Week 10: Brand Valuation

1. What makes a brand valuable?

A brand is valuable in an intangible asset. It contains the feelings and thoughts of a target audience (and all consumers) about your company and/or your products. It's what makes your product unique, and helps your product stand out among other competition--because, all brands are different, and the way that consumers feel about different brands also varies. Consumers make purchasing decisions based on brands and their feelings about brands, so the way your brand is viewed should always be considered when developing any plan for the company.

1. What do brands do.  How do they create value?

A brand creates value in multiple ways. A brand creates value from the start simply by participating in business operations. What's important is consistency from beginning to end--that will build trust and a positive brand image among consumers. The core idea or mission statement behind a brand must not only be created but implemented in all aspects of the company and its dealings with the public (Beware: Actions speak louder than words!).

     1. What are some of your most favorite brands?  Why?


My favorite brands include Victoria's Secret (as mentioned before), Rock Bottom Brewery, Scotty's Brewhouse, and Carnival Cruise lines (even after the recent disasters). Part of that is my experience with the quality of the product, consistency, and most importantly the incentives these brands offer. All offer rewards to frequent or returning customers, offering a VIP experience for an investment in the company.

1. Should Brands be on the balance sheet?  Why?  Why not?

Brands should be on the balance sheet--while it may be harder to calculate the value of a brand, a brand can influence a purchasing decision. A brand with little to no klout would have less value to consumers starting out.