BRANDING and COMMUNICATING CORPORATE CITIZENSHIP Lawrence E. Moore, Ph.D. Boston Center for Corporate Citizenship Overview Branding 1. What Brands Are 2. How Brands Are Built 3. Implications for Corporate Citizenship/Reputation Branding 1. What Brands Are 2. How Brands Are Built. 3. Implications for Corporate Citizenship What Brands Are: Definitions • An Exercise 4 Branding 1. What Brands Are 2. How Brands Are Built 3. How Corporate Citizenship Brands Are Built Branding: How Brands Are Built • A Large number of processes and tools are applied • No one, universally accepted process or tool • But…all are grounded in the same fundamentals of branding. • The best are a blend of Magic & Management 6 Branding: How Brands Are Built • A Branding Process for Illustration and Understanding FIRST: SECOND: Brand Strategy Development Brand Identity 2.1 Value Proposition 2.2 Brand Position 3 Fundamentals of Branding 2.3 Brand Position Statement 2.3 Brand Statement 2.3 Brand Momentum Equation 2.3 Creative Strategy Statement 2.3 An approach 7 Branding: How Brands Are Built Brand Strategy Brand Identity Value Proposition Brand Position 8 Branding: How Brands Are Built Brand Strategy Development CUSTOMER INDUSTRY ASSERTION Identification Segmentation Prioritization Competitive Environment Industry Structure Technology Trends Purpose/Vision Belief/Insight Market Position Define Target Customer Define Market Opportunity Define Brand (Ralph Lauren, Patagonia) (Volkswagen, Nickelodeon, MTV) 9 (Home Depot, Starbucks, Saturn) Branding: How Brands Are Built Brand Identity • Based on the brand strategy, define the Brand Identity. – First: Value Proposition – Second: Brand Position 10 Branding: How Brands Are Built Value Proposition • Definition: The components of value the brand, as a whole, delivers. RATIONAL 11 EMOTIONAL Branding: How Brands Are Built Value Proposition • Definition: The components of value the brand, as a whole, delivers. RATIONAL Product Features, Benefits, Technology Service Convenience, Access, Offerings Price Premium, Value, Discount Company Organization, Innovation, Location, Ethics 12 EMOTIONAL Branding: How Brands Are Built Value Proposition • Definition: The components of value the brand, as a whole, delivers. RATIONAL EMOTIONAL Product Image Features, Benefits, Technology Imagery, Feelings, Heritage/History Service Self-Expression Convenience, Access, Offerings Individual Aspirations, Attitude, Lifestyle, Personality Price Premium, Value, Discount Company Organization, Innovation, Location, Ethics 13 Branding: How Brands Are Built Brand Position The portion of the value proposition we choose to emphasize to the target audience because we believe it to be compelling to the target, differentiated from competitors and sustainable 14 Branding: How Brands Are Built • THREE FUNDAMENTALS OF BRAND POSITION 1. Disciplined Focus 2. Meaningful Differentiation 3. Human Connection 15 Branding: How Brands Are Built Brand Position The portion of the value proposition we choose to emphasize to the target audience because we believe it to be compelling to the target, differentiated from competitors and sustainable 16 Branding: How Brands Are Built Tools for Defining and Communicating a Brand Position 1. Brand Position Statement 2. Brand Statement 3. Brand Momentum Equation 4. Creative Brief 5. Brand Personality Tools 17 How Brands Are Built: Tools for Defining & Communicating Brand Position 1. Brand Position Statement: An Example For upper income men who own imported luxury sedans (Target Audience) Cadillac Deville Concourse is the technologically advanced, yet good value, luxury sports sedan (Position) which has unique technology features, makes you feel successful, is powerful and fun to drive (Consumer Benefits) because it has StabilTrak, OnStar and 300hp Northstar System it has European Styling it is priced thousands less than comparable European Sedans (Reason To Believe) Source: The Timberland Company/Monitor Company 18 How Brands Are Built: Tools for Defining & Communicating Brand Position 2. Brand Statement A clear, compelling statement of the brand’s positioning with the target audience. Answers 5 questions: 1. Who are we? 2. What are the categories in which we will compete? 3. Who is our target audience? 4. What do we do for them? 5. How do we do it? Source: The Timberland Company 19 How Brands Are Built: Tools for Defining & Communicating Brand Position 2. Brand Statement: Some Examples L.L. Bean L.L. Bean will be a leader in the outdoor industry offering, offering high quality equipment and apparel, backed by world class service, to outdoor oriented consumers. The Home Depot The Home Depot will give consumers the best possible retail experience when they enter our stores by being the leading innovator in the home center retail industry through combining economies of scale inherent in a warehouse format with a level of customer service unprecedented amongst warehouse style retailers. Source: The Timberland Company 20 How Brands Are Built: Tools for Defining & Communicating Brand Position 3. Brand Momentum Equation Sell This… Position . Source: Carmichael/Lynch 21 By Saying This… Key Promise In This Way…. Attitude Resulting in This. Desired Perception 22 How Brands Are Built: Tools for Defining & Communicating Brand Position 3. Brand Momentum Equation: An Example Sell This… Position Harley Davidson is the ultimate motorcycle experience, rooted in freedom, individualism and quest for adventure. Source: Carmichael/Lynch 23 By Saying This… Key Promise In This Way…. Attitude Resulting in This. Desired Perception How Brands Are Built: Tools for Defining & Communicating Brand Position 3. Brand Momentum Equation: An Example Sell This… Position Harley Davidson is the ultimate motorcycle experience, rooted in freedom, individualism and quest for adventure. Source: Carmichael/Lynch 24 By Saying This… Key