Case Studies


Reputable and recognizable brands are more successful than the less reputable ones. The term brand equity is used to describe how reputable the brand is. In this overview you will get to know more about the brand equity with special focus on brand equity in pharmaceutical business.

What is brand equity?

David Aaker (2012) defined the brand equity as "The set of assets (and liabilities) linked to a brand’s name and symbol that adds to (or subtracts from) the value provided by a product or service to a firm and or that firm’s customers.” The major asset categories are: Brand name awareness, Perceived quality, Brand loyalty, and Brand associations"

HCPs are willing to prescribe a drug with higher brand equity even if they there are other equivalent drugs with lower price. Patients too, order an OTC medicine with higher brand equity even if there are generic equivalents with lower price.

Tylenol by Johnson & Johnson has high brand equity which made it a first line treatment of mild to moderate pain and the first product that come into consumer mind in such case. patients trust Tylenol over generic brands. This helped Tylenol expand its line with other SKUs among them Tylenol Extra Strength, Tylenol Cold and Flu, Tylenol 8 HR Arthritis Pain.

The monetary value of brand:

Brand valuation is the monetary estimate of the worth of the brand from an external perspective often reflecting the market value of the brand. For example, In 2020, Coca-Cola’s brand was valued at 84 billion U.S. dollars.


Aaker, D.A., 2012. Building strong brands. Simon and Schuster.

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