Pricing Mini Case: Calculating Brand Equity Brand equity is one of the most important concepts for...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Pricing Mini Case: Calculating Brand Equity Brand equity is one of the most important concepts for marketers, yet it remains notoriously difficult to measure. There are many definitions for brand equity, but they all deal with the concept of how much tangible value a brand is capable of generating through the intangible elements communicated about the brand. As a very simple example, If someone was willing to pay $1000 for an Apple laptop, but would be only willing to pay $500 for the exact same unbranded laptop, that would be clear evidence that Apple has large positive brand equity. Click the icon to view the Help menu. Click the icon to view the brands sales table. According to this calculation of brand equity, which brand has the best brand equity? has the best brand equity,. (Round to two decimal places.) Brand B Brand A Brand A Brand B Durability 0.60 0.60 Typical Selling Price of Brand 8 6 Typical Selling Price of Product in Category 4.80 4.80 Segment A Brand Sales % in segment 50% 30% Brand market share in segment 40% 10% Segment B Brand Sales % in segment 50% 70% Brand market share in segment 50% 40% x ✪ More Info The brand equity index (BRI) is calculated as: BRI = (Effective Market Share) x (Durability) x (Relative Price) i Effective Market Share= (Brand Sales % in segment) x (Brand market share in segment) Durability = % of current buyers of brand expected to buy in next year Typical selling price of Brand Relative Price = Typical selling price of Product in Category where i segment a brand competes in. Print Done - ONDOR PER x Pricing Mini Case: Calculating Brand Equity Brand equity is one of the most important concepts for marketers, yet it remains notoriously difficult to measure. There are many definitions for brand equity, but they all deal with the concept of how much tangible value a brand is capable of generating through the intangible elements communicated about the brand. As a very simple example, If someone was willing to pay $1000 for an Apple laptop, but would be only willing to pay $500 for the exact same unbranded laptop, that would be clear evidence that Apple has large positive brand equity. Click the icon to view the Help menu. Click the icon to view the brands sales table. According to this calculation of brand equity, which brand has the best brand equity? has the best brand equity,. (Round to two decimal places.) Brand B Brand A Brand A Brand B Durability 0.60 0.60 Typical Selling Price of Brand 8 6 Typical Selling Price of Product in Category 4.80 4.80 Segment A Brand Sales % in segment 50% 30% Brand market share in segment 40% 10% Segment B Brand Sales % in segment 50% 70% Brand market share in segment 50% 40% x ✪ More Info The brand equity index (BRI) is calculated as: BRI = (Effective Market Share) x (Durability) x (Relative Price) i Effective Market Share= (Brand Sales % in segment) x (Brand market share in segment) Durability = % of current buyers of brand expected to buy in next year Typical selling price of Brand Relative Price = Typical selling price of Product in Category where i segment a brand competes in. Print Done - ONDOR PER x
Expert Answer:
Answer rating: 100% (QA)
Brand A Effective Market Share 50405050 045 Durability 060 given Relative Price 8 480 167 BRI 045060... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
The prisoners dilemma game is one of the most important models in all of social science: Most games of trust can be thought of as some kind of prisoners dilemma. Heres the classic game: Two men rob a...
-
The two component system is one of the most important ways for bacterial response to environmental stimuli. Please briefly introduce the mechanism for this type of signal transduction
-
The inventory management is one of the most important operations management activities at Manor Bakeries, Europes largest manufacturer of ambient packaged cakes and pies. (Ambient means that they can...
-
Using real employed samples, multiple field studies indicate that fat women experience more negative outcomes than fat men. In one study conducted by Steven Gortmaker and colleagues and using over...
-
Poodle Company manufactures two products, Mini A and Maxi B. Poodle's overhead costs consist of setting up machines, $1,200,000; machining, $2,700,000; and inspecting, $900,000. Information on the...
-
The following graph is the member of the family of folia in Problem 51 corresponding to c = 1. Discuss: How can the DE in Problem 51 help in finding points on the graph of x 3 + y 3 = 3xy where the...
-
Why should business worry about the environment? How might ecological accounting help reduce such worries? In your answer consider the views of three different stakeholders.
-
Acme Corporation (a U.S. company located in Sarasota, Florida) has the following import/export transactions in 2011: March 1 Bought inventory costing 50,000 pesos on credit. May 1 Sold 60 percent of...
-
In class, the regression equation for Catalina Foothills house prices was Price 170. 969 +0.381 SqFt with price in thousands of dollars. Find the residual for a house with 2117 square feet and price...
-
Scenario: Mayo Clinic, a non-profit provider of health care and whose motto is the needs of the patient come first, pays doctors a salary rather than a fee for service. Dr. John C. Lewin, chief...
-
Assume for the question that NoFat rejected PU's special sales offer because the $2.20 price suggested by PU was too low. In response to the rejection, PU asked NoFat to determine the price of which...
-
DBS Pizzas & Cafe is a fast-food restaurant based in an eastern suburb of Melbourne. They purchase their takeaway containers from a local third-party supplier. DBS Pizzas & Cafe delivers an average...
-
Mcfarlain Corporation is presently making part U 9 8 that is used in one of its products. A total of 7 , 0 0 0 units of this part are produced and used every year. The company's Accounting Department...
-
10-33 Quality improvement, relevant costs, relevant revenues. SpeedPrint manufactures and sells 18,000 high-technology printing presses each year. The variable and fixed costs of rework and repair...
-
An electron is moving with a speed of 8.0010 6 m/s. What is the speed of a proton that has the same de Broglie wavelength as this electron?
-
A Fig. P8.3 8.3 An overhanging W920 x 449 rolled-steel beam supports a load Pas shown. Knowing that P = 700 kN, a = 2.5 m, and = 100 MPa, determine (a) the maximum value of the normal stress in the...
-
When working on a decision between two options, only _______________ matter in the analysis. A) avoidable B) budgeted costs C) unavoidable
-
Determine the values of the given trigonometric functions directly on a calculator. The angles are approximate. tan 0.8035
-
Lets count the value of lost gains from trade in a regulated market. The government decides it wants to make basic bicycles more affordable, so it passes a law requiring that all one-speed bicycles...
-
Suppose LightBright and Bulbs4You were the only two suppliers of 60-watt lightbulbs in Springfield. Draw the supply curve for the 60-watt lightbulb industry in Springfield from the following tables...
-
What do you think creates the good institutions that exist in rich countries? Why dont these institutionsproperty rights, markets, a society where you can usually trust strangersexist everywhere on...
-
The power, \(\mathscr{P}\), required to drive a fan is assumed to depend on fluid density \(ho\), volume flow rate \(Q\), impeller diameter \(D\), and angular speed \(\omega\). If a fan with...
-
Over a certain range of air speeds, \(V\), the lift, \(F_{L}\), produced by a model of a complete aircraft in a wind tunnel depends on the air speed, air density, \(ho\), and a characteristic length...
-
The pressure rise, \(\Delta p\), of a liquid flowing steadily through a centrifugal pump depends on pump diameter \(D\), angular speed of the rotor \(\omega\), volume flow rate \(Q\), and density...
Study smarter with the SolutionInn App