It is the simple difference between the value of a branded product, and the value of that product without that brand name attached to it (Rosenbaum-Elliott, 2015). Put simply, brand equity represents the value of a brand. “A set of assets or liabilities in the form of brand visibility, brand associations and customer loyalty that add or subtract from the value of a current or potential product or service driven by the brand.” (Aacker, 1991) Its complexity is demonstrated by a wide range of perceived interpretations and attempted definitions by both academics and professionals.Ī popular definition of brand equity is that of renowned marketing theorist and Professor David Aacker, who defines brand equity in his book ‘Managing Brand Equity’ as: The Importance of Managing Brand Equityīrand equity is a multi-dimensional and complex concept, but its understanding remains central to a brand fulfilling its competitive potential.Keller’s Customer-Based Brand Equity Model.
