Brand Management and Valuation Techniques of Unilever

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Brand Management
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Introduction
This report includes brand valuation techniques for Unilever company products and
services. The brand value of the Unilever is high and the customers are aware of from
a long time. Unilever is a UK based company which produces consumer goods and
services for local and international customers.
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Task 4- measuring and managing brand value (LO4)
Using a specific organisational example, provide an evaluation of various
techniques used for measuring and managing;
1) Market share: The market share is defined as the number of sales by Unilever
company to the markets total sales. The market share of the Unilever company is
taken for a particular time period which also implies the brand value of the company
in the industry. The market share also describes the position and size of the Unilever
in the industry. It also takes into account the customers, market and its competitors in
the market as it shows the competitiveness of the company products and
services(Torres, et, al., 2012).
2) Consumer attitudes: The customer attitude towards Unilever products also shows
the brand value through the customer's perception. The positive customer attitude
towards the brand products and services shows that the company is able to fulfill the
needs and demands of their customers. The customers which are happy for the
Unilever products and services also show trust and interest in the brand name of the
company. The customer attitude also helps the company to promote and improve their
marketing strategy in the market.
3) Purchasing intent: The purchasing intent is the probability of the customers to buy
Unilever products and services in the market. The purchasing intent is calculated on
the basis of the historical data and previous purchases of the customers in the market
to identify the possibility of future sales or outcomes. There are many variables like
the demographics, marketing messages, website engagement and past purchases
which influence the purchase made by the customers. This will help the Unilever
Company to make the marketing strategies and plans which help to build the brand
equity in the industry (Sharma, et, al., 2016).
4) Brand value: It can be defined as the measure that identifies the worthiness of the
brand. The brand value of the Unilever Company can be said as the financial value
that the company records in their balance sheets. The brand value is the asset for the
Unilever which shows where their brand stands in the market. The measurement and
management of the brand value are very important to maintain their brand name in the
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market and in the customer's mind. The measurement of the brand value also helps in
taking the right decisions for the marketing and advertising of the brand products and
services of the company.
5) Brand awareness: The most important thing for the Unilever brand is that
customers are aware of and discuss their brand. The Unilever brand is discussed and
customers share their thoughts over it with other people. The brand awareness of
Unilever is impressive as people cannot avoid thinking about the product. It also
includes the amount of time Unilever brand and their products and services come in
every conversation of their customers.
There are many methods which can be used to measures to audit and track brand
value:
 Survey: The brand value surveys are carried out by the Unilever to know about
the customer's awareness of the brand. The survey can include a group of
customers from the market which is asked about the brand and company
products. This also provides a detailed analysis of the consumer's views and
thoughts over the Unilever brand. The outcomes of the brand value survey help
the Unilever Company to take the steps and actions to improve the positioning
and marketing of the brand products and services. It also helps to refine the
business activities to target the right audience (Halliburton and Bach, 2012).
 Cost-based measures: The Unilever can use different cost-based methods to
evaluate the brand value of the company products and services in the market.
There are different types of methods that can be used under the cost-based
measure like historical cost method(this method used the historical cost of brand
as the actual brand value and compares it to the current cost to evaluate the
difference in the brand value over time) or replacement cost method(it measures
the value of the brand over the expenditures and investments which will be
necessary to replace the brand with an equivalent brand value)
 Market-based measures: It is the amount at which the brand products and
services are sold to the interested buyer. It also shows that the willing buyer is
willing to pay for the product to fulfill their utility. The two methods under it are
a comparable approach (it uses the similar brands in the industry to measure the
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value of the particular company) or brand equity based (this method involves the
demand enhancement through the advertisements or other marketing techniques).
1.
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1. How profitable is the business at present?
The products and services of the Unilever Company are popular in the market and
their business is performing very well which can be identified through the increased
brand value of the Unilever Company.
2. How well is the current brand strategy working?
The current brand strategy of the Unilever company is working well as it is improving
the customer interest and attitude towards the company products and services. The
brand strategy of the Unilever company is improving the positioning of brand
products and services.
3. What are the company’s resource strengths and weaknesses?
The Unilever's resources have the advantage of economies of scale which support the
production efficiency and the international expansion of the company have also
improved their brand equity in the market. The Unilever has the imitable products
which can decrease their competitiveness in the market and the company also depends
on the retailers for customer interaction and promotion(Gürhan-Canli, et, al., 2016).
4. What are its external opportunities and threats?
The Unilever have the opportunity of business diversification outside the consumer
goods industry and it can also produce innovative products for customer health. The
Unilever experience tough competition from the industry and they have the threat of
product imitation.
5. How competitive are the business price and cost?
The Unilever have very competitive price and cost for their products and services
because they have the advantage of the economies of scale which help them in the
production process.
6. How strong is the business competitive position in comparison to its
competitors?
The Unilever company enjoy high brand value and customer loyalty for their products
and services which help them to stay competitive. The competitiveness of the
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company is also high as they produce products according to the customer needs and
offer a strategic pricing strategy(Kapferer, 2012).
7. What strategic issues are facing the business?
The company is facing product imitation and marketing strategy issues in the market
as having a highly competitive market and substitute products also attract the
customers.
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Conclusion
The report concluded that the Unilever company enjoy high brand equity and value in
the industry. They have highly competitive products and services which help the
company to improve customer involvement and loyalty. This also emphasis on the
building brand value through innovative products and strategy for marketing.
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References
 Gürhan-Canli, Z., Hayran, C. and Sarial-Abi, G., 2016. Customer-based brand
equity in a technologically fast-paced, connected, and constrained
environment. AMS review, 6(1-2), pp.23-32.
 Halliburton, C. and Bach, S., 2012. An integrative framework of corporate
brand equity. EuroMed Journal of Business, 7(3), pp.243-255.
 Kapferer, J.N., 2012. The new strategic brand management: Advanced insights
and strategic thinking. Kogan page publishers.
 Sharma, P., Davcik, N.S. and Pillai, K.G., 2016. Product innovation as a
mediator in the impact of R&D expenditure and brand equity on marketing
performance. Journal of Business Research, 69(12), pp.5662-5669.
 Torres, A., Bijmolt, T.H., Tribó, J.A. and Verhoef, P., 2012. Generating global
brand equity through corporate social responsibility to key
stakeholders. International Journal of Research in Marketing, 29(1), pp.13-24.
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