The BRAND RELATIONSHIP Playbook

FIRST EDITION

The Brand Relationship Playbook This book will help you understand, measure, and manage brand relationships to develop brand love, increase brand loyalty, expand brand’s lifetime value, and increasing overall profitability.

WRITTEN BY MARC FETSCHERIN

+ 45 branding concepts

The

Brand Relationship Playbook FIRST EDITION WRITTEN BY MARC FETSCHERIN Copyright © 2020 by Marc Fetscherin All rights reserved. No part of this book may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying, recording, or by any information storage and retrieval system, without permission in writing from the copyright owner. eBook, ASIN: B07Y3RLWKR Paperback, ISBN: 9781694273000 www.brandrelationshipbook.com

To my loving mother and father (who is unfortunately no longer with us); To my wife, Stephanie, for her immense support; To my daughters, Margaux and Mirielle, who give me joy and make me proud every day.

Marc Fetscherin

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TABLE OF CONTENT Why Should You Read This?......................................................................................................................................... 15 Why should you read this? ...............................................................................................................................................................16 Importance of Brand Relationships.............................................................................................................................. 20 Importance of brands ........................................................................................................................................................................21 Types of brands ..................................................................................................................................................................................23 Paradigm shift in branding ...............................................................................................................................................................24 From transactional to relationship branding ................................................................................................................................ 26 Brand relationships ............................................................................................................................................................................27 Effects of brand relationships .........................................................................................................................................................28 Brand Relationship Models .......................................................................................................................................... 31 Overview: brand relationship models ............................................................................................................................................. 32 BERA’s brand love stages .................................................................................................................................................................33 Edelman’s brand relationship index ................................................................................................................................................ 35 Verizon’s brand love index ................................................................................................................................................................36 Ayzenberg’s brand trust index .........................................................................................................................................................37 MBLM’s brand intimacy ranking......................................................................................................................................................38 Prophet’s brand relevance index .....................................................................................................................................................39 Rakutent’s brand affinity report .......................................................................................................................................................40 IBM’s brand enthusiasm report .......................................................................................................................................................41 Havas’ meaningful brand index .......................................................................................................................................................42 T3’s useful brand report ....................................................................................................................................................................43 Accenture’s love index .......................................................................................................................................................................44 Comparison of models......................................................................................................................................................................45 More Models ................................................................................................................................................................ 46 More models .......................................................................................................................................................................................47 Jack Morton’s experience brand index .......................................................................................................................................... 47 The Brand Relationship Playbook

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LEAP’s emotional attachment index............................................................................................................................................... 47 Brand loyalty report............................................................................................................................................................................48 NetBase’s brand passion report ......................................................................................................................................................48 Sawtooth’s i-Factor platform............................................................................................................................................................49 BCG’s brand advocacy index............................................................................................................................................................49 The Brand Relationship Wheel ..................................................................................................................................... 50 Emphathy map ...................................................................................................................................................................................51 Rational component: the share of mind ........................................................................................................................................ 53 Emotional component: the share of heart..................................................................................................................................... 54 Communication component: the share of voice .......................................................................................................................... 55 Transactional component: the share of wallet ............................................................................................................................. 56 Core Components ..............................................................................................................................................................................57 Brand identity & brand personality..................................................................................................................................................58 Brand image & brand equity .............................................................................................................................................................59 Model overview ...................................................................................................................................................................................60 Analytical and communication tool ................................................................................................................................................ 61 Brand Relationship Concepts ....................................................................................................................................... 64 Share Of Heart .............................................................................................................................................................. 65 Brand Satisfaction ........................................................................................................................................................ 66 What is brand satisfaction?..............................................................................................................................................................67 How can it be measured? .................................................................................................................................................................67 How can it be managed? ..................................................................................................................................................................67 Brand satisfaction matrix .................................................................................................................................................................68 How to use the brand satisfaction matrix ..................................................................................................................................... 70 Brand Trust ................................................................................................................................................................... 72 What is brand trust?...........................................................................................................................................................................73 How can it be measured? .................................................................................................................................................................73 How can it be managed? ..................................................................................................................................................................73 The Brand Relationship Playbook

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Brand trust map ..................................................................................................................................................................................74 How to use the brand trust map .....................................................................................................................................................75 Brand Love ................................................................................................................................................................... 77 What is brand love? ............................................................................................................................................................................78 How can it be measured? .................................................................................................................................................................78 How can it be managed? ..................................................................................................................................................................78 Brand love pyramid ............................................................................................................................................................................79 Brand Indifference ........................................................................................................................................................ 80 What is brand indifference?..............................................................................................................................................................81 How can it be measured? .................................................................................................................................................................81 How can it be managed? ..................................................................................................................................................................81 Brand Dislike & Brand Hate .......................................................................................................................................... 82 What is brand dislike or brand hate? .............................................................................................................................................. 83 How can it be measured? .................................................................................................................................................................83 How can it be managed? ..................................................................................................................................................................83 Share Of Mind............................................................................................................................................................... 84 Brand Awareness & Brand Familiarity .......................................................................................................................... 85 What is brand awareness or brand familiarity? ........................................................................................................................... 86 How can it be measured? .................................................................................................................................................................86 How can it be managed? ..................................................................................................................................................................86 Brand awareness thermostat ..........................................................................................................................................................87 How to use the brand awareness thermostat .............................................................................................................................. 88 Brand Experience ......................................................................................................................................................... 91 What is brand experience? ...............................................................................................................................................................92 How can it be measured? .................................................................................................................................................................92 How can it be managed? ..................................................................................................................................................................92 Net promoter score ............................................................................................................................................................................93 How to use the net promoter score ................................................................................................................................................ 94 The Brand Relationship Playbook

