Fewer, better brands...again

I realised i’d first used this phrase back in 2015 on a post here (and probably way before that back in my Interbrand days). But the world does not seem to have moved on, as I mentioned today in this Linkedin post

The gist of the post was that too many B2B businesses are trying to create and maintain too many brands, without understanding what it takes to do so. Have a read, tell me what you think.

BIG, BOLD, BRAVE

Not my words, I should stress. These were the words of one of the Transform Awards judges who decided our work for IFS last year was worthy of a best-in-class Gold award.

It coincided with IFS announcing a new investment from HG which valued the business at $10bn, a significant leap in value since we started working with them. Creative and commercial! Now there’s a thing…

CO-EXISTENTIALISM

With 13m+ trademark applications a year, and more than 60m registered trademarks, coexistence agreements between brand owners are likely to become more and more common. Thought-provoking article from our friends at StobbsIP….including an intriguing hint at the future problems that may line in wait for brand owners in the metaverse.

Read more here

W nd t tlk abt Abrdn

Yesterday Standard Life Aberdeen announced it was rebranding to Abrdn. The FT called me for comment, as they do from time to time. See below for the article.

IMG_4159.jpg

It’s so easy to sling mud at anything new, so before I do - and I will - let me start by saying what makes sense.

Firstly, the business strategy.  The new CEO, Stephen Bird, has made it clear that he wants to focus the business. Rationalising the portfolio of brands makes perfect sense in the context.

Secondly, given the above, this represents a great opportunity for Bird to signal the business was not just consolidating but changing.  And as I said in my article, a bold brand change can be a helpful precursor to, and accelerant of, real change in a business.

Thirdly, anything new and different is always going to feel alien and uncomfortable at the outset.  In fact, if it feels too comfortable it’s probably because it’s generic.

And finally, in a crowded trademark registry, with over 40m registrations on the WIPO database alone, not to mention the complexities of top level domains, creating something new that you can register and own is extremely difficult.  

But…and here comes the mud….that name is a shocker.

Any brand that has to explain how it is pronounced is off to a bad start.  The dropping of vowels feels faddish, evoking the lazy spelling of texting teenagers or TikTok stars.  It tries too hard.

Was it really necessary?  Were the legacy names such a liability that they couldn’t choose one?  There’s a lot of brand equity - and business value - that’s been tossed out of the window here.  There’s a perfectly passable visual identity that is being overlooked in all of this that could have carried much of the weight of change without the collateral damage that the name is creating.

However it’s not just the name.  Beyond the brand architecture question - five brands becoming one - there was no explanation why they needed a new name.  “Our new brand Abrdn builds on our heritage and is modern, dynamic and, most importantly, engaging for all of our client and customer channels,”  said Bird. “It is a highly differentiated brand that will create unity across the business.”  It worries me when I hear senior executives talking about ‘the brand’ like this.  It’s a name and a logo at the moment, and the only engaging that is going on is of the wrong sort.  ‘The brand’ is something that they will build over time and then, only then, will they have something that contributes value.

And that’s the core of the problem here.  There’s no substance to compensate for the clumsy style.  No idea behind the images and the words.  No explanation about how this will result in concrete improvements for intermediaries or customers.  No promise to intrigue or excite.  There’s a forgettable video, with lots of circular objects, that talks in generic terms about togetherness and building a better world.  

The more I look for redeeming features, the more I worry that there really is no story, no clear business strategy for how these businesses come together to be more valuable for their stakeholders.  Financial services is dull, and is crying out for a big modern, technology-led player to lead the way.  But you have to bring people with you, show them what it means, what their role is, why they should be excited, what you’re planning to actually do.

The next time we can expect to see progress in August.  Meanwhile, it’s business as usual “alongside implementation of a full stakeholder engagement plan to manage the transition”.  I pity the group brand team that have to sell this pup to the existing businesses.  Because here is the real danger: that come August the business will try to move forward…but the legacy organisations won’t support it.  And that’s hard.  You need a culture that is pulling for the new vision of the business, not one that is ashamed by the name of the company they work for.  You need employees who are proud of the company they represent, not who quietly participate in the jokes about missing letter Es with intermediaries, colleagues, customers and analysts.  It needs to rally, to galvanise, to excite, not to embarrass.  If they don’t get it right behind the scenes between now and August, it will be a slow, invisible death by apathy.

