Visa Re-Branding – Life Takes Visa

Visa today unveiled its first new branding direction in 20 years, according to Suzanne Lyons, its executive vice president and chief marketing officer.

The tagline, ending the decades-long reign of “It’s everywhere you want to be,” is “Life takes Visa,” Lyons said. Although the tagline was used in the last couple of years in English-language communications in Latin American countries (actually Visa is using 5 different taglines for 6 different regions of the world – more here), TBWA\Chiat\Day decided to go with it and start promoting it next week during the Winter Olympics Openning ceremony.

The new brand campaign is the latest in a series of milestones marking Visa adapting its brand to its corporate evolution, with recently introduced new governance structure; new brand architecture, including a new logo and a new card design. More about the new branding campaign here: http://www.visa.com/advertising.

Corporate Branding vs. Product Branding

Product branding is a well-known phenomenon in marketing. A brand is a promise to the customer that goes beyond the generic product, the technical and physical attributes. When selling a branded product the company promises that the consumer will achieve special qualities by using the product, different qualities than when using a similar non branded or different branded product. A typical message from the company is “when using this product you will be more attracted, become better looking and signal a higher social class“. By using the branded product the consumer can communicate his/her lifestyle or wanted lifestyle.

On the other side corporate branding refers to the practice of using a company’s name as a product brand name. It is an attempt to leverage corporate brand equity to create product brand recognition. It is a type of family branding or umbrella brand.

Martin Roll, author of Asian Brand Strategy : How Asia Builds Strong Brands has an interesting view on corporate branding:

Corporate branding employs the same methodology and toolbox used in product branding, but it also elevates the approach a step further into the board room, where additional issues around stakeholder relations (shareholders, media, competitors, governments and many others) can help the corporation benefit from a strong and well-managed corporate branding strategy. Not surprisingly, a strong and comprehensive corporate branding strategy requires a high level of personal attention and commitment from the CEO and the senior management to become fully effective and meet the objectives.

Among the advantages of a corporate branding strategy we can count:

  1. the corporate brand is the face of the business strategy, portraying what the corporation aims at doing and what it wants to be known for in the market place, is the overall umbrella for the corporations’ activities and encapsulates its vision, values, personality, positioning and image among many other dimensions.
  2. corporate branding strategy creates simplicity; it stands on top of the brand portfolio as the ultimate identifier of the corporation.
  3. a coporate branding strategy can drive some cost efficiencies that can often be achieved as opposed to a large multi-brand architecture where the corporate brand plays a smaller or insignificant role.

On the other side among main disadvantages of this strategy is that products may not be treated individually, which reduces the focus on the products’ unique characteristics or that the corporate name can become synonymous with a product category

Three different strategies can be approached for corporate branding:

Branded identity is when a company uses different brands for their products that function independent from each other and the company’s brand. The strength of this strategy is the flexibility. The company can build different brands in different marked segments and for different products. If a brand is involved in a scandal it will only damage that brand, and will not hurt the other brands of the company.

Endorsed brand identity is when an organisation has a group of products or companies that it endorses with a group name and a common identity. The strength of this approach lies in the relationship of the products/companies, they can benefit from the goodwill given to others with the same common identity.

Monolithic brand identity is when a company uses only one name and one visual style for all it products. The strength is the simplicity and the potential for growth. The weakness is that one happening; one scandal can cause severe damage even to big strong brands.

Branding News Roundup – 02/04/06

Branding Lessons From GM: What Not To Do
The bottom line is that in the branding business, less is more.

A successful brand has to stand for something. And the more variations to attach to it, the more you risk standing for nothing. This is especially true when what you add actually clashes with your perception. […]Until companies come to grips with the simple fact that they don’t really have an inordinate need to grow, but an inordinate desire to grow (because of Wall Street), bad things will continue to happen. Slowly but surely, brands will lose their meaning as they try to become more.

George W. Bush, Branding Guru?
What lessons can be drawn from Bush as brand guru?

  • Visuals are more important than text
  • PR is the most pow
  • Naming is important
  • Brand to your base
  • Enlist brand allies

Internal Marketing vs. Internal Branding
Where Internal Marketing & Internal Branding Overlap

  • Both approaches recognize employees ARE the brand. As a result, both are focused on engaging employees.
  • Both are part of organizational and marketing strategy to strengthen competitive advantage.
  • Both involve leadership – i.e., neither can be effective without management commitment.

