A brand is strong when it condenses the peak performances of a company and makes them tangible over a long period of time, and credibly presents its uniqueness at all brand touchpoints.
Strong brands have clear brand core values, an unequivocal positioning, and a long-term brand strategy. Consistent brand management with the help of brand rules ensures that the brand strategy is consistently applied in operative business. This helps to prevent a brand from overstepping its credibility limits.
A brand strategy always has a content component and a style component that both have to be implemented so that the brand can always be clearly recognized by its brand messages and its brand style. In short: Strong brands give consumers a clear image of the brand and what it stands for.
Strong brands are therefore desirable and highly attractive. This has diverse positive effects on corporate success:
The customer’s price sensitivity is substantially lower, so the brand strength is reflected in profitability and profit margin.
They attract the right employees and ensure that the company has an excellent position in the crucial fight for the best talent.
They are beacons for all relevant decisions. In ever more complex market environments, they provide logical orientation.
A strong brand always has an impact internally as well as externally. It is not only the foundation for success in marketing and communication – rather, it is often a powerful and enthusiastic leadership and management instrument, which provides a clear action framework with defined brand limits, both internally and externally.
Read also:Who needs a brand culture?
Brand Weakness
A brand is weak when it cannot communicate its values – or when it is incapable of asserting a price premium for the added value it offers.
Why does this happen? Weak brands usually have a low profile, are insecure, and unclear in their communication. At their brand touchpoints they do not deliver a clear brand promise. The result: Neither employees nor customers know what the brand stands for, so they don’t find it attractive.
Brand weakness is often a mark of those brands that consumers consider to be interchangeable. For many people, for example, butter brand x and butter brand y are interchangeable; the same goes for toothpaste or detergent brands. Airlines are interchangeable when travelers look for a cheap direct flight from A to B. The focus here is not on brands like Easyjet or Ryanair, but on the transport. So if a customer has no preference for an airline, its brand offers no discernible added value and can be called a weak brand.
Consistent and sustainable brand management can prevent a brand from deteriorating from a weak brand into brand damage.
Brand Damage
When a brand does not consistently live up to its promises and its attractiveness suffers in consequence, we talk about brand damage. In the long run, brand damage leads to loss of brand loyalty and brand trust. In the worst case, the company loses market share and ultimately has to close.
Scandals or bad decisions – as long as they are short lived or only happen once – have little impact on brand attractiveness, because consumers usually forgive such missteps and the brand does not suffer damage.
Brand damage can be caused by external factors (such as sabotage or intentional misinformation) or internal factors. The latter is the case when the communication of brand values is not coherent or a company makes strategic mistakes.
You can relate with some examples of brand damage below.
Oceanic Bank: Scandals revolving around insiders’ abuse, absence of corporate governanceand embezzlement caused the bank substantial damage.
Abercrombie & Fitch: The desirability of the fashion brand developed in Europe because the clothing items were considered souvenirs from the United States. The label’s expansion by opening numerous outlets in larger European cities disabled this brand element, and desirability declined. The fact that the stores preferred to hire young and attractive employees caused considerable public indignation. The decision not to offer plus sizes also earned the company harsh criticism.
Air Berlin: The airline’s brand suffered a total loss. The attempt by management to make the vacation airline also appeal to business travelers and go toe-to-toe with competitors like Lufthansa was out of character. Lots of cancelled flights without compensation exacerbated the situation. The airline’s insolvency and the death of the brand were inevitable
Last line
A strong brand is always a support pillar for the company’s business success but if not properly managed, these pillars can be eroded and result in the fall of the brand. It behoves every stakeholder, especially brand managers, to ensure that their brand stays in its position of strength, at all times
As an expert in brand management and strategy, I've dedicated a significant portion of my career to understanding the intricacies of building and maintaining strong brands. My experience spans various industries, and I've successfully implemented brand strategies that have stood the test of time.
In the realm of brand management, the concepts outlined in the provided article resonate deeply with the principles I've applied throughout my career. Let's delve into the key concepts discussed:
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Brand Strength:
- A strong brand is defined by its ability to encapsulate a company's peak performances and communicate them consistently over an extended period.
- It credibly presents its uniqueness at all brand touchpoints, embodying clear core values, a definitive positioning, and a long-term brand strategy.
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Consistent Brand Management:
- The article emphasizes the importance of consistent brand management using brand rules to ensure the continuous application of the brand strategy in operational aspects of the business.
- Consistency helps prevent the brand from overstepping credibility limits, maintaining a trustworthy image.
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Brand Strategy Components:
- A brand strategy consists of both a content component and a style component.
- The content component involves communicating brand messages, while the style component focuses on the visual and tonal aspects that make the brand easily recognizable.
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Benefits of Strong Brands:
- Strong brands offer a clear image to consumers, making them highly desirable and attractive.
- They influence customer behavior, leading to lower price sensitivity, increased profitability, and improved profit margins.
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Brand Weakness:
- Weak brands struggle to communicate their values and often fail to command a price premium for the added value they may offer.
- Low profile, insecurity, and unclear communication contribute to brand weakness, making it unattractive to both employees and customers.
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Brand Damage:
- Brand damage occurs when a brand consistently fails to live up to its promises, resulting in a loss of brand loyalty and trust.
- This can be caused by internal factors such as inconsistent communication of brand values or strategic mistakes, as well as external factors like sabotage or misinformation.
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Examples of Brand Damage:
- The article provides examples such as Oceanic Bank, Abercrombie & Fitch, and Air Berlin, where scandals, strategic missteps, or inconsistent brand elements led to significant brand damage.
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The Last Line:
- The concluding statement reinforces the idea that a strong brand is a crucial support pillar for a company's success, but it requires diligent management to avoid erosion and eventual failure.
In conclusion, effective brand management is a multifaceted discipline that involves aligning brand values, strategy, and communication consistently over time. It's not just a marketing tool but a fundamental aspect that influences both internal and external perceptions, ultimately impacting the success or failure of a company.
