2d86preventing brand failure

47

Upload: roy-langer

Post on 24-Nov-2014

107 views

Category:

Documents


1 download

TRANSCRIPT

Page 1: 2d86preventing brand failure
Page 2: 2d86preventing brand failure

Protect your Brand from becoming failure….

Page 3: 2d86preventing brand failure

How?

Page 4: 2d86preventing brand failure

By understanding two things,

1 Why a brand fails ?

2 How you can prevent this ?

Page 5: 2d86preventing brand failure

A brand is a product, service, or concept that is publicly distinguished from other products, services, or concepts so that it can be easily communicated and usually marketed.

Page 6: 2d86preventing brand failure

Here is the famous advertising copywriter and ad agency founder David Ogilvy's definition of a brand:

The intangible sum of a product's attributes: its name, packaging, and price, its history, its reputation, and the way it's advertised.

Page 7: 2d86preventing brand failure

A brand is not a logo. A brand is not an identity.

A brand is not a product.

So what exactly is a brand?

Page 8: 2d86preventing brand failure

A BRAND IS A PERSON’SGUT FEELING ABOUTA PRODUCT, SERVICE,OR ORGANIZATION.

Page 9: 2d86preventing brand failure

Individuals define brands, not companies, markets, or not public.

It’s not what you say it is

Page 10: 2d86preventing brand failure

It’s what they say it is.

Page 11: 2d86preventing brand failure

People have many choices and less time.Most products have same quality and features.

Buying choices are based on trust.

Why branding is so important?

Page 12: 2d86preventing brand failure

Product and brand failures occur on an ongoing basis to varying degrees within most product-based organizations. The primary goal is to learn from product and brand failures so that future product development, design, strategy and implementation will be more successful.

Page 13: 2d86preventing brand failure

The benefits of studying failuresGaining a better understanding of product failures is important to help prevent future failures.

Studying the history of product failures may generate some insight into the reason for those failures and create a list of factors that may increase the opportunity for success.

Page 14: 2d86preventing brand failure

Studying product failures allows those in the planning and implementation process to learn from the mistakes of other product and brand failures.

Each product failure can be investigated from the perspective of what, if anything, might have been done differently to produce and market a successful product rather than one that failed.

Page 15: 2d86preventing brand failure

Defining product and brand failuresA product is a failure when its presence in the market leads to:

•The withdrawal of the product from the market for any reason

•The inability of a product to realize the required market share to sustain its presence in the market

•The inability of a product to achieve the anticipated life cycle as defined by the organization due to any reason

•The ultimate failure of a product to achieve profitability.

Page 16: 2d86preventing brand failure

Examples of product failuresThe following is an abbreviated list of product failures that may provide insight that will help to identify product and brand success factors:Automotive and transportationCadillac Cimarron ,Pontiac Fiero ,Chevrolet Corvair Ford Edsel ,The DeLorean ,Crosley ,The Tucker The Gremlin, the Javelin and a complete line of other models by American Motors GM’s passenger diesel engine ,Mazda’s Wankel rotary engine Firestone 500 tire ,Goodyear tires used on the Ford Explorer ,Concorde—supersonic airliner

Page 17: 2d86preventing brand failure

Computer industryIBM’s PCjr—introduced in March 1985 ,Apple’s Newton Apple’s Lisa ,Coleco’s Adam Percon’s Pocketreader—hand held scanner, Bumble Bee’s software version of the book “What Color is Your Parachute”

Page 18: 2d86preventing brand failure

EntertainmentQuadraphonic audio equipment World Football League Women’s National Basketball Association World League of American Football United States Football League

Page 19: 2d86preventing brand failure

Food and beverageBurger King’s veal parmesan ,Burger King’s pita salad Gerber’s Singles—dinners in jars, for adults—early ’70s Chelsea—“baby beer”

Photographic and videoPolaroid instant home movies SX-70 (Polaroid instant camera) RCA Computers (Spectra-70) Video-disc players DIVX variant on DVD

Page 20: 2d86preventing brand failure

Failures are not necessarily the result of substandard engineering, design or marketing. Based on critic’s definitions, there are hundreds of “bad” movies that have reached “cult status” and financial success while many “good” movies have been box office bombs.

Other premier products fail because of competitive actions.

Page 21: 2d86preventing brand failure

Using these potential causes of a product or brand failure may help to avoid committing those same errors. Learning from these “lessons” can be beneficial to avoid some of these pitfalls.

Page 22: 2d86preventing brand failure

Common reasons for product failures

• High level executive push of an idea that does not fit the targeted market.

• Overestimated market size.

Page 23: 2d86preventing brand failure

•Incorrectly positioned product.

•Ineffective promotion, including packaging message, which may have used misleading or confusing marketing message about the product, its features, or its use.

•Not understanding the target market segment and the branding process that would provide the most value for that segment.

•Incorrectly priced—too high and too low.

Page 24: 2d86preventing brand failure

•Excessive research and/or product development costs.

