8.5 THE STRATEGIST IN YOU: Building a Powerful Brand

(SHORT NOTES FROM STRATEGY TOOLS:

Marketing Strategy at http://www.mindtools.com)

 

Keller's Brand Equity Model, also known as the Customer-Based Brand Equity (CBBE) Model, is use to build a strong brand, shape how customers think and feel about the product.  Kevin Lane Keller, a marketing professor at the Tuck School of Business at Dartmouth College, developed the model and published it in his widely used textbook, "Strategic Brand Management."

There is a need to build the right type of experiences around the brand, so that customers have specific, positive thoughts, feelings, beliefs, opinions, and perceptions about it.  When the brand equity is strong, customers will buy more, and they'll recommend it to other people. The customers more loyal, and they're less likely to be lose to competitors.

Figure 1 – Keller's Brand Equity Model

 

The model illustrates the 4 steps that need to be followed in order to build strong brand equity.  The 4 steps represent the 4 fundamental questions that customers usually ask, often subconsciously, about the brand.  The 4 steps consist of 6 building blocks that must be in place to reach the top of the pyramid, and to develop a successful brand.

Step 1: Brand Identity Who Are You?	create "brand salience," or awareness need to make sure brand stands out customers recognize and are aware of it ensure that brand perceptions are "correct" at key stages of the buying process steps need to know who the customers are Research the market gain a thorough understanding of how customers see the brand explore the brand with different market segments different needs different relationships identify how customers narrow down their choices and deciding on the choice of brand customers’ decision-making processes classification of product or brand how well does the brand stand out at key stages of this process communicate to the customers about the importance product/brand understand whether clients perceive your brand as you want them to address specific perceptual problems Identify the actions that need to be taken
Step 2: Brand Meaning What Are You?	identify and communicate your brand overcome the two building blocks: "performance" and "imagery" "Performance" - how well the product meets customers' needs five categories: primary characteristics and features; product reliability, durability, and serviceability; service effectiveness, efficiency, and empathy; style and design; and price "Imagery" - how well the brand meets customers' needs on a social and psychological level Steps product must meet, and, ideally, exceed customers’ expectations build customers’ loyalty identify your customers' needs using Critical to Quality Tree Model Kano Model Analysis translate the needs into a high quality product decide the type of experience you want the customers to have create a "brand personality” identify any gaps between where you are now and where you want to be bridge the gaps
Step 3: Brand Response What Do I Think, or Feel, About You?	customers' responses to brand fall into two categories "judgments" 4 key categories Quality Credibility – expertise & innovation, trustworthiness, and likability Consideration Superiority "feelings" six positive brand feelings warmth, fun, excitement, security, social approval, and self-respect steps examine the 4 categories of judgments improve the actual and perceived quality enhance brand's credibility relevancy of marketing strategy communicating the brand do product or brand compare with those of competitors think carefully about the six brand feelings decide marketing strategy focus enhance these feelings for the customers Identify actions
Step 4: Brand Resonance How Much of a Connection Would I Like to Have With You?	customers feel a deep, psychological bond with your brand 4 categories: Behavioral loyalty (regular, repeat purchases) Attitudinal attachment (love the brand, see it as a special purchase) Sense of community Active engagement Steps strengthen each resonance category encourage behavioral loyalty Consider gifts with purchase Organize customer loyalty programs reward customers who are champions of the brand increase customer involvement with the brand or product