How to Guide for Marketers

How to use price as part of your brand strategy toolkit

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I see too many brand leaders living in fear of touching the price of their brand. Many marketers think of price as a defensive response to counter inflation or a competitive reaction at the retail shelf. The smartest brand leaders use price as a weapon to drive brand value. Let me show you how you can use price to drive more profit back to your brand. Instead of just cutting price when your brand needs some quick sales, you should be using price as part of your brand strategy.

priceAnyone who does not include “profit” in their definition of a brand has never run a brand before. To me, a product is a basic commodity you sell. A brand creates a bond that leads to a power and profit beyond what the product alone can achieve. 

If you want to succeed in brand management, you have to understand brand finance. After all, you are running a business. If you just like the activity of marketing, then you should become a subject matter expert, because if you cannot work the finances of your brand, you will not get promoted past brand manager. 

How to use premium pricing

It is crucial to understand the price/quality relationship of your brand and look for ways to increase the  perception of quality. When you find a unique position, which you know motivates consumers, it can differentiate you from competitors. Then you can use the motivation to tighten the bond with your consumers. 

price

The chart shows a relatively long-term direct correlation between perceived value and price. An indifferent brand has low perceived value and will end up with a much lower price point. A beloved brand can use its emotional connection to drive perceived value and ensure the price premium is perceived as good value. For instance, consumers are undoubtedly willing to pay $5 for a Starbucks latte, $500 for an iPad or $100,000+ for a Mercedes. The same consumers will price shop on brands where they have no feelings. A beloved brand has an inelastic price, which means the quantity demanded does not change very much when the price changes.

Price increase:

Simply put, brands can execute a price increase when the market or consumers allow the brand to do so. A beloved brand will have an easier time pushing through a price increase as it can use the power of its brand versus consumers, competitors, or channels. When pushing a price increase through retail channel partners, brands usually require proof it will work or that costs have gone up. Factors that help the brand story include the health of the brand and market.  

Price decrease:

Use this tactic when battling a competitor, in reaction to sluggish economic conditions or retail channel pressure. You can also use an aggressive price decrease when you have a cost advantage, whether that’s manufacturing, materials or distribution. When you have that cost advantage, it may make sense to deploy a lower price to deplete the resources of your competitor.

Price changes always carry a risk of a competitive overreaction. Always consider various potential competitive reactions when doing your financial analysis. Be careful. As difficult as it is to implement a price change, it is almost impossible to change it back.  

Build a pricing system to match your brand strategy

Rather than using price as a defensive tool, every brand should manage a pricing strategy that matches their brand strategy. Below is a potential pricing system with five critical questions around price strategy, how to determine and execute your brand’s price, how to build parameters to govern your price corridors, then how to monitor pricing. The complexity of the system can depend on how important or how variable the price is to your brand. You should revisit your price strategy annually, as part of your deep dive business review.

price

Trade the consumer up or down

Another strategy is to create a range of products at various price levels, with a good/better/best approach that allows the brand to reach up or down to a new segment of consumers. Make sure that you are doing this for the right reason or it could backfire on you.

Trading consumers up on price:

Make sure your brand can carve out a meaningful difference to create a second or third tier, so consumers can see an apparent reason for wanting to move up. Many brands will deploy a good/better/best approach to pricing. When your brand secures trust or a bond with the consumer, it will be easier to use your brand reputation and product performance to move loyal consumers up to the next level.

Trading consumers down:

When the brand sees a potential unserved market, it can trade consumers down when the move will bring minimal damage to the brand image or reputation. In a tough economy, creating a lower-priced set of products can be a smarter strategy than lowering the overall price of your main brand. Once the economy bounces back, you can discontinue the lower-priced product option.

There are a few cautions around trying to trade consumers up or down. Be careful not to lose focus on the brand’s core business or image. Stay focused because brands struggle when they try to be all things to everyone. When trading down, try to take costs out of the product to ensure margins rates stay consistent. For a mass brand going through retail channels, it can be challenging to manage multiple price levels. The products with lower sales may receive poor shelf placement and miss out on retailer-merchandising tools.

Price Calculations

Financial calculations for a price increase will impact both revenue and profits. You should do an elasticity market research test to find out how your brand will perform.

price

In this example, the price goes from $2.50 up to $2.75, only a 10% price increase. I assumed the cost of goods remained flat and I used a forecasted sales decline on units sold. The sales revenue falls slightly, but the profit goes up 4.6%.

Eight ways to drive brand profits 

          1. Premium pricing
          2. Trade loyal consumers up to a higher price
          3. Lower cost of goods
          4. Lower marketing and selling costs
          5. Steal competitive users
          6. Get loyal users to use more
          7. Enter into new markets
          8. Find new uses for the brand

Profit = (Price – Cost) x (Market Share x Market Size)*

profit

To go deeper on brand finance, follow this link to our Brand Finance 101, written by a fellow marketer:

Brand Finance 101

To learn more about this type of thinking, you should explore my new book, Beloved Brands.

With Beloved Brands, you will learn everything you need to know so you can build a brand that your consumers will love.

You will learn how to think strategically, define your brand with a positioning statement and a brand idea, write a brand plan everyone can follow, inspire smart and creative marketing execution and analyze the performance of your brand through a deep-dive business review.

Beloved Brands book

To order the e-book version or the paperback version from Amazon, click on this link: https://lnkd.in/eF-mYPe

If you use Kobo, you can find Beloved Brands in over 30 markets using this link: https://lnkd.in/g7SzEh4

And if you are in India, you can use this link to order: https://lnkd.in/gDA5Aiw

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth, and profitability you will realize in the future.

We think the best solutions are likely inside you already, but struggle to come out. Our unique playbook tools are the backbone of our workshops. We bring our challenging voice to help you make decisions and refine every potential idea.

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a brand idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources.

Our brand playbook methodology will challenge you to unlock future growth for your brand

  1. Our deep-dive assessment process will give you the knowledge of the issues facing your brand, so you can build a smart plan to unleash future growth.
  2. Find a winning brand positioning statement that motivates consumers to buy, and gives you a competitive advantage to drive future growth.
  3. Create a brand idea to capture the minds and hearts of consumers, while inspiring and focusing your team to deliver greatness on the brand’s behalf.
  4. Build a brand plan to help you make smart focused decisions, so you can organize, steer, and inspire your team towards higher growth.
  5. Advise on advertising, to find creative that drives branded breakthrough and use a motivating messaging to set up long-term brand growth.
  6. Our brand training program will make your brand leaders smarter, so you have added confidence in their performance to drive brand growth.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

You have my personal promise to help you solve your brand building challenges. I will give you new thinking, so you can unlock future growth for your brand.

Signature

Graham Robertson

Founder and CMO, Beloved Brands Inc.

 

 

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Beloved Brands in the Market

The new John Lewis ad with Elton John fails to deliver Christmas

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The new John Lewis 2018 Christmas advertising is finally out. It was well known the British retailer would be using Elton John, but not many of us knew to what extent. The ad does a great job in showing Elton’s entire life story, moving backward, to see the source of his inspiration for music. It is well done. However, it’s not a Christmas ad. It doesn’t capture the joy of giving. There’s no surprising twist. It’s a celebrity ad, but is it a John Lewis ad?

I’ll give this sir Elton spot a solid 7/10.

It’s a 9 if it was for an Elton John movie coming out. It’s a 6 for Christmas. Yes, it’s enjoyable. Warm. Good story telling. It’s good but not great. Sadly, Elton won’t save Christmas for the John Lewis stores.

Ugh: Borrowed Equity

The idea of “borrowed equity” is where you take something well-known in the marketplace and try to link it to your brand communication. It rarely works. It’s fine to use a song to tell your story, but never let the story get in the way of your brand. In this case, the Elton John equity overwhelms the John Lewis brand, and it overwhelms the power of Christmas. It becomes a great Elton John ad, not a great John Lewis ad.

When I see brands use “borrowed equity,” it usually means they find their own brand too dull. Look below at the 2011 John Lewis ad, and tell me if it is boring. Alternatively, did the people at John Lewis get bored with your own brand?

This Elton John ad could easily have been used  to announce the merger of John Lewis and Waitrose, and we would have thought “hey, that’s a nice spot.”  As for a Christmas ad, this one flops.

The pressure seems to be getting to brands

For a few years, there was hysteria and anticipation for the John Lewis Christmas ad, but that may be dying down if they fail to deliver. During the era amazing John Lewis advertising they were able to link the advertising with sales growth of 5-8%. The connectivity with consumers was helping buck the declines other retailers were facing with e-Commerce.

The ad will generate a lot of talk value at the lunch table and in the pubs. However, that talk will be fairly mixed. Some will say they nailed it; others will say they’ve seen enough of Elton John, and others will say it’s not about Christmas.

Will it work?

What it won’t do is separate John Lewis from the pack this holiday season, nor will it drive consumers into their stores. It fails to communicate on the joy of giving, which John Lewis had nailed so well. It will be memorable for those who love Elton John, who is likely over 50 or 60, but certainly not under 25.

So now the ad team will start working on those scripts for 2019. My advice: watch the 2011 spot and give your consumers a story like that. It’s ok if it looks similar. That’s what people want. Comfort.

