If a Brand can’t be Measured it can’t be Managed - Marketing and Branding Assessment Answers

Branding and Marketing Assignment

1. “If a brand can’t be measured it can’t be managed.” What extent do you agree with this statement? Why?
2. For a brand of your choice develop a brand scorecard. Why have you selected the measures you have? Would you expect any relationships to emerge between the measures and if so why? You don’t need to actually score the brand – just consider what measures you would include.
3. What problems could you foresee with implementing the measures you outlined above? How would you look to overcome these problems?

• provide a forum for you to participate in discussions with your fellow students in order to clarify and explore the issues and concepts you have been reading, and
• apply brand management theory to practice
• encourage you to think critically about the subject matter.

1. “If a brand can’t be measured it can’t be managed.” What extent do you agree with this statement? Why?

A brand is an asset to its company which is represented by its logo or slogan and which creates considerable shareholder value. Brand equity is very important in our lives. It is designed to demonstrate the real value a brand holds for its services and products. Measuring brand equity is very important as it shows the sales and outcome of the company. Brand equity also shows how the product is performing in the market, marketing communication, brand expansion etc. If a brand is not measured it is not possible to find out the value it holds in the market, the feedback of the product, the sales and outcome of the product, brand expansion will be in doubt and much more. If these factors are not known to a company then it is of no use to have a product of its brand. So it is very important to measure the brand. (Marketingresearch.org, 2016)

2. For a brand of your choice develop a brand scorecard. Why have you selected the measures you have? Would you expect any relationships to emerge between the measures and if so why?

Let us take an example of the brand Nike. The scorecard of Nike is as below:

The measures selected are ROCE (return on capital employed), EVA (economic value added), profit margin, Nike growth and ROE (return on equity). These measures selected are dependent on each other in financial perspective. These measures give us an idea about the profit that is made from the brand and the growth. There is a relationship between these measures as these all are interdependent and gives us the data on the financial aspects of the brand. (Slideshare.net, 2016)

3. What problems could you foresee with implementing the measures you outlined above? How would you look to overcome these problems?

The measures listed above are based on financial aspects. So it is necessary to measure the brand’s various factors like profit margin, growth, economic value added etc. These measures are not independent and in turn need data of several other measures like sales, cost price, selling price etc. Also Nike is a global brand. To implement these measures the data from all the locations should be gathered and then measured. So calculating all these measures requires a lot of time. To overcome these problems the work can be divided among all the locations and each location has to calculate their respective financial measures. These measures have to be gathered from all the locations across the globe and average has to be calculated. In this way the work can be divided and time consumption will also be less to implement the measures.