Does Brand Equity Matter?

Lessons in who needs to pay attention to customer attrition and brand equity

Does Brand Equity Matter?A publication of

Sometimes customer attrition can seemingly be overcome and businesses endure. Delivering modest returns to shareholders by pushing mediocre profit growth of less than 3% .

Sales at Wal-Mart U.S. stores open at least a year were f lat and traff ic was negative for the seventh quarter in a row, continuing a

weak trend for the retai ler at home. Prior to this quarter, Walmart's U.S. stores had seen f ive

straight quarters of sales declines." Source:http://www.usatoday.com/story/money/business/2

014/08/14/walmart-q2-earnings/14015873/

Sales at Wal-Mart U.S. stores open at least a year were f lat and traff ic was negative for the seventh quarter in a row, continuing a

weak trend for the retailer at home. Prior to this quarter, Walmart's U.S. stores had seen f ive

straight quarters of sales declines." Source:http://www.usatoday.com/story/money/business/2

014/08/14/walmart-q2-earnings/14015873/

Brand equity loss and customer attrition are connected

The Connection in Practical Terms

Customer Attrition Drivers

National Labor Relations Board Administrat ive Law Judge Orders Walmart

to Stop its I l legal Threats to Workers in One of Many Expected Decisions against Walmart Workers, Supporters Say Walmart Must End Its Abuse of Power and Improve Jobs"

Source:http://makingchangeatwalmart.org/2014/12/10/10128/

National Labor Relat ions Board Administrative Law Judge Orders Walmart

to Stop its I l legal Threats to Workers in One of Many Expected Decisions against Walmart Workers, Supporters Say Walmart Must End Its Abuse of Power and Improve Jobs"

Source:http://makingchangeatwalmart.org/2014/12/10/10128/

With so few realizing these price war victories are made more costly because of internal operation problems and damage to domestic brand equity.

It also touches on the connection between risk management and brand equity loss that drive customer attrit ion.

Source: http://ww2.kqed.org/news/2012/11/20/wal-mart-braces-for-black-friday-strikes

Is Rebranding Enough?

Plus the costs of the environmental catastrophes and related problems.

The Helios logo is meant to symbolise and represent the company’s green growth strategy by taking on the form of a sun. However, when it boils down to to it, there’s nothing green about drilling oil and it seems as though BP are trying to pull the wool over people’s eyes. It would have been better to stay away from this sort of connotation altogether.

Estimated Cost: The cost of the “Helios logo design” and it’s rollout was rumored to be $211,000,000. The company spends up to $125 mill ion annually on improving their brand and marketing“

Source: http://www.canny-creative.com/2013/10/10-rebranding-failures-how-much-they-cost/


Gap performed possibly one of the fastest branding turnarounds of all time when they reverted to their original design, just six days after putting their new logo out into the public. The Gap rebrand was estimated to have cost them $100 mil l ion, not the price tag you’d expect for something that could’ve been cobbled together using WordArt."



Now one approach is remain the same and to continue down the path of typical

approaches with predictable results.

The white stripe on the new logo varies across Pepsi products, getting wider or thinner depending on product. The design team that spearheaded the campaign explains that they’re supposed to be “smiles,” but we don’t really see it.” – Forbes Magazine

Estimated Cost: The cost of rebranding the entire Pepsi company is said to be $1.2 bil l ion over 3 years with the logo mark for Pepsi alone coming in at $1 mil l ion


What’s in it for you?The quantum-view explored with Art Based Solutions has emerged from this kind of new understanding, and questions. “Women Crossings (beta)” documentary , and “Women Crossings” Tour

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As such these solutions seek leaders and teams curious about similar questions and how they connect to bottom-line benefits (profits, brand equity , community solutions, shareholder returns and more).

At the same time the place of values alignment is not missed. It is not enough to say it is a creative approach, but it is unlike anything else in its connection to your present and the emerging future.

Start asking the right questions

Whether you get the best solutions or not depends on asking the right questions.

What often happens instead is “target blindness” gets reinforced leaving many unprepared to survive disruptive innovations.

Will you be one of them?

Go to ArtBasedSolutions.com

The podcast, 3 easy steps to get started now with better data driven strategies vital to avoiding the chaos price war competition.

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Strategic insight videos to help you reduce customer loss and increase brand loyalty .

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What is it worth to avoid customers cringing when they encounter your brand?

Simply fill in the form at http://ArtBasedSolutions.com or www.webantiphon.com and click “YES” to have a guide sent to your inbox. This complimentary offer is for leaders who want to:

•strengthen meaningful connections to your brand•enhance brand value and legacy•increase customer loyalty•avoid the pitfal ls of staf f and customer attri t ion•and insulate brand for the future

“Cultivating a better kind of different .”

“Cultivating a better kind of different .” Yvette Dubel

@ydubel

Business

Does Brand Equity Matter?