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It’s been reassuring over the past couple years to observe the rebound made by the American car companies.  It just seems like a few weeks ago that we were wondering if GM or Chrysler would survive without government help or whether Ford could set new standards for cars that people really wanted to buy and drive.  Fast forward and it’s been exciting to see the strides made by the big three both in quality and in brand reputation after so many years of neglect.

That’s why it’s disheartening to see the problems that GM has brought upon itself with the recall scandal and lack of strong leadership in dealing with a PR nightmare.

It’s interesting to note that when the news broke on this situation that most of the brands that were mentioned in the recall problem were no longer in business.  It makes you wonder what really happened with Pontiac, Saturn, and Oldsmobile.  And where is Mercury and Continental or Plymouth and Thunderbird.  All of these brands had great recognition, significant top-of-mind awareness, and (even as sales slumped) a loyal customer and dealer base.  Why did they have to die?  Brands consistently need to be reviewed,  re-formulated, and re-marketed in order to keep up with the changes in customers and competition.  However, it seems like the auto companies would rather just call it a day, pack up their design tools, close up the plants and move on.

I was thinking about some the brands that my first employer, Procter & Gamble has developed successfully and then sold off to other companies to continue their market share growth.  I worked on Folgers coffee and it continued to be a market share leader in the category for years until P&G decided to focus on other categories of business.  They didn’t just close down the brand, however.  Instead they sold it to Smuckers who has continued to grow the brand and it’s share with essentially the same successful brand strategy that has been in place for years.  Why couldn’t the car companies do the same..

Think about some of these brands and what could possibly have happened to keep them alive and successful.

I think BMW could have taken over Pontiac and made it an American Driving Machine.  For years Pontiac was branded as a performance car and by narrowing its brand focus would still have appeal to a younger, American driver.

Mercury had a major share of the mature drivers (it was #1 overall in Florida for many years). If Volvo had taken over the brand and refocused it as something more than a Ford with a different emblem and model name, it could capitalize on the quality and dependability that Volvo is known for with the comfort that older Americans want.

Saturn was one of the best branding stories in any category when it was introduced.  Nissan or Toyota could certainly have applied some of their innovations to keep the loyal Saturn customers and again focus the brand on sedans that put it on the map originally (rather than SUV’s and sports cars).

Thunderbird was a legendary sports car like Corvette and the brand was one of the most successful re-introductions a  few years ago. Think what someone like Suburu or Kia could have done to bring Asian quality and design to a sporty new T-bird brand.

Oldsmobile could have also capitalized on the Baby Boomer market who still wanted some of  the quality that their “fathers” wanted in their cars.  With a reputation from Hyundai or Land Rover and some re-styling that doesn’t look like another Buick, the brand could prosper in today’s market.

Look how Fiat/Chrysler has re-introduced the Fiat 500 which had a terrible brand reputation in the ’60’s and ’70’s in the U.S.  However, now it’s cute, trendy, and appeals to a whole new market that didn’t even know the care ever existed before.

If Plymouth had stuck with cars like it’s Land Cruiser and Duster and had the creativity of a Mazda re-branding it , the brand could still be around and have a younger, loyal customer base.

Of course there are many other considerations before a company can sell one of its brands to another company, like manufacturing, dealer organizations, etc.  However, there are brands that could still prosper by focusing on their historic strengths and what today’s consumer wants in a vehicle.  Bring in some new perspective and creativity and these brands can survive and gain market share.  For a brand to be reborn requires the same ingenuity and strategy that is required by new products and innovations.  If some of the brands mentioned above had an infusion of branding instead just a new ad campaign with tired model names, the auto industry would still be competitive and a showcase of effective marketing.

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A visit to the DaVinci Machines exhibit last month made a real impression on me about the genius of this 15^th Century artist and designer.  While there were only a limited number of his designs on display (his notes reflected several thousand ideas that were developed), I was convinced that every one was developed for a particular reason—usually military weapons—that provided a solution to a particular problem or opportunity.  Whether it was the ball bearing or a device that helped build a pyramid before hydraulics,  the value of these concepts increased as the need for their benefits became more obvious in providing a competitive advantage over the users adversary.

The same holds true as marketers develop new or improved products to gain market share versus their competition.  So many new products or stores are introduced on to the scene for no other reason than to compete with a brand that’s already there.  If they are successful, let’s get a piece of the action.  Unfortunately, with so many choices vying for the same dollar from the customer, we end up with just another brand.  If you walk through a shopping center (an activity that fewer and fewer of us get involved with these days), you can’t help wonder why this or that store with a name on the sign that you’ve never heard of ever managed to get into the marketplace.  How many more fast food burger places do we really need offering basically the same ground beef on a bun?  As I watched the $4 million Super Bowl spots, I kept asking what is the reason that I should buy this product.  Now, I know that established brands like Budweiser and Coke don’t have to continually explain what they are.  However, they do have to reinforce the brand as part of everyone’s lifestyle and create a brand preference.  I took note of the Chobani Greek Yogurt spots on the Olympics recently and I kept asking what does “How Matters.” mean and why should I opt for their brand or for Greek Yogurt in the first place?  Nice spots for the Olympics spirit, but why Greek Yogurt.  I like Activia anyway.

