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
 MARKETING PLANNING PROCESS

Complex,
Varied
Marketing
Activity

Detailed, Comprehensive,
Rich Robust
Marketing Marketing
Models Measures
 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
 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.”
 Identifies areas of strength and weakness
 Provides guidance to marketing activities
CUSTOMER-BASED BRAND EQUITY PYRAMID

4.4. RELATIONSHIPS
RELATIONSHIPS ==
RESONANCE What
Whatabout
aboutyou
you&&me?
me?

3.3. RESPONSE
RESPONSE ==
JUDGMENTS FEELINGS
What
Whatabout
aboutyou?
you?

2.2. MEANING
MEANING ==
PERFORMANCE IMAGERY What
Whatare
areyou?
you?

1.1. IDENTITY
IDENTITY ==
SALIENCE
Who
Whoare
areyou?
you?
 Salience Dimensions

 Depth of brand awareness

 Ease of recognition & recall
 Strength & clarity of category membership
 Breadth of brand awareness
 Purchase consideration
 Consumption consideration
Performance Dimensions

 Primary characteristics & supplementary features

 Product reliability, durability, and serviceability

 Service effectiveness, efficiency, and empathy

 Style and design

 Price
 Imagery Dimensions
 User profiles
 Demographic & psychographic characteristics
 Actual or aspirational
 Group perceptions -- popularity
 Purchase & usage situations
 Type of channel, specific stores, ease of purchase
 Time (day, week, month, year, etc.), location, and context of
usage
 Personality & values
 Sincerity, excitement, competence, sophistication, & ruggedness
 History, heritage, & experiences
 Nostalgia
 Memories
 Judgment Dimensions
 Brand quality
 Value
 Satisfaction
 Brand credibility
 Expertise
 Trustworthiness
 Likability
 Brand consideration
 Relevance
 Brand superiority
 Differentiation
Feelings Dimensions
 Warmth
 Fun
 Excitement
 Security
 Social approval
 Self-respect
 Resonance Dimensions
 Behavioral loyalty
 Frequency and amount of repeat purchases
 Attitudinal attachment
 Love brand (favorite possessions; “a little pleasure”)
 Proud of brand
 Sense of community
 Kinship
 Affiliation
 Active engagement
 Seek information
 Join club
 Visit web site, chat rooms
Customer-Based Brand Equity Model

Consumer- INTENSE,
INTENSE,ACTIVE
ACTIVE
LOYALTY
LOYALTY
Brand
Resonance

RATIONAL
RATIONAL&&
Consumer Consumer EMOTIONAL
EMOTIONAL
Judgments Feelings REACTIONS
REACTIONS

POINTS-OF-
POINTS-OF-
PARITY
PARITY&&
Brand Brand POINTS-OF-
POINTS-OF-
Performance Imagery DIFFERENCE
DIFFERENCE

DEEP,
DEEP,BROAD
BROAD
Brand Salience BRAND
BRAND
AWARENESS
AWARENESS
Sub-Dimensions of CBBE Pyramid

LOYALTY
ATTACHMENT
COMMUNITY
ENGAGEMENT

WARMTH
QUALITY FUN
CREDIBILITY EXCITEMENT
CONSIDERATION SECURITY
SUPERIORITY SOCIAL APPROVAL
SELF-RESPECT

PRIMARY CHARACTERISTICS & USER PROFILES

SECONDARY FEATURES PURCHASE & USAGE
PRODUCT RELIABILITY, DURABILITY SITUATIONS
& SERVICEABILITY PERSONALITY &
SERVICE EFFECTIVENESS, VALUES
EFFICIENCY, & EMPATHY HISTORY, HERITAGE,
STYLE AND DESIGN & EXPERIENCES
PRICE

CATEGORY IDENTIFICATION
NEEDS SATISFIED
 I-10
I-10
P-10
P-10
111
9 11
II--99
II--1 -11
PP-
PP--9

2 22
II--112
II--88
PP--11
PP--88

I-7
I-1
I-7 P-7
I-1 P-1
P-7
P-1

Imagery
II--22
II--66
PP--22
PP--66

Performance
Application:

II--33 PP--3
II--5 PP-
3
5 -55

0.17

II--44
PP--44

0.24
0.65

0
FF--110
JJ--1100

0.66

1111 1111
9 9
FF-- JJ--
FF--9 JJ--9

22 22
FF--11 JJ--11
FF--88 JJ--88

F-7 J-7
J-1
F-7 J-7
F-1
F-1 J-1
Feelings
Judgment

JJ--22
FF--66 JJ--66
FF--22

FF--3 JJ--3
3
JJ--
3
FF--
55 55
J-4

F-4
J-4

F-4
R-10
R-10

11
0.58
0.49
Identify the key drivers of brand equity

-11
99
RR-
RR--

22
RR--11
RR--88

R-7
R-1
R-7
R-1
Resonance

RR--22
RR--66

RR--
RR-
33
-55
R-4
R-4