Brand equity is the value a brand gains from its Name recognition. Also, Brand equity holds two things –
Brand Perception – It’s the Perception of the brand and the value it holds in the eyes of the consumer.
Commercial Value – It shows the number in terms of value.
Elements of Brand Equity –
- Brand Awareness
- Perceived Quality
- Brand Loyalty
- Brand Association
- Proprietary Brand Assets
Brand Awareness –
Brand Awareness is when a brand is recognized or recalled by its Target consumers. The higher the recall value of a brand, the higher the Brand Equity.
It happens in the early months of the Product launch to the market. Brand Awareness is the primary goal of advertising.
Perceived Quality –
Perceived Quality is all about how a customer thinks about the Quality of the product, or have Perception about a particular brand.
Brand Loyalty –
It happens when a customer chooses your brand among your competitors. Also, consider your brand for the future purchase or repeat Purchase that is Brand Loyalty.
Brand Association –
When a customer has a particular thought and impression about a brand, that is called Brand association.
Brand Association differentiates your brand from your competitors.
Proprietary Brand Assets –
Proprietary Brand Assets refers to anything that your brand holds like Patent, Trademark, or could be anything that gives your brand an edge over your competitor.
For Example – Amazon One-click shopping