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How can we calculate brand value of the company

Tags: calculate brand
Asked by guru sai, 08 Nov '12 02:30 pm
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Brand name evokes an inherent value; finding a way to reliably measure that value is crucial in determining product development. A technique called discrete choice conjoint analysis is described in this paper by TRC.

Two companies offer consumers the same product at the same price and quality, yet one sells a lot better than the other. Why? The answer is the intangible value inherent in the brand name. It could manifest in the form of positive image, higher market share or even a price premium. But how can we measure the intangible value of a brand? Simple methods such as ratings of a brands attractiveness (either in the form of a single question or an index) will not distinguish the impact of tangible features and brand intangibles. What is required is an approach that can make this distinction and indicate the pure value of the brand in dollar terms. In this discussion we will take a look at how such brand value (often referred to as brand equity) can be reliably measured.

Answered by saranathan Narasimhan, 08 Nov '12 02:33 pm

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