Understanding Brand Equity Creation

This assignment delves into the multifaceted concept of brand equity creation. It examines various theoretical frameworks and practical strategies employed by organizations to build strong brand equity. The analysis draws upon a range of scholarly articles and case studies to illustrate the importance of brand equity in achieving competitive advantage. Students are expected to critically evaluate the factors influencing brand equity, understand its impact on customer behavior, and analyze real-world examples of successful brand management.

BRAND MANAGEMENT

Contents
INTRODUCTION.................................................................................................................................3
TASK 1.................................................................................................................................................3
P1 Importance of branding as marketing tool and emerged in business practice...............................3
P2 Key components of successful brand strategy for building and managing brand equity...............4
TASK 2.................................................................................................................................................7
P3 various strategies of portfolio management, brand hierarchy and brand equity management.......7
TASK 3.................................................................................................................................................9
P4 Brands are managed collaboratively and in partnership both at a domestic and global level........9
P5 Different types of techniques for measuring and managing brand value....................................10
CONCLUSION...................................................................................................................................11
REFERENCES....................................................................................................................................12

INTRODUCTION
Brand management activity for every business firm in order to manage all the tangible
and also intangible characteristics of a specific brand at the market place. Under this, in
tangible elements consists packaging, products, prices and some other which are helpful in
knowing about the experience or perception of consumers. The main motive of brand
management is to build a better connection with consumers through gaining their attention. It
is necessary that company should provide the better quality of services as well as products to
customers in order to fulfil their needs and preferences (Ashworth and Kavaratzis, 2010). It
will be helpful in attracting consumers towards firm. This given report is based on the Coco
cola company and it is a largest business firm which provides drinks to consumers. Under this
given report mentions about the importance of branding as marketing tool and emerge with
the business practice. There are some components of brand strategy for managing and also
developing brand equity. The various kinds of brand hierarchy, portfolio management and
also brand equity management strategies will be discussed under this given business report.
There are various kinds’ techniques for managing and also measuring the value of brand will
mentions in this present report.
TASK 1
P1 Importance of branding as marketing tool and emerged in business practice
Branding is an important procedure which is helpful in developing a particular and
also unique name and also image of goods and services which explain clear community of
specific business company from its other strong competitors. The major objective of the
branding is to make differentiate the quality of services and products which is helpful in
developing and also maintaining the consumers for long period of time at market place. It is
necessary that firm should produce the better quality of products and services on the basis of
needs and demands of consumers so that they will loyal towards the firm. It is helpful in
establish a better brand image in the mind of consumers. From this company can capture the
large market share and also increase growth rate (Brodie and et. al., 2013). Effective and
brand image of a business firm helps in increasing profit level and also productivity of
company in an effective and also proper manner. It is necessary that company should make
its product more attractive and also better than others so that large number of people can be
attracted towards it. The Coca- cola company has a better brand name in the field of dinks
and large number of people purchases its products. The main objective of branding is
developing the better brand which should be differentiate from the products of competitors. It
is essential that firm should provide good and attractive products to its consumers. To
differentiate product, it is a kind of marketing strategy which is used through a business firm
in context to maintain the better reputation and goodwill at the market place. In order to this,
there are some significances of branding are given below as above:
 Branding increases recognition- The logo of a brand is one of most necessary things or
can say elements which are helpful in attracting the large number of consumers for

enhancing the sales as well as profit level of an organisation. In context to Coca- cola, it
follows its branding strategy to increase profit level. In this, this company also execute
new innovation under its products and services line for maintaining its growth rate in an
effective or proper manner. In the products of coca- cola includes diet coke, classic and
many others. For increasing or attracting the consumers, this company promotes its brand
at large scale or at international level.
 Helps in generates new consumers- In this present time period, people are very brand
conscious, they like only banded products as well as services. Coca- Cola Company can
easily attract the new consumers with the help of offering them better quality of services
as well as drinks (Buil, De Chernatony and Martínez, 2013). In addition to this, it
launched its new product and that is Zero- Sugar drink at international level and from this,
the sale of company enhanced up to the 35%. It has a strong image and captures the more
market share. With the help of this firm attract large number of customers and achieve
more success at market place.
 Give stable asset- In a company, there are many modifications takes place which
minimizes the sale of products and services but in case if the brand name of firm will be
strong then in this case it can easily make changes without any issue. It provides
advantages to company. From the 19th century, Coca-Cola Company serves better
products and also services to its consumers as comparison to its strong competitors.
 Sets expectations- In this modern era, all consumers fulfil their wants a d demands on the
basis of their expectations. It is helpful in increasing the prospect of consumers towards
the services and products of firm. In addition to the Coca- cola company, there is no
calorie and no sugar is added in its products which help in developing the base of
consumers in a business firm.
Hence, there are some changes from which sometimes, consumers get very confused
regarding the products and services of firm and also its brand. The products brands both are
different concepts (Christiaans, 2012). There are some differences among the brands and
products are given below as above:
Product Brand
Products are manufactured under an
industry for the purpose of selling and they
are copyrights.
It is a unique and also a different term
which explains about the particular nature
at market place.
Any firm or competitors can copy the
product of another company.
Brand is developed through the taste of
consumers which any other company
cannot be copied.
These are intangible and also tangible in
nature.
It is different and under this consumers
give their perceptions.
In context to this, branding is a necessary component which gives their contribution in
making the business successful in an effective manner. The better brand helps in
enhancing development as well as profit level of an organisation.

