Dr Brian's SmartaMarketing 2

Smarta Marketing Ideas for Smarta Marketers

Month: April, 2014

In Branding – Look to success in the margins

Dr. Brian Monger

Lets fact it – In the real world, competitive brands seldom differ much from each other. Any market successful innovation tends to be quickly cloned. Nor does much advertising give very different images or values to functionally similar brands, despite what tends to be said about this.

Differentiation?

It is often said that brands need to be differentiated. In a differentiation strategy, a firm seeks to be unique. it selects one or two attributes that many buyers in an industry perceive as important (Michael Porter, 1985).

Differentiation which is successful (in terms of sales) asks to be copied.

If we steal a lead we find the advantage is only temporary. So we rapidly lose our edge and off we go again, striving to get ahead once more. Thus the battle of the brands continues, with broad competitive parity/ over time the normal and natural state of most of our markets.

Me-tooism remains the dominant force in competition. Being competitive means cashing in on one’s competitors’ successes.

So innovation may not the stuff of effective long-term competition, except defensively. One probably cannot afford to be left behind..

The key strategic objective needs to be remembered – to gain a sustainable competitive advantage by building sustained customer loyalty with products (goods and services)

What is brand salience?

According to Neil Barnard and and John Scriven (Ehrenberg, A., Barnard, N., and Scriven, J. (1997). ‘Differentiation or salience’, Journal of Advertising Research, 37/6: 7–14.) If Brand A has more salience than B, it has more people who:

  • Are “aware” of it (for just about any awareness measure)
  • Have it in their active brand repertoires (for frequently bought products)
  • And/or have it in their consideration sets (i.e., brands they might buy)
  • Are familiar with the brand
  • Feel it has brand assurance (e.g., retail availability, after-sales service, etc.)
  • Have positive attribute beliefs about Brand A
  • Regard it as value for money
  • Harbour intentions to buy and/or to use it in the future (and do so)
  • Would buy-A-if-their-usual-brand-was not-available
  • Choose A in a named product test
  • Note and recall its advertisements (by and large)
  • “Talk more often and more richly about it in focus groups
  • Are “loyal” to A (by any measure of loyalty)

Salience is about how many consumers regard it well, or “well enough,” or see it as “salient”

So – the real differences need to occur in what we see as the margin . That is ensuring competitive brands will differ in emotional features (e.g., brands have different personalities) which link with specific target segment desires. The real differentiation is understanding that a brand’s true salience and value lives inside consumers minds and help them identify products that promise them a certain set of benefits.

 

Dr Brian Monger is Executive Director of MAANZ International and an internationally known business consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

Advertisements

Why They Don’t Get the Message

Dr Brian Monger

People use a sophisticated psychological defence mechanism to filter out unwanted information. This mechanism consists of four “rings of defence”:

Selective Exposure.

People tend to seek out only that information which agrees with their existing attitudes or beliefs.

Selective Attention.

People tune out communication that goes against their attitudes or beliefs, or they pay attention only to parts that reinforce their positions, forgetting the dissonant parts. This is why two people with differing points of view can come to different conclusions about the same message. Each of them is tuning out the parts with which they disagree.

Selective Perception

People seek to interpret information so that it agrees with their attitudes and beliefs. This accounts for a lot of misinterpretation of messages. Some people don’t block out dissonant information; they simply reinterpret it so that it matches their preconceptions.

Selective Retention.

People tend to let psychological factors influence their recall of information. In other words, we forget the unpleasant or block out the unwanted. This also means that people tend to be more receptive to messages presented in pleasant environments

 

Dr Brian Monger is Executive Director of MAANZ International and an internationally known business consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

%d bloggers like this: