Open AccessWhat is your corporate brand worth? A guide to brand valuation approaches
Author(s) -
Johan P. Reyneke,
Russell Abratt,
Geoff Bick
Publication year - 2014
Publication title -
south african journal of business management
Language(s) - English
Resource type - Journals
eISSN - 2078-5976
pISSN - 2078-5585
DOI - 10.4102/sajbm.v45i4.136
Subject(s) - valuation (finance) , yardstick , brand equity , marketing , brand management , business , corporate branding , ranking (information retrieval) , advertising , accounting , computer science , mathematics , geometry , machine learning
Brand league tables are becoming very popular as a reflection of the performance of an organisation. Stakeholders also view the ranking of brands as an important yardstick when forming a brand image. This article reviews the available approaches to brand valuation. The research followed a case study methodology. The case site that was used for this study was The South African Gold Coin Exchange. The main objective of this study was to calculate the value of the corporate brand of one company using different methods. The aim was to show that the value of the brand is highly dependent on the method used. In total twelve senior managers and directors were interviewed. It then calculates the value of the South African Gold Coin Exchange Brand using a number of different models. There is a different result under each approach. It has been established that different models are more appropriate than others depending on the manager's valuation objectives. This research is a single case study and therefore future research should have an increased sample size and be a cross industry study. Managers are often confronted with the problem of deciding which valuation method to use as there are many alternative approaches. We provide guidance for managers who want to perform a brand valuation of their organisation.