What if one could own Pastizzi?
Not just the recipe, but the word, the symbol, and even the idea that those flaky beauties represent.
What could the value of that brand be?
How much would someone be willing to pay to own Pastizzi™?
Across the globe, brands are defined, measured, and traded.
Intellectual Property like the Nike Swoosh, and its ‘Just Do It’ tagline are recognised, not merely as intangible imagery, but as real assets with a very tangible, monetary value.
A brand, however, is not just a logo or a catchphrase. Amazon founder Jeff Bezos once famously said “Your brand is what people say about you when you’re not in the room.” So, a brand is the relationship we have with a business and its products.
But how would one even begin trying to quantify the value of that relationship? And what impact can a brand have on the performance of the business itself?
The idea of brand value developed in the 1980s. With the rise of mergers and acquisitions, bankers, accountants, and business advisors needed a better understanding of what was being bought and sold when companies were traded.
If inventory, machinery, and commercial real estate were part of the deal, why shouldn’t brands be included in the equation too?
Value, after all, is that quality all companies crave: to be seen as valuable.
Brands are used to distinguish one product from another. But how are they quantified?
The consensus is that brand value is measured in how much more consumers will pay, or how often they choose one brand over the alternatives available in the market.
There are different methodologies to establish this value. But beyond measuring brand as an asset on a business’s books, it’s important not to underestimate the impact a sense of purpose and vision can have on an enterprise’s performance.
Whether it comes to attracting and retaining talent, or to achieving the growth and presence in the market you have set for yourself, brand is the fuel that moves the business forward.
Later this month, BRND WGN and Zampa Debattista will be hosting some of Malta's leading brand builders at ‘Leveraging Brand for Business Growth and Profitability’.
Registrations are open.