Rethinking Prestige Branding
You probably believe that Red Bull, an energy drink company, and Herms, the luxury fashion house, are not related whatsoever. However, if you take a closer look, youll notice that these two world renowned companies observe the same seven marketing principles that have helped maintain their consistent success.
So, what exactly are the seven principles and how can they help companies surpass the competition?
Exclusivity and high prices dont signify prestige anymore, as technology has leveled the playing field.
Business strategies shift simultaneously with the global economy. So, in order to build a prominent brand, what does your company need to know?
High prices is a strategy of the past. It no longer works as well as it once did. Through flamboyant price tags, companies and their customers used to be able to stand out from the rest of the brands. The image of the product was a type of status symbol that showed that only very wealthy customers could afford it.
However, today, almost anyone can purchase such prestigious brands with the help of online flash sales that offer discounted designer wear. People can also rent luxurious vehicles by the hour. Thus, being prestigious is no longer an exclusive status.
Today, the status operator is knowledge. People now look up to the nerds because of their superior intelligence. In fact, many of them are now rich IT professionals.
As a result, this suggests that your company can become prestigious by being in the know. A few examples include employing innovative technologies or trying to make or be the newest fashion trend.
The more knowledgeable a brand is, the more knowledgeable their customers look. This is due to the fact that occasionally you need privileged information in order to get a brand. Take for example a skater. They might separate themselves from others by only wearing real skater gear.
Additionally, you must be truthful and ethical in your brand dealing in order to build your brand prestige. You cant use child labor when assembling clothes nor can you pollute the environment to produce your product. Customers expect the best from you since they support you.
Today, consumers can share information with ease about a variety of brands with the help of online technology. As a result, bad reviews move around very fast and they can destroy your brands image. Some ways that customers have ruined brands reputation is through social networks and brand boycotts because of broken promises or poor working conditions.
So, companies choose to use those same channels to make a connection with the consumers who care about both the environment and social issues in order to earn their respect by promoting their social responsibility to the world.
Prestige brands define excellence themselves and provide the authenticity that consumers now seek.
In 1873, Friedrich Nietzsche, a German philosopher, created a theory regarding a new kind of person who is independent, ahead of the game and lives by their own rules and principles. That type of person is called an Ueber-Mensch.
Today, famous brands work the way this type of theoretical person works. These Ueber-Brands stand by self-created values and ideals instead of trying to be the best in typical, pre-established departments like being the quickest vehicle on the market, the most high-priced fur coat or yet another restaurant that boasts three Michelin stars. In other words, these brands now strive to make greatness for themselves instead of trying to get on somebody elses terms.
So, how do you define a brand that is an ueber brand? Apple is a great example. Their goal isnt to create the most technologically advanced items on the market. Instead, they strive to make technical works of art that integrate seamlessly into our daily lives. This mission is a piece of an even bigger corporate trend that many leaders, such as top CEOs, try to accomplish. They want something more meaningful than just getting a profit and satisfying shareholders. They dont only care about their products. They also care about their consumers and the way their company production impacts the environment.
Take, for example, Paul Polman, the Unilever CEO. He states that he works for his consumers, not for the traditional aim of increasing his companys share price.
On top of that, consumers have also changed their mentality towards branding and now search for companies with more meaning and uniqueness in the items that they buy. They dont value mass-produced, identical products. They want items that are personal and authentic. They would rather have soap created from real flower petals in contrast to the typical, artificially scented soap that you can buy from any drugstore. To summarize, today, consumers would much prefer goods with substance, so what do Ueber-Brands need to do in order to please these customers?
Establishing an Ueber-Brand means defining and promoting your companys unique mission.
Today, you have to make items that are more than just pretty and nicely designed if you want to become a prestigious brand. You also need to utilize the seven secrets of prestige branding.
The first secret is to set yourself apart from the rest of the competition. The company has to follow a mission that no else uses and abide by it under every circumstance since todays customers want to have more meaning during the purchasing process. Thus, create your inspiration and explain the initiative of your company in order to stand out from the rest.
The majority of companies still do business for the money, but having a mission of yield insane profits is not captivating or creative. As a result, keep a distance from the profit-based past and make a mission that is actually meaningful, even if it might turn away a few of your consumers.