Here’s the best Christmas ad John Lewis made:

History of John Lewis Christmas advertising

Look below at the history of John Lewis Christmas ads. To me, the best ones are 2011 (I’d say this is a 10/10), 2010 (I’d give it a 9/10) and 2014 (Another 9/10).

2017: Moz the monster

Last year’s spot was extremely safe. Likely the last few years, John Lewis has bounced around quite a bit, struggling to nail down a spot that delivered on the formula of 2009 to 2012 when they were pure magic.

To me, the ad is OK, but not great. It’s cute, but not brilliant. It falls a little flat, compared to previous John Lewis ads. It has a monster, which a cross between Monsters Inc. and the Monty the Penguin they did a few years ago. I didn’t like that one either. Ugh. I just wish it was better. I wish it was like 2010 or 2011 when John Lewis made the best Chrtimas ads.

2016: Buster the Boxer

Pretty simple story. Kid likes to bounce on things. Dad builds a trampoline. Animals come out and bounce on it. Dog sees them and is jealous. Dog bounces on the trampoline before the kid gets to it. Kid disappointed?  Mom and Dad disappointed? No one seems happy. But a dog on a video gets tons of views.

 

2015: Man on the Moon

This spot was great on story telling, but it might have gone overboard on sad. But I truly loved it. My second favorite John Lewis ad next to the 2011 spot.

Yes, the man on the moon is a metaphor (sorry, there really isn’t a man on the moon) for reaching out and giving someone a gift. For me, this ad quickly reminds me of when my own kids are on the phone or FaceTime with my mom. There is a certain magic in the innocence and simplicity when the very young talk with older people. They both seem to get it, maybe sometimes more than the in-between ages where the innocence of Christmas is lost within their busy schedules.

2014:  Monty the Penguin:

Pretty simple ad, a little similar to the 2017 spot. The imaginary penguin becomes his best friend, and in the end, he gets a penguin toy for Christmas. In 2017, the imaginary monster becomes his best friend and the monster gives him a toy so he won’t be scared at night. Pretty damn safe. Seems to be targeting younger moms and their toddlers.

2013: The Bear and the Hare

This ad a bit of a departure, going to animation and utilizing on-line and in-store media. This campaign seems trying too hard to capitalize on their success. Doesn’t feel like a fit for the depth of story-telling of the 2010 or 2011. I get the sense they felt they were too dark on tone in 2012, so they went very light in 2013.

2012: Snowman

The “snowman” ad went a bit too dark for me with missed the tone feeling like a slight miss for John Lewis. I felt they were trying too hard.  Maybe feeling the pressure to keep the campaign alive by being different when really the consumer just wants the fast-becoming-familiar-John-Lewis-magic each year.

2011: Counting down

This is my favorite John Lewis ad from 2011, about the boy who couldn’t wait for Christmas. Great story telling about the boy who could not wait, but with a nice surprise at the end. You will notice the “Man on the Moon” feels very similar. But that’s OK, traditions are allowed to have some repetition to the ritual.

2010: “Your song”

This is also a great one from 2010, with the story telling improving over the 2009 spot and Ellie Goulding’s cover of “Your song” is incredible. With the multiple stories throughout the spot, it has that “Love Actually” quality to the ad.

2009: Sweet Child of Mine

This ad was the starting point for the great advertising John Lewis would do. Engaging video story-telling with a soft cover of a classic song. These would become the trademark of the great John Lewis ads over the next few years.

 

I guess I’ll have to wait for the 2019 John Lewis Christmas ad!  🙁

 

Christmas is about 8 weeks away. Expect to see this spot a lot on your social media feed. But, also expect the other UK retailers to compete as they did last year.

Passion in Marketing Execution Matters. If you don’t love it, how do you expect your consumer to love it? If you “sorta like” it, then it will be “sorta ok” in the end. But if you love it, you’ll go the extra mile and make it amazing. To read more about how to drive your Marketing Execution, here is our workshop that shows everything you need to know, to have the smarts of strategy, the discipline of leadership and the passion of creativity to generate brand love in today’s modern world.

 

To learn more about this type of thinking, you should explore my new book, Beloved Brands.

With Beloved Brands, you will learn everything you need to know so you can build a brand that your consumers will love.

You will learn how to think strategically, define your brand with a positioning statement and a brand idea, write a brand plan everyone can follow, inspire smart and creative marketing execution and analyze the performance of your brand through a deep-dive business review.

Beloved Brands book

To order the e-book version or the paperback version from Amazon, click on this link: https://lnkd.in/eF-mYPe

If you use Kobo, you can find Beloved Brands in over 30 markets using this link: https://lnkd.in/g7SzEh4

And if you are in India, you can use this link to order: https://lnkd.in/gDA5Aiw

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth, and profitability you will realize in the future.

We think the best solutions are likely inside you already, but struggle to come out. Our unique playbook tools are the backbone of our workshops. We bring our challenging voice to help you make decisions and refine every potential idea.

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a brand idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources.

Our brand playbook methodology will challenge you to unlock future growth for your brand

  1. Our deep-dive assessment process will give you the knowledge of the issues facing your brand, so you can build a smart plan to unleash future growth.
  2. Find a winning brand positioning statement that motivates consumers to buy, and gives you a competitive advantage to drive future growth.
  3. Create a brand idea to capture the minds and hearts of consumers, while inspiring and focusing your team to deliver greatness on the brand’s behalf.
  4. Build a brand plan to help you make smart focused decisions, so you can organize, steer, and inspire your team towards higher growth.
  5. Advise on advertising, to find creative that drives branded breakthrough and use a motivating messaging to set up long-term brand growth.
  6. Our brand training program will make your brand leaders smarter, so you have added confidence in their performance to drive brand growth.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

You have my personal promise to help you solve your brand building challenges. I will give you new thinking, so you can unlock future growth for your brand.

Graham Robertson signature

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How to Guide for Marketers

Do blue ocean opportunities really exist? Or is it all just red ocean?

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blue oceanPeople love brainstorming “blue ocean” ideas, coming up with unique ways to create their own uncontested market space and do it so well, they can make competition irrelevant. These sessions can open up business minds that might be stuck. They can get your people out of their usual thinking so they can explore where else you could go. However, if you feel like once you launch, it’s sailing the open seas all by your lonesome, think again.

With any market situation, if you steal money from someone, they’ll figure who stole it and come after you. All of a sudden, your blue ocean market is really a red ocean, filled with bloody battles to the death of one brand over the other. Just because you might be significantly better than who you are fighting does not mean it will be easy. Make sure you are ready for battle. Think in terms of competitive market warfare. It might get bloody.

Murder and strategy have one thing in common; they both start with opportunity.

Finding those blue ocean strategies can create opportunities. The reality is most brands play in a highly competitive space. Every gain you make, comes at the expense of someone else, who is also always 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.
  • Amazon is fighting against retailers and brands selling direct.

It’s fine to use a blue ocean brainstorm to create these type of ideas. You have to use a red ocean defence to run these businesses. Anytime you take a dollar away from someone, they will fight back.

blue ocean

How to win in a red ocean world

Brands have four choices:  better, different, cheaper or not around for long. Which do you want?

To find the competitive space in which your brand can win, I introduce a Venn diagram of competitive situations that we will use throughout this discussion.

Competitive Strategy

You will see three circles. The first circle comprises everything your consumer wants or needs. The second circle includes everything your brand does best, including consumer benefits, product features or proven claims. And, finally, the third circle lists what your competitor does best.

Winning zone

Your brand’s winning zone (in green), is the space that matches up “What consumers want” with “What your brand does best.” This space provides you a distinct positioning you can own and defend from attack. Your brand must be able to satisfy the consumer needs better than any other competitor can.

Your brand will not survive by trying to compete in the losing zone (in red). This space matches the consumer needs with “What your competitor does best.” When you play in this space, your competitor will beat you every time.

As markets mature, competitors copy each other. It has become harder to be better with a definitive product win. Many brands have to play in the risky zone (in grey), which is the space where you and your competitor both meet the consumer’s needs in a relative tie.

There are four ways you can win the risky zone:

  • Use your brand’s power in the market to squeeze out smaller, weaker brands.
  • Be the first to capture that space to earn a reputation you can defend
  • Win with innovation and creativity to make your brand seem unique
  • Build a deeper emotional connection to make your brand seem different

Sadly, I always have to mention the dumb zone (in blue) where two competitors “battle it out” in the space consumers do not care. One competitor says, “We are faster,” and the other brand says, “We are just as fast.” No one bothered to ask the consumer if they care about speed. Both brands are dumb.

Competitive Warfare  

Regarding the competitive strategy, you must choose from one of four different types of competitive situations you find your brand operating within. The power players are the dominant leader in the category and take a competitive defensive stance. The challenger brands have gained enough power to battle head-to-head with the market leader. The disruptor brands have found a space so different they can pull consumers away from the significant category players. Moreover, craft brands aggressively go against the category with a niche target market and a niche consumer benefit. They are small and stay far away from the market leaders.

Brands rarely experience competitive isolation. Even in a blue ocean situation, the euphoria of being alone quickly turns to a red ocean, cluttered with the blood from nasty battling competitors. The moment we think we are alone, a competitor is watching and believing they can do it better than we can. When you ignore your competition, believing only the consumer matters, you are on a naive pathway to losing. Competitors can help sharpen our focus and tighten our language on the brand positioning we project to the marketplace.

