This website uses cookies to ensure you have the best experience. Learn more

Brand Equity Essay

1373 words - 6 pages

Brand Equity
Brands has been around for centuries and play a major role in our lives today it helps us identify a good or service from one seller to another and separate it from the competitors satisfying the same need. These differences could be tangible or intangible which ultimately helps to improve consumers’ lives and enhance the financial value of firms.
What is Brand Equity?
Brand equity has number of perspectives, but in essence means the value or perception created to a product or service in the minds of the consumer through the activities leading to create a strong consistent brand. This is also called “Brand goodwill” by accountants.
The Role of brands
As ...view middle of the document...

The weakness in this model is there are not links among attributes and their individual weighs in the total brand equity which makes it superficial.
Brand Resonance
This is a consumer based brand equity model developed by professor K. L. Keller that views brand equity as a development process which focus on building strong connections between customer and the brand.

According to Kotler et al (2012), the first stage of brand development is brand identity where the consumers are beginning to understand what the brand is. Salience refers to how often and how easily consumer thinks of the brand under various purchasing situations.
The second stage is meaning, where consumers begin to understand the points of difference and parity through the brand performance, reliability and functionality. The case demonstrate the value of the brand by marketing on the functional stylish design feature of its products and changing or modifying its products to suit different type of customers.
Third stage is response, where the consumers begin to judge the brand, give personal opinions and evaluation. The case talks about the disgruntled customer at cash registers and the founders’ links with pro-Nazi organization having an effect on the IKEA brand.
The final stage is resonance, This is where it shows the extent of the relationship or connection the brand has. There is evidence in the case showing customer queuing up days before grand opening of IKEA shops.

Brand Asset Valuator
Brand asset valuator (BAV) according to Scribd (2010) is unique since it is predictive, focusing on leading indicators, the size and scope of data helps evaluate a brand in entire world of brands and across many categories and can help managers understand market opportunities and type of risks that come with them and manage brands in the long term.
There are 4 key attributes identified by Ruta et al. (2010) and a fifth one as “Energy” identified in Kotler et al (2012).
Differentiation: the degree to which a brand is seen different from others.
Relevance: measures the breath of a brand’s appeal.
Esteem: how well a brand is regarded and respected.
Knowledge: how consumers are knowledgeable and familiar with the brand.
Energy: measures the sense of momentum of the brand.

Building Brand Equity
According to Kotler et al (2012) there are 3 equity drives.
1. Choosing the right brand elements or identities making up the brand
2. Holistic marketing activities and programs supporting the brand and all products and services endorsed by the brand
3. Use of other entities like (a person, place or thing) to indirectly transfer the associations to the brand.
Brand elements
Are the unique properties or trademarks that identify and differentiate the brand. Brand names, URLs, logos, slogans, symbols, packages, characters, spokespeople and signage.
Eg: in the case the meaning of the name “IKEA” what each character represents, its distinguishing blue and...

Other Papers Like Brand Equity

Assess How Branding Has Increased in the Last Few Decades. Think of a Brand; Analyze How the Organization Developed Its Brand Equity. Assess the Influence of Branding on an Organization’s Imc. Must...

629 words - 3 pages in a pure form. Brand Equity Evaluation System (BEES) is based on eight brand equity determinants – brand sales, net operating margin, perspectives of brand development, international orientation, advertising investment, brand strength in the sector, brand image and pre-tax earnings, noted Salinas, G. (2011). In order to compose brand quality factor, we should utilize such elements as sales, net operating margin and perspectives of brand

Brand In China Essay

1021 words - 5 pages Brand Equity Aims Ø Three Types of Brand Equity Ø What are they? Ø How to create and measure? 1 Brand Excels at Delivering Benefits Customers Truly Desire Strongly Agree Strongly Disagree Brand Stays Relevant Strongly Agree Strongly Disagree 2 Brand is Properly Positioned Strongly Agree Strongly Disagree Brand is Consistent Strongly Agree Strongly Disagree Brand Managers Understand what the

Integrated Marketing Communication

2128 words - 9 pages customer-based brand equity emanates from the consumer's familiarity and strong,favorable associations with the brand. For Keller, "marketing communications represent the voice of a brand and the means by which companies can establish a dialogue with consumers concerning their product offerings" (2001, p. 823). That is, marketing communication may provide the means for developing strong, customer-based brand equity (Keller 2003). Furthermore

Brand Personality

616 words - 3 pages 1. Introduction 1.1 Background of the study Brand personality is one of the core dimensions of brand equity (Aaker, 1996). It is concerned with how people attach a “pseudo” human personality to the brand itself, rather than to what the brand does (Keller, 1998). Brand personality has received considerable attention from marketing scholars, because the principal advantage of creating a brand personality is that it increases consumer

