Tag: Advertising

Do “Blue Ocean” opportunities really exist? Or is it all just “Red Ocean”?

fedex-blue-ocean-strategy-1-638People love brainstorming “blue ocean” ideas where they’ll talk about how to create their own uncontested market space and make competition irrelevant. I’ve participated in those sessions and admit they are a blast. It’s a great tool for opening up business minds that might be stuck, get them out of the usual and explore where else you could go.
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At Beloved Brands, we always start with the consumer so that we ensure we are meeting the needs of consumers rather than blindly putting things out into the marketplace that no one wants. However, the second check is the competitive nature of your positioning to make sure I’m not blindly putting things out that someone is already doing. Murder and Strategy have one thing in common, they both start with opportunity. Yes, finding those blue ocean strategies, can create opportunities.However, the reality is that most brands play in a highly competitive space where every gain you make, comes at the expense of someone else, who is also constantly trying to win. Netflix has dramatically impacted network television and movie theatres, Uber is experiencing fights across North America with Taxi companies and Municipal governments and Amazon is fighting against brands selling direct. While you might use Blue Ocean to create these type of ideas, you have to use Red Ocean when you start to run these businesses. Be prepared that anytime you take a dollar away from someone, they will fight back.

How to win in a Red Ocean world

Brands have four choices:  better, different, cheaper of not around for long

The key is to find a unique selling proposition for your brand.  You don’t always need to find a rational point of difference as long as there is room to be emotionally unique.Slide04

Map out everything your consumer wants–all the possible need states. Then map out all the benefits that you and your competitors can do better than anyone else–both functional and emotional zones.  You want to find that intersecting zone where what you can do best matches up to a need state of the consumer. Then find a way to serve that need state to the best of your ability and transform it into an even bigger deal than first meets the eye. Avoid the intersecting zone where your competitor is better than you and please avoid that zone where you and your competition foolishly battle in an area that “no one cares” about. The battle ground zone is where both you and your competition can satisfy the consumer need at an equal rate. To win in this situation, you need to get creative and find ways to out-execute or find some emotional connection that changes the game and makes you the clear winner.

Competitive Warfare

At the start of any strategy definition, you should ask “where are we?” Here are four questions to be asking that force you to choose four possible solutions to each.

  1. What is your current share position in the market?
  2. What is the core strength that your brand can win on?
  3. How tightly connected is your consumer to your brand?
  4. What is the current business situation that your brand faces?

This article focuses on question one which speaks to where you rank in the market, which a great indicator of how much power you can command in the market.  You have four choices, using Marketing Warfare (Trout and Ries) you are either the Leader, Challenger, Niche or a Guerilla.

  • Leader (defensive): Leader of category or sub-category defending their territory by attacking itself or even attacking back at an aggressive competitor.
  • Challenger (offensive): Challenger’s attack on the leader to exploit a weakness or build on your own strength.
  • Flanking: An attack in an open area where the Leader is not that well established.
  • Guerrilla (Niche): Go to an area where it’s too small for the Leaders to take notice or are unable to attack back.

The leader uses defensive strategies

Defensive strategies should be pursued by the leader. Not only the market share leader, but the perceived leader in the consumers’ mind. Attacking yourself is the best defense. Identify and close leaks in service, experience or products. Introduce new products superior to your current. Challenge the culture to step it up to continually get better and stay ahead of the competitors. Can’t be complacent or you’ll die. The Leader blocks all offensive moves. Keep an eye on your competitors moves—and adjust your own brand to ensure you defend against their attacks. Attack back with an even greater force than the one attacking you. Demonstrate your brand power. Leverage all the brand power you’ve mustered to maintain your positional power.Slide1

The challenger brand uses offensive strategies

The best offensive attack is to actually find weakness within the Leader’s strengths. Turn a perceived strength around is very powerful. Attack a weakness might be insufficient. Be careful of the Leader’s Defensive moves. Anticipate a response with full force—possibly even greater than yours. Avoid wars that drain resources and hold same share after the war. Attack on as narrow of a front as possible to ensure your resources are put to that area—which might be more force than the leader puts to that one area. Narrow attacks are effective when the leader tries to be all things to all people—enabling you to slice off a part of their business before they can defend it. Leapfrog Strategy, technology and business models are game-changers in the category.Slide2

The flanker brand stays clear of any battles

The flanker strategies go to uncontested areas, in the safety where the leader is not competing. Make sure you are the first in this area. Speed and surprise can help win the uncontested area before the Leaders take notice. Make your move quickly and stealthfully. Follow through matters, to defend the area you’ve won. Others may follow—whether it’s the leader trying to use their might or copy cats looking for an early win. You can win with new targets, price points (premium or value), distribution channels, format or positioning. Flanking, while lower risk of attack from the leader, is a higher risk with consumers because innovation is always riskier because consumers might not like the concept.

Guerrilla warfare wins where no one notices or cares

Pick a segment small enough that it won’t be noticed and you’ll be able to defend it. Be aggressive. Put all your resources against this small area, so that you’ll have the relative force of a major player. Be flexible and nimble. You’ll need to enter quickly to seize an opportunity that others aren’t noticing, but also be ready to exit if need be—whether the consumers change their minds or competitors see an opportunity to enter. Explore non-traditional marketing techniques to get your brand message out and your brand into the market quickly. Because you’re playing in a non-traditional market, you’ll be given leeway on the tools you use. For Guerrilla brands, it is better to be loved by the few, than liked or tolerated by many.Slide1

Marketing Warfare Rules for Success

  1. Speed of attack matters. Surprise attacks, but sustained speed in the market is a competitive advantage.
  2. Be organized and efficient in your management. To operate at a higher degree of speed, ensure that surprise attacks work without flaw, be mobile enough.
  3. Focus all your resources to appear bigger and stronger than you are. Focus on the target most likely to quickly act, focus on the messaging most likely to motivate and focus on areas you can win.   Drawn out dog fights slows down brand growth. Never fight two wars at once.
  4. Use early wins to keep momentum going and gain quick positional power you can maintain and defend counter-attacks.
  5. Execution matters. Quick breakthrough requires creativity in your approach and quality in execution.
  6. Expect the unexpected. Think it through thoroughly. Map out potential responses by competitors.

In a red ocean world, you need to efficiently own your territory and ruthlessly beat your competitors.

Do you want to be an amazing Brand Leader?  We can help you.

Read more on how to utilize our Brand Leadership Learning Center where you will receive training in all aspects of marketing whether that’s strategic thinking, brand plans, creative briefs, brand positioning, analytical skills or how to judge advertising.  We can customize a program that is right for you or your team.  We can work in person, over the phone or through Skype.  Ask us how we can help you. 

We make Brands better.

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We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 3911

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Can Donald Trump manage his outspoken chaos and win?

The Donald Trump brand has clearly captivated America, dominated the media, polarized the electorate and rallied those who hate politics. And it’s now rallying those who hate Trump.

It has confused the political pundits and media experts, who are in shock that he’s leading the polls. Trump’s performance raises lots of questions: Can Trump keep up his controversial voice over the next 16 months, without self-destructing or wearing out his audience? Can Trump increase his following from that of a niche “challenger” type brand to being a mass “leader” type brand? While Trump now has a following, can he overcome his huge negatives and actually win? 

At Beloved Brands, we look at all types of brands and see what we can learn. This is our first politician we’ve covered, so bear with us. If you can’t see straight when reading a branding article about Trump, I suggest you stop reading. I’m just a marketer so this article will only talk about the Trump brand, not about the Trump politics. Plus, I’m Canadian so I’m not even a voter.

Love him or hate him. Trump 2016 is fascinating and offers plenty of lessons for brand leaders either running a brand or trying to create their own personal brand.

As Marketers, what can we learn from Trump?

  • Trump has a focused and clearly defined target market and he is not afraid to alienate those not in his target. We will call Trump’s core target market the “grumpy old men”, who are mad at all the changes over the years that have weakened America. But Trump is now connecting with a broader group of “disenfranchised Americans” that have struggled over the past 15 years. Trump has shown no fear of going after the enemy of his target:  illegal immigration. It’s a hot button with the “grumpy old men” but also for those “disenfranchised”. But the immigration policy is highly risky, potentially alienated many hispanic voters, who are approximately 22% of voters. While the issue reduces the size of “where will Trump play” to 78% of voters, his calculation likely assumes he’d be no where without that issue. The lesson for marketers: never be afraid to alienate consumers as long as you are passionately connecting with your core consumers. I once had a Brand Leader tell me that their target market was, “18-65, new potential customers, current customers and employees”. My sarcastic response was, “you’ve left out tourists and prisoners?” Every brand has limited resources (financial, people, time, partners) and spreading those limited resources across an entire population is resource prohibitive. While targeting everyone “just in case” might safe at first, it’s actually less safe because you never get to see the full impact. Realizing not everyone can like you is the first step to focusing all your attention on those that can love you. Trying to be everything to anyone ends up being nothing to everyone. Be honest in assessing your brand’s assets and then match those assets up to who is most likely to be motivated enough to buy your brand.
  • Trump is “different”. While every politician takes the “I’m an outsider to Washington” strategy, normally it’s said by a Governor or Senator–who are just as bad as those inside the beltway of DC. Trump is the only true outsider–never having ventured into politics in his life. When people lay claim to come from industry, Trump can own this, since he truly is industry. Beyond the classification, Trump comes across as the anti-politician, almost saying and doing everything “wrong”, but that’s part of his “charm”. The lesson for marketers: Brands have four choices: better, different, cheaper or not around for very long. You have to take a stand on finding what makes you unique. Unless you have a true technical advantage, being different is a much more powerful space to own than trying to be better, especially when it’s difficult to prove that you are better. When I look at market research, one number I love to look at is “made the brand seem different”. 
  • Trump has a focused 7-second Big Idea brand message, that’s easily explained and understood. 885734_1280x720“Make America great again” speaks to the idea that he wants to turn back the clock to a different time–likely to the 80s and 90s when American capitalism of Ronald Regan and Bill Clinton made America the one super power in the world. It’s an idea and not just a slogan. What’s Jeb’s brand in 7-seconds? His website say “I’m Jeb Bush and I’m asking for your support”. There’s not even a benefit in that statement.  Trump’s idea stands out as it will alienate the liberal left that organized and supported the Occupy movement a few years ago. Heck, Trump is the 0.000001% and makes no apologies for it. The lesson for marketers: are you able to describe your brand’s big idea in 7 seconds? And then, do you live up to it? Here’s when you need a 7 second pitch: a) In your advertising, it should be the idea line at the end of the TV ad, the billboard ad in Times Square or the button on Facebook. b) Internally, this is the rallying cry to R&D to focus their innovation, to HR on building the culture and to Senior Leaders for how to define the brand to everyone in the company. c) In sales, this is your opening line to the buyer or store manager or the dentist you’re trying to get to recommend your product. d) Even personally, at the start of the job interview, you should lead off with a 7 second pitch that describes yourself (e.g. I’m a marketer that finds growth where others can’t) At Beloved Brands, we believe that you should build everything on your brand around a Big Idea. Consumers want consistency from the brand. Constant changes to the advertising, packaging or delivery can be frustrating to consumers. Leverage a Brand Story and a Big Idea that balances rational and emotional benefits to help establish and build a much tighter relationship. Once you establish your big idea, line up everything under it, including your brand positioning, communication, innovation, in-store and the overall experience you create. So, what is your 7-second big idea for your brand?
  • Trump has used a marketing strategy that started with the love of a few followers, and created a momentum to gather more followers.creating beloved brands 2015x.049 If we use the Brand Love Curve above, Trump entered the race at the Indifferent or Like It stage for most voters, but he had a very small group of core loyal supporters who loved him. He used the Immigration Issue to immediately separate himself from the pack, giving him a tight connection with the “grumpy old men” who love him. Once it created a news story, it allowed Trump to use the Immigration issue to reach others and connect with them–particularly the “disenfranchised Americans” who were indifferent to Trump at first, but have since moved to Like Him or Love Him. The lesson for Marketers: you can leverage your following from those that already love your brand to create an even bigger following. Line ups follow line ups. This has been the strategy for a few populous brands like Apple and Starbucks the past 5-10 years as they’ve shifted from a cool challenger type brand with a core base of artist-type users that love the brand to becoming a mass brand that any demographic or profession can love.
  • Trump’s media execution and leverage of the media has been brilliant (so far). He’s dominated the news media every week. He’s consistently stayed on brand, with very few wobbles. Here’s how I would define the Trump brand character: Trump is that outspoken (loud mouth), strong-willed (over-bearing), highly accomplished (almost pompous) business leader from the opulent days of the 1980’s (the 1%). It will be a challenge for Trump to maintain this type of media execution–as most PR agencies tell you to “be careful”, yet Trump has to be the opposite. He had a post debate wobble when he attacked Fox’s announcer Megyn Kelly. It didn’t really do him any good, but he seems to have gotten past it without much damage. One thing Trump should never do is apologize as it would go against his brand. Voters who are connecting with Trump like his outspoken voice because he is saying what they wish they could say. And if he apologizes they’ll feel bad for thinking exactly what he has already said. Think of it as the “Andrew Dice Clay effect”: He was funny, until he told us he was sorry (and cried) then we felt bad for laughing and then he wasn’t funny anymore. Like Trump or not, watch below how he nailed “his brand” during the Republican debate. 