Regarding marketing war games, I will use this Venn diagram to map out four types of competitive brands:

  • Power players
  • Challenger brands
  • Disruptor brands
  • Craft brands.

Power players

Power players lead the way as the share leader or perceived influential leader of the category. These brands command power over all the stakeholders, including consumers, competitors, and retail channels.

Regarding positioning, the power player brands own what they are best at and leverage their power in the market to help them own the position where there is a tie with another competitor. Owning both zones helps expand the brand’s presence and power across a bigger market. These brands can also use their exceptional financial situation to invest in innovation to catch up, defend or stay ahead of competitors.

Competitive Strategy

Power player brands must defend their territory by responding to every aggressive competitor’s attacks.

They even need to attack themselves by vigilantly watching for internal weaknesses to close any potential leaks before a competitor notices. Power player brands can never become complacent, or they will die.

Google

One of the best contemporary power player brands is Google, which has managed to dominate the search engine market. The company’s extreme focus and smart execution gained market power and squeezed out Microsoft and Yahoo. Focused on providing knowledge for consumers, Google has continued to expand its services into a bundle of products with e-mail, maps, apps, docs, cloud technology, and cell phones. Regarding advertising dollars, the combination of Google and Facebook now accounts for over 80% of all digital advertising spending. We are currently entering the digital duopoly age with influence shared between these two power player brands.

Blackberry: A failed power brand

On the other hand, BlackBerry is an excellent case study of a power player which forgot to defend its castle. In 2009, Blackberry dominated the B2B corporate smartphone market. Fanatics were so addicted they referred to the brand as “CrackBerry.” At the time, a great market research story on BlackBerry said, “If there were 20 people in the room and one had a BlackBerry, guess which one person was the boss.” That is a great brand positioning space to own. However, BlackBerry became distracted by the Apple launch and tried to be more like Apple rather than staying true to itself. BlackBerry launched an inferior touchscreen phone, an undifferentiated tablet, sponsored rock concerts, and launched BlackBerry Messenger (BBM) for young teens. The brand failed to attack itself, leaving severe product flaws, which frustrated their users. Pretty soon, corporations began to switch to the iPhone.

Challenger brands

Challenger brands must change the playing field by amplifying what your brand does best while simultaneously repositioning the power player brand you want to take down.

While your first instinct would be to attack the power player’s weakness, the smarter move is to reposition one of the power player’s well-known strengths into a perceived weakness. This strategy helps move the power player brand outside of what consumers want.

Competitive Strategy

When you attack a power player brand, be ready for the leader’s potential defensive moves and anticipate a response with full force, as the power player brand has more significant resources than you. You also need to be highly confident that your attack will make a positive impact before you begin to enter into a war. The worst situation is to start a war you cannot win, as it will drain your brand’s limited resources, only to end up with the same market share after the war.

Since the power player leader tries to be everything to everyone, you can narrow your attack to slice off those consumers who are frustrated with the leading brand. Tap into their frustration to help kickstart a migration of consumers away from the leader. If you can gain these lost consumers, you can quickly change share positions.

The Pepsi Challenge

One of the best examples of a challenger brand that made significant gains is the Pepsi Challenge from the 1970s. It was a direct offensive attack on Coke. In blind taste tests, Pepsi was the preferred brand. Pepsi is a much sweeter taste, so in a quick hit, it was the chosen brand. Coke is an acquired and memorable taste. The blind taste test took away the Coke brand name and the emotional feelings of that brand. At the same time, Pepsi amplified its strength as the “new generation” and positioned the brand as the solution to consumers ready to reject the “old taste” of Coke. Pepsi’s approach on taste contributed to the launch of a sweeter “New Coke.”

Avis

Avis created the “We try harder” campaign that openly said “we are #2, so we have to try harder” which turned the strength of Hertz #1 market share into a slight weakness, making consumers wonder if the #1 brand Hertz was resting on its laurels. They layered in reasons to believe saying they couldn’t’ afford to provide unwashed cars, low tire pressure and dirty ashtrays which made consumers start to wonder if Hertz did those things.

Disruptor brands

Disruptor brands move into a blue ocean space, all by themselves. They use a new product, distribution channel, target market or price point. They are so different they appear to be the only brand that can satisfy the consumer’s changing needs.

Competitive Strategy

When successful, the disruptor brand repositions the significant players, making them appear unattached to consumers.

While everyone wants a game-changer, it is a high-risk, high-reward competitive situation. The trick is you have to be “so different” to catch the consumer’s attention and mindshare. Being profoundly different increases the risk you may fail. Also, your success may invite other entrants to follow. At that point, you become the new power player of the new segment. You have to continue attacking the significant players while defending against new entrants who attack your brand.

Technology examples

Uber, Netflix, and Airbnb are contemporary brands that effectively use modern technology to create such a unique offering that they cast significant category-leading brands or entire industries as outdated and outside what consumers want. Uber disrupted the taxi market, Netflix is revolutionizing the way we watch TV, and Airbnb has had a dramatic impact on hotels. These brands have a smarter ordering system, better service levels, and significantly lower prices.

Craft Brands

Craft brands must win a small space in the marketplace that offers something unique to a highly engaged target. These brands succeed when they are far enough away from significant competitors that the leaders ignore them because craft brands stay hidden away.

Competitive Strategy

Craft brands build themselves behind a micro-benefit, including gluten-free, low fat, locally grown, organic or ethically sourced. These craft brands take an antagonistic approach to the rest of the category, portraying every other brand in the category as old-school, overly corporate, unethical, flawed in the manufacturing or the use of ingredients. Many times, these brands take a very aggressive marketing stance, calling out the other brands as unethical or stupid. Craft brands believe it is better to be loved by the few than liked or tolerated by many.

Five Guys

A fantastic of example a craft brand is Five Guys Burgers, which uses fresh, high-quality beef and a commitment not to begin cooking your burger until you order it. The portions are more substantial than typical fast food, and they charge super-premium prices. Five Guys have gone in the opposite direction to most fast food restaurants, whose meals seem frozen and microwaved. Five Guys has expanded rapidly with word of mouth helping the brand earn a reputation as “the best burger.” Now that Five Guys has become a global brand, McDonald’s has to figure out an adequate competitive response.

Dollar Shave

Another excellent example of a craft brand is Dollar Shave, which launched as an online subscription model for razor blades. Dollar Shave uses smart sourcing and a direct-to-consumer distribution model. This efficient model eliminates costs and allows the brand to sell razors at a fraction of the cost you pay for Gillette. For consumers, the price of razor blades has gotten out of control, no matter how much innovation the leaders try to portray. Dollar Shave’s advertising openly mocked Gillette, yet it started in such a small niche, so Gillette ignored them. While year one sales were only $30 million, without a competitive response from Gillette, Dollar Shave continued to grow year-by-year, until Unilever recently purchased the brand for $1 billion.

Marketing warfare rules for success

  • The speed of attack matters. Surprise attacks, but sustained momentum in the market is a competitive advantage.
  • 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.
  • 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 dogfights slows down brand growth. Never fight two wars at once.
  • Use early wins to keep the momentum going and gain quick positional power you can maintain and defend counter-attacks.
  • Execution matters. Quick breakthrough requires creativity in your approach and quality in execution.
  • Expect the unexpected. Think it through thoroughly. Map out potential responses by competitors.
  • In a red ocean world, you need to own your territory efficiently and ruthlessly beat your competitors.

To learn more about this type of thinking, you should explore my new book, Beloved Brands.

With Beloved Brands, you will learn everything you need to know so you can build a brand that your consumers will love.

You will learn how to think strategically, define your brand with a positioning statement and a brand idea, write a brand plan everyone can follow, inspire smart and creative marketing execution and analyze the performance of your brand through a deep-dive business review.

Beloved Brands book

To order the e-book version or the paperback version from Amazon, click on this link: https://lnkd.in/eF-mYPe

If you use Kobo, you can find Beloved Brands in over 30 markets using this link: https://lnkd.in/g7SzEh4

And if you are in India, you can use this link to order: https://lnkd.in/gDA5Aiw

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth, and profitability you will realize in the future.

We think the best solutions are likely inside you already, but struggle to come out. Our unique playbook tools are the backbone of our workshops. We bring our challenging voice to help you make decisions and refine every potential idea.

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a brand idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources.

Our brand playbook methodology will challenge you to unlock future growth for your brand

  1. Our deep-dive assessment process will give you the knowledge of the issues facing your brand, so you can build a smart plan to unleash future growth.
  2. Find a winning brand positioning statement that motivates consumers to buy, and gives you a competitive advantage to drive future growth.
  3. Create a brand idea to capture the minds and hearts of consumers, while inspiring and focusing your team to deliver greatness on the brand’s behalf.
  4. Build a brand plan to help you make smart focused decisions, so you can organize, steer, and inspire your team towards higher growth.
  5. Advise on advertising, to find creative that drives branded breakthrough and use a motivating messaging to set up long-term brand growth.
  6. Our brand training program will make your brand leaders smarter, so you have added confidence in their performance to drive brand growth.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

You have my personal promise to help you solve your brand building challenges. I will give you new thinking, so you can unlock future growth for your brand.

Signature

Graham Robertson

Founder and CMO, Beloved Brands Inc.

