People Innovation Excellence

Apple, Fruit or …? : Brand Loyalty – Brand Equity (Final)

By: Aryo Bismo, SE, MM (Faculty Member of International Marketing)

After made several article relating to Apple and it’s branding, now it’s time to reveal what is the essence information from the articles. A little reminder about my writings, there are three articles that discussed brand awareness, brand perceived quality and brand association, from this three components, is there any missing component? Yes, exactly, the brand loyalty, actually the brand loyalty will comes up after the three components (awareness, quality and association) applied on a product; brand loyalty is the effect from these components. Now the pattern has shown, the four components that I wrote are actually the components to build the brand equity.

Furthermore, brand Loyalty is the big one, the most valued component of brand equity.  Loyalty is the foundation of the Lifetime Value (LTV) marketing concept.  Loyal customers increase profitability (awareness) and reduce consumer acquisition costs (time/effort). For example: a customer who already believes on Apple product will not move to other product, this customer is a valuable customer for Apple, why? Because this type of customer is less reluctant regarding to the price of the product, they will buy any kind of products that produced by Apple and become a loyalist for Apple, another example a diehard loyalist from Apple are willing to wait for hours only for waiting the release of a new product and bought it in a ridiculous price for a Smartphone.

To sum up, the brand equity are really important for a brand it builds from the four components, awareness, association, perceived quality and loyalty, the brand equity refers to a value premium that a company generates from a product with a recognizable name, when compared to a generic equivalent. Companies can create brand equity for their products by making them memorable, easily recognizable, and superior in quality and reliability. Apple is one product that can build a great brand equity for its product, nevertheless Apple is the great example how a product can be a very expensive and famous all over the world because of the brand, well done Steve!


– Aaker, David A. (1991), Managing Brand Equity. New York: The Free Press


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