This document discusses building brand equity and strong brands. It provides perspectives on brands, including that brands are no longer built solely through advertising, but through all customer and stakeholder experiences with a company. Strong brands provide competitive advantages like brand loyalty and premium pricing. Building a strong brand requires alignment across the entire organization around a collective vision and brand essence. All departments must understand and embrace the company's brand.

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Building Brand EquityBuilding Brand Equity
Management Retreat Presentation byManagement Retreat Presentation by
Ademola Akinbola, Head, CorporateAdemola Akinbola, Head, Corporate
Communication & Business Development,Communication & Business Development,
Nigerian Aviation Handling Company PLC,Nigerian Aviation Handling Company PLC,
Lagos.Lagos.
May 31, 2008.May 31, 2008.

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TESTIMONIESTESTIMONIES
 ““You won’t find it on the balanceYou won’t find it on the balance
sheet. If you ask the wizards onsheet. If you ask the wizards on
Wall Street exactly how it figuresWall Street exactly how it figures
into a company’s net worth, beinto a company’s net worth, be
prepared for some mighty blankprepared for some mighty blank
stares.stares.
 But more and more companies areBut more and more companies are
now coming to realise that whennow coming to realise that when
managed correctly, a good namemanaged correctly, a good name
can be their most VALUABLE andcan be their most VALUABLE and
ENDURING asset.”ENDURING asset.”
Fortune MagazineFortune Magazine

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TestimoniesTestimonies
 The marketing battle is a battle of brands, aThe marketing battle is a battle of brands, a
competition for brand dominance. Businessecompetition for brand dominance. Businesse
now recognize their brands as their mostnow recognize their brands as their most
valuable assets.valuable assets.
 It will be more important to own markets thIt will be more important to own markets th
to own factories. The only way to own markto own factories. The only way to own mark
is to own market-dominant brands.is to own market-dominant brands.

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Perspectives on Brands (1)Perspectives on Brands (1)
. . . Traditional Assumptions. . . Traditional Assumptions
 Vision/mission statements and corporateVision/mission statements and corporate
values are usually regarded as puffery.values are usually regarded as puffery.
 Different departments and branches of theDifferent departments and branches of the
same Company can communicate differentlysame Company can communicate differently
with customers without consideration for thewith customers without consideration for the
organisation as a whole.organisation as a whole.
 We can stand for one thing with customers,We can stand for one thing with customers,
another with employees and yet another withanother with employees and yet another with
investors.investors.

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Perspectives on Brands (2)Perspectives on Brands (2)
. . . We are in this together. . . We are in this together
•The Brand is the soul of the organisation. Understanding its
core values becomes the responsibility of everyone; from
the Human Capital Managerwho is recruiting new talents,
to the CustomerService Managerwho Is the direct linkto
the customer, to the ICT Managerwho is managing service
automation.
•Branding is not a function performed by one Department.
All Departments must be brand-focused in every aspect of
theiroperations.

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Perspectives on Brands (3)Perspectives on Brands (3)
. . . the Important Asset. . . the Important Asset
• In the highly competitive aviation servicesIn the highly competitive aviation services
market place, our brand is one of ourmarket place, our brand is one of our
valuable assets. In order for us to survivevaluable assets. In order for us to survive
and grow, this brand must be consciouslyand grow, this brand must be consciously
built, dutifully nurtured and properlybuilt, dutifully nurtured and properly
managed.managed.
• To succeed, an organisation must positionTo succeed, an organisation must position
itself not only for operational excellence, butitself not only for operational excellence, but
also distinguish itself by being seen to bealso distinguish itself by being seen to be
better from its competitors, the very essencebetter from its competitors, the very essence
of branding. The key issue then is notof branding. The key issue then is not
whether to create a brand but how towhether to create a brand but how to
manage it.manage it.

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Perspectives on Brands (4)Perspectives on Brands (4)
. . . the Cutting Edge. . . the Cutting Edge
• A company’s brand is the primary source ofA company’s brand is the primary source of
its competitive advantage and a valuableits competitive advantage and a valuable
strategic asset. It is suggested that astrategic asset. It is suggested that a
company should consider its brand as notcompany should consider its brand as not
just a product or service, but as anjust a product or service, but as an
Organisation, a person, and a symbol.Organisation, a person, and a symbol.
• A brand is not built overnight. Success isA brand is not built overnight. Success is
measured in decades, not years. What worksmeasured in decades, not years. What works
best is absolute consistency over anbest is absolute consistency over an
extended period of time.extended period of time.
(Al & Laura Ries,(Al & Laura Ries, 22laws of branding22laws of branding

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What Is a Brand ? (1)What Is a Brand ? (1)
 Brands are images and impressions generated aboutBrands are images and impressions generated about
companies or products that become intangible andcompanies or products that become intangible and
dynamic assets (or liabilities). Brands include names,dynamic assets (or liabilities). Brands include names,
symbols, perception of stakeholders and the public insymbols, perception of stakeholders and the public in
general.general.
 A brand is an integrated promise shaped by both theA brand is an integrated promise shaped by both the
Organisation’s claims and the experience of itsOrganisation’s claims and the experience of its
stakeholders. The worth of A brand is said to be thestakeholders. The worth of A brand is said to be the
degree to which it can provide competitive advantagedegree to which it can provide competitive advantage
in the market place.in the market place.


