Posts Tagged ‘Branding’

Like sustainability, branding needs image change

A new study indicating the recession has crowded out concern for the environment prompted the New York Times to ask: “Is ‘thinking green’ an economic luxury?”

Uh, yeah. Not that it should be. If ever there was an economic necessity it would be to think green and adopt sustainable practices. But that’s just me speaking. My professional niche is sustainable branding, so I see business through the lens of sustainability. Plenty of recent studies show the continued gap between intention and action on sustainability among individuals and businesses. Neither thinking nor acting green is considered essential.

Like sustainability, branding is viewed as a luxury by most in business. Ironically, that’s farthest from the truth in lean times like these. When acquiring and keeping customers is hardest, a business can least afford to ignore what creates competitive distinction and customer relevance — namely, its brand.

Branding’s image problem

Branding suffers from an enduring image problem. Mention branding, and dollar signs come to the minds of most executives. In a recession, that’s a show-stopper. The problem is branding is equated with design, advertising, marketing communications — all of which cost money. But brand promotion is only part of the branding equation — the most expensive part.

Yes, at some point, you have to build brand awareness, preference and loyalty. And that requires a financial investment in marketing. But the most essential components of building your brand — defining what it is and baking it into your culture, operations and products — are really just best management practices.

Branding is little different from other standard best practices, such as developing financial budgets, employment policies or product development plans. Sure they take some time and money to produce, but that’s simply the requirement of being in business, no matter the economic climate. So it is with branding.

When businesses declare branding a luxury they can’t afford, they are unwittingly saying, “We aren’t going to take the time to decide who we are as a business, what we stand for, what makes us distinct and why we matter as a company. And we’re not going to worry about whether we as managers and employees are keeping our promise as a business to customers and all our other stakeholders.”

Consequences of brand neglect

I used the word “unwittingly” because I don’t believe most business executives understand the consequences of neglecting their corporate brand until more prosperous times return.

It’s one thing to slash advertising budgets or postpone the redesign of the firm’s visual identity. It’s quite another to lose sight of what makes your business distinct and relevant now, today, in an economy fundamentally different from just two years ago. Or to postpone accountability for whether your business is consistently delivering the customer experience you promise.

From the inside looking out, your brand is your over-arching promise to stakeholders. From the outside looking in, your brand is the image stakeholders have of your business, based on direct experience or word-of-mouth. Any business with customers or employees has a brand image. The question is whether the business understands and cultivates that image or leaves the task to others, such as competitors who are only too willing to tell your story for you.

At its most basic, branding means ensuring the experience aligns with the promise. That’s not accomplished by simply spending more money on clever advertising or glitzy marketing events. Much more important is being clear about what your promise is as a company and how your employees, products and practices deliver on it day after day, regardless of the economy.

Branding as necessity

Seen from this perspective, branding is no luxury. And it doesn’t have to be about spending big bucks. What it does require is time and commitment from senior leadership to ensure the brand:

  • firmly establishes competitive distinction and customer relevance
  • is understood and fulfilled across the company
  • is positively perceived by customers, employees and other key stakeholders

Branding is an all-company, everyday exercise in earning and keeping customers and creating competitive advantage. When times are toughest, attention to your brand becomes more crucial than ever.

Does branding need to be on your list of business necessities? If so, I invite you to get in touch and explore how to make that happen.

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There’s no disguising an unsustainable business

Apologies to the duck, but if it looks like an oil company, drills like an oil company, and speaks like an oil company, then it’s probably an oil company. And no amount of green costuming can disguise its true brown nature, especially when the promise of its “product” is now a potential ecological and economic disaster.

In the past decade, BP has positioned itself as a progressive global corporation — beyond petroleum, it would have us believe. In reality, it’s a gigantic oil company that, despite its energy diversifications, is determined to keep feeding our insatiable carbon appetite and making billions for it and its shareholders along the way.

To BP and any other business in an inherently dirty industry, spare us the green preening. A fossil fuel business is not sustainable, OK? 

If only BP would be so honest. Instead it continues to lead with a brand — symbolized by a logo inspired by the Greek god of the sun and bathed in pastoral green — that implies its core value is sustaining life for the planet and all its inhabitants.

