Branding Archives : Page 4 of 14 : Persona Design

Brand Profiling: How Brand Performance and Purpose Are Inextricably Linked

February 9, 2016/0 Comments/in Brand Personality, Brand Profiling & Positioning, Brand Promise, Brand Story, Brand Strategy, Brand Values, Branding, Business /by Lorraine Carter

Ask the people in any room for a show of hands for who leaves the house to go shopping for unheard of brands in nondescript shops. No hands will go up. Wishy washy products and unremarkable, generic services certainly don’t motivate anyone. However, instantly recognizable market leaders, famous brands, cults and classics pack in plenty of appeal by projecting a purpose that’s engaging and compelling for both employees and customers alike.

Purpose Equals Purchase

“Consumers choose the brands that engage them on their passions and interests 42 percent more often than they do those that simply urge them to buy the product being advertised,” according to a 2014 report by Think with Google, undertaken in partnership with TNS and Ogilvy. Interviews with purchasers of auto vehicles, beauty products and smartphones indicates that, more than ever,

Purpose = Purchase.

Profit is Not Brand Purpose

The sole intention, or purpose of a business, is not, and cannot be, just to make money. Rather, profit is a consequence of doing business. In 2000, Peter Drucker, the father of modern management theory, shared his thoughts on this topic as mentor to the former chairman of Procter & Gamble, “The purpose of a company is to create a customer” and “A business….is defined by the want the customer satisfies when he or she buys a product or a service. To satisfy the customer is the mission and purpose of every business.”[1]

Image via www.gapingvoidart.com, ©Hugh MacLeod

What Does Your Brand Stand For…And Upon?

One cannot over emphasize the importance of building a strong base as a platform for a brand, using the following key elements as bricks in its foundation:

vision
mission
values
purpose
promise
positioning
architecture/hierarchy structure
story
personality
corporate social responsibility

When working with our private clients or indeed delivering our open branding masterclasses and workshops we use the Personality Profile Performer™ System to develop all these key brand foundational elements for our clients’ or workshop participant’s brands. The outputs from the Personality Profile Performer™ then provide you with your brand blueprint or brand roadmap, together with the brand direction for your brand design application in brand collateral, brand communications strategy, training and so forth.

Notice that purpose is one of the key building blocks for a strong brand foundation. This part of the brand foundation provides the critical direction for brand strategy, and consequently, for high performance with the laser-focused results marketers seek. Here we aim to show you how a well-defined brand purpose is inextricably tied to stronger brand performance.

Defining Brand Purpose

Since some employees and employers may say that the purpose of a business it to make a profit, it’s understandable that thought leaders must reiterate the actual meaning of brand purpose.

So, what is brand purpose and what is it not? Drucker and other experts observed that brand purpose is to create customers through superior products and services which have value and usefulness. In other words, customers do not shop and pay so that a company can become richer. They buy because they perceive value in their purchases.

It’s important to note that 60% of branding is about perceived value and only 40% about the actual product or service, so how you communicate your brand’s mission, vision and purpose actually has a significant impact on your bottom line.

To quote Simon Sinek “People don’t buy what you do, they buy ‘why’ you do it, and what you do simply proves what you believe.”

Branding expert David Aaker writes about value that inspires purchase from both sides of the buy/sell relationship. “It is easy to get caught in a focus on financials, but employees and customers are increasingly attracted to brands and firms that have a higher purpose.”[2]

This is why, for example, at their very foundation of purpose, Volvo family cars are built around a steel cage design to achieve maximum safety, Mercedes-Benz defines meticulous German engineering and innovation in luxury cars, and Tesla produces electric cars to decrease our dependency on gasoline. Purpose is also why one of the most successful brands on earth doesn’t just sell computers, but dreams up groundbreaking products such as the Apple Watch, iPads and iPods to create “insanely great products” that enhance peoples’ lives and that many people consequently want…a lot.

How Clear Brand Purpose Improves Performance

Brand educator Mark Di Somma counsels that marketers should view the relationship between purpose and product as a symbiotic one, not as an either/or one.[3] “For purpose to realize its full potential, the commercial leadership must align with, and be framed by, a clear and shared moral leadership.”[4]

When brands are able to connect and balance great storytelling founded on a clear vision, mission, values, and purpose, with the right product or service, then the magic happens. We look into three case studies from Coca-Cola, Wal-Mart Stores and Patagonia.

Case Study 1: How Coca-Cola Made History Selling Togetherness

Who remembers the tune, “I’d like to buy the world a Coke and keep it company”? It was 1971 when McCann-Erickson’s creative and music directors first produced those lyrics[5], placed a group of Coke bottle-holding, flowers-in-the-hair, multicultural lip-syncing teenagers on top of a hill outside Rome and portrayed a positive message of sharing, hope and love. The world said “Wow!”

One of the most successful adverts of all time, now enshrined in the National Museum of American History at the Smithsonian Institution[6], married the idea of happiness and universal love with the product. In a ground-breaking collaboration between advertising and the record industry, it was re-envisioned as a hit song rising to UK #1, as a Christmas advert and as a Disney collaboration for years to come.

Case Study 2: How Wal-Mart is Re-Thinking Purpose

In America, Walmart has been reportedly criticized, rightly or wrongly for years, one issue after another. Non-union jobs at low wages that depress the job market, running small businesses out of town, accusations of racial and gender employee discrimination, foreign product sourcing, and environmental policies are a few of the themes that have splashed across the pages of various news publications and media.

America’s largest retailer is also America’s largest employer. Wal-Mart Stores has also created America’s richest family with a fortune placed at US $149 billion.[7] Yes, they have low prices in 5,000 stores. But, it’s fair to ask: What’s their brand purpose? What do they stand for?

Image via Wikipedia CC 4.0, Credit: Miosotis Jade

In keeping with the growing trend in other parts of the world, American consumers’ sense of values have become more focused on where products come from, how they are made, whether a company is doing the right thing for the environment, for sustainability, for its workers and for corporate citizenship, says Allen Adamson, North American chairman at Landor Associates in AdWeek.[8]

Since mid-2015, AdWeek reports Walmart is starting to turn things around by embracing brand purpose. Examples include partnering with actor and gender-equality activist Geena Davis for a hometown theater festival in Arkansas, speaking out against anti-gay legislation, raising hourly salaries above federal minimum wage, and adopting “five freedoms of animal welfare” for its supplier chain.

Case Study 3: How Patagonia Used Reverse Psychology with its Purpose

“Don’t Buy This Jacket,” screeched the boldface type in caps to accompany the image of a parka. To launch their Common Threads Initiative[9], (reduce, repair, reuse, recycle, reimagine) the outdoor clothing maker grabbed attention in the New York Times on 2011’s Black Friday, a frenzied shopping day.

“This season, share some values,” the advertisement beseeched readers, focusing attention on consumerism versus conservation — hence, Patagonia’s mission: “Build the best product, cause no unnecessary harm, use business to inspire and implement solutions to the environmental crisis.”

As AdWeek explains[10] about Patagonia’s startling spin on things, “The point is, Patagonia, whose business relies literally on the outdoors, is in it for the long term.” Actively protecting the environment is central to Patagonia’s core purpose or raison d’être.

Image via www.adweek.com and © www.patagonia.com

What happened to sales? According to Bloomberg Business,[11] two years into the buy less campaign, outdoorsy customers pumped an extra US $158 million, nearly a 40 percent lift, into the company, which opened 14 additional store locations. Environmentalists may take note that Patagonia has launched “Twenty Million & Change,”[12] a venture capital fund to invest in startups that share environmentally responsible corporate values.[13]

More Case Studies on Brand Purpose

For readers who may wish to research further examples of clear brand purpose driving improved business performance, we can suggest the following:

• Charles Schwab, the investment broker, highlights how they can help small investors who don’t really want, or need, to understand the stock market in depth to beat inflation. “Talk to Chuck.” was the groundbreaking campaign launched in 2005, years ahead of social media interactive conversations. Their personality-driven approach successfully carved out a unique positioning for the brokerage, squarely between the discount broker firms and the full-service Wall Street firms for larger investors.

• Rubicoin, founded by Dublin-born Emmet Savage who is listed in Irish America’s Wall Street 50 (the list recognises the achievements of the most innovative Irish-American and Irish-born leaders in finance) is noted as one of the most successful investors in the world and this brand’s primary purpose is to get the world investing successfully, to remove the perceived barriers to accessing the stock market by giving everyone the basic ingredients required to successfully invest so they are empowered to change their lives financially.

• Nike places their mission statement up front and center: “To bring inspiration and innovation to every athlete* in the world.” Note the asterisk on the word “athlete.” Former university track and field coach and Nike co-founder Bill Bowerman said, “If you have a body, you are an athlete.” Any questions?

Image via © www.about.nike.com

• The Walt Disney Company, of course, was the brainchild of a master visionary. Now parent to four major companies, Walt explained the theme park concept best when explaining how he was bored watching his daughters in a playground. “I felt that there should be something built…something where the parents and the children could have fun together.” Walt would have approved of the company’s purpose as addressed by its former mission statement, “To make people happy.”[14]

Do you think they miss the mark with the current one? “Now Disney’s mission is “To be one of the world’s leading producers and providers of entertainment and information. Using our portfolio of brands to differentiate our content, services and consumer products, we seek to develop the most creative, innovative and profitable entertainment experiences and related products in the world.”[15]

That’s certainly a mouthful for Mickey Mouse or a dreamy-eyed child…or just about anyone outside the boardroom.

Questions About Brand Purpose to Consider:

• Does your brand have a clearly defined purpose? Have you engaged in the brand profiling process using a system like the Personality Profile Performer™?

• Is your brand’s purpose written in plain and simple language which everyone, both employes and customers alike, can clearly articulate on, or is it written in corporate lingo?

• How often do you re-visit, re-evaluate and brand health check your expression of your brand purpose?

• In what way is your brand’s purpose actively lived, expressed and shared with everyone in your business and interpreted by your employees?

• How would your employees respond to the question of what excites them and gets them out of bed in the morning?

• How and where is your brand’s purpose expressed to existing or potential customers?

If you’re struggling to answer these questions maybe its time your gave your brand a brand audit health check or brand refresh. Feel free to get in touch, we’d love to help!

‘What Customers Want: Top 16 Branding Trends in 2016’

‘Brand Profiling: How to Use Emotion to Make Your Brand More Profitable’

‘Rebranding Strategy: Why Your Rebrand Must Embrace Storytelling’

‘Brand Audits: 10 Things Successful Brand Owners and Managers Must Know’

The Profit Power of Cult Brands, Why and How to Create One

‘Brand Revitalisation and Relaunch: The do’s and don’ts of doing it successfully!’

