scholarly journals Marketing assets: Relating brand equity and customer equity

2016 ◽  
Vol 12 (2) ◽  
pp. 591 ◽  
Author(s):  
Jaime Romero ◽  
María J. Yagüe
Keyword(s):  
Brand Equity ◽  
Goodness Of Fit ◽  
Brand Management ◽  
Intangible Assets ◽  
Explanatory Power ◽  
Structural Equations ◽  
Firm Valuation ◽  
Customer Equity ◽  
Marketing Activities ◽  
The Relationship

Purpose: Brand equity and customer equity are inextricably linked. Some authors propose that marketing activities build these intangible assets simultaneously. In contrast, others suggest that brand equity is an antecedent of customer equity. In this research, we aim to shed light about the relationship between brand equity and customer equity, by empirically testing these two alternative explanations. Design/methodology/approach: We propose four research models that reflect these two alternatives explanations regarding the link between brand equity and customer equity. In order to estimate these models we employ Structural Equations Modelling. We measure model variables using data collected through a survey to marketing managers of services companies that operate in Spain. We compare these four research models in terms of explanatory power and goodness of fit. Findings: Our results indicate that the models that correspond to the simultaneity approach have a higher explanatory power and goodness of fit than the models that suggest that brand equity is an antecedent of customer equity, thus supporting that these intangible assets are built by marketing activities at the same time. Research limitations/implications: Our results recommend caution when interpreting previous research about the effects of brand (customer) equity, as they might indeed correspond to customer (brand) management. Similarly, future research focusing on customer and brand management need to take into account both managerial areas in their studies. Practical implications: From a practitioners’ point of view, our findings suggest adopting a brand-customer portfolio approach to enhance company profitability. Similarly, we derive implications for firm valuation processes, which incorporate brand equity and customer equity in their calculations. Originality/value: We empirically study the relationship between brand equity and customer equity, while previous research has analyzed this topic only at a theoretical level. Clarifying this link enriches our comprehension about how companies build these marketing intangible assets and increases the accuracy of firm valuation processes.

scholarly journals Role of Social Media Marketing Activities (SMMAs) in Apparel Brands Customer Response: A Moderated Mediation Analysis

2019 ◽  
Vol 11 (19) ◽  
pp. 5167 ◽  
Author(s):  
Khan ◽  
Yang ◽  
Shafi ◽  
Yang
Keyword(s):  
Social Media ◽  
Brand Equity ◽  
Customer Loyalty ◽  
Social Media Marketing ◽  
Brand Awareness ◽  
Confirmatory Factor ◽  
Marketing Activities ◽  
Indirect Association ◽  
The Relationship

This study analyzes the influence of apparel/clothing brand social media marketing activities (SMMAs) on brand equity and customer response in Pakistan. First, the current SMMAs are examined; then, we propose new attributes, i.e., fundamental social media marketing activities (FSMMAs) and sophisticated social media marketing activities (SSMMAs) such as interactions, sharing, and trendiness. Second, the influence of innovative components, i.e., FSMMAs and SSMMAs, are analyzed regarding brand equity and customer response toward apparel brands. A survey was conducted with a total of 406 Pakistani customers who used apparel brands, and the collected data were analyzed through confirmatory factor analysis (CFA) and Hayes PROCESS macro in SPSS. From the empirical results, we concluded that apparel brand equity (i.e., brand awareness, brand image) significantly mediates the relationship between FSMMAs and customer response (price premium willingness, customer loyalty). Moreover, it is also determined that SSMMAs moderate the indirect association of FSMMAs and customer response via brand equity.

An integrated model for customer equity estimation based on brand equity

2020 ◽  
pp. 147078532095411
Author(s):  
Zahra Qorbani ◽  
Hamidreza Koosha ◽  
Mohsen Bagheri
Keyword(s):  
Brand Equity ◽  
Marketing Research ◽  
Customer Equity ◽  
Customer Acquisition ◽  
Share Of Wallet ◽  
Brand Knowledge ◽  
Mediating Role ◽  
Brand Differentiation ◽  
Customer Lifetime ◽  
Marketing Activities

Brand equity (BE) and customer equity (CE) are the two crucial and closely linked concepts in marketing research. This research outlines a new conceptual framework to explore the relationship between the critical elements of BE and CE. Furthermore, using marketing activities, the study quantifies the effect of these activities on CE. The value of CE is computed based on a customer lifetime value (CLV) model in which linear, logistic, and beta regression are used to predict BE, customer acquisition, and customer share of wallet, respectively. We conducted an empirical analysis through questionnaires in an elevator company. The results reveal that brand knowledge and brand differentiation positively relate to customer acquisition. Also, for both existing customers and prospects, brand differentiation plays an important role in the share of wallet. The findings also show that marketing activities have a positive and significant impact on brand knowledge and brand differentiation, and consequently, through the mediating role of BE between marketing activities and CE, on customer acquisition and share of wallet.

