While cleaning up my scrapbooking room, I came across mementos from our trip to the 2008 Summer Olympics in Beijing, China. These mementos reminded me of a post I intended to write after the trip, as it struck me as ironic while we were in China. The irony? There were no knock-offs of Olympic paraphernalia while we were in Beijing. You could only find Olympic gear at actual events and at the Olympic Village. We all assumed there would be opportunities to buy all over the city, and figured we could find cheaper prices at the markets. Imagine our surprise when we discovered that the only place to find Olympic items was at the over-priced, sanctioned events!

China is known for knock-offs of brand-name everything, from purses and shoes to DVDs and software. It’s just ironic that they managed to rid the city of black-market knock-offs for the Olympics. I assume it was part of the country-wide campaign to put their best foot forward as they stepped onto the world stage. But it does make you wonder: why can’t they control this issue with other manufactured items in the country? Are there just too many factories to oversee, too few incentives to stop the illegal sale of knock-offs, or corruption that makes it profitable? Several locals mentioned that many people in China were not supportive of hosting the Olympics, as it caused financial and emotional disruption for a lot of the population, particularly in Beijing. Maybe the lack of Olympic gear was somewhat of a boycott by the citizens of the city? This seems pretty far-fetched though, as the government continues to maintain a tight reign on citizens’ rights and daily lives.

While I’m not sure why we couldn’t get knock-offs of the Olympic gear, I am sure that this should help the rest of the world take a stand against the sale of knock-offs. This proves that China does have some ability to police the manufacturing industry, and that by partnering with other countries, counterfeit items on the market could be reduced. It further points to the deeper issues with copyright laws in China, and that those laws can be upheld when the world requires China to protect them.

Wise words of wisdom from my Mom! As I embark on the job hunt once again, my Mom reminded me that confidence goes a long way, and that sometimes a mini-makeover is just the confidence boost you need. While pondering my potential personal makeover, I started thinking about what would happen if companies decided to give their brand image a makeover.

The ever-popular debate: to update the brand or not to update the brand, including logos, taglines, color schemes, jingles, mascots, images, etc. Some would argue that the entire point of a brand is to provide recognizable continuity for all aspects of the company, for as long as the company remains viable. Others argue that innovating the brand image with a little face-lift can help reach new markets, and breathe fresh life into a company. I think both are valid arguments, depending on the state of the company. Take Coca-Cola, a company founded over 100 years ago. Their brand image is reliable, All-American, classic, and strong, and they’ve supported this stability by actively upholding and protecting their trademark script letters. Anytime you see that script, you immediately think of Coke. This is the purpose behind the unchanging brand, the ultimate symbol of recognition. Their commercials give you that familiar comfort of a refreshing drink, and you always come back to Coca-Cola Classic. And, if you seek to uphold a brand image of stability, it is probably best to stick with a single image to represent your brand. If however, you seek an image of trendiness, evolution, “fitting in”, and attracting new people, a brand makeover would be a reasonable choice. Naturally, I must turn my attention to the logos presented by Pepsi. While they’ve kept the same color scheme and spherical red, white, and blue, they have significantly altered their look over the years. They’ve also brought in the hottest celebrities for each campaign, and the look of their cans change regularly. Clearly, they’ve been persistent in upholding and protecting a brand that embraces change, and their continual updates enhance this brand identity. I believe either strategy can work for a company, but I think they must make a clear choice about what type of brand identity they want. Companies cannot assume that a makeover will be a fix to problems they encounter, and makeovers should be used as a strategic part of the overall company plan.

So, does your brand image need a makeover, or are you confident that you’ve built a brand image to last a lifetime?

I’ve been thinking a lot about brand identity, and a recent trip to Taco Bell had me laughing about brand identity. They’ve recently introduced “The Drive-Thru Diet”, featuring their Fresca menu. The Fresca menu highlights items with under 9 grams of fat, which is pretty low for a Taco Bell meal. However, “The Drive-Thru Diet” takes it a step further, promoting Taco Bell as a healthy option on your road to weight-loss. WHAT!?!? Hold on a minute… Taco Bell as a weight-loss option? Excuse me while I laugh again at that thought.

It may sound harsh, but does anyone really believe that Taco Bell is a viable option for weight-loss? No. And, quite frankly, Taco Bell should be glad for that, as they’ve spent millions on ad campaigns for late-night meals, and cheap convenience. I loved their “Fourth Meal” campaign and drive-thru windows that stayed open late, and feel that both of those promotions held true to the brand. I just worry that they are putting a lot of effort into something that will ultimately fail because it doesn’t hold true to their brand.

I’m sure Taco Bell has a good reason for launching this new promotion. My thought would be that they are trying to appeal to health-conscious mothers who are trying to feed their children and themselves on short notice. My next thought was that New Year’s Resolutions might offer the perfect opportunity to introduce this new line.

There are always opportunities to move into new markets, but you need to think carefully about what your brand stands for, and how people perceive your brand. If you depart to heavily from the brand identity you’ve cultivated, you may alienate your core audience. So, how many of you are planning to use “The Drive-Thru Diet” to reach your New Year’s Resolutions?

I enjoyed Blue Bell ice cream for my birthday. That might not mean much you, but consider this: I’ve had Blue Bell ice cream at almost every special event for the last 20 years, and you can’t get Blue Bell ice cream in California. My mom shipped it to me! How did Blue Bell make such a loyal customer out of me?