Brand CSR: The Business Case for Successful Branding and Social Good

‘Co-Branding: 13 Tips for Growing Your Brand Through Strategic Partnerships’

[1] https://hbr.org/2009/11/why-read-peter-drucker

[2] https://www.prophet.com/blog/aakeronbrands/216-what-is-your-higher-purpose

[3] http://www.brandingstrategyinsider.com/2016/01/brand-debate-focus-on-product-or-purpose.html#.VqwmcmRViko

[4] http://www.brandingstrategyinsider.com/2014/08/defining-your-brand-purpose.html#.VqxKb2RVikp

[5] http://www.coca-colacompany.com/stories/coke-lore-hilltop-story

[6] http://www.smithsonianmag.com/smithsonian-institution/american-history-museum-scholar-coke-advertisement-180955318/?preview&no-ist

[7] http://www.forbes.com/profile/walton-1

[8] http://www.adweek.com/news/advertising-branding/walmart-trying-brand-itself-socially-conscious-165034

[9] http://www.patagonia.com/us/worn-wear

[10] http://www.adweek.com/news/advertising-branding/ad-day-patagonia-136745

[11] http://www.bloomberg.com/bw/articles/2013-08-28/patagonias-buy-less-plea-spurs-more-buying

[12] http://www.patagoniaworks.com/#index

[13] http://www.fastcoexist.com/1682011/patagonia-launches-a-venture-fund-for-environmentally-responsible-startups

[14] http://www.fastcompany.com/1821021/defining-your-companys-vision

[15] https://thewaltdisneycompany.com/about/

Brand CSR: The Business Case for Successful Branding and Social Good

February 1, 2016/0 Comments/in Brand Champions, Brand Collateral, Brand Differentiation, Brand Experience, Brand Leadership, Brand Loyalty, Brand Profiling & Positioning, Brand Promise, Brand Relevance, Brand Reputation, Brand Strategy, Brand Values, Branding, Business, Cause Marketing, Corporate Social Responsibility, Millennial Branding /by Lorraine Carter

According to a Nielsen poll of consumers in 60 countries, 55 percent of purchasers are willing to pay more for products and services from companies that do their part to encourage positive social and environmental impacts.[1]

Clearly, corporate social responsibility influences buying preferences, but how else is it important? We’ll examine the answer to that question below.

Image via www.huffpost.com

What is Corporate Social Responsibility?

Corporate Social Responsibility, or CSR, occurs when companies take into account the sociological, financial and environmental impacts its actions have in the world and decides to ensure its actions make a positive impact. [2].

Some business experts have simplified the definition of CSR even further to suggest it encompasses everything a company actively does to have a positive impact on society.

There are numerous types of CSR, such as:

Philanthropy
Production Improvements
Better Conditions for Workers
Sustainability
Community Enrichment
Diversity in Hiring Practices
Supporting Companies with Similar Values

Typically, the manner in which a company engages in CSR is closely aligned with its brand strategy, brand values, positioning, primary audience and industry sector. For example, a clothing manufacturer might iron out a CSR plan that improves working conditions in factories located in developing countries, while an establishment that makes paper products might commit to CSR that ensures the world’s most at-risk forests are protected and regenerated.

Why is CSR Good for Business?

Although many corporate leaders are encouraged by the aforementioned statistic that shows a company’s involvement in CSR may mean a customer is willing to pay more for its services, they usually require stronger beneficial commercial evidence before taking further action.

However, they don’t need to look very far before uncovering some of the numerous other benefits linked to CSR, including: [3]

Happier Staff: Employees take pride in working for a company that supports the greater good through worthy actions and happier staff are more productive and better brand ambassadors

More Informed Customers: If your company announces a CSR strategy, the associated plans could potentially result in a more transparent organization which in turn typically results in more loyal customers.

Research shows customers want to know more about the things they buy, product or service, than ever before. For example, a study published by IBM noted 59 percent of American consumers and 57 percent of consumers from the United Kingdom have become more informed about the foods they buy and eat over the two years prior to the study’s publication.[4]

In other words, customers’ predisposition to buy, product or service, is becoming increasingly influenced by an organization’s authenticity, openness and commitment to the greater good.

Reduced Costs: CSR can cut costs by helping companies become aware of and minimize risks, plus improve the efficiency of their supply chains.

Improved Competitiveness: In a challenging marketplace, a worthwhile CSR plan could carve out a more solid place with a unique positioning for a company to thrive.

Better Public Relations and Reputation Management: A CSR plan gives a company a platform through which to promote good things like community involvement, donations to charities and other big-hearted gestures.

Developing an Effective Corporate Responsibility Plan for Your Brand

In order to launch a CSR plan that’s good for business and engages genuinely with your stakeholders, it must be carefully crafted. The key is to strike a balance between benefiting society at large, and benefitting the business. [5] Doing that means:

Evaluating how and where the business can have the greatest societal impact without taxing the company’s leadership and resources. This frequently involves scrutinizing the company’s existing competencies. Those strengths can provide clues to possible CSR strategies that are revealed after tapping into existing skillsets.

Cultivating a deep understanding of how certain actions could help the business while simultaneously supporting the chosen causes. This often also necessitates having an open heart and mind while listening to feedback from stakeholders.

Aligning with partners can propel your desired efforts and help bring goals to fruition. Ideally, adopting a long-term mindset when forming collaborative CSR relationships is best for all concerned.

Ensure business objectives and CSR goals match up. If there is a disconnect between these two components, your CSR activities risk being time-consuming and lacking the power needed to make lasting changes.

Examples of Brand CSR Strategies That Have Worked Well, and Why

Now you have a deeper understanding of what corporate social responsibility is and how to start formulating your own plan, let’s look at the characteristics of some successful CSR programs with companies that are excelling in their CSR endeavors [6]. You can then use these actionable tips to drive your own brand CSR inspiration.

CSR experts agree all successful CSR programmes typically have:

clear objectives
measurable outcomes
well-developed theories for how to achieve the desired goals
sufficient information for stakeholders about why causes are worth pursuing
dedicated and highly focused efforts from the entire company
a willingness to partner with credible experts.

Let’s look at a few case studies that detail some stellar CSR successes.

APS Group

This UK-based SME spent years ironing out its CSR strategy. Lacking the resources to hire a dedicated CSR team, the company found employees who were willing to champion the company’s CSR causes, which include education and supplier sustainability.

Media clips from the company place a strong emphasis on making things possible for clients that they would not be able to achieve alone, as does the company’s published document about its CSR initiatives. Through CSR efforts, it can also be strongly argued the company is living out its “Make More Possible” slogan by enabling the people and organizations affected by the causes it supports. APS Group is a great example of how even if a company thinks creating a CSR plan is a daunting task, success is still within reach. [8]

Method

This brand of cleaning products uses natural ingredients such as coconut oil and soy. Furthermore, the products’ packaging is environmentally responsible and biodegradable. Since the company boasts over $100 million in revenue annually, that is proof “green” products can be commercially viable.

Image via © www.methodhome.com

Furthermore, Method demonstrates CSR focuses do not have to be separate from the products you make. Some media clips from the company that details its CSR focuses specifically highlight input from industry experts to make a bigger impact.

LUSH Cosmetics

This company sells bathing and beauty products filled with natural ‘Fair Trade’ ingredients. The brand’s Charity Pot is sold to benefit a rotating assortment of non-profit organizations. All proceeds from the Charity Pot go directly to the chosen groups, resulting in millions of dollars raised. [10]

The packaging is just one indicator of how easy it is for people to support good causes by purchasing these black, lotion-filled containers. LUSH uses the labels on the top of pots to inform consumers who the recipients are by clearly stating the designated charity concerned.

Image via © www.lush.co.uk

The brand also has a fund that supports communities which produce fairly traded goods. It was launched in 2010 and borne from a desire the company had to do something more than just use fair-trade ingredients in their products whenever possible. [11]

Charting the Results of Your CSR Strategy

It can sometimes appear somewhat difficult to determine with certainty whether your CSR strategies have achieved the desired outcomes. One of the more effective ways you can answer that question is by engaging an independent research firm, with specialist expertise, to rank certain aspects of a company’s CSR performance, from human rights to the environment and community. [12]

Additionally, you can check effectiveness through various metrics [13] such as:

Environmental indices for pollution or air/water/soil quality
Quality and quantity of mentions in media outlets
Measurements for the quality of life within a society, such as literacy rates, life expectancy and incidences of disease, plus mental, physical and emotional heath. The latter could be gauged through feedback surveys given to workers
Indicators of the company’s economic health by way of profits, growth, and stability, before and after a CSR campaign launches

In conclusion, customers are becoming increasingly hyper-conscious of how and where they spend their money. Recent research also indicates this trend is strongest among Millennials, the largest consumer segment in terms of buying power. [14] Specifically, 91 percent of Millennials actively switch to brands that support a worthy cause, and abandon the brands that aren’t perceived to have an authentic contribution policy.

In addition to boosting your customer base and potential profits, a well-developed CSR plan could strengthen your relationship with suppliers, increase competitiveness in the marketplace and help you cut costs by becoming more aware of risks. Therefore, many business leaders have come to realize it’s short sighted to not be involved in corporate social responsibility.

Key Takeaways

Customers are typically willing to pay more for products from companies associated with strong CSR brand strategies
CSR goals vary depending on a company’s values and the composition of their stakeholders
A good CSR plan should both benefit the business and help society
The CSR plan must align with a company’s business objectives
Expert individuals or notable groups can help improve CSR strategy success
Metrics and independent research groups can evaluate whether a CSR plan is working well

Have you integrated a CSR strategy into your organization? If not, it might be a good idea to take a look at how CSR could benefit all concerned.

Questions to Consider

Does your company have well-defined core competencies that could translate into areas of CSR focus?

How motivated are your stakeholders to pursue a CSR plan?

Are there obstacles that might delay CSR-related brand strategy plans?

Have you thought about how to tackle negative responses from stakeholders that CSR is not currently worthwhile?

Which measurement methods will you consider using to verify your CSR brand strategy effectiveness?

• What Customers Want: Top 16 Branding Trends in 2016

• Rebranding Strategy: Why Your Rebrand Must Embrace Storytelling

• Brand Profiling: Top 6 Components to Creating a Strong Brand Personality

• Creating New Brands: Top 10 Tips for Brand Success

• Brand Personality: Is Your Brand’s Character Big Enough to Compete?

• Millennial Branding: 6 Ways Your Brand Can Appeal to Millennial Customers

• Co-Branding: 13 Tips for Growing Your Brand Through Strategic Partnerships

• Video Brand Strategy: Top 11 Tips for How and Why You Need to Use Video

[1] http://www.nielsen.com, “Global Consumers Are Willing to Put Their Money Where Their Heart Is When it Comes to Goods and Services from Companies Committed to Social Responsibility”, June 2014

[2] http://toolkit.smallbiz.nsw.gov.au, “What is Corporate Social Responsibility?”

[3] http://www.csrinpractice.com, “What is Corporate Social Responsibility?”

[4] George Pohle and Jeff Hittner, https://www-935.ibm.com, “Attaining Sustainable Growth Through Corporate Responsibility.”, 2008

[5] Tracey Keys, Thomas W. Malnight, and Kees van der Graaf, http://www.mckinsey.com, “Making the Most of Corporate Social Responsibility” June 2009

[6] Frederick E. Allen, http://www.forbes.com, “The Five Elements of the Best CSR Programs.” April 2011.

[7] http://www.theapsgroup.com/who-we-are/corporate-social-responsibility/

[8] Lisa Henshaw, http://www.theguardian.com, “How SMEs Can Engage in Social Responsibility Programmes,” December 2011.

[9] http://www.inc.com, “How Two Friends Built a $100 Million Company”

[10] Helaina Hovitz, http://www.forbes.com, “Following the Millions in LUSH’s ‘Charity Pot’. December 2014

[11] https://www.lush.co.uk/. “Introducing the SLush Fund”

[12] Tima Bansal, Natalie Slawinski, Cara Maurer, Natalie Slawinski, Cara Maurer. http://www.iveybusinessjournal.com, “Beyond Good Intentions: Strategies for Managing Your CSR Performance” January/February 2008.

[13] Katherine N. Lemon, John H. Roberts, Priya Raghubir and Russell S. Winter, http://www.philoma.org. “A Stakeholder-Based Approach: Measuring the Effects of Corporate Social Responsibility”, 2011.

[14] www.conecomm.com, “New Cone Communications Research Confirms Millennials as America’s Most Ardent CSR Supporters,” September 2015.

What’s a Cult Lifestyle Brand, and How do You Create One?

