Category — Brand strategy
High growth globalizing companies often find it difficult and unprofitable to enter the U.S. and other developed markets. To achieve the turnover and ROI they seek, they are finding that it is the brand asset that differentiates an offering and drives higher margins and profitability. Particularly for companies in China, India, Brazil and other high growth countries, successfully expanding their global footprint is an enviable objective, but more difficult to achieve than ever. Many seek to minimize risk and expand with a price entry. However, unless corporations recognize and act upon the importance of building strong “brands”, they will most likely fail to achieve their U.S. objectives.
The mega-trend shift towards high growth market-based companies who have been successful in their home countries trying to expand to the U.S. is based on sound logic:
- Drive for greater revenues and profits
- Appeal of the large middle class with strong per capita income
- High number of diaspora living in the U.S. that often become the first wave of “acceptors”
- Recognition that the U.S. ensures a stable government and significant economic incentives
- Access to skilled labor forces, technology, and strong distribution channels.
October 3, 2014 1 Comment
Inertia is an amazingly powerful force, and “reason” often proves inadequate to overcome it. Think about how hard it is to get people to move their bank accounts even when it is clearly in their financial interests. Or why nearly three-quarters of all corporate change initiatives fail, no matter how well argued, or how compelling the business case.
Human behavior is hard to change, and this is one of the biggest obstacles facing businesses selling sustainable products and services. We believe that brands are uniquely well placed to help, because they can speak two languages – reason and story. And they can leverage the unusually powerful relationships they have with consumers.
November 12, 2013 Comments Off on How Brands Can Put Us on Our Best Behavior
This blog was originally featured on the Shared Services and Outsourcing Network’s website on October 10th, 2013.
One of the great challenges of a shared services division is to attract the best talent and keep them motivated. This is understandable. Because the concept of “shared services” has built into it a negative stereotype from the start, creating and managing a strong internal “brand” can accomplish a number of important things:
- It can signal the true value the shared services team provides and define value in a new way
- It can be a beacon to attract the best talent
- It can keep the team not only motivated, but also excited to continually elevate the value of what the team can deliver.
October 29, 2013 Comments Off on Using a Strong Shared Services Brand to Attract and Motivate the Best Talent
This blog was originally featured on the Shared Services and Outsourcing Network’s website on July 22nd, 2013.
Shared Services often miss the opportunity to communicate the value they provide, and consequently live under a pervasive and somewhat negative perception. This doesn’t have to be the case. Focusing on the Shared Services “brand” is one way to change these perceptions.
Because the origin of Shared Services is rooted in cost cutting, there is a naturally built-in stereotype that what costs less must not be as good. But this doesn’t have to be the case. Strengthening the Shared Services brand, especially to internal audiences, is a very powerful way to communicate the positive value of a Shared Services model. Aside from the corporate arguments that Shared Services are really about reducing costs, you should be promoting the realization that there is an enormous amount of condensed wisdom in a Shared Services organization. It is, de facto, the central node of knowledge and insight. Imagine if internal customers understood this value and could tap into it. So use the brand to focus their attention. [Read more →]
July 26, 2013 Comments Off on Using the Shared Services Brand to Overcome Negative Perceptions
To ensure a seamless image, smart brands take responsibility for both the content of their ads, as well as the environment in which their ads appear.
Vigilance is especially necessary online, where intelligent software and e-marketing technologies allow brands to target the user, not the environment. The old adage of ‘fish where the big fish are’ has never been more true. With varying degrees of success.
A friend of mine recently joked on Facebook: ‘If the ads that Facebook so cleverly targets at me are correct, I need to: a. Lose 9kg. b. Buy a motorbike and c. Attend the classic rock concert at Willowbridge Barnyard Theatre. Now that’s artificial unintelligence if ever I saw it.’
She’s a fit, slim, married, mother of two in her 40s, who lives in the suburbs and drives a family-friendly 5-seater VW.
But getting it wrong can have more sinister results. What happens when a brand finds itself in an online environment that potentially undermines its image? [Read more →]
April 30, 2013 Comments Off on Why Brand Strategy Matters Even More Online
The past decade or more has seen a rise in environmental and social consciousness and with it, a desire by big business to ‘give back’.
Much of this is driven by necessity. Motivated by a wider understanding of the human impact on the environment, there is growing expectation in the market for brands to make it easier for their customers to make better choices. A market that has become increasingly brand literate and now, empowered by the open forums of social media, has a platform. Putting profit before people and the planet, is no longer good for business.
