You are viewing Aaker on Brands blog posts from August 27, 2014 through October 29, 2014. You can also view the most recent posts.

6 Reasons Why Uniqlo Is Winning

I was recently shopping at the Uniqlo store on 34th street in Manhattan and was blown away by the quality and styling of the clothing, the store size and product scope, the presentation, the breathtakingly low prices, the service experience, the innovations and the energy. How did Uniqlo pull that off? And why has Uniqlo experienced dramatic profitable growth over two decades?

In 1994 it had approximately 100 stores in Japan. In 2015, it will have 840 stores in Japan and 1,170 stores outside of Japan, 820 of which are under the Uniqlo brand (and another 270 under the GU brand, which is a low-priced version of Uniqlo). In fiscal 2014 it will continue a sharp sales trajectory with sales around 14 billion dollars becoming a top five global “own brand” clothing retailer.

How?

First, Uniqlo has a clear vision of its brand to provide high quality, performance-enhanced, basic casual

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October 29, 2014  •  Permalink

What Is Your Higher Purpose?

What is your higher purpose? Sales and profit goals can no longer be the prime motivator if they ever were. In my book, Aaker on Branding I note that more and more brands have a higher purpose that is meaningful. It is increasingly becoming more about “why” in addition to “what.”

A higher purpose can provide inspiration, an aspirational goal, a work-together logic, respect, a motivation for social programs and paths to growth. In particular, it can:

Inspire employees

P&G’s purpose to improve the lives of the world’s consumers, now and for generations to come elevates the work experience of all employees. General Motors’ passion for “earning customers for life” affects employee decisions on a day-to-day basis.

Set a high aspirational performance bar that can stretch the organization

Apple’s Steve Jobs famous mission to create “insanely

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October 22, 2014  •  Permalink

Perception is Reality: The NFL Needs a New Leader

It’s no news that the NFL is in crisis-mode due to evidence of mishandling cases of spousal and child abuse as well as a recent report stating that football has led to dementia in 1/3 of their players. If the damage to its brand is to be controlled, the NFL needs a new commissioner.

First, the public will likely assume that current commissioner Roger Goodell, who has spent his whole career in the NFL office, is not the best person to create solutions. There are those that believe he lacks fresh eyes, he is too tied to the underlying culture that spawned the problems in the first place, and because of the perception and probable reality that he has too little independence from the owners.

Second, the retention of Goodell sends the signal that the NFL is not holding anyone accountable and thus is not serious about making basic changes that are necessary. As a result, any sets of programs

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October 15, 2014  •  Permalink

Build Your Brand From The Inside Out

Test your organization by asking employees two questions. What does your brand stand for? Do you care? If employees are unsure of the brand vision or don’t care, there is little chance that you will successfully implement your business strategy.

There are several benefits to having a strong internal brand.

A clear, compelling internal brand provides direction and motivation to employees and partners. People and teams will be more likely to know if a decision or program is “on-brand” if the internal brand is successfully communicated. The internal brand can inspire employees to find and implement creative, breakthrough brand-building programs, to stretch for a “big” idea. An employee base that is energized by a strong brand will be motivated to talk about the brand to others on social media and elsewhere. A solid brand, especially one with a vision that includes a higher purpose,

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October 8, 2014  •  Permalink

Move from Functional to Self-Expressive, Social and Emotional Benefits

There is a compulsion to focus in on functional benefits. It comes perhaps from the legacy of the Rosser Reeves unique selling proposition that brought us the candy that “melts in your mouth instead of your hand.”

A functional benefit is appealing. Our instinct, especially if we reside in the high tech or a B2B sector, is to assume that customers are rational and will be swayed by functional benefits. Further, when asked why customers buy this brand or avoid that one, we assume they will give functional reasons. The resulting insights often have an inordinate influence on strategy.

