Tale of Two Citi's
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This document discusses two branding examples by Citibank and the role of luck in successful branding efforts. It describes Citibank paying $400 million for the naming rights to the New York Mets stadium, which backfired when Citibank later laid off employees and required a government bailout. A second example details Citibank's $41 million investment in Citi Bikes in New York City, which was initially successful with over 4.7 million trips taken. However, the document cautions that unexpected factors could have led to low ridership, accidents, or lawsuits, turning the investment into a failure. The key takeaway is that successful branding requires analysis, planning, execution, and an element of luck to avoid un
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Tale of Two Citi's
- 1. A Tale of Two Cities Corporate Branding Brilliance or Luck March 19, 2014
- 2. Corporate Branding Decision Decision Criteria ! Cost ! ROI 2 Footer here…
- 3. Branding Example #1 ! 2006: Citi paid $400M over 20 years for naming rights to the New York Mets new stadium ! 2008: Citi laid off 75,000 employees ! 2008: Citi took $476B in public cash and guarantees during financial crisis Citi Field name was a slap in the face to all of us 3
- 4. Branding Example # 2 ! 2012: Citi paid $41M for Citi Bikes – 10,000 bicycles in 600 stations across NYC 4
- 5. May 2013 ! Citi Bank is visionary, innovative and advocates for sustainability – 4.7M trips taken – 9.4M miles rode – Critics silenced ! Favorable impressions of Citi increases 17 points – +12 points for innovation – +12 points for social responsibility ! Celebrity rides – Leonardo Dicaprio 5
- 6. But What If… ! Bikes did not meet expectation – Low ridership – Racks were eyesores ! Multiple accidents – Negative publicity – Possible lawsuits 6
- 7. Lessons ! Even well considered decisions may not work for factors beyond your control. ! Increases visibility creates magnified success or magnified failure. ! Even identified risks cannot be mitigated Successful branding requires a dose of luck so don’t take all the credit 7
- 8. Key Takeaway ! Successful branding requires thoughtful analysis, planning, execution and some degree of luck ! Don’t depend on luck to overcome poor analysis, planning and execution. ! If things workout really well, enjoy the success but don’t take all the credit. 8