22 LAWS OF BRANDING
They Appear. Talk. Grab Attention. Promise. Create Experience. Thrill. Mesmerize. Seduce. They Are In Our Life Forever. Brands!
Total value of top 100 brands amounted to US$1. 5 Trillion-65% of UK and nearly 10% of US GDP in 2009. Top 500 global brands valued at US$3 Trillion for the same period.
Brand is an: Image, Perception, Promise, Single Idea, Persona, Emotion, Values.
Image-Lux-a beauty soap of Stars
Perception Limca Ariston
Promise-Pantene makes hair shiny, strong with less hair fall
Persona Raymond 1 , Raymond 2 Fevicol 1 , Fevicol 2 Virgin 1 , Virgin 2 ,
Emotions Reliance Airtel Slice Aamsutra
Brand Video
Brand Persona Video
LAWS OF BRANDING
LAW OF QUALITY Quality is important, but brands are not built on quality alone.
YOU CAN BUILD QUALITY INTO YOUR PRODUCT. BUT BUILDING YOUR BRAND ONLY ON QUALITY IS LIKE BUILDING YOUR HOUSE ON SAND.
Quality Is… • Performance • Features • Reliability • Conformance • Durability • Serviceability • Aesthetics
But Quality Is Not Enough. . It’s The Perception Of Quality
Quality Hagen Daz Rolex PTCL
Colgate – Number 1 Toothpaste Recommended By Doctors Haier – 2 nd Largest Manufacturers Of Home Appliances Waves – Number 1 Selling Brand In Pakistan Supreme – Dunya Ki Number 1 Quality Chai Fair And Lovely – Number One Rang Gora Karney Wali Cream Hagen Daz – Finest Ice Cream In The World
“LAW OF WORD” “A brand should strive to own a word in the mind of the consumer. ” or A brand should make efforts in owning a word in prospect’s mind.
YOUR BRAND OWNS THE CATEGORY NAME WHEN PEOPLE USE YOUR BRAND NAME GENERICALLY You can’t become generic by becoming the market leader BUT By being the first brand establishing a category
Examples: Mercedes Prestige Volvo Safety BMW Driving Fed. Ex Overnight delivery Herbal essences Organic pleasure Nike Just do it
Examples: Kleenex Surf Scotch tape Xerox Pampers Tissue Washing powder Adhesive Tape Photocopy Diaper
WORD Volvo Olpers
Mistake/problem: The minute a brand begins to stand for something in the mind, the company usually looks for ways to broaden the base, to get into other markets, to capture other attributes. Example This mistake was made by Mercedes.
Haleeb – Garah Doodh
Shan Spices
Dawlance Reliability
LAW OF SINGULARITY The most important aspect of a brand is its single-mindedness.
A singular idea or concept that you own inside the mind of the prospect. A proper noun that can be used in place of a common word.
The objective is to create in the mind of the prospect the perception that there is no other product on the market quite like your product.
WHAT HAPPENS WHEN THE LAW OF SINGULARITY IS NOT FOLLOWED? Loss of singularity weakens the brand. A brand that has lost its life because it lost its singularity.
Rooh Afza Fair And Lovely
Fevicol
Slice - Aamsutra
Nestle
LG
Mercedes A Class
Sufi
Master Moltyfoam Master Sanitary. Wares Master Trucks Master Engine Oil
Law Of Consistency Video
Law Of Category Video
Law Of Credentials Video
Law Of Change Video
LAW OF SIBLINGS There is a time and place to launch a second brand
IMPORTANT ASPECTS TO THE LAW OF SIBLING A family of brands assures a company's control on the market. The key to family approach is to make each sibling a unique individual brand with its own identity. Each brand should be different and distinct as possible.
Nestlé
Unilever
P&G
Coke
Engro
STRENGTHS OF A BRAND Lies in having a separate, unique identity ---- not in being associated in the mind with a totally different category. There is a long-term need to maintain the separation between the brands, not to make them all alike.
Having a totally different identity in the mind doesn’t mean creating a totally separate organization to handle each brand. BUT If handled incorrectly the second brand can dilute the power of the first brand.