Edka, a German supermarket chain, is a nice example of a brand that has become better due to a well-defined mission statement. They set a goal to be a supermarket chain dedicated to quality food. They meticulously recreated its stores to echo their new mission and taught their employees more about the chains products. During their development, they were in danger of losing the customers that had purchased items there because of low prices or certain goods. Nonetheless, in the end, Edka emerged with many new and loyal customers that are quality-conscious.
So, what does your company need to do to make the same thing happen to your brand?
You can choose and advertise your mission in two ways. The first way is to act on a social, environmental or political objective. For example, Patagonia, an outdoor gear company, made a statement by showing its commitment to sustainability in outdoor wear by creating quality products made out of damaged and recycled materials. Another way is to recreate a specific classification or to make a standard. For example, Starbucks took a bet on the market by making European-styled caf places where you can relish in coffee and a different language that is used to define drinks and their sizes.
Ueber-Brands balance exclusivity and belonging while seducing new customers to join the club.
Brands often lose their prestigious status when their products become a part of the mass-consumption market. So, how does, for example, Ben & Jerrys keep up with its hipness while being able to be bought at basically every supermarket? This ice cream brand is an example of the second secret to Ueber-Branding. You need to balance exclusivity with inclusivity.
In order to get to this perfect middle ground, you need to apply a certain kind of advertising in order to address a specific group of people. They are people who are considered to be hip, stunning and successful, which is the companys design target.
Once they draw in their target group of people, a bigger group of customers come naturally. That set of consumers want to be a part of the target but just arent quite there yet. Above all, they think that consuming those prestigious brands will make them be just as cool as the target group.
Metaphorically, think of the two groups as being separated by a velvet rope- the same one that separates fans from movie stars at the Academy Awards. In Ben & Jerrys circumstance, the brands design target consists of cool, strong, and slightly politically left-leaning people that love the environment and who are not fans of regular flavored ice cream. The fans on the other hand, are not as hip or cultured and look towards the company as a means of association.
Additionally, it is crucial for Ueber-Brands to gain the attention of customers in cunning ways instead of by a hard sell. Discounters and mass brands strive for obvious sales pitches, but doing the same thing to those prestige brands with an attractive image of an Ueber-Brand would be damaging. It is not a secret that Ueber-Brands have to advertise as well, but their goal is to do so more subtly. They need to use the technique called un-selling, which is the third secret of prestige branding. Take, for example, Abercrombie & Fitch. They hardly ever have their products in advertisements. Their ads just enlighten potential customers of the brands great heritage or tell a customer how to take care of such a valuable product. This way, the company shows people that having and Abercrombie & Fitch item is a true desire.
Cultivate an inspiring story around your brand to draw in customers and keep them hooked.
Good storytelling has become the structure that unifies people and society ever since our ancestors started telling their hunting tales around the fire. The love of stories with the want for signification are powerful tools to make your brand better. Take, for example, Moleskine, a notebook company. They have a nice brand story about continuing the disappearing tradition of hand-written notes in the digital age. Thus, using a Moleskine notebook can be seen as an act of resistance in the world during the age of technology. This brand helps customers recall amazing writers such as Ernest Hemingway, who had jotted his ideas in a notebook that he had kept in his pocket. This implies that buying and writing in a Moleskin lets you pursue the footsteps of literary giants.
Additionally, storytelling lets companies create myths or stories that people can believe in. This comes to an advantage in this day and age since a strong belief in religion is no longer prevalent in society. However, brands can use this emptiness to stage its history as a myth, which helps depict the company as a hero of our times.
The fourth secret of prestige is exactly that, tell a captivating story or create a powerful myth. The best way to use it is to create a story all by yourself. Your customers will gladly put the pieces together themselves. You just need to incorporate the crucial aspects of an enticing story.
Start with a relatable character. They can be based off of archetypes or universal roles such as the hero or on the contrary, the rebel. After defining the character, unfold the story by talking about how they overcome a challenge.
Take, for example, Chanel, the luxury fashion brand. The brands story is about their founder, Coco Chanel, whose parents were unmarried clothes washers, was raised in a convent, later in life found a knack for design and eventually became one of the most celebrated fashion icons of the twentieth century.
