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Brand Value Definition

Marketing Definitions

14 Oct 2019 • 1 min read • Austin shong

Brand Value Definition

What is Brand Value?

Brand value definition: brand value is the worth of a brand to the consumer.

Brand value is a subject of much debate in the marketing world, and there are two schools of thought on its true definition:

  1. Financial worth: the monetary value assigned to your brand
  2. Perceived worth: the perceived worth of your brand to a consumer

Let’s quickly look at both.

Financial worth is the market value of your brand. This would be calculated based on current and future sales, as well as your potential for growth.

For example:

Coca-Cola has a financial brand value of around $78 billion.

Perceived worth is how important a consumer feels your brand is to their life, job or social status.

For example:

Many soda drinkers feel Coca-Cola has a higher brand value than Pepsi. (The reverse is also true.)

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