Five Key Research Findings
1. Loyalty is a function of brand size, not attributes - and is mostly similar from brand to brand - Size (and growth) is driven by number of customers - Brands compete primarily on basis of size$
!
!
!
Implications
The battle is to be considered by more customers more often...$
Not to change your customer base (more loyal, more passionate) - but to enlarge it$
For Maintenance in the face of Competition
Light customers matter (because there are so many)$
Most of your customers are occasional and they buy other brands more often - so they need reminding you are there$
For Growth
To grow, you need lots more customers$
Mass marketing is the path to growth - making your offering as widely available and salient as possible
Five Key Research Findings
!
2. Your customer base looks like your competitors’ - No need to look for your special segment$
!
!
ImplicationsYou don’t need to look for your special segment - Just understand who is in the market Mass marketing means reaching out to everybody in the market - Not that everybody is the same or has the
same needs - But there is little correlation between needs,
attributes and brand use
Five Key Research Findings
!
!
3. Brands don’t need to be Differentiated to be chosen - Distinctiveness is more important$
!
• There are obvious differences between products and sub-groups
• Differences clearly exist between brands
• But buyers don’t have to perceive brands as having a difference (that matters) in order to buy them
• Perceptions vary little between competitive brands
• Differentiation doesn’t lead to different buying patterns - e.g. no greater loyalty
Differentiation or Distinctiveness?
• Distinctiveness is strongly linked to the brand and what it is or does
BUT
• The source of the distinctiveness is not why people buy the brand (a la differentiation)
• It is typically of no value to the buyer
• eg, a colour, a logo, a style, a creative execution
But isn’t that differentation?
• Don’t worry if you can’t differentiate your brand - most have tried and failed..
(But these brands still get bought)
• Don’t waste time and effort looking for USP’s
• Don’t reject a marketing campaign just because it doesn’t have a USP
• DO aim for distinctive creative that is quickly associated with the brand, and can be used in the long term
Implications
Five Key Research Findings
!
!
!
4. Salience is the first and most important step in brand choice
Having a link to the retrieval cue How strong/fresh that link is
Relative to competitors also linked to the cue
Coming to Mind depends on:
You MUST
Reach all potential customers - media strategy (timing, weight, mix) matters$
Get their attention - creativity matters$
Refresh & build memories - branding matters
Five Key Research Findings
!
!
!
!
5. Brand Advertising acts as Publicity - To develop and maintain salience of the brand as it is - Not to persuade that the brand has a specific property
• Cuts through - reaches light and non-buyers!• Is likeable - and therefore watched, remembered!• Is memorable!• Is distinctive - is well branded, and proclaims the
brand
Successful Advertising
• Don’t hobble your creative with persuasion & differentiation objectives!
• Worry a lot about branding - think distinctive, not differentiated!
• Worry a lot about media choice, timing, reach & frequency
Implications
Five Key Research Findings
1. Loyalty is a function of brand size, not attributes - and is mostly similar from brand to brand - Size (and growth) is driven by number of customers - Brands compete primarily on basis of size$
2. Your customer base looks like your competitors’ - No need to look for your special segment$
3. Brands don’t need to be Differentiated to be chosen - Distinctiveness is more important$
4. Salience is the first and most important step in brand choice$
5. Brand Advertising acts as Publicity - To develop and maintain salience of the brand as it is - Not to persuade that the brand has a specific property
what marketers don’t knowByron Sharp
2