How you Destroy your brand

How many of you are using Mont Blanc perfume? How many of you are using  Trump watches or Trump suits? They all have a strong brand but for different products. How  successful do you thing they are?

They all use same name for different products thinking that they are  reducing  the costs and risks associated with launching a new product.  Since the brand name is already known and (hopefully) popular, using that brand name on a new product, they think that immediately communicates the same level of awareness and perception. Nothing more wrong then this.

Also they  thought  that it  may also require a lower advertising investment.  Consumers are already aware of the brand name, so advertising to create brand awareness and recognition is not necessary.

Why they fail? Did you go to  have surgery to the best  generalist doctor? Or to the best architect? They both have a great reputation and are well known. Would you go to repair your car to Wal-Mart store. They have a great reputation and they’re well known.

Look at Trump and what is done with his brand. He placed Trump brand on water bottled , like when he dug  for making a building , he found a magic water spring .He placed Trump name on a cologne like his architects  and engineers, if they can  build a quality skyscraper,  they  can create  a quality cologne. And the list is long with  watches, suits, tea ( this is nuts) and even candles ( this exceed all expectations). People will stay in a huge queue   to buy Trump candle, or Trump tea.

In this days the power is to be  specialized  in something , been perceived as an expert in your industry. Instead of try to reduce their  focus, they are  expand  it . And if you do that , your audience will be confuse .Call your plumber to fix your electricity. You’ll do that?

Our mind needs to take your  brand and label it in a category, even make a  desire ranking where it will insert  your brand. The moment we name other product/service with the same brand, our brain is confused and don’t know where to label it. And   what will happened? They will go to next brand who’s recognized, and has a clear label  in this category  .

Why do you think  P&G didn’t make Tide 1, Tide 2 , Tide for baby ? They made Tide, Ariel, Dreft ( for baby). Because they understood that if you use the same name for different products , you destroy that product, you defocus, you confuse your audience. They don’t even promote their name P&G.

Look at beer industry and see how many category are there :regular, light, dark , premium. ice, extra gold and so on. Do you think  that the beer market increased? Think again. They all think that creating light will take from competition. Wrong,  because studies showed that who’s moving to light are the consumers of your own brand. But other consumers of your brand will move to a brand beer  where they can label it in their ranking, that it can represent him.

We have here in Romania a success beer brand called Ciucas( owned by Heineken) . They were first here to create Radler( Ciucas Radler). It’s a  great success because they were first and had a great add spot. What they don’t  know that they just killed Ciuc regular .If you look at Ciuc regular , you’ll see e huge decline in market share. They just don’t understood that if they would’ve launch a different brand , they would’ve succeed also without destroying Ciuc regular  .

The same thing  happened with  Heinz. How many of you know that they were leaders in pickle market( they launched as a pickle company),And , as many companies, they created Heinz ketchup. What was happened is that , now  Heinz is no longer market leader in pickles. Now they are leaders in ketchup. The moment you’ll confuse the clients brain adding new product , they will search for a specialist, a company they can label it as expert and ranking it first. Now Heinz is a ketchup label.

In conclusion, don’t use your name , even if it’s successful , on any of your products. Create new brand , even if ,at the beginning,   it will  be more expensive to create awareness. Don’t confuse your clients mind. And try to narrow, reduce your focus ,  not to expanded , in order to make your client to store , to have  a clear label for your brand.

Our brain is labeling everything , from  events, situations, problems till names and brands. If I tell you a story  about my girlfriend in high school, you immediately  think about your experience with girlfriend in high school. If I tell you Coca Cola, you immediately  will think about a fluid with dark color and bubbles, number 1 in cola drink.

Give clients the possibility to label your brand very  clear in their brain and ranking it.

If you want more info I’ll be happy to share with you for free.Just write me on .


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