Promise Harley Davidson represents an uncompromised philosophy of living. In This Way…. Attitude Resulting in This. Desired Perception How Brands Are Built: Tools for Defining & Communicating Brand Position 3. Brand Momentum Equation: An Example Sell This… Position Harley Davidson is the ultimate motorcycle experience, rooted in freedom, individualism and quest for adventure. By Saying This… Key Promise Harley Davidson represents an uncompromised philosophy of living. In This Way…. Attitude Young at Heart Irreverent Into The Wind Alone Together Source: Carmichael/Lynch 25 Resulting in This. Desired Perception How Brands Are Built: Tools for Defining & Communicating Brand Position 3. Brand Momentum Equation: An Example Sell This… Position Harley Davidson is the ultimate motorcycle experience, rooted in freedom, individualism and quest for adventure. By Saying This… Key Promise Harley Davidson represents an uncompromised philosophy of living. In This Way…. Attitude Young at Heart Irreverent Into The Wind Alone Together Source: Carmichael/Lynch 26 Resulting in This. Desired Perception Harley Davidson’s unwavering commitment to pure motorcycling enables me to live my life on my own terms. 27 How Brands Are Built: Tools for Defining & Communicating Brand Position 5. Brand Personality 1. If your brand were a car, what kind of car would it be? 2. If your brand were a celebrity, who would it be? 3. If your brand were an animal, what animal would it be? 4. If your brand were a blind date, describe what that person would be like? 28 Branding Tools: Summary All the tools simply take different paths to the same 3 fundamentals. DISCIPLINED FOCUS MEANINGFUL DIFFERENTIATION BE HUMAN Choose… Choose Wisely… Be Human… Be Explicit Be Relevant Be Close -Clear focus -Listen. Most Compelling. -A person, not a target audience. Be Relentless Be Distinct Emotional, not rational -Adherence to standards -Uniquely you Be Committed Be Authentic - Long Term - Truth. Authenticity. Substance. 29 Be Human Branding 1. What Brands Are 2. How Brands Are Built 3. How Corporate Citizenship Brands Are Built Branding: How Corporate Citizenship Brands Are Built • The Same Principles, Process and Tools apply. FIRST: SECOND: Citizenship Brand Strategy Development Citizenship Brand Identity First: Value Proposition Second: Brand Position - 3 Fundamentals of Brand Position - Brand Position Statement - Brand Statement - Brand Momentum Equation - Creative Strategy Statement 31 Branding: How Corporate Citizenship Brands Are Built Citizenship Brand Strategy Citizenship Brand Identity Value Proposition Brand Position 32 Branding: How Corporate Citizenship Brands Are Built Corporate Citizenship Brand Strategy Development CUSTOMER INDUSTRY ASSERTION Identification Segmentation Prioritization Competitive Environment Industry Structure Technology Trends Purpose/Vision Belief/Insight Market Position Define Target Stakeholder Define Market Opportunity Define Brand (Patagonia, Levis: ) (Avon: Breast Cancer, MTV: Rock The Vote) 33 (Starbucks: Environmental/Commitment to Origins,) Branding: How Corporate Citizenship Brands Are Built Value Proposition • Definition: The components of value the brand, as a whole, delivers. RATIONAL 34 EMOTIONAL Branding: How Corporate Citizenship Brands Are Built Corporate Citizenship Value Proposition • Definition: The components of value the corporate citizenship programs, as a whole, deliver. RATIONAL Community Investment Philanthropy, Volunteerism, Partnerships Employee/Hiring Practices Work/Life, Benefits Practices, Diversity Environmental Sustainability, Energy Use, Manufacturing Practices Human Rights Labor Practices, Factory Monitoring 35 EMOTIONAL Branding: How Corporate Citizenship Brands Are Built Corporate Citizenship Value Proposition • Definition: The components of value the corporate citizenship programs, as a whole, deliver. RATIONAL EMOTIONAL Community Investment Image Philanthropy, Volunteerism, Partnerships Imagery, Feelings, Heritage/History Employee/Hiring Practices Self-Expression Work/Life, Benefits Practices, Diversity Personal Connections, Individual Aspirations, Attitude, Personality, Environmental Sustainability, Energy Use, Manufacturing Practices Human Rights Labor Practices, Factory Monitoring 36 Branding: How Corporate Citizenship Brands Are Built Corporate Citizenship Brand Position The portion of the corporate citizenship value proposition we choose to emphasize to the target audience because we believe it to be compelling to the target, differentiated from competitors and an area in which we can create meaningful, sustainable citizenship value 37 Branding: How Corporate Citizenship Brands Are Built Tools for Defining and Communicating a Corporate Citizenship Brand Position 1. Brand Position Statement 2. Brand Statement 3. Brand Momentum Equation 4. Creative Brief 5. Brand Personality Tools 38 Branding: How Corporate Citizenship Brands Are Built The same 3 Fundamentals of Branding apply Corporate Citizenship is part of the Value Proposition. DISCIPLINED FOCUS MEANINGFUL DIFFERENTIATION BE HUMAN Choose… Choose Wisely… Be Human… Be Explicit Be Relevant Be Close -Clear focus -Listen. Most Compelling. -A person, not a target audience. Be Relentless Be Distinct Emotional, not rational -Adherence to standards -Uniquely you Be Committed Be Authentic - Long Term - Truth. Authenticity. Substance. Truth 39 Be Human Branding: A Summary The Best Brands •Are grounded in the same 3 fundamentals. Building Brands •Use process and tools to insure those fundamentals. Citizenship Brands •Derive from the company brand. •Are grounded in the • Disciplined Focus • Meaningful Differentiation • Be Human 40 •Brand Strategy • Brand Identity - Value Proposition - Brand Position same fundamentals •Use the same process and tools to insure those fundamentals. Communicating Brand 1. Key Audiences 2. Key Vehicles