Brand is dead, long live brand!
- 12 February 2016
- 1,874 views
Negative views of brand are becoming more common – marketers must remember why the concept is so important.
Research conducted by IBM last year showed that 80% of consumers feel the average brand doesn’t understand them as individuals. Meanwhile, controversies across sectors are destroying public trust.
This is leading consumers – perhaps rightly – to form negative impressions about the offending brands, and brand in general. This is a problem: it damages the ability of honest players in the market to reach potential customers.
As custodians of brand, it is important for marketers to understand why it came into existence, and why it is still relevant today – only marketing professionals can breathe new life into this vital concept.
- Brand is a differentiator. Historically, brand arose as a way for companies to distinguish themselves – like the signature of an artist, it helped people to tell the work of a master from the inferior product of a plagiarist in an instant. This is still a vital task today; marketers may want to go after the copycats that cheapen the concept by aping superior brands.
- Brand defines business vision. There is no consistent strategy without brand. An organisation’s actions should flow naturally from its principles and goals – and it’s impossible to formulate and cultivate these properly without a brand identity. Brand identity is also important internally – having a vision about who you are, where you are going and what positive impact you would like to make is vital to motivating everyone, from the managing director to the most junior employee.
- Brand simplifies choice. According to the economic theory of Adam Smith, people are rational actors; they will actively seek out the best quality product at the best price. The problem is, that’s not a feasible approach in a modern consumer society. In the average supermarket, for example, there are now 40,000 SKUs. People just don’t have the time to make a carefully researched decision about every purchase. Brands help people to narrow down the range of possibilities to just those products that are appropriate to them at the moment of decision.
- Brand still drives loyalty and advocacy. It isn’t just about helping people to identify your products, it’s about helping them to identify themselves. The products that people buy allow them to make statements about who they are. That’s what the brand crisis is all about, after all – people make brand a part of their own identity, and feel hurt if the organisation behind the brand lets them down.
If you’re doing the right things, brand is the medium through which they can share their love. So it’s important both to ensure your organisation is acting ethically, and to provide people with ways to be loyal or advocate for you through social media.
For more on the future of brand, click here to listen to Rose Bentley, global head of business development at Wolff Olins, explain her views on the importance of the concept today.Back to all
- 1,874 views