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Prof. Hemant Kombrabail

MANAGING BRANDS OVER TIME


One of the challenges in managing brands is the many changes that have occurred in the marketing environment in recent years. Undoubtedly, the marketing environment will continue to evolve and change, often in very significant ways, in the coming years. Shifts in consumer behavior, competitive strategies, government regulations, or other aspects of the marketing environment can profoundly affect the fortunes of a brand. Besides these external forces, the firm itself may engage in a variety of activities and changes in strategic focus or direction that may necessitate minor or major adjustments in the way that its brands are being marketed. Consequently, effective brand management requires proactive strategies designed to at least maintain - if not actually enhance - customer-based brand equity in the face of all of these different forces. Reinforcing Brands The advantage of creating a brand with a high level of awareness and a positive brand image is that many benefits may accrue to the firm in terms of cost savings and revenue opportunities. Marketing programs can be designed that primarily attempt to capitalize on or perhaps even maximize these benefits - for example, by reducing advertising expenses, seeking increasingly higher price premiums, or introducing numerous brand extensions. The more that there is an attempt to realize or capitalize on brand equity benefits, however, the more likely it is that the brand and its sources of equity may become neglected and perhaps diminished in the process. In other words, marketing actions that attempt to leverage the equity of a brand in different ways may come at the expense of other activities that may help to fortify the brand by maintaining or enhancing its awareness and image. At some point, failure to fortify the brand will diminish brand awareness and weaken brand image. Without these sources of brand equity, the brand itself may not continue to yield as valuable benefits. Just as a failure to properly maintain a car eventually affects its performance, so too neglecting a brand, for whatever reason can catch up with marketers. Reinforcing brand meaning may depend on the nature of brand associations involved. Several specific considerations play a particularly important role in reinforcing brand meaning in terms of product-related performance and non-product-related imagery associations, as follows. Product-Related Performance Associations For brands whose core associations are primarily product-related performance attributes or benefits, innovation in product design, manufacturing, and merchandising is especially critical to maintaining or enhancing brand equity. For example, after Timex watched brands such as Casio and Swatch gain significant market share by emphasizing digital technology and fashion (respectively) in their watches, it made a number of innovative marketing changes. Within a short period of time, Timex introduced Indiglo glow-in-the dark technology, showcased popular new models such as the Ironman in mass media advertising, and launched new Timex stores to showcase its products. Timex also bought the Guess and Monet watch brands to distribute through upscale department stores and expand its brand portfolio. These innovations in product design and merchandising have significantly revived the brand's fortunes.

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Prof. Hemant Kombrabail

Non-Product Related Imagery Associations For brands whose core associations are primarily non-product-related attributes and symbolic or experiential benefits, relevance in user and usage imagery is critical. Because of their intangible nature, non-product-related associations may be potentially easier to change, for example, through a major new advertising campaign that communicates a different type of user or usage situation. Nevertheless, ill-conceived or too-frequent repositioning can blur the image of a brand and confuse or perhaps even alienate consumers. In categories in which advertising plays a key role in building brand equity, imagery may be an important means of differentiation. For example, in the soft drinks category, millions of dollars in advertising are spent to craft an image for a brand. Consequently, ad campaigns have become a valuable branding tool in terms of crafting a brand image. It is particularly dangerous to flip-flop between product-related performance and nonproduct-related imagery associations because of the fundamentally different marketing and advertising approaches each entails. Consider Heineken. Earlier ads showed simple scenes of the bottle or people peacefully drinking the beer, backed by the slogan "Just being the best is enough." Subsequent ads, in an attempt to make the brand more hip and contemporary, were much artierfeaturing a bright red star logoand had a more prominent lifestyle component. Perhaps as a result of being too much of a departure, the ads failed to really drive sales. Significant repositioning may be dangerous for other reasons too. Brand images can be extremely sticky, and once consumers form strong brand associations, they may be difficult to change. Consumers may choose to ignore or simply be unable to remember the new positioning when strong, but different, brand-associations already exist in memory. Club Med has attempted for years to transcend its image as a vacation romp for swingers to attract a broader cross-section of people. For dramatic repositioning strategies to work, convincing new brand claims must be presented in a compelling fashion. One brand that successfully shifted from a primarily nonproduct-related image to a primarily product-related image is BMW. Uniformly decreed to be the quintessential "yuppie" vehicle of the 1980s, sales of the brand dropped almost in half from 1986 to 1991 as new Japanese competition emerged and a backlash to the "Greed Decade" set in. Convinced that high status was no longer a sufficiently desirable and sustainable position, marketing and advertising efforts switched the focus to BMW's product developments and improvements, such as the responsive performance, distinctive styling, and leading-edge engineering of the cars. These efforts, showcased in well-designed ads, helped to diminish the "yuppie" association, and by 1995 sales had approached their earlier peak. Reinforcing brand equity requires consistency in the amount and nature of the supporting marketing program for the brand. Although the specific tactics may change, the key sources of equity for the brand should be preserved and amplified where appropriate. Product innovation and relevance are paramount in maintaining continuity and expanding the meaning of the brand. Revitalizing Brands Changes in consumer tastes and preferences, the emergence of new competitors or new technology, or any new development in the marketing environment can potentially affect the 2