 

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How to Guide for Marketers

Completely embarrassing when your Ad is identical to your competitor

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copycat

Oh, the immense pressure of doing the best holiday TV ad for the UK. Every retailer trying to outdo each other. Brands will spend months and millions of pounds to try to land that perfect spot that gets talked about at the dinner table. Sainsbury’s has released their new Christmas spot for 2018, and the major problem for Sainsbury’s is that John Lewis, the UK department store, launched a nearly identical ad two months ago.

Have a look at the two ads below, and you be the judge:

Sainsbury’s November 2018

John Lewis September 2018

  • Both use classic school musicals. We are expecting these musicals to be relatively weak, with nervous parents watching, and yet we are dazzled with over-the-top performances, equal to that of a Broadway musical.
  • Both are ooozzing with wholesome cuteness beyond belief. The plug was cute though. Also, so was the spaceship kid.
  • Even the tagline is similar: John Lewis uses “When you’re part of it, you put your heart into it.” while Sainsbury’s uses “We give all we’ve got for the ones we love.”

The consumer comments online suggest they’ve taken note of the similarities.

The Sainsbury’s ad feels like a lightweight compared to what we have seen out of the UK the past decade. This John Lewis ad wasn’t even a Christmas ad. It was just made to announce the merger of John Lewis and Waitrose.

Currently, Sainsbury’s 2018 Christmas ad has 5,700 likes and over 2,000 dislikes. That’s not a good start.

The saddest part for Sainsbury’s is they did a spectacular Ad in 2014, that took viewers back to the beginning of the first world war. Given we have just commemorated the end of that war, it might have been an excellent time for the bookend version.

Here’s the Sainsbury’s spot from 2014

At this point, we still await the new holiday ad from John Lewis for 2018. Rumour has it that Elton John will be singing “RocketMan.”

 

If you are in marketing, you should explore my new book, Beloved Brands.

With Beloved Brands, you will learn everything you need to know so you can build a brand that your consumers will love.

You will learn how to think strategically, define your brand with a positioning statement and a brand idea, write a brand plan everyone can follow, inspire smart and creative marketing execution and analyze the performance of your brand through a deep-dive business review.

Beloved Brands book

To order the e-book version or the paperback version from Amazon, click on this link: https://lnkd.in/eF-mYPe

If you use Kobo, you can find Beloved Brands in over 30 markets using this link: https://lnkd.in/g7SzEh4

And if you are in India, you can use this link to order: https://lnkd.in/gDA5Aiw

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth, and profitability you will realize in the future.

We think the best solutions are likely inside you already, but struggle to come out. Our unique playbook tools are the backbone of our workshops. We bring our challenging voice to help you make decisions and refine every potential idea.

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a brand idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources.

Our brand playbook methodology will challenge you to unlock future growth for your brand

  1. Our deep-dive assessment process will give you the knowledge of the issues facing your brand, so you can build a smart plan to unleash future growth.
  2. Find a winning brand positioning statement that motivates consumers to buy, and gives you a competitive advantage to drive future growth.
  3. Create a brand idea to capture the minds and hearts of consumers, while inspiring and focusing your team to deliver greatness on the brand’s behalf.
  4. Build a brand plan to help you make smart focused decisions, so you can organize, steer, and inspire your team towards higher growth.
  5. Advise on advertising, to find creative that drives branded breakthrough and use a motivating messaging to set up long-term brand growth.
  6. Our brand training program will make your brand leaders smarter, so you have added confidence in their performance to drive brand growth.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

You have my personal promise to help you solve your brand building challenges. I will give you new thinking, so you can unlock future growth for your brand.

 

 

 

 

 

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How to Guide for Marketers

How to use influencers to drive your brand

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influencerWhile most think of influencers as celebrities named Jenner, open your minds to the possibilities of who can help drive your brand, by creating awareness with influence. Who would be able to trigger your consumer to accelerate their path along their purchase journey.  I look at wise experts, social icons, trusted peers, brand lovers and friends as influencers. Each type of influencer plays a role, based on which type of consumer they trigger.

The consumer has changed

Old-school marketing used to yell their messages at every possible consumer using mass media, then move consumers naturally through the brand funnel from awareness to purchase and loyalty. With so few media choices, consumers could not escape the advertising. If consumers did not respond the first time, show it to them again and again. Back in the 1970s, it was all about the interruption of consumers, with brands focused primarily on day-after brand recall. Many times, the more annoying the ad, the better it would work. This media planning is not quite the sophisticated media strategy brands need today.

influencers

New-school marketing whispers to the most loyal brand fans, hoping they drive awareness with influence to their friends. The word of a friend will bring more influence to their purchase decision than a random TV ad. As the brand moves to the masses, consumers look for the advice of trusted peers whom they respect to know enough about the latest and greatest of the category. They also look to the brand lovers, giving them evidence the brand does deliver what it promises.

Awareness with influence

Awareness is a crappy objective, because awareness has no movement. I can buy awareness. As a marketer, my marketing must have some type of action–to get consumers to think, feel or do–differently than before they saw our marketing. I want marketing that has movement and that creates a bond, whether an immediate one or over time.

Influencer Marketing breaks through the clutter

Sure, influencer marketing does drive awareness, but when done right, it drives awareness with an action. The best influencer marketing has a finger wagging at the consumer–telling them what to think, feel or do–without the consumer really even knowing. The world is cluttered. There is more marketing crap out there than ever. Doing a TV ad or digital ads just adds more clutter to the crap we sift through on a daily basis. Aligning to an influencer who the consumer is willing to listen to helps break through and accelerate our brand’s potential for success

Consumer adoption curve

One significant distinction is what type of consumers they focus on. I introduced the idea of a consumer adoption curve, which leverages four types of consumers:

  • Trend influencers
  • Early adopters
  • Early mass
  • Late mass

I will use this thinking to show how brands can use influencers to trigger each type of consumer, as the brand evolves from the entry-level craft brand all the way to the power player mass brand.

influencers

The role of influencers on the consumer adoption curve

The trend influencer consumers always want the leading-edge stuff and are first to try within their social set. They want to stay aware of what the wise experts are saying, whom they trust or rely upon for knowledge. For brands competing in the car, sports, technology, fashion, entertainment, or foodie markets, there are leading expert reviewers or bloggers who have become the voice of the marketplace. Marketers who have a real revolutionary addition to the category should target and brief these wise experts to ensure they fully understand the brand story and point of difference. This information increases their willingness to recommend the new products.

The early adopter consumers rely on their trend influencer friends for the details of new brands. However, they will also look to social icons as a secondary source for validation. These social icons could include movie stars, singers, or famous athletes. If the social icons are using the new product, this assures the early adopter the new brand is about to hit a tipping point. These consumers always want to stay ahead of the curve, so that they will adopt it now.

Early mass consumers look for the advice of trusted peers whom they respect within their network. These are the people we go to for advice on a given subject. The early mass also looks to early brand lovers for validation of proven success; This satisfaction level gives them evidence the brand does deliver what it promises. The late mass audience is slow to adopt; they look to friends for recommendations but only when they feel comfortable enough to buy the brand.

influencer

Moving consumers along their journey

To drive awareness, you need to stand out and be seen in a crowd. Invest in mass media to gain entry into the consumer’s mind using TV, digital, viral video, out of home, or magazine. Where it makes sense, sponsorships and experiential events can increase the consumer’s familiarity with the brand.

To move consumers to the consideration stage, use influencers to teach those seeking to learn more. Use public relations to make the brand part of the news, whether through traditional, social, or blogger channels. Engage the online user review sites like Yelp, Trip Advisor, or category-specific review sites.

For more complex or higher risk purchase decisions, consumers will rely on search for almost everything, even if to just confirm what makes sense. Marketers can use search sites, such as Google, expert review sites, and online content, or long copy print media. The brand website comes into play and should include the right information to close off gaps or doubts, then move consumers towards the purchase decision.

Media options to help trigger purchase, include point-of-sale advertising, with in-store signage, displays and sales materials to prompt consumers at the purchase moment. Remarketing is a great tool to push consumers who might feel stuck at the consideration stage to reconsider and buy.

After the purchase, you must turn usage into a ritual among your most loyal users. Cultivate a collection of brand fans, using VIP programs and experiential events with special deals. Layer in emotional advertising to tighten the bond.

Once you have a strong base, you can mobilize your brand lovers, by intentionally creating shareable experiences, which will trigger brand lovers to share with their network through social media. With the new social media tools, the smartest brands are getting their most engaged consumers to drive awareness.

influencer

 

To learn more about this type of thinking, you should explore my new book, Beloved Brands.

With Beloved Brands, you will learn everything you need to know so you can build a brand that your consumers will love.

You will learn how to think strategically, define your brand with a positioning statement and a brand idea, write a brand plan everyone can follow, inspire smart and creative marketing execution and analyze the performance of your brand through a deep-dive business review.

Beloved Brands book

To order the e-book version or the paperback version from Amazon, click on this link: https://lnkd.in/eF-mYPe

If you use Kobo, you can find Beloved Brands in over 30 markets using this link: https://lnkd.in/g7SzEh4

And if you are in India, you can use this link to order: https://lnkd.in/gDA5Aiw

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth, and profitability you will realize in the future.

