5 Secrets You Need to Know About Brand Portfolio Success

How do you know when your brand portfolio has too many variants? In my opinion, the answer is that it’s when you can’t answer that question! Can you?

One of the most popular evergreen posts on C3Centricity is “The Beginners Guide to Brand Portfolio Management.” It seems that we all suffer from a deep-rooted fear of managing and reducing our brand portfolio, especially when it includes many historic or regional variants.

That is why I decided to write about these best-kept secrets in portfolio management, which even large corporations are not always aware of!

 

MORE IS RARELY BETTER!

We live in an over-abundant world of consumer choice, but more is rarely better. The paradox of choice is a powerful concept  popularised by Barry Schwartz.

It states that people actually feel freer when they are given fewer choices. Have you never ended up walking out of a store without the purchase you had planned, because you had been faced with too many choices? I know I have – often!

It is said that the limited choice offered in hard discounters is one of the reasons for their success. It appears that it’s not only about lower prices.

Retailers such as Aldi and Lidl present just one or two brands of each category they stock, in addition to their own brand. The branded products they do sell are almost always the cheapest offering the brand has or one of their older versions that are no longer very popular. And they are usually at the same price if not even higher than in normal supermarkets!

[bctt tweet=”In this over-abundant world of consumer choice, more is rarely better. #consumer #brand #Marketing ” username=”Denysech”]

More than fifteen years after the first research on which Schwartz based his theory was conducted, new studies have given some alternative perspectives on choice. They claim that large assortments are not always a bad thing. In the study by Gao & Simonson, they propose that many factors were forgotten in Schwartz’s original study.

You can read the full findings of this latest work in Neuromarketing. What I found of particular interest in this article, being the customer champion that I am, is that they conclude by saying that it all depends on understanding your customer – doesn’t everything?! Their summary findings state that:

“In certain situations (when the ‘whether to buy’ decision comes before the ‘which option is best’ decision) a large assortment CAN increase purchase likelihood. Especially in eCommerce, it is possible to reap the benefits of a large product assortment, while helping customers make choices?”

In other words, the online searches that we all now perform before purchasing many articles will benefit from a wide selection of offers. Once we decide to buy, a large choice can become a barrier to the final purchase.

Although Schwartz’s original book was published in 2006, he more recently commented on consumers’ current choices in “The Paradox of Expanded Choices.” He concludes the article wistfully by saying:

“We

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How People Recognise Brands: I Can Guarantee It’s Not What You’re Thinking!

How do you think people recognise your brand? Is it by its logo, its colour, its pack, its jingle? Well, you may be surprised to learn these are all only pieces of the puzzle. A brand is a combination of elements, that together make it recognisable. But consistency and compatibility are often the two missing parts that are most often forgotten in building a brand.

Before I get started, I would like to suggest that you read a highly popular post on the topic of brand image here on C3Centricity, if you missed it before. It’s called “What Every Marketer Needs to Know about Brand Image, Equity, Personality & Archetypes” and will give you some great background information.

It covers the topic of brand image metrics in quite some depth, so is a great primer. But I feel that there is so much more to brand recognition that needs to be considered, than the elements that I mentioned in that post.

For example, more and more brands today additionally rely on a face, a voice, an aroma, a unique packaging style, a slogan or a sound that immediately identifies them. And when they do, their brand image gains in depth as well as emotional engagement.

In fact I believe that brands that lack connection with their customers are missing these powerful additions. They rely on mere basics to build their brand’s image, but they are no longer sufficient in today’s online -dare I say virtual? – world.

So here is my very personal perspective on some of the best examples in each of the additional areas I just mentioned. Feel free to add your own in the comments.

FACE

Progressive’s Flo and Dr Rick

Some of the faces which represent brands are of celebrities, while others are of unknown people who become celebrities thanks to the brand’s advertising.

One of the first faces I think of for a brand is Flo from Progressive. She won the hearts of Americans, ever since she was first introduced in 2008, with her helpful but quirky discussions with potential customers.

Flo made insurance less confusing and more friendly through her “girl next door” looks and sparky attitude.

In 2012, an animated box was added to their campaign concepts, to represent the company’s products in what was hoped to be a more fun and young-spirited way. Apparently, the vast number of ads with Flo – over 100 – had resulted in a “love her or hate her” relationship, but the box didn’t have the success of Flo.

About five years ago Progressive finally found the answer to attracting younger adults, coming out in 2017 with the “Group session” ads, one of which you can watch below. These were later morphed into self-help sessions with a group leader called Rick, who comes back in 2021 as Dr Rick (see more below). 

Dr Rick claimed to help the younger adult target group Progressive wanted to attract by claiming to help them from becoming their parents. The … Click to continue reading

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