Measuring and Managing Brand Equity PDF

Added on - 21 Feb 2021

  • 7

    Pages

  • 1047

    Words

  • 7

    Views

  • 0

    Downloads

Trusted by +2 million users,
assist thousands of students everyday
Showing pages 1 to 3 of 7 pages
MEASURING ANDMANAGING BRANDVALUE
Table of ContentsMAIN BODY...................................................................................................................................3TASK 4............................................................................................................................................3Various Techniques involved in Measuring and managing brand..............................................3REFERENCES................................................................................................................................5
MAIN BODYTASK 4Various Techniques involved in Measuring and managing brand.Brand Valuemust not be confused with brand equity as value is termed as the financialworth of a company i.e. it is signified in monetary terms. There arefour approachesofmeasuring brand value which are :-Cost based,used byAakerunder which the focus is on thecost incurred by company in creating the brand value and is used by Samsung to valuethemselves;Market Basedunder which the highest value at which a product can be sold isdetermined and is take to be brand value;Income basedwhich is used byKeller, which aimstowards the future earnings' valuation so that current brand value can be determined and is usedby Dyson Co.; and last isFormulary Approachin which the level and magnitude of thecommercial activity of a firm is considered for determining their brand value which is mainlyused by consultancy firms (Veloutsou and Guzman, 2017).Brand Equitycan be defined as an added benefits or addition in the value of a brand thatthe company garners while marketing their products due to the recognition that a brand has ascompared to the similar products of other brands in the market (Kelley, Sheehan andJugenheimer, 2015). For e.g. the world class recognition of Apple and its products has made itpossible for them to charge them extra for their products and still maintain the customer loyaltyand it can be valued at $214,480 million.In all these approaches,Key Performance Indicators (KPI's)play the most importantrole as they help the managers in determining those products or areas which are generating mostof the revenue. For successful maintenance, company can conductbrand auditthrough a seriesof steps which is a detailed process under which the current performance is compared to thedesired goals and the deviations are observed where the management tries to minimize or removethem L'Oreal Paris conducts a thorough brand audit in order to maintain the brand value.(Rosenbaum-Elliott, Percy and Pervan, 2015)Brand Awarenesscan be defined as degree of ease up to which a customer can recall orrecognize the brand. It is very important for companies to create strong awareness of theirproducts in the market as it is a key indicator of market performance and can prove to be a majorasset if it is very strong. Coco Cola has a strong brand awareness despite being aggressively
desklib-logo
You’re reading a preview
Preview Documents

To View Complete Document

Become a Desklib Library Member.
Subscribe to our plans

Download This Document