Brand Equity
The differential value a brand adds to a product beyond its functional attributes, measured by preference, price premium, and loyalty.
Brand Equity is the set of assets and liabilities linked to a brand that add or subtract value to a product or service. From a consumer perspective, brand equity manifests as willingness to pay a price premium, preference over equivalent alternatives, and long-term loyalty.
The most used models for measuring brand equity are: Young & Rubicam's Brand Asset Valuator (BAV), Harris Interactive's Equitrend, and Keller's CBBE model. In practice, dimensions such as differentiation, relevance, esteem, and knowledge are measured.
Atlantia includes brand equity metrics in its Brand Trackers, allowing brands to understand whether their equity is building or eroding over time.
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