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Is Short-termism Undermining Your Brand Equity?

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TL;DR

This paper examines the resurgence of short-termism in marketing driven by big data, digital, and AI, highlighting its historical link to profit erosion and brand damage in the 1980s. It emphasizes that CMOs must integrate demand and brand marketing to protect and enhance brand equity, which is vital for long-term business success.

Abstract
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Short-termism in marketing has resurfaced, fueled by big data, analytics, digital, AI, and labels such as demand marketing. Looking back at the 1980s, a short-termism decade, that era provided permission for “sales now” programs that failed to deliver growth. That approach contributed to profit erosion, turned customers’ priority to prices, encouraged ill-advised extensions, damaged brands and profits, and led to the emergence of brand equity. To avoid a repeat, CMOs need to convince others that brand equity is critical to the business strategy. To succeed, demand and brand marketing need to be partners, creating and exploiting their synergies.

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  • Research Article
  • Cite Count Icon 3
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  • Cite Count Icon 1
  • 10.2991/978-94-6463-348-1_38
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  • Research Article
  • Cite Count Icon 1
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  • Global Journal of Business, Economics and Management: Current Issues
  • Urairat Surikhan + 5 more

Due to marketing activities, brand equity is the important marketing thought for academic and entrepreneur practices. Creating an appropriate brand equity management has been indicated significant topic for small and medium enterprises. Along with local brand coffee bar in Thailand, with the growing competitive, the customer of local brand coffee bar behaves like a high switching brand and a low brand loyalty. This quantitative study examines significance of marketing activities and brand equity dimension, such as brand awareness, brand association, brand perceived quality and brand loyalty, to enhance purchase intention in local brand coffee bar in Thailand. The customers of local brand coffee bar are attended to collect data in Chiang Mai, which is the one largest city in Thailand. For supporting the research, hypothesis was employed by the structural equation modelling. The results argue that marketing activities and brand awareness have a high strong combined enhance on purchase intention. Keywords: Brand equity, service marketing mixed, purchace intention, local brand, coffee bar.

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  • Cite Count Icon 33
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Purpose – The purpose of this paper is to analyse the causal relationships among the dimensions that explain consumer-based brand equity, and to determine the importance of each dimension in the assessment of overall brand equity. Design/methodology/approach – A research instrument proposed by Yoo and Donthu was applied to undergraduate students of the University of Coimbra. Two leading brands in the Portuguese beer market were used in the study. Respondents were randomly assigned to one brand and were asked to rate all items on seven Likert-type scales. Based on Aaker’s conceptual framework, a structural equation model (SEM) was designed to analyse the proposed relationships. Findings – A causal order between brand equity dimensions was established. The results suggest that the positive effects of perceived quality and brand awareness on overall brand equity are mediated by brand loyalty. Research limitations/implications – Although the exclusion of brand associations’ dimensions in the SEM improves the validity of the constructs, it should be regarded as a limitation, given its importance in brand equity building. Practical implications – Marketing managers should focus on brand loyalty in order to increase overall brand equity, and should give special attention to perceived quality, since it is the factor with the strongest impact on brand loyalty. Originality/value – The identification of the causal relations among brand equity dimensions and the analysis of their influence in overall brand equity, not yet clearly validated in the literature.

  • Research Article
  • Cite Count Icon 18
  • 10.1177/0972622517702187
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  • Metamorphosis: A Journal of Management Research
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The purpose of this study is to develop a reliable scale for measuring the customer-based brand equity (CBBE) and empirically test Aaker’s model for determining the role of CBBE dimensions in building brand equity for local brands in the Indian smartphone market. A multistep study involving exploratory factor analysis and linear regression was used. A total of 288 actual Indian smartphone users evaluated different smartphone brands, that is, both local and international. The empirical findings suggest that CBBE for smartphones consists of four dimensions, that is, brand association, brand awareness, brand loyalty, and perceived quality, and that Aaker’s model of CBBE is generally supported. The findings suggest that brand awareness, brand association, perceived quality, and brand loyalty are not all influential dimensions of brand equity in the Indian smartphone market. Perceived quality and brand associations were found to have a positive and significant impact on brand equity with the impact of perceived quality being more profound than brand associations. Brand awareness and brand loyalty were not significant contributors to brand equity. Significant differences were found between perceived brand equity dimensions of local and global brands. This study adds value to the growing body of literature on CBBE and its creation by incorporating brand personality measures. The reliable measures developed in this study will help scholars and managers to monitor brand equity on a continuous basis.

  • Research Article
  • Cite Count Icon 24
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  • International Journal of Data and Network Science
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This paper focuses on five-star hotels in Jordan to investigate the impact of influencer marketing on overall brand equity. The mediating role played by brand awareness and customer brand engagement between influencer marketing and overall brand equity is tested. The survey method is employed to conduct this research, and data is collected from 300 respondents. The proposed hypotheses are tested using structural equation modeling. The results indicate that influencer marketing directly influenced overall brand equity, brand awareness and customer brand engagement partially mediate the relationship between influencer marketing and overall brand equity.

