Brand equity is the value that your brand brings to your company. You can measure it in a number of ways, such as the price premium you can charge over a no-name product, or long-term customer loyalty. One way to strengthen your customers’ perception of your brand is to apply the Customer Based Brand Equity Model created by Kevin Lane Keller
Meaning
Know what your brand means (performance) and what it stands for (imagery)
- Performance: how well your product meets customer needs
- Imagery: social and psychological aspects of this
- Develop greater brand meaning through targeted marketing, word of mouth and positive direct customer experience
Game Plan
Begin by building greater awareness
- Try to deepen the customer connection socially and psychologically through strategic targeted marketing
- Aim to achieve positive customer feelings and judgments about your brand
- Strive to connect with clients at the strongest level of loyalty, inspiring them to become more involved via social media and brand or marketing events
Step 3
Response: Reshape How Customers Think and Feel About Your Brand
- Customers respond to your brand through judgments and feelings
- Judgments relate to things like quality, credibility, how relevant your product is to customer needs, and whether your brand is superior to those of your competitors
- Positive feelings could include warmth, fun, excitement, security, social approval and self-respect
Relationships: Build a Deeper Bond With Customers
The most powerful and difficult to attain level in the brand equity pyramid is resonance
- This refers to building deeper customer relationships
- Achieving this means that your customers have formed a deep psychological bond with your brand
- They make repeat purchases and they feel an attachment to your brand or product