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Share Of Voice .............................................................................................................................................................. 95 Positive WOM ............................................................................................................................................................... 96 What is positive word of mouth?.....................................................................................................................................................97 How can it be measured? .................................................................................................................................................................97 How can it be managed? ..................................................................................................................................................................97 Social media platforms .....................................................................................................................................................................98 Brand Advocacy & Brand Defense ................................................................................................................................ 99 What is brand advocacy or brand defense? ...............................................................................................................................100 How can it be measured? ...............................................................................................................................................................100 How can it be managed? ................................................................................................................................................................100 Brand Evangelism....................................................................................................................................................... 101 What is brand evangelism? ............................................................................................................................................................102 How can it be measured? ...............................................................................................................................................................102 How can it be managed? ................................................................................................................................................................102 Brand promoter matrix ....................................................................................................................................................................103 Complaining ............................................................................................................................................................... 105 What is brand complaining?...........................................................................................................................................................106 How can it be measured? ...............................................................................................................................................................106 How can it be managed? ................................................................................................................................................................106 Brand complaint matrix ..................................................................................................................................................................107 Share Of Wallet ........................................................................................................................................................... 109 Brand Attachment ...................................................................................................................................................... 110 What is brand attachment? ............................................................................................................................................................111 How can it be measured? ...............................................................................................................................................................111 How can it be managed? ................................................................................................................................................................111 Brand attachment matrix................................................................................................................................................................112 How to use the brand attachment matrix ...................................................................................................................................113 The Brand Relationship Playbook

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Brand Loyalty ............................................................................................................................................................. 115 What is brand loyalty? .....................................................................................................................................................................116 How can it be measured? ...............................................................................................................................................................116 How can it be managed? ................................................................................................................................................................116 Brand Community....................................................................................................................................................... 117 What is brand community? ............................................................................................................................................................118 How can it be measured? ...............................................................................................................................................................118 How can it be managed? ................................................................................................................................................................118 Brand community model ................................................................................................................................................................119 Brand’s Lifetime Value (BLV) ..................................................................................................................................... 120 What is brand’s lifetime value? ......................................................................................................................................................121 How can it be measured? ...............................................................................................................................................................121 How can it be managed? ................................................................................................................................................................121 Brand’s lifetime value model ..........................................................................................................................................................122 How to use the BLV ..........................................................................................................................................................................124 How to calculate consumer lifetime value with RR or CR .......................................................................................................126 How to calculate the churn rate (CR) ...........................................................................................................................................126 How to calculate consumer lifetime value ..................................................................................................................................127 Reference table for converting retention rate to lifetime period .............................................................................................128 Brand Avoidance & Brand Switching .......................................................................................................................... 129 What is brand avoidance or brand switching? ...........................................................................................................................130 How can it be measured? ...............................................................................................................................................................130 How can it be managed? ................................................................................................................................................................130 Brand Revenge & Brand Retaliation ........................................................................................................................... 131 What is brand revenge or brand retaliation? ...............................................................................................................................132 How can it be measured? ...............................................................................................................................................................132 How can it be managed? ................................................................................................................................................................132 The Brand Relationship Playbook

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Brand Sabotage .......................................................................................................................................................... 133 What is brand sabotage? ................................................................................................................................................................134 How can it be measured? ...............................................................................................................................................................134 How can it be managed? ................................................................................................................................................................134 Negative brand relationship matrix ..............................................................................................................................................135 How to use the negative brand relationship matrix...................................................................................................................136 Core Components ....................................................................................................................................................... 138 Brand Identity ............................................................................................................................................................. 139 What is brand identity? ....................................................................................................................................................................140 How can it be measured? ...............................................................................................................................................................140 How can it be managed? ................................................................................................................................................................140 Brand Personality ....................................................................................................................................................... 141 What is brand personality? .............................................................................................................................................................142 How can it be measured? ...............................................................................................................................................................142 How can it be managed? ................................................................................................................................................................142 Brand personality scale...................................................................................................................................................................143 How to use the brand personality scale? ....................................................................................................................................144 Brand Image ............................................................................................................................................................... 146 What is brand image? ......................................................................................................................................................................147 How can it be measured? ...............................................................................................................................................................147 How can it be managed? ................................................................................................................................................................147 Brand image matrix .........................................................................................................................................................................149 How to use the brand image matrix .............................................................................................................................................150 Brand Equity ............................................................................................................................................................... 152 What is brand equity? ......................................................................................................................................................................153 How can it be measured? ...............................................................................................................................................................153 How can it be managed? ................................................................................................................................................................153 The Brand Relationship Playbook

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Conclusion.................................................................................................................................................................. 154 Final comments ................................................................................................................................................................................155 Notes On Qualtrics速 .................................................................................................................................................................................................................................................................. 156 How to create an account and log in............................................................................................................................................156 How to import a survey into Qualtrics速 ..............................................................................................................................................................................................................................................156 More information on Qualtrics速 ....................................................................................................................................................................................................................................................................156 Notes On The Five-Point Likert Scale ......................................................................................................................... 157 Rating versus ranking questions...................................................................................................................................................157 References ................................................................................................................................................................. 160 Author ......................................................................................................................................................................... 166 Appendix: Qualtrics速 Survey ...................................................................................................................................... 167 Endnotes .................................................................................................................................................................... 190

