2 - Brand Equity, Awareness & Image

Question 1

two main paradigms of brand equity

Answer 1

financial value of brands
customer-based brand equity (CBBE)

Question 2

most employed financial brand valuation method

Answer 2

developed by Interbrand Group
- measure of brand equity based on the projected brand’s performance alongside other factors (ex: stability)

Question 3

brand equity according to Keller (CBBE)

Answer 3

power of a brand lies in consumers’ brand knowledge

brand knowledge, 2 components:
- brand awareness + brand image

Question 4

brand awareness

Answer 4

consumer’s ability to identify the brand under different conditions
- strength of the brand trace in memory (Keller)

• recognition (assisted awareness)
• recall (spontaneous awareness)
• top-of-mind
• brand name dominance

Question 5

brand recall v brand recognition

Answer 5

better to have a higher brand recall score
- our brain remembers 5/6 brands p/ category

Question 6

graveyard model

Answer 6

x: recall & y: recognition -> increase then plateau

• niche brands: recognition = recall
• graveyard brands: high recognition but low recall (ex: nokia)
• healthiest brands: high recall + recognition

Question 7

brand image (keller)

Answer 7

consumer’s perception of a brand as reflected by the brand associations held in consumer memory

Question 8

ways in which stakeholders develop brand image (keller)

Answer 8

brand’s marketing activities
direct experience
communities’ opinion: reviews, social media…etc

Question 9

2 approaches of brand image

Answer 9

dynamic - influenced by consumer-experience
static - grounded on memory

Question 10

other views of brand equity - David Aaker

Answer 10

4 components:
- brand awareness
- brand associations (brand image)
- perceived quality
- brand loyalty

Question 11

the higher the brand awareness…

Answer 11

the higher the purchase intentions
- except when brand equity is -ve