Building a Brand as Consumers Take Control

Building a Brand
as consumers take control
Paul Koch
July 31, 2009
Viget Labs

the good old days

the good old days
clear unique selling propositions

the good old days
fewer companies

the good old days
fewer companies
easy brand choices

marketing
heavy message control

marketing
heavy message control
prime time TV spots are king

marketing
3 TV spots:
80% coverage of the U.S.
1965

today

consumers are rejecting

“Traditional TV advertising will be 1/3 as effective in 2010 as it was in 1990.”
-McKinsey

new opportunities
80% coverage; average of 4.6 hours / month

The marketing opportunity doesn’t come from here

It comes from here

a question
if the consumer controls the messages, can a company still control its brand direction and inspire users?

“Price and functionality are now taken for granted (or, in other words, not sufficiently differentiating). It is now the intangible, irrational, and subjective attributes of the brand offering that are the new factors of success . . . Empowered brands are the ones managing to deliver hedonist and emotional attributes throughout the brand experience.”
-Vladimir Djurovic, CEO, Labbrand China

“People spend money when and where they feel good.” -Walt Disney

good companies
inspire affinity toward the product

good companies
inspire affinity for the company

good companies
inspire affinity for the company
by letting the consumer approach you, rather than the other way around.

affinity
doesn’t have to be earth-shattering

affinity
doesn’t have to be earth-shattering
any good feeling a product creates

examples:
product affinity

http://www.youtube.com/v/-AoLlUmgCLM

affinity
shows that Coke is whimsical and fun.

affinity
creates cognitive dissonance: “If I work for it, I must like it.”

http://www.youtube.com/v/8UxWkZtUKaI

affinity
excites about the finished product.

http://www.youtube.com/v/bwKlnT_nrIc&feature=response_watch

affinity
appeals to user’s sense of youth, play, and personalization.

examples:
company affinity

affinity
reflects Hyatt’s level of service—when you stay there, you’ll make the most of your destination.

affinity
limited quantity highlights desirability—and creates more dissonance.

affinity
shows that if Virgin breaks guitars, you won’t have to make a YouTube video to get it fixed.

“Micro-interactions are the everyday exchanges that we have with a product, brand and service. Each one, in and of itself, seems insignificant. But combined they define how we feel about a product, brand or service at a gut emotional level.”
-David Armano, AdAge

thanks