Brand identity and brand image

Problem: How to communicate brand identity/ image?

Learning objectives:

  1. What is the difference between brand identity and brand image?

         2. Compare different brand identity models

         3. How do brand identity and brand image affect business?

1. What is the difference between brand identity and brand image?

According to Argenti (2013, p. 72) “a company’s identity is the actual manifestation of the company’s reality as conveyed through the organization’s name, logo, motto, brands, products, services, buildings, stationery, uniforms, and all other tangible pieces of evidence created by the organization and communicated to all of its various constituencies.

A company’s image on the other hand “is a reflection of an organization’s identity as seen from the viewpoint of its constituencies (Argenti, 2013, p. 73).

Corporate image: Mental picture that pops up at the customer's mind when they hear the name of a. It is a composite psychological impression that continually changes with the firm's circumstances, media coverage, performance, pronouncements, etc. Similar to a firm's reputation or goodwill, it is the public perception of the firm rather than a reflection of its actual state or position. Unlike corporate identity, it is fluid and can change overnight from positive to negative to neutral. 

2. Compare different brand identity models

Brand Identity planning model (Aaker. 1996, p.79)

According to Aaker (1996) a firm should consider its brand as: 1. a product, 2. an organization, 3. a person, and 4. a symbol. The goal of those perspectives is to help to consider different brand elements and patterns that can help clarify, enrich, and differentiate an identity. Not every brand has to use all perspectives, however, it is advisory to consider them all. 

Customer-Based Brand Equity (Keller, K.L. 2013)

Keller suggests in order to build a strong brand, you must shape it how customers think and feel about your product. You have to build the right type of experiences around your brand, so that customers have specific, positive thoughts, feelings, beliefs, opinions, and perceptions about it.

When you have strong brand equity, your customers will buy more from you, they will recommend you to other people, they are more loyal, and you're less likely to lose them to competitors.

The model illustrates the four steps that you need to follow to build strong brand equity.

4- Dimensions of Branding (Gad. 2001)

Functional dimension: Perceived benefit of product or service

Mental dimension: The ability to create insight or guidance for the individual

Spiritual dimension: perception of higher purpose in society, or your industry individually, locally or globally.

Social dimension: The ability to create a social context for a group.

3. How do brand identity and brand image affect business?

- the more confidence customers put in the brand, the more likely they are willing to pay a high price for it --> profit/ sales increase

- can create customer loyalty and satisfaction

- but: a negative brand image can lead to loss of customers

Key words:

brand identity, brand image, customer experience, international branding, emotional bond, brand recognition, reputation

Sources:

Aaker, David. 1996. Building Strong Brands. New York: The Free Press.

Argenti, P. A. 2013. Corporate communication (6th ed.). New York: McGraw-Hill Irwin.

Business dictionary. 2016. Corporate image. URL: http://www.businessdictionary.com/definition/corporate-image.html#ixzz3za0kGz40. Accessed: 8 February 2016

Cornelissen, J. 2011. Corporate communication: A guide to theory and practice (3rd ed.). London: SAGE Publications

Gad, Thomas: 4D Branding: Cracking the Code of the Network Economy, Prentice Hall, 2001

Keller, K. L. 2013. Strategic brand management: Building, measuring, and managing brand equity. Boston: Pearson.


Mindtools. 2016. Keller's Brand Equity Model - Strategy Tools. URL: https://www.mindtools.com/pages/article/keller-brand-equity-model.htm. Accessed 11 February 2016.