P2 Key components of successful brand strategy for building and managing brand equity
Brand equity refers to a brand value which is determined through the perception and
also experience of consumers at the market place. If the thinking or perception of customers
will be positive towards products then it will helps in generating more profit level and
making the brand stronger. On the second hand, if in case the goods and services are in-
delivers which develop the negative or bad brand equity then in this case it minimizes the
brand name of reputation of firm at market place. So, from this the multinational business
firm manufacture better quality of products as well as services in order to retain their brand
name as well as reputation (Dempsey and Gruver, 2012). In addition to the Coca-cola, it is a
most popular brand company which gives its products in all over world. In today’s time
period, every person rare from the Coca- cola brand.
Positive equity of brand has some value:
 If the brand will be high then the cost of products and services will alos be
high at market place.
 The strong or high brand equity is helpful in enhancing market share.
 Brand equity is helpful in transferring the goods and services line extension
which helps in generating the high rate of return in an effective manner.
In addition to it, some of the other elements which are helpful in developing
strong brand equity in market are mentions below:
Brand awareness- It is an effective and also better constitute which is concerned
with brand in context to attract the more number of consumers and also influence
them to buy its services and goods of firm. In regards to Coca- Cola, it is a most
popular and also famous brand which provides its products or also drinks in all
over world. This company explains its product related portfolio over the different
brands.
Perceived quality- It is necessary that firm should focus on providing better quality of
services and also products to customers in order to retain them for long period of time.
Generally, this shows the opinions as well as perception of consumers towards the services
and also products of firm which are offered through firm at market place (Esch and et. al.,
2014). In the market, there are many buyers or loyal customers of Coca- cola because it take
care the health of consumers before producing its drinks. It helps in developing a positive
brand name.
Brand loyalty- Coca- cola organisation has large number of loyal consumers which
makes the business firm successful in the competitive market. This company makes many
different changes in the design of bottles, cans and also on logo. From this reason, firm retain
the trust of consumers and never loose. But this business firm faces many issues and also
challenges in market regarding its products in the world of competition. Emerging market and
also globalisation both are big reason in other firms entered in the same industry which
impacts on the performance level of Coca- Cola Company in a bad or negative way.

Brand association- It is an image and also a symbol of brand which is helpful in
setting mind of consumers towards products or services. It is helpful in determining the
positive brand image at market place. Generally, it explains different aspects like for an
instance cost, public relation, promotion, quality and also some other which helps in in
increasing an image of brand and also develop some awareness of consumers towards the
services of firm in an effective manner.
Performance of Low- calorie cola
In this present time period, media and government both are very concern about the
sugar content in the soft drinks manufacturing process. It will be helpful in enhancing the
scrutiny. In order to this, Coca- Cola Company develops calories drinks which are helpful in
increasing the image or reputation of the company. On the other hand, from this firm a
competitive advantage at the market place (Gratwohl and et. al., 2011). If in case, firm
which produce the high- calorie products or drinks then in this case the image of firm will
negatively impact. From this the market share of firm will be enhanced.
Emerging market performance
In the market of competition, Coca- cola company emerging day by day. In context to
this, the biggest competitor of Coca- cola is Pepsi, so this organisation tries to increase or
expand its services and soft drink in the same line. From entering of the new market, it is
necessary for firm to maintain its performance level. It is also necessary that firm should also
use and adopt the new tools and technology in order to increasing business in an effective
manner.
Building brand internally
Without the support of staff members, firm cannot do nothing. It is necessary that
manager should maintain the better communication as well as relationship with its staff
member’s o that they can focus on the set aims and objectives of an organization. If the
communication will be good among them then positive working environment will be created
at workplace (Hanna and Rowley, 2011). From this the productivity as well as profitability of
firm will be enhanced it will also be helpful in giving the competitive advantage to business.
Wellness and health trends
Coca- cola business firm has wide range of services and also products and it always take care
the health of its consumers. It always provides better quality of soft drinks which cannot
negatively impact the health of consumers. In addition to thus, the government of United
Kingdom regulates the trends for make improvements in the performance level of firm at the
market place.