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fortunes of a brand. In virtually every product category, there are examples of once prominent and admired brands that have fallen on hard times or, in some cases, even completely disappeared. Nevertheless, a number of these brands have managed to make impressive comebacks in recent years as marketers have breathed new life into their customer franchises. Brands such a Reader's Digest, Boston Market, Coach, and Bally have all seen their brand fortunes successfully turned around to varying degrees in recent years. As these examples illustrate, brands sometimes have had to return to their roots to recapture lost sources of equity. In other cases, the meaning of the brand has had to fundamentally change to regain lost ground and recapture market leadership. Reversing a fading brand's fortunes thus requires either lost sources of brand equity to be recaptured or new sources of brand equity to be identified and established. Regardless of which approach is taken, brands on the comeback trail have to make more "revolutionary" changes than the "evolutionary" changes to reinforce brand meaning. Often, the first place to look in turning around the fortunes of a brand is the original sources of brand equity. The brands most likely to respond to revitalization efforts are those that have clear and relevant values that have been left dormant for a long time, have not been well expressed in the marketing and communications recently, have been violated by product problems, cost reductions, and so on. Where there is evidence that these values exist and that they were indeed a part of the brand's magnetism during healthier days, then chances of revitalization are good. If you find that the brand really does not have any strong values, chances are that the product or business strength in the past was a function simply of performance and spending characteristics and that, in fact, according to our definition, it never really became a true brand. Bringing these brands back to life is more like starting from scratch. It really isn't revitalization. In profiling brand knowledge structures to guide repositioning, it is important to accurately and completely characterize the breadth and depth of brand awareness; the strength, favorability, and uniqueness of brand association and brand responses held in consumer memory; and the nature of consumer-brand relationships. If not, or to provide additional insight, a special brand audit may be necessary. Of particular importance is the extent to which key brand associations are still adequately functioning as points of difference or points of parity to properly position the brand. Are positive associations losing their strength or uniqueness? Have negative associations become linked to the brand, for example, because of some type of change in the marketing environment? Decisions must then be made as to whether to retain the same positioning or to create a new one and, if so, which positioning to adopt. Sometimes the positioning is still appropriate, but the marketing program The Key To Revitalization: Choosing Vs. Using Opportunities to revitalize mature brands -- particularly consumer packaged goods -- occur during the purchase decision and the consumption decision. Briefly put, the moment of truth is when consumers choose brands and use brands. Simply encouraging purchase is not enough. The unfortunate curse befallen some brands is that they are owned but not used. They are cupboard captives. For instance, although 63% of the households in the Brand Revitalization Consumer Panel possessed Tabasco sauce, 32% of the homes had their bottle so long the sauce had turned from red to brown. Similarly, 35% of the households had 3

