Rcsc 320: Exam 3: Chapter 10

Front 1

Comparative Methods

Back 1

Involve experiments that examine consumer attitudes and behavior toward a brand to directly estimate the benefits arising from having a high level of awareness and strong, favorable, and unique brand associations

Front 2

Brand-based Comparative Approaches

Back 2

These use experiments in which one group of consumers responds to an element of the marketing program or some marketing activity when it is attributed to the target brand

Another group of consumers responds to that same element or activity when it is attributed to a competitive or fictitiously named brand

Blind testing: use of product with and without brand identification (Coca-Cola vs Pepsi)

Front 3

Marketing-based comparative approaches

Back 3

These use experiments in which consumers respond to changes in elements of the marketing program or marketing activity for the target brand or competitive brands

This approach holds the brand fixed and examines consumer responses to changes in the marketing program

How much would you pay for a computer without Intel inside?

Front 4

Conjoint Analysis

Back 4

This is a survey-based multivariate technique that enables marketers to profile the consumer decision process with respect to product and brands

This analysis varies the attributes or levels of attributes included in product profiles presented to consumers

What trade-off are consumers willing to make between the attributes

Example: TV Set
• Attributes- screen size, screen format, brand, price, etc.
• Respondents: shown a set of products/ prototypes created from all levels of attributes. They are asked to choose from, rank or rate the product shown
• Data may consist of individual rating, rank order, or preferences among alternative combinations

Front 5

Holistic Methods

Back 5

Attempt to place an overall value on the brand in either abstract utility terms or concrete financial terms

Unique contribution of the brand

Two types: Residual Approach and Valuation Approach

Front 6

Residual approaches

Back 6

These attempt to examine the value of the brand by subtracting consumers’ preferences for the brand based on physical product attributes alone from their overall brand preferences

Brand equity is what is left after subtracting physical product attributes

Could use surveys, experiments

Front 7

Valuation approaches

Back 7

These attempt to place a financial value on brand equity for accounting purposes, merges and acquisitions or other such reasons

Brand management decisions

What does the stock price really mean? What is the true worth of the brand?

Amount of money to reproduce or replace the brand; measured in dollars, a price tag