PRINCIPLES WHEN SELECTING A SIBLING STRATEGY Focus on a common product area. Select a single attribute to segment. Set up rigid distinctions between brands. Create different, not similar brand names. Launch a new sibling only when you can create a new category. Keep control of the sibling family at the highest level.
CNN AOL ESPN Fortune Life Time
Vaio Bravia Playstation Trinitron
Karmina Rooh Afza Sulin Safi
LAW OF EXTENSIONS “The easiest way to destroy a brand is to put its name on everything. ”
Kroger Supermarkets Total 23, 000 Sold daily 6, 700 Sold weekly 13, 600 Sold Monthly 17, 500 Not sold over a month 5, 500
Extension vs. market share Budweiser less than 30% Marlboro 30% IBM 10%
The Beer Industry Miller High Life Budweiser Coors Banquet Today these three brands have become sixteen
Advantages More potential customers. Opportunity to sell more to each customer. Greater marketing efficiency. Greater production efficiency. Increased profits at introduction and growth stages of product line extensions. Lower promotional costs of line extensions.
Disadvantages If line extension fails to satisfy consumers’ then other products under same brand name will be damaged. New products may cannibalize sales of older ones. Eg. Pepsi and Diet Pepsi
Successful Extensions International Local Nabisco Dettol Water Heineken Pure Gillette Coca Cola
Unsuccessful Extensions International Miller Snack. Well Heinz Light Ketchup Hellman’s Light Mayonnaise Campbell’s Healthy Request Soup
Unsuccessful Extensions Local Fair & Lovely Lux Shower Gel LG Philips Siemens Samsung
LAW OF EXPANSION The power of a brand is inversely proportional to its scope
Line Extensions The power is shifting from manufacturer to retailer for the purpose of trade promotion, slotting fees, return privileges. 90% of all new brands are line extensions. Powerful brands should have more than 50% of market share.
Reasons for line extension Logical vs. manufacturer’s perspective. Natural instinct. Wrongful measures of extension.
Law of Expansion When you put your brand name on everything, that name loses its power The power of a brand is inversely proportional to its scope. Trying to be all things to all people undermines the power of the brand. The strength of brands lies in becoming synonymous with a single category. Brands that spread themselves across categories lose brand focus, identity, and ultimately market share. Marketers launch ridiculous over zealous brand names
Law of Expansion Contract your brand, NOT expand it To build a powerful brand, you need to contract your brand not expand it. The lesser you expand the stronger your brand stays
Crest Examples: Crest: P&G 38 to 50 sku’s Market share dropped from 36% - 25% Crest lost leadership to colgate
LEVIS Levis Jeans has close to 27 different cuts and styles It has also digressed into a number of accessories including Levis Mobile Phones, Caps, Belts, Shoes, Shirts, etc. Market share fallen from 31 – 19%
Pakola has a wide range of product line……
Subway Specializing in submarine sandwiches only the 8 th largest food chain in US
Panadol Extra Panadol C&F
Law Of Company `Brands are brands. Companies are companies. There is a difference´
What is Coca Cola? Is it a brand ? OR a company? It is the strongest brand of the world BUT the fact is, it is the name of company.
SPRITE & KINLEY In these Products “Sprite and Kinley” Coca-Cola is used as name of COMPANY.
What makes the branding process confusing? THE USE OF COMPANY NAME Should it dominate the brand name? Should it be dominated by Brand Name? Should both be given equal weight?
According to the Law. Brand name should, either more or equally emphasized. Customers are Brand-Oriented. Does the consumer care whether Hamdard, National foods, P & G or Unilever makes LUX? Probably NOT.
According to the Law At the same time, Brand name should not be totally Emphasized. Companies should also create awareness about their Names.
Examples
It is highly conditional and attributed to the product nature. Whether to emphasize on the company name or not.
