YES, Only if there is
value in one or more of
the components of
Brand equity is defined as ''the differential effect that
consumer knowledge about a brand has on the
customer's response to marketing activity,'' …
…..and ''consumer brand knowledge can be
characterized in terms of brand awareness and brand
“McDonald’s vision is to be the world’s best quick
service restaurant experience. Being the best means
providing outstanding quality, service, cleanliness,
and value, so that they make every customer in every
• Sales were in decline.
• Market share was shrinking.
• Franchisees were frustrated.
• Employee morale was low.
Customer satisfaction was
What Went Wrong?
• Many things contributed to the decline of the
McDonald’s brand between 1997-2002.
• The brand had been declining slowly,
painfully, and publicly for some time.
• Some of the reasons are:
•Focused on cost reduction
instead of quality growth of the
•Focused on monthly promotions
rather than on brand building.
•Focused on monthly promotional
tactics designed to drive short-
term sales at the expense of
•Focused on increasing outlets
instead of increasing sales.
Rule #1: Refocus the
Brand Purpose and Goals
Rule #2: Restore
• Thorough Knowledge of
the Market Needs-Based
• Market Segmentation
• Customer Insight Brand
Rule #3: Reinvent
Marketing Fair Value
Rules of revitalization By Larry Light
Rule #4: Reinforce a
• Balanced Brand-
Rule #5: Rebuild
Rule #6: Realize
• Plan to Win
Eight Ps: Purpose, Promise,
People, Product, Place,
• Freedom Within a