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LIST OF FIGURES Figure 1. Brand values of top 20 global brands ................................................................................................................................21 Figure 2. Country of origin of brands ..................................................................................................................................................22 Figure 3. Types of brands ......................................................................................................................................................................23 Figure 4. Transactional vs. relationship branding.............................................................................................................................26 Figure 5. Positive and negative effects of brand relationships .....................................................................................................28 Figure 6. BERA’s brand love stages .....................................................................................................................................................33 Figure 7. Edelman’s five brand relationship stages ..........................................................................................................................34 Figure 8. Verizon’s six drivers of bran love .........................................................................................................................................35 Figure 9. Ayzenberg’s dimensions of brand trust .............................................................................................................................36 Figure 10. MBLM’s six components of brand intimacy ..................................................................................................................37 Figure 11. Prophet’s four dimensions of brand relevance ..............................................................................................................38 Figure 12. Rakuten’s six levels of brand relationships .....................................................................................................................39 Figure 13. IBM’s four groups of brand enthusiasts ..........................................................................................................................40 Figure 14. HAVAS’ 13 dimensions of meaningful brand .................................................................................................................41 Figure 15. T3’s elements of a useful brand ........................................................................................................................................42 Figure 16. Accenture’s five dimension of brand love .......................................................................................................................43 Figure 17. Empathy map........................................................................................................................................................................50 Figure 18. Brand relationship wheel ....................................................................................................................................................51 Figure 19. Rational component ...........................................................................................................................................................52 Figure 20. Emotional component........................................................................................................................................................53 Figure 21. Communication component ..............................................................................................................................................54 Figure 22. Transactional component .................................................................................................................................................55 Figure 23. Core components.................................................................................................................................................................57 Figure 24. The Brand Relationship Wheel .........................................................................................................................................59 Figure 25. Brand satisfaction matrix ...................................................................................................................................................68 Figure 26. Example brand satisfaction matrix ..................................................................................................................................70 The Brand Relationship Playbook

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Figure 27. Brand trust map ...................................................................................................................................................................73 Figure 28. Example brand trust map ...................................................................................................................................................75 Figure 29. Brand love pyramid ..............................................................................................................................................................78 Figure 30. Brand awareness thermostat ............................................................................................................................................86 Figure 31. Example brand awareness thermostat ...........................................................................................................................89 Figure 32. Net promoter score..............................................................................................................................................................92 Figure 33. Most used social media platforms (hootsuite, 2019)XXIX.................................................................................................................................................................... 97 Figure 34. Brand promoter matrix..................................................................................................................................................... 103 Figure 35. Brand complaint matrix ................................................................................................................................................... 107 Figure 36. Brand attachment matrix ................................................................................................................................................ 111 Figure 37. Example brand attachment matrix ................................................................................................................................ 113 Figure 38. Brand community model ................................................................................................................................................. 118 Figure 39. Example types of consumer by BLV.............................................................................................................................. 122 Figure 40. Retention and churn rate ................................................................................................................................................. 126 Figure 41. Negative brand relationship matrix ............................................................................................................................... 134 Figure 42. Example negative brand relationship matrix ............................................................................................................... 136 Figure 43. Brand personality scale ................................................................................................................................................... 142 Figure 44. Brand identity vs. brand image....................................................................................................................................... 147 Figure 45. Brand image matrix .......................................................................................................................................................... 148 Figure 46. Example brand image matrix.......................................................................................................................................... 150

LIST OF TABLES Table 1. List of brand relationship models .........................................................................................................................................32 Table 2. Relationship between retention rate, churn rate, and average lifetime.......................................................................127 Table 3. Detailed likert scales used....................................................................................................................................................158

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INDEX Accenture Interactive, 16, 32, 43 Ayzenberg, 32, 36 BERA Brand Management, 32, 33 Bond Brand Loyalty, 32 Boston Consulting Group, 16, 48, 98 Brand Admiration, 77 Brand Advocacy, 30, 48, 54, 96, 98 Brand Advocacy Index, 32, 48 Brand Advocate, 102 Brand Affinity Report, 32, 39 Brand Ambassador, 59, 102 External Brand Ambassador, 102 Internal Brand Ambassadors, 102 Brand Association, 152 Brand Attachment, 55, 109–111 Brand Attachment Matrix, 111–112 Emotional Attachment Index, 32, 46 Brand Avoidance, 44, 55, 128, 129, 131 Brand Awareness, 52, 84–89, 101 Brand Awareness Thermostat, 86, 87, 89 Brand Champion, 102 Brand Commitment, 46, 77, 78, 98, 140 Brand Community, 55, 116–118 Brand Community Model, 118

Brand Cult, 117 Brand Defender, 102 Brand Defense, 97 Brand Detachment, 129 Brand Dislike, 44, 53, 81, 82, 148 Brand Divorce, 129 Brand Engagement, 77 Brand Enthusiasm Brand Enthusiasm Report, 32, 40 Brand Enthusiast, 40, 46 IBM’s Four Groups of Brand Enthusiasm, 40 Brand Equity, 22, 23, 57, 58, 151, 152 Brand Evangelism, 54, 96, 100, 101 Brand Experience, 46, 47, 52, 53, 67, 72, 77, 90–92, 119 Brand Familiarity, 52, 53, 84–86, 88 Brand Hate, 53, 81, 82, 105, 148 Brand Identity, 22, 57, 138, 139, 141, 146, 147 Brand Image, 22, 37, 57, 58, 82, 129, 138–141, 145–152, 186 Brand Image Matrix, 147 Brand Indifference, 53, 79, 80, 148 Brand Intimacy, 77 Brand Intimacy Ranking, 37, 37 The Brand Relationship Playbook