  • Trump’s entry into the Presidential race has broken every normal rule. For instance, on his recent visit to Iowa, he landed at a state fair in a Helicopter, brought a huge entourage and wore a suit (mind you, he had his baseball cap on). Trump’s rhetoric and style are so different from the usual politicians that his competitors (Jeb Bush or Scott Walker) don’t know how to deal with him. The lesson for Marketers: when you enter a new category, being the rule breaker sets you up as different. The launch of the iPhone was so different that the CEO of Blackberry laughed. When Starbucks launched the $4 latte, coffee competitors had no idea how to react. The launches of Amazon, Netflix and Uber have created such confusion among the incumbent brands, they don’t even know what to do. As you enter a new category, what rules will you break and how will you use that to your advantage?

But can he actually win?

The only way he wins is if he goes mainstream. And if he goes mainstream, the Trump brand will die. Like everyone that enters the race, his obvious brand vision is to win the Presidential election. (Or is it?) As the challenger brand, he’s captured a significant niche of frustrated voters. But while owning a niche is a great brand strategy for gaining share and effectively destroying your competitors, it isn’t enough to achieve your vision of winning the race. At some point, Trump needs to shift to being a mass brand and I’m not yet sure that’s possible. The only way to become mass is to become more mainstream and that risks going completely against the controversial Trump brand he’s created. Won’t a mainstream Trump brand be so watered-down that it would die?

Trump is looking at the wrong data points. He needs to reduce the negatives before focusing on the positives. While Trump keeps telling everyone he’s winning, as his support numbers has grown to 25% of the Republican side of the race, the real number they have to manage is the high 62% of voters who reject Trump, saying they’d never vote for Trump. If he can’t get that number down below 50, he’ll never have a chance to go beyond a novelty act. The issue in this election is that both parties are burdened by high un-likability numbers, with Hillary’s un-approval ratings above 50%. With all these high negatives, maybe all parties might like the idea that they won’t need a voter majority to win.

Can Trump maintain this level of chaos or will the Trump brand eventually fizzle? Trump has shown no signs of reducing the chaos, no signs of going mainstream and no signs of apologizing. That just leaves one alternative: voters get tired of Trump before election day. It’s hard to keep up such a long tenure of organized chaos to stay in the news while avoiding being attacked by the news. Lots of celebrities have tried this and it ended up biting them eventually. The brash “shock humor”  tends to wear out just as fast as it entered. Trump may finally say something so offensive that people want off the bandwagon for fear of association. Can Trump sustain this level of controlled chaos that connects with the disenfranchised voters? Election day is a long way away. My guess is he fizzles.   

Will Trump go third party still?  Every Republican beyond the voters seem to be against Trump, so let’s assume he’ll eventually lose the nomination. With Trump’s ego, he won’t be able to resist going as a third-party candidate.. And if we look to the 1992 results, it’s possible Trump could replicate Ross Perot’s support and get 18% of the vote. While that doesn’t win, it certainly changes the election as the other two will really be playing to see who can get over 41% instead of over 50%. So that brings us back to Trump’s real vision. Does he really want to be President or does he just want to disrupt the election?

Who will save this mess? And for everyone but Trump, this sure is a mess. The first two weeks of a campaign can make or break the candidate. Both Scott Walker and Jeb Bush must be disappointed with their performance, completely over-shadowed by Trump.They also bombed in the debate. Trump may not win the race, but he has possibly destroyed everyone else’s chances of winning. Maybe the next President isn’t even in the race yet?  

Love him or hate him, the Trump brand is fascinating. Many of us are starting to ask “can he actually win?”

To read more on how to create a personal brand, here’s a training workshop we lead with brand leaders around the world:

Also, if you’re interesting in Beloved Brands Training Programs for brand management, feel free to contact us to learn about our one day or three day boot camps for brand leaders. We believe that better leaders make better work which produces better results. Here’s more information.

We make Brands better.

We make Brand Leaders better.™

We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 39112015x gmr bio.001

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What you should do when your brand is stuck at the Like It stage

Figure out how tightly connected your brand is with your consumer

At Beloved Brands, we have created a hypothetical curve called the Brand Love Curve. The more tightly connected consumers are to the brand, the farther along the curve the brand sits, with brands sitting anywhere from Indifferent to Like It to Love It and finally to the Beloved stage, where demand becomes desire, needs become cravings, thinking is replaced with feelings. Consumers become outspoken fans.Slide1

While marketers dream of becoming a Nike, Coke, Disney or Apple, the reality is that most brands are closer to the “Like It” stage. That means you are doing a pretty good job, you’ve been able to carve out a bit of a niche and be a consistently chosen brand against proliferation of brands in your category. And you likely have good steady market shares, moderate profits and most brand indicators are reasonably healthy. It’s just that no one loves you. You’re likely not really doing enough to create a tight bond with consumers. It also means you might not be maximizing the full potential of your brand, you may be leaving your brand vulnerable to future attacks and you are leaving money on the table. 

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How do consumers see brands at the “Like It” stage

Consumers see your brand as a functional and rational choice. Your brand does a good job in meeting a basic need they have. They tried it and it makes sense so they buy it, use it and enjoy it. They likely prefer it versus another brand. The might not give it much more though. Consumers lack an emotional connection or have any real feeling for the brand. They see it as ordinary, which is just a little bit better than indifferent. Overall, consumers see you brand in the “it will do” space. 

Why is your brand at the Like It stage?
There are seven reasons why you are at the Like It stage of the brand love curve:

  1. Protective Brand Leaders means caution: While many of these brands at the Like It are very successful brands, they get stuck because of overly conservative and fearful Brand Managers, who pick middle of the road strategies and execute “ok” ideas. On top of this, Brand Managers who convince themselves that “we stay conservative because it’s a low interest category” should be removed. Low interest category means you need even more to captivate the consumer. Nearly every category has some consumers that have the potential to love the brand–it’s just a matter of finding them and a willingness to drive more emotion into your marketing.
  2. We are rational thinking Marketers: Those marketers that believe consumers are strictly rational when it comes to the brand are inhibiting their brands. The brand managers get all jazzed on claims, comparatives, product demonstration and doctor recommended that they forget about the emotional side of the purchase decision. Claims need to be twisted into benefits—both rational and emotional benefits. Consumers don’t care about you do until you care about what they need. Great marketers find that balance of the science and art of the brand. Ordinary marketers get stuck with the rational only. Don’t get stuck with just features and claims–match them up to consumer needs and create rational benefits and then dial them up to emotional benefits. We recommend using a customer value proposition brand ladder below to help turn your features into benefits.Slide09
  3. New Brand with Momentum: The second stage of a new brand innovation is ready to expand from the early adopters to the masses. The new brand begins to differentiate itself in a logical way to separate themselves from the proliferation of copycat competitors. Consumers start to go separate ways as well. Retailers might even back one brand over another. Throughout the battle, the brand carves out a base of consumers.
  4. There’s a Major Leak: If you look at the brand buying system, you’ll start to see a major leak at some point where you keep losing customers. Most brands have some natural flaw—whether it’s the concept, the product, taste profile ease of use or customer service. Without analyzing and addressing the leak, the brand gets stuck. People like it, but refuse to love it.
  5. Brand changes their mind every year: Brands really exist because of the consistency of the promise. When the promise and the delivery of the promise changes every year it’s hard to really connect with what the brand is all about. A brand like Wendy’s has changed their advertising message every year over the past 10 years. Looking at the various ads for Wendy’s, do you see a big idea? The only consumers remaining are those who like their burgers, not the brand.Screen Shot 2015-08-17 at 11.14.46 AM
  6. Your brand has positional power–so you figure who needs Love: There are brands that have captured a strong positional power, whether it`s a unique technology or distribution channel or even value pricing advantage. Brands like Microsoft or Walmart or even many of the pharmaceuticals products don`t see value in the idea of being loved. The problem is when you lose the positional power, you lose your customer base completely. Case in point is the Microsoft brand which has struggled to go beyond their Windows monopoly. 
  7. Brands who capture Love, but no Life Ritual: There are brands that quickly capture the imagination but somehow fail to capture a routine embedded in the consumers’ life, usually due to some flaw. Whether it’s Krispy Kreme, Pringles or even Cold Stone, there’s something inherent in the brand’s format or weakness that holds it back and it stays stuck at Loved but just not often enough. So, you forget you love them.

