Leveraging brand equity means taking advantage of the value and reputation that your brand has built up over time. Brand equity refers to the intangible value that a brand has beyond its tangible assets, such as its products or services. This value is based on factors such as brand awareness, brand loyalty, and brand associations.
To leverage brand equity, businesses can use their brand’s reputation and recognition to their advantage in marketing and advertising efforts. This can include:
Introducing new products or services under the same brand
By leveraging the existing brand equity, new products or services can benefit from the established reputation and recognition of the brand. That means that new products are better, and more readily accepted by the intended audience, simply because they bear a trusted, and known brand name.
Expanding into new markets or segments
Brands can use their existing equity to enter new markets or segments with a higher level of recognition and trust. It’s not just new products within an established line that will sell better as a result of brand reputation. Also, the brand equity can help a brand expand into related markets with faster and greater success.
Partnering with other brands
Collaborating with other brands that have complementary or similar values can help to further boost brand equity and create new opportunities for growth. When a brand doesn’t have a strong reputation, it can be extremely beneficial to partner with well known brands or influencers in the industry.
Investing in marketing and advertising
Businesses can leverage brand equity by investing in marketing and advertising efforts that reinforce the brand’s value and reputation, and help to reach new audiences. Make yourself and your brand more recognizable through paid advertising. Increased exposure will make your logo and branding more readily recognizable. Organic marketing (such as social media) can help to establish the level of trust that makes customers want to invest with you.