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MBLM’s Six Components of Brand Intimacy, 36 Brand Liking, 77, 78, 82, 148 Brand Love, 33, 35, 43, 53, 66, 72, 76– 78, 80, 82, 101, 148 Accenture’s Five dimensions of Brand Love, 44 Accenture’s Love Index, 43 Brand Love Pyramid, 78 Brand Love Stages, 32, 33, 44 Verizon’s Brand Love Index, 35 Verizon’s Six Drivers of Brand Love, 35 Brand Loyalty, 36, 39, 47, 55, 66, 72, 76, 90, 109, 114 , 115, 117, 140 Attitudinal Loyalty, 114, 115 Behavioral Loyalty, 114, 115 Bond Brand Loyalty, 47 Brand Loyalty Report, 32, 47 Brand Passion, 77 Brand Passion Report, 32, 47 Brand Personality, 22, 57, 139, 140– 144, 147 Brand Personality Scale, 142 Brand Promise, 46 Brand Promoter Matrix, 102

Brand Recall, 52, 84, 85 Brand Recognition, 52, 85 Brand Rejection, 129 Brand Relationships Brand Relationship Index, 32, 34 Brand Relationship Models, 31 Edelman’s Five Brand Relationship Stages, 34 Rakuten’s Six levels of Brand Relationships, 39 Brand Relevance Brand Relevance Index, 32, 38 Prophet’s Four Dimensions of Brand Relevance, 38 Brand Retaliation, 44, 55, 130, 131, 133 Brand Revenge, 55, 81, 130, 131, 133 Brand Romance, 77 Brand Sabotage, 44, 55, 132, 133 Brand Satisfaction, 44, 53, 65, 66–70, 72, 77, 116

Brand Satisfaction Matrix, 67, 69 Brand Switching, 44, 55, 81, 128, 129 Brand Tribalism, 117 Brand Trust, 32, 36, 53, 71–77, 90, 140 Ayzenberg’s Dimensions of Brand Trust, 36 Brand Trust Index, 32, 36 Brand Trust Map, 73–75 Brand’s Lifetime Value, 55, 115, 117, 119, 120 Churn Rate, 121, 125–127 Complaining Brand Complaining Matrix, 106 Private Complaining, 54, 105 Public Complaining, 54, 81, 105 Social Media Complaining, 54, 105 Complaining, 104 Edelman, 32, 34 Experience Brand Index, 32, 46 HAVAS, 32, 41

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IBM, 32, 40 Influencers, 102 Jack Morton, 32, 46 Leap® Media Investments, 46 MBLM, 32, 37 Meaningful Brand Index, 32, 41, 79 Negative Brand Relationship Matrix, 131, 134–136 Net Promoter Score, 43, 90, 92, 93, 119 NetBase, 32, 47 Positive Word of Mouth, 54, 96, 99, 101 Prophet, 32, 38 Rakuten, 32, 39 Retention Rate, 115, 121, 124–127 Sawtooth, 32, 48 TM3, 32 Useful Brand Report, 32, 42 Verizon, 32, 35

Why Should You Read This?

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Why should you read this?

The BRAND RELATIONSHIP Playbook provides seven unique key learnings and important insights that any Chief Executive Officer (CEO), Chief Marketing Officer (CMO), Chief Branding Officer (CBO), any marketing or brand manager of a larger enterprise, or anyone involved with marketing, branding and communications in a small or medium-sized enterprise (SME) must be able to measure and manage brand relationships and develop brand love, increase brand loyalty, extend brand’s lifetime value, and increase overall profitability.

■ First, this book outlines the best-known brand relationship models currently in use, such as Edelman’s Brand Relationship Index, the Brand Advocacy Index of Boston Consulting Group, Prophet’s Brand Relevance Index, the Experience Brand Index of Morton, the (Brand) Love Index of Accenture Interactive, and Ayzenberg’s Brand Trust Index. For each, a brief summary of the methodology and the key components is provided. These models provide the foundation for the BRAND RELATIONSHIP Wheel model presented in this book.

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■ Second, the conceptualization of the BRAND RELATIONSHIP Wheel is based on scientific insights from research over the last few decades, and it represents the current and widely agreed-upon relationships between different branding concepts. In total, it integrates +45 branding concepts into one single, comprehensive, coherent, and easy-to-use model.

■ Third, the BRAND RELATIONSHIP Wheel consists of four parts: Think, Feel, Say, and Do. The think and feel parts account for how consumers feel and think about brands. In other words, they represent the rational (thinking) and emotional (feeling) side of consumers’ decision making. Then, do and say relate to what consumers say or do in relation to brands and what they do with it. Both relate to consumer’s behaviors.

■ Fourth, each branding concept in the BRAND RELATIONSHIP Wheel is discussed on a one-pager, making it easy to understand. Each one-pager provides a brief discussion of what the concept is and how it can be measured and managed. Key statistics and quotes are provided as well.

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â– Fifth, for some of these concepts, hands on examples are provided to show how you can measure and present the results and findings of your own research.

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■ Sixth, this book also presents seven new and useful branding tools or models: the Brand Satisfaction Matrix, Brand Trust Map, Negative Brand Relationship Matrix, Brand Awareness Thermostat, Brand Promoter Matrix, Brand Complaint Matrix, and Brand Attachment Matrix. A sample of these new models or tools are shown below.