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vitamins that they had not opened in the past 12 months, and an unopened package of cookies lasted over 6 months in 41% of the homes without children. Using, like choosing, is dependent on awareness and attitude. Most revitalizable brands suffer from one of three problems: Low awareness, shifting consumer needs, or heavy competition. Encouraging Consumers To Choose A Brand Clearly, increased distribution can increase sales. Assuming that a brand is available for purchase, the challenge is to strengthen purchase attitudes and increase purchase salience. Strengthening Purchase Attitudes Many of the attitude problems related to brands occur because the brand becomes dominated by other products, loses its appeal, or loses its identity. These problems can be addressed by modifying the product or package, or by better understanding and leveraging the brands unique benefits. Product and Package Modifications Although brand reformulations can be costly and risky, modifying a brand or its package can help regain lost sales, reports Stuart Elliot (New York Times, 11-7-93). Aqua Velva retained its trademark scent and color but developed a more convenient bottle and a snappier label. Similarly, Lavoris generated sizable sales because the clear crystal fresh version of its product appealed to young customers who had never used it before. Other successful modifications, such as some done by the Leaf Company (manufacturer of Good & Plenty, Heath bars, Zero, and Payday), involve reverting back to original recipes, and extending familiar favorites into new forms, such as bite-sized Heath Sensations. Consumers can provide valuable insights about changing a package, label, or formulation when asked to compare the brand to others through a tripartite comparison. Although the insights from this technique can help a revitalized brand gain parity, such gains may only be incremental. Understanding and leveraging the brands uniqueness and equity best generate bigger ideas . 1. Brand Uniqueness & Equity The most meaningful differences that separate one brand from another may not be the ones most evident to their managers. Understanding the deeper meaning of brands has been the focus of a method developed by Charles Gengler, a marketing professor at Rutgers University -- Camden. With his method, consumers are first presented with three brands (including the revitalized brand) and asked to select the one they prefer. An indepth laddering interview is then used to uncover how this brands points of differentiation are related to higher order values. A laddering algorithm then analyzes the resulting network of associations and determines the importance weights that various attributes, benefits, and values played in the choice process. When combined with emerging customer prototyping methods, this laddering procedure has been uncommonly reliable in discovering meaningful points of differentiation and clearly targeting the highest yield segments. Successfully leveraging these points of differentiation entail knowing what the brand stands for and making sure the consumers do too. A common problem, however, is trying to communicate too much. Multiple messages from multiple channels dilute equity and confuse consumers, says Kevin Lane Keller, a marketing professor at Duke Univeristy. 4

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As a result, leveraging these points of differentiation is most successful when advertising, packaging, and promotions all emphasize a single, clear, Increase Purchase Salience Salient brands are the brands that get bought. Salience can be generated at the point-ofpurchase or can be developed into top-of-mind salience that leads one to put the product on a shopping list or to make a special trip for it. Point-of-Purchase Awareness Trade journals and retail associations consistently report creative ideas that generate point-of-purchase awareness. The sales successes of many of these ideas confirm our intuition. Bright packages, sales signs, catchy displays, wide shelf facings . . . all increase our awareness of a brand. What is less obvious are recent findings that simply putting a product on an end-aisle display can increase sales even if it is not on sale. Similarly, suggestive selling at the POP (Buy 12 Snickers Bars for your freezer) not only increases salience but can nearly double the number of units a person intends to buy. a. Top-of-Mind Awareness. A brand can have top-of-mind awareness because it was recently used or recently advertised. Jeffrey Himmel claims his success in revitalizing brands is attributed to raising their top-of-mind awareness and dominating their categorys share-of-voice. By focusing on a simple, single-minded point of differentiation, his advertising campaigns use testimonials that are broadcast frequently and consistently. Brands with smaller ad budgets have more affordably targeted their users by advertising points of differentiation or new uses on their labels. Trix Cereal, for instance, used a side panel to note complementary products on which Trix could be sprinkled, and Murphys Oil Soap printed a series of different usage ideas under peel-off stickers that had been affixed to their spray bottles. . Encouraging Consumers To Use The Brand A manager who increases the number of units (such as canned soup) that a household uses from four to five each year, will have realized a 25% increase in sales without once having to convert any new users. Encouraging more frequent brand usage is effective among both heavy and light users. This is accomplished by strengthening usage attitudes and increasing usage salience. Strengthen Usage Attitudes 1. Substitution and New Uses Numerous old brands have revitalized their sales by advertising new uses for. Consider Arm & Hammers situation in 1969. Sales were dropping because of a decline in home baking and the introduction of ready-to-bake packaged food products that included baking soda. Revitalization was critical. Arm & Hammer responded by marketing the product as a deodorizer for refrigerators, freezers, and kitchen sink drains, and sales skyrocketed. The key to effectively advertising a new use for an old brand lies in making this new use appear similar to existing uses of that brand. If perceived as similar, the existing use provides an attitude halo for the new use and eases its adoptability. If drinking Pepsi in 5