January 25, 2016/0 Comments/in Brand Culture, Brand Differentiation, Brand Experience, Brand Leadership, Brand Loyalty, Brand Personality, Brand Premiumisation, Brand Profiling & Positioning, Brand Reputation, Brand Story, Brand Strategy, Brand Values, Brand Voice, Branding, Branding Trends, Cult Branding, Customer Service, Premiumization /by Lorraine Carter

When the Apple Corporation gave its annual report in 2015, it had a whopping $178 billion in cash, or enough to buy the Ford, Tesla, and General Motors car companies and have more than $41 billion left over. [1] Such is the power and worth of a so-called cult lifestyle brand. Here, we’ll look at what makes up a cult brand, and the characteristics that set the stage for your brand to obtain that coveted status.

What is a Cult Brand, and Why is it Smart to Build One?

A cult brand has worked so hard to build a following, it’s in a class of its own. Loyal customers feel there is no substitute for the benefits ‘their’ cult brand offers, and they’re often willing to go to great lengths to get access to those much sought after respective products or service. Cult brands anticipate the tangible and spiritual needs of their customers and work to fill them on multiple levels. [2]

They’re usually associated with social benefits, too [3]. For example, Fender guitars are arguably not the most technically advanced instruments, but they nevertheless enjoy a cult following. Once people buy a guitar, they feel they’ve become part of a social club of other content like-minded customers, including some superstar players.

Once you’ve built a strong cult brand it will continue to inspire brand loyalty provided you both carefully nurture it and your loyal customers. That loyalty is likely to persist even if you charge a premium or intentionally produce products or services in limited quantities with restricted access.

Furthermore, in the event an untimely problem arises that momentarily blemishes the brand, its cult status will often be enough to carry it through those temporary low points. Brands with cult-like status tend to engender staunch customers willing to buy the brand again despite mishaps.

Characteristics of a Cult Lifestyle Brand

Let’s take a deeper look and examine key characteristics that help some brands stand head-and-shoulders above the rest, seemingly immune to the many struggles causing competitors to flounder:

Cult Brands Have Recognizable Strong Personality Traits: Although brands don’t necessarily have all the attributes humans do, the best share many qualities with humans. They are like humanized entities. You may resonate with one of your most beloved brands because it appears to exhibit sympathy, honesty, integrity and motivation, among other emotionally engaging human-like traits, qualities and values that are potentially important to you.

Cult Brands Are Relatable: When a cult brand is relatable, it’s able to resonate with its target audience by encapsulating familiarities within everyday lives. A brand may be positioned so it’s optimally relatable via its packaging, customer service, employees, customer journey, brand collateral and even purchase receipts.

Cult Brands Encompass Broad Ideals: Some brands reach cult status because they successfully convey an ideal or lifestyle its purchasers aspire to and want to be part of. Maybe the brand’s associated with warm hospitality, opulent luxury, a rugged, adventuresome lifestyle or a hunger for high-tech items that regularly challenge what we think is possible. [4] By regularly purchasing items or services that represent what they aspire to having, buyers inch ever closer to their ultimate goals. Its what the beloved cult brand ‘stands for’ that its target audience identify, with and relate to as part of their own personal identity.

Cult Brands Have Their Own Catchy Brand Language and Buzzwords: At Walt Disney World, people who work there aren’t called employees, but “cast members.” Furthermore, the crew that designs rides is staffed by “imagineers.”

Also, don’t walk into an Apple Store and expect to get your MP3 player checked at the technical support desk. Instead, stroll back to the Genius Bar where a specialist bearing the title of “genius” will examine your iPhone.

The distinctive language used by cult brands is not just an accidental cutesy extra. It’s quite deliberate and strategically developed as part of building the brand’s profile using a system like the Personality Profile Performer™. When people learn the lingo or brand language, they’ve become members of an exclusive club, the in-crowd, and are thereby more closely connected to one another and those they perceive to matter most in their world. [5]

4 Top Tips for Creating a Cult Brand

Now that you’re more familiar with some aspects of brands that have reached cult status, let’s explore actionable tips that could help your own brand achieve that apparently insurmountable feat. [6]

1. Tell a Strong Brand Story

The human brain responds instinctively to stories. We’ve shared stories since we lived in caves and learnt them as children on our parents’ knees. It’s how we make sense of the world. Your brand should develop and tell an engaging, memorable tale. When we’re working with our clients to create and develop memorable brand stories we use our Story Selling System™. Consider that most cult brands are able to successfully communicate which problems their products solve. Ideally, your story should not only be authentic and emotionally compelling, but prove how your product fills a demonstrated need.

2. Excel at Doing or Giving Something People Greatly Value

Cult brands are often excellent at providing a service or benefit to a far superior degree when compared to their competitors, and brands in other unrelated sectors for that matter. This is one of the reasons why it’s so crucial to understand what other brands in your industry are doing, and evaluate how you can reach beyond that point in a meaningful and feasible way. A brand audit is a very effective tool for uncovering this often hidden information. Your brand needs to be creating a customer experience in at least one very unique way that’s vastly superior to your nearest contenders.

3. Truly Value Your Customers

Regardless of how great whatever you’re offering is, your brand is highly unlikely to reach cult status if you consistently give customers the cold shoulder. Earlier, we talked about how people who follow cult brands may be more forgiving and willing to offer second chances. However, that’ll only happen if you have stellar customer service practices that make your customers feel like they’re genuinely worth your time and much appreciated for their business.

Besides just offering great service, try to include customers in your creative or product or service development process, even if its just to get feedback from them. People love feeling like they’re part of something important and that their opinion matters. If you make it clear their thoughts matter, they’re more likely to be loyal for life.

4. Give the Impression of Scarcity

Although this tip can backfire in some markets, profits and consumer interest levels can grow when customers feel the product you’re offering is not easy to acquire. When buyers believe an item is in limited supply, they’re often more likely to try harder to get it.

Now, let’s look at a few case studies of companies that have used various brand strategies to build their cult brands and make them thrive very profitably.

Case Study: SoulCycle

SoulCycle is a brand of indoor cycling classes that’s beloved by celebrities, and some might say, a little overpriced. Class prices begin at $32 for 45 minutes of sweaty cycling. Yet, SoulCycle’s devotees don’t mind.

Image via www.soul-cycle.com

Many of them cycle while wearing diamonds and Rolex watches. Being around people who are outfitted in the same way likely engenders feelings of even greater exclusivity.

Furthermore, certain superstar trainers have very small exclusive class sizes, leading fitness fans to scramble in hopes of landing an open slot, or getting lucky when someone doesn’t show up. Chelsea Clinton, Oprah Winfrey and Lady Gaga are just a few VIPs singing SoulCycle’s praises, with Lady Gaga even bringing custom-made SoulCycle bikes on a tour. [7]

Image via www.popsugar.com

Case Study: J. Crew

Founded in 1983, J. Crew is an American clothing brand that has impressively been able to enjoy a long-term cult status, while other hopeful brands have faltered. Some analysts say the success is largely due to the brand’s fearless and forward-thinking president and creative director, Jenna Lyons. [8]

Image via www.letsrestycle.com and www.sohautestyle.com

She took the helm in 2008 and began running with the bold strategy that the brand should no longer be dictated by corporate strategies. Instead, J. Crew would not associate with a product unless its team members truly embraced it.

Furthermore, Lyons unified the company’s creative processes and gave employees more freedom to take risks. Ideas that don’t work well are quickly disposed of, leaving some to feel J. Crew is constantly in flux. However, rising profits and raving fans indicate the changes have resonated. Some of the brand’s YouTube videos have more than a million views.

Case Study: Vij’s and Rangoli

These two Canadian restaurants are run by a husband and wife team and have become some of the hottest eating establishments in Vancouver. A “No Reservation Rule” means people sometimes have to act fast to enjoy this beloved cuisine.

Image via www.macleans.ca

Besides the tasty fare they offer, perhaps one of the reasons why the restaurants have such loyal followings is because their very creations represent an entrepreneurial dream many fantasize about.

The restaurants were funded by a small loan from a family member, plus personal savings. One member of the team is Vikram Vij, who’s originally from India. He was able to use talent, determination and dedication to help the restaurants prosper.[9] Vij and his wife Meeru have even written two acclaimed books.

Image via www.vijs.ca

Clearly, there’s not a single path that leads an emerging brand to cult brand status. However, a combination of key factors, such as cultivating desirable brand characteristics, a skilled team with a visionary leader, unwavering focus with a clear strategic brand vision and an exclusivity or scarcity strategy can result in impressive outcomes.

Key Takeaways

Cult brands must meet a need or solve a problem in at least one way that’s significantly superior to competitors

Brands with unique languages and singular brand tone-of-voices may inspire exclusivity and a sense of belonging within followers

Cult brands are inspiring, yet relatable

People are often more forgiving of cult brands

Brands with cult status typically command premium price positioning for their offerings, product or service

Cult brands often encompass desirable lifestyles

Questions to Consider

Can you identify one or more desirable personality traits your brand possesses that may help it reach cult status?

What positive associations or lifestyles relate to your brand?

Can you think of a situation where it may be detrimental or inappropriate to use a scarcity strategy?

Which problems does your brand solve for consumers?

In what ways do you think your brand makes others feel inspired?

Could you combine a cult brand strategy with a rebranding initiative to increase your business success?

• What Customers Want: Top 16 Branding Trends in 2016

• Rebranding Strategy: Why Your Rebrand Must Embrace Storytelling

• Top 10 Packaging Trends for 2016

• Limited Edition Packaging: How to Use it as Part of Your Brand Strategy

• Brand Profiling: Top 6 Components to Creating a Strong Brand Personality

• Brand Audits: Why You Need Them and How to Perform One

• Creating New Brands: Top 10 Tips for Brand Success

• Colour Psychology: Cracking the Colour Code for Profitable Branding

• Brand Personality: Is Your Brand’s Character Big Enough to Compete?

• Luxury Branding: How to Establish or Re-Position Your High-End Brand

[1] Sam Colt, uk.businessnsider.com, “15 Mind-Blowing Facts About Apple’s Latest Quarter,” January 2015.

[2] http://www.cultbranding.com, “Cult Brand Defined.”

[3] Antonio Marazza, http://www.forbes.com, “A Survival Guide for Symbolic and Lifestyle Brands,” October 2013.

[4] Jessica Farris, http://www.printmag.com, “Branding Lifestyles: What Does Your Brand Represent?” September 2014.

[5] Frank Cowell, “http://www.elevatoragency.com, “Why Your Brand Needs Its Own Language”

[6] Dave Llorens, http://www.huffingtonpost.com, “8 Cult Lessons That Will Help You Build Your Brand,” December 2013.

[7] Vanessa Grigoriadis, http://www.vanityfair.com, “Riding High,” August 2012.

[8] Danielle Sacks, http://www.fastcompany.com, “How Jenna Lyons Transformed J.Crew Into a Cult Brand,” April 2013.

[9] smallbusinessbc.ca, “Meet Vikram Vij, CBC Dragon, Vij’s Restaurant, My Shanti, Rangoli and Vij’s At Home”

Brand Audits: Why You Need Them and How to Perform One

January 12, 2016/0 Comments/in Brand Audit, Brand Auditing, Brand Audits, Brand Health Check, Brand Personality, Brand Relevance, Brand Research, Branding, Business /by Lorraine Carter

From public transit advertising to shop displays, analysts believe we are exposed to up to 5,000 instances of branding exposure messages per day.[1]

That extreme saturation of the market place is why it’s so crucial to be aware of the health of your brand, and make changes if necessary. The first step in achieving that awareness comes through a brand audit health check.

Why Are Brand Audit Heath Checks Valuable?

A brand audit health check is an examination of the current state of your brand. Branding defines a company or product’s identity, both to internal and external stakeholders.

Examples of internal stakeholders include managers, employees, and board members. Suppliers, customers, community members and sponsors are possible external stakeholders. A brand audit health check helps determine how these stakeholders see your brand[2] and whether it’s necessary to make changes that would improve or clarify those perceptions.

