Question

Expalin why brand equity is important to the seller. Does ESPN have strong brand equity? How does its brand equity relate to its brand value?

Answer 1

> As far as a seller is concerned, brand equity is very important.Brand equity is considered to be an asset to the firm.Following are the reasons

* From a seller's point of you, brand equity concerns itself with issues that make a particular brand recognisable and favourable over other alternatives.

* Brand equity create cues to memory, and the brands provide summary information for consumers, they are used as a form of mental short hand.

* A brand having a positive brand equity can charge more for it product than the actual market price.

* positive brand equity of results in more loyal customers who prefer one specific brand over others .

* It is easier to launch new product lines under a brand which has already created a positive brand equity.

Thus having a good and power brand equity give the tangible value to the company such as incresed sale ,profits, ease of introducing new line of products and the services, and huge database of Consumers along with intangible value such as increased awareness , farther reach, customer loyalty and the elevated brand value in the market and in the consumer's minds.

> Yes. ESPN has strong brand equity. Brand equity is a crucial Concept for sports marketerers like ESPN.

* ESPN has spent a great deal of time and money building its brand equity.

* Aggregate propositional campaigns have been launched. World famous sports celebrities were a part of it.

* Now the brand name of the ESPN sport television network has been extended to ESPN radio, ESPN magazine and ESPN.com where sports merchandise can be solved.

Positive brand equity and good will has been instrumental in the growth of ESPN.

>Brand equity refers to the importance of a brand in customer's eyes and brand value is the winner and significance the brand carries. Both are interlinked as far as any firm is concerned . In the case of ESPN ,it's brand value increased ,as it's efforts to build brand equity became successful.

* Awareness of the brand and Goodwill associated with the brand enabled ESPN to charge higher prices.

* As a result revenue of the company incresed . Profits increased.

* other services and products launched by ESPN were able to create it's own place in the mind of customers.

* With the increase in profits, the assets of the company increased.

Ultimately, the financial estimate of the worth of ESPN brand ( brand value) increased. Experience of ESPN proved again, the better the brand equity, the more potential a business or company achieving higher brand value.