Brands are a crucial element of your company’s and product’s value proposition. Corporate branding and product branding are becoming intrinsically linked in today’s world of ubiquitous communication.
It may seem blasphemous to discuss letting go of old brand equity and burying an old brand, but there are times when change is necessary.
Reformulating and re-designing an old brand, or even completely overhauling it, can be a wise decision. If your sales are flat and showing no signs of improvement, you should stop fooling yourself and hire a branding consultant.
Brands are a critical component of your product’s and company’s value proposition. With today’s pervasive communications, corporate branding and product branding are becoming indistinguishable.
Corporate brands are increasingly driving product brands and sales, which poses a significant risk because those sub-brands cannot be easily re-positioned when they falter.
As time passes, culture shifts, new technologies, and competing brands emerge, and the perception of value in a marketplace shift. When 20 or more competitors are offering the same benefits and features, old sales propositions will not fly. Your aging brand image and brand equity may end up doing more harm than good as a result of cultural, economic, technological, and corporate changes. Your previous branding successes may have left your brand and company stuck in the past.
Computer products are a good example of an age-related branding problem. My old laptop computer couldn’t keep up with my multitasking and other work demands, so I recently purchased a new one. There were computers with Intel or AMD microprocessors available for purchase at the retail store. The main issue wasn’t microprocessor speed or capability.
Previously, the Intel logo would have compelled me to buy only computers with their processors, regardless of the computer’s other features. The Intel brand was clearly in a league of its own. No, not this time. This AMD-powered computer was reasonably priced and included the memory I needed, as well as other features such as a 100 Gb hard drive, high-resolution screen, numerous ports and adapters, and a long-lasting battery. It only weighs a couple of pounds, and the AMD logo appeared to be better as well. AMD Turion 64 Mobile Technology, it says. 64-bit architecture and mobile compatibility Why isn’t Intel mentioning this on the computer in which their products are installed?
Laptops are popular, and their prices are dropping. My 15-year-old nephew recently purchased his first laptop on eBay because they are less expensive and easier to obtain. As a result, the entire culture of shopping for and purchasing computers has shifted.
Everyone is buying high-resolution screens, and I was eager to relieve my eyestrain from long hours of daily viewing. The large hard drive was fantastic, and the laptop looks great as well. The old Intel brand simply did not have the same impact it once did, and AMD only sold one of their processors. The laptop is performing admirably, and Intel processors no longer determine which computer I will purchase.
The Intel logo and brand conjure up images of old Pentium computers for me. This is exacerbated by the fact that today’s processors have evolved and now run at lower speeds. This confounds the speed benefit that Intel positioned its brand around. The advancement of technology in computer viewing screens, memory, and processor use has shifted the market away from Intel’s position. The Intel corporate brand drives sales of new processors, but they can call those new products whatever they want and it will have no effect on my decision.
What Intel needs to do now is associate its processors with the features and benefits that consumers and B2B buyers consider when making purchasing decisions. Computer branding is no longer solely about processors, and the old Intel brand image is inextricably linked to obsolete technology. Even the brand name Pentium is associated with 1990s computer culture.
Adhering to outdated branding concepts
There are numerous reasons why brand managers, CEOs, and marketing executives resist rethinking and redeveloping their brands. Most of the time, they do not want to leave their comfort zone and risk a short-term profit blip. Some people are unwilling to invest in hiring a branding consultant to evaluate their options. Branding experts investigate a brand to learn about its current issues, the market culture, and whether a new brand identity or brand positioning would be beneficial. Some old brands are doomed, but the majority are simply stale and out of touch with the target market. A branding consultant can provide critical insight into market perception, brand value creation, brand loyalty development, and identifying the brand value proposition that can breathe new life into your brands.