Monday, May 23, 2011

Brand Advice for Lance Armstrong: "Come Clean"

I tend to believe where there is smoke, there is indeed fire. For example, Arnold Schwarzenegger has been said to have been a womanizer for years. Are we all that surprised he had an affair and consequently a love child? Similarly, we've listened to accusations against  Lance Armstrong regarding his use of performance enhancing drugs (PEDs) for quite some time. No matter how fast he is on his bike, the reality is he will not be able to outrun these accusations forever. The truth will eventually come out and each week the case against him grows stronger and stronger. Even his own teammates are starting to talk about how they witnessed him using PEDs. I know there is pride at stake. I know there are 7 Tour de France victories. And most importantly, there is the Livestrong brand that could be tarnished. Or not, depending on how Lance and his team decide to handle things. It's the Livestrong brand that can ultimately save Lance Armstrong from public ruin. Here's my advice.

Step 1. Swallow your pride and step aside. You messed up and it's now time to make this less about Lance Armstrong the cyclist and more about Lance Armstrong the philanthropist.

Step 2. Come clean. Craft a story around why you used PEDs. There are tons of directions you can take here. For example, you just overcame cancer. Cycling was your passion and you realized you could use it as your platform to raise awareness about cancer. You needed the extra help to be competitive and strong again. You weren't intending on using PEDs long. YOU MADE A MISTAKE. Keep it short. Don't point any fingers anywhere else. Move on.

Step 3. Build Livestrong brand awareness. Remind people how Livestrong was created to improve the lives of people affected by cancer. In addition to cancer related programs, Livestrong inspires all people to eat healthy and get fit. Stress how the Lance Armstrong Foundation has raised over 400 million dollars for the fight against cancer.

I believe if Lance were to be honest and follow these three steps, he'd be able to salvage the good he's already built through his foundation and the Livestrong brand. In time, he may even be able to rebuild his personal brand. If he continues to deny the accusations and they eventually find him guilty of using PEDs, he will not only damage his personal brand, but could take the Livestrong brand down with him. People won't trust him as a person and as a result, may not trust him with their charitable donations. In the end, everyone would lose. Come clean, focus everyone back on the good and let the healing begin.

Wednesday, May 18, 2011

HP Peddles Hate (H8)

To this point, Brand Marbles has only been posting on the positive side of the world of branding. Today, HP wins the distinction of being my first negative post. HP recently announced the launch of their "most powerful" line of PCs yet - the HP Pavilion HPE H8. Really? H8? Hate? Trust me when I say naming is one of the most difficult exercises in all of branding. It's extremely subjective and really hard to find names that are unique, available and ownable in the consumers' mindset. Sometimes, negative reactions to a name can payoff in the long run by gaining so much press at launch it drives consumers to take notice (ie. Nintendo Wii, Apple iPad). But there is a difference between not understanding or liking a particular name and putting a name out there that visibly suggests something as negative as the word "hate". You could even argue HP is out to "HYPE HATE" with their "HPE H8". Names are a direct extension of a company's brand and arguably, with a logo, the most visible. I doubt one of HP's brand attributes is hate. Now do I honestly believe this name will detract buyers from purchasing a H8 computer? No. But if for some reason this product does not perform up to consumers' or the industry's expectations, it will feed detractors plenty of fodder for brand bashing. I can see potential headlines now. "Consumers Hate H8." ***Feel free to post your own creative headlines below*** HP better hope the H8 outperforms expectations or they'll be left standing on the playground with no marbles.

Tuesday, May 17, 2011

Maytag Repairman Gets Even More Bored

Maytag recently announced they are launching a new ad campaign that will limit the role of their long standing brand champion, The Maytag Repairman. For over 100 years the man in the blue uniform had nothing to do because of the reliability of Maytag machines. The new campaign, entitled "What's Inside Matters", is going to focus more on the consumer's everyday lifestyle and their specific laundry needs. The repairman will make a cameo appearance to maintain a connection to the brand history, but will not be the focus of the new ads.

I was asked by a friend what my thoughts were on this strategy. If evolving such an identifiable brand figure is a good or bad thing? Of course, only time will tell if this is a good brand strategy, but my gut tells me Maytag is trying to maintain some relevancy in a constantly shifting consumer mindset. No matter the history a company may have with a brand figure, if it's not serving the type of awareness needed to drive consumer reaction then it's time for adjustments. I have a feeling they believe the repairman is not as important to their consumers as he used to be. That the message of reliability is not enough of a brand message by itself. There comes a time when a specific brand message becomes the norm in the marketplace. I call these messages brand mandatories. Reliability is a given in the industry and no longer a differentiator. To continue to hang your hat on that single message would eventually result in a loss of market share because the industry has moved on to newer messages that are now more important to the consumer.

I was recently involved in the purchase of a new washing machine and dryer. I was shocked to see what these machines now do. They talk to each other. They have more settings than a jewelry store. When the bells and whistles start piling up, it's more about what they do than just the fact that they work on a daily basis. I believe Maytag is handling this perfectly. They are not completely doing away with what their brand stands for - reliability in the form of a bored repairman. He's still there, but they are shifting their messaging to things that make that reliability relevant in today's marketplace. They're smart to keep him around, because if their gamble is wrong his limited role can be increased again.

Thursday, May 5, 2011

Hyundai Gets Emotional

I have to admit, I am not always a fan of advertisements in the car industry. You see the same stuff over and over again. Cars driving at 100 mph through the desert. Attempts at car dealership humor. And the always popular long picturesque drive. Over the last few years, I've started to really take notice of Hyundai's marketing campaigns and for good reason. They are delivering emotional benefits in a time of uncertainty and it's really starting to payoff.

My approach to branding has always included building a brand based on multiple attributes. All geared towards connecting with a consumer on multiple levels. One of the most important attributes for any brand is the emotional benefit the brand provides the consumer. No matter who the company is and what the product or service they provide there needs to be a well defined emotional benefit. This is a hard sell in some industries. Especially when it involves technology. I can't tell you how many times I've had to ask a room full of technology executives the question "where is the emotion?". It's an easy thing to forget, but it's extremely important to the success of a brand to let the consumer know how you care about them.

Hyundai Assurance delivers trunk loads of brand emotional benefits to their consumers. It started with the groundbreaking, recession proof offer: "Finance or lease any new Hyundai, and if in the next year you lose your income, we'll let you return it." Now it's transformed into a Trade-In Value Guarantee. A program that future-proofs the value of your new Hyundai by guaranteeing today exactly how much it will be worth two, three, or four years from now. Both let the consumer know that it's safe to spend money on a Hyundai. Even in these uncertain times.

The emotional benefit is paying off. Hyundai attracted 538,228 new customers in 2010, which was a 24% increase from the year before (*Hyundai in the News, March 2, 2011). This is a significant growth while other car manufacturer's are struggling. It also helps that they are starting to deliver on style, safety, performance and eco-friendliness. They truly are delivering on their tagline "New Thinking. New Possibilities." which obviously equals new customers. Goes to show, business IS personal and Hyundai is out making a lot of new friends.