The Affordable Branding BlogThe Affordable Branding Blog is a peek inside today’s branding blunders and success stories. Plucked right from the business and marketing headlines, my colleagues and I will make observations, pithy comments, overt criticisms, and well-deserved at-a-boys, all designed to help you make the right branding decisions for your business. To subscribe to the Affordable Branding Blog (no e-mail necessary), right-click on the orange RSS button (see bottom buttons to the left) and then paste the URL into your RSS reader. Or click on the question mark for information about other options. What Is Positioning?What is positioning? Like developing a Unique Selling Proposition or differentiator, positioning is the process by which your business creates an image or identity in the minds of your core market for Permalink -- click for full blog post Screw it, let's rideGotta love Harley-Davidson. They are a true, authentic brand. They stand for one thing--rebel. When I was working through a brand strategy session with a client who had an audience similar to Harley's, I always used to remind the client: "Harley-Davidson does not make motorcycles with training wheels." Why did I have to keep repeating that mantra? Because, like most companies, this client wanted to grow. To expand. And the way most companies do that is by extending their offerings to fit more people. But that only weakens brands. Stretching a brand to fit over a broader array of offerings or audiences only serves to confuse the customer. Harley wants to grow too. But they are doing it right. They are exploring other audiences (younger demographics, women, and hispanics) without ditching their authenticity. To appeal to a younger audience, for instance, they designed the Iron 883, and then put the new cycle's relatively low cost--about $8,000--in terms that align with the rebel image. One ad reads: "About six bucks a day. Cheaper than your smokes, a six-pack, a lap dance, a bar tab, another tattoo, a parking ticket, a gas station burrito, bail, cheap sunglasses or more black T-shirts." Now that's an insightful, creative, and disciplined approach to the brand, the economy, and a new customer segment. AFFORDABLE BRANDING LESSON: Repeat after me: "Harley-Davidson does not make motorcycles with training wheels." 20 for the price of 1As you know, I don't recommend or participate in projects unless I believe in the value they bring to you. Once in a while, the value seems so undeniable that I jump at the chance to be involved. This is the case with the Ultimate Entrepreneur Toolkit. The Toolkit is an unprecedented collection of 20 Business, Marketing and Personal Mastery products from 20 top experts in each category. And here's the kicker, for one week only this collection is available at a 95% discount. That's basically 20 for the price of 1. These are the flagship products from a who's who of the entrepreneur success world...including me! And between you and me, it's a chance to get my DIY Brand Strategy Workshop (a $195 value) for FREE. I do hope that you check it out and jump at the chance to experience the Ultimate Entrepreneur Toolkit. It's only available this week as these experts can't continue to offer their products at a 95% discount all year round. The sale will be closed at midnight, Friday, June 26th. Click the link below to get more details about the Ultimate Entrepreneur Toolkit: Back to its rootsI was so glad to see the Wall Street Journal report the other day that in the face of stiffening competition from "value" competitors such as McDonald's and 7-Eleven, Starbucks is returning to the "romance and theatre" experience that was so essential to its rapid rise. Customers will once again smell fresh coffee grounds and hear grinders whirring all day. I say I was glad because I LOVE the Starbucks brand. Not just the product, but I'm a Starbucks brand junkie. I don't like to see them make strategic mistakes--which have seemed legion lo these past several years. But, as my associate, Scott, reminded me: Brand = Prediction of what to expect x Emotional power of that expectation. In Starbucks' case, the "romance and theater" of the coffeehouse experience fits that equation perfectly. The slower service actually enhances the Starbucks experience. Not only does it reinforce that this is authentic, premium coffee, it's the opposite of McDonalds, Dunkin' Donuts, and 7-Eleven. Good move, Howard! A Hallway Conversation About WalmartScott: On every Wal-Mart store are the words "We sell for less." And in every advertisement were the words "Always the low price. Always." Cheap was essentially the word Wal-Mart has owned. And it's a good word to own because it attracts some people and repels others. But I recently read an interview with Al Ries where he derided the change from the "low price" tagline to the new "Save money. Live better." tagline. When I first heard the new tagline, I loved it. And I still love it. The phrase positions Wal-Mart as the place to find cheap retail items, and provides a jolt of aspiration