Brand positioning takes on a new meaning in a Hyper-Social world
Some pundits will tell you that you should do away with brand messaging and positioning all together, since you cannot control it anyway. Not so fast! People need to know what bucket to put your offering in, and if they can’t, they won’t know how to assign value to what you have to offer. Tivo ended up in that pickle, with consumers not quite sure what category of products to compare the offering with. Was it more like a DVD player or was it more like a computer?
Knowing that a good positioning will impact your revenue and profits, and realizing that you still have a seat at the customer decision making table (it’s just a much more crowded table and your share of voice has significantly been reduced) you need to develop a point of view about your positioning and try to get it co-opted by your tribe. Like in most social interactions, your chances to get someone to adopt your point of view are going to increase if you involve them early on. The more say you give them in the process of co-creating your products and services, and the earlier you get them involved (preferably at the product concept stage) the more they will embrace a shared view of the brand and product positioning. An added benefit of co-creating products with your customers is that those who are involved in the design of new products will typically pay higher prices for those products .
Marketing executives have come to understand, sometimes the hard way, that brand perception is only as good as the last interaction the customer had with it. When I spoke with Mark Colombo, senior vice president of digital access marketing at FedEx he described the challenge as follows: “In the 50’s and 60’s, brands used to be built on a set of attributes. Now brands are built by customers, one experience at a time, and those experiences are, obviously, more and more online experiences.” So you cannot just convey a brand’s promise or a product’s positioning through advertising and packaging anymore, you also need to deliver against that promise across all your other customer touch-points, and at any time. That becomes especially challenging when you have complex product distribution channels, high numbers of people involved in your service delivery, or a high level of interaction between your customers and your customer service and support center. It gets further complicated by user generated touch-points that people will encounter in the form of online reviews, blogs, and online communities. All those touch-points can make or break your brand, product, or service promise and position. Like many other things in marketing, this is not something new; it’s just something that we used to get away with because our customers, prospects and detractors could not behave Hyper-Socially and hold us accountable for our actions.
The way you control a brand promise through multiple touch-points is not through elaborate process manuals that we have grown accustomed to in business. The way to do it is by embracing Hyper-Sociality and all the messiness that comes with it and allow all the people involved in the process to behave like humans. Some companies like Zappos and JetBlue achieve that through a shared values-based culture that creates a common sense of belonging among their employees. Others like Western Union achieve it by becoming customer-centric to a fault. Still others, like IBM, are doing it by encouraging all their employees to set up communities with whomever they want, wherever they want, and about anything they want.
The key to success is to embrace all four tenets of Hyper-Sociality: think tribes, knowledge networks, customer-centricity, and be willing to accept some of the messiness that comes with Hyper-Sociality.
What do you think? I would appreciate your feedback.
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Francois:
Nice post. The way I think about brand positioning today is as follows.
In the old days we had a product with rational and emotional benefits, and we made up a story and then pounded this story into people’s heads with $$$ (advertising). This worked pretty well until the fragmentation of mass media and the rise of the networked individual.
Today the way to approach this question is to first understand (using MotiveQuest of course – online anthropology) what people care about most. Then examine what they already believe to be true about your brand and your competitors. Finally, you figure out how to connect your brand to what people are passionate about in an authentic (consistent with what they already believe to be true) compelling (relevant to what they are passionate about) and helpful (helps them achieve their goals, not yours) way.
Everyone says that branding is more like politics today, but that is because it’s true. You should always connect to something passionate and true (it’s the economy stupid).
I think I’m going to make a blog post out of this one!
Regards – TO’B
@tomob
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Hi Tom — thanks for commenting on my blog and also for continuing the conversation here. I agree 100% with you that we need to create a brand positioning based on how people will use your product. The challenge once you have a positioning is to convey it to your prospects and customers in a way that it becomes an accepted positioning within their peer communities and tribes. That is not always easy, especially not in this fragmented media world as you call it.
Francois (also posted on Tom’s blog)
Nice post about brand positioning. In today’s hyper social world, marketing and brand positioning plays a vital role to get customers and increase sales of the particular product. I like the way you explained and describe the importance of brand positioning in detail. I gained some very useful and important knowledge about brand positioning. Thank you.
Acknowledging that brands cannot be managed “as usual” bgins to meke its way among ‘most ?) marketers today. But are perception and positioning still relevant for an Hyper-Social enterprise?
With new paradigms must come new angles of thinking traditional concepts and funnels. In my opinion, the right question to ask is “where is the traction point for my brand?”. From the answer to this question comes positioning and distribution strategy. The examples you give (Zappos or Western Union) are those of companies which have understood that brands are now part of an ecosystem which encompass both companies and customers. Different answers come mainly from different traction points. Depending on the deep understanding of this ecosystem, and depending on the traction exercised by customers, the control might or might not shift.
@Robert – thanks for the comment, I appreciate the feedback!
@Thierry – I do believe that positioning and perception are still important. I think you are right that brands now encompass an ecosystem that encompass both companies and customers – or better yet, employees, partners and customers. And when many companies are forgetting the role of the employees and partners (distribution, etc.) in creating and maintaining that brand promise. Traction point does not seem to work as well for me. Your brand can have tremendous traction and yet the wrong system to support it, no? That would negatively impact your profits and revenue…
Excellent posting! I totally agree.
The days of relying on plastering a slogan and consistent imagery everywhere are over. Each customer touch-point communicates a message. So, brand creation is not driven from the top down by senior management and its advertising agency, but rather from frontline employees who interact with customers and develop online experiences. To be effective, every employee needs to passionately live the brand positioning. And, hence, obviously, know what the brand stands for. While the challenge is great, the success for those who realize the goal is even more rewarding if the competition doesn’t get it. Thanks!
I found this to be a really interesting and well written article.
One comment in particular caught my attention, “In the 50’s and 60’s, brands used to be built on a set of attributes. Now brands are built by customers, one experience at a time, and those experiences are, obviously, more and more online experiences.”
Although there is a little bit more to building a brand, I agree in principle with this statement. The problem I have though is with positioning.
Positioning was fine in the mass economy era of the 50′s and 60′s but today, in the environment mentioned, I think it is impossible to position a product in the traditional manner.
I discuss the end of positioning here (shameless self promotion coming up so please look away if not interested) http://brandconsultantasia.wordpress.com/2009/06/05/is-it-time-to-put-positioning-to-bed/
Jack Trout is on record as saying that “Positioning has nothing to do with the product, it is what you do in the mind of the prospect.” Essentially that means the consumer can be made to believe anything through advertising, PR, OOH etc, what offerings mean to them.
All well and good so far. But then companies started to control their position in the face of increasing competition. They did this at whatever cost and for a while innocent consumers with little reason to doubt, believed it.
But fast forward to the 21st century and consumers are more knowledgable, have greater choice, have been carpet bombed with increasingly desperate positioning messages that often made claims that were often irrelevant to consumers.
Bottom line, it doesn’t make sense to use 40 year old tactics to build brands in the customer economy of today.
Brand positioning takes on a new meaning in a Hyper-Social world…
Brand positioning takes on a new meaning in a Hyper-Social world…
Brand positioning takes on a new meaning in a Hyper-Social world…
Brand positioning takes on a new meaning in a Hyper-Social world…
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