A brand is a business personality that defines every action of a company.
Everyone knows the super brands Apple, Nike and Zappos. How did they become so famous?
You should not assume that brand building depends on experimentation, the correct calculation of time and pure chance. Brands become iconic if a company understands what a brand is and how it affects its day-to-day activities.
A brand is not just people's ideas about the company and the product, it is an individuality that should be reflected in any activity of the company.
People do not just buy goods based on a rational analysis of prices and quality, but take into account the feelings and values that are associated with the brand.
Example. Having coffee at Starbucks means getting not only a morning dose of caffeine, but also an impression of the surroundings: music, furniture or a smiling barista.
Brand building benefits:
1. A company can increase profitability.
Example. A study by Vivaldi Partners consulting agency showed that customers are willing to pay a higher price for branded products.
2. For companies with a strong brand, it’s easier to develop a value system. The brand becomes a compass guiding the company in manufacturing processes, marketing campaigns and corporate culture.
Example. Starbucks will never buy cheap furniture. The company could save, but such a solution would diverge from the Starbucks brand.
Corporate culture is the foundation of the brand
A brand is needed not only for advertising and marketing. It is also important for employees: a corporate culture based on brand values will help people work together to achieve a common goal.
Imagine your brand is a light source aimed at potential customers. Your suppliers or sales representatives are the link between the brand and the consumer. If these people do not share the brand’s values, they will block or distort its light, reducing the impact.
To avoid this situation, eliminate any contradictions between brand values and organization. Explain to each interested party what the essence of your brand is and why it is so important. Everyone should understand how his actions will affect the brand, and how he can correctly represent the brand, increasing its value in his daily work.
Instrumentation and general meetings:
- The toolkit helps employees understand brand values and apply them. It can take the form of a deck of cards or a small book with the core values of the company.
- General meetings will help employees understand and determine how brand values influence every component of the business.
Example. Starbucks managers at the meetings tell the story of the coffee bean's journey from the plantation to the visitor's cup, while explaining how the company's brand impacts every step.
Great brands create an emotional connection with the consumer
At first glance, the slogan “Just Do It” seems ineffective, because it does not even mention the name of the company or its products. Why did this phrase become one of the best slogans of all time?
Successful branding is based on the emotional connection between the brand and the consumer. Scott Bedbury, Nike Marketing Manager, said: “The Just Do It slogan is not about sneakers, but about values. It’s not about the product, but about the spirit of the brand. ”
Example. The Just Do It campaign involved both professional athletes and amateurs, who first talked about their emotions and achievements without mentioning Nike, and then a slogan appeared on the screen.The campaign found a powerful emotional response: people started writing Nike about how they also “Just Did It”, quitting boring work, starting to train or giving up bad habits.
How to reach consumers emotionally?
Use empathic research. Ask customers: “How do you feel when you buy a product?”, “What needs are met when you buy and / or use a product?”. So you can find out about the personal life of your consumer.
Example. Although Pampers was a market leader in 1998, their sales fell. After conducting an empathic study, the company found that young mothers were more concerned about the good sleep of babies than about dry diapers. Therefore, Pampers created diapers to help children sleep better, and sales skyrocketed.
Great brands create trends
A great brand should not meet current trends. Trends are short-lived, and trying to adapt the brand to each change can violate its integrity.
If you follow a competitor’s trend, consumers will see you as a follower, not a leader. Your products will be compared with competitors. Your company, product or brand should not be regarded as such.
Example. Hyundai has positioned itself in the minds of consumers: "Good, like Lexus, but cheaper." Therefore, Hyundai is perceived as a copycat, not a brand, constantly releasing new products. Lexus also has an emotional advantage, which distinguishes it.
Instead of following trends, create your own by challenging existing ones: challenge the status quo and generally accepted dogmas that dominate your industry.
Example. It is believed that to be competitive in the fast food industry means lower prices, expand the assortment and hire cheap labor. The Chipotle restaurant chain did the opposite: they used expensive, high-quality ingredients to lure customers, and increased employee salaries. Although dining at Chipotle is more expensive than at Taco Bell, restaurants have been very successful.
Another way to create your own trend is to anticipate the mood of consumers and take advantage of it.
Example. Starbucks noticed that people seek privacy. Therefore, the company positioned its coffee houses as an “island” between home and work, where visitors spend time comfortably.
Great brands don't try to please everyone
It is dangerous not only to blindly follow trends, but also to chase universal sympathy. This can briefly increase profits, but trying to interest everyone can harm the integrity of the brand.
Great brands don’t want to win the hearts of every consumer, but let all the energy go to key customers.
First, find out who your customers are, what they need, and what kind of brand you want to become for them. Sort potential customers by needs.
- Pay attention to the key, that is, ideal potential buyers;
- Analyze when needs related to your product are activated;
- From these needs, select those that match the image of your brand and direct marketing efforts to them.
Example. Imagine a snack maker using needs-based selection to figure out which consumers want snacks, why, and what time of day. It turned out that in the morning people need to “get a charge for the whole day,” that is, a nutritious and wholesome snack. This ideally corresponded to the brand’s values, so the motto of the campaign was “Charge for the whole day!”.
