A Taxonomy of Brand Valuation Methodologies: How different types of methodologies can help to answer different types of questions Gabriela Salinas, Global Brand Manager, Deloitte and Tim Ambler, Senior Fellow, London Business School Abstract Brands can be valued using a variety of techniques. Like any tool, each technique may be suitable for some purposes and not for others. This paper classifies the methodologies according to the approach and premises they adopt and suitability for different types of applications. We also indicate flaws in methodologies either in general or for particular purposes. Classification is complicated by specialist firms seeking to differentiate methodologies (“proprietary models”) for their own marketing purposes. Much of this differentiation is little more than re-labeling. The 24 methods of brand valuation, and 52 specialist providers, garnered from the literature represent possibly hundreds of commercial and academic approaches by the multitude of providers around the world. After removing those that do not appear to be used in practice we were left with 18 practical methods which we analyze and classify. This taxonomy is intended as a guide to current and potential users of brand valuation through the jungle that the proliferation of proprietary brand valuation techniques has created. May 14, 2008 Contact:
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[email protected] © 2008 Gabriela Salinas and Tim Ambler A Taxonomy of Brand Valuation Methodologies: How different types of methodologies can help to answer different types of questions Since the 1980s, marketers have been under increasing pressure for “accountability” in two senses: being responsible for the results from marketing activity and reporting those results using the language of finance.