For a brand to be successful it must have brand equity, which would be translated as brand capital or brand value. This is achieved after good branding work, which would be all those actions whose objective is to strengthen the brand. But What exactly is brand equity? We explain everything you need to know about this concept and how you should apply it in your marketing strategy.
What is brand equity?
Brand equity would be the result of good branding work and would be the value of a brand’s product or service with some strength in the market. This value is not economic, but is rather something perceptive that is generated through the opinions, sensations and experiences of the user.
It is extremely important that this value be positive, since it depends on whether the company’s success is maintained and whether it obtains economic benefits. If the value is negative, the reputation of the brand could be at risk.
The importance of brand equity
Whether a company has more or less economic benefits depends, to a large extent, on brand equity. In addition, it has been observed that it influences other issues:
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Greater power of influence in the market: Something that should be kept in mind is that the strongest brands are the ones that have the greatest influence in the market.
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The stronger the brand, the more value its products have for customers: This means that a strong brand can charge higher prices. Even if the competition has products or services with the same characteristics, consumers will trust the more prestigious company more.
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Brand loyalty: If a customer is satisfied with the product or service and it has met or exceeded their expectations, they will buy again. This is something that all brands pursue, since a loyal customer is much more profitable than a new one.
This is what all brands pursue, as it is the only way to achieve true success.
Apply brand equity in digital marketing
A brand cannot become strong overnight, nor is there a magic formula in digital marketing to achieve this, but there are a series of aspects that can help.
Every company needs to have a recognition of the target audience. This involves knowing the audience and finding the public interested in a certain product or service to address them directly.
Depending on the type of audience profile, you should choose one or another communication channelas well as voice and tone that will be used to communicate with her. It will also be very important be frequent in publishing contentwhich must be of quality and interesting to the public.
As you can see, achieving good brand value is not impossible, it just requires patience, work and perseverance.