The Brand Value Chain

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The Brand Value Chain

The Brand Value Chain (BVC) is a structural method to assess the sources and outcomes of a brand’s equity and the manner by which marketing activities create brand value. It provides insights to support the various decision makers in the company and stresses that every member of the company contribute to this branding effort. It believes that the value of rand ultimately resides with customers.

There are steps with the value creation process.

  1. Firm invests in a marketing program targeting actual or potential customers
  2. The associated marketing activity then affects the customer mind-set –what the customers know and feel about the brand.
  3. This produces the brand’s performance in the marketplace – how much and when customers purchase, the price that they pay and so forth.
  4. The investors considers this market performance and other factors to arrive at an assessment of shareholder value in general and a value of the brand. 

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