Brand Performance

& Financial Value

Brand Performance

This gives a measure of how influential the brand is, on actual customer choice. Some of the measuring factors include the price premium value a brand commands over its competitor's brand, customer attitude towards the brand etc. This determines how satisfied and loyal customers are towards the brand.

All these information can be obtained through surveys and other marketing campaigns. This in turn, enables marketers to calculate the return on investment and life time value of the brand-which in itself is another key performance indicator.

A highly performing brand retains its existing customers while trying to attract new customers, thus increasing its life time value. Once a brand's performance is known, it is easier to determine various brand optimization techniques to improve the power of the brand.

Brand Financial Value

Brand financial value includes four major metrics: Revenue generation capabilities (Measures the impact of the brand familiarity on sales, including future sales volume potential of the brand), Return on investment (Measures the ROI in the brand marketing), Transaction value Identifies the product transaction value and measures the current and potential value the brand adds to a transaction), and Growth sustainability rate (Measures the impact of the brand to the maximum growth rate the brand owner can sustain without increasing financial leverage).

Thus, in a world of ever changing and numerous brands to choose from, appropriate brand evaluation should be made before taking and brand marketing decisions. Regular monitoring and updating of these metrics is a sure-fire way of increasing the equity of the brand.

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