TASK 2
P3 various strategies of portfolio management, brand hierarchy and brand equity management
Brand management is an effective process of planning for determining that how that
brand is taken place at market and also in the mind of consumers. It is necessary that firm
should maintain the better relationship with its consumers in order to make them loyal
towards the services as well as products of an organisation in an effective or proper manner.
Strong brand name is helpful in making as well as maintains a positive image as well as
increasing the awareness of consumers (Hollebeek, 2011). With the help of this profit level of
company can be increased with in a limited time period. Generally, this is better development
field under which a business organisation can easily maintain the performance of its products
and gain the better results. Under this includes logo, price, tag line, packaging etc, for
explaining about the quality and quantity of goods and services in market.
In context to this, brand equity is an effective and unique concept which is helpful in
developing a better relationship between consumers as well as business firms. It will be
helpful in making the consumers loyal towards organisation. On the other hand, the main
advantage of brand equity is to increasing the brand loyalty as well as market positions as
comparison to its competitors.
Brand Portfolio Strategy
It is a better and effective process which is helpful in operating more than single
brands services and also product at market place. Like Coco- cola is a single or one firm or
brand and its sub products are Thumps Up, Maaza etc. In context to this, there are some
strategies are given below as above:
Profit growth and driving revenue- Under this, it is necessary for business firm is to
produce their products as well as services of better quality (Hwang and Kandampully, 2012).
It is helpful in developing the image or reputation of an organisation better for target market.
More efficiency- In order to increasing productivity of business, companies give their
efforts for rising quality standard and also maximise its efficiency at market place.
Investment in business and brands- It is necessary for business firm to invest money
in making the brand stronger in market as comparison to its competitor. Firm should invest in
fiving the promotional activities better and attractive.
Management hierarchy
Coca- Cola

Umbrella brand- It is known as the family branding under which the Coca - Cola and
also Diet Coke both come under umbrella brand. It shows a single logo as well as brand name
in context to explain strong image in competitive market.
Products- Coca- cola business firm provides many different kinds of products like for
an instance Maaza, Thumps up and many other. All products run better in market through
using the effective marketing strategy in context to attract more consumers.
Endorsed the sub brands- The celebrities give the advertisement of this firm to
develop a positive brand image at market in addition to increasing brand name as well as
image in this competitive market (Jiang and Iles, 2011).
Pepsi Company
Umbrella branding- In this, Pepsi is regarded a umbrella branding under this product
line and in which the Pepsi is its main product which helps in achieving the success at the
market place.
Products- This business firm provides different products segments like forn an
instance lays chips, Tropicana’s and also many others.
Endorsed brands- This organisation develops along with define about the reliability of
a brand such as Britney spears endorse the pink drink of Pepsi.
Brand equity- It identifies promises which are concerned with the brand for helps in
developing a better brand value at the market place (Kavaratzis, Warnaby and Ashworth,
2014).
Consumer Based Brand Equity (CBBE model)
This is one of the most effective models which is helpful in managing the brand
equity of an organisation in an effective manner. The brand explains about the customer’s
feeling as well as their perceptions so that it can get the proper shape regarding the
experience of consumers and also their taste. It will helps in getting the positive response of
consumers towards the products and services of firm.
Applying CBBE model:
Stage 1 Brand identity- It is an effective and necessary aspect which explains
particular identity which is different from the other competitors.
Stage 2 Brand meanings- It explains about the clear meaning of brand which is
helpful in minimising the confusion in the mind of consumers. It shows the aims and
objectives of firm in an effective manner.
Stage 3 Response of brand- It shoes the response of consumer towards the services
and products of an organisation which leads in enhancing the performance as well as
profitably of an organisation.