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This study examines the intense competition in the contemporary franchise beverage industry in Gorontalo City, where consumers have many choices that affect loyalty to certain brands. This study aims to analyze the effect of brand equity and marketing mix on customer loyalty. This descriptive quantitative research uses accidental sampling with 100 samples. Data analysis includes statistical tests as well as Structural Equation Modeling (SEM) models. This study shows that brand equity and marketing mix have a positive and significant effect on purchasing decisions, both partially and simultaneously, with the t-count and f-count values exceeding the table limit at the 95% confidence level. SEM-PLS analysis confirmed the significant relationship with p-values of 0.05 and t-statistics of 1.96, supporting the tested model. The research conclusion shows that brand equity and marketing mix have a significant influence on purchasing decisions. As advice, business owners of contemporary beverage franchises in Gorontalo City are advised to strengthen brand equity, as well as optimize creative and effective marketing strategies to increase competitiveness.

  • Research Article
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브랜드 아이덴티티 기반 OSMU 전략 모델의 타당성 연구 : >해리포터 (Harry Potter)<를 중심으로
  • Sep 30, 2013
  • Cartoon and Animation Studies
  • Young Jae Kim

According to many researches on brand management, the decision makings on brand marketing should center on the brand identity. Based on the brand management theory, Brand Identity-based OSMU Strategy has been suggested, in which the decision makings for culture content"s OSMU should be focused on the brand identity of content to maximize the brand equity. In this study, the effectiveness of suggested brand identity-based OSMU strategy model is empirically studied, together with the effect on the brand equity. The study on the consumer"s attitude toward the Harry Potter T-shirt with the associations of "magic, courage and confrontation against evil" proved that consumers respond more favorably in terms of their recognition of the fit -to-content, preference and perceived quality. With this result, the positive effect of brand identity-based OSMU on consumer attitude is verified. On the other hand, the study on the effect of brand identity bearing T-shirt on brand equity did not support the hypothesis that the brand identity-based OSMU has the positive feedback effect on the brand equity of culture content. Still, while the brand equity is established through the long period of time with consumer"s consistent experience on the certain culture content, the effect of brand identity-based OSMU on brand equity has a room for further discussion and research. While the ultimate goal of marketing is to create the power brand with high brand value, the further discussion on the effective culture content OSMU strategy to create a power brand is needed. ????????? ??????????????? ????????? ???????????? ????????? ?????? ??????????????? ?????? ???????????? ????????? ???????????????(brand identity)??? ???????????? ??????????????? ????????? ????????????. ??? ?????????, ??????????????? ????????? ???????????? ??????????????? OSMU??? ???????????? ???????????? ??????????????? ?????????????????? ?????? ????????? ????????????, ?????? OSMU?????? ??????????????? ?????? ???????????? ????????? ?????????????????? ???????????? ??????????????? ????????? ????????? ???????????? ??????????????? ?????? ??????????????? OSMU ?????????????????? ???????????? ??????????????? ?????????. ???????????? ????????? ??????, ????????? ????????????????????? ????????? ????????? ????????? ?????? ?????????????????? ???????????? ????????????????????? ?????????????????? ??????, ????????? ?????????????????? ????????? ????????? ????????? ????????? ?????? ????????? ?????? ????????? ?????? ??? ????????? ????????? ????????? ??????????????? ?????? ???????????????. ?????? ??????, ??????????????? ????????????????????? ????????? ?????????????????? ?????????,????????????, ???????????? ????????? ????????? ????????? ?????? ????????? ?????????, ????????? ?????? ????????? ??????????????? ?????? ???????????????. ?????? ????????? ?????????????????? ???????????? ????????? ????????? ?????? OSMU ????????? ?????????????????? ???????????? ???????????? ??????????????? ????????? ??????????????? ?????? OSMU ??????????????? ????????? ???????????? ????????????. ?????????, ????????? ?????????????????? ????????? ????????? ????????? ????????? ????????? ????????? ????????? ????????? ??????,????????????????????? ?????? ????????? ?????????, ?????????, ????????? ????????? ??????????????? ????????????, ??? ????????? ??????????????? ?????????????????? ?????????, ?????? ?????? ????????? ??????????????? ?????? OSMU??? ???????????? ????????? ????????? ????????? ???????????? ????????? ????????? ???????????? ?????????. ?????????, ???????????? ????????? ???????????? ???????????? ??????????????? ????????? ?????? ????????? ?????? ??????????????? ???????????? ????????? ?????????, ????????? OSMU??? ?????? ????????? ?????????????????? ???????????? ????????? ?????????????????? ???????????? ????????? ????????? ????????? ????????? ?????? ???????????? ????????? ????????? ???????????? ???, ?????? ????????? ???????????? ????????? ????????????. ??? ????????? ????????? ???????????? ??????????????? OSMU ????????? ???????????? ??????????????? ????????? ????????? ????????????, ?????? ??????????????? ?????? ???????????? ?????? ??? ?????????, ????????????????????? ?????? ??????????????? ?????????????????? ???????????? ?????? ???????????? ?????? ????????? ????????? ???????????? ???????????????.

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