Potential situations when it may be necessary to perform a brand audit include:

Your brand’s market share is declining
You are considering extending your brand to a new product category
You are uncertain about the strength of your brand in relation to its competitive offerings
You want to develop a more extensive overall branding plan
You’re unaware of your brand’s weaknesses

Internal Versus External Brand Audits

An internal brand audit examines how staff members, managers and other members of the company brand perceive the brand. Conversely, an external audit usually looks at a segment of external stakeholders. When doing an external audit, you may want to consider researching both current customers and former customers, and members of the target audience who are currently loyal to other brands, but you’d like them to consider your brand instead.

Two and Five-Step Brand Audit Methodologies

The methodologies, extent, and depth of brand audits vary depending on your primary objectives, time, resources and other commercial imperatives.

However you’ll generally want to look at five key areas: [3]

The Branding Strategy: This involves a careful examination of your company’s business and marketing plans, measured against what your brand is supposed to represent. During this phase, identify your company’s strengths and weaknesses, plus potential opportunities and threats. This practice is often referred to as a SWOT analysis. Furthermore, scrutinize future plans that support your brand.

Branding Communications: Look at current and past advertising, PR activities, promotional materials, including your brand’s website[4] and social media profiles. Messages across all your brand platforms and customer touchpoints should be consistent, relevant, concise and clear, and most importantly tailored to meet the needs of your primary audience. If you find customers visit your website but don’t stick around, or that those visits never convert into profitable outcomes, it may be time to revitalize or rebrand your web presence. It’s also worthwhile to re-examine press releases, press kits, and employee training materials.

How Customers Get to the Point of Choosing Your Brand: Do research to see which factors cause customers to shop for your brand and ultimately choose it over competitors. Re-evaluate your customer journey. While working with clients, we always remind them that understanding the customers’ processes can be extremely valuable. Customer feedback gained through surveys and focus groups could be a very useful resource.

An In-Depth Customer Analysis: If your budget allows for it, a customer analysis should include both qualitative and quantitative studies. Find out how likely customers are to embrace your brand. There are numerous factors that contribute to brand loyalty, including attitude towards the brand, perception of the brand, and overall awareness.

The Brand’s Position: Check to see how the brand is positioned in comparison to competitors. In many cases, this will mean collecting insight from stakeholders regarding their genuine and perceived beliefs about the brand. This evaluation should also include reviewing your brand’s personality and defining its purpose.

If for whatever reason you’re not able to perform a brand audit with more depth as indicated above, [5] it’s also possible to do a two-stage process that includes:

Your Current Identity: Factors examined here should include your company’s brand name, slogan, brand collateral, personality and tone. In conducting this type of brand audit, you can often do valuable research amongst your primary audience by posing open-ended questions to your various stakeholders.

Your Brand Strategy: Establishing whether your brand’s marketing efforts are worthwhile means looking at the level of brand awareness in your target demographic, examining what your competitors are doing well, and identifying their shortcomings, and evaluating data related to your website traffic and engagement, together with any other brand communication activities.

Deciding What to Do After a Brand Audit Health Check

The data collected from your auditing process can be extremely revealing. Findings will help determine whether a brand refresh is most appropriate, or a more radical overhaul with a complete rebranding. When working with clients, we often find they feel somewhat overwhelmed by all the results from their brand’s health check. However when all the key elements are broken down into smaller, more manageable chunks and each element is addressed systematically it is far more feasible compared to addressing the whole picture at one go!

Case Study: MadeSmart Housewares Refreshes Its Brand

For two decades, MadeSmart was a housewares brand that primarily provided private label offerings for licensing. When economic conditions changed, brand executives found MadeSmart did not have a sufficiently distinctive brand voice in the marketplace and was not strongly positioned enough for future growth.

Image via www.madesmart.com

The brand audit conducted for MadeSmart established that the brand was out of alignment with the marketplace, and the direction planned by the company. As part of the brand audit and brand profiling processes the brand was redefined, together with its promise and values, re-evaluated, re-positioned and updated to become more relevant to not only the marketplace and the brand’s primary target audience but also its future aspirations and growth plans.

Image via www.madesmart.com

MadeSmart’s brand identity in terms of their logo, advertising, signage, and website were some of the brand collateral that were redesigned following the brand audit too. The brand audit delivered positive growth with its branding refresh and received enthusiastic feedback from both clients and the local press. [6]

Image via www.madesmart.com

Case Study: Monsanto Seeks to Improve Brand Perception Among Staff Members

Monsanto, a multinational biotechnology company, felt it needed to encourage its staff to become more effective brand ambassadors whilst also enhancing their brand loyalty and engagement with company’s brand values. Monsanto hired a company to perform an internal brand audit, during which changes were suggested for the brand’s internal brand collateral, website design and visual identity, among other things. [7]

Image via www.monsanto.com

When the results of this work were evaluated via a survey, researchers found employees had a better perception of Monsanto, and were more likely to be loyal to the brand and consequently champion the brand. In short the strategies implemented after the brand audit were deemed very successful.

Key Takeaways:

Brand audit health checks are very useful in identifying how internal and external stakeholders see your brand

An important factor in a brand audit involves looking at your organization’s business plan to see if it aligns with perceptions of your brand and its messaging

When examining the ways in which your brand’s messaging is communicated, be sure to evaluate both your online and offline presence

Find out what triggers your customers to choose your brand over your competitors, and the likelihood of those customers fully embracing your brand. Also, examine how employees perceive your brand—is it aligned with the external market?

The brand audit health check is the first step in evaluating whether you need to make changes in order to maintain or re-establish relevance in the marketplace

Questions to Consider:

Has your brand experienced challenges that you think could have been avoided by performing a brand audit health check?

What are some examples of key stakeholders you may have been overlooking in your day-to-day business operations?

Have you received feedback that indicates your brand’s messaging is not as clear as it could be?

Can you identify some systemized, yet easily applied, methodologies that could be used to get feedback from customers and employees alike, while also offering incentives to them?

Are you able to recall at least one instance where a brand that’s familiar to you performed a complete rebranding process? Would you consider it to have been a successful venture?

• Brand Audit: Tips for Determining Your Brand’s Health – Can it be Improved?

• What Customers Want: Top 16 Branding Trends in 2016

• Colour in Brand Strategy: Colour Psychology and How it Influences Branding

• Creating New Brands: Top 10 Tips for Brand Success

• Brand Profiling: Top 6 Components to Creating a Strong Brand Personality

• Rebranding Strategy: Why Your Rebrand Must Embrace Storytelling

• Brand Differentiation: 30 Ways to Differentiate Your Brand

• Rebranding Strategy: Gems of Wisdom from 5 Successful Brand Revitalizations

• Brand Voice: Differentiating Through Your Own Brand Language and Attitude

• CEO Brand Leadership: How Does Your Leadership Impact Your Brand?

[1] Mike Huber, http://www.verticalmeasures.com/, “Why You Need a Content Marketing Budget for 2016”, September 2015

[2] http://www.bbc.co.uk/, “Business Studies: Stakeholders”

[3] Les Kollegian, http://www.entrepreneur.com/, “Do You Stand by Your Brand? It’s Time for an Audit”, January 2014

[4] Asmat Batul, https://blog.kissmetrics.com/, “How and Why You Should Conduct a Brand Audit”

[5] Brad VanAuken, http://www.brandingstrategyinsider.com, November 2007

[6] http://www.aiga.org/, “Case Study: MadeSmart Housewares Brand Refresh”, November 2011

[7] http://www.theaffiniti.com

Rebranding Strategy: Gems of Wisdom from 5 Successful Brand Revitalizations

January 5, 2016/0 Comments/in Brand Audit, Brand Auditing, Brand Audits, Brand Champions, Brand Collateral, Brand Design, Brand Differentiation, Brand Health Check, Brand Identity Design, Brand Personality, Brand Profiling & Positioning, Brand Relaunch, Brand Relevance, Brand Reputation, Brand Research, Brand Revitalisation, Brand Strategy, Brand Values, Branding, Business, Customer Engagement, Graphic Design, Market Demographics, Market Insights, Market Research, Millennial Branding, Rebrand, Rebranding, Return On Investment, Revamped Design, Revitalized Design, Target Market /by Lorraine Carter

Rebranding is a relatively broad term, as it encompasses both large and small-scale changes to an existing brand, which aim to resurrect a failing brand, reposition the brand and allow the company to reach out to a new target market, or simply help the brand keep up with the times.

While some brands adopt a “back to the drawing board” strategy and change everything from their logo and name to their brand values and product packaging design, a good brand revitalization strategy can sometimes be limited to a few low-key changes that enable the brand to stay relevant or differentiate itself from the competition.

When Should a Company Invest in a Rebrand?

An impressive 61% of consumers stated that an exceptional customer experience was a major determining factor when choosing a brand, and 48% of consumers expect brands to understand their needs and assist them in finding the right product and services based on those needs.[1]

Infographic via Cube.com [Digital Trends Target the Always-On Consumer]

Brands that have trouble understanding or catering to the customers’ needs are prime candidates for a brand relaunch, but a company can also have trouble with brand incongruence, a tarnished reputation or pressure from the competition.

However, the reasons for a rebrand can also be of a positive nature – a brand may experience rapid growth, as well as significant changes in the production process or the expansion of their product portfolio due technological innovations. Repositioning an economy brand as a high-end brand is another good reason for rebranding.

Since a successful rebrand involves performing a brand audit, market research, developing a detailed brand implementation strategy and effectively communicating the rebrand to customers and media, it is not recommended for young brands. You must have a well-established brand identity and a good level of brand awareness before you can embark on a brand revitalization journey.

Lessons Learned from 5 Successful Rebranding Strategies

1. Harley-Davidson – Improve the Actual Product

The Harley-Davidson motorcycle company initially had many advantages over their competition. For one, the brand had a purebred American provenance, a long history – their motorcycles were used by the US army in both World Wars – and were associated with an image of a powerful, fearless and rebellious man and an adventurous lifestyle that was alluring to a fairly large percentage of men in their mid-twenties and mid-thirties.

The brand had a good story tell, but the company still had numerous problems over the years, and faced bankruptcy on more than one occasion. The main issues that the company faced were:

Their products were objectively less reliable than what their competition had to offer
They faced very aggressive competition from a number of quality Japanese brands
The brand had become associated with biker gangs, notably the Hells Angels
They were seen as old-fashioned and outdated

In other words, Harley-Davidson had to address their reputation issues or face extinction. However, this was not something that could be fixed by merely changing the logo – their products didn’t meet the quality standards that the customers were accustomed to and they didn’t appeal to the younger generation. The brand actually adopted an incredibly smart strategy – spend less money on marketing and focus on making the product better.

Image via www.harley-davidson.com

Once they worked out all the little problems that had plagued their motorcycles, the company experienced impressive growth – Harley-Davidson, a brand that was on the verge of bankruptcy twice before, is now worth around $1 billion.

The company still faces a big problem, their average customer is a white American male pushing fifty, but they have shown that they are ready to reach out to a more ethnically diverse and younger target audience. The brand plans to shift its focus towards marketing in 2016. [2]

2. Massey Bros. – Leverage Your Premium Service, Tell Your Brand Story and Ensure Your Brand Identity Creates Distinction

Massey Bros. Funeral Directors is a successful family owned and managed business established in Dublin in the 1930s. They operate in a sector which is traditionally very conservative yet they’re industry leaders in terms of developing innovative solutions. They also have the added complication of having more than six competitors also operating legitimately under the ‘Massey’ name. In addition to this, they themselves also operated under two names before their rebrand!