Branding consultant Lisa Merriam tells it like is:

“The much-admired green sun BP brand died this week. This is a brand that never left the marketing department. No matter what they said the company stood for, they never lived it. Despite all those smug ads about wind farms and being ‘Beyond Petroleum,’ this shows they are just like any other oil company — their green brand is as dead as all of the wildlife washing up on Louisiana shores.”

While I side with Merriam on this one, the reality is BP’s green reputation hasn’t been warranted for some time, if ever. In April 2008, Sustainable Industries magazine, citing an anonymous source, reported:

(A) top-down decision has been made to pull away from touting any “green” initiatives in the media, and in fact major “green” advertising buys have been canceled. Recent press releases focus not on alternative energy successes as they did in (former CEO Lord) Browne’s time, but on BP’s ability to keep pumping oil, maintain its oil reserves and safely conduct deep-water oil drilling.

A look at the advertising BP features on its website seems to bear this out. Beyond petroleum isn’t an environmental message; it’s an energy security message, as copy in this current BP ad illustrates:

To enhance America’s energy and economic security, we must secure more of the energy we consume. That means expanding the use of wind, solar and biofuels, as well as opening new offshore areas to oil and gas production.

BP doesn’t tout alternative energy sources to help reduce global warming — an environmental message. In fact, it clearly is trying to sway public opinion in favor of allowing more offshore drilling — a decidedly non-green initiative.

While BP isn’t hiding its desire to extract and sell lots more oil, it wants to have its cake and eat it, too: lead with energy security and have us believe it also cares about the environment. Consider this BP advertising headline, “Hydrocarbons and low carbons living in harmony.” Right. And Monsanto has some genetically modified seeds to sell you organic farmers.

BP’s website has the obligatory environmental and society sections, giving the impression of their planetary concern. But look closely at BP’s statement on sustainability:

At BP we define sustainability as the capacity to endure as a group, by:

  • Renewing assets
  • Creating and delivering better products and services that meet the evolving needs of society
  • Attracting successive generations of employees
  • Contributing to a sustainable environment
  • Retaining the trust and support of our customers, shareholders and the communities in which we operate.

Hardly the rhetoric of a company committed to advancing social and environmental health through its company operations. What it tells me is BP cares most about staying in business — “to endure as a group.” The closest it comes to an environmental promise — “contributing to a sustainable environment” — is so vague as to be laughable.

BP’s two-faced approach should not be dismissed as just another instance of greenwashing. It feels more insidious, a cleverly disguised deceit on a global scale. Its incessant search for oil — even in 5,000-foot waters in the Gulf of Mexico — puts BP anywhere but “beyond petroleum.” In the name of “energy security,” BP is willing to risk the kind of ecological calamity now threatening the Gulf region. That is not a risk a sustainable company takes.

The day BP stops drilling is the day I’ll start listening. Until then, let’s make no mistake about the kind of company BP is.

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Who knew you couldn’t push a tequila around?

Brands are symbols or images of products, companies and people. But people they’re not.

You wouldn’t know it by listening to most consumer marketing types. Here’s a PR executive explaining in PRWeek this month how “brands” can have a “legitimate place” on social networking sites: “Offer things people want or need…Be transparent and reassuring…Listen.”

Hmm, I thought that’s what people were for.

Or how about this marketing executive for a beverage brand whose company just hired an ex-Sopranos star as a commercial spokesman:

“Michael Imperioli represents the 1800 Tequila brand perfectly…Just like 1800 Tequila, he’s not going to be pushed around. He tells it like it is.”

Say what? Your tequila is not going to be pushed around? Sorry to break this to you, but if it tastes good, it will be pushed from one end of the bar to the other.

Still, I get her point. Her tequila symbolizes something: toughness, straight talk. At least that’s the idea. It’s not the tequila that doesn’t get pushed around. It’s you, the drinker. You drink it because you’re a Wise Guy, or so you want others to believe.

The exec should have said something like, “Michael is like my customer; he’s not going to be pushed around.” People who make, represent and consume her product may stand their ground. But her product is alcohol. Its toughness is gauged by its alcohol content or by how hard it is to swallow. Not its ability to stare down a rival.