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What Is a Brand ? (2)What Is a Brand ? (2)
 In broad terms, a brand can be equated withIn broad terms, a brand can be equated with
reputation. The brand of a bank and the reputation ofreputation. The brand of a bank and the reputation of
an individual are similar in terms of how they canan individual are similar in terms of how they can
change, as well as their importance.change, as well as their importance.
..
 An organisation’s brand is a key asset because itAn organisation’s brand is a key asset because it
creates possibilities and sets limits in terms of whatcreates possibilities and sets limits in terms of what
employees, customers and investors expect from thatemployees, customers and investors expect from that
company. company.

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What Is a Brand ? (3)What Is a Brand ? (3)
 A promise and its delivery create aA promise and its delivery create a
reputation or brand image. Likereputation or brand image. Like
reputation, branding is not optional.reputation, branding is not optional.
Constituent publics will form theirConstituent publics will form their
own perceptions, and theseown perceptions, and these
perceptions are more important thanperceptions are more important than
products or services in the marketproducts or services in the market
place.place.

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What is a Brand ? (4)What is a Brand ? (4)
 Branding cannot succeed if it stopsBranding cannot succeed if it stops
at the point of making a promise or isat the point of making a promise or is
viewed as advertising. If branding isviewed as advertising. If branding is
not part of the daily decision makingnot part of the daily decision making
at all levels of the organisation, it willat all levels of the organisation, it will
be sidelined by short-term financialbe sidelined by short-term financial
goals.goals.

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How Brands Are BuiltHow Brands Are Built
 Traditionally, brands have been considered to be aTraditionally, brands have been considered to be a
function of advertising and other communicationfunction of advertising and other communication
efforts. However, this is no longer tenable. Theefforts. However, this is no longer tenable. The
perceptions of the public about an organisation areperceptions of the public about an organisation are
not shaped alone by what the company says aboutnot shaped alone by what the company says about
itself through its communication.itself through its communication.
 Customers’ experiences in the banking hall, internalCustomers’ experiences in the banking hall, internal
service quality, the work environment, operatingservice quality, the work environment, operating
performance, employees’ perceptions, etc, affectperformance, employees’ perceptions, etc, affect
how stakeholders view the brand.how stakeholders view the brand.

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How Brands Are Built (2)How Brands Are Built (2)
 The re fo re , the re m ust be harm o nyThe re fo re , the re m ust be harm o ny
be twe e n custo m e rs, e m plo ye e s, andbe twe e n custo m e rs, e m plo ye e s, and
inve sto rs’ pe rce ptio ns o f theinve sto rs’ pe rce ptio ns o f the
co m pany.co m pany.
 If any o f the thre e co nstitue nt units isIf any o f the thre e co nstitue nt units is
dis-satisfie d, it will filte r thro ug h todis-satisfie d, it will filte r thro ug h to
the o the r.the o the r.

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Key Brand DriversKey Brand Drivers
 Emotional appealEmotional appeal (natural likeness,(natural likeness,
trust, respect)trust, respect)
 Leadership & visionLeadership & vision ((inspirational,inspirational,
honest, focused, stable)honest, focused, stable)
 Products & servicesProducts & services (value adding,(value adding,
innovative)innovative)
 Workplace environmentWorkplace environment (well(well
managed, appealing)managed, appealing)

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Key Brand Drivers (2)Key Brand Drivers (2)
 Operating resultsOperating results
 Social responsibilitySocial responsibility ((support for worthysupport for worthy
causes)causes)
 Stakeholders’ whispercampaignStakeholders’ whispercampaign
 Corporate communicationCorporate communication

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Brand Value & Brand EquityBrand Value & Brand Equity
 The value of a brand is not a theoreticalThe value of a brand is not a theoretical
calculation; It is pragmatic and it is relevant tocalculation; It is pragmatic and it is relevant to
the bottom line. As competition increases andthe bottom line. As competition increases and
customers are faced with better options, wecustomers are faced with better options, we
have to stand for something compelling in thehave to stand for something compelling in the
minds of our stakeholders.minds of our stakeholders.
 Otherwise, we risk being viewed asOtherwise, we risk being viewed as
commodities that compete only on the basis ofcommodities that compete only on the basis of
price. The successful company will, thereforeprice. The successful company will, therefore
have a brand strategy if it is to survive andhave a brand strategy if it is to survive and
prosper.prosper.