Indicators that your brand is at the Like It stage

From a business point of view, you likely see the brand has a lower conversion from awareness to sales, there is a high % bought on deal, low loyalty and you’re likely faced battling a  strong private label share. 

  • Low Conversion to Sales. While the brand looks healthy in terms of awareness and equity scores, the brand is successful in becoming part of the consumer’s consideration stage, but it keeps losing out to the competition as the consumer goes to the purchase stage. It usually requires a higher trade spend to close that sale which cuts price and margins.
  • Brand Doesn’t Feel Different: A great advertising tracking score to watch is “made the brand seem different” which helps to separate itself from the pack, many times speaking to the emotional part of the messaging.Slide04
  • Stagnant Shares: Your brand team is happy when they hold on to their share, content to grow with the category.
  • High Private Label Sales: If you only focus on the ingredients and the rational features of the product, the consumer will start to figure out they get the same thing with the private label and the share starts to creep up to 20% and higher.

How to get to the Love It stage

  • Separate your brand from the pack: stake out certain spaces in the market creating a brand story that separates your brand from the clutter. The best brands have 3 choices:  better, different or cheaper. When you struggle to be better, you need to find a way to be different so that your brand matches the winning zone below–where your brand’s clear point of difference matches up to what the consumer wants. Begin to sell the solution, not just the product.
  • Build a bigger following: Invest in building a brand story that helps to drive for increased popularity and get new consumers to use the brand.creating beloved brands 2015x.049
  • Leverage those that already love the brand: Focus on the most loyal consumers and drive a deeper connection by driving the routine which should increase usage frequency. On top of that, begin cross selling to capture a broader type of usage.strategy.001
  • Love the Work: It is time to dial-up the passion that goes into the marketing execution. Beloved Brands have a certain magic to them. But “Like It’ brands tend to settle for ok, rather than push for great. With better work, you’ll be able to better captivate and delight the consumers. If you don’t love the work, how do you expect the consumer to love your brand.
  • Fix the Leak: Brands that are stuck have something embedded in the brand or the experience that is holding back the brand. It frustrates consumers and restricts them from fully committing to making the brand a favourite. Be proactive and get the company focused on fixing this leak.
  • Build everything a Big Idea: Consumers want consistency from the brand—constant changes to the advertising, packaging or delivery can be frustrating. Leverage a Brand Story and a Big Idea that balances rational and emotional benefits helps to establish a consistency for the brand and help build a much tighter relationship. Once you establish your big idea, line up everything under that big idea including your brand positioning, communication, innovation, in-store and the overall experience you create.creating beloved brands 2015x Extract 9.001

Brands at the Like It stage tend to get complacent. You need to drive the Love into the work, and find the balance between rational and emotional benefits.

Does being loved matter?

The big idea behind RETURN ON LOVE (R.O.L.) is that the work you do on the brand is first and foremost focused on creating a strong bond between your consumer and your brand. Once you have that bond, you can use it as a source of power versus all the stake holders of the brand: power over customers, suppliers, competitors and even the very consumers you have the bond with. The brand would also generate added power with the media, key opinion leaders and employees. Once you have power, you can drive growth and profit, using that power to drive up price, drive down costs, gain market share and enter new categories. If your finance person asks “so what is the ROI on this”, I’m not recommending you say “we are focused on ROL buddy, not ROI” but what you should say is “we are investing in building a bond with our consumer that will give us more power that we can then wield much greater profit for our brand”

But seriously, having more love adds to the profits. Here are the 8 ways to turn brand love into more PROFITS for your brand.love power profit.005

With all the love and power the Beloved Brand has generated for itself, now is the time to translate that into growth, profit and value. The Beloved Brand has an Inelastic Price. The loyal brand fans pay a 20-30% price premium and the weakened channels cave to give deeper margins. We will see how inelastic Apple’s price points are with the new iPad Mini. Consumers are willing to trade up to the best model. The more engaged employees begin to generate an even better brand experience.  For instance at Starbucks, employees know the names of their most loyal of customers. Blind taste tests show consumers prefer the cheaper McDonald’s coffee but still pay 4x as much for a Starbucks.  So is it still coffee you’re buying?

A well-run Beloved Brand can use their efficiency to lower their cost structure. Not only can they use their growth to drive economies of scale, but suppliers will cut their cost just to be on the roster of a Beloved Brand. They will benefit from the free media through earned, social and search media.  They may even find government offer subsidies to be in the community or partners willing to lower their costs to be part of the brand.  For instance, a real estate owner would likely give lower costs and better locations to McDonald’s than an indifferent brand.  Apple get a billion dollars worth of free media, with launches covered on CNN for 2 weeks prior the launch and carried live like it’s a news event.

Beloved Brands have momentum they can turn into share gains. Crowds draw crowds which spreads the base of the loyal consumers. Putting the Disney name on a movie generates a crowd at the door on day 1. Competitors can’t compete–lower margins means less investment back into the brand.  It’s hard for them to fight the Beloved Brand on the emotional basis leaving them to a niche that’s currently unfulfilled.  Walk past an Apple store 15 minutes before it’s open and you’ll see a crowd waiting to get in–even when there are no new products.

Beloved Brands can enter into new categories knowing their loyal consumers will follow  because they buy into the Idea of the Brand.  The idea is no longer tied to the product or service but rather how it makes you feel about yourself.  Nike is all about winning, whether that’s in running shoes, athletic gear or even golf equipment. When Starbucks went for pastries and sandwiches their loyal consumers quickly followed.

The more loved a brand is by consumers, the more powerful and profitable that brand will be.

To read more on how to create a beloved brand, here’s a training workshop we lead with marketing teams around the world:

Also, if you’re interesting in Beloved Brands Training Programs for brand management, feel free to contact us to learn about our one day or three day boot camps for brand leaders. We believe that better leaders make better work which produces better results. Here’s more information.

We make Brands better.

We make Brand Leaders better.™

We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 3911

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What is “Blowfish” marketing?

blowfishWhen I talk with Brand Leaders about their problems, one of the first things they say is they don’t have enough Marketing Budget to do things they need to do. But when I observe what they are doing, I see that they are trying to do too much with the little money that they have. No matter how much marketing spend you have, you should challenge yourself to think and act like a BLOWFISH.

Simply put, a BLOWFISH strategy is trying to seem bigger than you are. In the world of highly competitive marketing, whether you are a start-up or a smaller niche player, you need to look like a real player to be noticed and purchased. To be successful, take all of your marketing budget and put it against one target market who you know you can move. Talk about one simple message that you know will be the most motivating. Put all of your money behind one activity that you know will drive your strategy.Slide1

You need to hyper-focus all of your resources against a very tightly defined target so that you will be able to reach everyone in the target with your message and move them to take action. That might mean narrowing the age to no more than a range of 3-5 years. It also might mean narrowing other demographics such as occupation or income level. And you may choose to only focus on key influencers and let them take your brand to the bigger mass audience. The big thing for a BLOWFISH strategy is you need to know that everyone in the target is already highly motivated so that all your effort will be in providing your brand as the solution. In the first time home buyers market, (mortgages, new homes) the idea target is 28-33, when most consumers decide to buy a new home. If you can win with that target, you’ll be able to establish your brand in the market.

You need to compress your activities over a focused time period so that you seem bigger than you are. Pick a 12-week period when you think your audience might be the most motivated to buy and take all your resources you have so you can completely dominate that period. In the spirit that crowds follow crowds, the target will start to believe that you are a major brand and look like a potential leader in the market. In terms of Return on Investment, (ROI) yes it’s a higher risk, but on the other hand after 12 weeks you’ll know if you have something–either your promise or your execution–that can move your target to action. So while the ROI might look riskier it’s actually less risky because you can find out quickly if you pass or fail. When I was in the allergy business, we took all of our money and focused it on 8 weeks of pollen season and 4 weeks of rag weed season, believing if we won these 12 weeks, we’d win the year. We saw tremendous growth going from a distant #2 to the clear #1 brand.

Take all your resources and focus them on the activities you know will have the most impact in moving your target to buy your brand. Where as most brands seem to spread their resources across 50 activities, I usually recommend only 9 activities. I believe that 3 strategies with 3 tactics per strategy gives you 9 activities that you can do an amazing job against. I’d put my 9 up against your 50 any day. For a BLOWFISH strategy, I’d recommend you only do 3 activities and do them well. If you know your concept is better than the product, focus on advertising, if you know your product is better than the concept then focus on trial. If it’s a consumer driven brand, put all your money on the consumer and let them search and demand the product. But if it’s about being on shelf, then focus on the retailers. When I was in the confectionary business, we had such a unique format on Listerine strips that we spent all our money on sampling before we even got to shelf. The product was so unique, people wanted to share their secret. We were able to track that consumers were sharing a pack of 24 strips with up to 13 people, so that the consumers were doing the work for us. In our first share period, we were the #1 brand.

Where Your Focus Shows Up

  • Pick a focused Target Market
  • Pick a focused Brand Positioning
  • Pick a Focused Strategy
  • Focused Activities

Why should you focus?

  • Every brand is constrained by resources—dollars, people and time. Focus makes you matter most to those who actually might care. Focusing your limited resources on those consumers with the highest propensity to buy what you are selling will deliver the greatest movement towards sales and the highest return on investment for those resources. I was leading a session on a Tourism Region and asked who the key targets were. The first answer was pretty good–it was some of the regions that were within close proximity. Then people around the room kept saying “well, what about…” and “we can’t forget…” and “we don’t want to alienate…” And the President says in serious tone: “we target everyone, because it could be anyone really”.
  • In a competitive category, no one brand can do it all. Focus makes you decide whether to be better, different or cheaper. Giving the consumer too many messages about your brand will confuse them as to what makes your brand unique. Trying to be everything is the recipe for being nothing. I was lucky that my first marketing job at General Mills was managing child cereals, where each quarter, I had to do a promotion on 5 different cereals. So, twenty times per year, I had to work with the 2 x 2 inch corner of the cereal box and put a message that would make a 5-year-old scream at their Moms to buy the cereal. That taught me a lot about focusing my messaging.
  • Trying to do everything spreads your resources and your message too thin, so that everything you do is “ok” and nothing is “great”. With a long to-do list, you’ll never do great at anything. And in a crowded and fast economy, “ok” never breaks through so you’ll never get the early win to gain that tipping point that opens up the gateway to even bigger success. I once had a director working for me, who kept spinning around never getting anything done. His team was complaining that every time they started a new project, he’d come up with new ideas. I sat down with him and asked him to bring his project list for the up-coming quarter. He came in with 83 projects!!! I said “how do we narrow this list down to five”. He looked at me like I was insane.