Information Technology Capability: Firm Valuation, Earnings Uncertainty, and Forecast Accuracy

2007 ◽  
Vol 21 (2) ◽  
pp. 27-48 ◽  
Author(s):  
Li Wang ◽  
Pervaiz Alam
Keyword(s):  
Information Technology ◽  
Intangible Assets ◽  
Explanatory Power ◽  
Forecast Accuracy ◽  
Firm Valuation ◽  
Organizational Resources ◽  
Implementation Challenges ◽  
Current Accounting ◽  
It Capability ◽  
Earnings Uncertainty

Prior literature argues that information technology (IT) capability, an organization's ability to effectively use IT-based resources in combination with other organizational resources, can create unique and sustainable competitive advantages and thus intangible assets for a company. However, current accounting rules do not allow the capitalization of IT-enabled intangible assets. We hypothesize that IT-enabled intangible assets are value-relevant and provide incremental explanatory power for firm valuation beyond traditional accounting information. IT capability is inherently risky as it is subject to implementation challenges, technological complexity, and innovative integration of IT investments with other organizational resources. Thus, we argue that IT capability is positively associated with future earnings uncertainty and decreased analyst forecast accuracy. Using InformationWeek 500 ranking index as a proxy for IT capability, we find evidence supporting these hypotheses. This study contributes to the growing literature on IT capability.

The impact of marketing activities on service brand equity

2018 ◽  
Vol 52 (3/4) ◽  
pp. 596-618 ◽  
Author(s):  
Ravi Shekhar Kumar ◽  
Satyabhusan Dash ◽  
Naresh K. Malhotra
Keyword(s):  
Brand Equity ◽  
Positive Impact ◽  
Qualitative Interviews ◽  
Experiential Marketing ◽  
Content Type ◽  
Service Brand ◽  
Marketing Activities ◽  
The Impact ◽  
The Relationship ◽  
Structured Questionnaire

Purpose This study aims to propose and empirically test new improved customer-based brand equity (CBBE) creation framework, which advocates marketing activities create CBBE through customer experience (CE). The proposed framework is in contrast to extant literature suggesting marketing activities directly create CBBE. Design/methodology/approach Qualitative interviews with patients, followed by interaction with respondents using a structured questionnaire, were used to collect the data. Findings The results suggest that CE is the focal mediating variable for the relationship between marketing activities and CBBE. Out of 15 marketing activities, 8 positively impacted CBBE through CE and 2 negatively affected CBBE through CE. Among the remaining five, three had only a direct positive impact on CBBE and two neither directly nor indirectly impacted CBBE. Research limitations/implications The effects of only individual marketing activity, and not of the interaction among marketing activities, were assessed. Practical implications The study provides insights into the importance of CE in building CBBE for credence-dominant services (e.g. healthcare). This work will help managers in implementing experiential marketing by designing suitable activities for creating service CBBE. Originality/value The study outlines service CBBE creation through CE, offering specific insights for the healthcare market.

The “Risky” Side of Brand Equity: How Brands Reduce Capital Costs

2011 ◽  
Vol 3 (2) ◽  
pp. 8-15 ◽  
Author(s):  
Lopo Rego ◽  
Matthew T. Billett ◽  
Neil A. Morgan
Keyword(s):  
Brand Equity ◽  
Management Strategy ◽  
Financial Risk ◽  
Brand Management ◽  
Firm Risk ◽  
Risk Management Strategy ◽  
Capital Costs ◽  
Firm Financial Performance ◽  
Marketing Activities ◽  
The Impact

Abstract Whereas it is widely accepted that strong brands are associated with superior productmarketplace and firm financial performance, their influence on firm risk is less clear. However, recent studies from the marketing-finance interface have started to unveil the impact that marketing activities have on the firm’s financial risk, above and beyond ist impact on financial returns. In this study, the association between brand equity and firm risk are investigated. The findings indicate that a firm’s consumer-based brand equity (i.e., strong brands) is associated with decreased debtholder and shareholder risk and also reduces the capital costs for the company. Furthermore, brand equity is particularly relevant in protecting firms’ equity holders during down-market periods. As a consequence, firms should consider brand management within the firm’s risk management strategy and maintain or even increase consumer-based brand equity investments during periods of economic uncertainty.

scholarly journals The Role of Social Media Marketing Activities on Customer Equity Drivers and Customer Loyalty

2020 ◽  
Vol 5 (1) ◽  
pp. 1
Author(s):  
Vika Ansy Anggraini ◽  
Arga Hananto
Keyword(s):  
Social Media ◽  
Brand Equity ◽  
Customer Loyalty ◽  
Sampling Technique ◽  
Customer Equity ◽  
Social Media Marketing ◽  
Marketing Activities ◽  
Relationship Equity ◽  
Value Equity ◽  
Positive Effect

