Our #1 job as a Challenger Brand Marketing agency is not to create great advertising and implement incisive strategic marketing plans; our job is to help our clients grow their businesses. In the aggregate, designing cool ads and smartly activating them becomes merely part of our job. And, for most marketers, the strength of a business can be measured in terms of Brand Value.
Brand Value is the difference between what it costs to produce a product and what a consumer is willing to pay for it. That delta is the Brand Value. For example, 12oz of water may cost $.07 to produce, package and distribute, but bottled water companies all around the world can fetch from $.49 to $200 – you may want to take a sip of the Kona Nigari Water at $402 per 750ml, which claims to help you lose weight, reduce stress and improve skin tone and quality. The Brand Value for water, like many beverages, oftentimes comes down to what’s on the bottle as opposed to what’s inside the bottle.
Water is not that dissimilar to most businesses when it comes to a prospect’s willingness to purchase. The decision-maker in a competitive environment analyzes the various benefits of a company’s products or services, assesses cost vs. value and selects the option that is best for her or him. All things being equal, would the decision-maker choose the least expensive option, or would they spend a little more because, afterall, it’s Kona Nigari.
We are reminded of the old addage, “No one ever got fired for buying IBM. Essentially, this is the greatest case study for Brand Value. IBM may be more expensive than its competitors, for the exact same service, but the decision-maker takes comfort in hiring the company with the greatest Brand Value; if for no other reason than simple job security.
So, how do you grow Brand Value? Here are four tips:
- Uniqueness – Does your brand look different than the rest of your competitive set? Does your brand stand out on the shelf or online? What does your brand identity say about you? Premium? Professional? Ordinary?
- Propriety – What can only your company say that no other competitor can, and are you saying it?
- Value – Does your prospect clearly understand the value of your offering? Can your prospect simply answer the question, “What’s in it for me?”
- Stop Guessing – If you find yourself saying, “I think this is what we need to say,” or, “I think this what our customer needs to hear,” then you will be stalled in your efforts to elevate your brand’s value. You must know what it is that your customer needs to hear from you that will drive them to purchase and integrate that into your brand’s overall positioning. Commit the time to Discovery – thoroughly understanding your prospects’ emotional triggers and learning what moves them.
Most Challenger Brands’ success rides on their ability to grow Brand Value and make the decision-maker’s job easier.
If you could use assistance building your company’s Brand Value, please contact us at email@example.com.
Until next time…