challenger brands

Author: Anisha MotwaniAuthor: Anisha Motwani

Don't be afraid to challenge

the pros, even in their own

backyard – Collin Powell.


Adam Morgan coined the phrase ‘Challenger Brand’


Challenger Brand – People


What does a challenger brand mean?


Challenger Brand - Definition

_ Challenger vb.

_ 1. To invite or summon to a contest

_ 2. To call into question or dispute

_ 3. To make demands on or stimulate

_ 4. To lay claim to

_ 5. To question a statement or fact

Author: Anisha Motwani

The third or the fourth or lower ranked brand The third or the fourth or lower ranked brand

They have a new set of challengesThey have a new set of challenges

They do not want to be in the middleThey do not want to be in the middle

Challenger Brand - Traits


Mostly late entrants in the marketMostly late entrants in the market

They face challenges from the leaders as well as laggards

They face challenges from the leaders as well as laggards

Strong need for differentiationStrong need for differentiation

Challenger Brand - Traits


It’s the small guy versus the big guy


Challengers take a different stance

Large & stable

Reassure

Conformists

Consumer centric

Paternalistic

Challengers succeed against the leader by questioning their leadership and strategy

Most talked about

Disruptive

Edgy

Idea centric

Equal Partner

Leaders Challengers


What do you need to do to develop a challenger brand?

Need different approach, not necessarily break rules

Need different approach, not necessarily break rules

It isn’t about being proactive for the sake of it, you need to have a grounded brand idea

It isn’t about being proactive for the sake of it, you need to have a grounded brand idea

Need to study brands outside this categoryNeed to study brands outside this category

Need to study challengers in those categoriesNeed to study challengers in those categories


There are different ways to challenge a leader

Virgin - challenged BA

with better price and service

Nitish Kumar – caste politics to growth agenda

Mastercard – brought in

emotional voice in category against

Visa

Tata Tea– emotional

appeal through society concern

Break

rulesPlay by rules

Rational

Emotional


International Challenger Brands

1. Pepsi: Taste of new generation vs. Coke2. Apple: Think Different vs. IBM3. Burger Make it your way vs. McDonalds

King4. Dell: Direct to Client vs. IBM5. Domino’s: Home Delivery vs. Pizza Hut6. Virgin: Irreverence, vs. British Airways

Entertainment 7. Avis: We try Harder vs. Hertz8. Beetle Think Small vs. Ford


Challenger Brands – closer home


Tata Tea – Socially responsible

The brand challenged Brooke Bond. Shifted its positioning from a brand that wakes people up, to one that ‘awakens’ them – into being aware of the societal problems surrounding them. It was all about energy and change in one’s mindset. Moved away from the functional and emotional benefits of the category.


Idea – Life imitating advertisements

Challenged Airtel & Vodafone. Communication was a reflection of reality. Breaking away from the clutter, Idea came up with quirky solutions to real problems. 'What an Idea, Sirji!' became catchphrase.


Air Deccan – Making air travel a reality for masses

Challenged Jet and Kingfisher. The airlines was positioned with aggressive pricing and made air travel popular for masses. Created a totally new market segment. Segment of those train travellers who could not afford to fly . It re-positioned air travel from luxury and aspirational to basic functional necessity.


Bingo – Clutter breaking differentiated communication

Challenged Lays . In a competitive and unorganised market structure Bingo combined ‘smart communication’ by introducing funny ads, launched the packs during the World Cup Cricket tournament and used the company’s distribution strength to its full capacity.


Titan – Taking watches beyond its functional use to fashion accessory

Titan challenged the leader HMT with quartz technology, used their brand positioning as an accessory and later introduced jewelery watches to capture the female market.


Max Life Insurance – Facing challenges

Moved to positive messaging – Fear & responsibility to optimism & hope. Use of humour in a serious category

Moved to positive messaging – Fear & responsibility to optimism & hope. Use of humour in a serious category

Disruptive marketing – FMCG’ise the product (Shiksha +)

Disruptive marketing – FMCG’ise the product (Shiksha +)

Reach vs. Quality of reach / Quality of adviceReach vs. Quality of reach / Quality of advice

Communication to engagement (igenius, social media)Communication to engagement (igenius, social media)


Thank You

challenger brands

Business

necessarily

grounded brand

reach quality

challenger

study challengers

optimism amp

anisha motwani

anisha motwaniauthor