When you first look at the picture to the left what is the first thing that comes to mind? For the average consumer the answer is Coca-Cola. Even though the can is not identified most people associate the color of the can as a Coca-Cola product. This is a perfect example of how branding can have a very strong influence in customers’ perceptions.
Brand equity is defined as the value of a brand. It measures the value of intangible items like a logo or symbol for a company. This idea of brand equity gives companies more credibility and creates a loyal customer base.
Each year Interbrand releases a list of the world’s most valuable brands. Below are the top brands for 2010.
|Ranking||Company||Brand Value (in millions)|
Throughout the years these companies have spent time and resources developing their brand names. For several years Coca-Cola has dominated this list. Coca-Cola is much more than a brand; it is a culture and for this reason it will continue to remain on top.
Another interesting point is the presence of the technology industry on the chart. Companies like Google and IBM constantly appear to be raising their brand equity. From last year alone Google jumped from seventh place to fourth.
Do you believe Coca-Cola will remain on top or will a technological company become number one?