We think the best solutions are likely inside you already, but struggle to come out. Our unique playbook tools are the backbone of our workshops. We bring our challenging voice to help you make decisions and refine every potential idea.

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a brand idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources.

Our brand playbook methodology will challenge you to unlock future growth for your brand

  1. Our deep-dive assessment process will give you the knowledge of the issues facing your brand, so you can build a smart plan to unleash future growth.
  2. Find a winning brand positioning statement that motivates consumers to buy, and gives you a competitive advantage to drive future growth.
  3. Create a brand idea to capture the minds and hearts of consumers, while inspiring and focusing your team to deliver greatness on the brand’s behalf.
  4. Build a brand plan to help you make smart focused decisions, so you can organize, steer, and inspire your team towards higher growth.
  5. Advise on advertising, to find creative that drives branded breakthrough and use a motivating messaging to set up long-term brand growth.
  6. Our brand training program will make your brand leaders smarter, so you have added confidence in their performance to drive brand growth.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

You have my personal promise to help you solve your brand building challenges. I will give you new thinking, so you can unlock future growth for your brand.

Signature

Graham Robertson

Founder and CMO, Beloved Brands Inc.

 

 

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Beloved Brands Explained

A Remembrance Day ad that will bring a tear to your eye

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Remembrance DayRemembrance Day is a special day in Canada. We take a moment of silence at 11am on the 11th day of the 11th month, to commemorate the very moment that World War One ended.

This year is even more special as it marks the 100th anniversary of the end of the war.

History of Remembrance Day in Canada:

Every Canadian kid learns about “In Flanders Fields,” a poem written during the First World War by Canadian physician Lieutenant Colonel John McCrae (November 30, 1872 – January 28, 1918). He was a Canadian poet, physician, author, artist and soldier during World War I. He was a surgeon during the Second Battle of Ypres, in Belgium. McCrae was inspired to write “In Flanders Fields” on May 3, 1915, after presiding over the funeral of a friend and fellow soldier Alexis Helmer, who died in the Second Battle of Ypres.

Remembrance Day

According to legend, fellow soldiers retrieved the poem after McCrae, initially dissatisfied with his work, discarded it. “In Flanders Fields” was first published on December 8 of that year in the London-based magazine Punch. The red remembrance poppy has become a familiar emblem of Remembrance Day due to the poem In Flanders Fields.

These poppies bloomed across some of the worst battlefields of Flanders in World War I, their brilliant red colour became a symbol for the blood spilled in the war.  McCrae died of pneumonia months before the end of the war, while still working at a hospital for Canadian soldiers in Belgium.

Bell Poppy Ad

This new Bell ad tells a beautiful story from the eyes of a little girl, as she learns about Remembrance Day and does something very touching for a veteran. It’s a very Canadian storyline, and I hope you can appreciate every little subtlety in this ad. There are no words, and you have to pay close attention to every detail. In the ad, a little girl peers out a school bus window and sees a veteran selling poppies by the side of the road.

It prompts her to google “what is a poppy,” which starts her on the learning process about Remembrance Day. The little girl emails someone in Belgium, asking if they are near Flanders Field, a link to the poem above. Then a letter arrives, presumably from the person in Belgium. The little girl takes the note to the veteran, giving it to him in a very touching tribute and a beautiful moment.

Bell Dieppe Ad

Bell Canada has a long history of paying tribute to our veterans. Below is an ad from the mid-90s, when we were still excited that we could call from anywhere. In the ad, a young 20-year-old visiting Dieppe phones home to Canada to talk to his grandfather, just to say “thank you.” Dieppe holds a special place for Canadians. Two years before D-Day, 6,000 Canadians tried to land on the beach at Dieppe, but less than half survived. We see many tributes to the soldiers, but this one sends a chill through me every time I watch.

Wear a poppy. Lest we forget.

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Beloved Brands Explained

Should brands take a stand? (No)

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politicsI realize the new Edelman report is encouraging brands to take a stand. Of course consumers of 2018 want you to take a stance, they want to know who to boycott and trash on Twitter. For most politically minded people, politics in 2018 has become similar to cheering for a sports team.

My advice: be careful.

When the stance you take fits with your brand’s values, it will work. When it seems like a leader of the brand taking a personal stance, it seems shallow and tends to fail.

There is a big difference between a values-driven belief and a personal political stance. 

For instance, Patagonia is pro-environment, so it works for them to take a stance on environmental issues. They have earned the right to speak out on fighting for public lands or the environment. It’s not an ad to them; it’s part of who they are. Their consumers see that stance as a perfect fit. It is natural that most hikers are environmentalists.

Patagonia

Another great example when it works is with Nike, who wanted to show they have their athletes backs, so taking a stance to support Colin Kaepernick’s kneeling works. The younger consumers are fans of the great athletes who are outspoken on politics, such as Kaepernick, Serena Williams or Lebron James. While there was the early talk of a Nike boycott, the actual Nike consumers loved it.

The former CEO of Starbucks, Howard Schultz, is extremely political, likely much more than the Starbucks brand or those who work for him. He has made numerous attempts to take a political stance, such as the #racetogether campaign, but his customers rejected many of those campaigns saying “you just sell coffee.” Given only 55% of people vote, many don’t want to be reminded of politics at a time when they are trying to escape.

#racetogether

The Chick-fil-a CEO has taken many political stances, opposite to those of Shultz. He is against gay marriage and has made a very pro life stance. Again, they sell chicken, and it doesn’t fit with the brand.

Chick-Fil-A

In the Kendel Jenner Pepsi ad, they tried to take a stance or two stances at once, by being for world peace and pro-police and managed to upset everyone. If you are going to play the middle of the road on politics, that might be even worse, so you may as well not say anything.

Pepsi

When there is no natural fit with your brand, stay quiet. Very quiet.

Looking at the Edelman data, while people want to know your stance, the same amount says they want to buy a brand because of their position, and will not buy it. While you can argue that’s an equal win-loss, if you sell ketchup, and lose customers because of your stance, you can’t expect the rest of your consumers to start using twice as much. Again, make sure it fits.

edelman

 

With such a divided electorate, it is too dangerous for brands to take political sides.

As a person, I love that people have political convictions and applaud them for speaking out. I loved that millions marched. It was truly inspirational. facebook politicsNow, if you enjoy speaking out, go for it. Your choice. I know you think I am wrong. I have tried to hint to friends that they should tone down their inflammatory Facebook posts, but to no avail. They seem to need that therapeutic. It is perfectly OK for an individual, buried somewhere on your personal Twitter or Facebook feed with your 334 followers. Have fun.

Higher profits gives you more of an opportunity to make an impact that matches up with your values 

Brand’s only exist because companies figure they can make more money than if they sold the product alone. If having a conviction makes you more profits, I say, “Have more conviction!!!” However, if it costs you money, be smarter. Higher profits will allow you to make a difference quietly. If Nike makes more money supporting Kaepernick, they should do it. If Patagonia can make more money taking an environmental stance, then keep doing it. The math for Nike works because younger consumers are attracted to that message, and they spend significantly more on shoes than older consumers who might boycott Nike.

The only political stance I will ever take in public: go vote.

Make sure your brand’s stance fits with your brand values

 

To learn more about this type of thinking, you should explore my new book, Beloved Brands.

With Beloved Brands, you will learn everything you need to know so you can build a brand that your consumers will love.

You will learn how to think strategically, define your brand with a positioning statement and a brand idea, write a brand plan everyone can follow, inspire smart and creative marketing execution and analyze the performance of your brand through a deep-dive business review.

Beloved Brands book

To order the e-book version or the paperback version from Amazon, click on this link: https://lnkd.in/eF-mYPe

If you use Kobo, you can find Beloved Brands in over 30 markets using this link: https://lnkd.in/g7SzEh4

And if you are in India, you can use this link to order: https://lnkd.in/gDA5Aiw

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth, and profitability you will realize in the future.

We think the best solutions are likely inside you already, but struggle to come out. Our unique playbook tools are the backbone of our workshops. We bring our challenging voice to help you make decisions and refine every potential idea.

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a brand idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources.

Our brand playbook methodology will challenge you to unlock future growth for your brand

  1. Our deep-dive assessment process will give you the knowledge of the issues facing your brand, so you can build a smart plan to unleash future growth.
  2. Find a winning brand positioning statement that motivates consumers to buy, and gives you a competitive advantage to drive future growth.
  3. Create a brand idea to capture the minds and hearts of consumers, while inspiring and focusing your team to deliver greatness on the brand’s behalf.
  4. Build a brand plan to help you make smart focused decisions, so you can organize, steer, and inspire your team towards higher growth.
  5. Advise on advertising, to find creative that drives branded breakthrough and use a motivating messaging to set up long-term brand growth.
  6. Our brand training program will make your brand leaders smarter, so you have added confidence in their performance to drive brand growth.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

You have my personal promise to help you solve your brand building challenges. I will give you new thinking, so you can unlock future growth for your brand.

Signature

Graham Robertson

Founder and CMO, Beloved Brands Inc.

 

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Beloved Brands in the Market

Explaining our love affair with chocolate

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chocolateConnecting chocolate with love is easy. Chocolate contains phenylethylamine, the same chemical released in the brain when we fall in love. Eating chocolate can give some people a natural “high” which is often related to the feeling of being in love. It’s a similar addiction that coffee uses to create your morning brand rituals.

