Decision '08 - Battle of the Brands
Jay Hoffman, Design Director – October 2008
Everywhere you turn these days you can’t seem to get away from political advertising and all things Decision ‘08. Whether it’s posters on storefronts, forwarded emails with the latest satires from YouTube, or the nightly “and I approve this message” 15 second spot on prime time television. You simply cannot escape it. Sometimes the relentlessness of both campaigns feels a bit like a horror movie, but given the time of year maybe it’s appropriate. With that said, no matter what side you’re on, I think everyone in America agrees that the newly found passion for politics isn’t all bad - in fact, it’s refreshingly good. With all of the constant bombardment of campaign materials, it’s interesting as a Brand Strategist to see how both political campaigns have embraced branding as a means to reach more and more consumers. Different techniques have been used to leave lasting impressions on potential supporters, or in industry terms, how they have been “building brand equity”. Obviously this isn’t something totally new in politics. There have always been political posters and buttons, often times with catchy slogans dating back to 1860 (I managed to locate political badges for the election between Hannibal Hamlin and a skinny looking fellow by the name of Abe Lincoln). But it is entertaining to look at how smart, strategic, and efficacious these brands have become in today’s society, a world in which Ronald McDonald is more widely recognized than Jesus. There is no doubt that both campaigns have used established branding firms to develop their core brandmarks and other consumer touchpoints to clearly communicate their message, though there is a fair amount of one-sided talk as to who has put together the more powerful and comprehensive presentation. Most branding experts will tell you that the key to creating a successful brand is to establish and effectively communicate a few brand values and make sure everything you produce from there on out embodies and exudes those core characteristics. Based on that strategy, I would have to say both campaigns have succeeded in getting their messages across. From what I’ve gathered over the last year, Obama’s brand values are hope and change, and they have certainly communicated these ideas to everything they’ve put out to the public. From his core brandmark (a visualization of a new day dawning over the land of everyday Americans), to the thousands of supporters who wield signs with just the word change on them, to his repetitive yet still inspiring, storytelling of how he came from nothing to become who he is today. McCain on the other hand, established his brand around security and experience (and maybe also maverick as Tina Fey pointed out on SNL these past few weeks). McCain’s brandmark, which unapologetically appropriates elements of traditional military iconography, oozes strength, confidence, and security. The podiums at his rallies read “Country First,” which speaks to his long history of service and experience. Even his stern, patriarchal demeanor fits perfectly with the McCain brand his campaign has established. Unlike the thousands of competing brands in the CPG and corporate world, like Nike and Reebok, or Coke and Pepsi who already have next quarter’s ad campaign ready to gain more market share — there will be one clear-cut winner and loser in Decision ‘08. And so with both the McCain and Obama brands clearly defined and saturated, all we can do is wait until November 4th to find out what brand consumers will buy this year.
