Effective strategic brand management requires that we understand brand equity and evaluate its impact when making brand management decisions:
“Brand equity is a set of brand assets
and liability linked to a brand, its name,
and symbol, that add to or subtract
from the value provided by a product or
service to a firm and/or to that firm’s
Measuring Brand Equity. Several measures are needed to capture all relevant aspects of brand equity.**
loyalty (price premium, satisfaction/loyalty),
perceived quality/leadership measures (perceived
associations/differentiation (perceived value, brand
personality, organizational associations),
awareness (brand awareness), and
market behavior (market share, price and
These components provide the basis for developing operational measures of brand equity.
* David A. Aaker, , The Free Press, 1991, 15.