When You Focus, Four Things Happen

  • Better ROI: With all the resources against one strategy, one target, one message, you’ll be find out if the strategy that you have chosen is able to actually moves consumers, drives sales or enhances other key performance indicators. Did you actually get done what you wanted to get done? If you spread those resources, you may never see any movement and then figure your strategy is wrong.
  • Strong Reputation: When you only do one thing, you naturally start to become associated with that one thing. With consumers, you get the reputation as the “fast one” or the “great tasting”. And internally, as people in the company start to align to your one thing, eventually you become very good at that one thing. Look at Volvo with “safety”. Every consumer message for 30 years is about safety. And internally, everyone at Volvo is fixated on safety, coming out with new safety innovations ahead of everyone else. Yes, Volvo’s have leather seats, go pretty fast, have a CD player and even come in multiple colours. But they don’t feel the need to have to say it.
  • More Competitive: As your reputation grows, you begin to own that one thing and your are able to better defend the positioning territory. As categories mature, brands start to stake claims and if you’ve got something that’s unique, relevant and motivating, you’ll be able to own it.
  • Bigger and Better P&L: As the focused effort drives results, it opens up the P&L with higher sales and profits. With a better ROI, you get to go back to management and say “it worked” and they’ll say “ok, let’s increase the investment”. And that means more resources will be put to the effort to drive even higher growth. As you efficiently drive the top-line, the P&L opens up a bit and becomes easier for a brand leader to work with.

While many start-ups or smaller brands use this strategy, the ideals behind the BLOWFISH strategy are relevant to everyone. Look and act bigger than you are. Take all of your resources and put them to one target, one message, one time period with fewer bigger bets that you know will pay off. Wait a second, that’s starting to sound like Marketing, not just this crazy BLOWFISH strategy.

Like a BLOWFISH, brands need to look and act bigger than they are

To read more on brand strategy, here’s a training workshop we lead on brand strategy:

Also, if you’re interesting in Beloved Brands Training Programs for brand management, feel free to contact us to learn about our one day or three day boot camps for brand leaders. We believe that better leaders make better work which produces better results. Here’s more information.

We make Brands better.

We make Brand Leaders better.™

We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 3911

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How to drive power for your brand, by taking Porter’s 5 forces model to the next level

I remember 20 years ago when I was in business school and I learned Michael Porter’s 5 forces model as a way to understand the industry attractiveness and competitive intensity. It’s a great starting point for thinking strategically. I’m not an economist, academic or even analytics junkie. But I do see Porter’s Model as a great starting point to assess the power of your brand.  

The connectivity of Brand Love is a source of Power

We believe that brands can sit anywhere in the consumers mind from Indifferent to Like It to Love It all the way to being a Beloved brand. They sit somewhere on a made up mythical Brand Love curve. Slide1At Indifferent, you’re basically a commodity and you are only picked when your “product” is in front of the consumer. Margins are low, price goes with the market and all off your marketing effort is around distribution and price. As you move to Like It, you become competitive but the consumer only usually picks you if they see something logical in your offering that makes you appear to fit their needs. At this point, brands should be trying to figure out:  are you better, different or cheaper?  Because while you might be playing in the mix of the other brands, if you’re not one of those three, then you might not be around for very long. As you get more into the Loved and Beloved stages, the consumer starts to feel more and possibly think less. You have a connection and bond with your consumer. They are a fan, your brand is becoming a favourite part of their life and they build you into their normal routines. They defend you, sell you and crave you at times.

The challenge for Brand Leaders is to start seeing that love as a source of power. And that source of power as a means to making more money than if you had no love.  Marketers that “get it” see the connection between Love and Power and Profits.

Looking at Porter’s Model we can see that a Beloved Brand can leverage all 5 forces–new entrants, buyers, substitutes, rivalry and suppliers–as a competitive weapon to beat down on the less loved brands. porter.001

A Beloved Brand starts with a certain power over the buyer–whether that’s consumers or the channel. In terms of CONSUMERS, beloved brands get their consumers to feel more and think less. The brand becomes a part of the consumer’s life. They are fans, craving the brand and build it into their life. They can’t live without the brand.  

And the CHANNEL needs the brand, caters to them, cannot stand up to them. People would switch customers before switching brands. The channel finds themselves powerless in negotiations. They need the brand. Once the Beloved Brand has a power over the two main buyers–consumers and channel, they can use it over the other forces.

No real SUBSTITUTES can match the Beloved Brand. It becomes less about the product and more about the connection and how consumer feels through the brand. You end up with a monopoly on feelings which then takes away ability to substitute. Unless it is truly “better” what really can the substitute do. Indifferent brands are seen as a commodity that “will do the job for now” but there is no real connection with the indifferent brand.

It is hard for NEW BRANDS to break through. New brand starts in the rational position difficult to break the emotional bond. Even in categories where there might be a leap-frog technology, it’s hard for new brands to gain traction when a brand like Apple dominates the connectivity with consumers. Before the new brand can gain traction, Apple has likely managed to replicate their technical competitive advantage.

And SUPPLIERS are at the mercy of the brand. High volumes drive down costs and margins. Suppliers build completely around brand. They want to be part of the beloved brand, and many times they can’t get out. They proudly display themselves as suppliers of the beloved brand to generate other business.

Even with a high degree of COMPETITIVE RIVALRY a beloved brand uses consumers connectivity to create a bond that replicates the power of a monopoly. The beloved brand commands a power over their competitors in relative terms to their competitors whether it is buyers, substitutes, suppliers or new entrants. If you look at the love consumers have for a brand like Apple, you can start to see how it becomes a power. Think about the last 10 years: would you rather own shares in a monopoly or own shares in Apple?

Going Beyond Porter

Porter is a great starting point for assessing brand power, but now we can see 3 new forces that help to show the power of the beloved brand–looking at the impact of brand on employees, key influencers and media. love power profit.003KEY INFLUENCERS are more likely to actively recommend a beloved brand they feel emotionally connected. Look how Apple uses key influencers to their competitive advantage, whether that’s positive reviews from experts, coverage on the news or even conversations at the lunch table. We can see the influence of popularity on our decisions as a line up attracts more of a line.

The area many brand leaders are missing is the influence of EMPLOYEES as a source of brand power. Think about brand and culture being one and how important it is for the brand to drive the culture behind the brand. Advocates want to work there and fully engaged and knowledgeable on Day 1. Employees at an indifferent brand see it as a job that pays the bills–they lack passion for their brand and it shows in their delivery. Brand Leaders should look to Culture as an asset to make the consumers’ brand experience more powerful. Brand Values should come from the brand’s big idea, and act as guideposts to ensure that the behavior of everyone in the organization is set to deliver upon the brand’s promise. Having values is one thing, but the other component of culture is the right people leadership. Use the values to help people deliver upon the right behaviors, skills and experiences.  Leaders must embody the brand’s big idea and live by the values. Employees will be watching the Leaders to ensure they are living up to the words on the wall.  Leaders need to believe that by investing in their people, the business results will come. Talent management means hiring the right people and providing the right training. Too many companies are skimping on training and development, which is equal to cutting back on your R&D. 

Most brand leaders think of MEDIA as a tool to drive awareness, but better brand leaders are starting to see that media is a source of power that beloved brands can use to their competitive advantage.

We look at media as 5 types of media: paid, earned, social, search and home media.love power profit.004

Back in the 1970s, we used to think advertising through PAID MEDIA was just the 30second TV, print and out of home ads. However, with digital there are more paid options than ever before. A beloved brand has power over the paid media as they can generate better media slots, lower rates and more integrations into the media itself.

Brands that can capture and leverage EARNED MEDIA to become part of the conversation at home or at the lunch table at work. A beloved brand is more newsworthy and their new product launches become lead stories. Look at the amount of positive press Apple gets from the news media. Even the world’s best PR agencies can’t get the media to talk about an indifferent brand.

For SOCIAL MEDIA, a beloved brand has an easier time generating social spins, where advocates follow, share and spread the news. When consumers pose a question in social media, usually the beloved brand becomes the answer. No one would ever dare put forward an indifferent brand for fear of social stigmatization.

As part of the SEARCH process the beloved brand wins because being a famous brand moves consumers quicker to the solution than any version of paid SEO. No one ever googles Apple, they just go the Apple website.

HOME MEDIA would be how you use your home page–whether to influence or sell. Indifferent brands don’t know what to do with their website. For a beloved brand, the website can engage inform, design and sell. 

So with these sources of power, the beloved brand can leverage this power to drive higher growth and deeper profits. The Beloved Brand commands a premium price, lower costs, better shares and the ability to move into new categories. Each of these drives profit for the brand.love power profit.005

A beloved brand uses the power of brand love to be more competitively powerful in the market 

To read more on this subject, read the following presentation:

Also, if you’re interesting in Beloved Brands Training Programs for brand management, feel free to contact us to learn about our one day or three day boot camps for brand leaders. We believe that better leaders make better work which produces better results. Here’s more information.

We make Brands better.

We make Brand Leaders better.™

We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 3911

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Apple and Google play beautifully in two distinct emotional zones

Here’s a process for how you find your brand’s Emotional Benefit?

To get to that emotional benefit, we recommend that you do up a Customer Value Proposition (CVP) helps to organize your thinking as a great tool for bringing the benefits to life. The tool below is the Beloved Brands Ladder that forces you to ladder up from the consumer insights to the brand features to the rational benefits and finally up to the emotional benefits. Slide09We recommend you hold a brainstorming session with everyone who works on the brand so you can:

    1. Define your consumer target and Brainstorm all of the consumer insights
    2. Match them up against the list of the best features the brand offers.
    3. Find the rational benefit by putting yourself in the shoes of the consumer and seeing the brand features from their eyes: start asking yourself over and over again “so if I’m the consumer, what do I get from that?”.   Ask it five times and you’ll see the answers will get richer and richer each time you ask.
    4. Then find the emotional benefit by asking “so how does that make me feel?”  Ask that five times as well, and you’ll begin to see a deeper emotional space you can play in and own.

This tool is designed to get you out of talking about yourself (your claims) and gets you talking about what the consumer gets (the benefits)  For instance, no one really cares that a golf club has 5.7% more torque.  When you ask what do i get from that, the better answers are longer drives or lower scores or winning a tournament.   These are rational benefits.  When you ask how does that make you feel, the emotional space is confidence and optimism.  This is the emotional benefit.  

