Monday, January 19, 2009

Brand Relationship Channels (sm)

In tough economic times, it is even more important that organizations solidify their brand reputations with their publics. They just can't afford to lose a sale because of a tarnish to their reputation.

There are three key relationship channels that every organization needs to think about. Usually, they only think about one of these. The one they think about is the company's relationship with their customers. Actually, this is only half correct. The real relationship channel they need to develop and ensure it is managed well is the relationship between their employees (teams) and their customers.

But there are two other, equally important relationship channels that organizations should develop and manage. The first is the relationship management has with their employees (teams) that ensures the brand is understood and represented professionally. I call this the Vertical or "top-down" channel, but it is as much bottom-up as it is top-down.

In tough economic times, it is even more important that organizations solidify their brand reputations with their publics.
The second relationship channel is what I alluded to above: the relationship between employees and customers. The reason this is so important is that most organization CEOs and management don't have the time to spend with their customers so they better have confidence is what their employees are doing with them ... that relationship better be solid. I call this the Horizontal or "down and out" relationship.

The third relationship channel is Circular and I call it "out and around." This is the relationship between current customers and prospective customers. These prospective customers may be their friends, families, colleagues, etc. Or, they may not even know them. But current customers can still be a huge influence on prospective customers if this relationship channel is developed and managed well.

The crux of all this is that human beings are the most authentic representation of any brand. People who truly understand the brand and are committed to representing it well could be a powerful brand-building resource in an organization's marketing mix.

Maybe the most powerful resource in their entire arsenal.

Thanks for reading. More to come.

[Photo used under the Creative Commons License courtesy of Flickr.]

Saturday, January 3, 2009

The LIFE(sm) Approach to Brand-Building

Several years ago, I was helping some University of Georgia college students with job-hunting and I told them about a customer contact philosophy I use that has the acronym, LIFE(sm). Before I tell you what LIFE stands for, I want to discuss brand messages and a way to approach what organization say about themselves.

More than anything else, an organization must achieve a level of trust from those who will do business with them. According to Stephen Covey, trust is a function of two dynamics: competence (how well you do your job), and character (your integrity). I think there is a third component and I call that commitment (how much you care about your customers' issues). These three form the basis of trust and determine how much organizations are trusted by their customers. There are many ways to build trust among customers but each must be grounded with a genuine effort. Sadly, many organizations continue to market their brands without the authenticity that is always present in great brands.

Perhaps not as important as trust but also critical to success is defining the relevance a brand has in solving the problems its customers have. Great brands continue to be relevant in the lives of those who use them. Staying close to your customers' needs via quantitative and qualitative marketing research can help companies keep their brands relevant to their user base.
Sadly, many organizations continue to market their brands without the authenticity that is always present in great brands.
Once a company has crafted a message that is both relevant and genuine, the question becomes "how"that message is conveyed to the target. By "how" I mean in what ways and how often are customers reached.

Every time a prospective customer or current customer comes in contact with a brand, I call this an "encounter." This can be a call from a salesperson, a drive by the store, a call into the company's customer service office or actual use of the brand. Every one of these is an encounter and there are hundreds of other ways that customers and prospective customers have encounters with brands. Some of these encounters are controlled (outbound) and others are not as controllable. The trick is to control as many of these as possible and, if your brand is genuine in every way, your chances of having positive encounters between your customers and your brand are good.

Just looking at those encounters that you control, the LIFE approach says that you will need a frequent number of encounters to build a memorable reputation for your brand. As a point of reference, pharmaceutical companies tell their reps that they will need to call on physicians 9-11 times before the doctor writes the first prescription for the drug they are selling. Wow! An average of ten sales calls before the first prescription is written. Does that tell you something about the power of perseverance and the importance of frequency?

Now, if you need that level of frequency of sales contact to build a brand, then it stands to reason that those frequent encounters need to be of a low intensity, or you will turn off the prospective customer. Said another way, if you are going to be "in their face," you damn well need to be nice about it. Thus, your authentic and relevant messages need to be presented in Low-Intensity Frequent Encounters (LIFE) to prospective customers. While I generally have given this advice to those marketing professional and business services, in the age of the empowered consumer, the rule applies to about every industry.

In future posts, I will discuss this concept as it relates to brand-building via your own employees and customers. Thanks for reading. More to come.

[Photo used under the Creative Commons License courtesy of Flickr.]