Comments on: What’s the Return on Branding?

By: Joris van Zoelen

Joris van Zoelen — Sun, 16 Aug 2009 15:27:14 +0000

Good start of a discussion on Return on Branding. We recently developed a method to work with clients on their Return on Branding. Our main thing: we go further than the financial benefits of branding and – at the same time – make Brand Invenstment measurable up till P&L level.

Simplified we help measuring and deciding on strategy to turn Brand Power in to Market Power. And there are many markets, like the buyers market, but also the political market and the employer market.

I’m sorry that the presentation is in Dutch, see the presentation on my LinkedIn (www.linkedin.com/jorisvanzoelen).

By: Denise Wymore

Denise Wymore — Thu, 16 Jul 2009 21:59:00 +0000

@ Don Ball – that’s what I’m sayin’……..nice.

By: Don Ball

Don Ball — Thu, 16 Jul 2009 21:29:40 +0000

Your headline reminds me of a line from David Meerman Scott, who speaks to big corporations about social media and is frequently asked, “yeah, but what’s the ROI?.” His response is something like: “What’s the ROI on the army of gardeners mowing the lawn at your corporate headquarters?”

Some things have a value that simply can’t be measured by standard accounting methods.

By: Editor

Editor — Mon, 13 Jul 2009 20:42:12 +0000

Besides production/delivery costs, the single biggest difference in price between two similar items boils down to “brand.” The stronger the brand, the more you can charge = pure profit margin.

By: Denise Wymore

Denise Wymore — Tue, 07 Jul 2009 15:51:55 +0000

Great Post!!! And I love the tennis shoe comparison.

I wonder what the ROI is on the bean counters?

Seriously – I would be remiss if I didn’t mention the power of Net Promoter Score in determining the “value” if you will, of your brand.

There is a direct correlation between high NPS scores and high profits.

Zappos.com
Apple
Amazon.com

All NPS leaders in their categories and all very profitable. And certainly not the cheapest in their categories. With the exception of Apple, the other two do little if any “traditional” marketing. But rather lead their markets with their versions of lollipops at the drive-up window:

Free overnight shipping and return shipping – Zappos
The Genius Bar – Apple
Incredible online community that allows reader reviews, ratings, and selling of used books – Amazon

None of those things are cheap to execute – the kind of things a bean counter would totally point out – BUT the ROI? Repeat business. Crazy loyal fans.

That’s modern marketing, IMHO.

For more info on NPS go to http://www.satmetrix.com