Customer-Based Brand Equity Model - Gucci - Essay Example

The positive image of the brand is an important asset of the firm. It helps the company in creating a good impression in the mind of targeted customers. A brand is often represented by a logo (Batey, 2012). It is protected by a secure trademark. A company makes people aware of its products and services by marketing its products through various channels. In the competitive market of the fashion industry, Gucci always maintains its strong brand image. This brand is so popular that in spite of its high price, the company has several customers in different parts of the world (Blackburn, 2012). The concerns of the company about its customers and its high quality of products contribute to developing a positive brand image of Gucci.

Theory
A brand is not created by the company. The firm develops various processes, tools and functions which lead to the formation of the brand. As per the theory of three-stage of branding, a brand is developed by following three stages. These stages are design, value proposition and positioning. All of these stages are incorporated by the firm for establishing its brand image. Gucci has also followed these stages and for this reason, the company has created a strong brand image in the fashion industry.
The logo and slogan of Gucci highlight the image of the brand. The company believes in high quality of products. The slogan of Gucci focuses on its aim and vision.
Value proposition

A company wants to offer different types of value to the customers. Gucci emphasizes the value of delivering exclusive products to the customers. The company has developed its products in such a way that it has become aspirational goods for them. Gucci for a long period of time creates unique designs and maintains its product quality (Daft, 2009). The company is associated with elites and by this process, it tries to enhance its values.

Positioning
The statement of positioning facilitates the company to focus on how its services and products are perceived by the consumers. Gucci has positioned its products as bold, classy, and glamorous. The high price modern products of this company are perceived as a status symbol by the customers (Dearlove, 2007). The firm is positioned as one of the largest luxury goods manufacturing companies in the world.

The value of having a popular brand name is known as brand equity. A company is having a positive brand image and a well-known brand name generates huge revenue. Most of the customers of such firms purchase products by getting influenced by the brand name. A firm tries to develop a unique and strong brand image which facilitates them in enhancing its brand equity (Faarup, 2010). The Association of a brand with various events and functions makes its popularity among the customers.

Customer-Based Brand Equity (CBBE) model

The success of a brand or product is influenced by several factors. A company needs to understand these factors for holding its position in the competitive market. A brand is developed and managed by following different processes. The marketing professional Keller introduced the Customer-Based Brand Equity Model (CBBE) which analyses different concepts behind the success of a brand. Different steps of the CBBE model help to make the brand strong. Keller believes that a company must understand how its customers perceive and feel about its products (Jain, Trehan, and Trehan, 2010). There are four steps present in the CBBE model. Each step of the model is associated with questions that are present in the mind of the customers about the brand. Two of these steps are divided into two parts which help to analyze the customer mindset in a detailed way Gucci has also implemented the CBBE model in its business. This model facilitates the company in enhancing its brand equity. The company is concerned about the mindset and perception of the customers. By implementing this model Gucci aims to enhance the position of its brand.

Identity
Gucci operates in the market of luxury retail clothing. From the time of the establishment of its business, the company provided comfort and support to the customers. The logo of Gucci contributed to creating brand identity in the fashion industry. The Italian origin of the brand is denoted by its “Made in Italy” slogan.
Brand Meaning
Brand meaning is divided into two parts performance and imagery. Performance helps to understand the extent to which the products of the company meet customers’ requirements. Brand Response
The response of the customers to the brand is highlighted in this step. The company got to know the buying behavior of the customers by understanding their judgment and feelings towards products.

Resonance
Gucci is highly conscious of its resonance. The company tries to satisfy its customers and increase their engagement with the brand by providing them complimentary gifts with every purchase. The firm provides the facility of same-day delivery in New York.
Conclusion
Gucci aims to deliver the best goods of high quality. The brand position of Gucci is highlighted in this essay.  Read More