Brand Equity - How Much Does Your Brand Mean to You?

As an entrepreneur, brand equity is a term toknow that word of mouth is in fact the best
become familiar with if you aren't already.advertising and this is especially so in the world of
As a definition, Equity is value. If you have equity inInternet marketing. Provide your customer with a
your home, you've probably paid some of yourgood experience.
mortgage off and or increased the value of yourEstablishing positive brand equity can sustain your
home in some way. This amount would then be thebusiness and even helps you to expand on the
equity you have in your home.products and services you provide. If consumers
Your brand equity is a bit different and depends onassociate you with good service, value, and a good
the perceived value your customers put on it. In thisoverall experience, they are likely to visit your site
sense, brand equity is intangible; you can't hold it inagain or be receptive to your communications with
your hand. But it most certainly is an asset becausethem about new products.
the more perceived value your brand has, theBrand Equity can also have a negative impact on
greater your ability to build your business or sellyour business.
products.As discussed previously, if you provide value to your
Customer loyalty is paramount to a sustained andcustomers, the word will spread and your business
growing business. Without it, you are constantlywill grow. The opposite is also true. If someone has a
looking for new customers. Of course you wantbad experience with you, your site, your products or
more and new customers but loyal customers whoyour service, they will also spread that information to
keep coming back to buy more of your services ortheir contacts as well. This is why you should value
products are of great significance.your brand equity.
How do you build customer loyalty and your brandThe more value you give to the customer, the
equity?better your service, the greater your brand equity.
Customer is king. Remember that. Focus on yourThis can in turn be an asset you can sell in the future.
customer and their needs, support them with yourLook at Coca- Cola™ for example. Their brand
products and services and you will create customeris worth over 80 million dollars alone! Will you build
loyalty. This then increases the perceived value ofyours to that level? Probably not but that isn't the
your brand and what it represents.point. There is value in your brand and when provided
If a consumer has a good experience with you, theyyour consumers then will associate you with value
are likely to return and to spread the word. We alland will keep coming back.