DIFFERENCE BETWEEN BRAND EQUITY AND AWARENESS

There’s a significant number of branding terms that each business person, entrepreneur, and particularly brand manager has to know. Two of which, brand awareness and brand equity, ought to be at the first spot to understand. Why those two terms? This is because they’re legitimately related to an audience perspective and engagement with a brand. Read on to get familiar with the difference between the two, and find how to gauge them to arrive at your brand’s potential.

What is Brand Awareness?

Brand awareness is the recognition of brand within a group of people. Think popularity, logo recognition, or engaged social media. It is attached to what an audience remembers about a brand.

Why Is Brand Awareness Important?

Getting brand awareness right can truly drive customers to make repeat purchases with your brand. If a customer perceives your brand in a flash, then there’s a higher possibility of them picking it over any other brand. Put yourself in the situation of customer’s perspective — wouldn’t you rather go with a brand that you know about rather one that you have never seen or used?

If you don’t, as of now, track brand awareness, you have to jump on it detail as this is one of the main metrics for all organizations. When tracked, you can perceive what attempts to strengthen and build brand awareness, so you know precisely what your advertising endeavors should focus on. As your brand awareness begins to develop, so too should your income and business development.

What is brand equity?

Brand equity is the genuine business value that comes from audience impression about the brand.

For what reason do you pick a specific product or service over another of exactly the same kind? Probably due to its brand. An individual will pick a particular brand over the other despite the fact that the second brand being a superior product in view of effective branding. In other words, branding can make a product or service more important and dependable.

Why Is Brand Equity Important?

Brand equity is similarly as significant as brand awareness. Indeed, it very well be dependent on awareness — solid brand awareness brings about great brand equity. It’s not as straightforward as that, however, as there are different elements that become possibly the most important factor, for example, brand recognition, customer retention, and perceived brand quality.

It might not be that self-evident, however most of customers base their buying choices on brand equity. If a brand has solid value, then there’s a high possibility that customers will have lots of trust in it. This can assist you with take a portion of the market share from your rivals as customers will consistently re-visit you.

Brand Awareness, Brand Equity — Why the Confusion?

In spite of the different definitions both have, individuals actually get confused with them. This may be because brand awareness authentically falls under the category of brand equity. To clarify: brand equity can be taken a observed from three viewpoints: customer outlook, product marketing outcomes, and financial marketing outcomes.

Brand awareness is essential for customer attitude and what decides brand awareness is additionally what determines financial results. To make it even more clear, it is a component of brand equity that should be treated as an individual part influencing the impact on brand equity. It’s a critical detail part of a lot bigger picture.

What Better Brand Awareness Can Do for Your Brand Equity

Having solid brand awareness gives a huge load of advantages. Expect the increase in customer loyalty. The more aware of a brand people are; the more likely it’s certain they are to trust and pick it; familiarity is security. Brand awareness fills in as an incredible measurement tool for progress and demonstrates to the investors that it’s a brand worth putting resources into. Significant brands exist for a reason.

Apple is one of the most important brands on the planet with a broad reach as far as its customers are concerned. It’s not about cost. Individuals are eager to pay for Apple products, regardless of an exorbitant cost tag. Apple’s famous and universal logo makes the organization’s products effectively recognizable. Most likely that Apple’s clever marketing efforts are upheld by a solid team. The excellent and predictable customer care gave at its retail stores and Genius Bars also adds to customers buying and repurchasing their products.

Getting to the degree of brand equity and awareness that Apple has reached is absolutely no simple errand. But taking a look at a brand model like Apple causes one to acknowledge exactly how significant brand equity is for the achievement of an organization. Build brand value to construct an unwaveringness base of customers who are happy to pay more and urge others to do likewise.

Improve Brand Awareness and Equity

Extraordinary brand equity doesn’t simply mean thinking about customers. Once more, consider potential or current investors and who or what they need to put resources into or continue to put resources into. Having a well-established brand gives more alternatives in getting finances to allow a brand to expand and have better negotiating power.

The distinction between brand awareness and brand equity may appear to be complicated at first and they definitely overlap. However, consider brand awareness as a significant ingredient to a whole dish, brand equity. Knowing the difference and measuring them independently could be that detail that expand your brand beyond the rest.