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Think Global, Act Local
Gary Chiappetta, President & CEO – October 2008
Over recent years, Kaleidoscope has increased its international reach by supporting the marketing needs of our client’s brands with a global perspective. As we have crossed borders and cultures, brand and retail opportunities have emerged, particularly in Abu Dhabi, Brazil, Mexico, Eastern Europe, and the U.K. To support this global approach and to better support our clients, Kaleidoscope recently became a member-partner of ComVort, the largest international network of integrated marketing-communication agencies in the world. Each ComVort agency is a privately held small to mid size company specializing in key aspects of design and marketing, covering a diverse array of disciplines including: branding, online marketing, advertising, product development, packaging and retail merchandising. Over the last couple of weeks, I have had the opportunity to meet with our new partners at the ComVort annual summit in Istanbul. The focus of the conference was global branding issues and international design opportunities. In sharing ideas with our new strategic partners, I gained valuable insights on the trends and emerging opportunities within the consumer packaged goods industry, both regionally and globally. As we all know, reaching consumers and understanding the emotional context of a brand requires a rich understanding based on regional insights and cross-cultural analysis; and there’s nothing better than local experience when it comes to understanding the market and deploying your brand. My personal view is that brands work across many dimensions of cultural expression and emotive experience relating to a lifestyle choice and personal consumer preferences. However, not all people are created equal. It’s difficult enough to create emotive brand experiences that connect people across 50 states, let alone in 50 countries. Successfully bridging geographic boundaries, cultural barriers and localized market trends is key to the success of any brand. And it’s not simply about visual design; differentiation from market-to-market often involves a complex mix, including the packaging form, the product delivery system, the audience focus, variable retail channels and many other factors that come to bear on your brand. Take artificial sweeteners as an example. In South America, consumers trust and demand liquid. In Europe, it’s tablets and in the U.S., consumers want packets of granular or powdered sweetener. There are many other examples and certainly too many to mention in one article. This leads me to the benefits of ComVort. As part of a global consortium of branding and marketing agencies, Kaleidoscope is now positioned to deploy regional expertise to every corner of the world. Working with local client partners, we will better understand how to shape specific project initiatives, identify the appropriate teams, and deploy a global team of regional experts to execute – on brand.
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Rapid Prototyping – The Cutting Edge
Brent Moncrief, VP, Realization – October 2008
For the modern consumer package goods company, speed to market has become a significant source of competitive advantage. The ability to compress cycle time can put new offerings into the supply chain faster, and ultimately deliver increased revenues. Think about this phenomenon from another perspective. Twenty-five years ago this month, Martin Cooper, a Motorola researcher placed the first cell phone call. The $4,000, 1.5 lb “brick” phone he used had taken more than twenty years from concept to realization. Today we commonly see handset makers bringing multiple new offerings to market on a quarterly basis. Obviously, there are no significant changes to the underlying technology, however the utilization of rapid prototyping enables early and on-going evaluation of significant changes to ergonomics, features and finishes. Rapid prototyping is the most common name given to a host of related technologies that are used to fabricate physical objects directly from computer assisted design (CAD) data sources. These methods are unique in that they add and bond materials in layers to form objects. Such systems are also known as additive fabrication, three-dimensional printing, solid freeform fabrication (SFF) and layered manufacturing. Today's additive technologies offer advantages in many applications compared to classical subtractive fabrication methods such as milling or turning. Specifically, objects can be formed with any geometric complexity or intricacy without the need for elaborate machine setup or final assembly. Rapid prototyping systems also reduce the construction of complex objects to a manageable, straightforward, and relatively fast process. This process is complex, requiring skilled artisans, specialized software programs, and dedicated output devices. The good news for the modern brand marketer is that specialized realization services firms are able to work from a variety of briefs, ranging from a napkin sketch to client-supplied CAD data. Once the rapid prototype emerges from the imaging device, further refinement can be utilized, including sanding, painting, graphic applications, etc. All this is intended to produce a look-like feels-like representation of the final product. What does it take to get started with rapid prototyping? A good idea, a market space, and passion for the project.
