Brand value metrics abound. Several consulting and branding firms purport to measure brand value. I have written my opinion on those before. Many marketers attempt to persuade their boss that increased brand awareness equals increased revenue. Not true. Meanwhile many, including me, exhort marketers to measure what matters.
Well just maybe we finally have a brand metric that actually matters.
In a widely reported study, “After years of preparation and 18 month of research, the Marketing Accountability Standards Board believes it has a way to measure brand value and predict movements in market share.”
The MASB developed a Brand Choice metric that appears to positively correlate to increased market share. The question used for the metric is very clever and exceedingly simple. In my opinion these are two characteristics that often lead to positive outcomes: People were asked the question which among several competing brands in a category they would select if they were winners of a prize drawing. Movement in the answers correlated to movement in market share at 0.88.
This to me is huge. Not dissimilar to Fred Reichheld’s Ultimate Question, which also correlated the response to a single question to future growth.
Finally a metric that matters for brand-based companies.