Brand Equity Measurement Page 3
Executive
Summary
In
the
Phase
–
I
of
our
project,
we
measured
the
brand
image
of
the
brand
Happydent,
in
the
candy
mouth
freshener
category,
using
a
combination
of
the
BAV
model
and
laddering
method.
Our
last
finding
indicated
that
Happydent
was
a
leader
in
its
category,
beating
off
competition
from
the
rival
brands.
In
Phase
–
II,
we
work
towards
measuring
the
‘equity’
of
brand
Happydent
using
a
model
which
is
a
modification
to
existing
models
available
for
calculating
brand
equity.
We
use
a
“Three
Pillar”
model
factoring
in
the
components
–
Price
Premium,
Brand
Loyalty
and
Market
Share
–
to
arrive
at
a
definitive
measure
of
brand
equity.
While
evaluating
the
Brand
Loyalty
component,
the
results
showed
that
in
the
case
of
Happydent
(and
the
category
in
general),
the
customer
attitude
could
be
best
described
as
belonging
to
the
low
involvement
hierarchy
(act
feel
think).
The
study
reflected
the
brand’s
reliance
on
highly
loyal
customers
to
drive
its
fortunes.
To
determine
the
Market
Share
we
based
our
findings
on
a
combination
of
‘Stochastic
share’
and
‘operational
share’
to
arrive
at
a
suggestive
figure.
We
determined
the
stochastic
share
to
figure
out
the
probability
of
the
brand
being
selected
on
the
next
purchase
decision.
Being
a
determinant
of
the
‘mind
‐
share’,
the
stochastic
preference
share
of
the
different
brands
was
a
clear
pointer
to
the
fact
that
Happydent
had
the
highest
share
of
the
consumer’s
mind.
We
also
calculated
the
‘Operational
share’
of
the
different
brands,
an
indicator
of
the
market
share
of
these
products
in
the
candy
mouth
freshener
category.
Happydent
yet
again
scored
over
its
competitors
like
Chloromint
and
Mentos.
Price
Premium
being
very
important
to
measuring
the
brand
equity,
we
relied
on
the
Price
and
quality
matrix
which
will
check
the
premium
that
the
brand
can
charge
from
its
consumers
for
the
quality
that
they
provide.
Through
this
model
we
inferred
that
a
significant
number
of
respondents
viewed
Happydent
as
good
or
superior
quality,
while
a
similar
percentage
of
respondents
considered
the
price
to
be
not
a
barrier
or
at
best
a
minor
barrier;
implying
that
for
a
superior
or
good
quality
product
(even
for
a
low
involvement
product
category
as
this)
the
customer
was
willing
to
pay
a
higher
price.
We
also
tried
to
figure
out
the
“brand
gravity”
and
“brand
focus”
of
Happydent
with
the
results
implying
that
the
brand
has
a
huge
potential
market
waiting
to
be
tapped
and
increasing
its
marketing
efforts
would
be
worthwhile.
The
results
also
confirmed
an
earlier
inference
that
Happydent
relied
heavily
on
sales
to
its
loyal
customers.
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