Brand Equity

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INTRODUCTION

“A brand is a distinguishing name and/or symbol intended to identify the goods or services of either on seller or group of sellers, and to differentiate those goods or services from those of competitors” (Aaker 1991).A brand is the most valuable asset for an organization in the current competing world. Every organization is formulating strategies to make its brand popular and significant not only in markets but also in minds of the customers. Brand is the relation of customer with the brand. It is promise which a company makes to the customer about the goods and service they offer (Gregg 2002) Branding involves decisions that establish an identity for a product with the goal of distinguishing it from competitors offerings which means that brand becomes an important tool for marketer as consumer use it as guideline to identify certain products and their usefulness for the customer. The value of the brand can be determined by the concept of brand equity which has emerged as the one of the key factors in understanding the brand value (Krishnan 1996).

Brand Equity

Over years brand equity has been the topic of interest to the marketing companies. Brand equity can help evaluate brand and provide certainty around market share expectation (Peter).The most widely accepted definition of brand equity is the value accomplished by a particular brand(Krishnan and Hartline 2001). To gain competitive advantage in marketing perspective the central theme relies on building and sustaining brand equity. Brand equity as defined by (Wood 2000) is the relation of brand with its customers. Brand equity according to (Srivastav and Shocker 1991) constitutes of brand strength and brand value. According to (Motameni, Shah...

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...dom), (2) behavioral response (i.e., purchase), (3) expressed over time, (4) by some decision-making unit, (5) with respect to one or more alternative brands out of a set of such brands, and (6) is a function of psychological (decision- making, evaluative) processes. This evidence is empirically supported by an experiment designed by (Jacob 1973). According to (Delgado and Aleman 2005) brand loyaltywhich is trust in brand ultimately results in the brand equity the study was conducted in the south eastern part of Spain and resulting from 271 surveys and the results indicated that brand trust evolves from the brand reliability (the feeling that brand would meet my expectations) and brand intentions (the feeling that brand is worth enough to solve all my problems) these two things leads to brand trust which leads to repurchase of the brand resulting in brand loyalty.

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