But we have too much evidence from behavioral economists and market researchers that shows customers are far from rational. We see it every day. Even an airline, when buying a plane, will in the end be influenced by their gut even with piles of proposal details in front of them. In most contexts, customers

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October 1, 2014  •  Permalink

Behind the Scenes: How to Write a Book in 3 (Not-So) Easy Steps

Should you write a book? Could you write a book? What is involved? I’ve frequently been asked such questions and the answers are maybe, definitely - and more than you might think. After finishing my 18 book, Aaker on Branding, I thought about the book writing journey and concluded that there are three distinct steps that it includes. Each requires a different set of motivations and skills:

Step 1: The Topic

When I set out to write a book, first I work toward finding an umbrella topic based on a central idea or set of related issues and concepts. To do that, I look at several criteria:

It should capture my interest. This may seem obvious, but writing a book takes a serious amount of time and effort. I must enjoy the process of pulling together the concepts and case studies to support my topic in order to make that process worth the effort. It helps to have a higher purpose.

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September 24, 2014  •  Permalink

How Buick Drove Out Of The Brand Graveyard

Last March, Buick started to run an advertising campaign centered around the point that people don’t recognize the new Buick models because they are so fixated on their preconception that Buicks today must be like the Buicks of a decade ago. In one ad a valet couldn’t find a Buick even though it was right in front of him. When he got in, he was clearly impressed. In another a young woman stands on the street craning her neck for the Buick that’s supposed to pick her up, looking right past the shiny Encore parked right in front of her. The tagline is “expectation-shattering.”

The campaign is a brilliant effort to attack a vexing relevance issue that is all too common. It happens when your brand is not considered and is simply ignored. Buick executives believe the campaign is enabling Buick to extend the brand’s remarkable sales success. It’s seen a 13% increase in 2013 and has continued

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September 17, 2014  •  Permalink

The 10 Most Common Branding Challenges

After writing my latest book, Aaker on Branding, a book that contains an overview of 20 key branding principles, I included an epilogue that identifies 10 additional branding challenges to keep in mind as you work to build your brand. If you are involved with building a brand or brand portfolio, you will benefit from appraising how you are facing each of the challenges:

Treating brands as assets

The ongoing pressure to deliver short-term financial results coupled with the fragmentation of media will tempt organizations to focus on tactics and measurables and neglect the objective of building assets.

Possessing a compelling vision

A brand vision needs to differentiate itself, resonate with customers and inspire employees. It needs to be feasible to implement, work over time in a dynamic marketplace

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September 10, 2014  •  Permalink

Brand Lessons From John Deere's Century Old Content Marketing

In 1894, John Deere launched The Furrow, a magazine designed to help farmers educated themselves about new technologies and become better businessmen. It was in keeping with the basic Deere mission of “improving farming” and responded to their customers’ need of technology and business education.

Nearly 120 years, later The Furrow is still the magazine that farmers turn to learn about the issues, techniques, best practices and rural lifestyle. The prominence of John Deere equipment news and product placement, a fixture at the time of the magazine’s launch, is long gone. Recent issues have discussed the decrease in the bat population, aerial seeding, hands-free milking, the pros and cons of rolled turf, living mulches and more. There are versions tailored to dairy

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September 3, 2014  •  Permalink

"I Will" vs. "Just Do It": The Under Armour Success Story

One of my favorite brands is Under Armour. It has taken on one of the best brands, Nike and has been remarkably successful in driving one of the fastest growing brands to over 2 billion dollars in sales.

But it is a rare brand that can win with one home run idea; it nearly always takes a half dozen or more. Here are six brand elements Under Armour successfully uses:

A higher purpose at its core

Under Armour stands for relentlessly overcoming obstacles and becoming winners on the field. The brand essence revolves around being the underdog, being hungry, competing against the best – and winning. Its tagline “I will” captures this passion, intensity and drive. It is not about delivering functional benefits, although they do that. Like many underdog brands, it has an attitude. In fact,

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August 27, 2014  •  Permalink