Brands are images or associations that float about in our brains. The association with a beverage could be “don’t mess with me” or it could be “man, that tastes like @&#!” A brand can apply to a person (e.g., Michael Jordan), but, please, a brand is not a human being. No tequila is going to “tell it like is” — although a person might, after a shot or two.

What does any of this have to do with sustainability? The practice of sustainability asks us (not our brands) to be transparent, authentic, genuine in how we do business. No more hiding behind a carefully cultivated brand image or letting our brands do the talking for us (as if they could).

Branding a sustainable business is about real people and their real stories in making, selling, buying and using products or services. Brand image isn’t manufactured through celebrity cool. It’s earned through real businesspeople taking a stand for a more sustainable world — and then delivering. You want tough? That’s tough.

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Thursday, September 17th, 2009
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Looking for the brand among all the branding

I left a day-long conference on branding this week inspired in several new directions. But I couldn’t shake a nagging question: In our fascination with the new tools of branding are we forgetting what we’re supposed to be building—namely, the brands of our businesses?

I found inspiration in the material of several speakers who persuaded me the latest mobile devices we otherwise call cellphones are a cultural game changer. I don’t think it’s a stretch to say their impact will be as great as radio, television, personal computers and the Internet were when they emerged on the scene. I understand why marketers are salivating at the prospect of turning these smart devices into conduits for branding and promotion. The conference also deepened my appreciation for the branding possibilities of social media. One presenter says they’re transforming our customer dialogues into “multilogues.”

Lost in all the buzz this conference and others like it generate around mobile and social media and other leading-edge branding techniques is the brand itself. We seem to be taking the brands of our businesses for granted. We assume our businesses have a clear, shared understanding of what we stand for and what makes us different and relevant. So rather than concern ourselves with the basics of the brand, we obsess over how to use the hip branding tools du jour, such as Facebook, Twitter and iPhone apps.  

As marketers, we can’t afford to confuse branding with the brand itself. Branding is doing, brand is being—it’s who we are as a business. It’s easy to let the doing of marketing consume us, especially when there are far more cool ways to connect with customers than ever before. We get into trouble when our eagerness to deploy compelling technology blinds us to why we exist and who we are as a business or brand. These fundamental questions of being are unchanging, whether for humans or for human organizations. They’re also questions many businesses and marketers avoid. They require a period of introspection and reflection that many businesses feel they can’t afford. They’re moving too fast, they tell themselves.

Or perhaps the existential questions of purpose and meaning make us uncomfortable—what if we discover there’s no there there in our business? So as marketers we busy ourselves with the doing, the branding. And we add the likes of Twitter, Facebook and mobile marketing to the still unfinished business of perfecting blogs, websites, webinars and other digital channels. We end up building brands in the way improv artists make up the story as they go along. The process may be entertaining, but the resulting brand is purely random.

In the immortal words of Yogi Berra, “If you don’t know where you are going, you’ll probably end up someplace else.”

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The endless lengths marketers go to get us to buy

Recession be damned. If there’s a way to get people to part with their money, by God, marketers are going to discover and use it. Today’s example? Neuromarketing.

Apparently there’s no recession in Martin Lindstrom’s business, Buyology, Inc. His firm takes its name from his book “Buyology: Truth and Lies About Why We Buy.” Consumer products companies are flying him around the world to learn what he knows about what Marketing News calls “the last frontier of marketing research: the consumer’s subconscious mind.”

Lindstrom’s book, published in 2008, sets him up nicely as an expert on neuromarketing, which he says “is to use the latest brain science to understand the consumer’s behavior.” Or as his book title says, “Why We Buy.” (I confess I haven’t read it.)

Nobel Peace Prize winner and neuroscientist Eric Kandel has said the ultimate remaining challenge of the biological sciences is to “understand the biological basis of consciousness and the mental processes by which we perceive, act, learn, and remember.” In the last five years or so, this pursuit has spawned neuromarketing.

Just as marketers teamed with psychologists after World War II to create the field of consumer psychology, the largest brands are now looking to harness the methods and technology of neuroscience to study our brain responses to marketing stimuli. Neuromarketing is just the latest chapter in a long history of marketers learning to produce better and better-targeted marketing messages that will lead us to buy.

