Overview:
1. Marketing is not selling. Marketing creates a brand in prospects' minds.
2. Everything a company does can contribute to the brand-building process.
3. Today - most products and services are bought, not sold.
4. Branding “pre-sells” the product or service to the user
5. In a store of shelves full of brands, the only selling that happens is through the brands - The power of a brand lies in its ability to influence purchasing behaviour.
6. A brand name on a package is not the same thing as a brand name in mind.
7. The Internet revolutionizes brand-driven buying. Consumers buy cars online without test drives or physical inspections.
8. You are a brand.
The Laws:
1. The law of expansion – Brand should stay narrow focused to increase sales in the long run. Expanding too broadly can reduce market share e.g. Amex, Levis
2. The law of contraction – Start in a niche market to build a stronger brand identity.
3. The law of publicity – Public opinion carries more weight than promotion/ads. Generate buzz through media and articles before resorting to advertising.
4. The law of advertising – Advertising is defensive; it doesn't increase sales but defends brand leadership.
5. The law of the word - Focus on owning a unique word in the prospect's mind, like Mercedes = prestige. You own the brand when people use your brand name for every usage “hand me the Kleenex”, “I need a band aid”.
6. The law of credentials – being the first in the category builds credibility
7. The law of quality – Quality perception matters; narrow focus (i.e., cardiologist gives a stronger vibe as a specialist compared to a general practitioner) and compelling names enhance it.
8. The law of category – promote the category you lead, not just the brand.
9. The law of names – each distinct product line should have its own name.
10. The law of extension – avoid putting the same product name on everything esp. in diff markets (i.e., regular beer and light beer is diff market)
11. The law of fellowship – healthy competition can generate buzz and excitement. Having 2 or more competitors is ideal. ~1000 wine brands in Napa Valley is a tough market to be a brand leader in.
12. The law of generic – Avoid using generic names like General, Standard, etc. Simple, unique words are more powerful.
13. The law of company – company and brands are not the same. Sometimes they are. Generally, customers recognise the brands
14. The law of sub-brands – dangerous grounds. If distinct, treat it separately i.e., iPhone, I pad, MacBook.
15. The law of siblings – General Mills has red lobster and olive garden; black decker used the brand DeWalt for professional tools. Carefully manage sub-brands under a parent company to prevent brand homogenization.
16. The law of shape – Logotype is crucial, clarity and typography matter. logotype > logo. Nike's swoosh logo is memorable because it's tied to the word/logotype.
17. The law of colours – use colours strategically. Red for attention grabbing, blue is calm, purple is royal, black, white grey are basic. If competitors, contra the colours to create distinction.
18. The law of borders – Globalize but maintain brand attachment to the country of origin, if possible. i.e Corona extra hit fame as the highest selling beer because the lime / lemon at the neck of the beer bottle reminded people of Mexican tequila (shots).
19. The law of consistency – Don't change branding when tapping into new markets; it confuses customers. I.e., if BMW were to introduce cheap cars, it would be a diff brand altogether.
20. The law of change – Change branding if your brand is weak, moving down the price ladder, or experiencing slow growth.
21. The law of mortality – Recognize when it's time to let go and enter fresh markets. New categories create opportunities for new brands.
22. The law of singularity – Stay narrowly focused and stick to a common word that defines your brand's identity. Your brand is what the customer remembers it as. It's as simple and challenging as that.
some interesting concepts
- increase the share of the pie / market size - when you narrow focus. Don't increase the size of a slide of a pie (attempting to sell everything)
- start a category to be a market leader. It's easier
