Building brand equity
A Skoda case study

Page 1: Introduction

Skoda 3 Image 1 Deciding to buy a certain product involves choosing between the many alternatives in the marketplace. Such decisions are rarely easy, as in most markets, there are many different brands, each representing a range of meanings and values. A successful brand is familiar to consumers and inspires them with confidence, making them aware of the brand and its associated products. Ultimately, a truly successful brand will encourage the consumer to buy the products and become loyal to the brand.

A brand comprises a range of features which identifies its products in a way which differentiates them from others. These features may be a name, logo, term, symbol or other creative element. The motor industry is an area where branding is particularly strong. Global awareness of the three pointed star of Mercedes-Benz is second only to the Coca-Cola brand. Recent research in the motor industry claims that some of the best-known brands can probably attribute at least half their worth to the brand. The worth attributed to a brand is known as brand equity. Brands with power and value in the marketplace are often said to have high brand equity.

This case study focuses on the turn-around in the fortunes of a well-known motor manufacturer - Skoda. It examines how Skoda has increased its brand equity through changing its image.

Skoda | Building brand equity

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