High Brand Familiarity Low Brand Recall Brand Recognition Unware of Brand

■ Finally, at the end of this book, useful references are provided if you want to learn more about brand relationships, and Appendix 1 presents survey questions for all concepts presented in the BRAND RELATIONSHIP Wheel, including a link where you can download a Qualtrics® file with all questions presented in this book so you can conduct your own research.

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Importance of Brand Relationships The Brand Brand Relationship Relationship Playbook 20 The

Importance of brands

Brands are becoming more and more important in consumers’ lives. Whether it is the Kellogg’s breakfast cereal you eat, the Ford you drive to work, the iPhone you use to text and call your family and friends, the Coke or Starbucks you drink during your breaks, your favorite dinner spot, or your favorite social media platform you use to interact with your friends, we are all engaging with brands in one way or the other.

Amazon

316

Apple

310

Google

309

Microsoft

251 178

Visa Facebook

159 131

Alibaba

According to the 2019 Financial Times Top 100 global Tencent brand rankingI, the total value of the top 100 brands McDonald’s surpasses $43 trillion. To put this into perspective, this AT&T number matches the total GDP of the United States Verizon ($19.4 trillion), China ($12.2 trillion), Japan ($4.9 trillion), Germany ($3.7 trillion), the United Kingdom Mastercard IBM ($2.6 trillion), and India ($2.6 trillion), combinedII. Some brands have more employees than certain countries Coca-Cola Marlboro citizens, or some have a brand value which is higher than certain country’s GDP. Figure 1 lists the company SAP names of the top 20 global brands. As one can see, Disney the top three brands Amazon ($316 bn), Apple ($310 UPS bn), and Google ($309 bn) each have a brand value Home Depot that is similar to the total GDP of Malaysia ($314 bn), Xfinity the Philippines ($313 bn), or Colombia ($309 bn) and larger the GDP of Vietnam ($223 bn), Portugal ($217 bn), Peru ($211 bn), or New Zealand ($205 bn).

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131 130 108 95 92 86 81

values in $ billion

72 58 57 55 54 49 Figure 1. Brand values of top 20 global brands

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Effects of brand relationships POSITIVE BRAND RELATIONSHIPS LEAD TO…

NEGATIVE BRAND RELATIONSHIPS LEAD TO…

higher brand loyalty (Chaudhuri & Holbrook, 2001)

higher brand avoidance or switching (Lee, 2009)

price premiums & higher profits (Albert & Merunka, 2013)

more brand retaliation or sabotage (Kähr, 2016)

higher consumer lifetime value (Zhang et al., 2010)

lower profits & consumer lifetime value (Zhang et al., 2010)

positive word of mouth (Carroll & Ahuvia, 2006)

more private & public complaining (Fetscherin, 2019)

higher brand forgiveness (Fetscherin & Sampedro, 2019)

more protests (Zarantonello et al., 2016)

higher total shareholder return (Barker et al., 2015)

lower total shareholder return (Barker et al., 2015)

lower customer churn rate (Gallo, 2014)

higher consumer churn rate (Gallo, 2014)

Figure 5. Positive and negative effects of brand relationships

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Brand Relationship Models The 31 The Brand Brand Relationship Relationship Playbook Playbook 31

Overview: brand relationship models Brand relationships have been a topic of discussion in the academic literature for a few decades, but it is only in the last few years that they have attracted the attention among practitioners. In this section, the most relevant and important brand relationship indexes, rankings, and reports available in the marketplace are outlined.

For reasons of simplicity, they will be referred to as models in this book. For each model, where there was enough information available on its methodology, a one-page summary is provided, and for the others where there was not sufficient information available a briefly summary is given (marked with*). Table 1 presents a summary of these models.

Table 1. List of brand relationship models

Model

Company

Model

Company

Brand Relationship Index

Edelman

Brand Love Stages

BERA Brand Management

Brand Love Index

Verizon

Brand Affinity Report

Rakuten

Brand Trust Index

Ayzenberg

Brand Enthusiasm Report

IBM

Brand Relevance Index

Prophet

Brand Intimacy Ranking

MBLM

Meaningful Brand Index

HAVAS

Useful Brand Report

TM3

(Brand) Love Index

Accenture Interactive

Brand Loyalty Report*

Bond Brand Loyalty

Brand Advocacy Index*

BCG

Brand Passion Report*

NetBase

Experience Brand Index*

Jack Morton

Brand Relationship i-Factor*

Sawtooth

Emotional Attachment Index*

LeapÂŽ Media

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BERA’s brand love stages The global strategic consulting company BERA Brand Management Platform has developed a platform based on more than million consumers. Their model discusses five main stages of Brand Love, as indicated in Figure 6. These stages are: new, dating, love, boredom, and divorce. Knowing the stage of relationship of consumers to your brand can give you the clue to improving your marketing tactics and bringing the correct resource allocation to seed and maintain Brand Love.

The consumer has established a strong emotional bond with your brand and is committed to it Consumer could lose interest, due to lack of innovation or better competitor brands stage

The consumer has purchased your brand but is still not committed An ad, word of mouth, or any other first contact with your brand, define this stage

3 4

2

1 New

The consumer is not interested anymore and stopped buying your brand

5 Dating

Love

Boredom

Figure 6. BERA’s brand love stages

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Divorce

The Brand Relationship Wheel The Brand Relationship Playbook 49

Emphathy map

SAY

DO

THINK

FEEL

Figure 17. Empathy map

As the previous models have shown, consumers are more likely to choose, buy, and use products or services that meets their needs, instead of products or services that just met their wants. The empathy map helps to understand consumers’ needs by developing a deeper understanding of their persona. It consists of four main parts or traits one should focus on when studying consumer behavior, namely what they think and feel about a product or service and then what they say and do with it. Figure 17 provides a visualization of the four main parts of the empathy map, which provides the foundation of the BRAND RELATIONSHIP Wheel.

