2. Emotional Branding Pertemuan 5 Matakuliah: J0114/Manajemen Pemasaran Tahun: 2008

3. Bina Nusantara Learning Outcome Students can show the understanding of brand equity and its measurement

4. Bina Nusantara Material Outline Definition of branding Benefit of branding Case study What is brand equity? Brand equity measurement

5. Bina Nusantara Definition of Branding A brand is a name, a symbol, a drawing or a design that gives specific meaning that will distinguish one product from another and indicate a certain value representation (Nelly Ma’arif, 2008)

6. Bina Nusantara Benefits of Branding Customers will regard the product as the originator A brand protects the consumers and producers from competitors who attempt to provide similar offers A brand helps a product move beyond the commodity it sells A brand distinguishes a product from competitor’s.

7. Bina Nusantara Case Study: Samsung The slogan of Samsung is “imagine the possibilities”. Byung-Chul Lee founded Samsung trading company in Seoul (YPM). Samsung was launched in South Korea, 1953. The 1990s saw Samsung as an international corporation. Not only did it acquire a number of businesses abroad, but also began leading the way in certain electronic components and electronic products (Nelly Ma’arif, 2008)

8. Bina Nusantara What is Brand Equity? Brand equity is a set of assets (and liabilities) linked to a brand’s name and symbol that adds to (or subtracts from) the value provided by a product or service to a firm and/or that firm’s customers (David Aaker, 2001) Brand equity is the positive differential effect that knowing the brand name has on customer response to the product or service (Kottler, 2005)

9. Bina Nusantara What is Brand Equity? Major assets categories: –Brand name awareness, refers to the strength of a brand’s presence in the consumer’s mind. –Brand loyalty –Perceived quality, is a brand association that is elevated to the status of a brand asset for some reasons –Brand associations. These associations might include product attributes, a celebrity spokesperson, or a particular symbol. Brand associations are driven by the brand identity

10. Bina Nusantara Brand Equity Measurements Measure Criteria: –The measures should reflect the construct being measured –The measures should reflect constructs that truly drive the market –Selected measures should be sensitive: when brand equity changes, the measures should detect that change. –Measures should be developed that can be applied across brands, product categories and markets

11. Bina Nusantara Brand Equity Measurements Loyalty measures: –Price premium –Satisfaction/loyalty Perceived Quality/Leadership measures: –Perceived quality –Leadership/popularity Associations/Differentiation measures: –Perceived value –Brand personality –Organizational associations Awareness measures: –Brand awareness Market behavior measures: –Market share –Market price and distribution coverage

12. Bina Nusantara Conclusion: A brand is a name, a symbol, a drawing or a design that gives specific meaning that will distinguish one product from another and indicate a certain value representation (Nelly Ma’arif, 2008) Customers will regard the product as the originator A brand protects the consumers and producers from competitors who attempt to provide similar offers A brand helps a product move beyond the commodity it sells A brand distinguishes a product from competitor’s. Brand equity is a set of assets (and liabilities) linked to a brand’s name and symbol that adds to (or subtracts from) the value provided by a product or service to a firm and/or that firm’s customers (David Aaker, 2001)