Thursday, October 8, 2009

Activation Strategy

The visible output of marketing, what defines our profession to most people, are mere tactics. An ad. A coupon. A promotion. A jingle. A sign in a ballpark. Essential? Yes, but inherently disposable and fleeting. However, underneath the tactics resides strategy. And if we get strategy right, it can endure and will spawn endless tactical executions that propel the brand.

In the brand architecture model I'm discussing, an activation strategy is written for each functional area of marketing. Each functional strategy starts with the positioning, lifting elements that are to be emphasized in the functional area. Next a specific strategy is developed that is relevant to the function and enables a tactical marketer to deliver the positioning.

These strategies, while self sufficient, are built to integrate completely across the marketing mix. It is key to see the collection of strategies as a whole and as individuals, much like a sports team where different players play different roles.

Most brand architectures include the following functional strategies: TV advertising, print advertising, promotion, premise marketing, product development, packaging, product aesthetics, properties/sponsorships, social media, publicity and on. Everything communicates, so don't overlook anything.

In a perfect world each functional strategy would communic
ate the complete positioning, but that is not always feasible or practical. So understand what part of the positioning can be most effectively communicated by this functional area and frame a strategy around it.

A simple template is this:

In (functional area) we will emphasize the following key aspects of the positioning (positioning elements) by (strategic choices inside the functional area).
An example:
  • "In sports marketing for Fanta, we will emphasize the "tween social fun" aspects of the positioning by only pursuing sports that are played in groups and are often at the center of tween activity (e.g., basketball, not golf). Activation will emphasize the social aspect of the brand, not personal achievement". This strategy led us to beach volleyball.
It is most marketers nature to jump to the tactic, then rationalize a strategy based on a beloved tactic. This leads to gaps in the brand architecture and often off-strategy execution. Invest the time up front and build the functional strategies and the full architecture. If you inherit a going brand, reverse engineer the architecture and see if it is strategically sound.

Brilliant tactics rarely overcome bad strategy.

Friday, September 25, 2009

Brand Architecture

All marketers are enamored with buzz words and lingo. I am not immune. But for metaphor's sake, bear with me as I discuss Brand Architecture, the blueprint for brand building.

I'm not sure who coined this phrase, but it hit my radar around 1997 as I was working with Randel (Randy) Ransom at Coke trying to deploy a new brand positioning on FANTA into 142 countries around the world. We found out quickly that a positioning statement alone was insufficient to communicate brand strategy. Since then, I have found that this is true regardless of the geography or team size. Partners need additional guidance in HOW to bring a positioning statement to life in their functional area (advertising, point of purchase, media, etc). And if you aren't working with partners, then YOU need to do this work for yourself to map out how each marketing element will be used to establish the positioning.

The problem is that even well crafted positioning statements leave a fair amount of room for interpretation or misinterpretation as the case may be. To ensure consistent execution across functions and countries, we took the additional step to build-out a robust brand architecture that included activation strategy and example tactics across the core elements of the marketing mix. This gave business partners an overall, and specific, view as to how we intended to "activate" the brand.

In this blog, we have already tackled the foundational elements of a brand architecture, specifically functional benefits, emotional benefits, brand character and positioning statement. But a complete architecture extends into an activation strategy for each element of the marketing mix. In my experience, these strategies are often used as the creative brief for each functional area.

In my next post, I will introduce a simple template for activation strategy that ensures alignment to objectives and positioning strategy.

Friday, September 18, 2009

Simple Template for Brand Positioning Statement

There are a variety of valid templates for building brand positioning statements. Below find one we used at Coca-Cola that I have modified through the years. The template is just a starting point, a recipe that almost begs to be modified to suit your tastes. That said, starting with a template ensures that all the basic ingredients are in place and that any omissions are purposeful.

Here’s the simple template:

For (insert consumer target), (insert brand name) is the (insert competitive set) that provides (insert benefits) because only (insert brand name) has/does (insert reason to believe the benefit).

