Brand Equity 2

CONSUME R BEHAVIOR

BRAND EQUITY AND 20 MOST VALUABLE BRANDS

WHAT IS A BRAND? A

brand is a name, term, sign, symbol, or design which is intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.

 Something

used to show customers that one product is different than the products of another manufacturer.

THE CONCEPT OF BRAND EQUITY  The

brand equity concept stresses the importance of the brand in marketing strategies.  Brand equity is defined in terms of the marketing effects uniquely attributable to the brand. 

Brand equity relates to the fact that different outcomes result in the marketing of a product or service because of its brand name, as compared to if the same product or service did not have that name.

THE CONCEPT OF CUSTOMER-BASED BRAND EQUITY Customer-based

brand

equity  Differential

effect  Customer brand knowledge  Customer response to brand marketing

DETERMINANTS OF CUSTOMER-BASED BRAND EQUITY Customer

is aware of and familiar with the brand

Customer

holds some strong, favorable, and unique brand associations in memory

BUILDING CUSTOMER-BASED BRAND EQUITY  Brand

knowledge structures depend

on . . .  The

initial choices for the brand elements

 The

supporting marketing program and the manner by which the brand is integrated into it

 Other

associations indirectly transferred to the brand by linking it to some other entities

BENEFITS OF CUSTOMER-BASED BRAND EQUITY  Enjoy

greater brand loyalty, usage, and affinity  Command larger price premiums  Receive greater trade cooperation & support  Increase marketing communication effectiveness  Yield licensing opportunities  Support brand extensions.

BRAND EQUITY AS A “BRIDGE” Customer-based

brand equity represents the “added value” endowed to a product as a result of past investments in the marketing of a brand. Customer-based brand equity provides direction and focus to future marketing activities

THE KEY TO BRANDING  For

branding strategies to be successful, consumers must be convinced that there are meaningful differences among brands in the product or service category.  Consumer must not think that all brands in the category are the same.  PERCEPTION = VALUE

CUSTOMER-BASED BRAND EQUITY PYRAMID RESONANCE

JUDGMENTS FEELINGS

4.4. RELATIONSHIPS RELATIONSHIPS == What Whatabout aboutyou you&& me? me? 3.3. RESPONSE RESPONSE == What Whatabout aboutyou? you?

PERFORMANCE

IMAGERY

SALIENCE

2.2. MEANING MEANING == What Whatare areyou? you? 1.1. IDENTITY IDENTITY == Who Whoare areyou? you?

SALIENCE DIMENSIONS Depth

of brand awareness Ease of recognition & recall Strength & clarity of category membership

Breadth

of brand awareness Purchase consideration Consumption consideration

PERFORMANCE DIMENSIONS  Primary

characteristics & supplementary features

 Product

reliability, durability, and serviceability

 Service

effectiveness, efficiency, and empathy

 Style  Price

and design

IMAGERY DIMENSIONS 

User profiles Demographic & psychographic characteristics  Actual or aspirational  Group perceptions -- popularity 



Purchase & usage situations Type of channel, specific stores, ease of purchase  Time (day, week, month, year, etc.), location, and context of usage 



Personality & values 



Sincerity, excitement, competence, sophistication, & ruggedness

History, heritage, & experiences Nostalgia  Memories 

JUDGMENT DIMENSIONS 

Brand quality  Value  Satisfaction



Brand credibility  Expertise  Trustworthiness  Likability



Brand consideration  Relevance



Brand superiority  Differentiation

FEELINGS DIMENSIONS Warmth Fun Excitement Security Social

approval Self-respect

RESONANCE DIMENSIONS 

Behavioral loyalty  Frequency and amount of repeat purchases



Attitudinal attachment  Love brand (favorite possessions; “a little pleasure”)  Proud of brand



Sense of community  Kinship  Affiliation



Active engagement  Seek information  Join club  Visit web site, chat rooms

BRAND MANTRAS 

A brand mantra is an articulation of the “heart and soul” of the brand.  Brand

mantras are short three to five word phrases that capture the irrefutable essence or spirit of the brand positioning and brand values.



Nike  Authentic



Athletic Performance

Disney 

Fun Family Entertainment

BEST GLOBAL BRANDS Country of Origin Name

1.United States 2.United States

Sector

Beverages Computer Services

3.United States

Computer Software

4.United States

Diversified

5.Finland

Brand

Consumer Electronics

Country of Origin Name 6.United States

Sector

7.United States

Internet Services

8.Japan

Automotive

9.United States

Brand

Restaurants

Computer Hardware

10.United States

Media

11.United States

Computer Hardware

Country of Origin Sector 12.Germany Automotive

Brand Name

13.United States

Personal Care

14.United States

Computer Services

15.Germany

16.France

Automotive

Luxury

Country of Origin Name

Sector

17.United States

Tobacco

18.Japan

Automotive

19.Republic of Korea

20.United States

Brand

Consumer Electronics

Computer Hardware