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the morning is advertised as being similar as drinking it for an afternoon pick-me-up, this halo can begin to make Pepsi a morning consideration. Perhaps the quickest means to increase usage frequency is to position the brand as a substitute for products in other categories. For instance, advertising campaigns encourage consumers to eat Philadelphia cream cheese instead of butter on bread, to eat Special K breakfast cereal instead of cookies in the afternoon, and to serve Orville Redenbacker popcorn instead of potato chips and peanuts at a party. These attempts are most successful when the revitalized brand is seen as different -- but not too different -- from the substituted product. If the revitalized brand and the substituted product are too different, their similarities should be advertised. If they are too similar, their differences should be advertised. Ultimately, the best test for selecting the optimal ad strategy is a copy-test (see Estimating an Ads Impact on the Consumption of a Brand, Journal of Advertising Research, May/June 1992). 2. Package Size and Convenience Package sizes can be modified to accelerate usage. As a general rule of thumb, if a manager is trying to decide which of two packages to introduce -- say 20 ounces versus 24 ounces -- the larger of the two packages should encourage greater usage volume per usage occasion. In examining 47 usage variant categories, increases in usage ranged from 19%-152%, with the median being 32%. Part of the reason such acceleration occurs is because larger packages are simply perceived as less expensive to use than smaller packages. Nevertheless, there is a limit to how much spaghetti one would want to eat and to how much detergent one would want to use. Once this limit or saturation point is reached, a larger package has no additional impact on usage volume. In addition, packaging can also increase convenience, and convenience often increases usage. Recent research with the Brand Revitalization Consumer Panel indicates that perceptions of convenience are primarily driven by time and effort, but are also influenced by the products that happen to be used as points of comparison. If it is not possible to change the time or the hassle of using a brand, perceptions of convenience can be changed by altering a brands comparison set. For instance, pizza mixes are perceived as 37% more convenient when advertisements compare them to scratch pizza rather than to frozen pizza. Increase Usage Salience a. Inventory Levels and Salience. The more soft drinks we have at home, the more we tend to drink, right? Not always a brand that is out of sight is out of mind. While stockpiling increases ones consumption frequency of a brand, it does so only when the brand is salient. Brands are also highly salient -- and frequently used -- shortly after they are purchased. So, while encouraging consumer stockpiling (through promotions or multi-packs) increases usage frequency so does any promotion that encourages consumers to frequently purchase the product. Salient brands are frequently used brands, and salience is necessary to help clear stockpiled products out of household inventory. While nearly any type of advertising increases salience, the most effective ads are those that strengthen usage attitudes and those that are seen or heard just prior to a usage decision. 6

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b. Media Scheduling. Because the ideal timing for usage-related ads is just prior to a usage decision, Coke raised usage salience through Drive-time Drinking radio ads that encouraged metroarea commuters to drink Coke during their commute. Similarly, Campbells Soup raised usage salience by instructing radio stations to broadcast specially developed Storm Spot Ads during inclimate weather. Radios flexibility allowed Campbells to additionally request that these ads be broadcast prior to lunch and to dinner. If the focus is on current users, clearly the easiest and most cost effective ad is one that is on the package. These users are a captive audience, the cost per exposure is low, and the opportunity costs of what might otherwise be on the package are often negligible. Revitalizing old brands offers an opportunity to reopen lost mines. While some will be barren, others may hide gold. Although academic research offers some guidance in selecting and revitalizing brands, the only unbreakable rule is Never say die. Fifty years ago Burma Shave was a proud and prosperous brand. Forty years ago it was the Edsel-like punchline for jokes. Adjustments To The Brand Portfolio Managing brand equity and the brand portfolio requires taking a long-term view of the brand. As part of this long-term perspective, it is necessary to carefully consider the role of different brands and the relationships among different brands in the portfolio over time. In particular, a brand migration strategy needs to be designed and implemented so that consumers understand how various brands in the portfolio can satisfy their needs as they potentially change over time or as the products and brands themselves change over time. Managing brand transitions is especially important in rapidly changing, technologically intensive markets. Migration Strategies Brands can play special roles that facilitate the migration of customers within the brand portfolio For example, entry-level brands are often critical in bringing in new customers and introducing them to the brand offerings Ideally, brands would be organized in consumers' minds so that they at least implicitly know how they can switch among brands within the portfolio as their needs or desires change For example, a corporate or family branding strategy in which brands are ordered in a logical manner could provide the hierarchical structure in consumers' minds to facilitate brand migration Car companies are quite sensitive to this issue, and brands such as BMW with its 3-, 5- and 7-series numbering systems to denote increasingly higher levels of quality are good examples of such a strategy Chrysler designated Plymouth as its starter car line, such that Plymouth owners would then be expected to trade up in later years to high-priced Chrysler models. Brand Extension and Sub-branding Another approach to attract new customers to a brand and keep the brand r modern and up-todate is to introduce a line extension or establish a new sub-brand. These new product offerings for the brand can incorporate new technology, feature and other attributes to satisfy the needs of new customers as well as satisfy the' changing desires of existing customers. For example Aqua Velva introduced its Ice Sport aftershave sub-brand to appeal to a younger audience while still selling classic Aqua Velva to a loyal cadre of older consumers. Retiring Brands Because of dramatic or adverse changes in the marketing environment, some brands are just not worth saving. Their sources of brand equity may have essentially dried up or, even worse, 7

