WHY BRANDING IS IMPORTANT

And how to take it to the next level

WHY WE SHOULD LOVEBRANDING

Branding forces management to articulate, plan and manage what they want the brand to achieve for the organization over the next 3-5 years, relative to customer growth, revenue and profit contributions.

(1 reason)

Brand Consumers

Company

Information & input

Innovation & execution

Value & relation-ship

Profits

WHY WE SHOULD LOVEBRANDING(the other, more important, reason)

“Heuristics”

iPod

vs.

Zun

e

Maybank vs. CIMB

Toyota vs. Honda

RAM vs. processor speed

Firefox vs. Safari

AirA

sia

vs. M

AS

Bangsar vs. Damansara Heights

PAS vs. BN

Digital vs. traditional

Football vs. futsball

Bold vs. italic

Starbucks vs. Coffee Bean

Sales vs. profitability

Small wedding vs. exotic

honeymoon

Web 1.0 vs. Web

2.0

“Buyers make most decisions by relying on their two-second first impressions based on stored memories, images and feelings.”

Blink: The Power of Thinking Without ThinkingBy Malcolm Gladwell

“Because brand-influenced heuristics impact buyer decision-making, companies with strong brands often have better financial perform-ance. The heuristics used by potential buyers lead to greater access, shorter sales cycles, lower price sensitivity, better openness, and more forgiveness for mistakes for well-branded companies.”

Business Market Management: Understanding, Creating, and Delivering Value

By James Anderson and James Narus

RULES

Baby

EMOTIONSome Japanese women put off having a baby until they can buy a Louis Vuitton handbag

SALE!

B = T + V + E

SALE!1. Price is the only way to differentiate

from competition2. During last phase of product cycle3. New product is being introduced