The Cheat Sheet for the 8 emotional zones a brand can play in

People tend to get stuck when trying to figure out the emotional benefits. It seems that not only do consumers have a hard time expressing their emotions about a brand, but so do Brand Managers. Companies like Hotspex Research have mapped out all the emotional zones for consumers. I’m not a researcher, but if you’re interested in this methodology contact Hotspex at http://www.hotspex.biz  

Slide10

Leverage this type of research and build your story around the emotions that best fit your consumer needs.  Leveraging the Hotspex work, we’ve mapped out 8 zones in a simplistic way below:

Within each of the zones, you can find emotional words that closely align to the need state of the consumer and begin building the emotional benefits within your CVP.  It almost becomes a cheat sheet for Brand Managers to work with.  How it works is when you figure out which ONE emotional zone you think your brand can own, and just like a rational position, you can’t try to own them all. If we think of the world’s leading  companies, Apple owns Freedom while Google owns Knowledge and they are at their best when they stick to those positioning statements.  

Here’s how Apple plays in the “freedom” emotional space

Here’s how well Apple has brought “Freedom” to life.  You’ll not really hear any functional benefits within this type of Ad.  Poetry matched against the beauty of the world is a perfect demonstration of FREEDOM–making Apple seem interesting, exciting and alive.  

Here’s how Google brings the “knowledge” emotion to life

While knowledge might sound boring, by sticking to that strategy, here’s how well Google has done. Embedded within the story line, Google is used as an enabler of knowledge–making you smarter, wiser and competent.

 

Can you find your brand’s emotional space you want to own?

At Beloved Brands, we run a Brand Leadership Center to train marketers in all aspects of marketing from strategic thinking, analysis, writing brand plans, creative briefs and reports, judging advertising and media. To read more on strategy, here is a workshop on HOW TO GET BETTER ADVERTISING, click on the Powerpoint presentation below:

We make Brands better.

We make Brand Leaders better.™

We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 39112015x gmr bio.001

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The 32 skills that will unleash your full potential as a Brand Leader

In my 20 years of consumer marketing, I have seen the best and the worst of brand leaders. When looking at predicting the success of a brand leader or promoting someone to the next level, we look at what that person brings to the table in three areas: skills, behaviors and experiences. Using those 3 areas makes it easier to see what the best brand leaders do to reach their full potential, while seeing what happens to those who can’t reach their potential, eventually getting stuck at a certain level or self-destruction. In this story, we’ll talk about the 32 core skills a brand leader needs to master, but in other articles we have also mapped out the behaviors and experiences you need.

Warning: this is one of our longer articles: Not for the faint of heart and it’s time to skim or bail if you’re pressed for time or not trying to reach your full potential as a Brand Leader.

The 32 core Brand Leader skills

At Beloved Brands, we have mapped out a list of 32 core skills that are essential to your success as a brand leader. It might sound crazy that the list is 32, but marketers are expected to be generalists who know a bit about everything and that means being good in every skill. We have grouped them into 8 key skill areas:

  1. Analytics
  2. Brand Planning
  3. Positioning and Briefing
  4. Advertising
  5. New Products and Claims
  6. Go-to-Market
  7. Leadership
  8. Managing

Slide1

As you move up through various levels, we recommend that you keep honing each skill area to get better. On each new assignment, you’ll see these skills from new angles or new situations. You can always find room to get better.

Analytics: 

It seems marketing attracts many brand leaders because of the creative side of the business. However, before you get creative, you need to know where you are why are you are there. That requires you go to deep. We coach brand leaders on the principles of good analysis, how to assess health and wealth of the brand and turning your analytical thinking into strategic stories, projections and reports. Here’s a link to our workshop on Analytics.

  1. Analytical thinking: Doing a solid analysis on your business requires thinking time to help isolate the problems and opportunities you face on your brand. Opinions without fact to back them up are just opinions and can leave a room divided. Absolute numbers by themselves are useless. Use analytical tools to help organize and force deep dive thinking in key areas. 
  2. Deep-dive analysis: There is nothing worse than making decisions based on “surface” analytics because you’re too lazy to look beneath the surface and figure out the causes that you really need to address. When going deep, you are expected to look into everything on the brand. Start with the category looking at the factors impacting growth, trends, economic, changes happening in demographics, behaviors, consumption and related categories. Then look deep into the consumer and define segments, buying habits, growth trends, key insights for each segment, buying system analysis, leaky bucket, consumer perceptions through tracking data and research.  Then explore the channels, looking at each channel’s performance, major customers, sales performance, tools for winning used in each channel. Be aware of your competitors constantly looking at positioning, pipeline, pricing, distribution differences, consumer perception, strategies. Know your brand inside and out, looking at internal and external health and wealth of brand. Use financial analysis, brand funnel data, market research perceptions. Look at advertising results, pricing strategies, distribution gaps and do a complete leaky bucket analysis. 
  3. Analytical story telling: It’s one thing to be good at analytics, but another to be able to use the data and build a story that everyone can follow. A good story uses headlines to draw conclusions, then use every data break to bring out an implication and ensure you’re using the analytics to highlight problems to solve or opportunities to chase after. Keep the story logical, easy to follow, challenge yourself by looking at it through the eyes of those trying to follow.
  4. Report writing: Brand leaders must be able to write monthly reports, analytical reports, summary reports whether that is through email, word or Powerpoint. Use the reports to keep everyone on the team informed, engaged and aware of the strategic thinking. No matter the report’s purpose use it as a chance to talk about how the brand is doing, what’s the competition doing, what are the top 3 drivers and 3 inhibitors of the brand and always tell the readers how you’re going move forward. Report writing is about control of your brand’s direction and maintaining the leadership position on the brand.

Brand Planning:

Brand Planning is one of the most essential elements to leading the brand. We use a workshop style process to lay out a long-range strategic road map and brand plan that everyone in your organization can follow. Then you need to work to create actionable project plans for each tactic with goals, milestones and budget. Here’s a link to our workshop:

  1. Strategic thinking: Strategic thinkers see “what if” questions before they see solutions. They map out a range of decision trees that intersect and connect by imagining how events will play out. They reflect and plan before they act. They are thinkers and planners who can see connections. Non strategic thinkers see answers before questions. They get to answers quickly, and get frustrated in delays. They believe doing something is better than doing nothing at all. They opt for action over thinking. They are impulsive and doers who see tasks. They get frustrated by strategic thinkers.
  2. Strategic story telling: We use five simple questions to ask before getting started on your Brand Plan: 1) Where are we? 2) Why are we here? 3) Where could we be? 4) How can we get there? 5) What do we need to do? The best way to use these 5 questions is putting 3 bullet points to each and starting to see the big picture story come to life. As a good discipline, we recommend that you do this every six months, taking a few hours at your desk, using some forced thinking time to map out answers to each question to ensure you are moving your brand forward.
  3. Brand Plan writing:  Use the answers to the 5 questions to transition the answers into the components of the brand plan: situation analysis, key Issues, vision and purpose, strategic choices, executional tactics, goals, budgets and measures. Slide3There is a well-known phrase “get everyone on the same page” but then we see 117 slide brand plan presentations. We have created a plan-on-a-page that forces brand leaders to consolidate their answers down onto one page, which can then be laminated and put up at the desk of everyone who works on the brand–whether in sales, R&D, HR or outside agencies.Slide4
  4. Plans presentation: This is your big chance to show senior management that you are a brand leader that can bring together strong analytics, leadership in the planning process and good solid strategic thinking. This is also your chance to lead across various parts of the organization, especially for the sales and R&D teams. Here’s an example of a best in class brand plan template that can be used for presenting brand plans. 

Positioning and Briefs:

The work you do in positioning can take everything  you know about the brand and start to map out how you want to establish and manage your brand’s reputation. While you can think of it as to how you want to project your brand, it is really about what consumers think of your brand.  And as you move towards executing your positioning into the market, the role of the brief helps to focus your agency on what you want to say in the market.   Here’s our workshop on writing a Creating Brief:

  1. Market Research: While brand leaders rely on experts in market research, they need to know the market research basics to ensure they make the right choices of which research you want to pick, whether it’s exploratory, tracking, or testing.  Understanding various techniques will allow you to understand the findings, draw better conclusions and make better decisions. that come from the research.
  2. Consumer Insights: Brand leaders should use consumer insights as one of the first connection points with consumers–to show that you understand what they are going through and what pain points they might be facing. At Beloved Brands, we say that Consumer Insight comes to life when told in such a captivating way that makes consumers stop and say “hmmm, I thought I was the only one who felt like that”. You have to see below the surface of what the consumer might say in a focus group and gain an understanding of them. Good insights get in the SHOES of your consumer and use their VOICE. Insights should start with “I” to get in the consumer’s shoes and use quotes to use their voice.
  3. Big Idea for brand: Every brand leader should know and manage what is your brand’s shout from the mountain. If you can’t define your brand in 7 seconds, you have a problem when going to the marketplace to establish your brand’s reputation. We use a Brand Ladders tool to help look at the customer value proposition that looks at four elements to help set up the Positioning:  1) Target and insights (What do consumers want?) 2) Brand features (What does your brand do?)  3) Rational benefits (What do consumers get?) and 4) Emotional benefits (How does that make them feel?) Slide09
  4. Creative Brief writing: Before going to the brief, you should answer these six questions: 1) Who is in the consumer target? (Who is the most motivated to buy what you do?) 2) What is the benefit we are selling? (What is your main benefit?) 3) Why should they believe us? (Support points to back up what you say)  4) What’s the long-range feeling the brand evokes? (What is the Big Idea for the brand?) 5) What do we want the brand communications to do for the brand?  (Strategic Choices) 6) What do you want people to think, feel or do?  (Desired Response) We run a Positioning Workshop for brand leaders to help them write a creative brief that comes from the brand positioning, big idea and brand strategy.Slide3

Advertising: 

The role of Advertising is to create a bond with consumers, establish your brand’s positioning and drive a change in your consumers behavior that leads to higher sales, share and profit. We run workshops for brand leaders to help them get better advertising. 

