Brand Asset Valuator

Brand Asset Valuator (BAV) is a metric applied for the measurement of brand value of an entity. Brand Asset Valuator was developed by an agency called “Young and Rubicam”. BAV measures a brand under the 2 broad heads of:
1. Brand Vitality which refers to the current and future growth potential that a brand holds in it.
2. Brand Stature which refers to the power of a brand.

Both of these heads can be further divided to have the following parameters for judging the brand-

  • 1. Differentiation:It is the ability of a brand to stand apart from its competitors. Differentiation has three constituents to it. These are
    • Different-refers to how do the brand’s offering differs from its rivals.
    • Unique- refers to the brand’s quality and carries the essence of its existence. It has more to do with the credibility, authenticity and originality of the idea that the brand carries.
    • Distinctive-refers to the worthiness of a brand.
  • 2. Relevance: This refers to how closely can the consumers relate to the brand’s offering and is a significant driver for a brand’s penetration.
  • 3. Esteem: This refers to the consumer perception about the brand. Whether a brand is popular or not, whether it delivers on its stated promises- all this contribute in building up the esteem of the brand.
  • 4. Knowledge: This refers to the degree of awareness about a brand in the minds of its consumers. This is very important in building a brand and making the consumers understand of what the brand actually stands for and its implicit message to the consumers.[1]

Brand Asset Valuator
source: Value Based Management

One of the most important key factors to consider in analyzing any brand value is about its consumer awareness. When you examine a product, you go through all aspects of how it’s made in the factory whereas the brand is how it’s bought by the customer; a product is something which can be easily copied by its competitor, a brand holds a unique position into the heart and minds of its consumers. A product can easily get faded however, a brand is everlasting. The BAV also helps to evaluate where a brand stands and how to cope up with other competitors in order to formulate different strategies accordingly. The BAV is considered to be a helpful tool to determine the brand’s relationship with its company, the consumer group and the demographic segments that reverberates at its best with the brand and the celebrity who’s ideal for endorsing the brand. The BAV constructs a Power Grid that’s plotted as Emerging Brands, Power/Unrealized Potential of a Brand, New/fading brands and Eroding brands. On the vertical axis, the Brand strength is plotted i.e. Differentiation and relevance. On the horizontal axis, Brand stature is plotted i.e. Esteem and knowledge. The Power Grid helps out in differentiating a brand’s strength and weaknesses, it predicts the growth prospects of a brand as whether it’s able to establish itself successfully in the market or erosion may cause the brand to lose its mark.[2]

See Also


  1. What is Brand Asset Valuator? MBAskool
  2. Explaining Brand Asset Valuator (BAV) MBA-Tutorials

Further Reading