The point is that the first essential characteristic of a successful brand is to have a reason for being.  The initial work is to determine why someone would try your product—or keep using it—and then reinforce this reason with an effective, creative message that cuts through the clutter and truly differentiates your brand from the others.

It occurs to me the high-priced spots on the major media events that the primary reason for being is to run creative commercials with very little emphasis on providing a reason why or a really competitive message that differentiates.  It’s not unlike most shopping malls these days which don’t provide much reason to shop there other than “under one roof”.  Thus, so many are being torn down or sit half empty these days.  Yet, the town centers and shopping villages are thriving because they provide a more convenient, pleasant shopping experience—and a return to the past when downtown shopping was neighborhood gathering spot with personality and with ambience that beats most big mega malls or big box retailers.

So, if your brand is beginning to lose share of mind and share of wallet, it’s time to go back and revisit what prompted your product or service in the first place.  Are the reasons still relevant?  Do they still differentiate you from the competition? Do they provide value beyond a sale price?  Do they provide a reason for a personal relationship with the customer that really is the essence of a brand?  If not, it’s time to revisit and find a reason for being.

IN MEMORIAM:  I lost a good friend this week.  Phil Kabachnick was professional retailer who brought innovation and moxy to his store in Middletown, Connecticut, for years.  He understood customers and how to market to them by understanding the trends and what would keep them from going to the Big Apple to do their fashion shopping.  After he closed the business and  and was the behind-the-scenes operator of his wife, Terri’s, consulting business, we shared some office space here in Tampa Bay.  We also shared many discussions on retail, sports, and business building ideas over many Chinese lunches.  He fought a good battle against cancer and kept his sense of humor till the end.  I’ll miss him.

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Merry Christmas!  It’s a special time of year and a time to do something special with your family, friends, associates…and your brand.Marketers have always used this time of year to break the mold of their ongoing ad campaigns to be more creative, more promotional, and (unfortunately, not often enough) do something special for their customers and employees.

The Macy’s Thanksgiving Parade is a special tradition that helps kick of the holiday season for retailers all over the world.  Yet, it is also a wonderful sales promotion event to generate sales, awareness, and strengthen the store’s brand as a special place for holiday gift purchases.

Bass Pro Shops has created Santa’s Wonderland at its mega-stores for several years now, but before you say that “Well, what’s new about that?  Stores and malls have had Santa for years.) take a trip to your nearest Bass Pro and experience the transformation of the stores and their customers into a Christmas right out of the Hallmark Channel.

And it’s not just retailers who capitalize on the season to do something special.  If you haven’t seen it yet, take a look at this five-minute video  on what Canadian airline WestJet did this winter.  This is truly an amazing event:

http://www.youtube.com/watch?v=zIEIvi2MuEk

The idea of making the Christmas wishes of all the passengers on two of their flights sounds simple enough, but it took the efforts of everyone from airport agents to the baggage handlers to make it happen seamlessly.  Corporate support from other companies like Best Buy helped them share in the positive media coverage that this event achieved.  And it was a lot of coverage:  27 Million views on YouTube in less than a week;  major news coverage in nearly all national network and cable news programming;  buzz on social networks.  All giving testimony to the kind of service (It took 175 employees to pull off this event.) and commitment that WestJet must provide its passengers on an ongoing basis.  The interactive kiosks at the gate were state of the art, the delivery of the gifts on the baggage carousel was an event in itself, and the wonder and surprise of the lucky Calgary-bound passengers reinforced WestJet’s brand as an airline whose employees genuinely care about making every flight special.  If you want to read more about what it took, click on:

http://www.cbsnews.com/news/westjets-holiday-video-becomes-an-online-sensation/

for just one of the news coverage articles that have appeared

A sales promotion event?  Sure.  But it goes beyond that and it’s disappointing that more advertisers don’t do something special for the holidays that helps reinforce their brands the rest of the year.  Have a great Christmas and a Happy New Year!

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Happy Thanksgiving!  Here come the ads.  Once again it’s time to be deluged by holiday advertising in every medium possible.  Frankly, am I the only one bored to indifference by all the Black Friday ads.  I liked it a lot more when it was the day after Thanksgiving.  Having worked in department stores for several years, I remember the excitement of that day and the long hours because it really was something special.  Sure, it’s a time to promote and generate as much traffic as you can get to stampede into your store at 5am, but it’s also a time to strengthen your brand.

Unfortunately, over the past several years, this time of year has degenerated from the time when retailers spent the most on creativity, in-store excitement, and marketing to one big SALE event.  However, there are still some advertisers who take advantage of the seasonal opportunity for revenues and traffic by going after the heart (and brain) as well as the wallet.  Let’s take a look at a couple retailers going after the same customers:  Publix and Kmart.