  1. Media Planning: For brands, media is an investment at touch points where consumers are most willing to engage in the story. Media should be used to create a bond with consumers, to establish your brand’s positioning, to learn about your consumers and to influence a change in your consumers behavior (think, act or feel) that leads to higher sales, share and profit. There are five types of media that brand leaders need to get better at: 1) Paid:  Using both traditional (TV, Print, OOH, Radio) and Digital. 2) Earned: You need to create and manage the news cycle with mainstream news, expert reviews and blogs. 3) Social: The best brand leaders have advocates that follow, put their views forward and share news on the brand that creates positive interactions that helps to influence others. 4) Search: Search Engine Optimization balances earned, key words and paid search and 5) Home Media: Your website where you can use as a source of information, influence or even closing the sale. We use a buying system to match up to where the consumer sits in relation to your brand, ensuring you are using the right media options to the right situation.buying system.001
  2. Advertising Development: The best clients inspire, challenge, enable, rarely settle and fight for great advertising. Here are some of the key principles we recommend to be better with your agency:
    • Start and end everything you do, with the consumer in mind.
    • Start with the desired consumer behavior, and then figure out what to say.
    • Your brief is focused with one tight objective, one target, one big idea, one benefit.
    • You control the strategy, yet give the agency freedom on creative.
    • You inspire greatness from creative team, yet are unafraid to challenge for better.
    • You take creative risks to stand out, not to fit in.
    • You see big ideas that leave a legacy, not just make an ad to make the year.
    • You are willing to fight for great work, even with your boss, never settle for OK.Slide05
  3. Managing Agency: If you knew that being a better client got you better advertising, would you actually be able to show up better? When it comes to advertising, the role of the Brand Leader is to consistently get good advertising on the air, and equally consistently keep bad advertising off the air. Agencies want to be challenged, but you have to do so in a very respectful way. Let them bring their expertise to your business problems. Never tell them what to do. 
  4. Creative Feedback and Decisions: If the creative brief is a “box” for the Creative Team to figure out the solution to, then use your feedback to create a new “box” for them figure out a new solution.The style in which an ad better, or destroy it before it’s ever is made.  We recommend a tool for brand leaders to help judge creative advertising ideas which we call the ABCS of Advertising: Attention Branding Communication and Stickiness. 

New Products and Claims

  1. Leading innovation process: Brainstorming should be a regular part of running your Brand. Every brand team should be having some type of brainstorm (big or small) once a month to build a constant influx of ideas–promotions, advertising, social media, naming, new products, events, PR, saving money and of course as part of your brand planning, They can be a quick 30 minutes as part of a weekly meeting just to get some quick ideas or a whole afternoon to solve a problem that’s been nagging at the group. Or a team building offsite meeting that goes all day. Learn how to lead and use them to your advantage.
  2. Concept writing:  It’s important to test potential concepts to see if they are winners. Here’s the format we recommend:  1) Main headline should capture the big idea of your brand. Obviously the headline is the first thing they see, so it should contain the big idea that you want your brand to stand behind. 2) Use the opening to connect quickly with your target consumers by starting with their enemy or insight. I love using the enemy because it can be a very arresting way to really make the consumer say “That’s me”. 3) Bring the main benefit to life in a compelling promise statement. I prefer it to have an emotional/rational balance in the promise. At the very least, the emotion modifies the rational. The promise statement then forces us to bring in the two reasons to believe to help back that up. 4) I like to add a motivating call to action at the end to help prompt purchase intent. The concept test will hang on how well the purchase intent score is, so a strong concept almost has to ask for it.  Slide11
  3. New product development:  Marketing has a role in leading product development, working in partnership with your R&D team. While there is a degree of serendipity to product development, we recommend that the big idea for your brand drive every part of the brand, to ensure it stays on strategy. We believe the internal story is equally important to the external story of the brand. The internal story acts as a beacon for the culture, operations and R&D teams to follow.b2b marcom.001
  4. Launching new products:  Once you have a new product that has shown great potential in the market, over-seeing the launch will be the time when you have to touch every part of the organization in the most hyper sense of brand management. Facing a guaranteed long list of problems, and potential pockets of doubters in the organization, you must know about every part of your organization to knock them down, working from the plant to the warehouse to regulator to the sales leaders to customer service and working with every executional agencies. Every deadline matters as it impacts other deadlines, you need leadership that rallies the best of everyone around the opportunity.  

Go-to-Market

Brand leaders need to manage the purchase moment of truth for consumers, making decisions on channel strategies, working through specific customer issues and executing the in-store experience that closes the deal on the sale of your brand.

  1. Influencing Sales team: Become the marketing person for the sales team is comfortable to approach. Great sales people challenge marketers to make sure their account wins.  I’ve seen many sales teams destroy brands leaders who don’t listen, and they stubbornly put forward their plan without sales input. Be the marketer that consistently reaches out and listens. They’ll be in shock, and stand behind your business. If sales people feel they’ve been heard, they are more apt to follow the directors vision and direction.
  2. Customer knowledge: A great brand leader should informally meet with all key senior sales leaders on a quarterly basis, to get to know them, know their customers and listen to the problems they face. This informal forum allows day to day problems to bubble up and be heard, before they become a bigger problem.
  3. Consumer promotion: Brand leaders need to be good at executing all types of promotion, whether that is on-pack promotions, pricing, displays, sampling or event marketing. Usually working with outside agencies, you have to stay tight on promotional costs and deadlines to ensure it doesn’t get out of hand. Without knowledge in these areas, you can easily get ripped off or miss a detail that can destroy the promotion.
  4. Sales calls/presentations: As you move up in your marketing career, you’ll get the opportunity to present to customers along with your sales leader. From what I have seen, most marketers are not that great at sales. They over-sell and under-listen. They talk more about what they want from the customer rather than what they’ll do for the customer. Leverage the expertise of the sales leader to guide you on how to do your presentation, being aware of the specific needs of the customer you are presenting. At Beloved Brands, we urge brand leaders to think about the “triple win”, which is the intersection where the consumer, the customer and the brand all win. 

Leadership

Brand leaders are expecting to lead from the center of the organization, leading their teams as well as leading across the organization.

  1. Managing Direct Reports: A great brand leader spends the effort to make their people as good as can be. Most brand leaders struggle with their first five direct reports. The key is to keep self evaluating and looking for ways to improve with each report. Most brand leaders struggle to shift from “do-er” to “coach.They think they can do it faster, so they may as well do it.They just become the “super ABM”. Many brand leaders fail to share the spot light, so it becomes hard to showcase their people. Great brand leaders take the time to teach up front, give their people some room to try it out and then give hands-on feedback in real time. Brand leaders should do informal QUARTERLY sit down performance reviews with their people, as people have the capacity to learn faster than annual reviews allows for.
  2. Coaching teams: Focus on the People and the Results will come:The formula is simple:  the better the people, the better the work and in turn the better the results.  You should have a regular review of the talent with your directors.  I’d urge you to ensure there’s a systemic way to get feedback to everyone on the team, preferably on a quarterly basis. Invest in training and development.  Marketing Training is not just on the job, but also in the classroom to challenge their thinking and give them added skills to be better in their jobs.  Marketing fundamentals matter.And the classic fundamentals are falling, whether it is strategic thinking, writing a brand plan, writing a creative brief or judging great advertising.  People are NOT getting the same development they did in prior generations.  Investing in training, not only makes them better, but it is also motivating for them to know that you are investing in them. 
  3. Influencing across the company: A great brand leader gets what they needs by working the system and the organization. In most companies, there are complexities of groups, layers, external agencies, with everyone carrying a different set of goals and motivations. Brand leaders need to see how the organization works and appreciating what are the motivations of various key stakeholders. Then use that knowledge to begin to work the system. Start to see key subject matter experts giving you their best. Understand their personal motivations and find a way to tap into those motivations as a way to ask people for their best. 
  4. Managing upwards: I’m a big believer that the brand leader owns the brand. They have the finger on the pulse of the brand, knowing the current issues the brand is facing. They have new creative solutions and bring the inspiration to execute great ideas. I always wanted my brand managers TELLING me what they wanted to do, not ASKING for my permission. We encourage brand leaders to take this stance: when you know what you want, speak in a telling and convincing voice with your senior leaders.  When you are aren’t sure, it’s OK to speak with an asking voice, seeking out their advice. 

Managing 

Brand leaders need to run the brand, before you let the brand run you. Without tight management over every process or project, things can easily back up and get out of control. Some leaders think process gets in the way of creativity–but from my experience these leaders are the ones that eventually get buried by their brand.

  1. Managing Brand processes: While your people run the brands and the execution, you should run the P&L and essentially run all the marketing processes. In terms of process, it’s always been my belief that great processes in place—brand planning, advertising, creative briefs—is not restrictive but rather provides the right freedom to your people. Get your people to drive all their creative energy into great work that gets in the marketplace, not trying to figure out what slide looks really cool in the brand plan presentation.
  2. Legal & Regulatory: Depending on the degree of regulation on your brand plays within, this can be an essential element to running your brand. Leverage your experts but push them to push the boundaries of regulations.
  3. Forecasting: Having your finger on the pulse of the business means being able to constantly be able to turn your analytical thinking into projections by extrapolating the data you’re seeing and turning it into trends that will move into the future.
  4. P&L management: You have to run the P&L and make investment choices.  Bring an ROI and ROE (Return on Investment and Effort) mind-set to those decisions.  These choices will be one of the essentials to making the numbers and gaining more freedom in how you do the job.

Yes, it’s a ton of skills that brand leaders need to know, but it’s a reality of the role. Marketers never do anything–they  never make the product, sell to retailers and they never make the packaging, signage or advertising. They get experts around them to do everything. But the art of doing nothing takes full knowledge to ensure that everything is done properly. As the brand is at the hub of the organization, brand leaders need to be good-to-great at all 32 of these skills.  

Go from good to great by challenging yourself to get improve at all 32 core skills

BBI ad brand definition.001Also, if you’re interesting in training programs for brand management, feel free to contact us to learn about our one day or three day boot camps for brand leaders. Here’s more information.

We make Brands better.

We make Brand Leaders better.™

We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 39112015x gmr bio.001

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How to write a Brand Communications Strategy

The role of Brand Communication is to change consumer behavior to drive the brand’s bond, power and profit.

The worst thing you can ever do is start in on a creative brief without doing your homework. At Beloved Brands, we use six questions to do your home work and use the answers to to these questions to set up a Brand Communications Strategy

  1. Who is the consumer target you are selling to? (Who is the most motivated to buy what you do?)
  2. What are we are selling? (What is your main benefit?)
  3. Why should they believe us? (Support points to back up what you say)
  4. What’s the long range feeling the brand evokes? (What is the Big Idea for the brand?)
  5. What do we want the brand communications to do for the brand?  (Strategic Choices)
  6. What do want people to think, feel or do?  (Desired Response)

Question 1: Who is the consumer target you are selling to?