Png Case Study

718 words - 3 pages Brand equity is a marketing term used to refer to the marketing impact of a given product in association with a brand name. It tries to examine how a given product will perform in the market if it did not have the privilege of that brand name. Therefore, the basis for brand equity and its impact on a business is based on the knowledge of the customer about that product. And yet, brand plays a vital role in helping build that knowledge and

Case Study

3888 words - 16 pages explanation and overall introduction of Red Bull GmbH. The Theoretical analysis identifies and describes the sources of Red Bull GmbH’s brand equity. The theoretical analysis II integrates and analyses’ the Red Bull GmbH’s marketing program in terms of how it contributes to the brand’s equity. It identifies any alternatives, or issues that might arise through the contribution of various factors. The theoretical analysis III, allows for the

Marketing Case Study

593 words - 3 pages Is it important to develop Brand Equity? It is important for sure. Basically brand equity is the added value endowed on products and services. It may be reflected in the way consumers think, feel, and act with respect to the brand. Therefore if the development of brand equity is good, consumers would think and feel good respect to the brand. In this case study, in order to develop brand equity, P&G studies its customers, and have long

Strategic Brand Management

2363 words - 10 pages Chapter 2 Customer-Based Brand Equity Overview This chapter defines the concept that is the focus of the book. Customer-based brand equity (CBBE) is the differential effect that brand knowledge has on consumer response to the marketing of that brand. Brand knowledge is a function of awareness, which relates to consumers’ ability to recognize or recall the brand, and image, which consists of consumers’ perceptions of and associations

Brand Management Outline

650 words - 3 pages ? * Comprehensive examination of * Brand health and activities * Sources of Brand equity * Current issues/opportunities with recommendations * Includes an external, consumer-focused assessment * Consumer Survey * It includes: * Brand inventory, “exploratory”, recommendations * Suggested Outline Executive Summary * With background about the brand, industry and competitors * Consumer analysis

Brand Report: Manly Council

3663 words - 15 pages MKTG311 Brand Report 30% Manly Council credit: 70/100 Word Count: 2998 Executive Summary This report was commissioned to examine brand management theories and analyse them in regards to a particular case study: Manly Council. Specifically, the research draws attention to Keller’s Brand equity model and the brand-positioning concept that identifies the points of parity and points of difference of a brand in relation to its

Brand Extention

4404 words - 18 pages It starts with an idea s t a g e s o f innovation Best Practices in Brand Extension: Effective Application of Brand Recognition BRAND EQUITY CAN BE DIVIDED INTO THREE COMPONENTS: EXPERTISE, EMOTIONAL ATTACHMENTS AND PRODUCT ATTRIBUTES Brand extensions are an effective and popular method of gaining a competitive advantage when entering a new product area. Consumers are faced with an increasingly complex and confusing marketplace

Related Essays

Managing Hotel Brand Equity Essay

1589 words - 7 pages Managing Hotel Brand Equity Summary: This research article examines what constitutes brand equity in the hotel industry and demonstrates a method for how that brand equity can be measured. It first states that the chief reason for building brand equity as the cornerstone for business success is that it helps offset competition by differentiating the product, allowing brand owners to charge a premium, and fostering customer loyalty. The brand

Brana Equity And Brand Extension Essay

2638 words - 11 pages needs and expectations of their fulfillment. * Brand can predict buyers’ behaviour of buying the product or just avoiding it. Brand Equity It can be defined as the “stored value built up in a brand for achieving competitive advantage.” Several Ways of Gaining Brand Equity * Resilience of the brand, its intrinsic strength as compared to the competitive brands. * Trials and test marketing of new products as brand

Customer Based Brand Equity Model (Cbbe)

1298 words - 6 pages Customer Based Brand Equity Model (CBBE) The CBBE model approaches brand equity from the perspective of the customer – whether customer is an individual or an organization. The CBBE model provides a unique point of view as to what brand equity is and how it should best be built, measured and managed. The power of a brand lies in what customers have learned, felt, seen and heard about the brand as a result of their experiences over

Brand Equity Essay

5088 words - 21 pages protect the image. 1.3 Statement of Problem Several statement that will be support this research : * Do the price, brand name, marketing strategy have significant impact toward the woman shopping behavior at Midnight Sale? * How many people interest to come to Midnight Sale? * Which factors have significance impact towards the customers’ loyalty in Jakarta? 1.4 Significance of study The results from this research would be