Creating Brand Equity

creating brand equity

Creating brand equity

Marketers build brand quality by creating the right brand knowledge structures with the right consumers.

Building brand equity

3 sets of brand equity drivers.

-Initial choices for the brand elements or identities making up the brand (brand names, URLs, logos, symbols,

-product and service and all accompanying marketing activities and supporting marketing programs вЂ" way brand is integrated into supporting marketing program

-associations indirectly transferred to the brand by linking it to some other entity

Choosing brand elements

Brand elements = trademarkable devices that serve to ID and differentiate a brand (Nike swoosh)

Test of the brand-building ability of elements is what consumers would think or feel about the product if they only know about the brand element

6 criteria in choosing brand elements. First 3 are �brand building’, latter 3 are �defensive’

-memorable вЂ" how easily is brand element recalled

-meaningful вЂ" to what extent is the brand element credible and suggestive of the corresponding category

-likeability вЂ" how aesthetically appealing do consumers find the brand element?

-transferable вЂ" can element be used to introduce new products in the same or different categories

-adaptable вЂ" is it updateable?

-protectable вЂ" is it legally protectable? Can it be copied?

Designing holistic marketing activities

Brand contact = any information-bearing experience a costumer or prospect has with the brand, product category, or the market that relates to the marketer’s product or service. Marketers are creating brand contacts and building brand equity through avenues like sports, clubs, events, PR, press etc)

Personalization

Experiential marketing, one-to-one marketing, permission marketing. Concepts all about getting consumers more actively involved with a brand by creating an intense, active relationship. Personalization makes sure the brand and marketing program are as relevant as possible to as many customers as possible.

Integration marketing = about mixing and matching marketing activities to maximize their individual and collective efforts. Integration is critical with communications and judged by the effectiveness and efficiency with which it affect brand awareness (consumers ability to ID brand under diff conditions) and brand image (perceptions and beliefs held by consumers as reflected in the associations held in consumer memory). Diff communication methods have diff objectives.

Internalization

Internal branding = activities and process that help to inform and inspire employees. Critical for service companies and retailers that employees have up-to-date understanding of brand and promise. Bonding occurs when customers experience the company delivering on promise. Brand perception is mostly affected by interactions with employees.

Leveraging secondary associations

Brand equity may be created by linking the brand to other information in memory that conveys meaning to customers.

Brand linked to source factors: company, countries, distribution channels; as well as other brand, characters, spokespeople, events, or other 3rd party sources (awards/reviews)

Measuring brand equity

Indirect approach assesses potential sources of brand equity by IDing and tracking consumer brand knowledge structures. Direct approach assesses the actual impact of brand knowledge on consumer response to different aspects of the marketing.

Brand audits вЂ" assesses health of brand, uncovers sources of brand equity and suggests ways to improve and leverage its equity. From perspective of firm, must understand what products and services are currently being offered to consumers and how they are being marketed and branded. From consumer’s perspective, must uncover true meaning of bands and products to the customer. 2 steps in audit, inventory and exploratory.

-brand inventory вЂ" provide current, comprehensive profile of how all the products and services sold by a company are marketed and branded. Must ID all associated brand elements and supporting marketing program. Inventory suggests what consumer’s current perceptions may be based on. Primarily descriptive exercise.

-brand exploratory вЂ" research activity conducted to understand what consumers think and feel about the brand and its corresponding product category to ID sources of brand equity.

Brand tracking

Tracking studies collect info from consumers on a routine basis over time and provide valuable tactical insights into the short-term effectiveness of marketing programs and activities.

Audits measure where the brand has been, tracking studies measure where the brand is now and whether marketing programs are having the intended effects.

Brand valuation вЂ" total