THE LAW OF THE NAME In the long run a brand is nothing more than a name
WHAT DOES A BRAND NEED
IN SHORT TERM Unique idea Concept to survive Own a word in mind
IN LONG RUN A Difference between your Brand your competitor’s Brand
Now moving on to what type of name a brand should have
BUILD POWERFUL BRANDS BY: Short names and easily pronounceable Tweaking few letters Cutting generic names Taking initials Double-entendre
SYALLABLE STRUCTURE C---V---C---V P---E---PS---I B---A---T---A X---E---R---O---X C---O---C---A C---O---L---A L---E---V---I---S D---A---LD---A T---A---P---A---L S---O---N---Y T---I---D---E R---O---L---E---X N---I---K---E
Tweaking generic names Luxury car company LEXUS Medicated care cream MEDICAM
Cutting generic names Federal express Fed. Ex Intelligent chip company Intel Pakistan telecommunication Paktel
Taking initials IBM UBL ADIDAS BMW MGM
Double-entendre Buy your staples from STAPLES Mujhay Tuc TUC kay sath chaiyay
Law Of Name Video
Pharma Brand Names Cozaar Proscar Sancos Plavix Lantus Xanax Accu-Check
Law Of Shape A brand’s logotype should be designed to fit the eyes. Both eyes.
Law Of Shape Video
Law Of Shape A logotype is a combination of a trademark which is the visual symbol of the brand the name of the brand set in distinctive type. A customer sees the world through two horizontally mounted eyes peering out of the head. For maximum visual impact, a logotype should have a horizontal shape. It is like looking out of the windshield of an automobile. The ideal shape is 21/4 units wide by 1 unit high.
Law Of Shape Some other Examples
Law Of Shape Important Facts The equal importance to shape is legibility. Logotype designers often go way overboard in picking a typeface to express the attribute of a brand rather than in its ability to be clearly read. The other component of the logotype, the trademark, or visual symbol, is also over-rated. The meaning lies in the word, or words, not in the visual symbol.
Law Of Shape Video
Law Of Shape Types of Shapes a Brand Should avoid: Even though it’s a successful brand but without a perfect logotype
LAW OF COLORS A brand should use color that is the opposite of its major competitors
WHEN CHOOSING A COLOR FOR YOUR BRAND, FOCUS ON: Mood The best color to select is the one that is most symbolic of the category. Unique identity of the brand should be kept in mind. All colors are not created equal in the eye of the beholder. Color consistency over the long term can help a brand burn its way into the mind.
A single color is almost always the best color strategy for a brand to make a brand distinctive is with color
Sometimes you can make a case for multiple colors. Mc. Donalds
POWER, ELEGANCE, MYSTERY, FORMALITY IBM Products
PURITY, PERFECTION, SIMPLICITY, INNOCENCE
LOVE, PASSION, DANGER, ENERGY, EXICTEMENT, FIRE Red is an in-your-face color. Red is a retail color used to attract attention. Supreme
JOY, HAPPINESS, PLAYFULNESS Yellow is a neutral color. But it is also the brightest color.
TRANQUILITY, CLEANLINESS, PURITY, INTEGRITY Blue is a corporate color used to communicate stability. Blue is peaceful. Blue is a laid-back color. Tetley
NATURAL, SAFETY, FRESHNESS, PROSPERITY Green is a color of environment and health.
LAW OF PUBLICITY “The birth of brand is achieved with publicity”
LAW OF PUBLICITY Primarily…. PUBLICITY ADVERTISING BUILDS a brand MAINTAINS a brand
LAW OF PUBLICITY Benson & Hedges Safeguard
Safeguard
LAW OF PUBLICITY Many brands use publicity as a deliberate effort to take up media space in the form of EVENT MANAGEMENT UNILEVER- Lux Style Awards TAPAL- Mezban/Chenak
LAW OF PUBLICITY Other examples which might not be often cited but are an absolute example of publicity are… Armeen’s Cake Amir Adnan and other designers
LAW OF PUBLICITY Al- Ries includes that there has to be the best way to generate publicity… Area 51 But this works even if a new product is introduced to an existing category Nirala Sweets
LAW OF PUBLICITY Creating Brand Identity through Celebrity Stunts Britney Spears
Publicity Video
Loose Talk – Anwar Maqsood And Moin Akhtar Product Placement – Ariel , Coke(Beyond Enemy Lines) , Dawlance Micro Wave. AXE Case – India Berger Pakistan KOL – Pharma Industry
Law Of Border There are no barriers to global branding. A brand should know no borders.
