StatBrand Strategy
Strong brand building triples the odds of a big drop in price sensitivity
% of cases reporting very large reduction in price sensitivity
0 branding effects3.8%
4+ branding effects11.7%
In 559 IPA Effectiveness Awards cases (2000-2022), campaigns reporting 4+ very large branding effects were the most likely to report a very large reduction in price sensitivity: 11.7%, against 3.8% for campaigns with no very large branding effects.
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StatPricing power kicks in only once brand building clears a thresholdStatThe more a campaign builds the brand, the more likely it is to lift profit sharplyPrincipleBrand building protects price by giving people a reason to buy that isn't priceCaseFairy Liquid invested through the recession and came out with a wider price premiumWarningTreating a premium brand as a cash cow in a recession gives up its pricing power