Brand equity: an intangible that we can measure
How can I assess the prestige of my brand? Can I give you a number? Are my brand or brands worth more than my company? This topic intrigues many people – entrepreneurs, CEOs, marketers and advertisers – because building a brand generates, not always, such loyal followers that they are able to forgive any mistakes, but how do you know if your company is on the right track? Do not feel like a narcissist for wanting to measure this area, as it is very useful if you want to acquire or merge with other companies, develop a brand positioning strategy, improve the perception of your consumers or seek financing.
A large number of methodologies can help us to calculate the value of our brand, serious investigation agencies aligned with the International Standard for Brand Valuation ( www.iso.org ), which although it is not mandatory, does help to standardize processes. Qualitative and quantitative analysis techniques are very useful to identify the value in the perception and involvement of consumers in the object of study as well as their participation in the market.
The 3 bases of the brand
And well, to carry out a complete assessment we need three bases:
1. How strong is the economic contribution of the brand calculated after investment and operating expenses, for this it is mandatory to dive into the accounting and numbers of the company.
2. Consumer purchase decision attributable to the brand , this means that after the price, the benefits attributed to the quality and other essential consumer needs, the brand image is the greatest purchase incentive. This is known through surveys, group sessions or consumer panels, as well as attitudinal and lifestyle measurement. The above allows us to know perceptions such as remembrance, familiarity, exclusivity, relevance and involvement.
3. It is possible to measure, in the same way, the benefits generated by the brand and how much it can sustain them in the short, medium and long terms , that is, how competitive it can become in the market where it navigates, testing performance of the product, its packaging or presentation, the name and logo, as well as the advertising and personality of the brand.
Remember that your brand can offer you a sustainable competitive advantage as long as you recognize and determine its value, as well as its attributes, information with which you can make strategic decisions in favor of your company.
Master Research can support you through Branding Rocket , the solution that provides everything you need for the development and positioning of your brand.