  • Consumer Target: Who will use this brand (I’m purposely saying “use” not buy.) Think demographically and psychographically.
  • Competitive Set: This is the product category(s) that consumers will primarily evaluate when choosing your brand. Be as narrow as you can.
  • Benefit: Functional and/or emotional benefits need included here.
  • Reason To Believe / Proof: Why I should believe the above benefits.
  • Brand Character: I have found it works best to weave character statements into the benefit and/or the reason to be believe sections. If insufficient, at another line that states brand character.

Examples:

  • For large frame runners, New Balance 993 is the no-nonsense, performance running shoe that let’s you run pain-free. That’s because New Balance 993 with Abzorbs Cushioning is built to handle the pounding of a large frame runner so your knees and angles won’t have to.
  • For dissatisfied, middle-class Americans, Barack Obama is the presidential candidate that provides hope for a better life because only Barack Obama will bring real change to America. That’s because Barack Obama can be trusted to break down racial and class boundaries that favor the rich enabling everyone to enjoy the richness of America.

In closing, let me repeat from my previous post that positioning statements are written for business partners (creatives, sales people, engineers, marketers, etc). This is not a consumer communication. Focus on getting the language concise and clear, not clever.

Give it a try with one of your favorite brands like Starbucks, Nike, etc.

Wednesday, September 9, 2009

Brand Positioning Statement

The brand positioning statement is written to clarify your strategy and align all internal and external business partners. The positioning statement is the fulcrum of your strategy and the extended brand architecture. It sets a clear direction that all brand activity must align to. I cannot over emphasize the importance of the positioning statement. Everything in this blog thus far has only prepared us to write the positioning statement. Everything that follows will tie back to the positioning statement.

When I was a kid we had a board game called Pente. Pente's slogan was "moments to learn, a lifetime to master". Such is the art of creating positioning statements. I don't really know anyone great at writing positioning statements. Inevitably it's a trial and error, grind it out process. But for those that get it right, there is exponential reward! In the next post I will introduce a simple format for positioning statements. It will take moments to learn, and in my experience, a lifetime to master.

But before we get started, a couple of pointers.
  • Audience: You are writing the positioning statement for business associates (creatives, sales people, engineers, marketers, etc). This is not a consumer communication.
  • Concise: The fewer the words the better.
  • Clarity: The language cannot leave room for interpretation, it must be 100% clear, free of jargon and hype.
  • Positioning vs Positioning Statements: Don't lose site of the fact that positioning statements are ASPIRATIONAL by design. They are not current state. That said, the aspiration must be rooted in something that is obtainable and reasonable. Brand positioning is current state in CONSUMERS' minds (not the marketer's mind). Brand positioning is where you are, brand positioning statements are where you want to be.
  • Choosy: Great positioning statements make tough choices. They narrowly focus and avoid the temptation of overly broadening the benefit or consumer target.
  • Perseverance: Plan on this taking a while. They must be meticulously crafted, refined, checked and tested with the audience. This isn't a one day project nor should it be. This is the central load bearing wall for your brand architecture. Take the time and get it right!
Ready to write? We will attack that next time!

Saturday, August 29, 2009

Brand Character

We are moving toward construction of a brand positioning, but we need to understand the components first. Having discussed functional and emotional benefits, now it's time to discuss brand character (if you prefer, brand personality).

This is an exercise in personification. For this discussion, personification is the projection of human qualities on inhuman objects. Upbeat, empathetic, problem-solver, friendly, fun, intense, progressive, zany, cool, reliable, sincere, traditional, out-of date, old fashioned, stale, annoying, cheap, unreliable, schizo. These are all words I have heard consumers use to describe brands. Drier sheets or detergents or beverages or cars cannot by themselves assume any of these traits. It's the BRAND behind them that brings those traits to life.

Everybody claims to have brands, but few really do. Most have products. One way to measure if you have built a brand in consumer's minds (which is where all brands live, by the way) is to conduct the personification test. Ask consumers (or yourself) "If brand Z were a person what would they be like?" The strength, depth and consistency of the response will give you a great indication of whether or not you are working with a brand and what its CHARACTER is.

