1. Brand Equity
13TH AUGUST2014

2. What is Brand Equity?
Brand equity is the added value endowed on products and
services, which may be reflected in the way consumers, think,
feel, and act with respect to the brand.

3. Brand equity
 Brand Equity is a set of assets linked to a brand’s name and symbol that
adds to the value provided by a product or service to a firm and/or that
firm’s customers
 Brand Equity is a set of liabilities linked to a brand’s name and symbol that
subtracts from the value provided by a product or service to a firm and/or
that firm’s customers

4. Brand equity: Key aspects
 Brand equity is a set of assets
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dequity involves investment to create and
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uity asset creates value in a variety of very
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esensitive to the ways in which strong
 Brand equity creates value for customer and firm
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dequity, they must

5. Brand Equity as a Bridge
• The quality of investment in brand building isthe critical
factor, not necessarilythe quantity
Brand Promise
• Marketer’s vision of what the brand must
be and do for the consumers.

6. Key Benefits of Brand Equity
 Improved perceptions of product performance
 Greater Loyalty
 Lessvulnerability to competitive marketing
 Lessvulnerability to marketing crises
 Larger Margins
 More inelastic consumer response to price increase
 Additional Brand extension opportunities

7. CREATINGBRAND EQUITY
BUILDINGA STRONGBRAND REQUIRESCAREFULPLANNING &
GREATDEALOFLONG-TERM INVESTMENT.ATTHEHEARTOFA
SUCCESSFUL BRAND IS A GREATPRODUCT OR SERVICE,BACKEDBY
A CREATIVELYDESIGNED& EXECUTEDMARKETING.

8. Drivers of Brand Equity
Brand Elements
MarketingActivities
Meaning Transference

9. Brand Knowledge
Knowledge
Thoughts
Experiences
Beliefs
Images
Feelings

10. Brand Elements
Brand
names URLs
Slogans
Elements
Logos
Symbols
Characters

11. Brand Element Choice Criteria
 Memorable
 Meaningful
 Likeability
 Transferable
 Adaptable
 Protectible

12. Slogans
 Like a good neighbor,
State Farm is there
 Just do it
 Nothing runs like a
Deere
 Save 15% or more in 15
minutes or less
 We try harder
 We’ll pick you up
 Nextel – Done
 Zoom Zoom
 I’m lovin’ it
 Innovation at work
 This Bud’s for you
 Always low prices

13. Designing Holistic Marketing Activities
Personalization
Integration
Internalization

14. Internal Branding
 Choose the right moment
 Link internal and external marketing
 Bring the brand alive for employees

15. Figure 10.4 Secondary Sources of
Brand Knowledge

16. Measuring Brand Equity
Brand Audits
Brand Tracking
Brand Valuation

17. Table 10.2 The 10 Most Valuable Brands
Brand 2006 Brand Value (Billions)
Coca-Cola $67.00
Microsoft $56.93
IBM $56.20
GE $48.91
Intel $38.32
Nokia $30.13
Toyota $27.94
Disney $27.85
McDonald’s $27.50
Mercedes-Benz $22.13

18. Managing Brand Equity
Brand Reinforcement
Brand Revitalization
Brand Crises

19. Interbrand’s Steps in Calculating Brand Equity
 Market segmentation
 Financial analysis
 Role of branding
 Brand strength
 Brand value calculation

20. Devising a Branding Strategy
Develop new brand
elements
Apply existing brand
elements
Use a combination of
old and new

21. Branding Terms
 Brand line
 Brand mix
 Brand extension
 Sub-brand
 Parent brand
 Family brand
 Line extension
 Category extension
 Branded variants
 Licensed product
 Brand dilution
 Brand portfolio

22. Brand Naming
Individual names
Blanket family names
Separate family names
Corporate name-
individual name combo