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Brand Value & Brand Equity (2)Brand Value & Brand Equity (2)
 The rewards of being viewed as aThe rewards of being viewed as a
strong brand are high and includestrong brand are high and include
name awareness, brand loyalty,name awareness, brand loyalty,
perceived superior quality, premiumperceived superior quality, premium
pricing, marketing spendingpricing, marketing spending
efficiency, repeat patronage, easierefficiency, repeat patronage, easier
line extensions and introduction ofline extensions and introduction of
new businesses, customernew businesses, customer
testimonies, higher entry barriers fortestimonies, higher entry barriers for
competitors.competitors.

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Where Do We Go FromHere?Where Do We Go FromHere?
. . . Way 4ward forBrand NAHCo. . . Way 4ward forBrand NAHCo
 Collectively, we must all understand whyCollectively, we must all understand why
we should build a strong brand and thewe should build a strong brand and the
factors that influence brand loyalty andfactors that influence brand loyalty and
create enduring brand value. The questioncreate enduring brand value. The question
then is: short term profitability or enduringthen is: short term profitability or enduring
growth that leads to high brand value?growth that leads to high brand value?
Business as usual or business unusual?Business as usual or business unusual?
Do we want to build a Company or anDo we want to build a Company or an
institution?institution?

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Where Do We Go fromHere? (2)Where Do We Go fromHere? (2)
. . . Way 4ward forBrand NAHCo. . . Way 4ward forBrand NAHCo
 Branding helps in answering the customer’sBranding helps in answering the customer’s
question:question: Why should I do business withWhy should I do business with
NAHCo?NAHCo? From the moment a customer readsFrom the moment a customer reads
a news item about the Company, holds oura news item about the Company, holds our
brochure, walks into our office, looks at ourbrochure, walks into our office, looks at our
website, or subscribes to our product/service,website, or subscribes to our product/service,
he/she begins to form an opinion about ourhe/she begins to form an opinion about our
brand and its value. Is it reliable? Is itbrand and its value. Is it reliable? Is it
effective?effective?
 Is it better than others? Is it worth the price?Is it better than others? Is it worth the price?

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Building A Strong BrandBuilding A Strong Brand
. . . Collective Vision. . . Collective Vision
• The vision and mission of NAHCo shouldThe vision and mission of NAHCo should
be understood, accepted, and embracedbe understood, accepted, and embraced
by everyone. We should all see ourselvesby everyone. We should all see ourselves
as brand advocates, brand stewards andas brand advocates, brand stewards and
brand ambassadors. For us to functionbrand ambassadors. For us to function
effectively in any of the three roleseffectively in any of the three roles
identified above, we need a thoroughidentified above, we need a thorough
understanding of the vision, mission,understanding of the vision, mission,
values, and focus of the Company.values, and focus of the Company.

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Building A Strong Brand (2)Building A Strong Brand (2)
. . .. . . Coalition of ForcesCoalition of Forces
• Allignment of business plans withAllignment of business plans with
NAHCo’s corporate positioning andNAHCo’s corporate positioning and
brand essence is key. Managersbrand essence is key. Managers
must begin to integrate the vision,must begin to integrate the vision,
mission and corporate values of themission and corporate values of the
Company into their businessCompany into their business
strategies. Building brand equitystrategies. Building brand equity
should be inseparable from normalshould be inseparable from normal
business decisions.business decisions.
• Most clients believe any promise weMost clients believe any promise we
make applies to all the interactionsmake applies to all the interactions
they have with us. Without properthey have with us. Without proper
alignment, this promise will bealignment, this promise will be
broken and brand equity willbroken and brand equity will

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Building A Strong Brand (3)Building A Strong Brand (3)
. . . Human Capital Perspective. . . Human Capital Perspective
• We should define who the typicalWe should define who the typical
NAHCo staff is so that consciousNAHCo staff is so that conscious
efforts could be made to go for suchefforts could be made to go for such
people during recruitment. There ispeople during recruitment. There is
need for more emphasis on theneed for more emphasis on the
qualitative aspect of recruitment, notqualitative aspect of recruitment, not
just quantitative. Training becomesjust quantitative. Training becomes
easier when the “right” people areeasier when the “right” people are
recruited. They will now be trained inrecruited. They will now be trained in
ways that will align them withways that will align them with
NAHCo’s vision.NAHCo’s vision.

