Industry Insight: How brand value drives corporate value

Problems facing the Return on Brand Investments

Return on Brand Investment (ROBI) is the ratio of incremental value produced by brand investment divided by the amount of brand investment. Maximizing ROBI requires a brand investor mentality; the days of common-sense marketing have gone. Instead, CMOs must have a risk-reward mentality and proactively mitigate risk and drive revenue if they wish to earn their seat at the table. 

Caring for an investment requires an investor mindset

As challenging as it may be to invest in brand equity, the results of other companies’ successful brand-building efforts are all around us, even if they appear to be tantalizingly out of reach.

Some questions to consider: 

  • What could brand leaders have done to anticipate their crumbling brand equity and revenue?
  • What are today’s winners like Coca-Cola, Starbucks, Amazon, and Apple doing right to maintain their Brand Love advantage?
  • What could they have done to prevent Boredom (where consumers fall out of favor) or Divorce (where customers refuse to spend)?

Unlock your brand potential.

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