This kind of story catches the attention of and inspires audiences to view your brand as heroic. They also now link an encouraging story of triumph with the company.
To truly become a prestige brand, your product needs to deliver on the expectations you create.
Now that you have created an enticing story and your new customers are interested in learning more about both your company and your product, which component should your product include to make sure that your customer leaves with one or more items?
It is important for an Euber-Brand to have ueber products, ones that achieve the promise created by the brands myth. It is almost impossible to make a prestigious brand without creating a product that either meets or exceeds the expectations of the brands myth.
Thus, the fifth secret of prestige branding is that your products are crucial for maintaining your prestigious brand since they embody the story of your brand.
Take for example the sports car company, Porsche. Their story is based on performance. There is no doubt about the fact that Porsche sport vehicles are some of the most high-performing vehicles in the world.
As a result, should your product fail to meet the expectations of your customers, those customers who are there because of the myth will be gravely disappointed with the inconsistency. However, in order to exceed expectations, you cant just make a high quality product. You will also need to show your product in a fashionable manor on the market. This can be achieved by setting up your product similarly to a holy grail. Put simply, make your product appear to be much more superior to the other ones. Take the beverage company, Nespresso, for example. They display the espresso machines in special boutiques and are placed higher up on illuminated pedestals, which makes it look like a valuable piece of art.
Making a tradition around the consumption of your product is another strategy. For example, before putting on Crme de la Mer, an expensive facial cream, the consumer must melt the perfect amount between two fingers. There are how-to videos on the companys website that explain its enhanced application techniques.
Realize your mission and myth while moderating growth to preserve your prestige brand.
Do cool and unique brands have their employees work in dull gray cubicles with a set time of nine to five? Not really.
The sixth secret of a prestigious brand is to line up your everyday activities along with your mission and tale. The mission and tale of your company should first and foremost be a true reflection of your companys values. If it is not, then your customers will perceive you as dishonest and thus, your tale will die. As a result, it is crucial to pay attention to the reflection if you want your company that is currently not yet cool to become cool. By creating unique and unconventional work spaces, you will be able to look inviting towards both creative and liberated workers who will help you create the public image that you desire. Should you not follow this approach, you wont be seen as unique. In fact, your brand will be thought of as an imposter.
Additionally, you will need add a member to your team that will help convert your brands statement into fruitful business decisions. Two-person teams often lead Ueber-Brands. One of them is usually the creative visual whereas the other member is often times the true business man. Take, for example, the fashion company, Gucci. This business accelerated once Domenico De Sole, the business man, began partnering with the designer, Tom Ford.
The last secret to prestigious branding is to pay attention to smart and constant growth. Growth is key to surviving in this awfully competitive world. Ueber-Brands understand that at first, you need to grow slowly. It is a small price to pay for a long-term development as well as the evolution towards the excellence of a product, mission and tale. Standing by this approach will most definitely pay off in the future. Not only will your brand see a rapid change in growth, but it will also become a very sought after brand by consumers with the help of your well-told tale.
However, do not dismiss balance. As a prestigious brand, you need to monitor growth to make sure that your brand is appropriately limited, unique, and sticks to your mission statement. In fact, some brands act contradictory to stay true to their mission. Take, for example, the clothing company, Patagonia. They place such a heavy accent on sustainability in their statement that they even ask consumers to purchase less clothing!
Final Summary
The ever changing economic environment has recreated prestigious branding into ueber branding. It is somewhat similar to its latter in regards to scope and performance, but it works much differently. At the core of an ueber approach is the brands mission and tale which are used to appeal to customers and help a company evolve.
Practical advice:
Make sure you know what you dont want your company to do.
The validity of your company comes from both what it does and what it does not do. As a result, your company must have clear boundaries. If, for example, your mission statement is to create fashionable wear, but in the most ethically way possible, then you should never make fur coats, even if in the future they will be the most popular item of clothing on the market.
Additionally, let your customers know why your mission statement is what it is. Although you may initially lose some customers in the process, you will also increase your customer base with the people who really care about the cause. As a result, youll have more loyal customers.