Using brand funnel data to assess your brand’s health

Posted on Posted in How to Guide for Marketers

brand funnelA classic brand funnel would measure awareness, familiar, consider, purchase, repeat and loyal. They tell you where you are now, and when analyzed with intelligence, they can provide hints as to  where you can go next.

Brand Funnels can help you determine where your brand sits on the Brand Love CurveI created the brand love curve, which outlines how consumers move through five stages: unknown, indifferent, like it, love it, and onto the beloved brand status. 

Indifferent brands have very skinny brand funnels with low awareness, low purchase and negligible repeat and loyalty. Brands that are liked but not loved, have high awareness and sales, without an emotional connection, they almost have no loyalty.

And finally, at the beloved brands had the most robust brand funnels, with strong awareness, purchase, repeat and loyalty scores. 

How to use brand funnels to determine brand health

At the very least, you should be measuring Awareness, Purchase and Loyalty rates.  While sales, share and profits are the obvious measurements of a brand, they are easy to see but are the end result.

How to analyze your brand using Brand Funnels

Every brand should understand the details of their Brand Funnel, knowing what is causing any strength, weakness, changes versus last year or gaps versus competitors. A classic brand funnel should measure awareness, familiar, consider, purchase, repeat and loyal. At the very least, you should be measuring awareness, purchase and repeat. It is not just about driving particular numbers on the funnel, but moving consumers from one stage of the funnel to the next. How to determine your brand’s health using brand funnels

The first thing to do is look at the absolute brand funnel scores (A), comparing them to last year, to competitors or versus category norms. Then look at the brand funnel ratios (B), finding the percent your brand is able to convert from one stage of the funnel to the next. To create the ratios, divide the absolute number by the number above it on the funnel. In the example, take the familiar score of 87% and divide it by the awareness score of 93% to determine the conversion ratio of 91%. That means 91% of those who are aware become familiar.

Breaking down the Brand Funnel ratios

The brand funnel becomes more powerful when you start looking at the ratios.

How to determine your brand’s health using brand funnels

The first thing to do is lay out the ratios scores (C) of your brand versus your nearest competitor. Then, find ratio gaps (D) by subtracting the competitor’s ratio scores from your brand’s ratio scores. In the example, the first ratio moving from aware to familiar would create a -7% ratio gap (91% – 97%) which means your brand trails your competitor by 7%. You will start to see where your ratio will either be stronger or weaker than the comparison brand. Finally, you should start analyzing the difference (E) between the two brands and tell a strategic story to explain each gap. Looking at the example, you can see Gray’s and Dad’s have similar scores at the top part of the funnel, but Gray’s starts to show real weakness (-23% and -51% gap) as it moves to repeat and loyalty. This creates a gap you need to fix through your Brand Plan.

How to determine your brand’s health using brand funnels

Putting meaning to the Brand Funnel results

The brand funnel data explains where your brand sits on the Brand Love Curve. Indifferent brands have skinny funnels throughout. Your plan for indifferent brands should fuel awareness and consideration to kick-start the funnel. For Like It brands, the brand funnels are solid at the top but quickly narrow at the purchase stage. These brands need tools to close potential leaks and trigger consumers at the purchase moment. Love It stage brands have a fairly robust funnel, but may have a smaller leak at loyal. The plan should continue to feed the love and turn repeat into a routine. The most beloved brands have robust brand funnels. These brands should continuously track their funnel and attack weakness before exploited by competitors.

How to determine your brand’s health using brand funnels

How tightly connected is your consumer to your brand?

Consumer strategy has to work to tighten the bond with consumers and establish a core group of brand lovers. Where the brand sits on the Brand Love Curve can really impact the strategic focus for the brand. All brands start at the Unknown stage, before they are launched. Brands at the Indifferent stage act like commodity products without any connection to consumers, They have little awareness. Consumers see them as basic products and have no real opinion about these brands. Brands at the Like It stage have carved out a rational point of difference in the consumers mind to help generate solid aided awareness but they are yet to translate that product success into a consumer routine. Brands that reach the Love It stage are very successful brands with strong awareness, market share and repeat purchase. They have generated an emotional bond with a select target that has led to a growing base of brand fans. Finally, at the Beloved stage, the brand becomes iconic and highly regarded by consumers. Consumers become brand lovers, similar in feelings to what we see with fans of sports teams or celebrities. They are outspoken, possessive and will defend the brand at any point.

how to create a beloved brand

Use brand funnels to track and manage the health of your brand

To read more about how the love for a brand creates more power and profits:

 

 

You will find this type of thinking in my book, Beloved Brands.

Beloved Brands Book

I wrote my book, Beloved Brands, as the playbook for how to build a brand your consumers will love.

Beloved Brands has everything you need to run your brand. You will learn how to think strategically, define your brand with a positioning statement and a brand idea, write a marketing plan everyone can follow, inspire smart and creative marketing execution and analyze the performance of your brand through a deep-dive business review.

  • How to think strategically
  • Write a brand positioning statement
  • Come up with a brand idea
  • Write a brand plan everyone can follow
  • Write an inspiring creative brief
  • Make decisions on marketing execution
  • Conduct a deep-dive business review
  • Learn finance 101 for marketers

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We have the paperback and e-book version on Amazon. Click here to order: https://lnkd.in/eF-mYPe  

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If you use Kobo, you can find Beloved Brands in over 30 markets using this link: https://lnkd.in/g7SzEh4

At Beloved Brands, we help build brands that consumers love and we make brand leaders smarter.

🎈Help create a brand positioning statement that motivates consumers to buy, and gives your brand an ownable competitive advantage.

🎈 Build a marketing plan that forces smart focused decisions to help organize, steer, and inspire your team towards higher growth

🎈Align your marketing execution behind a brand idea that tightens our bond with consumers and moves them through their buying journey

🎈Use a deep-dive 360-degree assessment of your brand’s performance to trigger richer thinking before you write your brand plan

🎈Our brand training program will help realize the full potential of your brand leaders, so they are ready to grow your brand.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

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You have my personal promise to help you solve your brand building challenges. Above all, I will give you new thinking, so you can unlock future growth for your brand.

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

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