Massey Bros. have always offered a very premium service but this five star, tailor made, message, their industry leadership coupled with their multiple first to market new innovative services solutions just wasn’t been properly represented in their brand profile, tone-of-voice or brand communications strategy. They also lacked a strong brand identity or consistency across their brand collateral.

We conducted research and a brand audit health check, re-evaluated their whole brand proposition and purpose, their positioning, signage, uniforms, brand collateral and brand strategy. The outputs and findings from this initial body of work then provided the direction for a complete brand overhaul resulting in absolute clarity over their brand proposition, a much stronger brand identity, a higher profile with distinction in the marketplace, consistency across all the brand collateral and most importantly strong staff brand custodians throughout the business that continue to pro-actively manage their brand in the marketplace. And of course, increased market share. You can read the full details of this rebranding case study here.

3. Target – Know Your Audience and Keep Things Simple

Target was initially envisioned as a brand that catered to a somewhat more sophisticated shopper, a person looking for a more sophisticated shopping experience than one would normally find in extremely low-priced stores like Walmart, but who also wanted that stay within a reasonable budget. The problem was that, over the years, the “deal-hunting” aspect became more prominent, which essentially lead to Target being equated with the very same economy shopping experience that they originally strived to distance themselves from.

This caused brand incongruence, with fashionable clothes on one end and cheap food items on the other, and they simply could not compete with well-established economy brands that ruled this segment of the market.

Target performed a brand audit health check, and found that they were neglecting a very important demographic. In the words of Brian Cornell, Target chief executive: “Our guest is going to be increasingly a Hispanic shopper.” [3] The brand, realizing that over 50% of Hispanic Millennials identified Target as their preferred shopping destination, even created several Spanish-language adverts, with a unique hashtag – #SinTraducción (without translation).

Another big step towards engaging their primary audience was the decision to unite their smaller “mini urban stores” under the Target brand logo. The company previously distinguished these smaller outlets as TargetExpress and CityTarget.

Image via Target.com [Target express store]

The logo design for the mini urban stores proved confusing, the words “express” and “city” were simply placed next to the classic bull’s-eye Target logo, and will only feature the Target logo going forward. With these changes, the brand has revitalized its image. However they still apparently have a bit further to go according to USA Today as things like the infamous 2013 security breach, and their latest OCD sweater has reportedly put their customers’ loyalty somewhat to the test.

4. Hybrid Technology Partners – Don’t Pigeonhole Yourself with a Poorly Thought Out Brand Identity

Formerly known as HybridIT, this Limerick-based company offer a wide range of services, including IT, software development and customer support. They even offer a product – a unique business management ERP (enterprise resource planning) system. However, anyone who saw the “IT” in their brand name immediately thought of them as just another IT company. [4]

This prevented the company from accessing a larger market share, and the fact that their logo didn’t communicate their core brand message effectively threatened to keep HybridIT in the shadows. Luckily, this “more than just an IT” company caught on and decided to revitalize their brand.

When working on creating appropriate brand identities for our clients, we focus on ensuring all the brand foundations have been fully developed using our Personality Profile Performer™ system before we even look at the aesthetics or design. The outputs from this system provide the roadmap for ensuring the brand identity outputs together with brand messaging and tone of voice are market and target audience appropriate, unique and in keeping a brand’s core values.

At first glance the change was subtle, they became HybridTP, but that one little letter was a monumental step in the right direction. The new brand identity, Hybrid Technology Partners made two things very clear:

The brand offers diverse technological solutions for streamlining a business
The company views its clients as partners, and works with them to find the best solutions

The new brand identity, coupled with some light modifications to their website, allowed HybridTP to convey their brand values – honesty, cooperation and trust – and connect with a much larger audience more effectively.

5. Narragansett Beer – Learn How to Appeal to Millennial Consumers

Pabst Blue Light used to be the beer of choice for blue-collar workers and hipster Millennials, but in recent years an old New England beer has stolen their title as the number one “cheap and cool” US beer.

The Narragansett brand has a long history, it was established 125 years ago, but the company recently made a very wise business decision and revitalised the brand, targeting Millennials. They didn’t stray away from their roots, their New England provenance, and long history being the key elements that distinguished the brand from the competition, but they did make some notable changes to the product packaging and re-evaluated their branding strategy.

The old slogan, “Made on Honor, Sold on Merit”, remained unchanged, but with fun and colourful commercials, local girls photographed in the traditional pinup style for their calendar and increased social media activity, Narragansett has successfully made a transition into the digital age.

Image via www.narragansettbeer.com

We know from personal experience that the Millennial demographic can be a powerful driving force that launches a struggling brand to new levels of success. Understanding both what makes their brand unique and what appeals to a Millennial audience, has allowed this low-priced craft beer to secure its position on the market. Saying that the rebrand was a success would be an understatement – the brand brought in $12 million in revenue last year, 120 times more than in 2005.[5]

These five successful rebrand stories all carry an important lesson for any struggling brand. A brand audit can help you reveal your weaknesses be it a problem with the quality of the product itself like in Harley Davidson’s case, an issue of brand incongruence, a dissonance between the brand logo and core brand values and the services offered by the company or a lack of awareness of your primary audience’s needs and preferences.

A brand relaunch is not something to be taken lightly or done for the pure sake of change, but if a brand has fallen on tough times, lacks relevance or isn’t leveraging its full potential with its target market, implementing a carefully planned brand revitalisation strategy is a big move in the right direction.

• Rebranding Strategy: Why Your Rebrand Must Embrace Storytelling

• Rebranding Strategy: Using Premium Repositioning To Increase Profitability

• Brand Personality: Is Your Brand’s Character Big Enough to Compete?

• Rebranding: How to Make It Through a Rebrand and Emerge Stronger

• Brand Audit: Tips for Determining Your Brand’s Health – Can It Be Improved?

• Brand Naming: Top Ten Methods for Brand Name Creation

• Humanizing Your Brand: Why It is Key to Commercial Success

• Brand Profiling: Top 6 Components to Creating a Strong Brand Personality

• Creating New Brands: Top 10 Tips for Brand Success

• Brand Profiling: How to Use Emotion to Make Your Brand More Profitable

So, what do you think?

• Does your brand have trouble staying relevant?

• Did you perform a brand health check to determine if there are any weak points you could improve upon?

• Are you targeting the right audience, and do you really understand the needs of your primary audience in terms of their needs, wants, loves, hates and aspirations?

• Are your products and services up to standards, or are you having problems keeping up with the competition?

• Is your brand identity consistent with your core values, and the type of products and services you offer, or is it unnecessarily pigeonholing you into a single niche?

[1] Steve, Cubemc.com, Digital Trends: Understanding and Targeting the ‘Always-On’ Consumer, April 2015

[2] Mark Ritson, Branding Strategy Insider, “Can The Harley Davidson Brand Age Gracefully?”, October 2015

[3] Sarah Halzack, WashingtonPost.com, “Target’s new strategy: We need more than just minivan moms”, March 2015

[4] IrishExaminer.com, Small Business Q&A: Paul Brown, September 2014

[5] Kristina Monllos, Adweek.com, “How Narragansett Beer Rebuilt Its Brand With a Meager $100,000 Media Budget, Deep roots and word of mouth”, June 2015

Lorraine Carter Speaking at The Future Business Forum, Bucharest

December 22, 2015/0 Comments/in Branding, Branding Trends, Business, Trends /by Lorraine Carter

Would you like some critical insights into the future trends of branding and business today?

Join me at The Future Business Forum 2016, Romania, where I’ll be addressing the key trends in branding and how they’re impacting business so you’re empowered to make the right decisions for your future brand success.

Glen Kieran, Founder, Future Business Forum will provide an insight into the critical challenges organisations are facing when looking at their business 10 years ahead.

Ozana Giusca, Founder and CEO Tooliers, will share her strategies to generate business without any sales reps, no sales calls or meetings, simply by smartly using the Internet.

Discover where the world is going and use those insights to drive your business strategy for your future brand success and increased profitability.

Want to know more?

Click here for details…

What Customers Want: Top 16 Branding Trends in 2016

December 7, 2015/0 Comments/in Brand Culture, Brand Experience, Brand Personality, Brand Story, Brand Strategy, Branding, Branding Trends, Business, Customer Engagement, Global Branding, Integrated Marketing, Interactive Marketing, Market Insights, Marketing, Millennial Branding, Mobile, Mobile Commerce, Online Marketing, Social Engagement, Technology, Video, YouTube /by Lorraine Carter

More than a half century ago, the customer-centric branding pioneer Walter Landor said, “Products are made in the factory, but brands are created in the mind.” [1] In 2016, the path to that consumer experience is a two-way street, and guess who’s in the driver’s seat? Brands with strong personality are the winners, because customers equate great experiences and emotive meaning with strong, distinctive brands.

While Mr. Landor had massively insightful branding vision, he couldn’t have foreseen the challenges brands face in 2016. The 21st century consumer shopping and purchasing experience has changed, and continues to change…fast. Demanding and sophisticated customers no longer simply reach for “new and improved” brands on display shelves.

Digital Developments in Branding

In 2016, any brand overlooking the following trends would do so at their own peril:

• Shift to mobile is the main message for every small, medium, or large-sized brand in 2016. According to Google, “Mobile has forever changed what we expect of brands.” [2]

• Understanding digital is key. For even the smallest brands, the monetization of social platforms means we’re in the “pay-to-play” era. So going forward, every big brand marketing department needs a deep understanding of digital and every small brand needs to maximize their resources.

• Interpreting data tells brand marketers what’s working and what’s not, ensuring that spending choices are made wisely.

Simply put, your customers are online and that’s where you need to be. Specifically, they’re on mobile and increasingly, they’re watching video content to make purchase decisions.

Yes, just when we thought ubiquitous online shopping had tolled a death knell for bricks-and-mortar stores, Amazon introduced its first-ever real physical bookstore in Seattle University Village. [3] What does this signify 20 years after Amazon went live with cut-rate books online that nearly destroyed bookstores? Amazon is connecting the dots between its troves of big data on customer preferences and the 2016 desire for a humanizing browsing and shopping experience. No one is yet pronouncing this first bookstore as a trend, but it’s worth keeping an eye on. (Remember, Amazon Founder and CEO Jeff Bezos purchased the Washington Post when everyone said print newspapers were dead.).

Image via www.amazon.com

Branding Studies Highlight Customers Expectations

“Speedy, seamless and sensory,” is the brand experience consumers want in 2016, according to the Landor Associates study released in November 2015.[4] Today’s challenge for brands, says Landor’s CEO, is to continuously evolve, to be utterly relevant, while all the while staying true to the brand’s essence.

The largest group of consumers on the planet are Millennials (born between 1980 and 1995), and they’re adults now. The youngest in this cohort will turn 21 in 2016. As Edelman reveals in their latest worldwide “8095 Survey” of Millennials’ purchasing preferences, brands must surprise and delight to gain loyalty, because average is not acceptable.[5]

Image via www.edelman.com

In PwC’s latest global survey, “Retailers and the Age of Disruption,” the overarching trend is that “…the premium in the future will be on creating unique, brand-defining experiences that keep customers coming back — whatever the channel.” [6]

Branding keywords for 2016 include: personalized, authentic, humanized, interactive, engaging, and mobile.

We take a closer look at some outstanding examples from brands that illustrate key 2016 on-trend pointers to successfully target today’s customers.

Brands Can Flaunt a Sense of Humour

Lowe’s Home Improvement highlights their products by inspiring successful DIY through amusing, real life storytelling videos. The series are short and sweet, showing projects that will make you feel like you can accomplish anything, from painting a room to building an outdoor deck. Anyone who has ever tried to fold a fitted sheet will empathize with this guy.