As a brand builder, our job is to DEFINE the brand character we want to develop with consumers. Do we want to be perceived as modern or traditional, liberal or conservative, optimistic or realistic, unpredictable or reliable? These are choices WE make, then work relentlessly to build in consumers minds. Practically speaking, these choices must tie back to the functional and emotional benefits you have already selected. (e.g., progressive brands can't rely on out of date technology.)

Most of us work with inherited brands, to begin understanding BRAND CHARACTER start by asking your consumers the personification question.

Saturday, August 15, 2009

Hierarchy of Benefits

Just like Maslow believed in a hierarchy of needs, I believe there is a hierarchy of benefits. For brand builders, the precedent benefit is the functional benefit. What is the physical function of the brand? Cleaning clothes, reducing thirst, providing energy, dry cleaning clothes, transportation, supporting feet, etc. Define what functional benefit you want to stand for first, and build from there. And practically speaking, most of us market brands/products that already exist. It's just not a practical option to start over. So understand what your brand does functionally, then proceed.

From my P&G days, Tide stood for clean, Cheer stood for color safety, Gain stood for scent. Oh they all cleaned clothes, gave them fragrance and had an acceptable level of color safety, but the brands were built off of three different functional benefit platforms. With their core functional benefit determined, they were then able to differentiate product performance through synergistic product design and communication focus. Similarly, from a well defined functional benefit, you are also able to develop a relevant emotional benefit.

Emotional benefits that are disconnected from functional benefits are inherently inauthentic. Consumers smell these for what they are, marketing over promise. A couple of current examples of over-promise: Coca-Cola: Open Happiness. McDonald's: I'm Lovin' It. I'm just not believing this. Are you? On the flip side, Apple: Think Different. Olay: Love the Skin Your In. These brands back up the emotional promise with functional performance.

For a season, I was Global Brand Manager on Fanta. Fanta is a sticky sweet, brightly colored (usually Orange), carbonated beverage. Not a thirst quencher, it's too sweet. It's liquid candy. Our emotional benefit was a sense of belonging that emerges from fun times with friends. Why? Because the marquee consumption occasion for Fanta was fun social environments for tweens. Is Fanta a cool hip teen/young adult brand? No. It has no credibility in that world, partly because its intrinsic properties keep it from ever being taken too seriously.

So, figure out the functional benefit first, THEN define a believable emotional benefit.

Thursday, August 13, 2009

Emotional Motivation: Group vs Self Identity

This is the third in a series of posts on Emotional Benefits, you may want to start at the beginning of the series for context.


To pick up from the previous post, we are all motivated by the goal for self actualization, but self-actualization can only be achieved after we have met our "social needs" and "esteem needs". Social needs refer to our desire to belong, to have friends, to be in a group, to have community. Esteem needs refer to our desire for self identity, self respect, and independence from a group. Group identity vs self identity. The emotional benefit of any brand "ladders" up to these higher order needs.

Before we go further, let me clarify that this discussion is in regard to foundational brand architecture and is several steps removed from a tactical marketing vehicle (advertisement, promotion, packaging, etc). Between this discussion and a marketing vehicle, lies a communication strategy & brief, and a creative execution that translates the strategy into consumer compelling language.

So we are at the 40,000 feet strategy level and we are trying to determine what do consumers receive from my brand emotionally. Does it deliver a feeling of belonging for consumers or self identity? Let's complicate matters by saying that the answer will depend on the value system of your target consumers, the functional properties of your brand, the level of consumer engagement with the category and competition.

Let's use an example to illuminate: personal computers. High engagement category due to cost and heavy use. Lots of brands/products, but few with very strong identities. Going back to their landmark TV ad 1984, Apple has been encouraging consumers to break from the herd for 25 years. To step beyond the group, to think differently. Even today, PCs enjoy a dominant market share over Apple, but Apple has found a healthy niche by not catering to the norm, but daring consumers to step beyond it.