•Underestimating or not correctly understanding competitive activity or retaliatory response.

• Poor timing of distribution.

Page 25: 2d86preventing brand failure

•Misleading market research that did not accurately reflect the actual consumer’s behavior for the targeted segment.

•Conducted marketing research and ignored those findings. •Key channel partners were not involved, informed, or both.•Lower than anticipated margins.

Page 26: 2d86preventing brand failure

Something happens to break the bond between the customer and the brand.

when brands struggle or fail it is usually down to a distorted perception of either the brand, the competition or the market.

This altered view is a result of one of the following six deadly sins of branding:

Or

Page 27: 2d86preventing brand failure

• Brand memory loss For old brands, as for old people, memory becomes an increasing issue. When a brand forgets what it is supposed to stand for, it runs into trouble. The most obvious case brand memory loss occurs when a venerable, long-standing brand tries to create a radical new identity, such as when Coca-Cola tried to replace its original formula with New Coke.

The results were disastrous.

Page 28: 2d86preventing brand failure

Brand egotism. Brands sometimes develop a tendency for over-estimating their own importance, and their own capability. This is evident when a brand believes it can support a market single-handedly, as Polaroid did with the instant photography market. It is also apparent when a brand enters a new market for which it is clearly ill-suited, such as Harley Davidson trying to sell perfume.

Page 29: 2d86preventing brand failure

• Brand deception. ‘Human kind cannot bear very much reality,’ wrote T S Eliot. Neither can brands. Indeed, some brands see the whole marketing process as an act of covering up the reality of their product. In extreme cases, the trend towards brand fiction can lead to downright lies. In an age where markets are increasingly connected, via the Internet and other technologies, consumers can no longer be deceived.

Page 30: 2d86preventing brand failure

Brand fatigue. Some companies get bored with their own brands. You can see this happening to products which have been on the shelves for many years, collecting dust. When brand fatigue sets in creativity suffers, and so do sales.

Page 31: 2d86preventing brand failure

Brand paranoia. This is the opposite of brand ego and is most likely to occur when a brand faces increased competition. Typical symptoms include:

a tendency to file lawsuits against rival companies, a willingness to reinvent the brand every six months, and a longing to imitate competitors.

Page 32: 2d86preventing brand failure

Brand irrelevance. When a market radically evolves, the brands associated with it risk becoming irrelevant and obsolete. Brand managers must strive to maintain relevance by staying ahead of the category, as Kodak is trying to do with digital photography.

One more reason is gap between creativity and strategy

Page 33: 2d86preventing brand failure

In most companies there is wide gap between strategy and creativity.

Page 34: 2d86preventing brand failure

Strategic thinkers are analytical, logical, and numerical.

Creative thinkers are intuitive emotional visual .

Page 35: 2d86preventing brand failure

Does the left brain know what the right brain is doing?

Page 36: 2d86preventing brand failure

When both sides work together you can build a charismatic brand.

Page 37: 2d86preventing brand failure

Any brand can become charismatic

even

yours

Page 38: 2d86preventing brand failure

FOUR DISCIPLINES OF BRAND-BUILDING

DISCIPLINE 1: DIFFERENTIATE

•WE’RE HARDWIRED TO NOTICE ONLY WHAT’S DIFFERENT

By learning

Page 39: 2d86preventing brand failure

FOUR DISCIPLINES OF BRAND-BUILDING

DISCIPLINE 2: COLLABORATE

Because the mathematics of collaborations nothing less thanmagic

Page 40: 2d86preventing brand failure

FOUR DISCIPLINES OF BRAND-BUILDING

DISCIPLINE 3: INNOVATE

TOO PREDICTABLE = NO SURPRISENO SURPRISE = NOTHING NEWNOTHING NEW = NO VALUE

Page 41: 2d86preventing brand failure

REASON THE BEATLES WERE WILDLY SUCCESSFULIS BECAUSE “THEY NEVER DID THE SAME THING ONCE

Page 42: 2d86preventing brand failure

FOUR DISCIPLINES OF BRAND-BUILDING

Business is a process not an entity Brands like peopleInfluence character of a brand.

DISCIPLINE 4: CULTIVATE

Page 43: 2d86preventing brand failure

If a brand swims like a dog and looks like a duck, people will distrust it.

Page 44: 2d86preventing brand failure

CULTIVATION DIFFRENTIATION

COLLABORATONINNOVATION

BY MASTERING THE FOUR DISCIPLINES OF BRANDING, THE COMPANY CREATES A CIRCLE

Page 45: 2d86preventing brand failure

WITH EVERY TURN AROUND THE CIRCLE, THE VALUE OF THE BRAND SPIRALS HIGHER.

Page 46: 2d86preventing brand failure

YOU BUILD

A sustainable competitive advantage.

Page 47: 2d86preventing brand failure

This presentation is created purely for educational purpose.References are taken from various websites ,and presentations available on internet.

Special thanks to Jigar ,Jaimika,and Harshit.

Sunday slides from sandeep