Building Brand Value and Its Inpact on Customer Marketing
Brand Value & Its Significance to Customer Marketing
Abstract A successful brand is the most valuable resource a company has. In fact, one authority speculates that brands are so valuable that many companies include a “statement of value” addendum to their balance sheets to include intangibles such as the value of their brands. Brands are used as external cues to taste, design, qualify, prestige, value and so forth. In other words, consumers associate the value of a product with the brand. For example, the value of Kodak, Sony, Coca-cola, Toyota and Microsoft is indisputable. One estimate of the value of Coca-cola, one of the world’s most valuable brand places it at over $35 billion. How does a brand create value to the customer? Why do certain brands have more value than others? How does a brand’s value with customer increase its profits? The purpose of this paper is to review core literature to briefly define brand value and how customer-focused marketing increases brand value and ultimately profitability.
The BIG Deal With Branding A brand is a distinguishing name and/or symbol intended to identity the goods or services of either one seller or a group of sellers, and to differentiate those goods or services from those of competitors (Aaker, 1991; Stanton, 1994, and Kotler, 1996). A brand thus signals to the customer the source of the product, and protects both the customer and the producer from competitors who would attempt to provide products that appear to be identical. Today, it is widely understood that brands play an imperative role in generating and sustaining the financial performance of branded businesses, such as McDonald’s, Coca-Cola, Mercedes, and Apple. With growing competition and saturation in virtually every industry, strong brands help companies communicate why
Abstract A successful brand is the most valuable resource a company has. In fact, one authority speculates that brands are so valuable that many companies include a “statement of value” addendum to their balance sheets to include intangibles such as the value of their brands. Brands are used as external cues to taste, design, qualify, prestige, value and so forth. In other words, consumers associate the value of a product with the brand. For example, the value of Kodak, Sony, Coca-cola, Toyota and Microsoft is indisputable. One estimate of the value of Coca-cola, one of the world’s most valuable brand places it at over $35 billion. How does a brand create value to the customer? Why do certain brands have more value than others? How does a brand’s value with customer increase its profits? The purpose of this paper is to review core literature to briefly define brand value and how customer-focused marketing increases brand value and ultimately profitability.
The BIG Deal With Branding A brand is a distinguishing name and/or symbol intended to identity the goods or services of either one seller or a group of sellers, and to differentiate those goods or services from those of competitors (Aaker, 1991; Stanton, 1994, and Kotler, 1996). A brand thus signals to the customer the source of the product, and protects both the customer and the producer from competitors who would attempt to provide products that appear to be identical. Today, it is widely understood that brands play an imperative role in generating and sustaining the financial performance of branded businesses, such as McDonald’s, Coca-Cola, Mercedes, and Apple. With growing competition and saturation in virtually every industry, strong brands help companies communicate why
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