Think and feel relate to intra-personal aspects of how consumers feel and think about brands. All human brains have a left (rational = thinking) and right (emotional = feeling) side. Both sides come into play in all decision making in our daily life, including purchase decisions.

Each time we make a decision, both sides of our brain are activated, although each of us activates the two sides in varying proportions. A typical more left-brained consumer makes purchase decisions more on hard facts, like emphasizing the practicality of your product or service. A typical more right-brained consumer bases the purchase decision more on emotions and perhaps how the products

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or service they buy makes them feel. Understanding the balance between the rational and emotional side in decision making can help unlock and discover the true needs of consumers and how they tick, and make purchase decisions. What and how consumers feel and think is what forms their image of your brand.

INTER-PERSONAL Obviously, reality is more complex than this schematic overview, as the way Pain vs. Gain we take decisions is also heavily influenced by other internal or external factors, such as our personality, sociodemographic situation, or stage of life. Nevertheless, the model presented in this book also takes into account the intensity (weak vs. strong) and type of feelings (positive SAY vs. negative) that consumers have in regard to brands and their DO corresponding behaviors. Do and Say present the inter-personal aspects to address how and what consumers say about your brand to other consumers, to non-consumers, and on social media; they also engage in how they speak to your employees and what they do with your products or services. The Do part describes the behavioral component of what consumers actually do, or don’t do, with your brand. This includes a wide range of behaviors, namely, whether they stay loyal, switch to THINK other brands, avoid your brand in the first place, or engage in FEEL retaliation against it (see Figure 18). These behaviors produce an impact on the equity that your brand has in the marketplace.

The BRAND RELATIONSHIP Wheel, which integrates more than 45 branding concepts, is the most comprehensive and inclusive model INTRA-PERSONAL in the marketplace. This book also outlines and discusses, based on empirical research, how these various branding concepts are related to Rational vs. Emotional each other and how they can be measured and managed.

Figure 18. Brand relationship wheel

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Rational component: the share of mind The rational component of brand relationships considers what consumers know and think about brands, which is referred to in this book as the share of mind that your brand occupies in the mind of consumers. In the model, it relates to different levels (high vs. low) brand awareness. Here, the fundamental insight is that if the consumer is not aware of your brand, it is unlikely for any feelings about your brand to be formed. Of course, in that case, consumers might use other clues, such as the country of origin of your brand name as clue to form an idea or thought about it. However, it is less likely that consumers will form strong emotions, whether positive or negative, on your brand if they are somewhat unaware or unfamiliar with it. The model differentiates between three levels of share of mind, which each can be positive or negative:

TH

■ Brand Awareness. Recalling or recognizing the brand name in a positive or negative way.

■ Brand Familiarity. Being familiar with the nature of the brand and its products and services. This is the next level of share of mind. Again, one can be familiar in a positive or negative way.

■ Brand Experience. The highest level of share of mind is the knowledge a consumer has based on experiences with the product or service. That experience can again, be positive or negative.

Obviously, these concepts are all related to each other, but the first level + describes whether or not a consumer is aware of your brand. In its basic form, brand awareness can be given the rating of low to high.

There are fundamentally two types of brand awareness, one is brand recognition and the second one is brand recall. The next level is brand familiarity, meaning that the consumer has some knowledge (high or low) about your brand, but this does not require that your brand has been purchased by the consumer. The highest level of share of mind is – the brand experience, referring to occasions in which consumers have experienced your brand in distinctive way, whether positive or negative.

Figure 19. Rational component

IN

52

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d s an es Br ren a Aw

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The Brand Relationship Playbook

Model overview

+

d ty an r i Br l ia i m d e Fa an nc Br er ie p

d s an es Br ren a

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Share of Mind Rational Component

+

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B Ind rand ifer enc e Bra Dis nd like Bra n Hat d e

Y

Pr Com i v a t e plai ning

Soc i Com al Med i pla inin a g P Com ublic pla inin g

Brand Image

TH

nd Bra ction a f atis

nd Bra t s u Tr nd Bra e Lov

– [1] Incl. Brand Rejection, Brand Detachment, Brand Divorce [2] Incl. Brand Liking, Brand Commintment, Brand Intimacy, Brand Passion, Brand Admiration, Brand Romance, Brand Devotion [3] Incl. Brand Recall, Brand Recognition [4] Incl. Brand Defense, Brand Ambassador (internal and external)

+

nd t Bra men ach

Brand Equity Brand Identity

Att

DO

Share of Wallet Transactional Component

’s nd Bra t ime e Lif nd Braalty &ity n Loymmu Co

–

SA

Share of Voice Communication Component

–

B nd Sa rand Bra lism bo e g tag n Bra e Eva cy nd oca v d & R A e R e d v s n eta e Bra Defen liat nge & ion B r e Avoid and itiv Pos M S w i t a n c e & chi WO ng

–

Share of Heart Emotional Component

+

[5] Incl. Brand Cult, Brand Tribalism [6] Incl. Brand Values, Brand Elements, Brand Positioning, Brand Personality

The Brand Relationship Playbook

Figure 24. The Brand Relationship Wheel

59

Brand Relationship Concepts The Brand Relationship Playbook 63

SHARE OF HEART

The Brand Relationship Playbook 64

Brand Trust An ACCENTURE study has tied $180 billion in revenue losses to declines in trust across 54% of companiesix

The process by which an individual attributes a trust to the brand is based on the experience and satisfaction with that brand. Brand trust is a central construct of any long-term relationship and long term loyalty x

The Brand Relationship Playbook 71

What is brand trust?

