Branding is one of the most important elements in marketing but what does it take to find a ‘strong’ brand? The effect that a brand has on a customer’s purchasing process or perspective about a product is known as “Brand Equity.” Brand equity is a term used to describe the value of having a recognized brand, based on the idea that firmly established and reputable brands are more successful. A strong brand is one of the most important assets any business can have. But the question arises what does having a ‘strong brand’ mean and how does it relate to brand equity? There are two main elements to a strong brand. First, an “emotionally strong” brand that sits in the consumers’ minds influencing their choices. Second is an “economically strong” brand that is focused on financial performance and a brand’s ability to drive value to a product. Strong brands are clearly a great source of value for the market and the mind of consumers. There are three ways to measure the brand equity of a company:
One of the main goals of brand management is to maximize sales profits over time. This is the exact reason that it is essential to focus on the ways of evaluating your brand in the short term and long term. This method of evaluation could be established by a set of well-organized short term and long-term measures. Each KPI, metric and measure should all share the same common end goal of driving brand equity and brans growth.
By: Brandon Diaz