Summary conceptualizing, measuring, and managing customuer-based brand equity

TEKST 2: CONCEPTUALIZING,
MEASURING, AND MANAGING
CUSTOMER-BASED BRAND EQUITY
1. INLEIDING

BRAND EQUITY
= the differential effect of brand knowledge on consumer response to the marketing of the brand.
= defined in terms of the marketing effects uniquely attributable to the brand
 Familiarity with the brand & holds some favorable, strong, and unique brand associations in
memory.
BRAND KNOWLEDGE
= conceptualized according to an associative network memory model in terms of two components,
brand awareness and brand image.
2 reasons for studying brand equity:
1. Financially based motivation to estimate the value of a brand more precisely for accounting
purpose.
2. Improve marketing productivity



2. BRAND KNOWLEDGE


2.1. BACKGROUND

Brand = geheel van brand components
 Brand components = "Brand identities": name, term, sign, symbol, or design, or combination of
them
Memory: associative model
 “Associative network memory model”: knowledge as consisting of a set of nodes and links.
o Nodes are stored information connected by links that vary in strength.
 Node andere nodes activeren als external information is being encoded or when
internal information is retrieved from long-term memory.
o A "spreading activation" process from node to node determines the extent of
retrieval in memory
 Extend of “spreading activation” determined by: strength of association between
the activated node and all linked nodes


2.2. BRAND AWARENESS

BRAND AWARENESS



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, = related to the strength of the brand node or trace in memory, as reflected by consumers’ ability to
identify the brand under different conditions.
~ Hoe goed brand identities hun functie doen.
 Bestaat uit brand recognition and brand recall performance:
 BRAND RECOGNITION = consumers’ ability to confirm prior exposure to the brand when
given the brand as a cue.
~ Correctly discriminate the brand as ‘having seen or heard previously’
 BRAND RECALL = consumers’ ability to retrieve the brand when given the product category,
the needs fulfilled by the category or some other type of probe as a cue (generate brand
from memory).

3 reasons why brand awareness plays an important role in consumer decision-making:
1) Letting consumers think of the brand when they think about the product category. (Brand
awareness  increases the likelihood)
2) Affects decisions about brands in the consideration set, even if there are essentially no other
brand associations.
 “Elaboration likelihood model”: consumers base choices on brand awareness
considerations when low involvement  komt van
a. lack of consumer motivation (i.e., consumers do not care about the product or
service).
b. lack of consumer ability (i.e., consumers do not know anything else about the
brands).
3) Influencing the formation and strength of brand associations in the brand image.
 A necessary condition for the creation of a brand image is that a brand node has been
established in memory.


2.3. BRAND IMAGE

BRAND IMAGE
= defined as perceptions about a brand as reflected by the brand associations held in consumer
memory.
3 different types of brand associations that may be present in consumer memory:
 ATTRIBUTES = descriptive features that characterize a product or service, distinguished
according to how directly they relate to product/service performance.
 Opdeling naarmate gerelateerd to product or service performance:
o Product-related attributes = ingredients necessary for performing the
product/service function sought by customers.
o Non-product-related attributes = external aspects of the product/service that relate
to its purchase or consumption. (Dus geen directe band moet hoe goed performance van
product is)
 4 types: price information, packaging, user imagery and usage imagery
 BENEFITS = the personal value consumers attach to the product or service attributes (what
consumers think it can do for them).
 3 categories:


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