“Differential effect that brand knowledge has on consumer response to the marketing of that brand”
Read the above definition again…. Now take examples of brands and see if it is true or not! When I see an ad of Airtel, my response to this marketing activity is very different from my response to an ad of BSNL. This is due to Brand Equity. The more the equity of a brand, the more favourable is the consumer response to that brand.
Another important point to be noted here is that if there is no differential consumer response, then the marketed product is not a brand but a commodity.
Try and look at each marketing activity from now on and try to think how our response to it is different from what it would have been had it the marketing not come from the same brand. This exercise shall help us internalize this simple definition of Brand Equity…
The next post on this blog shall discuss a more technical definition of this phrase and make an attempt to taking the concept to a more formal level… Till then, happy exercising!! (My exercising I mean internalizing the concept through the exercise mentioned above)