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damaging and difficult-to-change new associations may have been created. At some point, the size of the brand franchiseno matter how loyalfails to justify the support of the brand. In the face of such adversity, decisive management actions are necessary to properly retire or milk the brand. . Consistency Plan Brand consistency is critical to maintaining the strength and favorability of brand associations. Consistency does not mean that marketers should avoid making any change in the marketing programs. Consistency should be therefore viewed in terms of strategic direction and not necessarily the particular tactics employed by the supporting marketing program for the brand at any point in time Changes over time are certainly not inevitable. A host of successful brands have had remarkable histories of a consistent identity/execution Perhaps the most visibly consistent strategy is that of Marlboro. The Marlboro man, introduced in the 1950s and refined in the 1960s, is still going strong as a symbol throughout the world. With its strong brand personality (independent, outdoor-lifestyle, free spirited, rugged, and masculine) and its visual image of the cowboy and Marlboro country, Marlboro has become part of marketing folklore Blessed with a strong identity and disciplined implementation, Marlboro has rarely had a misstep that has taken it away from its strategy. One of the most consistent brand strategies for durable consumer goods has been that of Maytag; its position as "the dependability people" has been anchored by the "loneliest guy in town" campaign for almost three decades. First aired in 1967, the campaign featured Jesse White, a prominent character actor, who explained why Maytag was so reliable. He punctuated his story with the tongue-in-cheek admission that, because he was the Maytag repairman, nobody ever called him (which is why he was so lonely). Since its introduction, the campaign's central message has changed very little, and the actor has changed only once: Gordon Jump, who played the bumbling station manager in the "WKRP in Cincinnati" television series, took over the role in the late 1980's. Maytag's is the longest-running campaign on television featuring a real-life character. The Maytag identity leads to a strong functional benefit of quality and dependability, as well as emotional benefits (relief from worry and a reminder, for some, of their childhood homes). The functional benefit, in particular, is both relevant and important to customers, and it has staying powerit has not become obsolete because of technological change or consumer trends. In 1993, Maytag was rated as the preferred brand of washers, dryers, and dishwashers in the United States and Canada. It continues to command a significant price premium over competitors in an industry that has intense competition and severe margin pressures. Benefits of Consistency Although change is sometimes appropriate and even necessary, there is no doubt that the goal should be to create an effective identity ' whose position and execution will endure and not become obsolete and/or tired. The result can be a consistency of meaning and message through time that can provide the ownership of a position, ownership of an identity symbol, and cost efficiencies, all of which combine to provide a formidable competitive advantage.

