This week’s guest post is from C3Centricity partner PhaseOne. Terry Villines, their senior vice-president shares some of the learnings from analysing the marketing communications of thous ands of premium br ands. Whether you work in the Luxury Industry or not, wouldn’t you like your br and to be worth more?
Every product category has at least one – a br and that costs more than the competitors; a br and that, even though it costs more, is successful at building the business; a br and that has been successful at convincing their target that they have a premium offering and are worth the extra cost.
For example, Rolex is clearly seen as a more premium br and than Timex or Fossil, and consumers are willing to pay more money for a Rolex even though all of these br ands provide those who wear them with accurate time.
How are br ands ableto convince audiences that they are worth paying more for – regardless of category?
PhaseOne has mined over 1,000 pieces of marketing communications to identify guiding principles for establishing a premium positioning. The key is to:
“Credibly promise that consumers will get more of what they want most from the product, promising more benefit than competing br ands”
Six specific types of benefits were found among the messages PhaseOne analyzed. The inclusion of these benefits was associated with strong Premium Positioning.
#1. Product innovation – your br and brings an enhanced benefit or a new benefit to the category.
#2. Human Worth Factor – by tapping into the target’s self-esteem, a br and communicates how the target is worthy of the more costly br and – “I’m worth it / You’re worth it”
#3. Unique Production Process – the way in which the product is made results in delivery of a more significant benefit.
#4. Premium imagery – associating the br and with other things that are also premium in nature.
#5. Higher performance than competing br ands.
#6. Endorsement by a credible authority.
Interestingly, some of those things that we have readily accepted as contributing to Premiumness did not prove to be effective:
- Claiming superiority alone does not confer Premiumness. Positioning a br and as superior does not equate to the br and being worth more.
- Having an abundance of features or advantages does not make a product worth more. Features and advantages may contribute to a Premium Positioning, but they are not sufficient to establish the positioning on their own.
- Marketing messages that contain breakthrough creative elements and premium production techniques do not translate into Premium Positioning. Such techniques can reinforce a Premium Positioning, but they cannot create it.
We’re confident that these benefits can be tapped for virtually any product / service category. Yet, it is likely that the weighting / emphasis given to them will vary. For example, in a just completed study of the advertising for 16 Luxury watch br ands, PhaseOne found most messages cluster into only 3 of the benefit clusters:
- Premium Imagery – br ands focus on the visual aesthetics and the watches role as a fashion accessory
- Human Worth Factor – br ands add a layer of specific personal or lifestyle interests to suggest for whom the br and is most appropriate
- Unique Production Process – br and communications emphasis that the watch is made of high quality materials with precise craftsmanship.
How do you see br ands in your category successfully convincing their customers that they are worth paying more for whether it be durable goods (auto to washing machines), packaged goods (confections to sodas) or services (Insurance to Dentistry)?
If you would like help from C3Centricity on improving the positioning or communications of your own Luxury br and, then please contact us, we know we can help. For more on br and positioning, please check our website: https://www.c3centricity.com/home/engage
Do you yourself work on a Premium br and or perhaps you did in the past? Were you using another type of benefit that didn’t work? Then please share your experience here. Of course, you can also share what worked too, if you are feeling really generous! We would love to hear from you.