BRAND EQUITY MANAGEMENT: INTERBRAND METHOD

Abstract

Today, the brand is considered to be the most important element of the intangible assets of the company. Thus brand and value within a brand is one of the most important concepts in marketing. The brand equity is the term that represents the added value of products and services, and this value is reflected in everything that consumers think, feel and make in relation to the brand. Recipients of the added value can be consumers or companies. In the global economy, effective brand equity management is of crucial importance in identifying consumer needs and preferences, and satisfying them to overcome consumer expectations, thereby increasing the value of the brand, and thus the value of the company, ensuring market survival and establishing the basis for further growth and development. Strong brands affect business results primarily through the impact on three key stakeholder groups: consumers, employees and investors. The Interbrand method for brand valuation was designed to take into account all three groups of stakeholders. The basics of the model are the following components: the analysis of the financial results of branded products or services, the analysis of the brand's role in purchasing decisions and the competitor's brand strength. The goal of this paper is to identify the elements that most influence the creation and maintenance of brand equity, and analyze the positioning and value of the most successful globally traded brands based on the Interbrand methodology.