Literature for the business leader published by SchmidPreissler International Strategy Consultants, The Lion’s House, D-83703 Gmund am Tegernsee,,




SchmidPreissler Brand Equity+Performance©  Programm


Issue: 08/200

Next Issue: Week 36/2007



Excerpt of further issues topics: Brand Equity and Brand Strategy, Brand Equity and Brand Diffusion, Brand Equity and Company Success, Brand Equity and Sales and Acquisition of Brands or Companies, Brand Equity and Marketing Investment





More about the Program (english | deutsch)


Zur deutschen Fassung wechseln



Brands as “Guarantor for the Future” of Entrepreneurial Success

Hardly anyone doubts this anymore: Brands are often the factor that decides success or failure of corporate results. With the increasing similarity of products and comparable qualities due to technical production options, brands offer differentiation in competition. For the consumer they provide orientation and for companies - internally as well as externally - they create identification

Brands are valuable because they contribute considerably to an increase of the company value through creating recognizability, distinguishability and loyalty with the customer.

However, the significance of the brand goes beyond the psychological perspective: It represents a monetary value which can secure survival for companies during economically tough times. Strong brands offer perspectives to brands, because brands are the guarantor for what people are looking for increasingly, namely security, orientation and a form of expression that emphasizes their own individual personality.

Especially now, during times of positive employment trends and business trends, we can see that even the domestic demand is noting a distinct ascending motion and that anti-consumerism is not prevailing, as had been postulated in many cases through businesses and politics. And as newer studies have shown, the “greed is good” mentality has passed and especially brand companies profit from consumer confidence. The modern consumer requires respect. We need to show that we are dealing with enlightened consumers who form a knowledge society and as such reach decisions in a very confident and independent way.

People do not need a know-all manner or predefined consumption patterns. Never before was there a time where consumers were surer about what they want and do not want. What they want is clarity and dependability. All of this is offered by the brand whose background is the 7-elements-definition (Origin, history, profile, positioning, image, awareness and protection).

To a considerable degree, brands possess the ability to accelerate and expand the potential for the creation of value for businesses. As a consequence, brands could be very interesting to banks as security. For instance, studies have shown that consumers react more strongly to strong brand images when it comes to product introduction and thus accelerate future cash flow via turnover. Or let us take a look at vertical distribution. Many of the international and global brands achieve a considerable percentage figure of their turnover via point-of-sale, where brands can optimally unfold their auras. Not to mention that it is many times easier to ‘conquer’ geographic markets with brands instead of No Name or Me-Too labels.

While brand equity has been accepted as currency for the substance of a company for ages in Anglo-Saxon countries, German businesses are just now slowly discovering that brands are not merely an idealistic superstructure for products. Most likely one of the reasons being that brands, despite the accepted significance for a business, are often seen as more or less a psychological phenomenon, consisting of a series of more or less exactly defined factors.

To change this is the task of those responsible for brands. 



We serve leaders in industry, trade and investment companies with their most demanding projects. Worldwide.


Brand Equity


Brand Performance


Brand Equity Oriented
Brand Strategy


Brand Ownership


Brand Assessment Program


Brand Balancing


Brand Equity Oriented Mindset and Conduct


Brand Investment


SchmidPreissler – The avant-garde of strategy consultants.



Editor: Dipl. Vw. Christina Schmid-Preissler - Assistant Editor: Regina Seago

Copyright © 2005 SchmidPreissler Strategy Consultants. All rights reserved.

© 2005 SchmidPreissler