2.  What does a brand equity measurement
system mean to you?
 What about a brand equity management
system?

3.  Brands need to:
◦ Measure what they do and prove their
worth
 Ability to generate cash flow
 Create customer value

4.  A structured approach to assessing the
sources and outcomes of brand equity and
how marketing activities create brand value.

5.  Where do you think the value of a brand lies?

10.  Allows insight as to where value is created
and where to improve

11.  To create value, you need a well-funded,
well-planned, and well-implemented
marketing plan

12.  Need to ensure value transfers from stage to
stage

13.  What do you think of when you hear audit?

14.  A comprehensive examination of a brand in
terms of its sources of brand equity.
 To learn what customers know about your
brand
 Sets strategic direction for company

15.  Understand the products and services offered
 How they are marketed and branded

16.  Understand customers perceptions and
beliefs to uncover the true meaning of brands
and products.

17.  1. Brand inventory
◦ Provides a comprehensive profile of how all the
products and services are marketed and branded.
◦ Asses consistency

18.  2. Brand Exploratory
◦ Research directed about understanding what
customers think and feel about the brand and its
product category to identify its sources of brand
equity.

19.  1. review archives
 2. interview staff
 3. do additional research

20.  Qualitative:
◦ Find out what
customers
implicitly mean.
• Quantitative:
– Strength
– Favorability
– uniqueness

21.  Do you think they are worth it?
 A good idea?

22.  Info collected over time
 Provides baseline info for day-to-day
decisions

23.  Brand associations
◦ Strength, favorability, uniqueness
• Judgments & feelings

24.  Additional questions warranted

26.  Who do you think these brands should track?

27.  Continuous?
 Less frequent for durable goods?
 Every week?
 What do you think?

28.  Deciding on appropriate benchmarks
 Sensitive tracking measures
 “don’t know” or no response?

29.  None of the before mentioned information
matters until it is put into action
 Increases likelihood of good decisions

30.  Formal written document containing the
company view of brand equity
1.Define
2.Describe
3.Specify
4.Explain
5.Suggest
6.Outline
7.Specify

31.  Find out what is happening with the brand
and why
 Summary of customer perfections of attribute
or benefit associations
 Measures of performance and sources and
outcomes of the brand equity

32.  Goal: identify key brands
 Activity: locate status on a baseline compared
to competition
 Measurement: allocate inputs with objectives
such as increasing purchase intensity
 Evaluation: assess the outputs

33.  Organizational responsibilities must be
defined clearly
 Weak brands have a lack of discipline,
commitment, and investment.
dunkaroos commercial

34. 1. Review brand-sensitive material
2. Review status of brand initiatives
3. Review brand-sensitive products
4. Review product and distribution strategies
5. Resolve brand positioning conflicts

35.  What is the difference between a monetary
valuation and the CBBE concept of keller?
Where do you see links?

36.  http://www.interbrand.com/en/best-global-
brands/2012/Best-Global-Brands-2012-
Brand-View.aspx
 Which brands would you have expected to be
higher or lower on the list and why?

37.  In 2005, Phillips was very proud that their
vale as estimated by Interbrand had
improved. Philips attributed this to the
introduction of the new positioning
earmarked by their “Sense and Simplicity”
slogan. In how far do you think this is
justified? In what way do such branding attics
influence the calculations of Interbrand?

38. What effects do awareness and brand
associations have on consumer
behavior?

39.  Brand-based
 Market-based
 Conjoint analysis

40.  Consumers respond to the marketing
campaign when the brand is changed

41.  Consumers respond to the brand when the
marketing campaign changes (price, new
products)

42.  A combination of changes in brand and
marketing campaign
A B C
Brand Bottle
Design
Price Nutrition
?
Coke A $1.00 Good
Coke B $1.50 Bad
Pepsi A $1.25 Bad
Pepsi C $1.00 Bad
Afri-cola C $0.85 Good
Afri-cola B $1.25 Bad

43.  Tries to put a value on the brand, either
abstract or financial
 Residual approach
 Valuation approach

44.  Brand equity is calculated by taking away the
physical aspects of the product and using just
consumer preferences

45.  Attempts to put a financial value on a brand
 Cost – how much would it cost to recreate it?
 Market – how much could you sell it for right
now?
 Income – how much will it make in the future?

46.  How much would it cost to recreate it?
 Expensive ads don’t always equal success
 http://www.youtube.com/watch?v=KjlyuR0H
C08

47.  How much could you sell it for right now?
 Disney bought Lucasfilm for $4.05 billion
 There aren’t enough market transactions to
base any solid estimates off of

48.  Tries to find the value of a brand by using
future cash flow and profits

50.  Split the consumer market into groups
according to applicable criteria (product,
consumption, geography)

51.  Forecasted revenues and earnings from
intangibles for each of the categories from
the market segmentation step

52.  The role that the brand has in driving demand
 Role of Branding Index (RBI) – find the drivers
in a market, then calculate the degree to
which each driver is connected to the brand

53.  Determine the
strengths and
weaknesses of the
brand to make a
discount rate (risk
evaluation)

54.  Calculate the Net Present Value of future
earnings, discounted by the brand discount
rate (from the competitive benchmarking
step)
 This will give the brand’s ability to continue
to generate revenue