Your brand’s worth is in your own hands!

Your brand’s worth is in your own hands!
You do not have to look far ahead into the horizon to read that businesses are facing an uncertain economic landscape across multiple markets around the globe. We are amidst a landscape in which brand worth has never faced fiercer scrutiny.
 
Moreover, in this environment, a power shift has taken place as price-conscious shoppers have seized control. Price loyalty or brand loyalty?
 
The done to death strategy(dare we call it that?) that brands have been resorting to, to drive volumes has been, no prizes for guessing, discounting. Not only is it a short term strategy but it also does both the brand and the business serious damage in the longer term. Turning the model upside down, research has shown that a 1% price increase can drive a 12-15% increase in profit. That is three times the profit increase seen by boosting sales the same amount. Which shows that the commercial impact of protecting prices can outweigh cutting them to drive volume.
 
Just like most buying decisions are not rational, so is consumers perception of price, which too leans towards the irrational. Behavioural economics studies show that when you flip the context, re bundle your output and shift the focus from price to value through added layers of experience, consumers are willing to pay disproportionately more for it. This, in some way, also endorses the oft used observation that price is the yardstick of quality.
 
By combining data-led pricing strategies with the creativity and behavioural science of a modern agency(be it ISD Global or any other), brands can dramatically outperform the competition in a commoditised market. 
 
Brands can increase their price perception in the eyes of the customer through a 3C Model of Create(through rituals, theatre, value added services)-Connect(establish a culture where customers are happy to pay more like Frappuccino from Starbucks)-Convert( Optimum sales balancing value and volumes, omni channel, something like what hotel chain IHG does).
 
For the community of marketers everywhere, it is time to seize back control of the most ignored, most impactful lever in the marketing mixPricing.
 
 
ENDS
 
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It’s a time to Re-Imagine!

Time to Re Imagine Business! And the time is now. As they say, ” The future is already here, but it is a tad unevenly distributed ‘.

It’s a new world of business. So, isn’t it time to ring out the old and bring in the new? A new mandate has to enter the fray.

Can we shake free of the past? Including(yes definitely) past successes! Can we re imagine an entirely new way of doing business?

Could we stop using these two traditional phrases( I will tell you why):

” Push the envelope “

” Think outside the box “

The problem with both the above(other than their gross overuse) is:

Both suggest that there is an intact envelope or a sturdy box from whose known (and identified borders) we can step out from. But remember:

The envelope is already torn and crumpled..and

The box has been run over by a speeding trailer truck.

So, the task at hand is to:

Think “Weird“, however weird it may sound..be wired for it!

(Re)think ” excellence “

Re-Imagine ” leadership “

Get strange. Did you know that the No 1 source of innovation is ‘ pissed off ‘ people ? People who just cannot tolerate the mundane, the silly, the mediocre that is happening around them. That’s the origin of the best innovation you can ever lay your hands on. So, go ahead and seek pissed off people! HR, are you listening?

Fire the planners. Hire the freaks.

An “excessive cult of the consumer“- ” customer driven” also means being slave to demographics, market research and focus groups. So, ‘listening to customers ‘ might just be the No 1 sin in marketing...

Turn the cliched phrase on its head. ‘The customer is always right‘ to ‘ The customer is always late ‘-

Who wanted Post It Notes? Nobody for a dozen years till 3M ‘ wrote ‘ history and we still keep ‘posting’.

Who wanted Fax Machines? Nobody for the longest time till a ‘ critical mass ‘ of users came along.

Who wanted CDs? Nobody or atleast none of us who had just been through the transformation from phonograph records to tapes. Then the kids started using CDs and the awesome quality of sound made us go Ka-boom!

In the words of Doug Atkin, a partner at Merkley Newman Harty: ” These days you can’t succeed as a company if you’re consumer led-because in a world of constant change, consumers can’t anticipate the next big thing. Companies should be idea-led and consumer-informed”

It’s time to re-imagine. At ISD Global we are constantly trying to be as future ready as possible, driven by the weird, motivated by the untried and fuelled by no fear. To generate ideas that can transform businesses and thereby quality of human life.

Your time starts now. The clock is ticking!

ENDS

www.brandknewmag.com

www.groupisd.com/story