How do we brand ourselves?
Like any branding exercise, the key to personal branding is having a good product, one which you understand and pitch to the right market. The first step in personal branding is knowing who you are, find out what strengths your brand possesses and how these strengths can help you. Personal branding is not about presenting a façade to the public; a poor product will not stand up to market scrutiny. This is also a choice of brand elements, people you deal with, the look that you have, and how you conduct yourself.

Brands vs. Tomorrow’s Major Consumers: Teenagers

GenWorld Teen Study just released by Energy BBDO has interesting information for marketers, giving them some suggestions on how to reach tomorrow’s major consumers: teenagers. Conducted in 13 countries, the study found a worldwide generation is being guided by one ethical code: authenticity.

[..] unlike the Gen-Xers that preceded them, this new generation believes there are causes worth supporting, with 70% agreeing with the statement, “I would fight for a cause I believe in.”

So what does this means for brands? In a statement, Walker said, “The days of a Nike-style mega brand that dominates an entire generation may be over, but so is the enclave-ization of the teen world into stereotypical Skaters, Goths, Geeks and Cool Kids. Welcome to a world with as many different definitions of cool as there are individuals.”

The PDF copy of the report can be seen HERE (PDF, 2.6 MB)

When CEOs Are Part of the Brand

Branson, Gates, Jobs and the examples of CEOs that are part of their corporate brand equity can go on and on. Business Times has an insight on this:

A study by global communications company Burson Marsteller showed that the CEO’s reputation is responsible for approximately 50 per cent of a company’s reputation, which translates into achieving key business objectives and increasing sales.Like it or not, CEOs are part of a company’s brand equity. In other words, the leaders inevitably reflect on the company.

Today, consumers expect a consistency between a company’s brand message and the behaviour and image of its key executives. Brand validity can only be fully achieved if the CEO embodies the brand and its values to meet the new challenges of an increasingly critical and demanding marketplace.

The CEO is often said to be the brand leader or guardian of the company’s brand. Consequently, all CEOs need to clearly understand the value and importance of the powerful, clearly defined corporate and personal brands. They need to ensure that there should be a clear brand strategy in place and that all stakeholders in the organisation understand and embrace it to deliver the brand promise.

6 Basic Qualitites of Brand Positioning

The right positioning incorporates strong values and differentiators that are important to your customers. Brand positioning is important in deciding where you want to position your brand within its category and relative to the competition. We mentioned here before nine positioning types you can think of:

  1. Quality positioning
  2. Value positioning
  3. Feature-driven positioning
  4. Relational positioning
  5. Aspiration positioning
  6. Problem/solution positioning
  7. Rivalry-based positioning
  8. Warm and fuzzy positioning
  9. Benefit-driven positioning

Positioning is an act of seeking, placing and optimizing something in relation to the competition in surrounding environment and is based on customer-company-competitor relationship triangle. In order to move up the ladder in the customer mind, management must follow the rules of positioning. Basic qualities of brand positioning include:

Relevance: Positioning of brand must focus on benefits that are important to people or reflect the character of the product.

Clarity: Brand should be positioned in such a way that it is easy to communicate and quick to comprehend.

Distinctiveness: In current market situation there are reasonably good number of players vying for a share in the market, forcing them to compete on the basis of price or promotion. To overcome such a situation, company needs to offer distinctiveness in its products or services.

Coherence: A brand should speak with one voice through all the elements of the marketing mix.

Commitment: Management should be committed to the position it has adopted. Once a position is adopted, it takes commitment to see it through.

Patience: Patience plays an important role in the success of brand as branding is not a one-day wonder – it takes years to position a brand in consumers’ mind.

Courage: Adopting a strong brand position requires courage as it is much easier to defend an appeal rather than generate sales pitch.

4 Steps To Start-Up Your Brand

Where do you start building up your brand? Steve Strauss author and speaker who specializes in small business and entrepreneurship. answers for USA Today‘s readers:

Step 1: Understand how you are perceived: How do people perceive your business now? Is that how you want to be perceived?

Step 2: Decide upon your Unique Selling Proposition: What makes you or your business unique, different, special? What niche is available that only you can fill?

Step 3: What are customer expectations? What do your clients typically expect of you? What unique attributes do you offer that best fit client expectations?

Step 4: Make it personal, if possible: Who do you trust more, a corporation or a person? Whom would you expect to give you better customer service – a corporation or a person? What about honesty – whom do you think is more honest? The answer to all three, of course, is a person. That is why, if possible, it is often a good idea for a small businessperson to tie his or her own name/personality in with the brand. People like and trust people more than businesses.

The fourth point is probably the strongest and really recommended especially for small businesses cases. Interesting reading here: Time for some brand aid