MKT 510 Chapter Notes - Chapter 8: Brand Equity, Indirect Approach
Document Summary
Cbbe is the differential effect that knowledge about the brand has on customer response to the marketing of that brand, 2 basic approaches to measuring brand equity. Indirect approach: can assess potential sources of ccbe by identifying & tracking consumers brand knowledge. Thoughts, feelings, images, perceptions, beliefs linked to the brand: direct approach: can assess the actual impact of brand knowledge on consumer response to different aspects of the marketing program. Brand value chain: means by which marketers can trace the value creation process for their brands to better understand the financial impact of their marketing expenditures & investments. Virtually every marketing dollar spent today must be justified as both effective & efficient in terms of return of marketing investment (romi). Some observers believe that up to 70% (or even more) of marketing expenditures may be devoted to programs & activities that cannot be linked to short-term incremental profits, but yet can be seen as improving brand equity.
