Measure Your Brand Equity
What is brand equity?
If you put a monetary value on your brand, how much would it be? A product from a well-known brand has more value to a customer than one without a brand. Marketers tag brands monetarily to better track its value, and call it 'brand equity'.
How do you build your brand's equity?
Every time your customer comes in contact with your brand an impression is made in her mind. These impressions work together to give your brand a personality with various attributes. Brand attributes might be positive, like helpful and friendly, or negative, like snobbish and rude. These attributes work together to create value for your customers and develop attachments to your brand.
The best way to build your brand's equity is by improving the brand attributes and building a better brand identity. Create value for your customers to develop a great brand for yourself.
How do you measure brand equity?
Measuring a brand's equity is defined by the brand's awareness and the loyalty it inspires among consumers. Brand managers must also know if customers can clearly associate with its identity. Brand awareness, loyalty, and identity measurements can be used to estimate your brand equity. Whichever method you use, remember to be consistent so that you can clearly mark your progress for every time period.
Measurements using a comparison with other brands in the same field are usually used for evaluation. The higher your brand is valued compared to a competitor, the higher its brand equity. Questions that measure this difference are highly preferred. For example, asking the following questions can help you understand which brand the customer remembers and associates herself with:
On a scale of 0-10 rate how well you know the following products. (with 0 being unfamiliar and 10 being very familiar)
How likely are you to purchase the following products?
Similar questions may be used to test how relevant, likable, or familiar the brand is to the customer. Of course, you will need to change the questions to suit your brand's identity, with the attributes that you value the most must be included within the questions.