During the past few years, adoption of e-commerce in Indonesia has been increasing along with other trends in information , communication and technology sector such as widespread use of smartphones and social media.  To promote its services, e-commerce firms have also embraced social media and carry out social media marketing activities. This study is aimed to test the influence of social media marketing activities toward customer loyalty through customer equity drivers (i.e. Value Equity, Brand Equity, dan Relationship Equity.). A survey was conducted using convenience sampling technique to select respondents. A total of 161 usable responses were used in the main data analysis. This study found support for the five dimensions of social media marketing activities suggested from previous study. Furthermore,  this study found that social media marketing activities affect value equity, brand equity and relationship equity. This study also found that two customer equity drivers (brand equity and relationship equity)had a positive effect on customer loyalty, while value equity had a positive effect on customer loyalty, but it was not significant. Discussion and managerial implications were also discussed in this study

scholarly journals The Role of Social Media Marketing Activities on Customer Equity Drivers and Customer Loyalty

2020 ◽  
Vol 5 (01) ◽  
pp. 1
Author(s):  
Vika Ansy Anggraini ◽  
Arga Hananto
Keyword(s):  
Social Media ◽  
Brand Equity ◽  
Customer Loyalty ◽  
Sampling Technique ◽  
Customer Equity ◽  
Social Media Marketing ◽  
Marketing Activities ◽  
Relationship Equity ◽  
Value Equity ◽  
Positive Effect

During the past few years, adoption of e-commerce in Indonesia has been increasing along with other trends in information , communication and technology sector such as widespread use of smartphones and social media.  To promote its services, e-commerce firms have also embraced social media and carry out social media marketing activities. This study is aimed to test the influence of social media marketing activities toward customer loyalty through customer equity drivers (i.e. Value Equity, Brand Equity, dan Relationship Equity.). A survey was conducted using convenience sampling technique to select respondents. A total of 161 usable responses were used in the main data analysis. This study found support for the five dimensions of social media marketing activities suggested from previous study. Furthermore,  this study found that social media marketing activities affect value equity, brand equity and relationship equity. This study also found that two customer equity drivers (brand equity and relationship equity)had a positive effect on customer loyalty, while value equity had a positive effect on customer loyalty, but it was not significant. Discussion and managerial implications were also discussed in this study

scholarly journals Investigating the Effect of Selected Marketing Efforts in Brand Equity Creation and Its Cross-Cultural Invariance in Emerging Markets

2017 ◽  
Vol 9 (1) ◽  
pp. 91 ◽  
Author(s):  
Isaac Twum Asare ◽  
Shen Lei
Keyword(s):  
Brand Equity ◽  
Process Model ◽  
Brand Management ◽  
Cross Cultural ◽  
Future Research ◽  
Brand Knowledge ◽  
Managerial Implications ◽  
Marketing Activities ◽  
Using Data ◽  
Invariance Test

In the field of brand management, numerous studies have been conducted on brand equity conceptualization, measurement and validation. Also, previous researchers have shown that consumer-based brand equity via its dimensions can be created and maintained through a company’s marketing mix activities. Brand equity according to Keller, is the differential effect of brand knowledge on consumer response to the marketing activities performed on the brand. Due to cultural differences, consumers’ reaction will differ and thus these marketing efforts will have varying results in different markets.Drawn from both Aaker’s & Keller’s conceptualizations of brand equity, the current study develops a brand equity creation process model similar to Yoo et al.’s and examines its cross-cultural invariance through a structural invariance test using data from two important growing markets—Ghana and China. Results prove that some marketing efforts and dimensions of brand equity have invariant effects on brand equity across the Ghana and Chinese samples. Specifically, the effect of price on perceived quality was not equivalent in both markets. Relationship among brand equity dimensions were also not equivalent, however these dimensions all show an equivalent, positive effect on brand equity. Managerial implications for international brands and limitations for future research are discussed.

Relationship Marketing Activities, Commitment, and Membership Behaviors in Professional Associations

2000 ◽  
Vol 64 (3) ◽  
pp. 34-49 ◽  
Author(s):  
Thomas W. Gruen ◽  
John O. Summers ◽  
Frank Acito
Keyword(s):  
Relationship Marketing ◽  
Affective Commitment ◽  
Professional Associations ◽  
Structural Equations ◽  
Relationship Building ◽  
Membership Retention ◽  
Member Retention ◽  
Confirmatory Factor ◽  
Marketing Activities ◽  
The Relationship

The authors conceptualize and empirically examine professional associations’ relationship-building efforts (core services performance, rewards for contributions, dissemination of organizational knowledge, member interdependence enhancement activities, and reliance on external membership requirements) that are theorized to enhance their membership's commitment to the relationship as well as the membership's relationship behaviors. Three components of commitment—affective, continuance, and normative—are theorized to mediate differentially the correlation between the associations’ relationship-building efforts and their members’ relationship behaviors (membership retention, exchange-based participation, and cooperatively based coproduction). Confirmatory factor analysis validates the commitment measures, and structural equations analysis indicates that normative and affective commitment partially mediate the effects of selected relationship-building efforts on coproduction and member participation. Core services performance was the only construct in the model found to affect member retention.

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