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Brand Design - Product Insight
Andrew Manocheo, Design Director – October 2008
What is a brand-experience? What are the key factors that define this experience? What is the role of Product Design in offering a quality brand experience? The first thing to sort out when considering these questions is: What is a product? A product is defined by Webster’s Dictionary as “a thing produced by labor.” This definition may seem vague upon first consideration. In fact, this definition in a very simple and direct way encompasses the thousands of types of products that are made worldwide by companies everyday. Some of the things that are included by this definition range from shampoo to websites and everything in between. Recently, Bank of America introduced a program called “Keep the Change.” The program provides customers with an easy and somewhat transparent way of saving money. Bank of America rounds up purchase amounts to an even dollar amount and transfers the difference to a B of A savings account. This program can and should be considered to be a product and represents a valuable component when defining a brand experience for consumers. The program has been a tremendous commercial success and has been patented to prevent competitors from offering similar services. Now, you might ask, “Where is the labor?” and I would contend that the labor was two-fold. The first component was the labor involved in defining and developing the program for consumers. Programs such as this require a great deal of strategic planning and development. The second component of this “labor” is actually the automated computer systems that perform the financial transactions resulting in consumer savings. This labor creates a brand experience in an intangible way by providing reassurance and a sense of accomplishment that are a result of saving. The brand experience is also defined in a tangible way when consumers view their monthly statement or interact with B of A’s online banking system. Traditionally product design has been thought to only include things such as consumer appliances, furniture, soft goods, etc. Essentially it can be thought of as any non-consumable 3D object that performs some functional or aesthetic purpose. In this context, the traditional role of product design is critical in defining a consumer experience with tangible objects. This experience is a combination of perception and actual interaction with consumer products. It goes without saying that manufacturers should be committed to creating quality experiences for their customers. The success of accomplishing this goal depends upon such factors as product performance and also the product aesthetics. In the current evolution of product design, the term must be considered to include things that fall outside of this narrowly designed category. When evaluating any brand experience, the role of product design is a vital component towards ensuring a quality experience that will help build your brand. All of the most successful manufacturers worldwide benefit by leveraging strategic product planning and creative product design. Things such as consistent form-language, materials specifications, and ergonomic performance together define consistent brand experiences and helps to build a brand’s overall image.
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The Private Label Pendulum
Dennis Furniss, EVP Branding & Design – September 2008
By nature brands are designed to compete, I’d argue that in doing so many of the world’s leading brands are today ignoring a formidable challenge, brand dominance balanced with private label acceptance. The then ignored private label offered little more than good label design across its products. Today that has all changed, take a look at the products and merchandising environments in some of the world’s leading retailers, you’ll see they have become much more sophisticated in appearance and increasingly adept at supporting standalone brands. Competing with, and often outselling, more established and well-known national brands has become all too easy. Forget competing for consumer loyalty, brands simply aren't spending on what really counts, consumer experiences. And as the world’s biggest brands focus on category management and new product innovation, retailers like Sainsbury’s, Wal-Mart, Target, Tesco, InterSpa, Whole Foods and other major chains are slowly but surely plucking the best marketing minds from the world’s leading consumer goods companies. Private Labels are ramping up.
Today’s retailers are less dependent on agency support and their internal creative support teams are vast. Walk into any of the world’s private label producers and you’ll find packaging designers, marketing staff, copywriters and promotional teams, all of whom are devoted to the creation of new private labels. And while packaging remains a core focus, private labels now leverage a set of content delivery tools that national brands can’t possibly compete with. Especially when retailer spending on targeted campaigns for web, TV, direct marketing and print matches or exceeds the total budget spend of many national brands. In short, private labels have awakened to marketing.
So, for big brands it’s simply not enough to have great product ideas. Brands need to be market makers and influence the broader world in which we live. More than merely influencing how they look and spotting the next innovation, brands need to reawaken to great thinking and be more entrepreneurial in spotting real marketing opportunities. McDonald’s has gotten the message and judging by overseas sales this year, they’re lov’in it! When was the last time you saw a McDonald’s threatened by private label? I’ll let you think that one through yourself.
The shocking truth is that far to many food and beverage manufactures are now heavily invested in private label production, in many cases directly competing with their own brands. This degree of risk management for the vast majority should be major concern. The harsh truth is private labels simply cost less to produce and market, and “competing while cooperating” with the private label retailer presents many challenges.
In the past, private labels offered little more than good label design across its products. Today that has all changed, take a look at the products and merchandising environments in some of the world’s leading retailers, you’ll see they have become much more sophisticated in appearance and increasingly adept at supporting standalone brands. Competing with, and often outselling, more established and well-known national brands has become all too easy.
The irony is a sobering problem for both big brands and national retailers. If the pendulum swings to far ether way – both lose!
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