midhin manoharan

What is Brand Equity?

• A brand's power derived from the goodwill and name recognition that it has earned over time, which translates into higher sales volume and higher profit margins against competing brands.

• The purpose of brand equity metrics is to measure the value of a brand.

HISTORY• Coca-Cola history began in 1886 when the curiosity

of an Atlanta pharmacist, Dr. John S. Pemberton, led him to create a distinctive tasting soft drink that could be sold at soda fountains.

• The first marketing efforts in Coca‑Cola history were executed through coupons promoting free samples of the beverage.

• Considered an innovative tactic back in 1887, couponing was followed by newspaper advertising and the distribution of promotional items bearing the Coca‑Cola script to participating pharmacies.

BRAND AWARENESS• Brand awareness is the extent to which a brand is

recognized by potential customers, and is correctly associated with a particular product. 

• Coco cola is one brand which is recognized by everyone around the globe.

•  It is available in every country except Cuba and North Korea and has a product portfolio of over 3,500 brands.

• Another factor is its authenticity. Its strong self-belief and consistent identity also helped achieve its position in the market.

• Coca Cola has also sponsored many famous events and associations such as American Idol,  Apple iTunes, BET Network, NASCAR, NBA, NCAA, and the Olympic Games.

• It is one of the most persistent and well-loved brands in history.

• The reason in part of this, is their strong advertising and marketing. Coca-Cola has always relied in advertising to promote and market their brand, and this is why they are always on top of their game, after having been in the market for more than a century.

PERCEIVED QUALITY• Perceived quality can be defined as the

customer's perception of the overall quality or superiority of a product or service with respect to its intended purpose, relative to alternatives.

• Coca-Cola’s’ brand personality reflects the positioning of its brand. Many people see ‘Coca-Cola’ as a part of their daily life. This similarity between the brand and the consumer leads to a high degree of loyalty and makes the purchasing decision easier.

BRAND ASSOCIATION

• Brand Associations are not benefits, but are images and symbols associated with a brand or a brand benefit. 

• Brand association is anything which is deep seated in customer’s mind about the brand. Brand should be associated with something positive so that the customers relate the brand to being positive.

Brand associations are formed on the following basis:

• Customers contact with the organization and it’s employees;

• Advertisements;• Word of mouth publicity;• Price at which the brand is sold;• Celebrity/big entity association;• Quality of the product;• Products and schemes offered by competitors;• Product class/category to which the brand belongs;• POP ( Point of purchase) displays; etc

BRAND LOYALTY• Brand loyalty is where a person buys products from

the same manufacturer repeatedly rather than from other suppliers.

• Brand loyalty for Coke is strong.  Coke changes its cans, but consumers are still loyal.  Coke has never been shy about making changes and sometimes the company plays with the designs on its cans.

• Even though the logo or packaging has changed over the years, consumers are still loyal to the brand even today.

MARKETING STRATEGYSince its beginnings, Coca-Cola has built its business using

a universal strategy based on three timeless principles:• Acceptability - through effective marketing, ensuring

Coca-Cola brands are an integral part of consumers daily lives, making Coca-Cola the preferred beverage everywhere

• Affordability - Coca-Cola guarantees it offers the best price in terms of value for money

• Availability - making sure that Coca-Cola brands are available anywhere people want refreshment, a pervasive penetration of the marketplace.

Major Success of Coca Cola

• Strong global presence• Advertising and differentiation• Well recognized and cherished brand name• Focus on consumers• Product innovation capabilities• Win the largest market share

Major Pitfalls of Coca Cola

• Competition• Health effects• Packaging• Environmental issues• Economic business practices

LOGO EVOLUTION