Hostess-Twinkies-boxI was recently asked, “what makes a good brand”?

This is a great question and from experience, there are standards of good branding that we need to apply and there are sound business practices that will make a successful business turn into a good brand.

For this post, instead on focusing on what we already know, creative consistency, clear brand message and positioning and differentiation. I decided to focus on what industry leaders, banks, lenders and CEO’s all believe in what makes for a good brand – sales, revenues and profits.


  1. Define brand equity based on the response to marketing activity. If you’ve recently launched a new product and you’ve met your sales forecast as predicted, this is a good indicator of a good brand equity. Purchase requires a level of brand awareness and if you can command a premium price without loss, then revenues will increase, ergo…a good brand. Marketing activity includes the right strategy, pricing, etc, etc.
  2. Customer satisfaction and loyalty. If your percentage of repeat sales increases year after year, membership for your loyalty programs also sees solid growth and customers ask you to do custom work for them, this allows you to maintain your premium price. Again, a factor of a good brand.
  3. Total Revenue Less Marketing Costs. At the end of the year, you need to see increase in revenue due to the marketing activity you’ve planned out for that year. Marketing costs includes the cost to manufacture a product or service.

Some will argue the following factors that I highlight here can not accurately measure brand equity to generate a financial value for any brand. This is because we can’t properly measure consumer’s loyalty for a brand.

Take the story of Twinkies, an american favourite snack. The maker of Twinkies, Hostess filed for bankruptcy in 2012, the result being that Twinkies has grown out of popularity because customers have migrated to healthier foods. Not so!

Just in case some of you missed it, Twinkies returned to the grocery shelves in 2013 after an outcry of nostalgia.

About the Author Cecilia

I am a marketing communications specialist, strategist, problem solver and founder of The Marketing Boutique. I am also a Fitness Nutrition Specialist (FNS), certified by NASM, Diabetes Paraprofessional Level 1 (AADE) and Apprentice Essentrics Trainer!

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