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1. Ownership of a Position A consistent identity/execution can lead to the virtual ownership of a position. Competitors are preempted and must therefore pick another route, often one that is inherently less effective. An effort by a competitor to usurp Maytag's position on the dependability dimension, for example, would not be believed. Worse, the competitor's communication efforts might actually be mistaken for those of Maytag by some, thus giving Maytag free advertising. Similarly, Black Velvet owns the sensual/smoothness dimension for whiskey, and Marlboro owns the masculine position for cigarettes. It would be difficult for competitors to be credible if they attached themselves to similar positions. 2. Ownership of Identity Symbol Brand identity/execution consistency over time provides an opportunity to own an effective identity symbol, which might be a visual image, slogan, jingle, metaphor, or spokesperson. Such a symbol makes the brand's identity easier to understand, to remember, and to link with the brand. The competitive power of the position is thus enhanced. The Maytag repairman and the Black Velvet lady are two examples of symbols that quickly and simply communicate the brand position. Others include United Airlines' theme music (which conveys a sense of stature and quality), McDonald's Ronald McDonald (who communicates an image of family fun), the Sprint pin-dropping image (which implies exacting technology), and Marlboro country. The Marlboro image is so well known that the company can sometimes place billboards that display only a "Marlboro Country" scene without the brand name or package. A competitor attempting to use a similar scene would likely only reinforce the Marlboro identity. Thus, when an identity symbol is strong, competitors must go another route. In addition, when a simple, position-appropriate symbol becomes closely associated with a brand, the dangers of consumer boredom are somewhat reduced. While young brands need to entertain or do something outrageous in order to attract attention and become associated with a position, successful mature brands often need only to refresh existing associations. Ronald McDonald, for example, can be shown playing video games or wearing an updated outfit. 3. Cost Efficiencies A consistent brand strategy supported by a strong identity symbol can produce an enormous cost advantage in implementing communication programs. All brandsespecially new ones are faced with the problem of creating and maintaining awareness, as well as creating and reinforcing an image or personality. The task of communicating, getting attention, and changing perceptions becomes less expensive, though, when it is reduced to cueing a visual image or slogan that is well known and closely associated with a brand. Consider the cost burden if General Electric, a Maytag competitor, wanted to convince customers that it had surpassed Maytag in terms of dependability. Given the equity that Maytag has amassed on this dimension, GE would have to buy an exposure intensity much larger than Maytag employs, plus have an attention-getting message, to even hope for any impact. Even then, the goal still might not be feasible. In fact, it is likely that Maytag's strong reputation and loyal customer base has carryover effects to other appliance characteristics such as performance. Now consider Maytag's recent task of adding the dependability dimension to its new refrigerator line. Maytag simply had the lonely repairman make a cameo appearance during the last few seconds of an ad introducing the refrigerator. That compact visual image cost so 9

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little and said so much. Just a glance at the repairman brought back all of viewers' past dependability associations. A competitor of Marlboro, Ivory, or Black Velvet will have the same problem encroaching on their position. Consider the power and efficiency of the visual image of Marlboro country, a bar of soap floating in a clear stream, or the Black Velvet lady. It is likely that a competitor with no established position or visual imagery would have to spend five times as much (if not ten times or more) to make a significant dent. Further, efforts to create a new identity are likely to be wasted in that they might not register or might only be effective at creating an identity that becomes obsolete. There is no cumulative effect. In contrast, an effort to support and reinforce a long-running campaign will more likely be productive. Consistency over Time Why is it Difficult As already noted, at least five very legitimate rationales can make a change in identity, position, or execution appropriate or even necessary. However, there are substantial forces above and beyond these rationales that bias managers toward change and away from maintaining a consistent identity. Awareness of these forces can help a firm avoid making illadvised and premature changes in a brand identity/execution. One set of forces relates to psychological factors that influence managers' decisions regarding brands; the second involves strategic misconceptions or false assumptions about the existing brand identity/execution. Mindset of Managers Problem Solver/Action Orientation Those in charge of brandsfrom assistant brand managers to executive vice presidents are generally bright, creative people within a culture that emphasizes finding and solving problems and detecting and responding to trends in the market. And there are always problems and new trends to address. Market share, even for the best of brands in the best of times, will face dips and competitive pressures. New trends in distribution, customer motivations, and innumerable other areas are continually emerging. An aggressive, capable manager often believes he or she should be able to improve the situation, and that usually means changing one of the drivers of brand equity. The prime candidate for change is the brand identity, position, or execution. The temptation is to dig in, diagnose the problem or trend, and take actioneven when the "action" course may actually end up hurting the brand. Consider the Black Velvet brand manager who is asked at the annual planning meeting how he or she plans to improve the brand's flat sales (even though the overall category is declining). A response of "Well, I thought I would do the same thing as the prior five brand managers have done" may represent an optimal strategy that builds and protects brand equity, but it is not impressive or, perhaps more important, much fun. "I have a dramatic plan for change that is likely to turn the brand around within twelve months" sounds both more professional and more exciting.

