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Branding
is Bogus
How can any self-respecting marketing person write "Branding is Bogus"?
Branding has been written about in many major, respected business journals
such as INC, SALES & MARKETING MANAGEMENT, FORBES as the marketing strategy
of the new millennium. The writers and editors of these fine publications
aren’t at fault. They’re just reporting what has been fed them by new-age
marketing and promotion gurus who were out touting branding as the latest
Marketing Magic in a Black Box.
And these branding gurus are just doing their best go dress up
a difficult-to-sell business process. Most owners and executives are so
busy with the day-to-day problems of running a company, they’re looking
for easy answers to difficult problems.
So, increasing sales and profits via the magical branding process does
have its appeal.
But, a brand is more than merely gaining name recognition. While name
recognition is good, a brand it does not make. It is relatively easy to
gain name recognition through massive spending on advertising, promotions
and public relations strategies and tactics. The business landscape is
littered with dead "dot.coms" who spend investor’s dollars on ad campaigns
to sell services the public apparently didn’t want.
A brand does not guarantee unconditional business success. For example:
What name comes first to your mind when you think of the word, "coffee"?
Chock-Full-O-Nuts? Folgers? Maxwell House? These coffee producers have
spent millions of dollars over the past decades to establish their brands.
Yet, most people think of Starbucks when they think of coffee!
Sure, the other brands are on the grocers' shelves, but Starbucks
has grabbed people’s attention because of their unique distribution strategy.
While not making a value judgment regarding having a Starbucks
store on almost every city’s street in America -- they certainly have
done a good job of busting the dominance of traditional coffee producers.
"Branding" your company or products will not overcome internal problems
of insufficient capital, poor financial controls, unfocused workers or
other labor problems; or external difficulties such as a downturn in the
economy, changes in import/export laws or energy prices or availability.
Truth of the matter
Branding is not a process.
A brand is established as the result of a traditional
marketing process.
A brand is like a mark of trade; an image of ownership of certain qualities
of a product or service your customer desires, wants or needs. A brand
is created when one plans for marketing success, and follows that plan.
How to you plan for success? Check out MARKETING’S
GREATEST SECRET here at this site.
In some ways, a brand does come magically into being.
A brand appears when an organization:
- Understands the wants, needs
and desires of consumers;
- Creates niche products or
services which fulfill those needs;
- Persuasively informs target
consumers of how their offerings fulfill their wants, needs and desires;
- Creates distribution channels
to make it easy for customers to fulfill their wants, needs and desires
with those offerings;
- Establishes a simple, effective
feedback system to ensure their offerings continue to match customer’s
wants, needs, and desires;
- Consistently makes a practice
of this process, and does so on a profitable basis.
So, the question every business owner or manager needs to ask is: "Do we
need to be branded, or do we really need to sell our offerings and make
a reasonable return on investment in exchange for our efforts?"
Remember this the next time a marketing guru says "You need to be branded."
Most likely, the only thing that will be branded is your check book.
Notice: This entire publication is © 2001, David F. Ashton, Ashton & Company
-- All Rights Reserved.
If you would like to work with dedicated, experienced professionals, consider
calling upon Ashton & Company. E-Mail us at: dfashton@Master-Marketing-Source.com
or call us today at (503) 727-2654. Your first consultation is free, and
you are under no obligation of any kind by requesting our initial visit.
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