to Wal-Mart shoppers. In my mind, "Save money. Live better." works on three levels. It positions the brand. It succinctly communicates both the feature and the benefit. And it hits an emotional trigger for many consumers.Or maybe they should've just left it alone. Mike: I don't feel like Walmart LOST anything by making the switch. In fact, if anything, this economy has boosted their reputation as the low-cost leader--and their sales prove it. Because living better is everyone's objective--even if you're on a budget. If you can live better and still save a few pennies, well you're one up. I like the new tag. My only concern was it seemed to mirror Target's construction: Expect More, Pay Less. Permalink -- click for full blog post Big Brand, Classic BlunderPepsi recently introduced yet another line extension, Pepsi Natural. Billed as a premium cola with all natural ingredients, here's the oft-repeated branding blunder: By it's very description, Pepsi is essential saying that its regular Pepsi, it's cash cow, is NOT premium, and is does NOT use natural ingredients. Why would you tell your customers that? So is "natural cola" supposed to be a new category? And if so, what does it imply about existing cola (including Pepsi)? Is Pepsi Natural supposed to be the REAL choice of a new generation? And, of course, why make this a Pepsi line extension instead of creating this new category and having a new brand name own that category? As my associate Scott observes, "This is the trifecta of branding stupidity." Permalink -- click for full blog post Being Memorable Begets BuzzWatching the Travel Channel recently, I discovered an unusual restaurant---unlikely and certainly not for everyone. But you can't deny that, from a branding perspective, they've nailed it. The Heart Attack Grill is exactly what they say they are. They're authentic. The menu is filled with on-target offerings (like the triple bypass burger). They even let peopleover 350 lbs. eat free. Plus the wait staff wears doctor and nurse outfits.When a brand gets everything right and "markets outrageously," and creates "dramatic differentiation," it really is a great customer experience. But here's the affordable branding tip: Check out their media page and see how much free press they've generated. Better than advertising....any day of the week. Say it DifferentlyA pretty well-cited 1978 Yankelovich study reported that the average American was bombarded with more than 2,000 advertising messages per day. But that was 30 years ago. When Yankelovich revisited the study in 2008, the number had jumped to more than 5,000 messages per day. That's exactly WHY your business needs to be different. To speak differently. The mundane, the predictable, and the usual are filtered from your prospects' consciousness. Click the link below for a business that says it differently. It's memorable. It's buzzworthy. Kentucky What Chicken?I remember years ago when a health food craze was sweeping the nation and KFC tried--unsuccessfully--to change their name to Kitchen Fresh Chicken. Not officially, of course. They're objective was to change consumers' minds about what KFC stood for. They're at it again. Monday was UnFry Day at most KFC restaurants. The promotion is supported by an online and offline campaign that asks consumers to "UnThink KFC." A microsite -- "It's Time To Unthink How You get Your Grill On" -- offers nutritional information and content centered on the new products. But KFC has tried to introduce non-fried chicken to its menus at least three times over the last 20 years, without success. That's because, in the mind of the consumer, KFC equals Kentucky FRIED Chicken. No matter how much "unthinking" I do. AFFORDABLE BRANDING LESSON: My colleague Scott reminded me of a great Jack Trout quote: "If your assignment is to change someone's mind, don't accept the assignment." Lowe's or Lowest?I've always respected the Lowe's Home Improvement Warehouse positioning. In my mind, it's a much neater store than a Menards and it doesn't have the warehouse feel of a Home Depot. As I learned more about Lowe's, I discovered that their lower shelves and brighter lighting actually appealed to women and other not-so-handy handymen who may have been intimidated by the big, contractor-focused stores. So I was dismayed recently when I started seeing commercials for Lowe's in which the letter T would appear after the name with a voiceover proclaiming "the lowest prices." Get it? Lowe's. LowesT. But someone at Lowe's HQ must have woken up and realized that trying to find a new position in the minds of their customers was a futile exercise. While they still mention Everyday Low Prices, they're stopped trying to compete with Walmart or Home Depot. People shop at Lowe's because it feels like a more quality experience. It's cleaner. It's friendlier to the DIY-challenged. AFFORDABLE BRANDING LESSON: Marketing dollars are wasted when the send a wrong message or a message that's contrary to your established brand positioning.
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