Strong Branding. I can still sing their jingle, and it’s been the same ever since I can remember. Their logo and packaging have remained unchanged, and their product has stayed the same. They add new flavors, but overall, it’s the same brand I’ve known since I was little. If you are constantly changing your brand, customers get confused. They think, “If the brand is changing that much, what’s their product doing?” When you pick your brand identity, make sure you consider the long-term message. The advertising may change, but the heart of the message needs to support your brand identity. Consider the Coca-Cola branding debacle. When they came out with “New Coke”, it failed miserably. People thought of Coca-Cola as “classic”, and didn’t take kindly to be forced into “New Coke”. They knew nothing about “New Coke”, and sales fell. When Coca-Cola went back to their “classic” standard, sales rose.

Build Trust. Getting customers to trust you is a fundamental piece of the puzzle. People are generally risk-averse, so it’s much easier for them to stay with a company they trust. Why try some other ice cream when I know Blue Bell always tastes great? If you can’t build trust directly, build it with a thought-leader. I may not know enough about hard-drives to trust a company’s word, but if my husband trusts that company, I will trust that company. It’s not just about a reputation of quality, it’s about sticking with customers so that they’ll stick with you.

High opportunity cost. Make it hard for people to leave! If you consistently offer exceptional products, prompt customer service, and fair prices, why on Earth would anyone want to leave? I’ve owned two Hondas in my life, and I’m quite content to own Hondas for the rest of my life. The car runs great, the salespeople are knowledgeable, and the maintenance is easy. It’s a high cost for me to try out another brand of car and another dealership. You need to exceed expectations, so that it’s very difficult for anyone to decide to leave.

Become a habit. The more involved you are in a customer’s life, the harder it is for them to leave. Create more touch-points with your customers, and make your product or service part of their everyday life. When I go to the store, I grab the same brands over and over, because that’s what I’ve always done. Habits are hard to break, so once you become a habit, you’ve most likely scored a life-long customer. Additionally, if it was a habit for a parent, it can easily become a habit for a child. You can save on acquisition costs and retention costs by becoming a mainstay in a household. When a new household is started, they’ll continue in the buying habits they built as a child.

So, are your products a mainstay? Do your customers keep coming back?

I watched the VMAs last night, and the talk of the night was the Kanye West debacle with Taylor Swift. For those who didn’t see the Twitter trend, Taylor Swift won the award for best female video. During her speech, Kanye West took the microphone, and proceeded to go on and on about how Beyonce’s video is one of the best of the decade. Needless to say, Taylor Swift was about to cry, Beyonce was embarrassed, and the entire audience was angry. So, what does all of this have to do with co-branding, affiliates, and partners? Kanye West is about to start his tour with Lady Gaga… and guess what? After Kanye’s screw up, Lady Gaga may see her tour ticket sales plummet as well, as audiences attempt to boycott Kanye. This is a long story to say, “Choose wisely!”

Know and trust your partners. It may seem obvious, but you need to take the time to get to know a potential partner. Do your research! How do they treat their customers? Are they financially stable? Are they ethical? You wouldn’t trust your children with a complete stranger, so why would you trust your company reputation with a company that you don’t know?

Don’t alienate your target audience. Companies work hard to build a brand that their customers relate to, and it only takes one bad partnership to alienate your customers. When choosing to co-brand or partner with another company or non-profit, consider the value-add to your customers. Does the potential partner have a complimentary product or service? Do they support a cause that your company and customers are passionate about? Partnerships should be strategic moves that benefit the customer, not short-term endeavors to increase cash flow.

Do it big. If you’re gonna go for it, go for it whole-heartedly! Work with your partner or affiliate to develop a sustainable strategy, and share your resources to accomplish your mutual goals. Take time to understand their products, services, and customers, and let your customers know about the new partnership. If you seem hesitant about your new strategy, your customers will also be hesitant, so show them a united front.

In this economic climate, strategic partnerships can be the key to survival. But be smart about it, and don’t let someone like Kanye crash your ticket sales!

What are you willing to pay for a cup of coffee? How about jeans? Sunscreen or bug repellent? Most would answer, “It depends.” When you start throwing in brands, locations, and extenuating circumstances, you start seeing a fluctuation in price points. Starbucks patrons will pay around $2 a cup for coffee. Jeans can range from $10 a pair to hundreds per pair. We went camping this weekend, and forgot to bring bug repellent. On top of a mountain, we were willing to pay a staggering $10 for a can of bug repellent. So, how important is your brand and location? I’d venture to say it’s the difference between profitable and bankruptcy. So how can you maximize the impact of your price points, mark-ups, and branding?

I discussed knowing your customers in an earlier post, and this is key when deciding your price point. If your value-proposition is largely based on price, you need to make sure that you are targeting consumers who base their decisions largely on price.

Price points and mark-ups go hand-in-hand, as price points can change depending on circumstances. You need to understand which circumstances warrant a higher mark-up, and which circumstances will be seen as outrageously over-priced. The circumstance may be a constant condition, and it may even be integral in your value-proposition. For example, Starbucks seeks to offer a coffee experience, while McDonald’s seeks to offer convenience.

The value of your brand is much more difficult to nail down, particularly because brands stand for values. Consider the cost of a pair of jeans. If you just need a “throw away” pair of jeans, you’re not willing to pay $100 for them, and the value of the brand is generally for convenience and the lowest price. If you’re looking for comfort, you’ll pay more, and go with a brand that stands for comfort, functionality, and flexibility. Some brands offer the most trendy and stylish jeans, with higher-than-average price tags and shorter-than-average life spans. Your brand, and what your brand stands for, plays a huge role in deciding how to price and mark-up your product or service.

So what are your customers paying for? What are they actually willing to pay for? Are you maximizing your opportunities?