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HBS CASES


HBS Cases: Branding Yoga
Published: September 10, 2012
Author:    Kim Girard


     As yoga's popularity has grown into a $6             "There are two elements of brand                what the difference was. His story was all about
billion business, a cast of successful                authenticity, and they appeal to two different      understanding that you needed legal protection
entrepreneurs has emerged with their own              sorts of people," Deshpandé says.                   for your branding."
styles of the ancient practice. Yet yoga's rise           The enterprising Bikram, born in 1946 in
underscores a larger question for Professor           Calcutta and known worldwide by his first
Rohit Deshpandé: Is everything brandable?             name, began studying yoga as a four-year-old
                                                                                                          The Stiles approach
                                                      under his guru Bishnu Ghosh. He arrived in              Tara Stiles, meanwhile, found success in
                                                      America in 1971, opening his first studio in Los    yoga her own way. She had studied ballet
    Harvard Business School Professor Rohit           Angeles and teaching traditional Hatha yoga to      before launching a brief modeling career with
Deshpandé often asks his marketing students a         students including Shirley MacLaine.                the Ford Agency. Her early experiences of yoga
show-stopping       question:     Is     everything       Bikram built his business slowly. In 1979,      were personal and drew from several different
brandable—and         should     everything      be   he wrote Bikram's Beginning Yoga Class. He          traditions. "It felt right and natural, not rigid
brandable?                                            also trademarked his company's name, Bikram's       with a certain style," she said. Yoga "gurus" she
    So when he read a November 2010 New               Yoga College of India. In 1994, he began            had encountered in New York put her off.
York Times piece on the tensions between              offering intensive courses, training 200 teachers       Stiles used Facebook to promote yoga
traditional practitioners who wanted to "take         per year, according to the case.                    classes taught out of her apartment and offered
back yoga" from celebrity teachers with                   Worried that competitors were copying his       private sessions. She also blogged about yoga
newfangled twists on the ancient practice, the        teachings and techniques, Bikram decided in         for Women's Health and the Huffington Post. In
word "brand" jumped out at him.                       2002 to patent a typical 90-minute class, which     2008, after opening her own studio, Strala
    "What had me intrigued was that there was         consists of 26 postures and two breathing           Yoga, the popular doctor and self-help author
this controversy," says Deshpandé, the                exercises in a room heated to 105°F. Hundreds       Deepak Chopra hired Stiles as his personal yoga
Sebastian S. Kresge Professor of Marketing.           of cease-and-desist letters were slapped on         instructor, a huge endorsement.
"There were strong positions taken by a number        competing studio owners.                                Stiles created controversy because she was
of people. It wasn't just a descriptive story."           The Indian government, meanwhile, took          "making yoga cool," Chopra said in the case.
                                                      umbrage with Bikram's legal claims, arguing         "We are basically breaking the rules,
   "There are two elements of                         that yoga was part of the country's traditional     improvising, adding music; in our minds,
                                                      knowledge. The government put together a            connecting the younger generation. In society,
   brand authenticity, and they                       panel of 100 historians and scientists that began   brands that succeed stay relevant."
                                                                                                              Stiles hasn't patented her classes, but in
   appeal to two different sorts                      cataloging 1,500 yoga poses found in ancient
                                                                                                          2010 she did publish a book called Slim Calm
                                                      texts written in Sanskrit, Urdu, and Persian. The
   of people"                                         goal was not to challenge Bikram in court, the      Sexy Yoga and launched a yoga DVD under
                                                      case explains, but rather to keep others from       Jane Fonda's "Team Fonda" fitness brand. In
    Deshpandé decided that the business of            following his proprietary example.                  addition, she and Chopra collaborated on the
yoga would make a lively teaching case for his            By 2011,                                        iPad app Authentic Yoga. Those actions spurred
class of entrepreneurs in the School's                there     were                                      some instructors to label her a sellout, but
Owner/President Management Program, with              some 5,000                                          Deshpandé is more measured.
plenty of lessons about branding and                  Bikram Yoga                                             "Tara Stiles appeals to a much younger
competitive strategy.                                 studios                                             demographic than Bikram," he says. "She's not
                                                      worldwide.                                          as regimented in her form of yoga. There's no
                                                                                                          Sanskrit in her yoga. Bikram is about Sanskrit.
Two paths                                             Deshpandé
                                                                                                          Bikram is about India. She's quintessentially
    In Branding Yoga, cowritten with HBS              notes that in
                                                      a        world                                      American."
Global Research Group associate director Kerry
Herman and research associate Annelena Lobb,          where      the
Deshpandé examines the different paths of two         majority of                                         Adding value
successful yoga teachers.                             yoga teachers were just scraping by Bikram              Deshpandé taught the case for the first time
    There's Bikram Choudhury, the founder of          succeeded through strategic use of branding and     this past spring, drawing a lively debate among
Bikram yoga in America, who has aggressively          legal protections. Bikram also gained an edge       participants who were divided on whether the
fought to patent his approach to traditional yoga     by starting early in the United States and          commercialization of yoga is appropriate.
style. Then there is the former model and ballet      understanding yoga's commercial potential.              "The discussion was very heated," he says.
dancer Tara Stiles, who isn't particularly                "He's very good at marketing the business,      "The argument against it is that religion is
interested in yoga's roots or rules, but rather in    but especially on the branding side, he             something that is very personal, and that it
mixing up different styles of yoga to create a        understood the importance of the Bikram             should not be commercialized."
beneficial exercise.                                  brand," he says. "It wasn't about yoga, it was
                                                      about Bikram yoga, and he had to establish