Brands Are Storytellers

“I don’t think the world is ever going to want to stop hearing stories,” is the sentiment expressed by Angela Ahrendts during her tenure as CEO of Burberry. She emphasized that anyone who is touching your brand wants to see, feel and hear its authentic story. Tell it visually, amplify it with music, create energy around it. Ahrendts obsession about doing all of the above is why she’s America’s highest-compensated female executive as Sr. VP of Apple.

Brands Should Support Good Causes

Aligning with charitable endeavours, championing social issues or running an environmentally sustainable business is good for a brand, its customers and the community at large. Choose wisely, care deeply and gain credibility in the process. Marks & Spencer produced their Oxfam donation partnership called Shwopping profiling celebrity ambassadors, Annie Lennox, Emma Thompson, Twiggy and other leading ladies.

Brands Gain Trust via Authenticity

RED Lookbook is an Estée Lauder advert for their fragrance, Modern Muse Le Rouge. It’s delivered as a feel-good video featuring a “real” person, UK social influencer Fleur DeForce, wearing lots of red and using the fragrance. “Top priorities to succeed have to be authenticity and passion,” the beauty video blogger with 1.3 million subscribers told Digiday. Followers are accustomed to seeing Fleur in intimate, authentic videos relaxing with her husband, friends, dogs and favorite products. The 27-year-old provides a disclaimer, “I only ever work with brands that I personally use and love, and only to promote products I genuinely like and believe in.”

Brands Become Approachable

The evolution of wine reveals a case in point about humanizing a brand. Today’s winemakers are portraying down-to-earth personalities. Even the glamorous bubbly Moët & Chandon, founded in 1743, is behaving in a way that’s anything but stuffy and old fashioned.

Image via www.moet.com

In California wine country, “7 Deadly Zins” from Michael David Winery just knows how to have a good time with their Zinfandel branding, paired with fresh air and a mountain hike.

Image via www.michaeldavidwinery.com

And, there’s a seriously excellent wine inside the bottle illustrated with dancing elephants on a cartoon-like circus label; this Syrah was rated #2 in the world for 2015 by Wine Enthusiast Magazine. [7]

Image Courtesy of Lodi Winegrape Commission

Brands Relate To Consumers’ Lifestyles

In just six months, Fitbit has scored 6 million YouTube views for its 30-second rom com, “Know Your Heart.” It’s completely relatable and inexpensive to make. “The campaign plays off the duality of knowing your heart emotionally and physically in a cheeky and relatable, story–driven way that resonates with our brand,” says Fitbit global marketing VP Tim Rosa. “We wanted it to be relatable and charming, while showing that getting fit and healthy is attainable if one sets his/her heart to it.”[8]

Top 16 Brand Trends Checklist for Engaging Customers in 2016

1. Consumers crave brand authenticity. They want personalized, engaging and humanized interaction with brands, even humour that brings a smile to the face.

2. Customers are embracing disruptors, from healthcare wearables to taxi services and non-hotel stays.

3. Consumers are making emotional decisions about brands that feature distinctive, compelling storytelling and a friendly tone of voice, not corporate-speak bravado.

4. Customers want responsibility and accountability from brands. They’re looking deeper into a company’s ethics, environmental position, supply chain, production processes, diversity hiring, mission statement and corporate giving.

5. Consumers are tuned in. They place more value on online reviews from strangers than on brand advertising.

6. Customers are listening to employees as brand champions whose opinions on the brand culture can speak volumes via social media and in person.

7. Consumers are searching and shopping online. They expect fast, seamless, quality brand experiences from super fast mobile websites to free, next day delivery.

8. Consumers are looking at FMCG (Fast Moving Consumer Goods) and packaging design that goes beyond a logo, photos or serving suggestions in favour of labels that may reveal personality, tell about a product’s backstory and offer interesting “did you know” facts up front.

9. Consumers continue to relate to brands that relate to their own lifestyle preferences.

10. Consumers are consulting with children living at home in making their purchase decisions, including vacations.

11. Customers require a sense of place when they travel, not cookie-cutter, look-alike hotel and restaurant chains.

12. Customers express themselves through the brands they associate with, including artisan, hand-crafted, small production items from bricks and mortar stores or limited edition and customized products from larger brands.

13. Customers want two-way communication and co-creation with brands that are connecting with their customers and responding to feedback.

14. Consumers are tired of annoying in-your-face advertising that screams a one-way message. Native advertising and re-targeted effective messages that deliver relevance are the way to get attention in 2016.

15. Consumers expect multi-channel agility from brands. They prefer original brand video content and how-to advice to be seamlessly accessible across their multiple devices.

16. Consumers are rejecting photo-shopped, zero-sized beauty definitions in favour of natural and real, wellness and gender-neutral positioning.

Image via www.edelman.com

In conclusion:

• It’s not your brand anymore. It belongs to your customers.

• Brand experiences matter more, not stuff. Bring shareable new ideas to the marketplace.

• Brands must be created and developed using strong well developed personas. Make it personal, emotive, relatable and real.

• Clever and amusing is the new approach. Humanize your brand.

• Brand loyalty must be earned. Sophistication and authenticity are the order of the day for a much more discerning customer.

Ask yourself:

• How many of these 16 trends can you tick off your brand must-do list as part of your brand strategy for the year ahead?

• Has your brand found the right tone of voice for 2016?

• Have you defined your brand’s personality and strategized about how it is being expressed?

• Does your brand require a refresh or a re-branding to resonate with today’s consumers?

• Have you identified your brand’s positioning and unique selling points and successfully incorporated them?

• Has your brand aligned with a charity? Has it embraced sustainability and green initiatives? Is there a corporate social responsibility message that’s making its way to customers’ ears?

• Rebranding Strategy: Why Your Rebrand Must Embrace Storytelling

• Brand Profiling: Top 6 Components to Creating a Strong Brand Personality

• Creating New Brands: Top 10 Tips for Brand Success

• Brand Personality: Is Your Brand’s Character Big Enough to Compete?

• Millennial Branding: 6 Ways Your Brand Can Appeal to Millennial Customers

• Co-Branding: 13 Tips for Growing Your Brand Through Strategic Partnerships

• Video Brand Strategy: Top 11 Tips for How and Why You Need to Use Video

[1] http://www.aiga.org/medalist-walterlandor

[2] https://www.thinkwithgoogle.com/micromoments/au.html

[3] http://www.amazon.com/b?ie=UTF8&node=13270229011

[4] http://landor.com/news/landor-releases-2016-brand-trends-brick-and-mortar-is-back-and-speedy-seamless-sensory-experiences-are-in-demand

[5] http://www.edelman.com/insights/intellectual-property/8095-exchange

[6] http://pwc.to/1XKvq8G

[7] http://cf.bgwm.co/v1/toplists/2015/wines/BOY_Enth_100_2015.pdf

[8] http://www.fastcocreate.com/3046378/dude-chases-a-girl-and-a-healthier-lifestyle-in-this-new-fitbit-ad

Luxury Branding: How to Establish or Re-Position Your High-End Brand

November 30, 2015/0 Comments/in Brand Ambassador, Brand Audit, Brand Auditing, Brand Audits, Brand Champions, Brand Collaboration, Brand Experience, Brand Health Check, Brand Identity Design, Brand Personality, Brand Premiumisation, Brand Profiling & Positioning, Brand Promise, Brand Strategy, Branding, Co-Branding, Luxury Branding, Packaging, Packaging Design, Premiumization /by Lorraine Carter

In order to understand the branding strategies developed and utilized by the top luxury brands, those who have maintained their reputation for over several decades, as well as those that have successfully re-positioned themselves as high-end brands, we must first look at the very definition of luxury.

There are four main characteristics by which the luxury customer defines a luxury brand:

Quality
Craftsmanship
Exclusivity
Elegance

However, the way in which someone perceives luxury will depend on factors ranging from their socio-economic status to their geographical location. According to latest Albatross Global Solutions and Numberly study, “The Journey of a Luxury Consumer”, people from different parts of the world prioritize the order of importance of these key factors differently when defining luxury goods. For example, an overwhelming majority of luxury consumers worldwide value quality above all else, however, UK luxury consumers place more importance on craftsmanship, while elegance plays a more vital role when it comes the global luxury market.

Since customer preferences and definitions can vary from one jurisdiction to another, luxury brands need to tailor their brand communications strategy for each of the relevant market segments they are targeting, while remaining true to their core brand values, brand DNA and brand story. It can be challenging but with the right brand strategy it can be hugely rewarding, as evidenced by Louis Vuitton and their distinctly different approach to marketing their luxury brand in Japan.

The brand collaborated with Japanese artist Takashi Murakami in the early 2000’s to create a more colourful version of their classic monogram, and even reduced prices slightly during the economic crisis, to retain its position on the Japanese luxury market. However, it performed best when focusing on the quality and craftsmanship aspects of luxury brand on the Japanese market, as opposed to the allure of exclusivity and elegance — that had a greater impact with their customers in Western countries.

Luxury is About Exclusivity

In order to thrive, a luxury brand needs to secure its own unique corner of the market. Premiumisation strategies or high price points are designed to attract a particular kind of customer while alienating others – the high quality, and the unique experience that a luxury brand provides will not be right for everyone, nor should it be. To quote the head of Lexus Europe, Alain Uyttenhoven: “Our cars won’t please everyone.”

The brand strategy developed and deployed in different jurisdictions often varies because the definition of luxury changes amongst consumers as we move around the world and up the socio-economic ladder. Also, some of the top luxury brands strategically choose to stay out of the most obvious limelight. Very subtle marketing and the fact that the general public isn’t necessarily aware of their existence creates a unique aura of mystique and exclusivity. It also alludes to the fact that high-quality craftsmanship and aesthetics are amongst luxury brands’ highest priorities, values which are not compromised by things such as price sensitivities.

The brands at the very top of the luxury spectrum are not necessarily bound by the same constrictions of the more mainstream ‘accessible’ luxury or premium sector. Indeed, more exceptionally wealthy clientele might perceive price tags or ostentatious displays of affluence as lacking in taste in certain markets. In fact, there is a wise old saying in the luxury yacht industry: “If you have to ask about the price, you probably can’t afford it.”

Infographic via Raconteur.net

The French purveyor of personalized luggage, Goyard, is a fine example of a luxury fashion brand that has retained its high-end status for over a century, continually prospering without engaging in many of the strategies that are considered to be the cornerstones of effective mainstream marketing.

The brand favours direct sales and word of mouth marketing over media hype, large-scale advertising and online sales, even though Goyard has thousands of followers on several social media platforms, including the luxury brand’s newly launched YouTube channel.

This extreme level of exclusivity amongst long established luxury brands, e.g. specialising in a single product category to the point of elevating a brand to the level of art or supreme craftsmanship, can be used as one element of a brand strategy to create distinction and separate it from the rest of the market, but it can also be a more challenging route for newer entrants to the luxury market.

The luxury landscape is changing, and a brand can quickly become irrelevant if it lacks online exposure. Millennials are close to outspending Baby Boomers, according to a Berglass + Associates and Women’s Wear Daily study that explored the retail industry, which means that a brand has to account for the values that drive Millennials when developing their brand strategy.

For Millennials the bigger purpose of a brand, its big why, has a significant impact on their purchasing decisions which means that CSR and so forth has a bigger role to play in brand strategy than every before — for this growing audience.

The smartphone is an essential component of the Millennial lifestyle because it allows easy access to multiple online platforms and immediate connectivity – 85% of Millennials in the 18-25 age bracket and 86% of those in the 25-34 age bracket own a smartphone[2], while 88% of Millennials use Facebook as their primary news source.[3] For more traditional brands this means embracing new fully integrated brand strategies that wouldn’t have seemed relevant eight to ten years ago.

