The Blake Project, the brand consultancy behind Branding Strategy Insider, delivers interactive brand education workshops and keynote speeches designed to align marketers on essential concepts in brand management and empower them to release the full potential of the brands they manage.
Category: Gaining Market Share
The conventional wisdom is that marketing expenditures help brands steal share from their competitors. This assumes a fixed pie in which one competitor’s gain is another competitor’s loss. This also implies that products and brands are at least somewhat interchangeable in customers’ minds.
There is a much more productive way to approach business growth. Expand the pie by better understanding and meeting customer needs, not just once but continuously. Through greater customer intimacy and insight, you will find ways to better meet your customers’ needs, meet more of their needs and even anticipate their future needs. In this way, you will become more valuable to them and they will become more dependent on and emotionally connected and loyal to your brand.
Another approach beyond stealing share is to bake a new pie that only your brand owns. That is, redefine what you offer in a way that make’s your brand a “category of one,” that is, the only brand that can fulfill the new category’s need. Branding Strategy Insider has more on “category of one” brands here.
And finally, consider the wisdom offered by Adam Brandenburger and Barry Nalebuff in their book, Co-opetition: A Revolution Mindset That Combines Competition and Cooperation: The Game Theory Strategy That's Changing the Game of Business, which is to reframe other businesses and brands operating in your brand’s categories not primarily as competitors from whom you need to steal share, but rather as partners with whom you can expand the pie.
Brand marketers should know and consider that stealing share is a much tougher and less rewarding business strategy than increasing your revenues through new product and service development, innovation, reframing the category and forming strategic partnerships.
Sponsored By: The Brand Positioning WorkshopRead More
The economic downturn plaguing Western developed economies has been characterized as a once-in-75-years event, and policymakers have been criticized for mishandling economic policies because of a lack of experience with such a rare occurrence. But marketers have no such excuse. While this downturn is unusually severe, extended and difficult, it is an altogether familiar marketing puzzle. What marketers face is not unknown to them. It is a battle for share.
With Western developed economies hobbled and growing slowly at best, there is no rising tide of demand and spending to lift all brand boats. To create momentum for their brands, marketers must, instead, take demand from competitors. When more demand is not being created, brand growth can come only from greater share of the demand available.
The current generation of marketing leaders has not experienced a downturn like this before. But marketers have lots of experience with the kind of response that’s needed. Simply put, marketers who win the market share battle facing their brands will have growing brands whatever the state of the macroeconomy.
Since stealing market share is a known quantity to brand marketers, it is disingenuous to pretend that there is something new to say about what must be done. The key thing is for marketers to wake up to the fact that in the face of something utterly out of the ordinary, the best response is something completely commonplace. But even so, it’s probably not a bad idea to offer a few reminders of what this means for brand marketing, three things in particular.Read More