Mostly companies believe two things. 1)Their market share cannot be substantially increased in their home countries 2) They need to grow As a result of these belief, they insist on expanding their brands into other categories. “It is the only way to grow”
But it is not the only way to grow The perfect solution to achieve both the goals is to build a global brand. That means 1)Keep the brand’s narrow focus in its home country. 2) Go Global
“IMPORTED” For years the magic word on many products has been “imported” Crossing the border often does add value to a brand. Since value lies in the mind of the consumer
Sync with country’s perception Every country has its own unique perceptions. When a brand is in sync with its own country’s perceptions, that brand has the possibility of becoming a global brand. Automobiles from Germany Watches from Switzerland Electronics product from Japan
It doesn’t matter where your brand is conceived, designed or produced, the name and its connotations determine its geographic perception. For example : Nike (originally from USA)but now also manufacturd in China and Thailand.
Think global, Act local “When in Rome, Do as the Romans do” Mc. Donalds sells Beef burgers in PAKISTAN but does not sell it in INDIA
Brand name, Logo and Slogans Brand name, slogans and Logos should be carefully made. Since there is a Cultural and language differences
For example PEPSI “ Come alive with the Pepsi generation” When translated into Chinese, “ Pepsi brings your ancestors back from the grave” Haleeb Doodh : Haleeb also means “Doodh” so it makes “Doodh”
LAW OF MORTALITY No brand will live forever. Euthanasia is often the best solution Kodak. Gibbs. Rin. Pert+. Olwell
Novalgin Imodium Avil
LAW OF SUB BRAND What branding builds, sub-branding can destroy. Holiday Inn. Donna Karen. Cadillac. Mitchell’s.
NBP – Saiban UBL – Address SCB – Sadiq UBL – Amin NIB - Assalam
THE LAW OF FELLOWSHIP In order to build the category, a brand should welcome other brands
The competition between Coke and Pepsi makes customers more cola conscious
One of the best locations for a number-two brand is across the street from the leader. Competition also broadens the category while allowing the brand to stay focused.
For each category two major brands should be ideal The best location for a KFC franchise is often across the street from a Mc. Donald’s restaurant.
Your brand should welcome healthy competition it often brings more customers into the category.
Research indicates that 50% is about the upper limit. Federal Express has a 45% share of the domestic overnight package delivery. Coca-Cola has a 50% share of the domestic cola market.
LAW OF THE GENERIC One of the fastest routes to failure is giving a brand a generic name. The problem with a generic name is its inability to differentiate the brand from the competition
THE PRODUCT ITSELF MIGHT BE A VISUAL REALITY BUT IT’S THE BRAND NAME AND ITS ASSOCIATIONS THAT GIVE THE PRODUCT MEANING IN THE CONSUMER’S MIND
How to get in consumer’s mind? You need to reduce the essence of your brand to a single thought or attribute, an attribute that no body else already owns in your category.
Generic Names General Motors Good Milk National Foods National Panasonic International Harvester
General Motors To GM National Biscuit Company To Nabisco. General Electric To GE National Foods – Rivaj. Fruitily. Maharaja National Panasonic To Panasonic National Geographic To Nat. Geo
LAW OF ADVERTISING Once born a brand needs advertising to stay healthy
WHY ADVERTISE Maintain Leadership Use massive ad campaigns Advertise leadership.
Through advertising create… Brand Awareness Brand Image Brand Associations
Creating a difference through advertising PSO SHELL CALTEX
Advertising Kashmir Gold Surf Excel Sony Bravia Coke Slice Aamsutra Bridgestone Perrier Panadol Ashoka Achar
LAW OF CONTRACTION “A brand becomes stronger when you narrow its focus. ”
Advantages You can create a new category by simply narrowing the focus. Specialists. Extremely powerful in the category. Disadvantages Lack of variety, hence lower market share. Good things happen when u narrow the focus.
Dominate a category Microsoft has 90% of the MS of desktop computer OS. Intel has 80% worldwide market for microprocessors. Coca cola has 70% of the cola market.
International Successes Starbucks Subway Toys ‘R’ Us GAP Victoria’s Secret Blockbuster Video Comp. USA Domino’s Papa John’s Nokia
International Failures Mc Donald’s BMW Mercedes Bic
Local Successes Always Mother Care Dunkin Donuts Nando’s Jafferjee’s
Local Failures Fair & Lovely Lifebuoy Pakola LG
