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Walmart Customer Based Brand Equity

In: Business and Management

Submitted By erinmelanie23
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Customer Based Brand Equity – Wal-Mart
Class Discussion

Wal-Mart is a transnational mega corporation operating in 27 countries with more than 11 000 stores. In Canada alone, Wal-Mart operates 396 retail outlets quite an impressive number considering they have only been operating in Canada for just over 20 years.

Wal-Mart in terms of Brand Equity is quite a contradiction. They continue to lose overall brand value and yet are still the most valuable brand in North America and are ranked in the top 20 brands based on brand value globally. Wal-Mart is a love it or hate it brand. Despite its value, it has nearly as many detractors and is it supporters of the brand.

Class Demo
Raise your hand if you have heard of Wal-Mart before I started talking today?
Raise your hand if you have ever been inside a Wal-Mart?
Raise your hand if you have ever purchased anything at all in Wal-Mart?
Now, how many of you dislike Wal-Mart?

As you can see from this little demonstration, even though we all know and have been in a Wal-Mart we do not necessarily look favorably upon Wal-Mart. This leads me to the first part of Keller’s Model of Customer Based Brand Equity; Brand Salience.

Brand Salience:

Wal-Mart is brand salient in the fact that as we can see people are very aware and very familiar with the brand. It is part of a lot of people’s consideration sets when shopping and it is seen as value for money. Where Wal-Mart struggles the most in terms of brand salience is with brand loyalty (value shoppers will go where they get the best deal whether it is Wal-Mart or another retail outlet). Another area Wal-Mart struggles in terms of brand salience is with customers believing positive attributes about Wal-Mart. This is because despite its popularity it does have many detractors. Even some who shop at Wal-Mart do so out of necessity and not desire.

Brand…...

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