But remember, there have been times when Apple faltered. This can be tied primarily to their products inability to deliver "difference" in performance. In my opinion, Apple is the only personal computer brand that understands the emotional aspect of branding. Dell? Compaq? Sony? These guys stand for nothing but functional benefit and none seem capable of delivering differentiation on functionality. Now Apple is doing it to smart phone rivals.

One observation for closing. Most successful leadership brands tend to gravitate toward BELONGING benefits, while their successful pursuers tend to deliver SELF IDENTITY. Coca-Cola is a classic leader brand which at times has even promised to unite the world. While I was at Coca-Cola in the late 1990's, Coke's ALWAYS positioning attempted to ladder up to social needs. Sprite (also owned by Coca-Cola) strongly positioned against brand Coke encouraging consumers toward individualism and self expression by proclaiming OBEY YOUR THIRST. (Note: This positioning was extremely successful for Sprite in most western cultures, but struggled in eastern cultures where the value of self expression is subdued).


In my next post we will bring all this in for a practical landing, until then.

Tuesday, August 11, 2009

Emotional Needs: Hello Maslow

This is the second blog in a series on Emotional Benefits click to read previous.

Brand builders continue to primarily rely on Maslow’s Hierarchy of Needs as a conceptual framework for understanding the motivation of their consumers. In a nutshell, this model proposes that all emotional needs “ladder up” to our ultimate pursuit for self actualization. Read more here.

A fair amount of academic debate continues on what the hierarchy looks like after physiological needs are met. The debate doesn’t center on the ultimate goal of self-actualization, but whether there is a standard hierarchy that ladders to self-actualization. I tend to side with Maslow, thinking that the pursuit of self respect and self esteem emerges after we have satisfied the need to belong and have gained self-confidence at that level.

Practically speaking, I’m not sure order hierarchy matters as much to marketers, as the understanding that “social needs” and “esteem needs” are both powerful motivators of human behavior. That said, brands that use emotional benefits that ladder directly to “social needs” are probably working a lower order need, than those pursuing “self esteem” needs.

Brands focused against meeting “social needs” are basically saying, "use brand x and you will be liked and accepted by people you value." Brands focused on “self esteem” needs are basically promising, "use brand x and you will like yourself and not sacrifice self respect just to “fit-in” with people you value."

Deciding where to position your brand depends on your product functionality and your consumer target. More on this determination in my next posting.

Saturday, August 8, 2009

Emotional Benefits

When consumers interact with a brand, there is an emotional consequence. Brand failure, even in the most insignificant categories, can cause frustration, anger, even embarrassment. Brand success can lift spirits and turn a bad day around. What’s interesting is these emotional consequences are often not just directed at the brand, but at the user. Ever felt like a sucker for buying a brand? Ever felt more confident about yourself when using a brand?

As a brand builder, the goal is to marry your brand to a positive emotional experience that enhances the user’s day and their self opinion. In short, interaction with this brand makes me feel ______. So when I want to feel that way, I reach for the brand. This is the essence of the emotional benefit.

Unlike with functional benefits, it is often much easier to differentiate your brand with its emotional benefit. When I was a boy, Nike and Adidas were functionally marketed brands with little differentiation. Nike figured out the emotional benefit of running (and fitness in general) to its users, and the rest is history.

In the coming posts, we will unpack emotional benefit development. While functional benefit remains precedent to emotional benefit in my opinion, it’s the MARKETER that is typically the author of emotional benefit strategy. Net, this is where we earn our keep in brand construction.

Tuesday, August 4, 2009

On Performance

When evaluating performance, marketers often make two mistakes: (1) relying solely on technical testing to evaluate performance & (2) too narrowly defining the performance window.

Most marketers trying to make a superiority claim end up spending an inordinate amount of time with their legal department. The legal department requires technical proof that a product performs significantly better on a performance dimension (e.g., cleans better) than competition. Elaborate test are concocted and conducted to validate this performance, many of which are built to favor one brand over another. And in the end, it can still be irrelevant. Why?