What struck me most about Lindstrom’s interview in the latest issue of Marketing News (no article link available yet) is this comment:

“My intention was to write a book so, hopefully, the whole world could engage in a debate and say: ‘Are we going too far? And if we’re going too far, should we have regulations around this?’ Now, here’s the bad news on this one. The ethical debate has not appeared so far.”

Lindstrom is right. There’s been no debate. But he’s not going to be the one to spark it, given he claims to work with 17 of the world’s largest brands, 12 of which are using neuromarketing. His vested interest is in seeing this new field flourish, not in drawing attention to its questionable reason for existence.

I would love to see a thorough debate of neuromarketing. Just as I’d welcome a public debate on the ethics of word of mouth marketing. But my concern is less with neuromarketing itself than with what it says about the marketing industry: Will there ever be an end to the lengths marketers will go to get us to buy? After neuromarketing, what’s next? Cloning loyal consumers of our brand? If you want some answers read journalist Lucas Conley’s superb book, “Obsessive Branding Disorder.” Or if you’re intrigued by neuromarketing, read the blog.

If humans hope to have a sustainable future, they must consume less. A lot less. A recession is one way to put a stop to buying. A better way is for the choice to be voluntary. What the world really needs is to understand how to trigger or train the subconscious mind to reject the marketing stimuli that entice us to buy more crap we don’t need and can’t afford.

Here’s a book waiting to be written: “DoNotBuyology: Truth and Lies about Why We Shouldn’t Buy.” If you write it, I’ll buy it. No MRI required.

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Friday, March 6th, 2009
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Posted in Books, Business & Economics, Communications, Consumerism, Marketing, Sustainability | Comments Off on The endless lengths marketers go to get us to buy

Marketers’ choice: ‘Lead, follow, or get out of the way’

Consumer spending is falling fast. While that’s bad for the economy, it’s good for the environment. Excessive consumption produces waste and pollution streams that are destroying our planet. The question now is how are we going to respond to the economic crisis at hand. If our elected officials and business leaders seize the moment, the consumption downturn will ignite a movement that saves our economy and our environment for generations to come.

And maybe, just maybe we marketers will heed the call to help lead the way.

In the near term, an environmental benefit will be of little solace to those whose jobs depend on consumer spending, which is to say most of us since consumer spending comprises nearly two-thirds of our economy. It’s all-but certain the current financial crisis will slip into an economic recession, perhaps as rough as any we’ve experienced in decades.

As painful as the near future may become, the glass half-full view reveals the opportunity ahead. Financier George Soros explains:

You see, for the last 25 years the world economy, the motor of the world economy that has been driving it was consumption by the American consumer who has been spending more than he has been saving, all right? Than he’s been producing. So that motor is now switched off. It’s finished…You need a new motor. And we have a big problem. Global warming. It requires big investment. And that could be the motor of the world economy in the years to come.

Over consumption, made possible by easy access to debt, explains much of the financial mess we’re in today. And a consumer economy, stoked by cheap, abundant fossil fuels, is a principle cause of global warming. In the end, reliance on consumer spending is both bad for the economy and bad for the environment. Other than that, it’s great.

What makes the coming elections so critical is the next president and Congress will decide whether we as a nation will fundamentally change the underpinnings of our economy. If we simply find new ways to prop up our consumption-based economy, we will hasten the day of reckoning that climate change requires. If we embrace the environmental and social challenges of climate change as the economic opportunity of our times, we can all look toward the future with hope.

For marketers, the opportunity is to finally begin leading the world in the right direction. If “the motor of the world economy” has been consumption, the fuel has been marketing. Marketers create awareness and demand for goods, services and ideas. The problem is we’ve used our talents overwhelmingly in support of unsustainable economies, employers and clients.

But that can change. Imagine if we were to unleash our creativity and persuasive abilities in service to freeing our economy from dependence on fossil fuels and mindless consumption. I’m convinced the impact would be both enormous and swift for our climate, environment and economy.

I don’t know whether the collective parts of the marketing industry — branding, advertising, PR, direct marketing etc. — are up to the task. The industry is so deeply enmeshed in the profitable, but dead-end ways of consumerism. So be it. The train is leaving with or without us. In the words of Thomas Paine, our choice is simple: “Lead, follow, or get out of the way.”

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