TheGallupOrganizationBRANDEQUITYandBRANDBRANDEQUITYandBRANDLOYALTYLOYALTYMeasurementfortheManagementofBrandsMeasurementfortheManagementofBrandsTheGallupOrganizationTheGallupOrganization““BrandEquityBrandEquity””♥Value-AddedbyBrand(vs.unbrandedproduct/service)♥LeverageableperceptualassetsassociatedwiththeBrand♥AbilityofBrandtocommandapremium:§Price§Effort§TravelTheGallupOrganizationManagementofManagementof““BrandEquityBrandEquity””inpursuitofacorporategoal:inpursuitofacorporategoal:SustainablegrowththroughthecreationofloyalcustomersTheGallupOrganization““BrandEquityBrandEquity””FinancialValuePerceptualValuePerceptualValueTheGallupOrganizationBrandEquityMeasurementBrandEquityMeasurementChallenge:1.Defineanddimensionalizewhatis“owned”2.IdentifykeyelementsforperiodicreassessmentTheGallupOrganization““BrandEquityBrandEquity””♥“BrandPower”♥“BrandStrength”♥“BrandDominance”♥“BrandAssets:”§Differentiation§Relevance§Esteem§KnowledgeTheGallupOrganizationBrandEquityBrandEquity1.Isrelative(Brandvs.Competition)2.Ismultidimensional3.Ismorethanjust“brandimage”4.Isdrivenbyexperienceaswellasbycommunications5.HasapayoffTheGallupOrganizationThePayoffofEquityThePayoffofEquity♥Morecontrol♥Moretools:§Offensive§DefensiveLoyalCustomersTheGallupOrganizationLoyalCustomersThePayoffofBrandEquityThePayoffofBrandEquityPlatformforprofitsandforgrowthBarriertocompetitionResiliencywhenattackedTheGallupOrganizationGallupGallup’’sApproachtosApproachto““BrandEquityBrandEquity””MeasurementMeasurement♥Brand“Presence”♥Brand“Position”♥Brand“Value”♥Brand“Experience”♥BrandLoyaltyMultipleComponents:TheGallupOrganizationBrandLoyaltyBrandPositionBrandPresenceBrandValueBrandExperienceTheGallupOrganization1.Brand1.Brand““PresencePresence””Theextenttowhichthebrand“standsout”fromitscompetitionMeasures:♥Unaidedawareness♥Unaidedandaidedadvertisingawareness♥Advertisingand/ormessageclaimrecognition/association♥FamiliarityTheGallupOrganization2.Brand2.Brand““PositionPosition””TheextenttowhichthebrandisuniquelypositionedandperceptuallydifferentiatedfromcompetitorsMeasures:♥Attribute/benefitratings♥Favorability♥Esteem/trust♥Differentiation♥ConsiderationTheGallupOrganization3.Brand3.Brand““ValueValue””Degreetowhichthebrandaddsperceivedvaluetoaproductand/ortoarangeofproductofferingsMeasures:♥Perceivedvalue♥Perceivedrelativeprice♥Extendibility♥Willingnessto“work”forTheGallupOrganization4.Brand4.Brand““ExperienceExperience””Extenttowhichcustomershavepositiveassociationsandexperienceswithbrandproduct/serviceuseMeasures:♥Satisfaction♥UsageexperienceandassociationsTheGallupOrganization5.Brand5.Brand““LoyaltyLoyalty””ExtenttowhichthebrandispreferredandchosenoveritscompetitorsMeasures:♥Preference,intentandcommitmenttocontinuebuying/using♥Willingnesstoswitch♥“Depth”ofrepeatpurchase♥“Depth”ofrelationship♥AdvocacyTheGallupOrganizationAssessingAssessing““BrandEquity:BrandEquity:””TheTheOutputOutput♥Individualcomponents♥Relationshipsamongtwoormorecomponents♥IntegrationofcomponentsastheyinteracttodriveloyaltyCanlookat:TheGallupOrganizationOutput:Output:NOTTHISLotsofEquityBrandNoEquityTheGallupOrganizationOutput:Output:NOTTHISCoca-ColaKodakNikeCitibankCampbell’sSportsIllustratedKraftCoorsColgateBrandTheGallupOrganizationMeasurementOutputMeasurementOutput♥Presence♥Position♥Value♥Experience♥Loyalty1.IndividualComponentsTheGallupOrganizationBrandPresence:AwarenessBrandPresence:AwarenessUNAIDEDBRANDUNAIDEDADVS.TOTALADCompetitorS31%41%CompetitorT23%46%CompetitorK18%30%Brand17%18%CompetitorR14%27%CompetitorF8%13%TheGallupOrganizationBrandPosition:BrandPosition:Attributes/BenefitsAttributes/BenefitsCompetitorFBrandCompetitorKPERFORMANCESENSIBLEEXCITEMENTTheGallupOrganizationBrandValueBrandValueVALUEFORMONEYEXTENDIBILITYWORTHSEEKINGOUTCompetitorTCompetitorSBrandTheGallupOrganizationBrandExperienceBrandExperienceHighlySatisfiedDissatisfiedPRODUCTSSERVICESBrandBrandCompetitorLCompetitorLTheGallupOrganizationBrandLoyaltyBrandLoyaltyAllOtherCompetitorPBrandCompetitorTShareofPast10VisitsCompetitorTBrandCompetitorPResistancetoSwitchingAdvocacyLoyaltyIndexTheGallupOrganization2.RelationshipsBetween2.RelationshipsBetweenComponentsComponentsTheGallupOrganizationBrandMBrandMPresencePresencePositionPosition§AdAwareness§AttributeSuperiority§PurchaseInterestTheGallupOrganizationBrandPBrandPPresencePresencePositionPosition§PriorUseExperienceExperience§TVAdAwareness§MagazineAdAwareness§Familiarity§Consideration§Intent§AttributeSuperiorityTheGallupOrganization3.Integratingthecomponentsas3.IntegratingthecomponentsastheydriveLOYALTYtheydriveLOYALTYTheGallupOrganization““BrandEquityBrandEquity””Relationships:Relationships:BrandLBrandLExperienceExperiencePositionPositionPresencePresenceLoyaltyLoyalty+++++++TheGallupOrganizationValueValue§Willingnesstopaypremium§Overallvalue““BrandEquityBrandEquity””Relationships:Relationships:BrandLBrandLPositionPosition§TrustLoyaltyLoyaltyExperienceExperiencePresencePresence§Familiarity§Satisfactionwithproduct§Satisfactionwithservice§PurchaseFrequency§RepurchaseIntent§Advo