Stage 4 Brand resonance- Its main function is to develop a positive brand image o
services and products better as comparison to its other competitors in order to increasing the
loyalty to customer’s towards firm.
TASK 3
P4 Brands are managed collaboratively and in partnership both at a domestic and global level
This is a most necessary aspect for an organisation in order to manage their brand of
company at the domestic and the global level. It will helps in achieving the aims and
objectives of firm in an effective or better manner. In addition to this, Pepsi and Coca- Cola
both are very famous brand and both firms use the different and effective techniques in order
to improve its performance level at the market place and develop the consumer’s base.
Brand extensions
In context to increase the brand equity, it is necessary and also a popular branding
strategy which are used through an organisation under which firms as easily determine the
new branded goods and services to enhance its consumer’s base (Li and Kambele, 2012).
For an example Coca- cola organisation sell its products through McDonald’s so
from this company get the competitive advantage in the business in order to attract the large
consumer. It is helpful in increasing the brand image as well as sales in an effective manner.
Coca- cola and McDonald’s both firm have good brand image at market place and
also be a leading company at market in context to increasing brand equity an image.
McDonald’s company serve Coca- cola with its burgers and also some other food items. Both
business organisations maintains their brand image and also better relationship by providing
better quality of services and also products on the basis of needs and wants of consumers in
context to fulfil their demands.
On the second hand, both the business firms use the Ansoff Matrix in order to manage
its brand image at the domestic as well as international market which helps in achieving the
positive results. The Ansoff Matrix are given below as above:
Market penetration- This is a safest and also an effective phrase as comparison to the
other three aspects. Its main function is to enhancing the sales as well as profit level of the
other current products at the market place (Morgan, Pritchard and Pride, 2011). In context to
this, Coca- cola business firm uses this kind of strategy in context to enhance the sales of firm
through providing better an effective quality of services and products in an effective manner.
Market development- Under this company develops its present or current product in
the new market in context to increase the profit level in an effective or better manner. In
regards to Coca- Cola Company, it introduces a Zero diet coke in year 2005. In today’s time
people are more health conscious so this drink is most purchasing by consumers.

Diversification- If shows about the new market for selling the new goods and services
of firm. Under this Coca- cola company invest money approximately $4.1 billion regarded to
Glaceau. It provides the water as well as soft drinks under which this company faces the
decline phrase in its many soft drinks.
Product development- It is an effective prospectus which introduce an innovative and
also new attractive goods in the current markets. Under which, firm can easily satisfy the
needs and demands of consumers in an effective or proper manner (Som, A. and Blanckaert,
2015). In context to Coca- Cola Company, in year 1985 this firm launched the Cherry Coke
drink and this was the first expansion at the market place.
TASK 4
P5 Different types of techniques for measuring and managing brand value
In the world of competition, company faces many problems and it is necessary for
firm to maintain its strategic position for long period of time. For this business firm, Coca-
cola and Pepsi Company is assumed as a necessary assets and as a profitable factor for both
the business firm. It is necessary for both the business firm to calculate or measure their
brand value from particular time period so from this these can run the business firm in an
effective manner (Santos-Vijande and et. al., 2013). It helps in getting the competitive
advantage at the market place.
Orienting- The Pepsi and Coca- cola strategies are given below as above:
Pepsi company Coca- cola
 This company makes their services
and products are very light because
the tastes of consumers are various
from each other and they like the light
products.
 Slogan of this firm is “Any whether is a
Pepsi whether”.
 This organisation believes in the
happiness an also fun where this
business firm tries to think in the
local as well as globally.
 This organisation tries to run its one
brand at all over world with the help
of same marketing approach.
SWOT analysis of Coca-Cola
Strengths- Its main strength to be a big brand and capture large market in the field of
drink. It has more profit margin as it has a short or less response time in the manufacturing
and suppliers process. This company running its business or products in more than the 200
countries and also trying to enhancing the business in other countries.
Weaknesses- Under this, government done the quality check where it find some of the
harmful pesticides in Coca- Cola products which can caused on the human body. So, from
this there are more loss bear by company. it impacts badly on the brand name at market place.
Opportunities- It is necessary that firm should execute the new technologies and also
techniques which can reduce the wastage from its production process.

Threats- Increasing competition in the global market and it is a main threat.
Approaches used by Pepsi and Coca- cola organisation:
Financial approach- Its main focus on replacing the old goods or make changes in
them which attract the more consumers. Three kinds of financial approaches are given below
as above:
Approach based on cost- This analysis shows the past records which is helpful in the
developing of costs with taking an assumption of brand (Wallace, Buil and de Chernatony,
2014). Under this, price based formulation is effective for the assets valuation.
Approach based on market- It is based on the soli figures and facts of the current market
conditions where the target of company is values of market (Zaglia, 2013).
Approach based on Income- It relies on future estimation of the profit which helps in
generation of more advantage of an organisation.
Consumer based approach- Creators or developers of the brand value are consumers.
The customers are very quality conscious and they need better quality of products. These
both firms try to producing the better quality of product on the basis of consumers needs.
CONCLUSION
It has been conclusion from the above given report that brand management is broad
term which is used through business firm. Under this, the main aim of every business firm is
to developed effective brand which increase the value of business at marketplace. In context
to get more competitive advantage, Coco- cola business firm makes effective and better
strategies. Under this given report studied about the importance of brand for company. In
context to making a better brand value, the various kinds of tools and techniques are used by
the Coco- Cola business firm.

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