COPYRIGHT 2012 PRESIDENT AND FELLOWS OF HARVARD COLLEGE                                                                                                  1
HARVARD BUSINESS SCHOOL | WORKING KNOWLEDGE | HBSWK.HBS.EDU



                                               gurus, swamis, and others that offered up a             "You get this stuff for free out of your
  "It wasn't about yoga, it                    religion's spiritual wealth at the altar of crass   faucet," he says. "With Evian or Dasani you pay
                                               commercialism."                                     $2, $4, and that's the reaction consumers have:
  was about Bikram yoga"                           The other side of the argument focuses on       'You are just attaching a fancy name on it,
                                               business rather than religion. "It's all about      which costs me money.' "
    (The Hindu American Foundation (HAF)
                                               creating value for a large audience. By using           It's up to the company to add value to that
has weighed in on the debate as well. The
                                               marketing and branding you can be more              brand to make it worth the price, stresses
organization launched an awareness campaign
                                               effective and bring [your product] to a larger      Deshpandé. Participants also tackle how to
called "Take Back Yoga—Bringing to Light
                                               audience," Deshpandé says.                          leverage a brand globally, build a multibrand
Yoga's Hindu Roots." The goal was not to
                                                                                                   portfolio, and defend a brand against
convert yoga devotees to Hinduism, according
                                                                                                   competition.
to the organizers, but rather to have them     Creating value
acknowledge the connection.                        "Branding Yoga" is one of five branding
    HAF cofounder and board member Aseem       cases Deshpandé uses in his classes to explore      About the author
Shukla wrote a 2010 piece for the Washington   how companies create brands that are                   Kim Girard is a freelance writer based in
Post's On Faith column called "The Theft of    differentiated and worthy of a price premium.       Brookline, Massachusetts.
Yoga." In it, Shukla blasted the "facile       In addition to yoga, he cites the bottled water
complicity of generations of Hindu yogis,      industry as an example.




COPYRIGHT 2012 PRESIDENT AND FELLOWS OF HARVARD COLLEGE                                                                                         2

