You are viewing Aaker on Brands blog posts from January, 2013 (5 total). You can also view all blog posts.

Six Reasons Why Incumbent Firms Fail to Create “Big” Innovations

One of the empirical facts of business strategy is that “big” innovations that create new categories or subcategories do not come from the leading incumbents - they come from outsiders. Successful incumbents have the resources to lead but, in fact, success breeds complacency, lethargy or arrogance. What is also disturbingly true is that incumbents not only fail to innovate, but also fail to be relevant to major innovations of others and sometimes lose not only their momentum but their very existence as a player.

In a brilliant new book, Unrelenting Innovation: How to Build a Culture for Market Dominance, Gerry Tellis explains why this is. His answer, based on nearly a dozen major clinical studies conducted by he and his colleagues, is that it is the culture of the incumbent firm

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January 30, 2013  •  Permalink

P&G’s “Thank You, Mom” is a Model Campaign in a Global World

P&G’s “Thank You Mom” Olympic marketing program was a brilliant effort to draw on a universal human value to create a program with energy, relevance and emotion that spanned brands and countries. Plus, it’s ongoing with a life beyond one Olympic Games.

In my book Spanning Silos I noted that brand and country silos have advantages. They are close to market and product technologies, they promote accountability, and they encourage decisive decisions. But they simply don’t work in today’s environment. One reason is that brand messaging, especially as it is spread through global digital communities, is hard to confine to local markets. As a result, a brand that has different local positions can become confused. A second reason is that the necessary scale of advertising, promotions, and

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January 23, 2013  •  Permalink

Two Emerging Charismatic Brands

A charismatic brand is one that delivers self-expressive benefits to a committed, involved customer base that is enthusiastic about the brand experience. Think Apple, Harley-Davidson, REI or Tiffany & Co. It’s not an easy goal for a brand to achieve. But I see two brands making that leap: Zipcar and Tesla. Neither has been shy about their goal to change the world and define a new user experience.

Zipcar became the market leader, exemplar and spokesperson for the shared car concept. Any time of day or night, members can simply reserve cars online or by phone, choosing the model that will match their mood and task. When they arrive at the car pick up destination, the microchips in their Zipcard membership cards will signal the cars to unlock. They then drive and pay for the cars for hours or days. All this is aided by the Zipcar iPhone application. Parking, fuel and comprehensive insurance are part

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January 16, 2013  •  Permalink

Five Steps to Getting Brand Touchpoints Right

The brand experience, the essence of a relationship, is created by brand touchpoints. A brand touchpoint occurs any time a person in the marketplace interacts with the brand. To improve the brand experience, a firm needs to identify priority touchpoints and implement a program to improve those that are not on-brand.

Five steps are involved:

1) Identify all existing touchpoints, as well as those that should exist. Touchpoints can be under the control of the firm such through the communication programs, the public relations efforts, the customer contact points such as service and accounting staffs, sponsorships, or customer-focused programs such as the Tide Stain Detective. Touchpoints can also be external and controlled by retailers, run by third parties like the Consumers Report, or operated by a leading recipe website.

2) Provide an internal evaluation of all the touchpoints

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January 9, 2013  •  Permalink

A Glance Back at 2012: The Best of Aaker on Brands

I wrote approximately 50 blog posts in 2012, but there are five that stand out in my mind as being especially provocative or informative. Herewith, my top picks from 2012, with a few runners-up thrown into the mix as well:

My post entitled CEOs Are Born, Not Made really hit a nerve. It was stimulated by Bob Lutz’s book that blamed GM’s problems on “bean counter” CEOs rather that “car guys.” I argued that unless you have inherent CEO talent, being a “car guy” will not help. You need to be born with CEO talent, and no amount of training or background experience will help. Many disagreed. Three other posts had CEO themes: one explained why Steve Jobs and Bobby Knight (the fabled basketball coach) were so successful despite being jerks,…

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January 2, 2013  •  Permalink