Some of the world’s chocolate bar brands are the most beloved and powerful brands in the world. Consumers are passionate about their choices, mainly because chocolate bars usually serve an extremely personal purpose. It could be a pick-me-up in the afternoon, a celebration for when something good happens or recovery when something terrible happens. It is our escape–a guilty pleasure. Chocolate bars connect us back with our youth and give us those childhood feelings of joy.

chocolate

Brand love explained

I created the brand love curve, which shows the differences in how consumers feel about a brand as they move through five stages. It defines their feelings as unknown, indifferent, like it, love it and onto the beloved brand status.

For unknown brands, the strategic focus should be to stand out so consumers will notice the brand within a crowded brand world. For indifferent brands, the strategy must establish the brand in the consumer’s mind so they can see a clear point of difference. At the like it stage, the strategy is to separate the brand from the pack, creating happy experiences that build a trusted following. And, at the love it stage, the focus shifts to tugging at heartstrings to tighten the bond with the most loyal brand fans. Finally as your brand moves to the beloved brand stage, the strategic challenge is to create outspoken, loyal brand fans who are willing to whisper to their friends on the brand’s behalf.

When did you first love your favourite chocolate brand?

However, do you remember when you tried a Snickers or Reese Peanut Butter Cups for the first time? You likely just kept picking one out from the check-out counter until one became a favorite brand. There’s no logic in your chocolate bar choice–strictly an emotional decision or as Hotspex says an e-rational decision. You likely fell in love with your brand before you could even think. Hearing “NO” from your parents made you want it even more. I know my weakness was that Orange Aero bar….or was it the Big Turk…..or the Caramilk bar.  There aren’t any bad options in my mind.

Tough to break into the chocolate business

An odd fact about chocolate bars is that consumers have been making the same choices for about 50 years now. The top 10 chocolate bars today in your market are the same top 10 chocolate bars in the 1950s; just the order is different. If you look at the top brands (see below) you’ll see that almost all of them launched in the 1920s and 1930s. The only “new” chocolate bar to breakthrough is Twix, which began 50  years ago, and still yet to crack the big time.

chocolate

Cracking the top 10

There have been many attempts to crack the top 10 but all massive failures.  The factors inhibiting new brands from succeeding:

  • Distribution is tightly controlled by powerful companies like Nestle,  Mars, Hershey, and Cadbury that it’s almost impossible to break through and displace the older brands
  • The amount of advertising dollars spent on key brands is prohibitive of other brands being able to afford it.
  • You make your first brand choices at such a young age that you choose one of the big brands near the check out stand.
    There have been many great ads over the year. The most consistent brand has to be Kit Kat, which started using the tagline of “Have a Break…have a Kit Kat” back in 1957. Now, that’s a big idea!

 

The last few Super Bowls have produced two of the best chocolate bar ads.  The Betty White Snickers ad was a huge hit, not only during the Super Bowl, but the viral support it spun her into the Saturday Night Live host later that spring.

This year, the M&M’s Naked Guy, not really a big idea but a cute execution.

Necessary ingredients to create brand love

  • Everything must be about the consumer: You need to know your consumers as well as you know your brand. Dig deep to understand and appreciate the consumer insights, enemies and needs. Emphasize consumer benefits, not features. Since consumers always wonder, “What’s in it for me?” communicate what they get from you and talk about how your brand makes them feel.
  • Dare to be different: Your brand needs to stand out as being better, different, cheaper, or else it won’t be around for very long. Be the brand that defines your unique value, rather than adding more clutter to the mountain of clutter.
  • Build everything you do around your brand idea: Your brand idea is the first point of connection and creates the lasting impression. The brand idea is the reason consumers first buy. Every time your brand delivers, the bond tightens just a little more. Whenever you fail to deliver, the consumer goes into doubt mode, wondering if they will stay with your brand.
  • Breakthrough focus: You must focus your brand’s limited resources to key breakthrough points you believe will tighten the bond with your consumers, putting the brand in a more powerful position to drive higher profits. You have to know your consumer, know what your brand stands for and be willing to focus on the strategies that will pay back in building the brand.
  • Passion matters: You must exhibit incredible passion in the marketing execution, consistently focused on surprising your consumers, with a goal of becoming one of their favorite brands. Always remember “I love it” is the highest bar you can set for achieving great work. If you do not love the work, how can you ever expect your consumer to love your brand?

brand love

Brand love generates brand power

The tighter the bond a brand creates with their consumers, the more powerful the brand will become with all stakeholders. Think of brand love as stored energy a brand can unleash in the form of power into the marketplace. You can use that power with consumers, competitors, new entries, employees, influencers, media, suppliers and channel partners.

These beloved brands command power over the very consumers who love them, as consumers feel more and think less. These consumers pay price premiums, line up in the rain, follow the brand as soon as it enters new categories and relentlessly defend the brand to any attackers. They cannot live without the brand.

Beloved brands have power over channel customers, who know their consumers would switch stores before they switch brands. Stores cannot stand up to the beloved brand; instead, they give the brand everything in negotiations. The beloved brand ends up with stronger store placement, better trade terms and better promotions from retail partners.

brand profit

Brand love means brand profits

With all the love and power the beloved brand generates, it becomes easy to translate that stored power into sales growth, profit, and market valuation. Here are the eight ways a brand can drive profits:

  1. Premium pricing
  2. Trading up on price
  3. Lower cost of goods
  4. Lower sales and marketing costs
  5. Stealing competitive users
  6. Getting loyal users to use more
  7. Entering new markets
  8. Finding new uses for the brand.

Beloved brands can use higher prices and lower costs to drive higher margins

Most beloved brands can use their loyal brand lovers to command a premium price, creating a relatively inelastic price. The weakened channel customers cave in during negotiations to give the brand richer margins. Satisfied and loyal consumers are willing to trade up to the next best model. A well-run beloved brand can use their high volume to drive efficiency helping to achieve a lower cost of goods 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 the beloved brand. The beloved brand will operate with a much more efficient marketing spend, using their power with the media to generate lower rates with plenty of free media. Plus, the higher sales volumes make the beloved brand’s spend ratios much more efficient. The consumer response to the marketing execution is much more efficient, giving the brand a higher return on investment.

Beloved brands use higher shares of a bigger market to drive higher volume

The beloved brands use their momentum to reach a tipping point of support to drive higher market shares. They can get loyal users to use more, as consumers build the beloved brand into life’s routines and daily rituals.

It is easier for the beloved brands to enter new categories, knowing their loyal consumers will follow. And finally, there are more opportunities for the beloved brand to find more uses to increase the number of ways the beloved brand can fit into the consumer’s life.

 

To learn more about this type of thinking, you should explore my new book, Beloved Brands.

With Beloved Brands, you will learn everything you need to know so you can build a brand that your consumers will love.

You will learn how to think strategically, define your brand with a positioning statement and a brand idea, write a brand plan everyone can follow, inspire smart and creative marketing execution and analyze the performance of your brand through a deep-dive business review.

Beloved Brands book

To order the e-book version or the paperback version from Amazon, click on this link: https://lnkd.in/eF-mYPe

If you use Kobo, you can find Beloved Brands in over 30 markets using this link: https://lnkd.in/g7SzEh4

And if you are in India, you can use this link to order: https://lnkd.in/gDA5Aiw

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth, and profitability you will realize in the future.

We think the best solutions are likely inside you already, but struggle to come out. Our unique playbook tools are the backbone of our workshops. We bring our challenging voice to help you make decisions and refine every potential idea.

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a brand idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources.

Our brand playbook methodology will challenge you to unlock future growth for your brand

  1. Our deep-dive assessment process will give you the knowledge of the issues facing your brand, so you can build a smart plan to unleash future growth.
  2. Find a winning brand positioning statement that motivates consumers to buy, and gives you a competitive advantage to drive future growth.
  3. Create a brand idea to capture the minds and hearts of consumers, while inspiring and focusing your team to deliver greatness on the brand’s behalf.
  4. Build a brand plan to help you make smart focused decisions, so you can organize, steer, and inspire your team towards higher growth.
  5. Advise on advertising, to find creative that drives branded breakthrough and use a motivating messaging to set up long-term brand growth.
  6. Our brand training program will make your brand leaders smarter, so you have added confidence in their performance to drive brand growth.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

You have my personal promise to help you solve your brand building challenges. I will give you new thinking, so you can unlock future growth for your brand.

Signature

Graham Robertson

Founder and CMO, Beloved Brands Inc.

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How to Guide for Marketers

The values that make a great brand leader

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brand managementFrom what have I seen over the years, it is the underlying values that make someone a great marketer. The best brand leaders are consumer focused, looking at the consumer as a puzzle to figure out. Yes, they seek out enough information to gain comfort, gut they use their gut instincts to make decisions. They are ok with the ambiguity of marketing, many times using it as an advantage over those who are not as comfortable. The best act as a leader over the brand, taking control over the strategy and the execution plans. They never let the brand run them. And, one of my favorite phrases I stole from Jack Welch is the idea of “speed, simplicity, and self-confidence.” The moment I heard that line, I loved it. That was back in 1990. Since then, I have found it a fit for almost anything to do with leadership.