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Building a Strong Brand (4)Building a Strong Brand (4)
. . . Empowering employees. . . Empowering employees
• Our staff are the most potent weapon weOur staff are the most potent weapon we
have in pushing our brand. We musthave in pushing our brand. We must
therefore empower employees with alltherefore empower employees with all
the things that will put them in a positionthe things that will put them in a position
to be committed to the growth of theto be committed to the growth of the
brand as brand stewards.brand as brand stewards.
• Brand building efforts will amount toBrand building efforts will amount to
nothing; in fact, it may be counternothing; in fact, it may be counter
productive, if employees do not feelproductive, if employees do not feel
committed to the vision of the Companycommitted to the vision of the Company
or if they don’t even understand the coreor if they don’t even understand the core
values of the Company.values of the Company.

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Building a Strong Brand (5)Building a Strong Brand (5)
. . . the customerperspective. . . the customerperspective
• Today’s customer takes quality service forToday’s customer takes quality service for
granted because it remains a genericgranted because it remains a generic
brand offering for all focused companies.brand offering for all focused companies.
We should identify the peculiar needs ofWe should identify the peculiar needs of
our customers and define quality serviceour customers and define quality service
within the context of such needs. Wewithin the context of such needs. We
need to deliver quality serviceneed to deliver quality service as definedas defined
by the customerby the customer..
• Value lies in the mind of the consumer.Value lies in the mind of the consumer.
What we think our brand is does notWhat we think our brand is does not
matter; It is what the customer thinksmatter; It is what the customer thinks
that really counts.that really counts.

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Building A Strong Brand (6)Building A Strong Brand (6)
. . . An Eye on the BottomLine. . . An Eye on the BottomLine
•The results we declare will
ultimately reinforce brand equity and
enhance public perception. A
respectable result will motivate
employees, sustain customers’
confidence, delight shareholders and
win critical investors to our side.
•The brand will need all these
stakeholders to retain market share
and conquer new territories. The
results must match public
perception, otherwise there will be a
dissonance gap.

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Building A Strong Brand (7)Building A Strong Brand (7)
. . . Love Thy neighbour. . . Love Thy neighbour
• Building a strong brand is a long termBuilding a strong brand is a long term
investment. One of the core areas ofinvestment. One of the core areas of
our brand investment is the societyour brand investment is the society
within which we operate. Nothingwithin which we operate. Nothing
detracts from brand equity more thandetracts from brand equity more than
“bad will” earned as a result of an“bad will” earned as a result of an
indifferent or negative attitude towardsindifferent or negative attitude towards
the needs of the larger society. Wethe needs of the larger society. We
should continue to be genuinelyshould continue to be genuinely
socially responsible.socially responsible.

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Building A Strong Brand (8)Building A Strong Brand (8)
. . . I don’t know what you are doing. . . I don’t know what you are doing
• Public Relations is the good deed thatPublic Relations is the good deed that
you communicate. Having the bestyou communicate. Having the best
product does not mean the world willproduct does not mean the world will
beat the path to your office.beat the path to your office.
Therefore, we should continue toTherefore, we should continue to
formally and informally communicateformally and informally communicate
the things we do to all relevantthe things we do to all relevant
stakeholders. In doing this, there willstakeholders. In doing this, there will
be need for consistency,be need for consistency,
commitment, creativity, and constantcommitment, creativity, and constant
evaluation.evaluation.

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Internal processesInternal processes
• CCBD will work towards empowering members ofCCBD will work towards empowering members of
staff with information on the corporate andstaff with information on the corporate and
product brand in order to equip them sufficientlyproduct brand in order to equip them sufficiently
for the challenges of marketing the brand in thefor the challenges of marketing the brand in the
competitive market place. A staffcompetitive market place. A staff
handbook/manual is being produced to furtherhandbook/manual is being produced to further
achieve this.achieve this.
• We will be looking at issues of cultural re-We will be looking at issues of cultural re-
orientation, teaming/bonding, free flow oforientation, teaming/bonding, free flow of
information, rewards/punishment, motivation,information, rewards/punishment, motivation,
etc.etc.

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Internal Processes (2)Internal Processes (2)
• To promote teaming, we will introduce formalTo promote teaming, we will introduce formal
and informal programmes aimed at bringingand informal programmes aimed at bringing
staff togetherin a relaxed setting.staff togetherin a relaxed setting.
• We are interested in working with otherWe are interested in working with other
groups in driving operational efficiencygroups in driving operational efficiency
across the board in the bank, believing thatacross the board in the bank, believing that
the brand must deliver on what it promises tothe brand must deliver on what it promises to
its stakeholders. We will liaise with HR onits stakeholders. We will liaise with HR on
appropriate training programmes that will re-appropriate training programmes that will re-
orientate staff.orientate staff.

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Ademola AkinbolaAdemola Akinbola
demolar@brandstewardsconsulting.comdemolar@brandstewardsconsulting.com
+353 899 600 488.+353 899 600 488.

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