Why Branding Should Be At The Core Of Every Business
by Live & Inspire in People+Organizations |
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For the past decade in Malaysia, there have been many messages being propagated and proliferated about branding causing much confusion about what branding is. Some say that it is marketing, others say that it is a logo design; even advertising and communications companies say they are doing branding.
So what is branding?
I believe that branding is all of the above and so much more.
A brand is the human embodiment of a company. One that has a soul, a creed, a personality and intrinsic values. Prior to the dawn of branding, majority of businesses world wide have operated from a purely functional aspect, not understanding the power of the emotional connection that brands can form with their employees, stakeholders and customers. They have just focused on their Visions and Missions to help them grow the company coupled with Standard Operating Procedures (SOPs), Six Sigmas and ISOs. What these companies don’t understand is that the very thing that makes or breaks a company are their biggest assets; human beings with human emotions. More often than not, companies that operate purely from a functional aspect, see higher turnover of staff and in the long run diminishing returns on their products and services.
Oscar Motomura founder and CEO of the Amana-Key Group , an asset management training company in Sao Paulo shares a meeting with the great Peter Drucker who expounded that the “the essence of a company is making a difference, being really useful and creating something the world truly needs. A creed is important because a company without a compelling reason to exist can’t hope to tap into the full potential of its employees.” Drucker goes on to say, “the number of people who are really motivated by money is very small, most people need to feel that they are here for a purpose, and unless an organization can connect to this need to leave something behind that makes this a better world…it won’t be successful over time. (source :The Essence of Company by Oscar Motomura, Harvard Business Review, Nov 2009)
Companies that are perceived to be great brands find themselves in an enviable position with regards to recruiting new staff. They often have the best picks from the cream of the crop and often have very low turnover of staff.
One such case in point is SAS the world’s largest privately held software business — with revenues of $2.3 billion, it has been voted Fortune magazine’s No.1 employer in 2009. How did they get to such an enviable position? SAS’s CEO Jim Goodnight says “My chief assets drive out the gate every day, my job is to make sure they come back.”* To do this, SAS provides health care centres, subsidized meals, massages, child care centre and even free Krispy Kremes. As a result of making their employees feel valued, the average tenure at SAS is 10 years; 300 employees have worked 25 years or more*. Annual (people) turnover was 2% in 2009, compared with the average in the software industry of about 22%. Women make up 45% of its U.S. workforce, which has an average age of 45. In 2009 they hired 264 employees and had 100 applicants for each position*. (*source:100 Best companies to work for. Fortune Magazine, www.money.cnn.com Jan21, 2010)
Over in Malaysia you don’t have to look very far for exemplary employers. Digi has been consistently talked about as an employer of choice for last few years ever since they restructured their organization a few years ago. Building a culture based on Openness, Transparency, Flexibility and Positiveness*, they have managed to consistently grow from strength to strength. They have quite a flat hierarchy; nobody has a personal seat or a desk and everyone gets the same health benefits regardless of their position. They too have Spa days and digizen days where employees get together informally on the grounds for a meal. Not surprisingly, Digi is considered an employer of choice in Malaysia. (*source www.digi.com.my)
Used carefully and wisely, your brand with its creed, values and essence is an indispensable tool in managing and growing your people, delivering great product and services and last but not least, deliver great returns to shareholders.
Companies that understand Brands and Branding and use it to motivate, nurture and grow employees, have seen their products fly off the shelves, even at a premium rate. With the same zeal they have that connects the employees, visionary companies understand that this same zeal has the power to connect emotionally to their consumers as well. Cult Brands are those that consumers refer to as their friends as something they can’t live without. Harley Davidson, is based on companionship and the concept of belonging. It does it so well that it’s consumers are willing to brand the logo on themselves!
Great brands are those who understand us (Apple and Ipod) and make us feel valued. If you have ever walked into a Ritz Carlton anywhere in the world, you will immediately feel the difference. Their brand essence of Ladies and Gentlemen serving Ladies and Gentlemen is deeply instilled in all their staff who carry the brand tenets around in their pocket and before the start of every work day, pick one of the tenets to embody. This is a true example of living the brand. Great brands deliver great products and even if they fail, think Apple’s Newton, they still have a strong following.
Brands have moved from being just mere products to becoming a trusted and sometimes indispensable part of our lives. When you brands rise to the status of friend – you have acquired the means of a stable income through their loyalty thus reducing the risk of running your business. It is the stuff that dreams are made of.
If we are ever to create great international brands, we need to start by first asking ourselves, why are we in business and who are we serving. Do we have the courage to change the status quo in a way that will inspire or make the world a better place? Do we have the will to create a brand that is all about the other rather than ourselves; to not make it about profits and yet reap the profits through honesty, inclusion and inspiration? If you are ready to answer the tough questions and take the first step, then all you need to do is to prepare yourself for brand greatness for it is bound to come knocking at your door.
~~~ About the contributor ~~~
Jia-Ping Lee has over 16 years’ experience in the Brand, Communications and Arts industries. Her brand consultancy journey began when as a Strategic Planner at Leo Burnett she helped set up The Lab SEA, a worldwide brand consultancy company of Leo Burnett with clients such as Malaysia Airlines, Malaysia Airports, Skali, Sony and Phillip Morris. Jia Ping has also served as an independent consultant and a trained Arts facilitator; she has been a pioneer for the Arts for Health movement in KL and has developed and implemented several programmes in KL and UK for Selayang, KL and Kajang Hospitals. She recently conceptualised and developed an educational maze for PS the Children, a local NGO, which won a Silver Kancil and was nominated for a Yellow Pencil at the prestigious D&AD Award 2007 in the UK. Jia Ping holds a Bachelor of Arts degree from University of Melbourne, Australia majoring in Political Science (International Relations). She is the Managing Partner and Principal Consultant to The Listening Tree.
THIS ARTICLE APPEARED IN People+Organizations
Branding, Businesses, communications, jia-ping lee, the listening tree,
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Great stuff, Jia Ping!
I especially love the Ritz Carlton eg of Ladies and Gentlemen serving Ladies and Gentlemen. Branding is so much more than just a logo..
To add to my article. I was just in Shnaghai and managed to experience the Ritz Carlton brand in Pudong. It was amazingly friendly and made you feel very welcomed eventhough we looked like something the cat dragged out. Turns out one of the wait staff was a fellow Malaysian. We chatted and as a gesture of a Gentlemen he gave me a small gift from the cafe saying it made his day to talk to a Malaysian. That small gesture made my week. I am now a Ritz Carlton fan.