Even luxury brands that are primarily focused on in-store purchases, e.g. Goyard, are investing in social media and reaching out to affluent Millennials. The way that younger generations perceive luxury is markedly different from the way Baby Boomers perceive it, and luxury brands have a challenging task ahead of them – educating Millennials on luxury goods and adapting their brand strategy to fit the Millennial lifestyle.

Develop Trademark Brand Symbols and Assets Beyond Just Your Brand Logo

Rolls-Royce Phantom Drophead Coupé has been virtually unchanged for years, and the silhouette itself is just as recognizable as the logo, brand name and the Spirit of Ecstasy mascot attached to the bonnet.

It’s the Rolls-Royce uncompromising commitment to quality craftsmanship and attention to detail that has the brand where it is today. When we work with clients to develop a distinct brand identity that reflects their core brand values, personality, story and communicates their brand message it requires a similar level of focus from everyone working on the project coupled with a deep understanding of the brand’s primary target audience in order to achieve successful results.

Burberry’s trademark black, tan and red check pattern and Channel No. 5 perfume’s simple, yet elegant bottle design are both instantly recognised by the average consumer. These are distinct, different and memorable brand assets that are as important as the brand names themselves.

Founded 150 years ago Burberry is a particularly interesting case study because not long ago it was struggling to maintain a consistent brand identity leading to the brand falling off its luxury positioning, despite its admirable provenance. Inconsistencies in product variants, pricing and communication strategies all combined to undermine the brand. In fact this brand, now worn by Emma Watson and Kate Moss to mention a few high profile names, was once at risk of being considered frumpy before its very successful luxury revitalization strategy was implemented so successfully.

It wasn’t until Angela Ahrendts took over as CEO that a long-overdue brand repositioning and brand relaunch was set in motion resulting in the iconic and much sought-after luxury brand we see today. The company was restructured and the sourcing of materials and production was centralised in the UK. Burberry stores were modernized and equipped with iPads, digital displays and audio equipment that enabled the brand to showcase its quality craftsmanship through video material, and to provide a more engaging customer experience.

However, the true stroke of genius was the decision to focus on a younger demographic, and utilize social media as a powerful promotional tool. To successfully target the affluent Millennial consumer, Burberry had to diversify its product line and make significant stylistic changes, while at the same time retaining the timeless aesthetic that the brand was once known for.

The results of the brand relaunch were astonishing – Burberry doubled their revenue and operating income within five years, and successfully repositioned their brand as a luxury brand. Their famous Burberry check is once again associated with premium quality British craftsmanship.

Provide a Memorable Brand Experience for Your Customers

With a luxury product, the brand packaging, presentation and shopping experience are just as important as the quality and exclusivity of the product itself. Luxury customers are far from average shoppers, they are wealthy and powerful people with refined tastes. A luxury brand has to engage these customers on multiple levels – spark curiosity, engage all the senses, stimulate the mind, and make an emotional connection.

The Gentleman Floris, a new line of luxury men’s grooming products launched by the Floris London, a nearly 300-year-old British family perfumers brand since 1730, uses understated heraldic symbolism on the embossed navy blue packaging to reference its noble origins and royal patronage coupled with its renowned to quality, craftsmanship and rich heritage. The brand story is used eloquently to draw its audience in and sell its brand proposition.

We have created many different packaging design solutions for clients over the years, both luxury and FMCG, and when you consider that on average you have less than 9 seconds to engage your customer through the impact your packaging design has on them, it is critical that your customer gets an immediate sense of your brand story, promise and values if you want to close the sale.

Image via www.florislondon.com

In luxury branding everything from the customer journey to the brand experience and customer service, not to mention the accessories, has to be carefully considered to ensure that it’s elevated to an exceptional level.

The brand experience has to be much more personal, which means that staff, your brand ambassadors, must be chosen to fit with your brand values and culture. They need to be fully inducted and trained in all the details of how your brand is lived and experienced, both internally and externally, and how that unique brand experienced is transferred and cultivated with each the individual customer.

Sometimes this training may also require the front line staff to make important judgement calls in the heat of the moment, in order to accommodate the customer’s specific needs. At the Ritz-Carlton Hotel, each employee is empowered and trained to anticipate and fulfil their guests needs with an exemplary level of service.[4]

Image via www.Ritz-Carlton.com

The Ritz-Carlton is another good example of a luxury brand that successfully maintain its positioning for decades and in fact case studies have been built around its success. The Ritz-Carlton Leadership Centre is now the place where executives from other companies worldwide in many different sectors come to learn The Ritz-Carlton principles of service.

The Ritz-Carlton success is due to a number key factors such as they have:

A formulated a set of standardized hiring criteria
Empowered their front line staff and instituted a standardized brand language
A consistent high-end luxury brand experience regardless of location
Take note of user feedback, perform regular brand audit health checks
Constantly evolved to adapt with the times while staying true to their core brand values

The Ritz-Carlton has created an admirable balance between maintaining a consistent brand image and evolving to meet the needs of a new generation of patrons who prefer more authentic interactions with the staff. It’s their uncompromising commitment to excellence which has made them the only brand to win the much sought after US Presidential Baldrige Performance Excellence Award twice, firmly establishing Ritz-Carlton’s positioning as a luxury brand and setting the highest standards for customer service throughout the luxury hotel market.

Create an Aura of Exclusivity by Limiting Supply

Special limited edition items often become cherished collector’s pieces and dramatically increase in value over the years. In fact, the lack of product availability doesn’t negatively affect a luxury brand they way it might other mainstream brands. Its limited availability to the select few makes it even more appealing to its target customers.

Long waiting lists have never deterred Hermès fans, who often wait several months for the privilege of purchasing the brand’s signature Birkin bag. [5] Some of the most popular luxury car brands are the ones with both the highest prices and longest waiting lists. Only the most persistent and loyal customers gain access to these limited items, which enables you as a brand owner or manager to create an elite subgroup within your customer base.

The Rolls Royce SG50 Ghost Series II is a prime example of a brand offering a limited edition product to a particular segment of their target demographic, another example of the exclusivity strategy at work, and establish an emotional connection with its customers. In this particular example, Rolls Royce honours the fact that 2015 marks 50 years of Singapore’s independence, helping it increase individualised customer brand relevance and secure an increased market share in one of Asia’s most developed economies, second only to Hong Kong in terms of financial freedom.

Image via www.luxuriousmagazine.com

The Apple Hermès brand collaboration helped connect the luxury fashion brand connect to a well-developed demographic of tech-savvy affluent Millennials while at the same time opening the horizons of the wealthy Apple users to the allure of a luxurious brand such as Hermès.

Image via www.apple.com

High-end craftsmanship and a sense of exclusivity have already been associated with both brands, but the halo effect of this collaborative project, the super-luxurious Apple watch, has proved to be quite beneficial in terms of exposing previously unexplored segments of the market to each brand.

Luxury watch aficionados and loyal Hermès customers who are delighted with this new offering will be tempted to explore some of the other Apple devices. On the other hand, the more affluent Apple consumer may easily eschew their previous luxury favourite and make Hermès their alternative preferred choice instead.

Be Proud of Your Heritage, but Offer Customization to Build an Emotional Connection

Giving consumers some decision-making power over the production process, even if their contributions are limited to the choice of colour or engraving, accomplishes several things:

It turns each product into a personalised more unique item that is to be cherished
It creates a more personal connection between the customer and the brand
It enhances the overall customer experience

Goyard doesn’t offer a diverse product range, but what it does offer is the ability choose from a wide range of colours and styles. A luxury customer can leave the Goyard store safe in the knowledge that the product they have purchased is truly unique, and tailored to their personal tastes.

Image via www.Goyard.com

Luxury brands can also use their geographical location to their advantage. A luxury brand is often associated with its country and region of origin – sparkling wines from the Champagne region have become a key component of many major celebrations, BMW and Mercedes are touted as the epitome of German engineering precision and so on. The brand thus takes on the qualities associated with the local culture. We can use Burberry as a good example once again – its British heritage has been a key component in successfully repositioning the brand as a high-end brand.[6]

Create an Epic Brand Story that Mesmerizes Your Customers

A good brand story is instrumental in capturing the imagination of customers, but a luxury brand needs to go beyond mere storytelling and develop a veritable fairy-tale that fully immerses a customer, to the point where he or she wants to become a part of your luxurious world. The brand experience and how that is created lived and experienced is the penultimate test.

The legend of Coco Chanel and the immense respect consumers still have for the Chanel brand matriarch is a prime example of how effective legends can be in promoting a luxury brand. Her humble beginnings, timeless style and daring persona are woven into a narrative that all ambitious, independent, fashionable and adventurous women around the world find inspiring.

On the other hand, we have brands with a proud and storied history, such as White’s Gentlemen’s Club in London, which has no intention of expanding or opening its doors to anyone but the most select clientele.

Image via www.Goyard.com

Much like Goyard, White’s has no need for heavily resourced marketing campaigns, as it relies on its few elite “members” for word of mouth marketing. With patrons like Prince Charles and several British Prime Ministers gracing the bar and gaming rooms with their presence, being a member of White’s Gentlemen’s Club is considered a privilege. Even David Cameron’s vocal critique of men-only clubs and the fact that the British Prime Minister resigned from White’s did little to tarnish the reputation built on several centuries of myth and legend.

Key Takeaways to Consider

In conclusion, here are some key points to keep front of mind when re-evaluating your luxury branding or premiumization brand strategy:

Ultra premium luxury brands often use understated branding strategies coupled with word of mouth, but offer unmatched top end quality and exclusivity
Brands that have successfully repositioned themselves have invested in brand audit health checks and embraced the affluent Millennial demographic and use social media to spread brand awareness
Luxury brands that have successfully maintained their positioning for decades have used their provenance and leveraged near mythical brand stories to maintain brand distinction, but continued researching the market and changing trends regularly, and encouraged customer feedback to maintain relevance
Providing an exceptional customer experience in-store, through empowering frontline staff and developing a consistent brand language, is very important, as a majority of luxury consumers make their purchases in person
Involving customers in the production process enables a luxury brand to personalise its offering with a diversified range of unique variations, even if it doesn’t have an extensive reach across multiple categories
Collaborating with a brand that has a significantly different customer base and brand associations can produce a halo effect that is highly beneficial for both brands

• Co-Branding: 13 Tips for Growing Your Brand Through Strategic Partnerships

• Brand Audit: Tips for Determining Your Brand’s Health – Can it be Improved?

• Rebranding Strategy: Why Your Rebrand Must Embrace Storytelling

• Rebranding Strategy: Using Premium Repositioning To Increase Profitability

• Colour in Brand Strategy: Colour Psychology and How it Influences Branding

• Video Brand Strategy: Top 11 Tips for How and Why You Need to Use Video

• Creating New Brands: Top 10 Tips for Brand Success

• Brand Profiling: Top 6 Components to Creating a Strong Brand Personality

• Millennial Branding: 6 Ways Your Brand Can Appeal to Millennial Customers

So, what do you think?

• Have you performed a brand audit to identify the holes in your luxury branding strategy?

• Is your brand utilising social media to its fullest potential and reaching out to affluent Millennials?

• Are you using appropriate brand language?

• Have you created a consistent brand image?

• Have you considered how you can make your brand more profitable by changing your brand strategy with a premiumization approach to reposition your brand, create an aura of exclusivity and attract luxury consumers?

• Do you have an exceptionally engaging brand story that elevates the brand to legendary status and could be leveraged to better effect with a rebranding?

