Measuring and Managing Brand Equity Zou Deqiang, Ph. D School of Management, Fudan University May7,2008
1 Measuring and Measuring and Managing Brand Managing Brand Equity Zou Deqiang, Ph.D. School of Management, Fudan University May 7, 2008
Brand Equity: Differential Response Taste perceptions of six beer brands when the drinker does NoT know what he/she is drinking Pabst Budweiser Colt 45 Guinness Miller Lite Coors O Copy rights reserved, Zou Deqiang
2 2 © Copy rights reserved, Zou Deqiang Brand Equity: Differential Response • Taste perceptions of six beer brands when the drinker does NOT know what he/she is drinking
Brand Equity: Differential Response Taste perceptions of six beer brands when the drinker knows what he/she is drinking Colt 45 Pabst oors Guinness Miller Lite Budweiser O Copy rights reserved, Zou Deqiang
3 3 © Copy rights reserved, Zou Deqiang Brand Equity: Differential Response • Taste perceptions of six beer brands when the drinker knows what he/she is drinking
Brand Equity: Different Perspectives Cognitive psychology(associative network memory model): strong, favorable, and unique brand associations as nodes of a network in consumer memory to be activated by some stimuli Information economics: brand as a cognitive short-cut or decision heuristic for consumers to reduce perceived risk Social relationship: brand is the bridge connecting brand and its consumers as if such relationship was interpersonal relationship Choudhary, Nichiketa(2008), "People Buy Brands Like They Make Friends brandchannel. com. May 5 Issue ID Branding(2008), Give Them Something to Believe In: The Value of Brand Culture O Copy rights reserved, Zou Deqiang
4 4 © Copy rights reserved, Zou Deqiang Brand Equity: Different Perspectives • Cognitive psychology (associative network memory model): strong, favorable, and unique brand associations as nodes of a network in consumer memory to be activated by some stimuli • Information economics: brand as a cognitive short-cut or decision heuristic for consumers to reduce perceived risk • Social relationship: brand is the bridge connecting brand and its consumers as if such relationship was interpersonal relationship Choudhary, Nichiketa (2008), “People Buy Brands Like They Make Friends,” brandchannel.com, May 5 Issue. ID Branding (2008), Give Them Something to Believe In: The Value of Brand Culture Choudhary, Nichiketa (2008), “People Buy Brands Like They Make Friends,” brandchannel.com, May 5 Issue. ID Branding (2008), Give Them Something to Believe In: The Value of Brand Culture
The Fact Brands are fiendishly complicated, elusive slippery, half real/half-virtual things. When CEOs try to think about brands their brains hurt Jeremy, Bullmore WPP Group O Copy rights reserved, Zou Deqiang
5 5 © Copy rights reserved, Zou Deqiang The Fact • “Brands are fiendishly complicated, elusive, slippery, half real/half-virtual things. When CEOs try to think about brands their brains hurt.” Jeremy, Bullmore WPP Group