Brand Leaders always think about who they want, but rarely who wants them. A good way to challenge yourself is to ask: “who is the most motivated to buy what you do?  You can’t sell a golf ball to people who hate golf and you can’t get people with hardwood floors to buy carpet cleaning.Slide06

Beloved Brands know who their customer is and who it is not. Everything starts and ends with the Consumer in mind. Spreading your limited resources across an entire population is cost prohibitive–low return on investment and low return on effort. While targeting everyone “just in case” might feel safe at first, it’s actually less safe because you never get to see the full impact. Realizing not everyone can like you is the first step to focusing all your attention on those that can love you. It becomes all about choices and you will be much more effective at convincing a segment of the population to choose your brand because of the assets and promise that you have that match up perfectly to what they want.

To demonstrate knowledge of that target, defining consumer insights help to crystallize and bring to life the consumer you are targeting. The dictionary definition of the word Insight is “seeing below the surface”. Too many people think data, trends and facts are insights. Facts are merely on the surface—so they miss out on the depth–you need to bring those facts to life by going below the surface and transforming the facts into insights.

When insight is done right, it is what first connects us to the brand, because we see ourselves in the story. Insight is not something that consumers didn’t know before. It’s not data or fact about your brand that you want to tell. That would be knowledge not insight. Insight is something that everyone already knows and comes to life when it’s told in such a captivating way that makes consumers stop and say “hmm, I thought I was the only who felt like that”.  That’s why we laugh when we see insight projected with humor, why we get goose bumps when insight is projected with inspiration and why we cry when the insight comes alive through real-life drama.  

Question 2: What are you selling?  

This is where we talk benefit, and it should usually be a combination of rational and emotional. 

The next decision is the main benefit you want to focus on.  Doing a Customer Value Proposition (CVP) helps to organize your thinking as a great tool for bringing the benefits to life.  Slide09

Hold a brainstorming session with everyone who works on the brand so you can:

    1. Get all of the consumer insights and need states out.  
    2. Match them up against the list of the best features the brand offers.  
    3. Find the rational benefit by putting yourself in the shoes of the consumer and seeing the brand features from their eyes: start asking yourself over and over again “so if I’m the consumer, what do I get from that?”.   Ask it five times and you’ll see the answers will get richer and richer each time you ask.  
    4. Then find the emotional benefit by asking “so how does that make me feel?”  Ask that five times as well, and you’ll begin to see a deeper emotional space you can play in and own.   

Some CVPs can end up very cluttered, but the more focused you can make it the easier it will be for you to choose which one you will stand behind, and which one benefit you’ll communicate. 

That’s right: JUST ONE BENEFIT!  Agencies use so many tricks to get it down to the ONE THING.  Examples of this could be a postcard or a bumper sticker, or silly questions like “what would you say to get someone to marry you” or say in an elevator. My favourite is to get people to stand up on a chair and “SHOUT FROM THE MOUNTAIN” what your benefit is.  It forces you to want to scream just ONE THING about your brand—keep it simple.  You can’t scream a long sentence.  And if you are into math, another way to look at this is through a simple function, where the probability of success (P) is directly linked to the inverse of the numbers of messages (M) you have in your ad:   P = 1 divided by 1 to the power of M.  My guess is that if you find this last formula motivating, maybe marketing isn’t for you.

Emotional Benefits

People tend to get stuck when trying to figure out the emotional benefits.  I swear every brand out there thinks it is trusted, reliable and yet likeable.  It seems that not only do consumers have a hard time expressing their emotions about a brand, but so do Brand Managers.   Companies like Hotspex have mapped out all the emotional zones for consumers.   I’m not a researcher, but if you’re interested in this methodology contact Hotspex at http://www.hotspex.biz Leverage this type of research and build your story around the emotions that best fit your consumer needs.  Leveraging Hotspex, I’ve mapped out 8 zones in a simplistic way below:Slide10

Within each of the zones, you can find emotional words that closely align to the need state of the consumer and begin building the emotional benefits within your CVP.  It almost becomes a cheat sheet for Brand Managers to work with. But you want to just own one emotional zone, not them all.  

Question 3: Why should they believe us?

It seems that whenever we tell people something, they want to know more.  This is where we use our Support points to back up what you say.

If we borrow from a classic logic technique below, they teach you to one conclusion and two premise. I took one logic class at University and sat there for 13 straight weeks of premise-premise conclusion. Easy class, but the lesson has stuck with me:

      • All fish live in water (premise)
      • Tuna are fish (premise)
      • Therefore, tuna live in the water (conclusion)

In a positioning statement, the brand benefit would be the conclusion. And the Reason to Believe (RTB) would be the supporting premise. 

I say this for a few reasons. First, the RTB should never be the conclusion. The consumer doesn’t care about what you do, until they get something from it. The benefit has to come from the consumers’ shoes. Second, if pure logic teaches two premises are enough to draw any conclusion, then you really only need two RTBs.  Brands with a laundry list of RTBs are not doing their job in making a decision on what the best support points are. You either force the ad agency to decide what are the most important or the consumer to decide.  By deferring, you’re weakening your argument.

Question 4: What’s the long-range feeling the brand evokes?

This is where we start to build the brand’s reputation. And we ask “what is the Big Idea for the brand? Everyone talks about the 7 second elevator pitch, but it’s not easy to get there. I suppose you could ride up and down the elevator and try telling people. That may drive you insane. 

The Big Idea (some call it the Brand Essence) is the most concise definition of the Brand.  For Volvo, it’s “Safety”, while BMW might be “Performance” and Mercedes is “Luxury”.  Below is the Tool I use to figure out a Brand’s Big Idea revolving around four areas that help define the Brand 1) Brand’s personality 2) Products and Services the brand provides 3) Internal Beacons that people internally rally around when thinking about the brand and 4) Consumer Views of the Brand.  What we normally do is brainstorm 3-4 words in each of the four sections and then looking collectively begin to frame the Brand’s Big Idea with a few words or a phrase to which the brand can stand behind.

big idea tool.001

Question 5: What do we want the brand communications to do for the brand?

We recommend that you usse the Brand Love Curve to frame your strategy

In the consumer’s mind, brands sit on a Brand Love Curve, with brands going from Indifferent to Like It to Love It and finally becoming a Beloved Brand for Life. At the Beloved stage, demand becomes desire, needs become cravings, thinking is replaced with feelings. Consumers become outspoken fans.Slide1

It’s this connection that helps drive power for your brand: power versus competitors, versus customers, versus suppliers and even versus the same consumers you’re connected with. The farther along the curve, the more power for the brand. It’s important that you understand where your brand sits on the Love Curve and begin figuring out how to move it along towards becoming a Beloved Brand. With the power of connection, the brand can leverage that power into increased growth and profits.

To figure out your strategic options, you need to understand where you are on the Brand Love Curve, so that you can start to understand HOW to move to the next stage. A brand at the Indifferent stage needs to establish itself in the consumers mind, brands at the Like It stage need to separate itself from the pack and create a following, brands at the Love It stage need to tug at the heartstrings of those consumers who have shown some love in order to tighten the bond and finally those brands at the Beloved stage need to find a way to continue the magic and activate the most loyal followers turning them into fans.creating beloved brands 2015x.049

Here is a guideline for Brand Leaders to use in their plans with the 16 possible strategies to use. For instance at the Indifferent stage, you can use a mind shift, mind share, new news or a turnaround to establish your brand in the consumers mind.creating beloved brands 2015x.050

Use this as a guideline to get you started on your plan and you may need to add specific flavoring to your situation. As you’ll see, if your brand is at the Indifferent stage, you can’t easily cross sell and you certainly can’t get loyalists to influence others, since you have no real loyalists.

Question Six: What do want people to think, feel or do?  

When people think about brand communication too many brand leaders start with what they want to say (the stimulus) but forget about what they want to be heard and what they hope the consumer does (the desired response). Slide1

Once you answer these six questions, you can then transform those answers into a creative brief that you can use with your agency.Slide3

This should set up your Brand Communication so that it can change consumer behavior to drive drive the brand’s bond, power and profit.

To read more about writing a Creative Brief, follow this Powerpoint presentation on running your career in brand management.

Also, if you’re interesting in training programs for brand management, feel free to contact us to learn about our one day or three day boot camps for brand leaders. Here’s more information.

We make Brands better.

We make Brand Leaders better.™

We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 39112015x gmr bio.001

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Brand Management is under attack and I’m getting tired of it

I always wanted to work in Brand Management. I was lucky to have a great career. 

Slide1On my application for business school over 20 years ago, I outlined my dreams for a career in Brand Management. I was lucky to have fulfilled a career in brand management, going from Assistant Brand Manager all the way up to VP Marketing–leading some the most beloved brands in the world at companies like Johnson and Johnson, General Mills and Coke. Back then, Brand Management was the be-all-and-end-all job every marketer wanted. And it still should be. But lately, there are a lot of strange things happening to brand management the past decade. Companies are re-structuring their marketing teams around do-er type roles, rather than ownership roles. Brand Management is supposed to be about ownership. Those outside of the profession who have no experience in brand management (consultants, strategists, agencies) keep telling those in the brand management profession how it should be done. I find myself in a rare position when I now look at my new peer group of Brand Coaches and rarely do I see people with brand management experience. I’m getting tired of people trashing brand management, especially when they’ve never worked in the profession. 

I keep hearing that brand and marketing are NOT the same thing. And that’s just plain wrong.

Be careful of people who say this. They’ve probably never run a brand before. They are likely “brand strategists” who just want to work on the strategy and nothing else. They are intellects with big words that don’t want to get their hands dirty actually running the business. They are trying to diminish “marketing” as just activities. I’ve even heard one guy slow down on the word “marrrr-ket-ing” as though it was for simpletons, and that brand strategy is far more than “just activities”. If you haven’t done the job, stop telling those in the job how to do it. Who really cares what we call it. In fact, separating brand strategy and marketing does more harm than good. 

Stop debating words: Brand Management is about running everything on your branded business.

Brand Management leads the strategic brand planning process.  You have to create a 5-year brand strategy road map that lays out the brand vision, purpose, brand big idea, strategic pillars for everyone to follow and then the 1-year brand plan that focuses everyone on brand vision, purpose, goals, strategies and tactics. Here’s more information on writing a brand plan for your business: How to write a brand plan Strategy is not just about blue sky ideas, but real choices that you have to make that focus your brand, deciding where you will play, how you will win and how you will allocate your limited resources to win in the market. 

