Intel Strat

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1. Was the Intel Inside campaign worth it ?   What were its strengths and weaknesses?

The unfavorable judgment against Intel “386” trademark in 1991 indicated that any competitor could market its product using the same marks, numerical sequencing, used by Intel.   To differentiate from competitors and solve the problem of market confusion among the product offerings, Intel developed an alternative branding strategy by focusing on building the company’s brand image instead of product-based brand strategy.   Under the new branding strategy, Intel was established as a brand, a reliable and premium brand, ably transferring the equity of “386” and “486” microprocessor to Intel, the company and to distinguish Intel products and to communicate the depth of Intel as a corporation with respect to its competitors as well.

To boost the awareness of Intel’s brand name and strong differentiation, the company employed a series promotion campaigns to reinforce the main message of “Intel Side” aggressively after loss of trademark.   Detail of their promotion campaigns are as under:

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Intel campaign has successfully introduced the microprocessor to the market and consumers can identify its microprocessor technology.   Its success laid the groundwork for moving into next generation.   Through repeat impressed promotional message be certain that consumer have Intel technology on the inside.   As Intel is the leader and the best microprocessor supplier.

In Intel Inside campaign, the company...
1. Introduction to ingredient branding
2. The need for an ingredient brand
3. Developing the ingredient brand strategy
4. Intel co-operative marketing strategy
5. Creating a quality standard
6. Intel campaign investment
7. Ingredient branding results
8. Ingredient branding success factors

1. Introduction to ingredient branding
Every month more than 4 million billion (4 x 1015) transistors are produced; more than half a million for every human on the planet. Most computer chips each comprise more than 7 million transistors. Twelve years ago computer chips, in the eyes of consumers, were a generally unknown component of PCs - a commodity product. From a competitive standpoint, a computer chip is a typical commodity. Take one out, put another in, no performance difference. Chips are something most customers don't see, many don't understand, and large numbers don't care about. But Intel has built a brand around a commodity. The company was founded in 1968 and went public in 1971. By 1997, it controlled 90% of the world's market for personal PC microprocessors. Although the market is more competitive today, Intel is still the largest chip manufacturer in the world. 2. The need for an ingredient brand

Intel developed the chips which set the standard for personal computing during the 1980s, beginning with the 8086 chip and then developing a series of product improvements. Competitors rapidly adopted the same naming convention, and Intel's product names - the 286, 386 and 486 could not be protected. Intel had to find a way to become distinctive in what seemed to consumers to be a confusing, commodity marketplace. When Intel lost its battle for the "386" trade mark, they began the transition from a microprocessor producer to a branded products company. In 1991, the "Intel Inside" brand ingredient programme was launched with almost 200 OEM (Other Equipment Manufacturers) partners with the objective of creating a consumer brand to make sense of the rapidly changing product cycles. Intel already had an established reputation as a quality producer of microprocessors amongst the OEMs. However, Intel needed to differentiate itself from its competitors and build a consumer brand. Intel believed it could position its chips as a premium product, which it could in turn sell at a premium price to computer manufacturers. To give computer manufacturers and their retail customers more reason to...
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