Protect your Brand from becoming failure….

How?
By understanding two things,

1 Why a brand fails ?

2 How you can prevent this ?

A brand is a product, service, or concept that is publicly
distinguished from other products, services, or concepts
so that it can be easily communicated and usually marketed.
Here is the famous advertising copywriter and ad agency founder David Ogilvy's
definition of a brand:

The intangible sum of a product's attributes: its name,

packaging, and price, its history, its reputation,
and the way it's advertised.
A brand is not a logo.
A brand is not an identity.

A brand is not a product.

So what exactly is a brand?

A BRAND IS A
PERSON’SGUT FEELING
ABOUTA PRODUCT,
SERVICE,
OR ORGANIZATION.
Individuals define brands, not companies, markets, or not public.

It’s not what you say it is

It’s what they say it is.
 Why branding is so important?

People have many choices and less time.

Most products have same quality and features.
Buying choices are based on trust.
Product and brand failures occur on an ongoing basis to
varying degrees within most product-based organizations.
The primary goal is to learn from product and
brand failures so that future product development, design,
strategy and implementation will be more successful.
The benefits of studying failures
Gaining a better understanding of product failures is
important to help prevent future failures.

Studying the history of product failures may generate

some insight into the reason for those failures and create
a list of factors that may increase the opportunity for
success.
Studying product failures allows those in the planning
and implementation process to learn from the mistakes
of other product and brand failures.

Each product failure can be investigated from the perspective

of what, if anything, might have been done differently to produce
and market a successful product rather than one that failed.
Defining product and brand failures
A product is a failure when its presence in the market leads to:

•The withdrawal of the product from the market for

any reason

•The inability of a product to realize the required market

share to sustain its presence in the market

•The inability of a product to achieve the anticipated life

cycle as defined by the organization due to any reason

•The ultimate failure of a product to achieve profitability.

Examples of product failures
The following is an abbreviated list of product failures
that may provide insight that will help to identify product and
brand success factors:
Automotive and transportation
Cadillac Cimarron ,Pontiac Fiero ,Chevrolet Corvair
Ford Edsel ,The DeLorean ,Crosley ,The Tucker
The Gremlin, the Javelin and a complete line of other
models by American Motors
GM’s passenger diesel engine ,Mazda’s Wankel rotary engine
Firestone 500 tire ,Goodyear tires used on the Ford Explorer ,
Concorde—supersonic airliner
Computer industry
IBM’s PCjr—introduced in March 1985 ,Apple’s Newton
Apple’s Lisa ,Coleco’s Adam
Percon’s Pocketreader—hand held scanner,
Bumble Bee’s software version of the book
“What Color is Your Parachute”
Entertainment
Quadraphonic audio equipment
World Football League
Women’s National Basketball Association
World League of American Football
United States Football League
Food and beverage
Burger King’s veal parmesan ,Burger King’s pita salad
Gerber’s Singles—dinners in jars, for adults—early ’70s
Chelsea—“baby beer”

Photographic and video

Polaroid instant home movies
SX-70 (Polaroid instant camera)
RCA Computers (Spectra-70)
Video-disc players
DIVX variant on DVD
Failures are not necessarily the result of substandard
engineering, design or marketing.
Based on critic’s definitions, there are hundreds of “bad”
movies that have reached “cult status” and financial success
while many “good” movies have been box office bombs.

Other premier products fail because of competitive actions.

Using these potential causes of a product or
brand failure may help to avoid committing those
same errors. Learning from these “lessons” can
be beneficial to avoid some of these pitfalls.
Common reasons for product failures

• High level executive push of an idea that does not fit

the targeted market.

• Overestimated market size.

•Incorrectly positioned product.

•Ineffective promotion, including packaging message,

which may have used misleading or confusing
marketing message about the product, its features, or
its use.
•Not understanding the target market segment and the
branding process that would provide the most value for
that segment.

•Incorrectly priced—too high and too low.

•Excessive research and/or product development costs.

•Underestimating or not correctly understanding

competitive activity or retaliatory response.

• Poor timing of distribution.

