Building a Relevant Brand - Prophet's Brand Relevance Index

Building a Relevant Brand

Speakers

Jesse PurewalAssociate PartnerProphet@jsp311

Christine Brandt JonesInsights PartnerProphet@cbrandtjones

About Prophet

#ProphetBRI

We believe there’s a way to grow better

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Brand & ExperienceDigital TransformationGrowth Acceleration

We help our clients in three ways

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We are leading thinkers in a digital, social, and mobile world

Brand Relevance IndexPublications Digital Transformation

Prophet Brand Relevance Index 2016 7Proprietary and confidential. Do not distribute.

We measure our success by the impact our clients have in the world

Background

#ProphetBRI

We believe that great brands are Relentlessly Relevant

#ProphetBRI

Relentlessly Relevant brands consistently inspire us and move us to action. They make smart, bold moves that amaze customers, push competitors out of consideration, and – at times – define entirely new categories and markets. And they do it while remaining unwaveringly authentic to who they are.


Relentlessly Relevantbrands Grow Better

MORE PROFITABLE GROWTH

Relevance helps drive top-line growth…

R COEFFICIENT = 0.5*

PROPHET BRAND RELEVANCE INDEX SCORE

10- Y

EAR

REVE

NUE

CAG

R

…and long-term profitable growth

6%

12%

REVENUES PROFITS

TOP 50 BRANDS OF 2015:10-YEAR GROWTH ABOVE S&P 500 AVERAGE

TOP 50 BRANDS OF 2015:10-YEAR GROWTH VS. RELEVANCE SCORE

Source: Prophet Analysis

Four Dimensions of Relentless Relevance

Distinctively Inspired

Pervasively Innovative

Customer Obsessed

Ruthlessly Pragmatic

In touch with how consumers live and work, their needs and desires

Motivates, has a clear purpose, is trustworthy and authentic

Pushes the status quo, commercializes novel solutions, engages in creative ways of working

Makes experiences simple and easy, is dependable, available, practical and consistent

Poll questionAt your company, when it comes to driving relevance, on which of the four key dimensions do you most need to focus in 2017?

#ProphetBRI

CUSTOMER OBSESSED

RUTHLESSLY PRAGMATIC

DISTINCTIVELY INSPIRED

PERVASIVELY INNOVATIVE


We are proud to announce Prophet’s 2016-17 Brand Relevance Index

Why the Index?Why Relentless Relevance?

Q

We decided it was time to introduce an index based exclusively on customer insight – one that could help business leaders and brand builders improve the relevance of their brands.

A


Brand Relevance Index Structure

Consumer brands in ~25 categories that make up household spend

Included on the basis of business performance (current revenue and 3-year revenue growth)

Each region constructed lists 50% global, 50% regional/local

825 unique brands175 global :: 650 regional

45,000 consumersUS 15,000UK 10,000Germany 10,000China 10,000

Sample representative of general populations in each country

(Tier 1 and 2 cities in China)

Respondents are engaged in the category and familiar with any brands they have rated

Respondents rated brands on 16 attributes that define brand relevance, on a 1-7 scale

To calculate scores, (T2B% - B2B%) was calculated for each of the 16 attributes

16 numbers then averaged to determine the score

Respondents rate 5 brands in total (least-fill methodology)

SAMPLE BRAND SELECTION MEASURING RELEVANCE

Brand Relevance IndexResults

#ProphetBRI



Various paths to relevance


Surprises come in two forms

#ProphetBRI

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29

44

Poll questionWhich brand’s position on the Brand Relevance Index surprises you the most?

? A different brand?

Brand Relevance IndexApplication

#ProphetBRI


The Brand Relevance Index is a starting point to continuously improve our clients’ brand relevanceWe work with our clients in three ways to monitor and improve the relevance of their brands:

Develop a custom index to identify and ideate against growth opportunities

Integrate brand relevance measures into a dynamic brand metrics system

Measure the moments across the customer experience where they have the greatest opportunities to drive brand relevance

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Using a customized index, our Insights team helps clients better visualize their drivers of relevance in a variety of ways

Analysis of overall performance versus key competitors

Understand a brand’s position on specific attributes

Breakdown of drivers of relevance overall and in the category

Map views to show geographic influences on relevance


Driving brand relevance for a leading cosmetics retailer


KEY FINDING

Prophet built a custom index for this client, which highlighted opportunities to drive relevance and growth

Capture and own the unclaimed Distinctively Inspired space by completely reimagining the in-store experience

Customer Obsessed

Distinctively Inspired

Pervasively Innovative

Ruthlessly Pragmatic

ILLUSTRATIVE

BRAND RELEVANCE CHARACTERISTICSOVERALL BRAND RELEVANCE RANKING

1 Target2 Urban Decay3 M.A.C.4 NYX5 Sephora6 [BRAND]

No brand currently owns Distinctively Inspired, which suggested a unique opportunity for this client to create a space for itself

BUSINESSOPPORTUNITY


This new focus on capturing and owning the Distinctively Inspired space jump-started their vision for the Store of the Future by guiding how they wanted consumers to experience the brand


Jesse PurewalAssociate Partner(415) 774-6565 @[email protected]

Christine Brandt JonesInsights Partner(646) 724-8618@[email protected]

www.prophet.com

Thank you for attending.

mailto:[email protected]

mailto:[email protected]

http://www.prophet.com/

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Building a Relevant Brand - Prophet's Brand Relevance Index