The relation of brand equity and marketing. A positive brand equity improves the overall ROI of marketing.
As mentioned earlier, Brand equity is the summation of the entire brand value. It’s connected to the strength of brands in terms of company reputation, sales, ROI, and stock share values of the company. Brand equity enhances the effectiveness of marketing campaigns. Marketing and storytelling in its pure form is persuasion. Brand Equity establishes authority, trust, and reliability that influence consumers’ decisions and actions persuasively. Similarly, high brand equity enhances the effectiveness of marketing as the brand is already known and well-established. Similarly, high-quality marketing campaigns can increase the reputation of a brand.
An example of Brand equity and improved ROI from marketing is- The canada whatsapp number marketing budget of Amazon in 2010 was approx 1000 million dollars. With time the reputation and popularity, or brand equity of Amazon has increased. Now, Amazon is investigating 4.4X more. Amazon has spent $44,370 million/ approx 3 lakh 54 thousand 960 crore rupees in marketing in 2023 according to Statista.
Brand Equity and Its Effect on Internet Marketing
The core theory of Brand equity is connected with a brand’s overall value in the market. To enhance brand equity different types of internet marketing channels are taking place. Such as social media marketing, email marketing, content marketing, and video marketing are useful mediums to educate, entertain, and build deeper relationships with consumers. Social media marketing such as X/Twitter marketing, Instagram marketing, YouTube marketing, and LinkedIn marketing are useful tools for building a brand online.