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192 Chapter Eight
3. Besides the functional benefits, a brand will have to offer intangible
benefits, such as emotional, belonging, prestige, or style, in order to shine.
Figure 8.1 is a perfect example of this. People are willing to pay a high
price for a top-brand T-shirt for the sake of pride, belonging, and prestige.
4. The benefits offered by a brand should be consistent with each other and
present a unified character or personality. If the benefits offered from the
same brand are too confusing, or change from time to time, it will drive
customers away. This is because customers will often come to a quick
and superficial conclusion when purchasing a product. Customers form
a stereotype about a brand quickly; if they like the brand, they will stick
with it. For example, both McDonald’s and Chinese restaurants are
providing foods, and both will have loyal customers based on
customers’ perception about the food. If a McDonald’s store starts
offering some Chinese food, though it is a good food, it will really send
a very confusing signal to customers, and finally many customers may
be turned away. To maintain a brand, a company must actively manage
the personality of the brand to make it clear and consistent over time.
5. The benefits offered by a brand must be wanted by the customer. No
brand image, however clear and consistent, is of any use unless it
meets customer wants. If people’s wants have changed, the benefits
offered by the brand will have to change.
Brands have a magical power, and brand building is an important element in
value creation. To build a strong brand, we first need to know what are the
essential elements of a brand and how these elements are related to each
other really well. In the next few subsections, we will discuss some important
concepts about the essential elements of a brand, such as brand identity and
brand equity.
8.2.2 Brand Identity
What Is Brand Identity?
Customers’ perceptions about a brand are very much similar to people’s per-
ceptions about a person. A person’s name is simply a symbol. People form an
opinion about a person based on their perceptions. They may ask themselves,
What is this person good at? What is his or her personality? What does this
person look like? What does he or she stand for? What are his or her core values?
and so on. The answers to these questions allow people to form a perception of
the person’s identity. According to David Aaker (1996), brand identity “provides
direction, purpose and meaning for the brand.” Specifically, he said:
Brand identity is a unique set of brand associations that the brand
strategist aspires to create or maintain. These associations represent