Brand Vulnerability Overview
What is Brand Vulnerability?
Brand Vulnerability is a measure of a brand’s level of risk for increased customer attrition, decreased acquisition effectiveness, and the associated financial loss based on an analysis of the frequency, impact, and uniqueness of the frustrations their current customers experience.
How does understanding Brand Vulnerability drive value?
Brand Vulnerability is a very powerful tool for businesses looking for actionable brand / marketing insights into their brand’s current risks and competitors key vulnerabilities. It is uniquely valuable in that it:
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1.Identifies immediate competitive vulnerabilities on which a brand / business can capitalize, particularly as a challenger brand
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2.Enables quantification of the impact of the vulnerabilities in financial terms, articulating what the business risk will be if these vulnerabilities are not addressed
Ultimately, understanding Brand Vulnerability enables brands to mitigate competitive risk and the likelihood of customer attrition immediately and efficiently by helping to prioritize resources to address their specific areas of vulnerabilities.