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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