Consumers tend to stick to regimens when making purchases. Once satisfied, they remain loyal to a certain product or service, although they might stray from time to time.
Consumer loyalty is based on, or goes on to create, brand power, which is representative of the quality, credibility and reputation of the product and ultimately the company.
Once a certain brand is continually preferred and consumed, the company seizes a dominant position in the market.
Brand equity is the commercial value of consumers’ perceptions and feelings about the brand name of a product or service, including the bad experiences.
Such power is why businesses dedicate sizable investments and a great deal of time to the marketing and promotion of their brands.
Rick Wise, the CEO of renowned brand consulting firm Lippincott, said in an interview with a South Korean media outlet in June that brands must now step beyond having a functional value and focus on making an emotional connection with consumers. They must provide a wider range of experiences in the new market environment to meet the needs of fast-changing consumers such as millennials.
Indeed, in the digital age, the younger generation tends to lean toward brands based on how well they fit in with its lifestyle and values. Companies have to be chicer when designing their application icons, decorating their Instagram walls and churning out YouTube content.
It is, furthermore, a time when consumers take an active part in the process of building a brand. They share, like and comment, meaning they have to create emotional connections together.
At this time of intricate marketing, calling for efforts that go well beyond making good products, those that have achieved brand growth should get due recognition.
Every year since 1994, The Korea Herald has released a list of the best-loved brands to acknowledge their market presence. Through fair selection of brands that are representative of Korea by category, this annual feature has helped improve the image of companies.