Description
It explains Value Equity, Brand Equity and relationship Equ
Brand Dynamics
System for measuring & understanding brand value and equity
Consumer Equity
(Perceptual)
Brand Equity
(Financial)
Consumer Equity
?Consumers thoughts, feelings, associations linked to the brand ?Result of Sales force efforts, A & P, personal experience,Credibilty endorsement, etc… ?Consumers thought, feelings actively define what a brand means to them ?Associations define what brand worth to them ?Consumer Equity is fundamental to Brands Equity
Consumer Equity
?Brand Associations have a real financial value to the brand & in effect determine the brand value in the market ?Perceived Value of the brand should be higher than the price of the brand ?If a brand is able to sustain a premium price; its value as an asset is likely to be greater than a brand that generates more volume but produces less revenue
Building Customer Equity: Understanding Own Level Of Focus
How customer centered is your company? How does your company measure this? Does your company need to be more customer centered? To all customers or only the more important customers? How can you go about becoming more customer centered?
How much would this cost you in new technology and training?
How much would you gain as a result of becoming more customer centered?
Components Of Customer Equity
Customer equity is driven by Value Equity Brand Equity Relationship Equity
Companies must decide which driver(s) underlie each equity
Brand Dynamics Pyramid
Bond Advantage Performance Relevance Presence
Presence
?Brand must develop a presence as customer does not want to buy a brand that they know nothing of
x
Relevance
?The feature of the brand which gives an appropriate benefit which meets the needs of the consumer ?BD looks at this level as a -ve check. i.e those who do not find the brand relevant, for them the brand remains at a Presence Stage x
Performance
?Brand needs to live up to the customers’ expectations of product performance within the category ?BD looks at this level as a -ve check, i.e. those brands that do not perform remain only at the Performance Stage
x
Advantage
?For sustaining the relationship with the customer the brand must be differentiated appropriately ?Developing distinctive personality gives the brand a perceived consumer advantage
x
Bond
?Strong relationship with the brand due to reliance on product performance ?As relationship deepens consumers confirm that the brand is the right one for them ?When consumers bond with the brand they take performance for granted ?Reliability, Trustworthiness ?Result: ? True loyal consumer ?Refusal to alternatives
THANK YOU
doc_615095017.ppt
It explains Value Equity, Brand Equity and relationship Equ
Brand Dynamics
System for measuring & understanding brand value and equity
Consumer Equity
(Perceptual)
Brand Equity
(Financial)
Consumer Equity
?Consumers thoughts, feelings, associations linked to the brand ?Result of Sales force efforts, A & P, personal experience,Credibilty endorsement, etc… ?Consumers thought, feelings actively define what a brand means to them ?Associations define what brand worth to them ?Consumer Equity is fundamental to Brands Equity
Consumer Equity
?Brand Associations have a real financial value to the brand & in effect determine the brand value in the market ?Perceived Value of the brand should be higher than the price of the brand ?If a brand is able to sustain a premium price; its value as an asset is likely to be greater than a brand that generates more volume but produces less revenue
Building Customer Equity: Understanding Own Level Of Focus
How customer centered is your company? How does your company measure this? Does your company need to be more customer centered? To all customers or only the more important customers? How can you go about becoming more customer centered?
How much would this cost you in new technology and training?
How much would you gain as a result of becoming more customer centered?
Components Of Customer Equity
Customer equity is driven by Value Equity Brand Equity Relationship Equity
Companies must decide which driver(s) underlie each equity
Brand Dynamics Pyramid
Bond Advantage Performance Relevance Presence
Presence
?Brand must develop a presence as customer does not want to buy a brand that they know nothing of
x
Relevance
?The feature of the brand which gives an appropriate benefit which meets the needs of the consumer ?BD looks at this level as a -ve check. i.e those who do not find the brand relevant, for them the brand remains at a Presence Stage x
Performance
?Brand needs to live up to the customers’ expectations of product performance within the category ?BD looks at this level as a -ve check, i.e. those brands that do not perform remain only at the Performance Stage
x
Advantage
?For sustaining the relationship with the customer the brand must be differentiated appropriately ?Developing distinctive personality gives the brand a perceived consumer advantage
x
Bond
?Strong relationship with the brand due to reliance on product performance ?As relationship deepens consumers confirm that the brand is the right one for them ?When consumers bond with the brand they take performance for granted ?Reliability, Trustworthiness ?Result: ? True loyal consumer ?Refusal to alternatives
THANK YOU
doc_615095017.ppt