Back
~
2
min read
· Posted on
February 21, 2024

Pfizer’s brand strength is soaring - which means hello brand equity

Thanks to saving lives with its Covid vaccine, Pfizer's become a household name. And that's good for business.

What's the key learning?

  • A new brand report that measures the world's 100 biggest companies by the strength of their brand shows Pfizer's brand strength has improved
  • Having a strong brand is key to building brand equity - the value premium that a company gets from being trusted and well-known
  • It means brands can charge more, or trigger more purchases, for their products over generic brands.

Background: Pfizer is the pharmaceutical worth a whopping $353 billion. It makes it squillions by developing, manufacturing and selling a broad range of bio-pharma products.

What happened: It's the company behind Advil, Viagra, Xanax, the EpiPen... And now, thanks to its Comirnaty (COVID) vaccine, Pfizer has become a household name.

What else: According to a new brand report that measures the world's 100 biggest companies by the strength of their brand, Pfizer's jumped 15 places on the ranking to sit at #30. And this calls for a big celebration for Pfizer's brand equity.

So what's the key learning?

Brand equity is the premium that a company gets from being trusted and well-known. In other words, when a brand has positive brand equity, it can charge customers more for a product than a generic competitor.

Think Nike, Apple and Tesla. There are competitors with similar products at a lower price point. But we still choose them. For the premium-feel, the prestige, the social proof.

And generally, brands with higher brand equity don't actually spend that much more than brands with lower brand equity. Which means much greater margins.

Ready to win at money?

Sign up for Flux and join 100,000 members of the Flux family

A button to App StoreGoogle Play store button
Excellent  4.9 out of 5
Star rating