THE WORLD’S MOST VALUABLE BRANDS (
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THE WORLD’S MOST VALUABLE BRANDS ( Interbrand ). THE WORLD’S MOST VALUABLE BRANDS ( Interbrand ). THE WORLD’S MOST VALUABLE BRANDS ( Interbrand ). PRODUCTS ARE CREATED IN A FACTORY, BUT BRANDS ARE CREATED IN THE MIND. …WALTER LANDOR. Reputation. Consumer Loyalty. Future Earnings/Cash Flow.

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THE WORLD’S MOST VALUABLE BRANDS ( Interbrand )

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The world s most valuable brands interbrand

THE WORLD’S MOST VALUABLE BRANDS (Interbrand)


The world s most valuable brands interbrand

THE WORLD’S MOST VALUABLE BRANDS (Interbrand)


The world s most valuable brands interbrand

THE WORLD’S MOST VALUABLE BRANDS (Interbrand)


The world s most valuable brands interbrand

PRODUCTS ARE CREATED IN A FACTORY, BUT BRANDS ARE CREATED IN THE MIND.

…WALTER LANDOR


The world s most valuable brands interbrand

Reputation

Consumer

Loyalty

Future Earnings/Cash Flow

Associations

Awareness

BRAND STRENGTH

BRAND VALUE

BRAND IMAGE

Feelings

Extension

Potential

Sales

Volume

Price

Elasticity

Price-Cost

Margin

Purchase

Frequency

Personality

BRAND EQUITY DIMENSIONS


The world s most valuable brands interbrand

Price Premium (%)

Dollar Sales Market Share for a Brand

Unit Volume Market Share for a Brand

Red Bull Price Premium = 43/30 -1 = +43%

Monster Energy Price Premium = 16/27 -1 = -59%

Full Throttle/Tab Energy = 10/10 -1 = 0%

-1

=

CALCULATING A PRICE PREMIUM (BRAND EQUITY) BASED ON DOLLAR AND UNIT VOLUME MARKET SHARE DATA


The world s most valuable brands interbrand

SOURCES AND OUTCOMES OF BRAND EQUITY

  • Sources of Brand Equity:

    • Equitrak:

      • recognition

      • regard

    • Keller Model:

      • Brand Salience

      • Brand Performance/Imagery

      • Consumer Judgments/Feelings

      • Brand Resonance

    • Young & Rubicam Brand Asset Valuator

      • Differentiation

      • Relevance

      • Esteem

      • Knowledge

  • Outcomes of Brand Equity:

    • Incremental Cash Flow…

    • Economic Value

    • Brand Loyalty

    • Price Premiums


The world s most valuable brands interbrand

Unaided Awareness

Total Awareness

RECOGNITION

REGARD

Quality

Value

Trust

REPUTATION

No Substitute

Willing to Pay More

DIFFERENTIATION

Gaining Popularity

Declining Popularity

MOMENTUM

Favorite Brand

Proud to Use

AFFILIATION

EQUITRAK BRAND EQUITY MODEL


The world s most valuable brands interbrand

CUSTOMER-BASED BRAND EQUITY PYRAMID (Keller)

4.Relationships = What about you and me?

Intense, active loyalty

Consumer-

brand

resonance

Positive, accessible reactions

3.Response =

What about you?

Consumer

feelings

Consumer

judgments

Strong, favorable and unique brand associations

2.Meaning =

What are you?

Brand

performance

Brand

imagery

Deep, broad brand awareness

1.Identity =

Who are you?

Brand salience


The world s most valuable brands interbrand

THE BAV Power Grid

Power Leaders

Niche/

Unrealized Potential

D R E K

Declining

Leaders

D R E K

BRAND STRENGTH

(Differentiation & Relevance)

D R E K

New

Eroded

Unfocused

D R E K

D R E K

BRAND STATURE

(Esteem & Knowledge)

YOUNG & RUBICAM’S BRAND ASSET VALUATOR

  • Differentiation measures the degree to which a brand is seen as different from others.

  • Relevance measures the breadth of a brand’s appeal (the overall size of a brand’s franchise).

  • Esteem measures how well the brand is regarded and respected

  • Knowledge measures how familiar and intimate consumers are with brand.


The world s most valuable brands interbrand

SNAPPLE: BRAND ACQUISITION HISTORY


The world s most valuable brands interbrand

SOME BRAND ACQUISITIONS:

PRICES AND SALES MULTIPLE


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