Brand Equity

The differential effect that brand knowledge has on consumer responses to the
marketing of that brand is called brand equity. Brand knowledge is the key to
creating brand equity. Brand knowledge consists of a brand node in memory with a
variety of associations linked to it. Brand knowledge has two components: brand
awareness and brand image

Brand Awareness
Brand awareness measures the accessibility of the brand in memory. Brand
awareness can be measured through brand recall and recognition.

Brand Recall
Forging strong associations with the appropriate product category or other relevant
purchase or consumption cues is brand recall. Brand recall can be measured by
asking the customers to name all the brand names that they can think of when
given a specific product or a service. A similar approach was used to measure the
brand recall of CNN IBN.

CNN IBN had 85% of recall, whereas its closest competitor was NDTV 24x7,
which enjoyed 80% brand recall. However, CNN IBN enjoyed the maximum top of
the mind recall at 38% and its closest competitor was NDTV at 23%

Brand Recognition
Brand recognition reflects the ability of consumers to confirm prior exposure to the
brand. Since the logo of CNN IBN contained the name of the news channel, that
couldn’t be used as a means to measure brand recognition. Customers were
exposed to the tagline of CNN IBN and were asked to recognize the brand of news
channel. The following are the results of CNN and its closest competitors

Thus, we see that the brand recognition of CNN IBN is high as compared to its
competitors. However, on an absolute scale the brand recognition is just 50%,
which is low. The company may have work on improving its brand recognition or
increasing the familiarity of the brand through repeated exposure.
Brand Image
Strong, favorable, and unique brand associations will form the image of the brand in
the minds of the customer. Brand Image is defined as consumer perceptions of a
brand and is measured as the brand associations held in consumers’ memory.

Brand Personality
To measure brand image, one can either use or adapt an existing list of brand
associations. Jennifer Aaker’s Brand Personality Dimension framework gives us a set
of adjectives that can be used to describe the personality of a brand, much like the
personality of an individual. The five core facets are sincerity, excitement,
competence, sophistication, ruggedness. Each of these facets is measured by a set
of traits.

The measurements of these traits for CNN IBN have delivered the following results.

Combining the above results, we reach the following conclusion:

Thus, CNN IBN is considered to be a competent personality and is also closely

associated with excitement and sophistication.

Brand Association

Self reporting method was used to perform and overall brand evaluation by the
customer or to measure the attitude of the customer towards the brand by
analyzing the favorability towards each association of the brand. The results were
taken on a scale of 1 to 7, where 1: low score and 7: high score. The following is the
result of the responses

Associa
tion Score
Appeal 5.86
Quality 5.75
Pleasant 5.75
Good 5.79

Thus, we see that the customers have a positive attitude towards the brand CNN-
IBN