[1] Statista.com, Value of various global luxury markets in 2014, by market type (in billion euros)

[2] Nielsen, Mobile Millennials: Over 85% of Generation Y Owns Smartphones, September 2014

[3] Americanpressinstitute.org, How Millennials Use and Control Social Media, March 2015

[4] Forbes.com, Micah Solomon, Your Customer Service Is Your Branding: The Ritz-Carlton Case Study, September 2015

[5] Uché Okonkwo, Luxury Fashion Branding: Trends, Tactics, Techniques

[6] The Australian, “Paul Smith, Burberry and Mulberry Revive ‘Made in Britain’”, September 2014

Seasonal Branding: Tread Carefully with Christmas Themed Brand Strategies

November 24, 2015/0 Comments/in Ambush Marketing, Brand Champions, Brand Collaboration, Brand Collateral, Brand Health Check, Brand Loyalty, Brand Personality, Brand Profiling & Positioning, Brand Relevance, Brand Reputation, Brand Sponsorship, Brand Story, Brand Values, Branding, Business, Cause Marketing, Co-Branding, Customer Engagement, YouTube /by Lorraine Carter

Fourth quarter commercialism looms large. Sparkly red and green Christmas displays are simultaneously mounted as spooky orange and black Halloween decorations come down.

From Ireland to Illinois, consumers react in unpredictable ways to brand seasonal messages that creep in earlier and earlier every year. For retailers, that response can mean boom or bust for critical end-of year-sales figures.

Black Friday Launches the Season

Like a turkey sandwich in-between Halloween and Christmas, America has another huge national holiday. On the fourth Thursday of November, the weekend following Thanksgiving traditionally signaled the official start of Christmas during most of the 20th century. Dreamt up as a marketing concept in 2003, Black Friday is now the most frenzied shopping day of the year. It sees queues forming overnight for big sales, many beginning at dawn and some as early as midnight on Thanksgiving Day.

Black Friday is spreading. In recent years, Canada, Mexico and India have followed suit while giant American retailers like Disney and Apple introduce online sales in Australia, too. French shoppers are familiar with “Vendredi Noir.” In the U.K., Tesco and Argos 2014 Black Friday promotions prompted police action in Manchester, with Argos withdrawing from the event in 2015.

Meantime, as early Christmas shop windows draw back the curtains on November installations, the 114-year-old U.S. retailer Nordstrom takes a different approach, making a statement about celebrating one holiday at a time, as seen in a window display.

Image via www.twitter.com

In America, Hollywood goes nuts at the holidays over box office receipts for new film releases, but the small screen is tame on TV adverts compared to the U.K., where Christmas adverts are a national pastime.

We look at a mixed bag of examples representing both large brands and smaller ones on both sides of the pond to see how campaigns are making the most of the season — while others have misfired and are quickly pronounced a failure. See what you think about these adverts.

Balancing Sales Strategies Intended as Charitable Endeavours

John Lewis is one of those nationwide UK brands that attracts considerable media attention with their annual Christmas message, usually a tear-jerker. This year’s advert tells the story of a little 6-year-old girl called Lily and an old man she spies with her telescope, who lives — all alone and lonely — on the moon. The advert is designed to raise awareness for the charity, Age UK, with its tagline: “Show someone they’re loved this Christmas.”

According to The Guardian, “Last year, the retailer also spent £7m on a campaign featuring a realistic animated penguin and a young boy playing together to the tune of John Lennon’s Real Love, sung by British singer-songwriter Tom Odell. It had drummed up 22m views on YouTube by the first week of January…” This year’s numbers are soaring ahead of last year’s.

Rachel Swift, head of brand marketing at John Lewis, is quoted in The Telegraph saying there is a consistent style for the store’s seasonal adverts. “It is has become part of our handwriting as a brand. It’s about storytelling through music and emotion. The sentiment behind that hasn’t changed – and that is quite intentional. The strategy behind our campaigns is always about thoughtful gifting.”

The £1 million production for a six-week-long £7 million campaign, which includes more cost for shop floors kitted out to resemble a moonscape, has seen members of the public ask[1]: Why couldn’t John Lewis make a multi-million contribution to Age UK? In fact, the profits from three small ticket items sold at the department store – a mug, a gift tag and a card – will go to the charity supplemented by donations from the public, inspired by the advert’s message.

Image via www.twitter.com

Brands Play to Emotions to Drive Brand Loyalty

Tugging at the heartstrings via hugs, cute penguins, a melting Mr. Snowman, and even World War I soldiers celebrating a Christmas truce in the trenches are among the emotional connections brands are working and spending hard to make happen.

Why? In a word, loyalty. As pointed out by a retail analyst[2], for modern consumers to change brands no longer involves driving to another village or shopping centre; swapping brands is as easy as the click of a mouse. All of which means your brand strategy needs to be a lot more sophisticated if you want to first attract and then hold onto your customers. Remember people buy with emotion first and justify with rational afterwards — regardless of gender or cultural background. Your brand must be rich with authentic personality, have a really big why — reasons beyond the money to buy, create emotionally compelling reasons to engage, and ensure it includes an advocacy strategy within your action plan if you want to increase your profitability and ensure long-term success.

A MindMover opinion poll[3] indicates the following brands are most closely associated with Christmas adverts in the U.K.: Coca-Cola, Marks & Spencer, Tesco, Sainsbury’s, Argos, Cadbury, Asda, Toys R Us and Amazon. Not queried is the million pound question — that is, whether top-of-mind-awareness produces the all-important return on investment.

A Big Brand Blunder at Bloomingdale’s

Bloomingdale’s, U.S. luxury fashion chain stores owned by Macy’s, made such a spectacularly poor judgement in their 2015 Christmas advert that a week after the department store had apologized via Twitter, major editorials continued to call for a deeper response.

Image via www.twitter.com

“Appearing to promote date rape,” says the Wall Street Journal[4], the “creepy” and “offensive” advert reads, “Spike your best friend’s eggnog when they’re not looking.” Clearly, it went viral in the wrong way for the large retailer.

Image via www.twitter.com

A Storm in a Teacup at Starbucks

At Starbucks, they knew what they were doing when the white snowflakes decorating the seasonal red cup design were removed. A seemingly simple change sent consumers in large numbers straight to social media, to sign a petition, and to boycott the brand, claiming that Starbucks was making an anti-Christ religious statement. “It’s just a red cup”, tweeted the voice of reason while Instagram lit up with Starbucks images and the nation’s top talk show hosts chimed in.

Image via www.vox.com

Three lessons learned, says Entrepreneur[5], and small brands should pay especially close attention to number three on this list:

1) All PR is good PR. Starbucks marketing knew the response wouldn’t be universally positive, but they also knew this was not a crisis

2) The power of social media sharing is awesome — and free

3) Brands who react fast can newsjack a trend. “Other coffee brands got a boost from the issue, such as Dunkin’ Donuts, with its holiday cup release.

Image via www.twitter.com

The subject has also created opportunities for smaller companies, YouTubers and creative types alike to ride the wave and get attention.”

Image via www.twitter.com

That’s the same brand strategy employed by the many John Lewis parody adverts that follow immediately on the heels of the store’s annual commercial.

Smaller Brands & Seasonal Brand Strategies

Small brands can make a large impact in the community by scaling ideas such as co-branding in a lower key way, supporting a charity or club, adding removable seasonal details to products and packaging design, donating Christmas trees to community centers, hospitals and nonprofit organizations.

In London, independent, privately-owned residential estate agency Bective Leslie Marsh has supported West London Action for Children for over a decade. Estate agents and local residents partner to raise funds for the 98-year-old charity through year-round bridge and tennis tournaments, trivia quiz nights, barn dances, garden fetes and more.

To offset Black Friday’s emphasis on big box stores and chain stores, Small Business Saturday was launched in the USA in 2010. It focuses on the bricks and mortar local shops that are the fabric of the Ma & Pa character neighbourhoods with American Express is the main sponsor. Partnerships and promotion via Google street view, Twitter, Instagram and Facebook come up with initiatives to launch holiday shopping on the last Saturday of November too.

Other successful ideas have included branded shirts and kits for a local sports club, providing staff to serve Christmas dinners at senior centres, running a toy drive or food hampers collection, singing Christmas carols to collect for the Salvation Army, St. Vincent de Paul and similar. It’s important to make a small investment in well design brand collateral such as banners, posters, placards, T-shirts, caps and other branded items to decorate and to wear in order to properly associate the occasion with your own brand.

So, what do you think?

• Are you often caught short of time, or do you have a holiday marketing plan drawn up by Quarter 2? Do you need to include this as part of your brand audit health check or brand revitalization strategy?

• Does your brand have a charitable and/or community giving programme?

• Does your brand strategy include corporate social responsibility?

• Do you know what initiatives, outreach or volunteer activities your employees — your brand champions — would feel most supportive of on behalf of your brand?

• Do you feel confident about maximizing the potential impact on sales via volunteerism on behalf of your brand?

[3] “Glad Tidings for John Lewis…”, The Guardian, 6/11/15

[4] “Bloomingdale’s Holiday Ad Draws Backlash…”, Wall St Journal, 12/11/2015

[5] “3 Lessons from Starbucks’ Red Cup ‘Controversy’”, Entrepreneur, 16/11/2015

Purpose Equals Purchase

Profit is Not Brand Purpose

What Does Your Brand Stand For…And Upon?

Defining Brand Purpose

How Clear Brand Purpose Improves Performance

Case Study 1: How Coca-Cola Made History Selling Togetherness

Case Study 2: How Wal-Mart is Re-Thinking Purpose

Case Study 3: How Patagonia Used Reverse Psychology with its Purpose

More Case Studies on Brand Purpose

Questions About Brand Purpose to Consider:

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What is Corporate Social Responsibility?

Why is CSR Good for Business?

Developing an Effective Corporate Responsibility Plan for Your Brand

Examples of Brand CSR Strategies That Have Worked Well, and Why

APS Group

Method

LUSH Cosmetics

Charting the Results of Your CSR Strategy

Key Takeaways

Questions to Consider

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What is a Cult Brand, and Why is it Smart to Build One?

Characteristics of a Cult Lifestyle Brand

4 Top Tips for Creating a Cult Brand

1. Tell a Strong Brand Story

2. Excel at Doing or Giving Something People Greatly Value

3. Truly Value Your Customers

4. Give the Impression of Scarcity

Case Study: SoulCycle

Case Study: J. Crew

Case Study: Vij’s and Rangoli

Key Takeaways

Questions to Consider

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Why Are Brand Audit Heath Checks Valuable?

Internal Versus External Brand Audits

Two and Five-Step Brand Audit Methodologies

Deciding What to Do After a Brand Audit Health Check

Case Study: MadeSmart Housewares Refreshes Its Brand

Case Study: Monsanto Seeks to Improve Brand Perception Among Staff Members

Key Takeaways:

Questions to Consider:

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When Should a Company Invest in a Rebrand?

Lessons Learned from 5 Successful Rebranding Strategies

2. Massey Bros. – Leverage Your Premium Service, Tell Your Brand Story and Ensure Your Brand Identity Creates Distinction

3. Target – Know Your Audience and Keep Things Simple

4. Hybrid Technology Partners – Don’t Pigeonhole Yourself with a Poorly Thought Out Brand Identity

5. Narragansett Beer – Learn How to Appeal to Millennial Consumers

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So, what do you think?

Digital Developments in Branding

Branding Studies Highlight Customers Expectations

Brands Can Flaunt a Sense of Humour

Brands Are Storytellers

Brands Should Support Good Causes

Brands Gain Trust via Authenticity

Brands Become Approachable

Brands Relate To Consumers’ Lifestyles

Top 16 Brand Trends Checklist for Engaging Customers in 2016

In conclusion:

Ask yourself:

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Luxury is About Exclusivity

Develop Trademark Brand Symbols and Assets Beyond Just Your Brand Logo

Provide a Memorable Brand Experience for Your Customers

Create an Aura of Exclusivity by Limiting Supply

Be Proud of Your Heritage, but Offer Customization to Build an Emotional Connection

Create an Epic Brand Story that Mesmerizes Your Customers

Key Takeaways to Consider

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