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Branding yoga

  • 1. HBS CASES HBS Cases: Branding Yoga Published: September 10, 2012 Author: Kim Girard As yoga's popularity has grown into a $6 "There are two elements of brand what the difference was. His story was all about billion business, a cast of successful authenticity, and they appeal to two different understanding that you needed legal protection entrepreneurs has emerged with their own sorts of people," Deshpandé says. for your branding." styles of the ancient practice. Yet yoga's rise The enterprising Bikram, born in 1946 in underscores a larger question for Professor Calcutta and known worldwide by his first Rohit Deshpandé: Is everything brandable? name, began studying yoga as a four-year-old The Stiles approach under his guru Bishnu Ghosh. He arrived in Tara Stiles, meanwhile, found success in America in 1971, opening his first studio in Los yoga her own way. She had studied ballet Harvard Business School Professor Rohit Angeles and teaching traditional Hatha yoga to before launching a brief modeling career with Deshpandé often asks his marketing students a students including Shirley MacLaine. the Ford Agency. Her early experiences of yoga show-stopping question: Is everything Bikram built his business slowly. In 1979, were personal and drew from several different brandable—and should everything be he wrote Bikram's Beginning Yoga Class. He traditions. "It felt right and natural, not rigid brandable? also trademarked his company's name, Bikram's with a certain style," she said. Yoga "gurus" she So when he read a November 2010 New Yoga College of India. In 1994, he began had encountered in New York put her off. York Times piece on the tensions between offering intensive courses, training 200 teachers Stiles used Facebook to promote yoga traditional practitioners who wanted to "take per year, according to the case. classes taught out of her apartment and offered back yoga" from celebrity teachers with Worried that competitors were copying his private sessions. She also blogged about yoga newfangled twists on the ancient practice, the teachings and techniques, Bikram decided in for Women's Health and the Huffington Post. In word "brand" jumped out at him. 2002 to patent a typical 90-minute class, which 2008, after opening her own studio, Strala "What had me intrigued was that there was consists of 26 postures and two breathing Yoga, the popular doctor and self-help author this controversy," says Deshpandé, the exercises in a room heated to 105°F. Hundreds Deepak Chopra hired Stiles as his personal yoga Sebastian S. Kresge Professor of Marketing. of cease-and-desist letters were slapped on instructor, a huge endorsement. "There were strong positions taken by a number competing studio owners. Stiles created controversy because she was of people. It wasn't just a descriptive story." The Indian government, meanwhile, took "making yoga cool," Chopra said in the case. umbrage with Bikram's legal claims, arguing "We are basically breaking the rules, "There are two elements of that yoga was part of the country's traditional improvising, adding music; in our minds, knowledge. The government put together a connecting the younger generation. In society, brand authenticity, and they panel of 100 historians and scientists that began brands that succeed stay relevant." Stiles hasn't patented her classes, but in appeal to two different sorts cataloging 1,500 yoga poses found in ancient 2010 she did publish a book called Slim Calm texts written in Sanskrit, Urdu, and Persian. The of people" goal was not to challenge Bikram in court, the Sexy Yoga and launched a yoga DVD under case explains, but rather to keep others from Jane Fonda's "Team Fonda" fitness brand. In Deshpandé decided that the business of following his proprietary example. addition, she and Chopra collaborated on the yoga would make a lively teaching case for his By 2011, iPad app Authentic Yoga. Those actions spurred class of entrepreneurs in the School's there were some instructors to label her a sellout, but Owner/President Management Program, with some 5,000 Deshpandé is more measured. plenty of lessons about branding and Bikram Yoga "Tara Stiles appeals to a much younger competitive strategy. studios demographic than Bikram," he says. "She's not worldwide. as regimented in her form of yoga. There's no Sanskrit in her yoga. Bikram is about Sanskrit. Two paths Deshpandé Bikram is about India. She's quintessentially In Branding Yoga, cowritten with HBS notes that in a world American." Global Research Group associate director Kerry Herman and research associate Annelena Lobb, where the Deshpandé examines the different paths of two majority of Adding value successful yoga teachers. yoga teachers were just scraping by Bikram Deshpandé taught the case for the first time There's Bikram Choudhury, the founder of succeeded through strategic use of branding and this past spring, drawing a lively debate among Bikram yoga in America, who has aggressively legal protections. Bikram also gained an edge participants who were divided on whether the fought to patent his approach to traditional yoga by starting early in the United States and commercialization of yoga is appropriate. style. Then there is the former model and ballet understanding yoga's commercial potential. "The discussion was very heated," he says. dancer Tara Stiles, who isn't particularly "He's very good at marketing the business, "The argument against it is that religion is interested in yoga's roots or rules, but rather in but especially on the branding side, he something that is very personal, and that it mixing up different styles of yoga to create a understood the importance of the Bikram should not be commercialized." beneficial exercise. brand," he says. "It wasn't about yoga, it was about Bikram yoga, and he had to establish COPYRIGHT 2012 PRESIDENT AND FELLOWS OF HARVARD COLLEGE 1
  • 2. HARVARD BUSINESS SCHOOL | WORKING KNOWLEDGE | HBSWK.HBS.EDU gurus, swamis, and others that offered up a "You get this stuff for free out of your "It wasn't about yoga, it religion's spiritual wealth at the altar of crass faucet," he says. "With Evian or Dasani you pay commercialism." $2, $4, and that's the reaction consumers have: was about Bikram yoga" The other side of the argument focuses on 'You are just attaching a fancy name on it, business rather than religion. "It's all about which costs me money.' " (The Hindu American Foundation (HAF) creating value for a large audience. By using It's up to the company to add value to that has weighed in on the debate as well. The marketing and branding you can be more brand to make it worth the price, stresses organization launched an awareness campaign effective and bring [your product] to a larger Deshpandé. Participants also tackle how to called "Take Back Yoga—Bringing to Light audience," Deshpandé says. leverage a brand globally, build a multibrand Yoga's Hindu Roots." The goal was not to portfolio, and defend a brand against convert yoga devotees to Hinduism, according competition. to the organizers, but rather to have them Creating value acknowledge the connection. "Branding Yoga" is one of five branding HAF cofounder and board member Aseem cases Deshpandé uses in his classes to explore About the author Shukla wrote a 2010 piece for the Washington how companies create brands that are Kim Girard is a freelance writer based in Post's On Faith column called "The Theft of differentiated and worthy of a price premium. Brookline, Massachusetts. Yoga." In it, Shukla blasted the "facile In addition to yoga, he cites the bottled water complicity of generations of Hindu yogis, industry as an example. COPYRIGHT 2012 PRESIDENT AND FELLOWS OF HARVARD COLLEGE 2