•Misleading market research that did not accurately
reflect the actual consumer’s behavior for the targeted
segment.

•Conducted marketing research and ignored those

findings.
•Key channel partners were not involved, informed, or
both.
•Lower than anticipated margins.
 Or

Something happens to break the bond between the customer

and the brand.

when brands struggle or fail it is usually down to a

distorted perception of either the brand,
the competition or the market.

This altered view is a result of one of the following six

deadly sins of branding:
• Brand memory loss For old brands, as for old people,
memory becomes an increasing issue.
When a brand forgets what it is supposed to
stand for, it runs into trouble.
The most obvious case brand memory loss occurs
when a venerable, long-standing brand tries to create a radical
new identity, such as when Coca-Cola tried to replace its
original formula with New Coke.

The results were disastrous.

Brand egotism. Brands sometimes develop a tendency for
over-estimating their own importance, and their own capability.
This is evident when a brand believes it can support a
market single-handedly, as Polaroid did with the instant
photography market.
It is also apparent when a brand enters a new market for
which it is clearly ill-suited, such as Harley Davidson trying to
sell perfume.
• Brand deception. ‘Human kind cannot bear very much
reality,’ wrote T S Eliot.
Neither can brands. Indeed, some brands see the whole
marketing process as an act of covering up the reality of
their product. In extreme cases, the trend towards
brand fiction can lead to downright lies. In an age where
markets are increasingly connected, via the Internet and
other technologies, consumers can no longer be deceived.
Brand fatigue. Some companies get bored with their own
brands.
You can see this happening to products which have been on
the shelves for many years, collecting dust. When brand fatigue
sets in creativity suffers, and so do sales.
Brand paranoia. This is the opposite of brand ego and is most
likely to occur when a brand faces increased competition.
Typical symptoms include:

a tendency to file lawsuits against rival companies, a

willingness to reinvent the brand every six months, and a
longing to imitate competitors.
 Brand irrelevance. When a market radically evolves, the
brands associated with it risk becoming irrelevant and
obsolete.
Brand managers must strive to maintain relevance by
staying ahead of the category, as Kodak is trying to do with
digital photography.

One more reason is gap between creativity and strategy

In most companies there is wide gap between
strategy and creativity.
Strategic thinkers Creative thinkers are
are analytical, intuitive emotional
logical, visual .
and numerical.
Does the left brain know
what the right brain is doing?
When both sides work together you can build a charismatic brand.
Any brand can become charismatic

even

yours
By learning

FOUR DISCIPLINES OF BRAND-BUILDING

DISCIPLINE 1: DIFFERENTIATE

•WE’RE HARDWIRED TO NOTICE ONLY WHAT’S DIFFERENT

FOUR DISCIPLINES OF BRAND-BUILDING

DISCIPLINE 2: COLLABORATE

Because the mathematics of collaborations nothing less than

magic
FOUR DISCIPLINES OF BRAND-BUILDING

DISCIPLINE 3: INNOVATE

TOO PREDICTABLE = NO SURPRISE

NO SURPRISE = NOTHING NEW
NOTHING NEW = NO VALUE
REASON THE BEATLES WERE WILDLY SUCCESSFULIS
BECAUSE “THEY NEVER DID THE SAME THING ONCE
FOUR DISCIPLINES OF BRAND-BUILDING

DISCIPLINE 4: CULTIVATE
Business is a process not an entity
Brands like people
Influence character of a brand.
If a brand swims like a dog and looks like a duck, people will distrust it.
 CULTIVATION DIFFRENTIATION

INNOVATION
COLLABORATON

BY MASTERING THE FOUR DISCIPLINES OF BRANDING, THE COMPANY

CREATES A CIRCLE
WITH EVERY TURN AROUND THE CIRCLE,
THE VALUE OF THE BRAND SPIRALS HIGHER.
YOU BUILD

A sustainable competitive advantage.

This presentation is created purely for educational purpose.
References are taken from various websites ,and presentations available on internet.

Special thanks to Jigar ,Jaimika,and Harshit.

Sunday slides from sandeep