Brand trust is the perception that the brand is reliable and acts responsibly in relation to consumers’ interests and welfare. A positive brand experience often results in high brand satisfaction which has been identified as important antecedes of brand trust. The most notable outcomes of brand trust are brand love and brand loyalty. Brand trust consists of two main components: one relates to connection or personal trust, which is built on honesty, fairness, and benevolence. The second component is related to competence or professional trust, which in turn is built on reliability, credibility, and expertise with the product and service (Delgado-Ballester and Munuera-Alemán, 2001, Chaudhuri and Holbrook, 2001; Delgado-Ballester et al., 2003).

How can it be measured?

It can be measured with a single item or with multiple items, depending on the degree of information needed.

All statements are measured on a five-point Likert scale.

■ Single-item scale: How much do you trust brand X? ■ Multiple-item scale for personal trust (connection): ᴏ (1) The employees of brand X are honest, fair, and trustworthy. (2) Brand X gives me confidence and certainty in the consumption of its product or service. (3) Brand X is honest and sincere.

■ Multiple-item scale for professional trust (competence): ᴏ (1) The products and services that brand X provides are reliable and of high quality. (2) I can rely on brand X. (3) Brand X is competent.

How can it be managed?

Brand trust is an important driver of brand love and brand loyalty, so it is important to manage it carefully.

It takes a lot of time and energy to build trust with consumers, but it can be lost very quickly. To build trust, companies need to communicate with consumers in an authentic way, establish friendship with them, solicit and value their feedback, and offer great products and services. They must have excellent customer service, embrace transparency, and provide overall value to consumers.

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Brand trust map

er

h ig

CONNECTION (Personal Trust)

H

nd

a Br

t er w rus o L dT an Br

COMPETENCE (Professional Trust)

st

u Tr

The most recent PricewaterhouseCoopers (PwC) Global Consumer Insights Survey (2019) shows employee and consumer experience are key to establishing trust. Use this framework if you want to assess where you and your competitor stand in terms of brand trust. The brand trust map has two main dimensions, namely, personal trust or connection with your brand and professional trust or competence of your brand.

One dimension relates to the connection between the consumer and the brand. The goal is to achieve a relationship of personal trust where your employees play a pivot role as they act as your brand ambassadors.

The second dimension relates to competence or credibility. The goal is establishing a relationship of professional trust by providing reliable and credible products or services to consumers. The highest level of brand trust is achieved when both, personal and professional trust are established with the consumer.

Figure 27. Brand trust map

Suggested reading: PWC Global Consumer Insights Survey (2019).

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How to use the brand trust map Step one, ask respondents to what extent they trust your brand or employees (personal trust) and the associated products and services (professional trust) provided by your brand and your competitors brand.

Using the simplified scale, you can ask the following questions: To what extend do you agree or disagree with the following statements: Strongly disagree

Somewhat disagree

Neither agree nor disagree

Somewhat agree

Strongly agree

Don't know

Brand X is honest, fair, sincere, and trustworthy

О

О

О

О

О

О

Products and services from brand X are reliable and of high quality

О

О

О

О

О

О

Step two, calculate the average values for each item and plot the graph. Make sure you exclude the don’t know answers. For the axes, the most common way is to use the mean values (3) given that a five-point Likert scale is used for both dimensions. Example: Brand A

Brand B

Brand C

Brand D

Average/Axis

Personal Trust

2.4

4.2

1.4

4.0

3.0

Professional Trust

1.8

2.5

4.8

4.0

3.0

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Brand C

CONNECTION (Personal Trust)

Brand D

Brand B Brand A

COMPETENCE (Professional Trust)

Figure 28. Example brand trust map

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NOTES ON QUALTRICS® Qualtrics® is an experience management company that provides the gold standard of qualitative and quantitative research and surveys. Its subscription software platform is the one “that the world’s most iconic companies use to close experience gaps and deliver breakthrough results. The XM Platform makes it simple for any organization to collect, understand, and take action on experience data (X-data)—the beliefs, emotions, and sentiments of customers and employees.”

How to create an account and log in A detailed step by step guide is provided on their company website www.Qualtrics.com or click on this link here.

How to import a survey into Qualtrics® Download the survey from this book onto your laptop or PC/Mac by visiting the book website here.

Once you have downloaded the survey, follow the detailed step-by-step guide how to upload a survey on Qualtrics® here.

More information on Qualtrics® There are various e-books and documents provided by Qualtrics® that contain excellent additional information on how to work with it. Some of these can be accessed here or here.

The Brand Relationship Playbook 155

REFERENCES Aaker, D. A. (1996). Building strong brands, Simon & Schuster UK Ltd. Aaker, D. A. (2009). Managing brand equity. Simon and Schuster.

Aaker, J. L. (1997). Dimensions of Brand Personality. Journal of Marketing Research, 34(3), 347-356.

Amine, A. (1998). Consumers’ true brand loyalty: the central role of commitment. Journal of Strategic Marketing, 6(4), 305-319.

Baker, W., Hutchinson, J., Moore, D., & Nedungadi, P. (1986). Brand Familiarity and advertising: effects on the evoked set and brand preference. ACR North American Advances.