If you try to please everyone, the brand can become boring, and in any case you will have ill-wishers. Brands with individuality and integrity always attract loyal customers.
Example. The controversial brand is the Red Bull Energy Drink. Although the product is very successful, at first there were rumors about the health risks of Red Bull.Interestingly, the owner of the company himself created a website to help spread these rumors. He wanted teachers to hate the brand, and students to love it.
Great brands adhere to the basic ideology, even if at the same time you have to give up tempting opportunities
Meeting the requirements of shareholders, most managers are required to constantly introduce new products, expand their business and range of services. But growth due to the integrity of the brand can lead to its death.
Example. Krispy Kreme was an incredible success in the 1990s. They sold delicious, fresh donuts in stores designed with one goal in mind - to tap into all five consumer senses. To live up to shareholder expectations and make quick money, Krispy Kreme began selling donuts at gas stations and grocery stores. This not only damaged the quality of the product, but destroyed the consumer perception of the brand.
How to avoid this fate? When making strategic or ethical decisions, always adhere to the basic ideology adopted by the founders. It includes the promised values, goals and features that you are not entitled to ignore. Companies that understand the importance of the brand grow and change only if it meets the basic ideology.
In the bestselling book From Good to Great, Jim Collins writes that for great brands, the problem is not in finding growth opportunities, but in choosing them correctly. Incredible opportunities may seduce a company, but it’s important to be able to abandon them if they do not meet the basic ideology.
Example. Krispy Kreme underestimated the value of the store’s customer experience and longed for short-term profits, virtually destroying its brand.
Every detail of customer experience must match the brand
Large companies have many departments that interact with customers, and the brand must be fully and evenly integrated into each of them. How to do it?
- You must know all points of interaction with customers. This may be packaging, marketing, sales channels, customer support and so on. A pleasant impression of the brand will instantly be destroyed by a grumpy manager or a broken website. The highest return point is your product.
- Each interaction point must be consistent with the brand’s values. Observe how employees represent these values and how the customer responds to them.
Example. REI, an American sports equipment retailer, found that their prices and product information were significantly different in reality and on the Internet. Quickly responding, correcting all inconsistencies, they prevented the destruction of their brand.
How to provide the desired customer experience at the points of interaction? Think through all the details, they determine the formation of the relationship between the brand and customers.
Example. Thanks to the recommendation of Mike Markkul (one of the first investors in Apple), Steve Jobs realized that the packaging design, tactile feel of the product and even its smell are extremely important.
Creating an impression of a brand is like doing a theatrical production.
Great brands generously support projects related to them
We talked a lot about the importance of a strong brand for a company. But it can be useful for the whole world. A key factor in branding is doing good.
In 2012, branding experts John Herzema and David Roth announced that the company was entering a new era where corporate reputation and brand unite.
Building a reputation, companies can no longer rely only on objective factors (innovation, quality and price). For buyers, “soft” factors (reliability and responsibility in relation to people and the environment) became decisive.
Example. The study showed that 73% of buyers will replace the usual brand with the one that funded the good cause.
But charity must be selfless.Otherwise, consumers will think that you are simply engaged in “green PR”: with one hand you make a profit, and with the other you make donations.
Do not think that by helping random environmental or social projects, you will distract consumers from the damage caused by your business.
Example. Imagine that the oil company BP announced the establishment of a charity project to save 1,000 acres of rainforest. Do you believe BP truly cares about the environment? Hardly.
The main goal is to create common value both for the brand of your company and for the whole world. Support only projects related to your industry, community and / or target customer group. Projects should reflect brand ideology.
Example. During Starbucks' Job Creation for the United States, the company provided funding to local businesses. This project is ideal for a socially oriented brand culture.
Every employee must know the brand values and embody them
The brand should become a compass for the entire organization. Brand strategy needs to be activated, so two key principles across the company are important.
1. Disseminate information about the brand and its strategy at all levels of the organization. Explain to your employees that your brand is your business, not just its aspect. It is critical to require employees to follow the values of delirium. It is also important to plan events at which employees will learn about the values and apply them (on tools or general meetings).
Example. Try regular quizzes to check your brand knowledge. Also encourage those who show brand value particularly well.
2. Implement projects aimed at bringing the entire organization in line with the long-term brand strategy.
Example. According to the strategy, design is very important at Apple, which every employee of the company knows about.
Such projects should be managed by leaders and evangelists (advocates), representing brand values. They are also required to remove any obstacles to the adoption of values.
Example. At Apple, this function was performed by Steve Jobs himself, who was obsessed with design.
A brand is not only a marketing method, but also an invaluable tool for improving the organization and making complex strategic decisions.
The most important thing
A brand is more than a marketing tool. This is a compass for the organization and strategy of the company. Strong brands can attract many customers, but companies must maintain brand integrity. Do not chase trends, growth or every consumer segment.
Let the brand “permeate” your entire business. Think about your brand and its impact on the business. Does your work strengthen the brand and meet its goals? And how does the client see your work? Does he know which brand you work for? If branding takes center stage in your work, work will become more focused and enjoyable.
Create your own trends. Do not let your company be perceived as a follower, not as a number one brand. Try to refute the conventional wisdom and status quo of your industry. Try to anticipate consumer sentiment using empathic research - ask more questions to your customers.
