It is the marketer’s promise to
give a set of features, benefits and
Involves all the activities that are
necessary to nurture a brand
into a healthy cash flow stream
What kind of activities?
Sales and distribution
When a commodity becomes a
brand, it is said to have equity
What is brand equity?
The premium it can command in the
Difference between the perceived value
and the intrinsic value
What happens when equity
Commodity Brand Power Brands
What happens when brands
have high equity?
The company can have more leverage
with the trade
The company can charge a premium on
The company can have more brand
The company can have some defense
against price competition
Brand Loyalty Pyramid
Likes the brand. Considers
it a friend
Satisfied buyer. Would
incur costs to switch
reason to change
How does one build brands?
Distinguishing it from others – value
Brand promise must match brand
The value proposition
Creating the brand
Choosing a brand name
Develop rich associations and promises
Managing customer brand contact to
meet and exceed expectations
Considerations in choosing a
What does the brand name mean?
What associations / performance /
expectations does it evoke ?
What degree of preference does it
A brand name should indicate
Names easy to
Should not indicate
poor meanings in
other markets or