A Study of Danske Banks Brand Equity for Danish Private Customers After the Money Laundry Case.

Maria Lilienthal Heitmann & Emilie Lykke Andersen

Student thesis: Master thesis

Abstract

This thesis will investigate the Brand Equity of Danske Bank. The Brand Equity is, in this thesis, defined and used as a term, which is the added value that the brand of Danske Bank seems to contribute by the customers. This definition of the term Brand Equity involves a lot of underlying variables, which are affected by several brand associations. These brand associations are for example perceived product and service quality, differentiation, price as well as trust and trustworthiness. The main focus of this thesis is to explore and measure these brand associations in relation to the private customers of Danske Bank. This is interesting to investigate, as the amount of private customers in Danske Bank has been falling since Berlingske revealed that the Estonian branch of the bank was involved in a money laundering case. How does the biggest bank in Denmark restore and improve their Brand Equity in the Danish private customers’ mind? This question is examined by producing a conceptual model for the Brand Equity of the company. This conceptual model will at first be created based on qualitative data, where it afterwards will be statistically tested via quantitative data created through a questionnaire survey. The results of the statistical test showed that Danske Bank mainly should focus on increasing the performance of the brand association trust and trustworthiness as well as differentiation. Further, the results of the statistical test presented that emotional brand evaluations have most influence on Brand Equity. This conclusion, however, was the opposite of what previous studies have shown. Emotional brand evaluations are increased by affecting its underlying brand associations, where the brand association trust and trustworthiness as well as differentiation are among these. The results also divided some of the private customers from the questionnaire survey into three segments, which are different compared to their age and current relationship to Danske Bank as well as their attitudes regarding the company. Based on the segments, some strategic recommendations could be made, which at first is of a general strategic nature, where subsequently specific recommendations for each segment are formed. The general strategic recommendations suggest that Danske Bank should reallocate their resources and focus on trust and trustworthiness as well as differentiation, as it should lead to an increased Brand Equity for those segments that have negative attitudes to Danske Bank.

EducationsMSc in Economics and Marketing, (Graduate Programme) Final Thesis
LanguageDanish
Publication date2019
Number of pages118