Brand value drivers and dimensions are essential concepts for brand management, especially in a global and diverse market. In this article, you will learn what they are, how they affect your brand performance, and how to overcome the challenges and seize the opportunities of managing global brands.
Brand value drivers are the factors that influence how customers perceive and respond to your brand. They include tangible and intangible attributes, such as product quality, design, innovation, customer service, reputation, social responsibility, and emotional connection. Brand value drivers can be measured by various metrics, such as awareness, loyalty, satisfaction, preference, and advocacy.
Brand value dimensions are the aspects of your brand that create value for your customers, your company, and your stakeholders. They include functional, experiential, symbolic, and relational dimensions. Functional value refers to the benefits and solutions that your brand provides to meet customer needs. Experiential value refers to the sensory, cognitive, and emotional aspects of your brand that enhance customer experience. Symbolic value refers to the meaning and identity that your brand conveys to customers and society. Relational value refers to the trust and commitment that your brand builds with customers and partners.
Brand value drivers and dimensions affect your brand performance by influencing customer behavior and loyalty, market share and growth, profitability and efficiency, and competitive advantage and sustainability. For example, a brand that delivers high functional value can attract and retain customers who seek quality and reliability. A brand that offers high experiential value can create memorable and engaging interactions that increase customer satisfaction and advocacy. A brand that has high symbolic value can differentiate itself from competitors and appeal to customers who share its values and aspirations. A brand that achieves high relational value can foster long-term relationships and collaborations that enhance customer loyalty and retention.
Managing global brands is a complex task that requires a delicate balance between standardization and adaptation, as well as an understanding of cultural and legal differences and market dynamics. Key challenges include maintaining a consistent brand identity and message across different countries and regions, respecting and leveraging cultural and social diversity, complying with varying and changing regulations, monitoring and responding to customer and competitor needs, and anticipating and exploiting new opportunities and trends. It is also important to avoid stereotypes and miscommunication in order to protect the brand's reputation and integrity.
While maintaining a consistent brand identity and messaging is crucial when managing global brands, it is important to do so with cultural sensitivity that extends far beyond learning the norms of a country or culture. In my opinion, employing stakeholders who are originally from the country of origin will allow the brand to benefit from the most realistic comprehension of cultural norms. No matter how much a brand may spend time “learning”, it truly takes the lived experience of the individual’s heritage and background to be able to bring genuine and authentic messaging to life globally.
Managing global brands offers a plethora of opportunities to increase brand value and performance. By leveraging the economies of scale and scope of operating in multiple markets, you can optimize resource allocation and efficiency. Additionally, you can take advantage of the potential and growth of emerging and developing markets, while also catering to the needs and demands of mature and saturated markets. Furthermore, global brands can foster cross-cultural and cross-functional learning and innovation, while also encouraging local creativity and customization. Finally, you can build a global community and network of customers and partners, while also strengthening your local presence and engagement.
In addition to the many benefits noted when managing global brands, I believe there could very well be opportunity to enhance the unique selling proposition (USP) of the brand beyond how it was initially established. In my opinion, utilizing global perspectives in the management of a brand will enhance the depth and breadth of the unique selling proposition.
In order to successfully manage global brands, it is essential to take a strategic and comprehensive approach to brand management. This includes analyzing your brand value drivers and dimensions, as well as the market environment and competition, to identify strengths, weaknesses, opportunities, and threats. Additionally, it is important to create a clear and convincing brand vision and mission, as well as a set of brand values and principles, to guide brand decisions and actions across different markets and contexts. Furthermore, a flexible and integrated brand strategy and architecture should be designed and implemented, allowing for standardization and adaptation of brand elements and activities, such as name, logo, slogan, product, price, promotion, and distribution, according to market objectives and customer segments. Moreover, it is essential to communicate and deliver the brand value proposition and promise, as well as the brand personality and story, to target audiences and stakeholders, using various channels and platforms, such as online, offline, social media, and word-of-mouth. Finally, brand performance and impact should be measured and evaluated, using various indicators and tools, such as brand equity, brand loyalty, brand awareness, brand associations, and brand advocacy, to track progress and improvement, and to adjust and refine the brand strategy and tactics.