Brand Management allocates the resources–people, partners, financials and time. Brand management is responsible for delivering the profit to the organization, managing the P&L statement with responsibility for revenue, margins, spending. Slide1There are 8 specific areas that brand management can impact profits: pricing levels, trading the consumer up or down, product costs, marketing costs, stealing other users, getting current users to use more, entering new categories and creating new uses for your brand. Next time a brand strategist approaches you about strategy, show them your P&L and ask them how they’ll drive more profit for your brand. If you can’t run a P&L statement, you shouldn’t be in brand management. Here’s more on how to manage the profitability of your brand: 8 ways to drive profit 

Brand Management creates and owns the brand positioning that serves to build your brand’s reputation in the minds and hearts of your consumers. Positioning is not just the stuff you put in the creative brief for the latest advertising campaign. It’s an idea that big enough to drive every part of the brand and everyone in the organization–including every outside agency, new product development, operations and retail execution teams. The idea should be the foundation and internal beacon for the culture of the brand. Doing the work on brand positioning forces you to make focused choices against who you will target, what is the main benefit you will stand behind, what reason to believe makes the most sense and get the consumers to think, feel or act differently about your brand so that you can manage your brand’s reputation. To read more on creating a brand positioning, click on this link: How to write a brand positioning statementbig idea map new.001

Brand Management runs the day-to-day operations of the brand and makes the final decision on everything connected to that brand. Delegate but never abdicate. When you are working well, you never do anything but decide. You should be able to delegate everything to your team of experts. Control the strategy and give freedom on execution. The role of brand management is to say “yes”, “no” or “make it better” on every possible decision on the brand, but never say “let’s do it this way”. Be leery of strategists or agencies who tell you that they can own your brand strategy for you. But be equally leery of those experts who ask how you want to execute. You’re a generalist, not an expert. When you master the art of asking challenging questions of your team, you will realize that not doing anything actually gives you full power. Give your team your problems but never give them your solutions.

New organization structures are diminishing marketing. In the branded house type organizations, the CMO should have a seat at the board. First, I’m getting tired of hearing that the CEO runs the brand. That’s like saying the CEO is running the new SAP implementation in the IT department.  The CEO should be too busy to “run the brand” and is likely paying the CMO a lot of money, so they should earn their keep.  To me, this type of statement is usually said by consultants that don’t want to go below the C-Suite. Second, I’m also seeing separate departments for brand, marketing and product management.  Brand does high level equity stuff (advertising, website, logo, sponsorship),  marketing does launches, quarterly promotional pushes and retail marketing while product runs the innovation pipeline, product claims and runs the P&L. With 3 separate groups all operating independently, there ends up a lack of alignment, constant abdication of responsibility and an inconsistency in the delivery of the brand promise. Slide1

Brand Management is a leadership role where you find the future leaders or your organization. In most marketing driven companies, the layers above you starting at the CEO likely all came from brand management.  Brand Management at it’s best is a bottom up leadership approach where the brand manager is the most important role in the organization. The CMOs or Directors that merely act as senior-senior-senior brand managers are not doing their jobs in creating future leaders of the organization. I have always demanded that my Brand Managers act like owners and tell me what they wanted to do. The strong leaders thrived and the meek struggled. Brand Management has to have their finger on the pulse of the business, knowing the consumer trends and insights that are changing the dynamic of the brand, the channel shifting going on at the retail level, moves by competitors and what the hot buttons we can push for success. They know the business better than those above them. Let them tell you how to run the brand, don’t you tell them how. Let them come up with the creative solutions and new ideas to take the business to the next level. I’m also seeing the house of brands type organizations structuring their marketing teams around Consumer Brand Managers, Innovation Brand Managers and Trade Marketing Brand Managers. That really just means that the Director is the de facto Super-Duper Brand Manager. That may work in the day-to-day but it’s not serving to develop future generalists brand leaders who might come up through one of the 3 specific areas and completely lack enough experience in those other areas. 

Brand Management means running the business. It means leading, challenging, influencing, thinking, deciding and executing.

To read more about Brand Management, follow this Powerpoint presentation on running your career in brand management.

Also, if you’re interesting in training programs for brand management, feel free to contact us to learn about our one day or three day boot camps for brand leaders. Here’s more information.

We make Brands better.
We make Brand Leaders better.™
We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 39112015x gmr bio.001

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The real reason mobile advertising doesn’t work is that it is ANNOYING AS &#%$@

I keep hearing how Brand Leaders should be spending more of their advertising dollars on Mobile Advertising. The argument goes like this: 25% of all media is now consumed on a smart phone yet only 5% of advertising dollars are spent on mobile. So based on that gap, “Brand Leaders need to get better at mobile.” That logic makes sense if you are media-centric, but if you are consumer-centric, it may not hold.

The main reason that mobile advertising is struggling is that consumers hate advertising on their cell phones. wifi-foundationAs a consumer, there’s nothing worse than looking something important up on your cell phone, having moderate reception and then some ad starts chugging on your phone….and chug chug chug..it takes 3 minutes to figure out where to click to get rid of the annoying ad. I’m not sure that I want my brand connected to such a negative experience for consumers. Yes, consumers can be annoyed by TV ads or outdoor billboards clutter the environment or plastering ads on a sports jersey can destroy spirit of the uniform. However, consumers view their cell phones as their personal space, wifi is considered a precious commodity and the limited space for mobile can sometimes make the ad more annoying than useful. Most times consumers using their phones might be quickly looking up sports scores, finding directions or phone numbers to call or they might be just escaping into social media options during their lunch hour. Rather than always interrupting that consumer, mobile advertisers should be figuring out how to be a positive part of that consumer experience. Rather than challenging Brand Leaders to be better at mobile, my challenge is for Mobile Advertisers to figure out more creative ways to deliver brand messages.

Our definition of Media includes “be where consumers are most willing to engage”

At Beloved Brands, we believe that media is an investment at touch points where consumers are most willing to engage in the story. Media should be used to create a bond with consumers, to establish your brand’s positioning, to learn about your consumers and to influence a change in your consumers behavior (think, act or feel) that leads to higher sales, share and profit. With social media, advertising has taken quite a few steps forward: more engagement, allows for two-way dialogue, empowers the consumer and has a degree of timeliness to match up to the consumers life. Unfortunately, mobile advertising has the potential to take a step back: annoying, interrupting and most of the mobile ads just feel like they are yelling at the consumer. Based on that high annoyance factor, mobile advertising currently fails when it comes to “willing to engage”. 

It’s safe to say that awareness by itself should never the end goal of media. In a crowded media world, an ad that is seen but with little engagement is almost a wasted investment. When I was running a marketing team, any plan that came to me saying “drive awareness” would be sent back for deeper thinking. It’s never enough. Media must balance efficiency and effectiveness with impact to create a change in the consumers’ behavior. Mobile must be shown to do more than drive basic awareness and find new creative ways to engage the consumers.

At Beloved Brands, we never recommend that you start with the media. While it’s tempting to get excited by the shiny new media toy of the month, we recommend that you always start with the consumer and then the brand strategy.

Where is your consumer?

I know I know. Everyone is so excited about all the new media tools and options that we tend to forget about the consumer. Last year I attended a huge show on Digital Media and after a day I kept saying “there seems to be something missing: THE CONSUMER”  It was actually shocking and annoying to me as a marketer that every speaker failed to talk about the consumer, the brands, the strategies. They just talked about their fixation on what these little media devices could do.

As brand leaders, we have to believe that everything must start and end with the consumer in mind. They are our only source of revenue that starts off every P&L statement. Never forget them. Our consumers have relationships with brands–ranging from a completely impersonal relationship all the way up to a favorite part of their day. How tightly connected your consumer is to your brand can impact both the brand strategy and media choices you’ll make. In the consumer’s mind, brands sit on a hypothetical Brand Love Curve, with brands going from Indifferent to Like It to Love It and finally becoming a Beloved brand for life. 

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You can see how the buying system above might match up to where the consumer is on that Love Curve. The problem I have with many media options, is people at the INDIFFERENT stage think they need a Facebook page (which may not generate enough of a following) and some brands at the BELOVED stage still hammer away at the 30 second TV ad (with the same message the consumer has heard for the past 10 years). Use the buying system as a tool to find forces you to look at your brand through the eyes of your consumer, it will help identify where you have gaps as a brand and provide a pathway to move your consumers through the buying system and along the Brand Love Curve so that you can build a tighter connection with your consumer.Slide1

Mobile advertising appears a useful tool at driving basic awareness or triggering quick purchases. If my brand was at the INDIFFERENT or LIKE IT stage, I may add simple mobile messages to help re-enforce what I’m saying through other media options. However, mobile needs to improve if it wants to be a media tool that really connects with consumers. If my brand is LOVED or BELOVED, I’d fear using mobile and upset my consumer. I’d likely prefer social using social media vehicles that give consumers the choice and power to engage or not. 

What is your strategy?

My fear is that some modern marketers are becoming tacticians choosing activity over strategy. Sometimes, doing something feels better than making choices what to do and what not to do. To figure out your strategic options, we recommend that you go back to the Brand Love Curve (see below), so that you can start to understand HOW to move to the next stage. A brand at the INDIFFERENT stage needs to establish itself in the consumers mind, brands at the LIKE IT stage need to separate itself from the pack and create a following, brands at the LOVE IT stage need to tug at the heartstrings of those consumers who have shown some love in order to tighten the bond and finally those brands at the BELOVED stage need to find a way to continue the magic and activate the most loyal followers turning them into fans.

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Here is a guideline for Brand Leaders to use in their plans with the 16 possible strategies to use. For instance at the Indifferent stage, you can use a mind shift, mind share, new news or a turnaround to establish your brand in the consumers mind.

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Use this as a guideline to get you started on your plan and you may need to add specific flavoring to your situation. Out of these 16 potential brand strategies, mobile advertising might be best suited to highlight new news on a brand, trigger penetration or provide simple reasons to continue to love the brand. But mobile advertising might not offer enough messaging options to change perceptions and I’m not seeing mobile tools I’d want to use to target those who already love my brand. This may be where those managing Mobile Advertising alter their tools to better fit a broader range of strategy options for Brand Leaders to utilize.

Brand Leaders need to stay focused on the consumer and the strategy, not the media options. Any media choice has to fit the strategy, never choosing the media and coming up with a strategy that utilizes the media.

Mobile Advertisers need to get more creative to deliver brand messages that don’t annoy consumers

Below is our workshop on media. We don’t come at this as media experts, but rather as a brand leader who needs to make media decisions.

We make Brands better.
We make Brand Leaders better.™
We offer Brand Coaching, where we promise to make your Brand better by listening to the issues, providing advice that challenges you, and coaching you along a strategic pathway to reaching your Brand’s full potential. For our Brand Leader Training, we promise to make your team of Brand Leaders better, by teaching sound marketing fundamentals and challenging to push for greatness so that they can unleash their full potential. Feel free to add me on Linked In, or follow me on Twitter at @belovedbrands If you need to contact me, email me at graham@beloved-brands.com or phone me at 416 885 3911

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