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A brand can provide a guarantee of reliability and quality, in fact.
Ex. Chanel perfume bottle.
II. BRAND EQUITY
• Brands vary in the amount of power and value they have in the market place. Strong brands have high brand equity. Brand equity is the value of a brand based on the extent to which it has high brand loyalty, name awareness, perceived quality, strong brand associations and other assets such as patents, trademarks and channel relationships.
• According to Barwise, et. al. (1990), measuring the actual equity of a brand name is difficult.
“The only time you can be sure of the value of your brand is just after you have sold it” - Jeremy Bullmore, WPP Group [London-based advertising holding company]
• Therefore, perhaps it is better to define brand equity as “the extra value that customers perceive in a brand that ultimately builds long term loyalty...
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