EMOTIONAL PROFITEERING

I’m getting pissed off.

Here’s the situation, and I doubt I’m alone.

A brand that has me on their database emails me.

It asks for me to support a cause by paying money in some way

The cause is worthy, and my COVID-charged emotions are running high, and so I’m generally pre-disposed to do so.

The mechanism seems simple enough.  Buy a bit more XX, and help the needy.

But wait.  Let me read that email again.  Ah….the commercial penny drops.  This is emotional profiteering.

Here are three examples I have received this week:

  • The worthy note from a chocolate brand urging me to keep buying their product and they’ll support the NHS with their ‘profits’ (which of course is the ultimate get-out clause in a time when few businesses are expecting to operate profitably).  Why not say they’ll give one for one, and then I know they’re contributing too, not just trying to prop up their business?

  • The chirpy message from my coffee supplier reassuring me that  in these tricky times…“We don’t want you to have to think about coffee….. Worried about running out? Get more frequent deliveries, and stock up”.  At a time when the UK government is trying to stop us stockpiling, why not support the home workers of the country with some discounted product and recognise the massive opportunity for new customers to trial your product in the process?  

  • The holiday cottage company that is offering FREE Refund Protection on all bookings, but then explaining that it is not liable for any cancellations.  Why not recognise that, as the government is encouraging us not to move around, it might, just might, be more responsible to be encouraging people NOT to travel at this point in time, thinking beyond short term profit, and encouraging current customers to defer their bookings. 

(Now is not the time for Corona-shaming, but don’t think I wasn’t tempted to name them)

As I have written below, we all need to be supportive and generous. I don’t mind there being a long term benefit for the brand in all this, but if there is no evident skin the game from the brand, then I’m sorry but I will interrogate these offers with suspicion.  It may not be commercial profiteering in the strict sense, but it’s cynical nonetheless.  And it will have consequences.  That holiday cottage company?   I’m going to be desperate for a holiday after all this.  But not with them!!

We’re in unfamiliar, emotionally-heightened times.  We all want to do our bit to help.  And there are lots of ways that brands can meet these emotional needs: with transparency, honesty and integrity…or with small print, cynicism and spin.  Brands of the world, we are watching your actions and we WILL judge you.

Infectious generosity

Hopefully you’ve read my post in LinkedIn. If not, click here. After a weekend of gloom and of talking to lots of people who I trust and respect, I felt I had an obligation to act in the face of Coronavirus. So here is what I’m going to do:

⁃            I’m going to ask our suppliers where they anticipate issues and how we can help?  I’ve already paid my freelancers early as I know they have mortgages to pay and cashflow may dry up.

⁃            I’m going to give my time as freely and as unconditionally as I can for the next three months to clients who need it most, and trust that they will not take advantage and will compensate me in part or in full when they can. Let’s keep those wheels turning!

⁃            Where I see acts of generosity I’m going to celebrate them, because they deserve it.

⁃            And where we’re the recipient of generosity, I will thank our supporters publicly and wholeheartedly, because that’s the least I can do.

If you’re an existing client, I already know we have a good enough relationship that I can trust you won’t cynically take advantage of this.  

There’s risk here, of course: our goodwill is open to exploitation. It’s a risk I accept because, as I see it, there’s risk in not acting, and I intend to come through this with partners and employees who know my company has their back, and clients who know we’re with them for the long run.

So that’s our approach: Ask-Give-Celebrate-Thank.  Until 15th June.  And beyond if it’s the right thing to do.

But don’t forget that Olix is just a tiny business. If you’re still reading this post, I hope you’ll be thinking hard about how you can be generous and how you can help make it #infectiousgenerosity by sharing with others.

Thanks, Fred

Awards

We don’t do work to win awards at Olix, we do it to help clients grow their business. That being said, it’s a nice surprise when we get some recognition So it’s thrilling to be able to say we’ve been shortlisted for the European Transform Awards 2020 for our work with IFS. Fingers crossed for final results in early March

Transform Euro 2020_Shortlisted-01.png