There’s been a lot a buzz in the media and online about the Kmart holiday commercial for Joe Boxer.  Take a look. Click on the link:

http://www.youtube.com/watch?v=-7Ub1x7Arfs

I have to admit that I kinda like the spot for its entertainment value.  However, if I had the difficulties that Kmart has had over the past few years, I don’t think I would put all my creativity in trying to create a hip brand image of a line of underwear.  I really don’t think this spot does anything for Kmart.  Walk into a Kmart (if you can still find one that hasn’t closed in the past couple years) and you might see one cashier line open and a couple of customers usually waiting to get helped by an indifferent clerk.  Meanwhile, Walmart, Target , Costco continue to add registers and sales. (Walmart’s latest spot talking about employee benefits really is super…but more on that in another blog.).  Kmart needs to convince customers that there is a reason to shop there.  That they can compete.  That they are fun.  Instead, they have a bunch of guys ringing their “brief bells”  for Joe Boxer.  No wonder they continue to shed stores and lose the customer’s interest.

Publix, the southeast grocery giant, has always done a marvelous job with its holiday and other seasonal advertising.  They don’t just stop with TV spots however.

Their print, direct mail, and online messages are just as personal, just as creative, and just as successful in convincing their customer that “shopping is a pleasure” at their stores.  Publix has gotten aggressive with promotions (watch out for the BOGO’s everywhere you look.)  to keep their customers from migrating to Walmart.

Their stores continue to be some of the best run operations in retail, and their employees really do enjoy helping you get just what you wanted.  People is my part of the world don’t just shop at Publix, they make “My Publix” part of their daily life.

Publix continues to  endear itself and its brand to the hearts of people who value family events and all the food that goes with it.  Eating a Publix meal is not just dinner, it’s a memory being made for the entire family.  With advertising like this one below, Publix continues to grow its brand and beat the competition every day.

http://www.youtube.com/watch?v=08rj14I6QPY

It all seems so obvious about what really works at this time of year when it comes to advertising that sells.    The brands that do well the rest of the year really do deck the halls when it comes to the holidays.

I hope you have a wonderful holiday

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I was driving back from the gym the other day when I pulled up behind a truck that was about to deliver fresh produce to a local convenience food store and deli.  I couldn’t help notice the slogan on the back of the truck:  R&G Produce  “Lettuce Serve You”.   

Now,  I appreciate a good pun as much as anyone, but when used as a brand’s slogan, I usually find that it to be a weak effort at trying to create something memorable about the product or service.  I suppose you could say that this implies better service in getting your lettuce fresh and on time, but it really needs more dressing (Ok, enough puns for now.) to make a differentiating statement.    The truck sign did, however, remind me of how many companies try to create a brand by simply coming up with a new slogan or jingle.  Most of the ad agencies that I worked with over the years claimed to be branding experts, but so often as soon as they got the assignment, the work started on a new ad campaign, slogan, logo, spokesperson, or package/store design.

Yes, these are all important elements in communicating the brand strategy, but unless a marketer does all the important work first these tools can do nothing more than create awareness.  It takes intense and comprehensive research to determine the market potential, the extent of the competition and their strengths and weaknesses, what differentiates your product from the others, and what motivations the customers have to even consider what you offer in the first place.

A comprehensive marketing plan is absolutely critical in the development of a successful brand.  Far too often, however, this plan is confused with the media or communications plan and the most of the time, effort, creativity and budget are dedicated to the execution.  It’s no surprise that many brands fail even though they were supported by outstanding creative executions in support of a flawed premise for why the customer should try the product in the first place.  Burger King has consistently produced some of the best, most creative marketing efforts in the fast food business.  Yet, they consistently fail to meet the standards set by their equally aggressive competitors when it comes to operations and service.  Having it your way means more than having the right toppings on your burger, it means having an experience that is consistent, friendly and efficient.  BK never seems to quite get there.  The same can be said for brands like Infiniti, Sears, Discover and many others who fail to clearly define what makes their brand better and why the customer should have a positive preference for them over the competition.

And another thing…Capital One has certainly created a unique brand in the highly competitive credit card business.  I sometimes wonder where all that budget comes from to be able to ask the question: “What’s in your wallet?” in every imaginable way.  I like Alec Baldwin, but I still am trying to figure out what the Vikings or Brave Heart look-alikes have to do with credit card points, but it certainly has worked. However, the new commercials with Samuel L. Jackson’s hardball pitch for their new Quicksilver card hits me the wrong way.  Not that I don’t appreciate a straightforward approach, but does he really have to say “every damn day” to make the point?  Cursing and innuendo have long become commonplace in today network programming on television, but it seems a large financial institution like Capital One could use some restraint and make their point without resorting to cursing and spending millions to send a message to our youth that it’s ok to be irreverent no matter who you are talking to.  Moreover, what does this have to do with good branding?