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  • Titill er á ensku Building Strong Energy Brands: Energy Brand Valuation Criteria to Enhance Understanding of the Foundations of Energy Brand Value
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  • Útdráttur er á ensku

    Following the liberalization of energy markets around the world for the past twenty years, energy suppliers that used to operate in monopoly are facing the challenges of the free market. There has been a world wide trend for the past few years in favor of market oriented reforms which have forced energy companies to increase their marketing budgets. One of the tools marketing managers have at their disposal for marketing efforts is branding. In recent years brands have become one of the biggest company assets for many firms, making it even more important for companies and brand owners to understand their brands’ values and the sources of brand value and brand equity for their brands.
    In order to be able to build a strong energy brand it is important to understand what elements of energy suppliers lead to an increased brand value. In this research the object has been to identify these elements and find out where energy brand value derives from and what elements form the foundation of a strong energy brand.
    Findings were reached through two different methods, one was literature analysis and benchmarking of brand valuation methods frequently used in other sectors to conclude on valuation factors for the brand valuation. And the other method was a research among consumers to identify elements of importance to consumers regarding energy suppliers. Findings were then used to create energy brand valuation criteria based on three pillars, consumer perception, specialist valuation on brand differentiation and company market performance.
    Results of the consumer perception study indicate that energy suppliers should build their image and differentiation on trust and responsible behaviour against both society and the nature to create brand value for their brand. Consumers seem to be somewhat sceptical of companies operating on the newly liberalized energy markets. Further, they should emphasize good service, safe distribution of energy and experience.

  • 3.9.2016

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