Be consumer-focused

Everything starts and ends with the consumer in mind. Put yourself in the shoes of the consumer and think like them. Steve Jobs said he never needed research, but he must have been fantastic at listening, observing and anticipating how the consumer would react.

I’d still recommend you do research, but go beyond the statistics of the research study and learn how your consumer thinks. Whenever I go to focus groups, I watch their faces. Moreover, when the research results come back, you always have to ask “so now what do we do.” The research helps you but never gives you the exact answer. Match up the needs of the consumer to your brand assets to figure out your ideal brand positioning.

The best marketers represent the consumer to the brand, NOT the brand to the consumer. I always believe that consumers are selfish and deservedly so because they have money to spend. As a consumer, I don’t care what you do until you care about what I need. Focus on them, not on you.

Follow your instincts

Find your gut reaction and listen to your inner thoughts. They are in there and many times right. Too many times people fail because “they went along with it even though they didn’t like it.” The problem is that sometimes your instincts are hidden away. You get confused, you feel the pressure to get things done, and you’ve got everyone telling you to go for it. You get scared because you’re worried about getting promoted and want to do the ‘right thing.’ However, your gut is telling you it’s just not right. My rule is simple: if you don’t love the work, how do you expect the consumer to love your brand. The worst type of marketer is someone who says “I never liked the brief” or “I never liked the ad.” If you blame your agency or team after the fact, I have a word for people like you: “useless.”

Revel in ambiguity

Never be afraid of an idea and never kill it quickly. Watch the signals you send that make suck the creativity out of your team. If you become too predictable to your team, then your work in the market will also become predictable. Ambiguity and time pressure usually work against each other. Don’t ever settle for “ok” just because of a deadline. Always push for great. What I have found is the longer I can stay comfortable in the “ambiguity zone” the better the ideas get. Use time pressure to force the thinking to be more straightforward. Use the performance pressure forces us to push for our best idea, I always say, the longer I can hold my breath, the better the work gets.

You run the brand, don’t let the brand run you.

Be thoroughly organized, well planned and know the pulse of your business.

Every six months, I would find a quiet time to answer five key questions that would help me stay aware:

  1. Where are we?
  2. Why are we here?
  3. Where could we be?
  4. How can we get there?
  5. What do we have to do to get started?

Oddly, the more planning you do, the more agile you’ll be because you’ll know when it’s ok to “go off plan” Stay in Control: Hit the Deadlines, don’t give the appearance that you’re not in control. We have enough to do that things will stockpile on each other. Know Your Business and don’t get caught off-guard. Make sure you are asking the questions and carrying forward the knowledge. Enjoy doing the monthly report because it makes you the most knowledgeable about the brand. Stay conceptual; avoid getting stuck in pennies or decimals. A process should enable us, not hinder us: A good process can force your thinking towards a solution. If it restricts your thinking, it’s not a good process.

Be the brand leader, not the follower.

The more you keep your boss informed, the more rope they may give you. If they don’t know what you’re doing, they may clamp down and micro-manage you. Ensure a policy of open communication with no surprises: Make sure you keep your team informed and involved. Keep senior management informed. You must be the champion of the brand. The best ideas are those that erupt out from the brand team–not from a top-down perspective. You have to be a self-starter that pushes your idea through the system, in the face of resistance or doubt. You will always meet resistance from so many people in the system. All the best work I ever did in my career faced a significant degree of resistance. You have to anticipate this and work through it. One subtlety to ownership is your tone.

When you don’t know something, speak in an “asking way” and openly seek out the wisdom and advice of your agency, your manager or your peers. Put your ego aside and listen. However, equally, when you do know the answer, speak in a “telling way” that gets others to follow you, including senior management.

Focus on speed, simplicity and self-confidence

  • Speed: We don’t do things fast for the sake of it; we do things quickly so we can take advantage of opportunities that have a window. If you recognize an opportunity, realize that others are also recognizing the same opportunity. So speed to market can enable you to win before they get there. Also, doing things fast does not mean sloppy.
  • Simplicity: I’ve always said, “If you have a complex answer to something, odds are you are wrong.” Keep it simple enough to explain, and so that the people who need to execute our ideas can implement them.
  • Self Confidence: As the brand leader, speak your mind. After all, we are all just walking opinions.  Find a way within your leadership style to engage your team, agency or your boss in a debate to get to better answers.

Here’s a presentation on Marketing Careers:

 

To learn more about this type of thinking, you should explore my new book, Beloved Brands.

With Beloved Brands, you will learn everything you need to know so you can build a brand that your consumers will love.

You will learn how to think strategically, define your brand with a positioning statement and a brand idea, write a brand plan everyone can follow, inspire smart and creative marketing execution and analyze the performance of your brand through a deep-dive business review.

Beloved Brands book

To order the e-book version or the paperback version from Amazon, click on this link: https://lnkd.in/eF-mYPe

If you use Kobo, you can find Beloved Brands in over 30 markets using this link: https://lnkd.in/g7SzEh4

And if you are in India, you can use this link to order: https://lnkd.in/gDA5Aiw

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth, and profitability you will realize in the future.

We think the best solutions are likely inside you already, but struggle to come out. Our unique playbook tools are the backbone of our workshops. We bring our challenging voice to help you make decisions and refine every potential idea.

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a brand idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources.

Our brand playbook methodology will challenge you to unlock future growth for your brand

  1. Our deep-dive assessment process will give you the knowledge of the issues facing your brand, so you can build a smart plan to unleash future growth.
  2. Find a winning brand positioning statement that motivates consumers to buy, and gives you a competitive advantage to drive future growth.
  3. Create a brand idea to capture the minds and hearts of consumers, while inspiring and focusing your team to deliver greatness on the brand’s behalf.
  4. Build a brand plan to help you make smart focused decisions, so you can organize, steer, and inspire your team towards higher growth.
  5. Advise on advertising, to find creative that drives branded breakthrough and use a motivating messaging to set up long-term brand growth.
  6. Our brand training program will make your brand leaders smarter, so you have added confidence in their performance to drive brand growth.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.com or call me at 416 885 3911

You have my personal promise to help you solve your brand building challenges. I will give you new thinking, so you can unlock future growth for your brand.

Signature

Graham Robertson

Founder and CMO, Beloved Brands Inc.

 

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How to Guide for Marketers

Strategic thinkers see questions before they see solutions

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strategic thinkingThe elements of strategic thinking creates a vision, allocates resources to a focused opportunity, and turns a breakthrough impact into a performance result.

Ever hear someone say, “that’s a good question.” It usually means someone has just asked an interruptive question. This slows everyone’s thinking, to help reflect and plan before they act. The strategic thinking side of marketing is logical. Map out a range of decision trees that intersect, by imagining how events will play out in the future. If you think too long, you may just spiral around, unable to decide. And, you may miss an opportunity window.

Instinctual thinkers jumps in quickly to find answers before they even know the right question. Their brains move fast; they use emotional impulse and intuitive gut feel. They want action now and get easily frustrated by delays. And, they believe it is better to do something than sit and wait around. They see strategic people as stuck running around in circles, as they try to figure out the right question. Instead, these instinctual leaders choose emotion over logic. Yes, a “make it happen” attitude gets things done. If they go too fast, their great actions may solve the wrong problem. 

Brand leaders must be both strategic and intuitive. You must learn to change brain speeds. Slow down the thinking when faced with challenging issue and move quickly with your best instincts on execution. 

The five elements of smart strategic thinking

Everyone says they are a strategic thinker, yet few are. Early in my career, I confess that I was more of an instinctual marketer. To learn strategic thinking, we need to slow down and organize our thoughts. Here are the five elements that make up smart strategic thinking: strategic thinking

1. Set a vision of what you want for your brand

A vision sets aspirational stretch goals for the future, linked to a clear result or purpose. Write a vision statement in a way that scares you a little and excites you a lot. It should steer everyone who works on the brand. Focus on finding ways to create a bond with your consumers that will lead to power and profit beyond what the product alone could achieve. As Yogi Berra famously said, “If you do not know where you are going, how will you know if you get there?” 

To be a visionary, you must be able to visualize the future. Imagine it is five or 10 years from now and you wake up in the most fantastic mood. Visualize a perfect future and write down the most critical milestones you need to achieve. Even think about words that will inspire, lead and steer your team towards your vision. 

As strategic thinking starts with asking questions, a smart strategy must ask interruptive questions that frame the issues regarding what you want to achieve. By raising those issues early on, you can focus the team on the significant problems that need to be solved to get you on the path to your vision.  

2.  Invest resources in a strategic program

Think through the options of where you should invest to move your brand into a more powerful and profitable position. The programs you choose should solidify the brand’s core strength, build a brand idea that tightens the consumer bond, battle competitors on positioning, or address the situational challenges and opportunities.

3. Focus on an identified opportunity

Focus your limited resources on a distinct opportunity you have identified. Is there a potential change in the market, including changes to consumers, competitive situation, technology or sales channels. 

In today’s data-driven world, everyone has access to the equivalent information and in turn, can see the same opportunities. You must use speed to seize the opportunity before others can take action, and then that opportunity is gone. 

The best brand leaders never divide and conquer. They force themselves to focus and win. The smartest brand leaders use the word “or” more often than they use the word “and.”  If you come to a decision point, and you try to rationalize doing a little of both, you are not strategic. Force yourself to make choices. 

