Brand equity

Date of publication: June 15, 1992

Author: James A. Taylor

Abstract:

The purpose of this paper is to outline an approach for identifying the equity inherent in a brand. It will suggest an approach for estimating brand equity as an economic quantity using a combination of easily measured customer dynamics. It will also suggest ways in which this measurement process can contribute to the effective management of brand equity. The approach outlined here has been used to evaluate over 400 brands and brand extensions over the past two years. It reflects a corporate perspective that we at Yankelovich have developed in our quarter century of working on brands and branding. As such, it marries an accounting viewpoint on the valuation of brands with a customer measurement process.

James A. Taylor

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