But it’s also driven by savvy marketing and good business sense. A brand that finds a purpose beyond their product, inspires loyalty in their customers who feel proud of their association with the cause. This connection with the brand goes beyond any need for the product and builds a far more sustainable relationship.
However, intention must be met with action. If the brand wishes to be taken seriously, change cannot only be made on the outside – on billboards, or in PR releases – change must be seen to be happening on the inside too.
April 9, 2013 Comments Off on Doing the Right Thing is Good for Business
Protecting & Enhancing Your Brand in Social Media – Whether You’re Joining or Creating the Conversation
As the old saying goes, “you have to be in it to win it”. That pretty much sums up the role of social media for brands today. Social media is no longer just one of many tools a marketer can use. It has all but become the cost of entry. In the 2012 Social Media Marketing Industry Report, 94% of marketers said that they use social media for marketing purposes. It goes without saying that some social media marketing is better than others, and therefore more effective at driving business results. But the bottom line is that companies can no longer ignore social media. This is true for every category and industry from consumer goods to professional services, from healthcare to the financial industry and for both B2C and B2B.
Here’s the rub: Because social media is a two-way street, gone are the days when a brand can control messaging through a monologue of traditional advertising and communication. What is compelling to consumers today, and to a large extent, expected, is a dialogue, back and forth. These conversations can be strategically initiated by the brand to disseminate a particular message, i.e. a new way of “advertising”, or a brand can strategically participate to help steer the conversation in a way that protects the brand.
Either way, whether you are creating the conversation about your brand, or joining in conversations about your industry, which may ultimately involve your brand, follow these rules to not only protect your brand, but to take advantage of this new reality and use it to actually strengthen your brand:
April 3, 2013 Comments Off on Protecting & Enhancing Your Brand in Social Media – Whether You’re Joining or Creating the Conversation
The postulate that “watering down” a brand has long-term affects is generally well understood by smart marketers everywhere. But recently, two brands have been caught up in literally and figuratively watering down their products and consequently, their brands. We’d suggest that the act of watering down a product, or even the suspicion of it, will have very serious and long-term impacts on the business.
The two brands are Maker’s Mark Kentucky Bourbon Whisky and Budweiser. Maker’s Mark announced that they were lowering the alcohol content of their premiere product from 94 proof to 86 proof because demand is exceeding capacity, and consumer testing had indicated that the difference was undetectable. While possibly statistically true, the idea that slowly diluting a product so that the perceived change in the taste profile is negligible could end up taking the teeth out of a product and without ever understanding why. This incremental product thinking almost always gets manufacturers in trouble. [Read more →]
March 1, 2013 Comments Off on Why “Watering Down” a Brand is a Fundamental No-No.
In a recent Wall Street Journal article by Sumanthi Reddy on new theories about why people sweat when under stress… it made me think that there is a strong parallel with brands and how they react to difficult business situations. Scientists now believe that stress-triggered sweat plays a role in sending warning signals to people around us that something is wrong. This body odor conveys a lot of information from one individual to another.
Brands under stress can “sweat” too.
They can give off signals, much like odors, and we can sense that something is amiss. Take American Airlines as an example. They have been under stress in bankruptcy for quite a while. Not only have creditors been worried, but also travelers. So what did they do… they rebranded themselves with a new modern look. In some ways, we all smelled a rat. No, they haven’t really gotten much better… their service is as sparse as other carriers, and their equipment is not significantly better than others. So they put on some new lipstick. Now we know that it was part of a complete, quiet financial re-packaging ending up with a recent merger with US Airways. So their “stress sweat” was apparent. To some extent, this scent should be a signal for investors and creditors alike. [Read more →]
February 19, 2013 Comments Off on Do Brands “Sweat” When They are Stressed?
Professional services brands may want to take inspiration from the new Barclays Center in Brooklyn, which the architecture community is touting as the next truly great building of this age. Why? Because big screens on the outside show who is practicing and performing on the inside. It shares itself with the world. It adapted technologically to our human desire to “be in the know” about everything all the time. Brands in the next generation will have to be the same way. They will be expected to show what’s on the inside (their values), not just talk about their services. Brands must reflect the DNA of the company within.
January 24, 2013 2 Comments