Understanding Brand Equity requires insight on a variety of factors reflecting consumers’ relationship with a brand. Actionable Brand Equity research also explores consumers’ future intentions (e.g., purchasing and advocacy).
Brand Equity measurement and analysis is a detailed process, but the following fundamental “reads” are essential:
- In brand research, the foundational insights required are Brand Awareness (unaided and aided) and Brand Familiarity. Among those aware of the brand name, who really feels they are familiar with what the brand represents?
- Beyond awareness and familiarity, to whom is the brand really relevant? Brand Relevance assesses personal (e.g., to me, to my family, to my lifestyle) and social (e.g., social network buzz, other word-of mouth) relevance to consumers.
- After establishing an understanding of Brand Health, we seek to understand consumers’ comprehensive brand perceptions. An Overall Brand Perception/Satisfaction level is assessed. Brand Performance is measured based on rational attributes that are important to consumers. Brand Image is understood based on emotional attributes that matter to consumers.
- Understanding how these metrics ladder up, we begin to understand Brand Resonance in the market. This considers the relative weight of Brand Performance and Brand Image in driving overall brand perceptions and/or satisfaction.
- This level of consumer insight provides an interesting snapshot of Brand Equity, but ideally, we seek perspective into the “So What?” question that follows. Without deeper understanding of the Call-to-Action of the brand, marketing, advertising, etc., how are reliable strategic recommendations for the brand formulated?
- Call-to-Action (founded upon brand health and perceptions) provides a capstone to a Brand Equity model to point a direction forward for the brand. Call-to-Action may be assessed from two vantages: personal (e.g., how many consumers will research, purchase, spend at a certain threshold, etc.) and social (e.g., how many consumers will recommend, spread the word, post on social media, etc.) Some valuable consumers will take both personal and social actions – who are they? What do we need to learn about them to guide strategic decisions?
Hence, good research begets a call for more research. We learn so much along the way, though! With Brand Equity analysis that includes understanding of intended consumer actions – in addition to Brand Health and Brand Perceptions – branding, marketing, and communications decisions are better supported.