Posts Tagged ‘innovation’

Stereotypes – The Ultimate Brand Adversary?

Published on May 31st, 2011 by Jack

A recent trip to Scotland got me thinking; it seems unjust that a countries’ perceived identity is so often defined by a clichéd collection of stereotypes. Look at Scotland – for some the home of Irn Bru and battered chocolate bars. Of course for others it’s also the home of countless areas of outstanding natural beauty, has one of the most vivid, fascinating histories – and is a land with a truly compelling story. The same story is true of some of the most famous brands. Despite all efforts to the contrary, these brands are consistently linked to unwanted stereotypes, with potentially damaging effects.

Take Stella Artois, defined by its marketing segmentation as a “premium” lager, and yet it has seen its “reassuringly expensive” heritage tarnished by negative stereotypes. One where it’s potency is not an indicator of quality, but excess – one where UK consumers refer to the drink as ‘wife beater’. This negative imagery prompted a large scale re-positioning exercise. InBev (the producers of Stella Artois) released Stella Artois 4%, a product with a lower alcohol volume in silver packaging, aiming to quash perceptions of the brand as a super strength drink resembling sleeveless shirts called ‘wife beaters’. The repositioning was initially successful, with the product being the most successful grocery product launched in 2009. However, how much damage was done beneath the surface? How much damage to the brand’s heritage has already been done, not to mention the cost of the repositioning to InBev?

Assuming that negative stereotypes can be detrimental; does this also mean that positive stereotypes are beneficial? The answer is not always a simple yes or no. Looking at Apple, this becomes apparent. Yes, Apple is widely perceived as an extremely innovative brand – undoubtedly a position many brands envy and desire. However, this stereotype carries huge expectation where the response bar is very high and consumers are consistently speculating over the whys and wherefores of the next iPhone and iPad(s). If speculation is met by a delayed release date or under delivery, brand affinity may be compromised. The bigger picture of concern for Apple is that now the ‘innovative label’ has been placed on them, the onus exists for them to continually release new, ground breaking products. If we believe that innovation is a potentially finite resource in the world of electronic consumer goods – AND your brand is built on an innovation proposition, will this limit its longevity?

If social media is a brand’s new best friend, stereotypes may be a brand’s oldest adversary. Negative stereotypes can force unexpected, potentially expensive, brand repositioning and positive stereotypes can cause extremely high consumer expectations – immense challenges for brands to meet, especially given the crowded marketplace and increased consumer power in the 21st century.

Which Apple tastes best?

Published on Mar 29th, 2011 by Jeff

Innovation. You’re rolling your eyes right now aren’t you? In only a few short years the idea of companies (and researchers) focusing on finding the next great ‘innovation’ first became the industry buzzword and then became so overused, expanded and twisted that it seemed to lose all meaning. But, as a recent article in the Guardian started me thinking, the purpose behind the search for ‘innovation’ remains important, no matter the confusing rhetoric now surrounding the issue.

This article discussed the iPod, which will celebrate its 10th birthday this year. Admit it – it’s hard to believe it’s been less than a decade since you were lugging a case of CDs around when you travelled. The amount of music many of us now carry to the grocery store would, in CD form, likely fill Victoria Beckham’s transatlantic luggage several times over.  And if you’ve seen any of TMZ’s snaps of her arriving at LAX, you would know that’s saying something.

But my point here is not to delve into this cultural shift. What the article reminded me of was that when Apple released the iPod, the company was struggling. It had failed to successfully evolve its iMac desktop computer and its stock price was collapsing amidst the dotcom crisis. A decade on and look – Apple is no longer a niche computing company but a veritable technology and multimedia giant that is one of the most valuable companies in the world.

It is pretty much impossible to see how this would have happened without the iPod. It was not the first portable MP3 player on the market, but its combination of design, usability and storage allowed it to define the portable music player market. In the years since, Apple has subsequently redefined how we buy music and other media (iTunes), what our mobile phone looks like (iPhone) and our use of the internet itself (everywhere with the iPhone, iPad, etc.). All this from figuring out how to best produce one, simple product.

Innovation, idea, discovery – whatever you want to call it.  Get it right, just once, and it can transform your company.