What is Brand Equity?
Brand Equity Defined
Brand equity is a marketing term used to refer to the marketing impact of a given product in association with a brand name. It tries to examine how a given product will perform in the market if it did not have the privilege of that brand name. Therefore, the basis for brand equity and its impact on a business is based on the knowledge of the customer about that product. And yet, brand plays a vital role in helping build that knowledge and awareness, as well as the choices they make based on that knowledge.
Brand equity, then, reinforces the significance of a brand’s value and produce that positive type of recall in the mind of consumers. Marketing research has revealed that brand equity is one of the most important asset to the company.
Three Perspectives of Brand Equity
As an intangible asset, brand equity only gets its meaning out of the perceived quality and associations made by a consumer on a given product. Brand equity can be viewed in three different perspectives:
• Financial: One way to understand the value of brand equity is to calculate the premium that is placed on a product. To further understand, take for example two types of products: one that is of a recognized brand, and the other is unrecognized brand. Consumers are willing to pay a bigger amount for the branded product over those which they are unfamiliar with.
• Brand Extensions: When certain products attain a certain level of commercial success, most companies consider extending their line by introducing newer products under their brand. Because of the existing brand awareness, these companies will no longer invest on large advertising expenditures just to make that newly introduced product known.
• Consumer-based: The trust and attitude exhibited by a customer towards a given product is impacted by the associations they make with that brand. Oftentimes, these associations are a product of their own experience with using the brand. Therefore, actual experience plays a crucial role in the marketing strategy, especially in a developing brand.
Benefits of a Strong Brand Equity
Not all brand equity is positive, therefore most companies invest on building a strong brand equity. After all, it offers several benefits to the company. Below are just some of the helpful benefits that a company can derive of a good brand equity:
• Establishes a more reliable stream of income.
• By increasing brand equity, companies are also able to increase their profits through increased market share and premium pricing for less promotional costs.
• If you have established a good brand, then you can sell that brand name at a given price.
Managing Brand Equity
There are three stages involved in creating, building, and managing your company’s brand equity. They are outlined below:
1.) Your first step involves the introduction of a product of a given brand into the market. You must establish a certain standard for that brand to be able to launch products in the future that will sell in the market. Your aim here is to produce a positive response from the consumer to build trust among consumers.
2.) Try to produce a brand that is unique and yet memorable. The attitude of your brand must be accessible to consumers and must also provide benefits to satisfy its users.
3.) Consistency is the key. Your message must be synchronized with your company’s overall image and reinforce the value espoused by your organization. This is one of the most effective ways to build a strong brand equity.
Wahm Business Resource 1
Blogging has been around for a few years now. Most people use blogs to record their thoughts and lives, while the select few use them as a free way to make a fortune.
One guy who uses this to his advantage is Rob Benwell. In 2006 he dished the dirt on the tips and tricks to making a fortune using blogging. But as time passes the old systems become obsolete and new techniques are required. This is where his brand new, fresh off the press Blogging to the Bank 3.0 system comes into play.
For those who know who Rob Benwell is like me, you've probably made a killing using blogs.
For those who don't, here's the story:
Back in 2005 he was struggling to make any profit online, had dropped out of college and was getting deep into debt. He was trying all the techniques the gurus tell you and wasn't getting anywhere fast. All of that went in the bin and he started using his own techniques and started making more and more money using simple blogs. In early 2006 he shared this with the world and had a great ebook called blogging to the bank. Tons of people got rich from using these techniques (including me). He then spoke at Online Marketing Legend Yanik Silver's underground Seminar where he revealed even more of his underground strategies. Then July 2007 he released Blogging to the Bank 2.0 which showed users his new methods to creating online wealth using blogs. In total both versions have been read by over 50,000 people across the world.
But as I said earlier, the techniques used in these ebooks are now showing there age. Some of them are not even working in the slightest! This is where blogging to the bank 3.0 comes into play.
It's full of great new techniques that work online right now! Everything's explained in plain English with all the fluff cut out. I got hold of an advanced copy of the book for a much higher price than what it actually sells for and it has been worth every single cent! I got it in the afternoon and by the evening I was creating new profitable blogs. Within a couple of hours of them being active I had made a nice little profit.
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Wahm Business Resource 2
Build a work at home business where you can take control of, yourself! Follow a step-by-step plan and use tools and services with a proven record of success. Plus gain access to a positive, success-driven, and very supportive community.
The kind of business that you can create when looking to create an online business would be a website which serves a particular niche in the market. Many people have done on this and this is often done by trying to find an underserved niche, building a website, and then profiting off of this small but profitable match.
When you're building a website, you're going to want to find keywords that you can use to help build your business as well as create good content. By creating the content and then creating back links between yourself and other websites, you'll be able to increase website traffic.
By developing your natural search engine traffic through building up a website, you will have built yourself a very solid business. This is just one way of creating online business. This is where Site Build It! comes in. SBI! sites succeed. And it is proven and tested. It is a company that proves success. Most other companies have 99% of their small business sites fail. You cannot afford to lose a year of your life and hundreds or even thousands of dollars. That is what failure costs.
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Or take SBI! home for a No Risk Test Drive. You have a future to gain, a past (i.e., knowledge) to convert into income, and absolutely nothing to lose. You can even email Ken Evoy for your questions. How good is that?
Site Build It! - Being able to work from home is one of the key benefits of building an online business with Site Build It!. Just about everyone can connect with this "dream". Working from home is beneficial for your family. Everyone has it somewhere on their "wish list." According to an online poll, over 72% of adults in the USA are seriously thinking about starting a home-based business. It's probably just as high in other parts of the world, too.
Read more about Site Build It! or take a video tour. It's all about the "it" in Site Build It!.
Or take SBI! home for a No Risk Test Drive. You have a future to gain, a past (i.e., knowledge) to convert into income, and absolutely nothing to lose. You can even email Ken Evoy, founder of SBI, for your questions. How good is that?
Testimonial
My mom became interested in SBI! about a year after I started my first site. Since then she's been working on her own sites which are now bringing in a nice monthly income for her. Many people ask me about how I earn a living. They're all curious... lots of questions and a sparkle in their eye as they think about how they could do it too... and they could! In truth though, most of them don't. So seeing my mom go ahead and create her own success is incredible!" ~ Michelle Schill
Wahm Business Resource 3
So you are tired of working 9 to 5 in an office or a factory? You have decided that you are going to work from home. Now you want some resource about how you can find legitimate work at home jobs and not just spin your wheels. Okay, here we go...
First of all, let me give you a clue. We are now in the age of technology. Today, we have the internet superhighway where we can go to do everything from playing games to chatting with our friends to advertising products we have to sell or services we have to offer. Using the internet, you really can find legitimate work at home jobs.
If you aren't already internet savvy, now is the time to learn. Call a younger friend who knows all the ins and outs of getting around the internet. Tell your friend your plan to find a genuine work from home job.
There is actually an online tutorial course that can give you a guide and is a great wahm business resource if you are really serious at starting and online business. It is very affordable. It is called the Profit Lance System. It has interactive tools that can take you step-by-step through the process of being successful in any online business.
For some people this could take a while. But if you are serious and focused, I highly recommend this course. Click here for the full review.
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