Motivation for Customer-Based Brand Equity Model

• Marketers know strong brands are important but aren‟t always sure how to build one. • CBBE model was designed to be …
– comprehensive – cohesive – well-grounded – up-to-date – actionable

1

Brand Equity • The marketing effects uniquely attributable to the brand .Keller • Positive brand equity leads to: – – – – – Loyalty Margins Reduced vulnerability to competition Enhanced marketing effectiveness Brand extensions 2 .

Rationale of Customer-Based Brand Equity Model • Basic premise: Power of a brand resides in the minds of customers • Challenge is to ensure customers have the right types of experiences with products & services and their marketing programs to create the right brand knowledge structures: – – – – – Thoughts Feelings Images Perceptions Attitudes 3 .

Brand Equity • Sources of Brand Knowledge – Brand Awareness – Brand Image • Strength of Brand Associations • Favorability of Brand Associations • Uniqueness of Brand Associations 4 .

think and consider the brand while making purchase. 5 . • Choice Advantages-can affect choices among brands in the consideration set.Consequences of Brand Awareness • Learning Advantages.A brand node is established in memory • Register the brand in the minds of the consumers.consideration set. • Consideration Advantages. • Part-list cuing effects-recall of some information can inhibit recall of other information.

promotion. logo. • Brand name. packaging. symbol. public relation. publicity. event marketing.consumption cues. 6 . outdoor Visually and verbally reinforce brand name • Recall-linkages in memory.Establishing Brand Awareness • Increasing the familiarity-repeated exposure • Seeing.product categorysituational purchase. slogan • Advertising. hearing thinking –strongly registered in memory. character.

media vehicles. 7 .marketer controlled sources of information.Brand Image • Positive brand image-marketing programs that link strong. • Brand associations. favorable and unique associations to the brand in memory. word of mouth. direct experience. consumer reports. inferences about brand.

” – Identifies areas of strength and weakness – Provides guidance to marketing activities 8 .Building Customer-Based Brand Equity • Building a strong brand involves a series of steps as part of a “branding ladder” • A strong brand is also characterized by a logically constructed set of brand “building blocks.

Building a strong Brand-The Four steps of Brand building • • • • Who are you? (Brand Identity) What are you? (Brand meaning) What about you? (Brand response) What about you and me? What kind of association and how much of a connection would I like to have with you? (Brand relationships) 9 .

IDENTITY = Who are you? 10 . MEANING = PERFORMANCE IMAGERY What are you? SALIENCE 1.CUSTOMER-BASED BRAND EQUITY PYRAMID 4. RELATIONSHIPS = RESONANCE What about you & me? 3. RESPONSE = JUDGMENTS FEELINGS What about you? 2.

Customer-Based Brand Equity Model ConsumerBrand Resonance INTENSE. BROAD BRAND AWARENESS . ACTIVE LOYALTY Consumer Judgments Consumer Feelings RATIONAL & EMOTIONAL REACTIONS Brand Performance Brand Imagery POINTS-OFPARITY & POINTS-OFDIFFERENCE Brand Salience DEEP.

DURABILITY & SERVICEABILITY SERVICE EFFECTIVENESS. HERITAGE. & EMPATHY STYLE AND DESIGN PRICE USER PROFILES PURCHASE & USAGE SITUATIONS PERSONALITY & VALUES HISTORY. EFFICIENCY.Sub-Dimensions of CBBE Pyramid LOYALTY ATTACHMENT COMMUNITY ENGAGEMENT QUALITY CREDIBILITY CONSIDERATION SUPERIORITY WARMTH FUN EXCITEMENT SECURITY SOCIAL APPROVAL SELF-RESPECT PRIMARY CHARACTERISTICS & SECONDARY FEATURES PRODUCT RELIABILITY. & EXPERIENCES CATEGORY IDENTIFICATION NEEDS SATISFIED .

Salience Dimensions • Salience – aspects of the awareness of the brand-top-of-mind • Depth of brand awareness – Ease of recognition & recall – Strength & clarity of category membership • Breadth of brand awareness – Purchase consideration – Consumption consideration 13 .

Performance Dimensions • Product is at the heart of brand equity-satisfies consumers needs • Intrinsic properties-product/service characteristics • Primary characteristics & supplementary features • Product reliability. and serviceability • Service effectiveness. and empathy • Style and design • Price 14 . efficiency. durability.

sophistication. and context of usage • Personality & values – Sincerity. month. & experiences – Nostalgia – Memories 15 . ease of purchase – Time (day. etc. & ruggedness • History. specific stores. excitement.Imagery Dimensions • • • • Extrinsic properties Meets consumers psychological /social needs Abstract /intangible aspects of brand User profiles – Demographic & psychographic characteristics – Actual or aspirational – Group perceptions -. location. competence.). week. heritage. year.popularity • Purchase & usage situations – Type of channel.

extent to which customers view the brand as being appropriate and meaningful to themselves – Differentiation.Judgment Dimensions • Customers personal opinions and evaluations with regard to brand.unique and better than other brands. keeping customers interest in mind) – Likability (fun. innovative. – to build intense and active relationship 16 • Brand credibility • Brand consideration • Brand superiority . Interesting. market leader) – Trustworthiness( dependable. worth spending time with) – Relevance. • Brand quality – Value – Satisfaction – Expertise( competent.

playful.sense of pride. lighthearted. calm. accomplishment. cool.Feelings Dimensions • • • • Emotional response and reaction Social currency evoked by the brand Transformational advertising Warmth.amused. joyous. 17 . being alive. peace. sentimental. fulfillment Private and enduring. Experiential and immediate. increasing in level of gravity. sexy.soothing. self-assurance • Social approval -positive about reaction of others • Self -respect. comfort.increasing in level of intensity • Security -safety. affectionate • Fun. cheerful • Excitement -energized. warmhearted.

„in sync‟ Harley Davidson.eBay.Resonance Dimensions • • • • • • • • Ultimate relationship and level of identification the customer has with the brand. Intensity or depth of the psychological bonding Strong personal attachment.. chat rooms 18 .lifetime value Attitudinal attachment – Love brand (favorite possessions. Behavioral loyalty – Frequency and amount of repeat purchases. Apple.nature of relationship. “a little pleasure”) – Proud of brand Sense of community – Kinship – Affiliation Active engagement – Seek information – Join club – Visit web site.

Brand Building Implications Branding tenets • Customer own brands • Don’t take shortcuts with brands • Brands should have a duality.appeal to both head and heart • Brands should have richness • Brand /Resonance provides important focus. 19 .

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