Aaker views brand equity as a set of five categories of brand assets and liabilities linked to a brand that add to or subtract from the value provided by a product or service to a firm and/or to that firm’s customers.
These categories of brand assets are:
- Brand loyalty
- Brand awareness
- Perceived quality
- Brand associations
- Other proprietary assets such as patents, trademarks, and channel relationships.
According to Aaker, a particularly important concept for building brand equity is brand identity—the unique set of brand associations that represent what the brand stands for and promises to customers.
As per Aaker, brand identity as consisting of 12 dimensions organized around 4 perspectives:
- Brand-as-product (product scope, product attributes, quality/value, uses, users, country of origin)
- Brand-as-organization (organizational attributes, local versus global)
- Brand-as-person (brand personality, brand-customer relationships)
- Brand-as-symbol (visual imagery/metaphors and brand heritage).
Aaker also conceptualizes brand identity as including a core and an extended identity.
The core identity—the central, timeless essence of the brand—is most likely to remain constant as the brand travels to new markets and products.
The extended identity includes various brand identity elements, organized into cohesive and meaningful groups.