Protecting
Brands From Being #1
By Corbin Rusch
We define
brand as a representation of consumer perception — the perception
and feeling toward a product or service. For example, when we think
of Disney, we may think of “magic,” or when we think of
Harley-Davidson, we may think of “individuality.”
Each
of these brands has done an exceptional job in branding themselves
as something more than a “table stake” (representing the
minimum investment as a cost of entry) of the category. They each
represent more than a benign descriptor of the efficacy of the category
as a whole, i.e. “fun” in Disney’s case or “feeling
the wind in your face” in the case of Harley-Davidson.
Even
though Disney is one of the top vacation destination in the U.S. and
Harley has become the most desired motorcycle brand, they have positioned
themselves as an extension of the customers they wish to influence
rather than simply relying on differentiation through a restatement
of a generic category benefit. In short, through foresight and proper
understanding of what brand is and is not, Disney and Harley have
protected themselves from falling victim to being first in their category.
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At first,
it really sounds odd to say that a brand has done a good job protecting
itself from being number one in their category. After all, isn’t
it the goal of many companies to rise to that coveted position?
Unfortunately,
however, it can be a pratfall and dangerous precipice. In order to
really understand what it means to protect your brand from dangers
of category preference, let’s look at some brands that have
fallen victim to the very danger we are so far discussing.
Ever
heard of Kleenex? How about Band-Aid? Or, how about Frisbee, Thermos,
Q-Tip, Ziploc, or Windex? Most people cannot name another brand of
flying disc other than Frisbee. Yet, when they go to the store to
actually purchase a flying disc, they may very well purchase a competitor’s
product without ever realizing that they never bought “the real
thing.” The same holds true for Thermos and Band-aid —
or, for that matter, any of the other brands mentioned. Each of these
famous brands has become so synonymous with their category that they
have, in turn, become their category.
These
brands have never been positioned to be an extension of who the consumer
believes they are when they use the product — instead they represent,
in a very real sense, the BENEFIT that the category promises.
Each of these brands was instrumental in building the category, and
many were first to invent their category.
Of course,
in the beginning of their product life cycle, they needed to build
the category so that consumers would understand what benefit they
provided — no criticism here on that front. Indeed it was a
prudent strategy for each of them to build the category by positioning
themselves as that category. We all covet the prime position.
However,
they neglected to utilize their tremendous first mover advantage and
failed to leverage their position in the market to modify their brand
messaging as more players entered the market. Instead, each of these
brands rested on its laurels and chose to defend the status quo. As
a result, each has, in turn, watched their margins and market share
erode.
Is this
inevitable? Hardly. All you need do is look at Disney. Disneyland
is generally credited as being the first GREAT theme park since its
opening in 1955. Yet, it is never confused with the generic category
name as a theme parks. Why? Disney has always positioned itself as
something more than a theme park even when Disney needed to define
the very category it invented. “Magic” can only happen
in theme parks where Mickey lives.
So you may be asking yourself why becoming the generic title for the
category is an issue. Logic dictates that if a consumer goes to a
store to purchase one of these category titled products, they should
choose one of the “generic titled” brands.
It should
be so, shouldn’t it? However, experience shows us that there
are a formidable number of customers that will instantly look at other
things, like price, and make their decisions solely based on that.
A Band-Aid shopper may leave with store brand bandage or a Frisbee
shopper may leave with a Discraft brand disc. A well-positioned and
well thought-out brand would isolate the attrition in this scenario
by giving the consumer another reason to choose besides price or a
category definition. Does it matter to those who buy Harley’s
that they are expensive? Not at all, it’s a Harley.
Great
brands understand that brand is more than visual appeal or a catchy
slogan. The essence of brand is actually in the consumer who the brand
targets to influence. This enables brands to protect themselves from
being number one and risk becoming the generic title for the entire
category. Moreover, executing the brand in this way insulates it from
new entrants and price sensitivity. It is in BRAND, not attributes
or efficacy, that margins ultimately reside. The world’s best
brands understand this very well; just ask Harley-Davidson and Disney
Corbin
Rusch is a senior brand strategist at Stealing Share, Inc, a global
strategic branding firm. Corbin has a wide variety of category expertise
building brands in the construction, automotive, consumer products,
financial services, and beverage industries just to name a few.
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