26. The value of brands: Measuring brand equity and the economy of meta-luxury

We have seen the market transition over the past 40 years, from the “Age of Identity, the “Age of Value”, to the “Age of Experience”, and now fast approach the “Age of You”. Brands – and indeed their creation and management – have evolved exponentially over that time but one vital constant that continues to hold true is the brand as a powerful business asset and value creator.This paper examines brand value and brand value management for luxury and meta-luxury brands. We explain the role of brand as it applies across different sectors and why it is markedly higher in luxury. With examples from some of the leading brands in our annual study of the Best Global Brands, we explore in greater depth what brand value management in The Age of You means for luxury and meta-luxury brand owners. How important is the role of brand for luxury brands compared to other categories and how do you measure the role of brand? What differences are existing related to the role of brand between the different luxury brands?How big is the contribution of the symbolic benefit of luxury brands compared to their functional benefit and how do you measure this? What significant differences do exist related to the factors of brand strength of luxury brands compared to the average of all categories? How do you build the ranking of the best global luxury brands and what is the result of the actual ranking and the development of brand equity of the luxury brands compared to the average development of all categories? Which essential conclusions could be drawn for the management of brand equity for luxury brands (implications for management of brand equity)?