brandXpress blog

Let me share with you how we think about brand. There is a very important difference between brand value and brand recognition. Brand value means something to the end user. Brand recognition, all it means is a bunch of advertising to make people recognize the brand name. At HTC we care about brand value, not brand recognition. Building brand value is like earning respect; you have to earn respect, you cannot buy respect

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Brand value is calculated as the net present value of the earnings the brand is expected to generate and secure in the future for the time frame from July 1, 2005 to June 30, 2006. To be considered the brands must have a minimum brand value of US$2.7 billion, achieve about one third of their earnings outside of their home country, have publicly available marketing and financial data, and have a wider public profile beyond their direct customer base.

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Value has different meanings to different people. The objective of the valuation is determined by its use. Some of the more common valuation approaches are market based/direct measurement method; brand communication investments based method; awareness and franchise valuation method; finance based/indirect measu- rement method; excess-earnings method and relief-from-royalty method.

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Despite its dominance, Interbrand/BusinessWeek global brand league table has inherent weaknesses. This is not news to anyone who works in branding: most marketers accept that the Top 100 is an imprecise but important approximation of global brand equity.

But all this is about to change. Next month global agency group WPP will launch an alternative brand valuation league table that will directly challenge Interbrand’s calculations. The system has been masterminded by chief research officer Andy Farr and his marketing quant jocks at Millward Brown Optimor (MBO).

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When re-branding a business or a product or when you set up a new one and have to come up with a brand new name you should find a way to evaluate among different options that might come up in order to choose the best one out of them. Here I just stumble upon and [...]

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Leading South African brand consultancy, Interbrand Sampson, uses global insight from parent, Interbrand, to bring 10 branding insights and opportunities to the local market: 1. Clarity In practice, clarity of vision, values and positioning overall, are often given insufficient attention. The majority of corporate and brand visions are interchangeable, bland and viewed with cynicism. In [...]

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Booz Allen Hamilton and the brand consulting firm Wolff Olins carried out research among marketing executives across Europe. It shows that over 90 percent of companies believe their brand is a key element of their success—twice as many as five years ago. Yet less than 20 percent put the management of their brand at the [...]

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The Next Generation of Growth Brands is based on compound annual growth rate in brand value between 2001 and 2005. The report describes the growth brands as having “outperformed their peers in their respective markets during the past four years and are likely to continue to do so into the future”.

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Since seven seems to be the magic number which relates with brand value and brand valuation let’s check seven applications of brand valuation:

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The [tag]Interbrand[/tag] model of brand strength is a useful framework to consider the performance of your own brand. Consider these seven points and you should get a better sense of the strength of your own brand, as well as some ideas on how to move forward. Market: 10% of brand strength. Brands in markets where [...]

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