by Andy
February 15, 2012
Brands are often referred to as promises – a commitment to deliver beyond expectation. Really good brands are far more than promises. They are beacons that light the way for consumers to approach and purchase worry-free and at full price. You don’t hear about a sale at Apple do you? It doesn’t need one. When the product (a well-designed MP3 player) fits within the brand (innovation, transformation, friendly, simple) extraordinary success is within reach.
Brands also play a critical role in controlling growth. If a new product or offering swerves beyond the confines of its carefully managed brand highway, it sticks out as inappropriate or inconsistent and quickly culled from the product portfolio. Well-managed brands not only propel growth, they guide and filter it too.
Apple is the most recent example of branding excellence as everything it seems to touch turns to gold. What’s thrilling is its near limitless brand application from computers to phones to music and more. Apple is not about selling products or increasing stockholder dividends, but envisioning what can be and turning that into something exciting. This commitment to transforming vision is what makes Apple great. Apple is about what’s next — not version 2.0 (arguably Blackberry’s demise). And along the way it outsells everyone and drives up shareholder value — as folks wait in line for days to buy the next iPhone. Apple’s version 2.0 excellence is a by-product of its brand, not its financial objective.
Apple is not the first to enjoy extraordinary branding success – though their #1 market valuation may make them the greatest ever. Many extraordinary brands have come before it like Budweiser, VW, Coca-Cola and Disney. For Coke, it’s not only about what’s in the can but what’s on it. Even though it lost on national taste tests (e.g., the Pepsi Challenge), Coca-Cola crushes Pepsi in terms of sales and the gap seems to be widening.
But companies cannot stand still and often must penetrate new categories of opportunity to grow revenues and profit. But what if little corporate history exists in this new space? What if a company’s past expertise is irrelevant to the new category? What if the new player has not earned any category bragging rights?
How do you get around that?
By committing to the space, showing your passion and expertise to the issues that matter, and sharing knowledge and experience. Depth of knowledge and category commitment is a great way to build brand. Start by showcasing expertise and making a full category commitment. Get involved in the conversation. Explain your purpose beyond the products you sell. Author articles, speak at trade shows, blog on Association sites, co-author white papers.
To succeed, you must start with brand and brand must precede product – not the other way around. The more the category believes you know what you’re talking about, the more they believe you have a right to compete. As their belief in you expands, so does your brand, which is then conveyed onto your products, sales and profit margins.
Unless you matter and show that you matter, your products will not. Don’t sell a product and promise it works. Rather, sell a promise and then create products that deliver against it.
Enjoyed the piece. It goes a long way to help explain why: (1) some firms/ brands can grow beyond their originally conceived box (Starbucks into ice cream and liqueur, Iams into pet insurance, General Mills’ FiberOne into bars & bread & brownies & yogurt …), while (2) others face greater challenges (Harley Davidson perfume, Gerber adult food, Smith & Wesson mountain bikes, NASCAR romance novels).
Enjoyed the piece. It goes a long way to help explain why: (1) some firms/ brands can grow beyond their originally conceived box (Starbucks into ice cream and liqueur, Iams into pet insurance, General Mills’ FiberOne into bars & bread & brownies & yogurt …), while (2) others face greater challenges (Harley Davidson perfume, Gerber adult food, Smith & Wesson mountain bikes, NASCAR romance novels).
As always, an excellent article, Andy. I usually stop what I am doing and read your posts. They often make me see things in a way that is different from what I thought before or, more often, in a way that I simply had not considered. In this instance, your message also applies to a service business like my law firm, because we have to sell a promise and then deliver service that meets that promise, at a reasonable price.
As always, an excellent article, Andy. I usually stop what I am doing and read your posts. They often make me see things in a way that is different from what I thought before or, more often, in a way that I simply had not considered. In this instance, your message also applies to a service business like my law firm, because we have to sell a promise and then deliver service that meets that promise, at a reasonable price.
I’m with you on this! This part: “… sell a promise and then create products that deliver against it” reminds me of the TED video where the guy says “people don’t buy what you make, they buy what you believe”. A brand, or a solo businessperson, has to demonstrate strongs beliefs and values; then people are willing to buy your product or service. It IS INDEED what makes us relevant. Thanks Andy.
I’m with you on this! This part: “… sell a promise and then create products that deliver against it” reminds me of the TED video where the guy says “people don’t buy what you make, they buy what you believe”. A brand, or a solo businessperson, has to demonstrate strongs beliefs and values; then people are willing to buy your product or service. It IS INDEED what makes us relevant. Thanks Andy.
Very powerful point of view. I enjoyed reading. I think the broader leadership challenge is creating a culture that is a constant catalyst for promise-led innovation.
Very powerful point of view. I enjoyed reading. I think the broader leadership challenge is creating a culture that is a constant catalyst for promise-led innovation.
Nice and very relevant article Andy, particularly in today’s world where a company is no
longer in control of their brand image. if a company promises one thing and delivers another,
the social-sphere can create some real hurt for that company, which gets to an interesting
challenge for all of us… how do we shift our brand-building efforts from a controllable
(advertising) environment to an uncontrollable (social) environment. I also agree with your
“brand first” point. Importantly, if you get this wrong, it doesn’t matter how great you
think your product is. It won’t sell. Companies need to spend a lot of time understanding
what is truly meaningful to their customers first. If they get it right, the social-sphere will
sell it.
Nice and very relevant article Andy, particularly in today’s world where a company is no
longer in control of their brand image. if a company promises one thing and delivers another,
the social-sphere can create some real hurt for that company, which gets to an interesting
challenge for all of us… how do we shift our brand-building efforts from a controllable
(advertising) environment to an uncontrollable (social) environment. I also agree with your
“brand first” point. Importantly, if you get this wrong, it doesn’t matter how great you
think your product is. It won’t sell. Companies need to spend a lot of time understanding
what is truly meaningful to their customers first. If they get it right, the social-sphere will
sell it.
Great thoughts. You opened by referencing Apple. One thing this company has, is a soul. I believe the brand is a reflection of the company soul or culture. Obviously Jobs brought this culture to every new initiative. I believe buyers can see what’s real and what’s not. Jobs didn’t research nor conduct focus groups to tell him what he should believe. He instinctively knew. And so that “soul” comes through in everyone of those products and we respond to that. It’s tough to build a great brand when you are trying to get one over on the consumer, but when you are true and provide an elevated experience consistently, that is obviously coming from your soul…and that comes out of your brand.
Great thoughts. You opened by referencing Apple. One thing this company has, is a soul. I believe the brand is a reflection of the company soul or culture. Obviously Jobs brought this culture to every new initiative. I believe buyers can see what’s real and what’s not. Jobs didn’t research nor conduct focus groups to tell him what he should believe. He instinctively knew. And so that “soul” comes through in everyone of those products and we respond to that. It’s tough to build a great brand when you are trying to get one over on the consumer, but when you are true and provide an elevated experience consistently, that is obviously coming from your soul…and that comes out of your brand.
That’s an issue of understanding the vision of your company. What have you set out to do? Are you providing a service, building widgets, creating an experience? Based on that vision (with understanding on your target audience) then your brand promise should emerge.
That’s an issue of understanding the vision of your company. What have you set out to do? Are you providing a service, building widgets, creating an experience? Based on that vision (with understanding on your target audience) then your brand promise should emerge.