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1. High Aspirations The problem-solver/action orientation is usually accompanied by aspirations to improve the performance of the brand. Managers are generally not expected to do only as well as last year; the goal is always to do better, especially in terms of sales and profits. If the brand is to improve on prior performance, an obvious implication is that something must be done differently. Changing the identity/ execution is one option. 2. Owned by Predecessor Identity/Execution The pressure to change can best be resisted by people who are committed to the brand vision and its execution. However, the identity and its execution were likely developed by others (sometimes long gone), especially if the brand has had a reasonably long run. A new, transient brand manager will have no pride of ownership and little involvement in the identity/execution. The conclusion that the brand and its message are not responsive to the current market, and that a major improvement is possible, is thus personally painless. Strategic Misconceptions 1. The New Identity/Execution is Ineffective Sometimes it takes time for an identity/execution to wear in. Customers need to get used to the concept, and the execution needs to be refined. A brand identity is not unlike a TV show that starts slow, develops a growing following and only after two or three years becomes a hit. It can take that long for the audience to build, and for the characters to find their niche and become familiar to the audience. During that time, characters or other elements may be added, deleted, or modified as the show settles into its style. Brand identities and their execution can also require some settling in. Marlboro, for example, started with a rugged man with a tattoo who only over time evolved into a cowboy. It took several years for Marlboro country to emerge. A decision on the effectiveness of the embryonic Marlboro identity might have been premature. Then there is the "blinders trap," in which a great identity/execution is achieved but is not recognized as such. Greatness is harder to judge than one might think. Competent people may differ in their opinions because they judge the identity/execution with different assumptions about the market. Research results may be ambiguous because several criteria may be relevant to brand performance, and a given study may not measure all of them. 2. A New Paradigm Requires a New Identity/Execution Managers, by instinct and training, are always examining the market for trends. A major challenge is to determine which of these trends represent a fundamental shift in the market. Will the change in consumer tastes endure and grow, or is it only a fad? Wine coolers (such as California Coolers) and clear, sweetened carbonated beverages (such as Clearly Canadian) are examples of fad products that failed to live up to their promise. Both they and the "forces" that drove their short-lived success have faded. Even when a paradigm shift is accurately detected, it is not always clear that the brand strategy should change. The old strategy, even if found to be inappropriate for a major segment, may still represent a better strategy than alternatives. For example, when it came under attack by Healthy Choice, Weight Watchers could have chosen to stick to its 11

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professional weight control identity. This "consistency option" would have resulted in downsizing to a niche brand, which although painful, might have resulted in a healthier (albeit smaller) business. Further, there is an upside to maintaining an existing identity in the face of a new paradigm. Customers lost may return after the glow of the new paradigm recedes and there is a resurgence of the old one. In addition, it avoids the risk that the revised identity will fail because it is too little, too late or because it was executed badly. 3. A Superior Identity/Execution Can Be Found Managers evaluating whether to change identities sometimes overlook the fact that much more is known about the existing strategy and execution than about any proposed alternative. Thus the warts of the existing strategy are clear while problems with the untried proposal | cannot yet be predicted, often making the proverbial grass seem greener almost anywhere else than where the firm is now. Nevertheless, alternatives are not necessarily better, and may at best result in similar share and profitability figures. A similar pitfall is the aspiration trap, in which a brand team engages in an endless search for perfection and a dramatic improvement in performance when the probability of achieving either is actually very low. It can be a compulsive and futile waste of resources. The problem is that "genius" identities and executions are difficult to achieve, in part because people capable of generating them are ran and the environment that allows such people to thrive is rarer still. 4. Customers Are Bored with a Tired or Stodgy Identity/Execution Often it is those managing the brand, not the customers, who are bored with an identity or execution. The fact is that insiders can get bored and even irritated with an execution and when they do, they assume that customers are as well. Many managers are likely to see more repetition of their brand's advertising than any target group. In fact, by the time a consumer first sees a new campaign, those who work with the brand have probably seen it (or alternative versions of it) hundreds of times. Advertising giant Ross Reeves once claimed that if he had the second-best advertising in a market, he would always win, because the competition would get bored and change theirs. When asked why his agency was billing its Anacin client so much, given that it just kept running the same commercial, he replied that it was expensive to convince the client managers not to change the advertising. If boredom is being claimed as a reason for changing strategy, the brand management team should do the research necessary to see if consumers really are the ones who are bored. And remember that consumer boredom is not necessarily bad: Brands from Bayer to Charmin have built a flourishing business by "boring" consumers with the same consistent message. It is important to distinguish between the wearing out of a position or identity and wearing out of a particular execution. An execution can be changed without changing the position or identity;

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