Barker, R., Peacock, J., & Fetscherin, M. (2015). The power of Brand Love. International Journal of Market Research, 57(5), 669-672.

Becerra, P. E., & Badrinarayanan, V. (2013). The influence of Brand Trust and brand identification on Brand Evangelism. Journal of Product and Brand Management, 22(5/6), 371-383.

Berger, P. D., & Nasr, N. I. (1998). Customer lifetime value: Marketing models and applications. Journal of Interactive Marketing, 12(1), 17-30.

Berger, P. D., Eechambadi, N., George, M., Lehmann, D. R., Rizley, R., & Venkatesan, R. (2006). From customer lifetime value to shareholder value: Theory, empirical evidence, and issues for future research. Journal of Service Research, 9(2), 156-167.

Brakus, J. J., Schmitt, B. H., & Zarantonello, L. (2009). Brand experience.: what is it? How is it measured? Does it affect loyalty?. Journal of Marketing, 73(3), 52-68.

Brodie, R. J., Ilic, A., Juric, B., & Hollebeek, L. (2013). Consumer engagement in a virtual Brand Community: An exploratory analysis. Journal of Business Research, 66(1), 105-114.

The Brand Relationship Playbook 159

AUTHOR

Marc Fetscherin is Professor of Marketing in the Department of Business (AACSB accredited) of Rollins College, Orlando, Florida, where he holds the Gelbman Family Chair of International Business. His expertise is in marketing, branding, and market research: specifically, he is an expert in corporate branding, place branding, human brands, and brand relationships. His master’s degree is from the University of Lausanne (HEC). He has a diploma in business studies from the London School of Economics (LSE), a PhD from the University of Bern, and was a post-doctoral fellow at Harvard University.

Before his academic career, he was the CEO of Bonfort S.A., a small Swiss luxury company, and a consultant for McKinsey & Company. He has been a visiting professor at the East China University of Science and Technology (China), the Copenhagen Business School (Denmark), Jacobs University (Germany), the University of Fribourg, (Switzerland), the University of Lausanne (Switzerland), the University of Geneva (Switzerland), and the Lucerne University of Applied Sciences and Arts (Switzerland). He was also an adviser to the Swiss Government as a member of the Federal Commission of Consumer Affairs (2012–2013).

His published output includes books, book chapters, and journal articles.

His articles have appeared in Harvard Business Review, Journal of Business

Research, Journal of Advertising Research, International Journal of Market Research, International Marketing Review, European Journal of Marketing, Journal of Consumer Marketing, Journal of Brand Management and Journal of Product and Brand Management among others. His most recent co-edited

books are Consumer Brand Relationships: Theory and Practice (2012), Consumer Brand Relationships: Meaning, Measuring, Managing (2015), and CEO Branding: Theory and Practice (2015).

More information on his website: www.fetscherin.com 165 The Brand Relationship Playbook 165

APPENDIX: QUALTRICS® SURVEY SHARE OF HEART Brand Satisfaction Matrix (1/2): Overall, how satisfied are you with the following brands?

Very dissatisfied

Dissatisfied

Neutral

Satisfied

Very satisfied

Don't know

Brand A

О

О

О

О

О

О

Brand B

О

О

О

О

О

О

Brand Satisfaction Matrix (2/2): On average, how much $ do you spend per week/month/year on the following brands?

0

1-25

26-50

51-75

76-100

> 100

Brand A

О

О

О

О

О

О

Brand B

О

О

О

О

О

О

The Brand Relationship Playbook 166

A brand has a value that goes well beyond the value of products or services offered on the market. It provides consumers something to identify with, relate to, and define themselves against. Establishing a positive and strong relationship with consumers leads to willingness to pay a price premiums, lower churn rates, higher brand loyalty, positive word of mouth, higher consumer lifetime value, higher profit, and ultimately higher total shareholder return. As such, branding is a topic of foremost concern to top executives, managers and anyone else involved with marketing, branding and communications.

Ex

nd Bra ction fa s i t Sa nd Bra t s u r T nd Bra e Lov

Bra n Hat d e

Fa

d ty an r i Br i l ia m d e an nc Br er ie p

d s an es Br ren a

Aw

B Ind rand ifer enc e Bra n d Dis like

Y

SA

Pr Com i v a t e plai ning

Soc i Com al Med i pla inin a g P Com ublic pla inin g

Brand Image

’s nd Bra t ime e Lif nd Braalty &ity n Loymmu Co

Brand Equity

Brand Identity

nd t Bra men ach

Att

The BRAND RELATIONSHIP Playbook presents an overview of the state of the art and science of how consumers feel and think about brands and what they do and say about them. Based on the empathy map, it presents a single, comprehensive, coherent, and B nd easy-to-use-model that integrates more than +45 Sa rand Bra lism bo tag nge B y branding concepts into one. For each concept, a e Eva c r an oca & R d Re Adv se d v one-pager consisting of a brief discussion of what it n eta e Bra Defen liat nge & i o B n is, how it can be measured and managed is provided. r e Avoid and itiv Pos M S w i t a n c e Many are complemented with hands on examples & chi WO ng and useful additional tools such as the Brand Trust DO Map, Brand Promoter Matrix, Brand Love Pyramid, or Brand Complaint Matrix. At the end of the book, useful references and a compilation of all survey questions, including a link to the QSF file which can be imported TH IN EL K FE directly into QualtricsÂŽ, are provided.

For more information, visit www.brandrelationshipbook.com