Greg Kitzmiller06.01.05
Branding: More Than a Name
Branding is far more complex than most realize.
By Greg Kitzmiller
Few question the power of branding. However, many seem to think it involves placing a name on a product along with some elements of design and communicating those to the public. What they fail to realize is that branding is far more complex.
Projection does not Equal Perception
There are a large number of key elements that affect a brand, some internal and some external to a company. Each of these elements influences how a firm projects its brand and how the consumer perceives the brand. It is important to realize that there is often a tremendous distance between projection and perception.
A case in point is the popular Alka-Seltzer brand in the U.S. There was a time when it was seen as “old fashioned” partly because it fizzed in a glass of water and many knew their grandmother had taken it. It was also strongly associated with either a stomachache or a hangover. Believe it or not, the producer of the product had solid evidence that it could deliver a medicine similar to aspirin that was absolutely safer to the stomach and could prevent forms of heart trouble. However, because of the filters that existed between brand projection and brand perception, it was nearly impossible to get consumers and even healthcare professionals to think about the brand in a new and different way.
Don’t Neglect the Background
Another crucial aspect of branding is establishing identity. The brand identity must embody the brand’s background, principles, purpose and ambitions (Sicco van Gelder, Global Brand Strategy, 2003). An example of this is the Gatorade brand. It would not be what it is today if it had not been developed specifically for sports. Secondly, it helped that it was associated early in its branding with the National Football League in the U.S. Even though Gatorade is excellent for replacing fluids when children have diarrhea, attempts to promote it in this respect have failed because of its sports heritage. In fact, it was easier for another brand—Pedialyte—to sell such a formula because its foundation was in the infant formula business. Consumers know the heritage of brands and any variance usually strikes discord.
Some brands rely on their founders to carry their identity (think Walt Disney). Other brands rely on where they are founded (think SoBe or the South Beach Beverage Company in Florida). And yet other brands can be associated with values (think Ben & Jerry’s ice cream). In the case of Ben & Jerry’s, it would be completely out of character for such a brand to extend into an area that runs counter to its values. Everything that relates to the brand should relate back to its identity in some way.
In the nutraceuticals arena, brands with a heritage in natural medicine cannot and should not easily cross into synthetic chemical products without muddying the perception of the brand. Furthermore, brands with Chinese medicine in their background will likely not be able to combine with Ayurvedic ingredients.
Branding does not Exist in a Vacuum
The world the brand lives in influences the brand tremendously and must be carefully considered. There is a huge difference between cosmetics sold in a department store and those sold in drug stores. As department stores continue to wane, companies must think about how their brands will be distributed in 50 years—they would likely lose their image to a degree if they are one day sold in Wal-Mart or Walgreens, for example.
Mr. Van Gelder calls these brand conventions, including media and distribution conventions. These conventions exist without the brand but how the brand uses these changes the perception. Clearly those involved in dietary supplements have realized that separate brands are needed for the mass market versus the natural products channels. Other brands are created just for healthcare providers and still others for multi-level marketing or Internet sales.
This becomes even more challenging as brands become global. There may be tremendous efficiency in having one brand in multiple national markets. However, taking into consideration what the name stands for, the slogan, how all of it translates and how the brand’s background fits into a different culture is very important for success. Coca-Cola used different versions of Chinese characters to represent its famous beverage product in China until it found the current combination that conveys a feeling of happiness, while sounding like “co – ca – co–la.”
There are many examples of brands with different convention appeals on different continents, such as Heineken or Fosters, which are, at best, average beers in their home countries, but at the same time are seen as upscale imports in other markets. Thinking through all of the elements that influence the brand can help formulate a success plan. Twenty years ago the Germans and Dutch seemed to get vitamin supplementation from juices and effervescent tablets dissolved in water. More recently, however, other delivery forms for supplements like tablets have increased in sales. In fact, the Centrum multivitamin brand is packaged and positioned the same way in the Netherlands, as it is in the U.S. Obviously, Centrum has been able to successfully cross borders and cultures.NW