1. Chapter Two
Marcom’s Challenges: Enhancing Brand Equity, Influencing Behavior, and Being Accountable
 2007 Thomson South-Western

2. Brand A Differentiated Product is a Brand
A product must satisfy two conditions to be called a brand
Thums Up, Ariel

3. Definition of Brand Equity
Brand Equity is Brand Value
Brand equity can be considered either from the perspective of the organization that owns it or from the vantage point of the customer.

4. As Brand Equity Increases…
A higher market share is achieved
Brand loyalty increases
Premium prices can be charged
The brand earns a revenue premium

5. Firm based perspective of brand equity
The revenue differential between a branded item and a corresponding private labeled item.
Revenue premium=
(volumeb)(priceb)-(volumepl)(pricepl)

6. A Customer-Based Perspective on Brand Equity

7. Two forms of Brand Knowledge
Brand Awareness
An issue of whether a brand name comes to
mind when consumers think about a
particular product category and the ease
with which the name is evoked.

8. The Brand Awareness Pyramid

9. Brand Recognition

10. Aided Brand Recall

11. Free (unaided) brand recall

12. Two Forms of Brand Knowledge
Brand Image
The types of associations that come to
the consumer’s mind when
contemplating a particular brand.

13. Network of Brand Associations

14. Network of Brand Associations
Each circle –
Each line –
Thickness of each line –
Number of lines leading into a node –

15. Nielsen Buzz Metrics Brand Associations Concept Map (BACM)

16. What does a Brand Associations Concept Map (BACM) tell you?
What thoughts (names, attributes, benefits, pictures, words, images, etc. etc.) come to your mind when presented with a brand cue?
How strongly/weakly are they linked to the brand cue?
Conclusions you can draw from a BACM

17. Dimensions of Brand Personalities
Competence
Ruggedness
Excitement
Sophistication
Sincerity

18. Illustration of a Sincere Brand

19. Illustration of an Exciting Brand

20. Illustration of a Competent Brand

21. Illustration of a Sophisticated Brand

22. Illustration of a Rugged Brand

23. Branding Strategies
Leveraging the equity of an established / reputed brand name
Why do you do it?

24. Branding Strategies Co-branding Ingredient branding Brand Extensions
Sub-branding

27. The Lovemark Grid (Pawle and Cooper 2006, Journal of Advertising Research)

28. Characteristics of World Class Brands
Delivers benefits consumers want
Stays relevant
Price equals value
Good positioning
Consistency

29. Characteristics of World Class Brands
Fits into brand portfolio
Brand uses all IMC options available to build equity
Brand’s managers understand what the brand means to consumers
Support over long run
Monitoring of the sources of brand equity

30. Top 10 Global Brands (2009)

31. How does Interbrand Value these brands

32. Affecting Behavior and Achieving Marcom Accountability
Creating brand awareness and boosting brand image has little positive effect unless individuals make purchases or engage in some other form of desired behavior.

33. ROMI
The effect of marcom, or of its specific elements such as advertising, can be gauged in terms of whether it generates a reasonable revenue return on the marcom investment.
In marketing, return on investment is called return on marketing investment (ROMI)

34. Choosing a Metric Change in brand awareness
Improved consumer attitude toward the brand
Increased purchase intentions
Larger sales volume
Greater repeat sales
Etc.