Many marketers struggle to focus. 

  • Myth 1: The most prominent myth of marketing is to believe that your brand will get bigger if you have a broader target market.
  • Reality: Too many marketers target anyone. I will always argue it is better to be loved by a few than tolerated by many. You have to create a tight bond with a core base of brand fans, and then use that fan support to expand your following. 
  • Myth 2: The second myth to becoming a more prominent brand is to believe a brand stands for everything. Some brands try to say everything possible with the hope the consumer hears anything. 
  • Reality: Hope is never a strategy. To be loved by consumers, a brand must stand for something with a backbone and conviction. Trying to be everything to anyone just ends up becoming nothing to everyone.
  • Myth 3: Your brand will be bigger if you try to be everywhere, whether in every sales channel or on every possible media option.
  • Reality: If you went to Las Vegas and put a chip on every square, you would be bankrupt before midnight. The worst marketers lack focus because they fear missing out on someone or something. By trying to be everywhere, the brand will drain itself and eventually end up being nowhere.

Every brand has limited resources, whether they’re financial, time, people, or partnerships. Marketers always face the temptation of an unlimited array of choices, whether in the possible target market, brand messages, strategies, or tactics. The smartest brand leaders limit their choices to match up to their limited resources, to focus on those that will deliver the highest return. 

When you focus, five amazing things happen to your brand:

  1. Stronger return on investment (ROI): When you focus your dollars on the distinct breakthrough point or against a program that you know will work, you will see the most positive and efficient response in the marketplace. 
  2. Better return on effort (ROE): You must make the most efficient use of your limited people and resources. Find the Big Easy! Focus on the ideas with the most significant impact that is the easiest to execute. Avoid those ideas that are small and difficult to implement. While you may not always have the data to calculate your ROI, you should have the instincts to figure out your ROE. 
  3. Stronger reputation: When you limit your audience and brand message, you will have a better chance to own that reputation among that core target audience. 
  4. More competitive: When you focus your message to a specific target audience, your brand will start to create a space in the market you can defend against others from entering that space.
  5. More investment behind the brand: When you focus and deliver business results, your management team will ask you to do that again. They will give you more money and more people resources. Even with increased resources, you must take the same focused approach. 

4. Leverage the breakthrough market impact 

A smart strategy turns an early breakthrough win into a shift in momentum, positional power or tipping point where you begin to achieve more in the marketplace than the resources you put in.

Many underestimate the need for an early win. I see this as a crucial breakthrough point where you start to look at a small shift in momentum towards your vision. While there will always be doubters to every strategy, the results of the early win provide compelling proof to show everyone the plan will work. You can change the minds of the doubters—or at least keep them quiet—so everyone can stay focused on the breakthrough point. 

The magic of strategy happens through leverage, where you can use the early win as an opening or a tipping point where you start to see a transformational power that allows you to make an impact and achieve results in the marketplace. A smart strategy should trigger the consumer to move along the buying journey from awareness to buy and onto loyalty, or it can help tighten the consumer’s bond with the brand.   

5. Performance result that pays back

The shift in positional power in the marketplace moves your brand toward your vision and creates a future pathway to building a consumer bond, brand power, and brand profitability. 

A brand can become powerful compared to the consumers they serve, the competitors they battle, the channels they sell through, the suppliers who make the products or ingredients, the influencers in the market, any media choices and the employees who work for the brand. We explored these eight sources of power in the opening chapter. 

You can drive profit through premium pricing, trading consumers up on price, finding a lower cost of goods, using lower sales and marketing costs, stealing competitive users, getting loyal users to use more, entering new markets or finding new uses for the brand. We explored these eight ways a brand can add to their profitability in the opening chapter. For a strategy to work, what pays off in the marketplace must pay off in brand power or business results.  

Using Gray’s Cookies to demonstrate strategic thinking

Let’s look at the fictional Gray’s Cookies as a case study. Gray’s Cookies are the ultimate healthy cookie, which is excellent tasting, low fat, low calorie and made from the best ingredients. I did mention it was fictional. This cookie is battling the major mainstream competitors, starting from a small niche with a core target market of fans who are beginning to love the brand. 

Here are the five elements of smart strategic thinking for Gray’s Cookies:

1. Set a vision of what you want

Gray’s wants to be the first healthy cookie to generate the craving, popularity, and sales of a mainstream cookie. Make Gray’s a $100 million brand by 2020. The most significant issue in the way, like many new brands, is how to drive trial while closing gaps.  

2. Invest resources in a strategic program

At the rapid growth stage, Gray’s needs to build a strong bond with consumers, address the distribution gaps while battling any mainstream brands who could enter the healthy cookie segment.

3. Focus on an identified opportunity

Gray’s Cookies recognizes the opportunity created by the consumer shift to healthy choices. If they can take the dominant power player role in the healthy cookie segment, they can drive high market share in a rapid growth category segment.

4. Leverage a breakthrough market impact

Gray’s Cookies is the dominant power player role in driving high trial, and significant market share results to gain additional shelf space in the retail stores.

5. Performance result that pays back

Gray’s will bring mainstream cookie users over to drive higher sales and establish itself as the dominant “healthy cookie” brand.

How to turn thinking into strategic objective statements

Let’s now look at how to turn your smart strategic thinking into writing a strategic objective statement that can provide explicit marching orders to everyone who works on the brand. 

The process covers off all five elements of smart strategic thinking. You can see the brand vision, and key issue statement covers the first strategic element. But you need the strategic objective statement to cover off the remaining four other strategic elements including the program investment, focused opportunity, market impact and the performance result. 

strategic statements

Here’s how that strategic objective statement breaks down: 

a. The statement calls out the investment in a strategic program, with crystal clear marching orders to the team, leaving no room for doubt, confusion or hesitation. In this example, the strategic program is to “Create an elevated VIP consumer experience.” strategic statements

b. You should provide a focused opportunity, which is the breakthrough point where the brand will exert pressure to create a market impact. In this example, the focused opportunity is to “Reward our most loyal consumers.”  

c. You must have a specific desired market impact to outline the market stakeholder you will attempt to move, whether it is consumers, sales channels, competitors or influencers. In this example, the desired impact is to “Turn the consumer’s regular usage into a higher frequency ritual.” 

d. And finally, you need a specific performance result, linking the market impact to a specific result on the brand, either making the brand more powerful or more profitable. In this example, you are “Tightening their bond with our brand.”

This unique strategic model will force you to pick answers to build a strategy statement with marching orders for those who follow your plan. As you move to building your brand plan, I recommend you use these four elements of smart strategic objective statements to ensure you structure the thinking. 

 

To learn more about this type of thinking, you should explore my new book, Beloved Brands.

With Beloved Brands, you will learn everything you need to know so you can build a brand that your consumers will love.

You will learn how to think strategically, define your brand with a positioning statement and a brand idea, write a brand plan everyone can follow, inspire smart and creative marketing execution and analyze the performance of your brand through a deep-dive business review.

Beloved Brands book

To order the e-book version or the paperback version from Amazon, click on this link: https://lnkd.in/eF-mYPe

If you use Kobo, you can find Beloved Brands in over 30 markets using this link: https://lnkd.in/g7SzEh4

And if you are in India, you can use this link to order: https://lnkd.in/gDA5Aiw

Beloved Brands: Who are we?

At Beloved Brands, our purpose is to help brands find a new pathway to growth. We believe that the more love your brand can generate with your most cherished consumers, the more power, growth, and profitability you will realize in the future.

We think the best solutions are likely inside you already, but struggle to come out. Our unique playbook tools are the backbone of our workshops. We bring our challenging voice to help you make decisions and refine every potential idea.

We start by defining a brand positioning statement, outlining the desired target, consumer benefits and support points the brand will stand behind. And then, we build a brand idea that is simple and unique enough to stand out in the clutter of the market, motivating enough to get consumers to engage, buy and build a loyal following with your brand.

We will help you write a strategic brand plan for the future, to get everyone in your organization to follow. It starts with an inspiring vision that pushes your team to imagine a brighter future. We use our strategic thinking tools to help you make strategic choices on where to allocate your brand’s limited resources.

Our brand playbook methodology will challenge you to unlock future growth for your brand

  1. Our deep-dive assessment process will give you the knowledge of the issues facing your brand, so you can build a smart plan to unleash future growth.
  2. Find a winningbrand positioning statementthat motivates consumers to buy, and gives you a competitive advantage to drive future growth.
  3. Create a brand ideato capture the minds and hearts of consumers, while inspiring and focusing your team to deliver greatness on the brand’s behalf.
  4. Build a brand planto help you make smart focused decisions, so you can organize, steer, and inspire your team towards higher growth.
  5. Advise on advertising, to find creative that drives branded breakthrough and use a motivating messaging to set up long-term brand growth.
  6. Our brandtrainingprogram will make your brand leaders smarter, so you have added confidence in their performance to drive brand growth.

To learn more about our coaching, click on this link: Beloved Brands Strategic Coaching

To learn more about our training programs, click on this link: Beloved Brands Training

If you need our help, email me at graham@beloved-brands.comor call me at 416 885 3911

You have my personal promise to help you solve your brand building challenges. I will give you new thinking, so you can unlock future growth for your brand.

Signature

Graham Robertson

Founder and CMO, Beloved Brands Inc.

 

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