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
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
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
