Steps on the Path to Loyalty: An Assessment of ENERGY STAR® Brand Equity Indicators

Monica Nevius, Consortium for Energy Efficiency

Keywords

Abstract

As a key tool of energy efficiency market transformation efforts, it is important to understand how the ENERGY STAR® label is performing over time. CEE and the sponsors of the ENERGY STAR surveys have long recognized the possibility that the cumulative effects of efforts to publicize the label might result in new challenges to tracking label performance and
monitoring the results of program administrators’ publicity efforts. They have also recognized that the survey could do a better job of measuring brand equity. This paper identifies and reviews existing indicators of ENERGY STAR label performance and value; explains the thinking behind new questions designed to measure brand equity that were added to the 2005 survey; assesses these questions for their potential as indicators; and offers suggestions for consideration in the design of the next ENERGY STAR survey. The results show that good indicators are already in place for measuring label awareness, understanding, and differentiation, though only in the latter indicator is there much room for growth. The paper identifies some of the more promising attitudinal indicators of consumer feelings about the brand, loyalty, and perceived value of labeled products, and identifies an approach to improve the direct measure of loyalty.