Quite a lot happening just in the top 10 this yearCoca-Cola retains its top spotApple continues its meteoric rise with a jump to 2nd place up from 8thRepresenting perhaps a changing of the technology guard, Google overtakes Microsoft for the first timeNew entrants into the top 10 are Samsung, another company seeing the value of it brand rise significantly due to its success in consumer electronics, and Toyota, continuing to recover from its product recall disaster of 2009 and 2010
UPS+ 4%13,088 $mProviding well-designed furniture at affordableprices, IKEA is the world’s largest furnitureretailer. In the past year, IKEA kept close tocustomers, furthered green business practices,and remained competitive in spite of risingmaterial costs. IKEA also doubled its Facebookand Twitter followers and created the SharedSpace website where customers can post picturesof rooms they’ve redecorated. IKEA is alsoenhancing customers’ brand experiences bydeveloping a take-back program for usedfurniture and innovating a new furniture linethat seamlessly integrates consumer electronics.The brand is also leveraging the credibility earnedfrom designing furniture for the urban dweller todesign and build entire urban neighborhoods,doing its part to solve the affordable housingshortage. Though IKEA was criticized this year forclear-cutting in old-growth forests, it has astrong sustainability record overall. IKEA now has17 stores powered by solar panels in the US, and awind turbine project currently underway inSweden will soon power all IKEA buildings andoperations in its native country.
Combining brand analysis with a financial model of thebusiness allows us to arrive at a single measure of thebrand’s contribution to business results. Brand value.$ % B 1. Financial 2. Role of 3. Brand 4. Brand analysis Brand Strength Value Financial forecasts Shows where Diagnostic tool A single form the foundation investment in measuring brand measure of the of our valuation brand will have performance brand’s the biggest impact relative to contribution to competition business results
“A brand is a living business asset, brought to life across all touch pointswhich, if properly managed, creates identification, differentiation and value”
Purchase decisions are never exclusively based onfactual evidence Style: Hooded Sweatshirt vs. Style: Hooded Sweatshirt Material: Cotton Material: Cotton Features: Front Pocket Features: Front Pocket Brand: Nike Brand: Mass private label Price: $49.99 Price: $10.99
The brand plays a key role in purchase considerations Total Purchase Decision Apparel Purchase Considerations Brand Fit X% Features Price Material Style
RBI 100% 10% 20% 30% 40% 50% 60% 70% 90% 0% 80% Luxury Beverages Alcohol Role of brand by industry Sporting Goods Restaurants Source: Interbrand Best Global BrandsHome Furnishings Media FMCG Apparel Automotive Tobacco Electronics Internet Services Brand is important for every industryBusiness Services TransportationComputer Software EnergyFinancial Services Diversified
Your brand drives current and future business value Drive choice Generate revenue Command a premium Increase margins and profitability Secure loyalty Build market share Indirect benefits Reduce operating costs
From this: Finance HR Sales Brand Traditional Business Marketing Strategy communication Strategy Manufacturing/ retail operations Distribution R&D Your Brand – an element of your communications strategy
To: The central organizing principle Finance HR Sales Business Brand Marketing strategy strategy Manufacturing/ retail operations Distribution R&D Your Brand – one vision that drives business performance, culture, experience and attitude
The brand lives in all touch pointsPRODUCTS AND SERVICES PEOPLE AND BEHAVIOUWhat sorts of products What sort ofand services should the skills and qualitiesbrand offer? What is are we looking for? How dothe nature of our want our people to behave?service style or offer? Brand PropositionHow do we want our What is the key messageenvironments to look we want to communicate?and feel, both What channels should wephysically and use?virtually?ENVIRONMENTS AND CHANNELS COMMUNICATIONS
Products and services People and Behaviours DOWNTOWN AT NIGHTEnvironments and channels Communications
Products and services People and BehavioursGuest recommendations Download city guides to read on the flight Attention to detail- Informal and relaxed The knowledge – our staff on-brand bathroom discussion with the amenities concierge In the know Environments CommunicationsThoughtful localamenity/gift with story Valuable mini city guides Self service kiosk to go in the rooms Book of city facts
ClarityClarity internally about whatthe brand stands for in termsof its values, positioning andproposition.Clarity too about targetaudiences, customer insightsand drivers.Because so much hinges onthis, it is vital that these arearticulated internally andshared across the Is the business clear on whatorganization. the brand stands for?
CommitmentA measure of an organization’sinternal commitment to orbelief in its brand.Commitment is the extent towhich the brand receivessupport in terms oftime, influence andinvestment. Is the brand being considered in your business decision making?
ProtectionHow secure the brand isacross a number ofdimensions: legalprotection, proprietaryingredients or design, scale orgeographical spread. Can the business protect the brand and what makes it special?
ResponsivenessThe ability to respond tomarket changes, challengesand opportunities. The brandshould have a sense ofleadership internally and adesire and ability to constantlyevolve and renew itself. Is the business responsive to changes in the market and customer needs?
AuthenticityThe brand is soundly based onan internal truth andcapability. It has a definedheritage and a well groundedvalue set. It can deliveragainst the (high) expectationsthat customers have of it. How can your business build brand authenticity?
RelevanceThe fit withcustomer/consumerneeds, desires, and decisioncriteria across all relevantdemographics andgeographies. Is your brand clear about who it is targeting? And is it addressing their rational and emotional needs?
DifferentiationThe degree to whichcustomers/consumers perceivethe brand to have adifferentiated positioningdistinctive from thecompetition. What makes your brand different and better than the competition?
ConsistencyThe degree to which a brand isexperienced without fail acrossall touchpoints or formats. Can your business deliver an engaging brand experience across all touch points?
PresenceThe degree to which a brandfeels omnipresent and istalked about positively byconsumers, customers andopinion formers in bothtraditional and social media. Is your brand in all parts of your target consumers lives?
UnderstandingThe brand is not onlyrecognized by customers, butthere is also an in-depthknowledge and understandingof its distinctive qualities andcharacteristics. Are you clear what you want to be known for?
Key elements for building brand value1. Recognise the importance of the brand2. The brand is the guiding principle3. Manage to build brand strength