, 2007).It is important to manage brand health from a forward- looking perspective, since it directly influences the growth of brands (Berg, Matthews, & O'Hare, 2007).
Brands begin with promise, enter growth phase, reach a plateau, and then slowly lose as customers move on to the latest new brands (Macmillan & Tampoe,2000). That is why it is important to monitor brand health before sales slip. Furthermore, the brand health audit is an opportunity to look at the brand from different critical perspective.
According to Macmillan & Tampoe(2000), when brands reach the peak point where sales begin to slide because customers will not resonate with brands. So it is the time to determine the long-time outlook for brand health of Gucci.
1.2 The brand background and history
Gucci is an Italian company founded in Florence in 1921. It is an Italian fashion luxury brand that designs, manufactures and distributes high-end goods such as leather goods, hand-making shoes and fine jewelry. Gucci is considered to be the most recognized fashion brands all over the world.
The history of Gucci is shown below (Kwak & Yoffiie, 2001):
1920s-1930s: Gucci was established by Guccio Gucci in 1921. Its bags, shoes and belts became very popular among the client in Florence.
1940s: Gucci began to produce products with non-luxury materials. It innovate the new Bamboo bag, which became the first of...

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