Technical superiority is irrelevant if the consumer cannot tell a difference. Great brands are not built on false claims. If you claim to be superior, the consumer must recognize and experience the superiority. In building a brand on performance superiority, go the extra step of testing consumer perception of performance. Product development teams HATE this, because it raises the bar. But in the end, who matters? A lab tech, a lawyer or your consumer?

The second mistake is to too narrowly measuring performance. Brand experience begins even before purchase and ends with disposal. If you are going to claim superiority you have to understand the entire experience cycle and measure performance across the cycle. You may not have superiority in all aspects, but are you deficient anywhere? Is it important to overall experience? It's not about making the technical claim, its about perception.

In reason years packaging has become an increasingly important component of brand experience. Package design, functionality and environmental impact can significantly influence experience and perception. For years packaging was something to be cost optimized and standardized. In some categories, packaging has become a key secondary point of consideration.

Superiority is a very powerful platform, but difficult to achieve and maintain. If you make this claim, be sure you fully understand how the consumer evaluates the brand and make sure they experience superiority. Great brands are not built on lies.

Friday, July 31, 2009

Competitive Set

Consumers make choices. Either consciously or sub-conciously, before they use your brand, they consider their options.

And let's be clear, this isn't just about purchase, it's about use. Once they buy, they still have to decide to use. And this is important because it's only after use that they can reward you with...repurchase.

Stories of brands that failed to understand their competitive set are legion. Oh most of us understand the core-category competitive set (who is next to us on the grocery aisle). It's the cross category set that blindsides you. Coca-cola and water. Primetime TV and facebook. Music and video games.

A great place to start understanding your true competive set is understanding usage occasion. Most brands have various usage occasions, not just one, so they have different competitive sets. Understanding consumer behavior inside each of those occasions is key and may allow you to better pick your battles. And this understanding will evolve with time. One key consumption occasion for recorded music (CDs) is driving/riding in a car. For decades, competition was limited to radio. Today telephone calls and texting are the strongest competitors.

And it's not enough to know who the competitors are, but what are the factors that drive choice among the competitors? Example, guys that listen to sports talk radio in the car. One usage occasion competitor is "work related cell phone calls". So what happens when the economy tanks, business goes sour and job security goes down? Guys work harder, spend more time on their phones chasing business. Sports talk usage goes down. It's not about JACK FM, its about the jacked economy.

It's not always easy to understand what to do against your cross category competitors, but you have to understand who you are fighting against to win the battle. As a marketer, your challenge is that most in your organization will fixate on core category competition. This is typically driven by the need for short term sales results, but fails to see the forest for the trees.

So who is your competitive set?

Monday, July 27, 2009

Functional Benefits

Unlike Seinfeld (the show about nothing) brands are about something. To have value, they must have benefit. Ultimately, the consumer asks, "What's this do for me?"

Brands deliver functional and emotional benefits to their users. Both are essential, but I believe the functional benefit is precedent in brand building. Everything else builds on this decision and no amount of marketing overcomes a mistake in this area.

Brands exist inside competitive sets or categories, and often sub-categories. These categories typically have a core functional benefit, maybe more than one. They are the price of entry. People buy detergents to clean clothes. People drink soda because they are thirsty. They eat when they are hungry. They buy pet food their pet will eat. You may or may not be able to differentiate around a category's functional benefit, but you better be competitive.

Which brings us to product performance. As a marketer, you must know the truth about your brand's performance compared to competition and compared to consumer expectation. No amount of trial overcomes lousy performance.

So within your competitive set, what is the core functional benefit(s)?

Sunday, July 26, 2009

Why Iron & Chrome?

I'm fond of analogies. This one has to do with brand construction.

Too many marketers spend their time only on the chrome finish. They ignore the essential "ironwork" that is required to build a brand for the long term: Consumer Understanding. Product Understanding. Consumer Insights. Vision. Positioning statement. Strategy Archectiture and on. Instead their days are spent on the shiny tricks and tactics that lure consumers to evaluate the brand. The "chrome" that masks the shotty, haphazard construction underneath. They are all about trial, but never build loyalty.

Great brands have both, iron and chrome, and both are essential for enduring success.

Twitter / davidcrace