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The
22 Immutable Laws of Branding By
Laura Ries and Al Ries HarperCollins, 1998 - 192 pages
The
following excerpts have been taken from the excellent
and insightful book entitled The
22 Immutable Laws of Branding by
Jack Trout and Steve Rivkin.
I
hope that the below comments illustrate the insights and
facts that are presented in this book.
I believe that branding is a key element to
long-term profitability. Last month's full length
review covered the topic of differentiation.
Branding is basically how you implement
differentiation. Brands such as Starbucks,
Porsche, Mercedes, etc have spent millions (perhaps
billions) of dollars to bang into your head the image
they want you to remember. They want everything
about their company to convey that simple element that
makes them unique and causes you to remember them when
you go to make your next purchase at the cash register,
visit to the mall or trip to buy a car.
In
the mid-90's brands were the topic of discussion amongst
business managers. Many Internet companies thought
that buying advertising = branding. The reality is
that branding is a mental exercise. If
you are a person that likes to observe life as it passes
by this book may cause you to observe business /
advertising from a unique perspective. If you find
this review helpful BUY THE BOOK because I can only
include so much from the book without flat out being a plagiarist.
After
presenting the unique insights and facts from the book I
answer the following questions:
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How does this book affect my career / overall life?
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Does
this book affect my company?
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What
did I learn from reading it?
The
22 Immutable Laws of Branding
1.
The Law of Expansion: The power of a brand is inversely
proportional to its scope.
Summary:
Trying to be all things to all people undermines the
power of the brand. The strength of brands lies in
becoming synonymous with a single category. Brands that
spread themselves across categories lose brand focus,
identity, and ultimately market share.
2.
The Law of Contraction: A brand becomes stronger when
you narrow its focus.
Summary:
By narrowing the focus to a single category, a brand can
achieve extraordinary success. Starbucks, Subway and
Dominos Pizza became category killers when they narrowed
their focus.
3.
The Law of Publicity: The birth of a brand is achieved
with publicity, not advertising.
Summary:
A new brand must be capable of generating favorable
publicity in the media or it won’t have a chance in
the marketplace. Anita Roddick built the Body Shop into
a global brand with no advertising, but with massive
amounts of publicity. On the other hand, Miller Brewing
spent $50 million in advertising to launch a brand
called Miller Regular. The brand generated no publicity
and very little sales.
4.
The Law of Advertising: Once born, a brand needs
advertising to stay healthy.
Summary:
Sooner or later, a brand leader has to shift its
branding strategy from publicity to advertising. By
raising the price of admission, advertising makes it
difficult for a competitor to carve out a substantial
share of the market.
5.
The Law of the Word: A brand should strive to own a word
in the mind of the consumer.
Summary:
If you want to build a brand, you must focus your
branding efforts on owning a word in the prospect’s
mind. A word that nobody else owns. Kleenex owns
“tissue,” Federal Express owns “overnight,”
Volvo owns “safety.”
6.
The Law of Credentials: The crucial ingredient in the
success of any brand is its claim to authenticity.
Summary:
Coke is the real thing in the minds of many, even though
the last “real thing" advertisement ran almost
thirty years ago. A brand’s credentials in a category
as authentic, real, original, or the leader are very
powerful indeed.
7.
The Law of Quality: Quality is important, but brands are
not built by quality alone.
Summary:
Does a Rolex keep better time than a Timex? Does Hertz
have better service than
Alamo
?
Does a Montblanc pen write better than a Cross? Are you
sure? The perception of quality, more than quality
itself, is what builds a brand. And the best way to
build a quality perception in the mind of consumers is
by following the laws of branding.
8.
The Law of the Category: A leading brand should promote
the category, not the brand.
Summary:
The most efficient, most productive, most useful aspect
of branding is creating a new category. Customers
don’t really care about new brands, they care about
new categories. What was the market for cheap cars
before Volkswagen? What was the market for home pizza
delivery before Dominos? What was the market for in-line
skates before Rollerblade?
9.
The Law of the Name: In the long run, a brand is nothing
more than a name.
Summary:
In the short term, a brand needs a unique idea or
concept to survive. But in the long term, all that is
left is the difference between your brand name and the
brand names of your competitors. Shorter names that are
unique and memorable are far stronger than longer, vague
or generic names. – page 73
10.
The Law of Extensions: The easiest way to destroy a
brand is to put its name on everything.
Summary:
more than 90% of all new product introductions in the
U.S.
are line extensions. Line extensions destroy brand value
by weakening the brand. The effects can be felt in
diminished market share of the core brand, a loss of
brand identity, and a cannibalization of the one’s own
sales. Often, the brand extension directly attacks the
strength of the core brand. Does Extra Strength Tylenol
imply that regular Tylenol isn’t strong enough?
11.
The Law of Fellowship: In order to build the category, a
brand should welcome other brands.
Summary:
Consumers want to have choices. Choice stimulates
demand. Healthy competition helps to build the category.
The competition between Coke and Pepsi makes customers
more cola conscious. Per capita consumption goes up.
12.
The Law of the Generic: One of the fastest routes to
failure is giving a brand a generic name.
Summary:
The problem with a generic brand name is its inability
to differentiate the brand from the competition. At your
local health food store, you’ll find Nature’s
Resource, Nature’s Answer, Nature’s Bounty,
Nature’s Secret, Nature’s Way, Nature’s Best,
Nature’s Plus, etc. Will any of these generic brands
break into the mind and become a major brand? Unlikely
13.
The Law of the Company: Brands are brands. Companies are
companies.
Summary:
There is a difference. Customer’s think of brands, not
companies. Procter and Gamble isn’t Tide. General
Motors isn’t Cadillac. The brand itself should be the
focus of your attention. Use the company name, if
necessary, in a decidedly secondary way.
14.
The Law of Subbrands: What branding builds, subbranding
can destroy.
Summary:
Subbranding erodes the power of the core brand.
Waterford
is the leading Irish crystal maker. Introducing
"cheap"
Waterford
as "Marquis by
Waterford
"
only dilutes the
Waterford
brand. Subbranding attacks a brand’s place in the mind
of the prospect. – page 114
15.
The Law of Siblings: There is a time and place to launch
a second brand.
Summary:
A second brand can be launched to focus on a new
subcategory within the same product family.
Toyota
launched Lexus because the
Toyota
brand couldn’t fill the luxury car category. The focus
is on the brand, not the company. Customers buy a Lexus
not because it’s made by
Toyota
,
but in spite of it.
16.
The Law of Shape: A brand’s logotype should be
designed to fit the eyes.
Summary:
Both eyes. A customer sees the world through two
horizontally mounted eyes peering out of the head. For
maximum visual impact, a logotype should have a
horizontal shape. The ideal shape is 21/4 units wide by
1 unit high.
17.
The Law of Color: A brand should use a color that is the
opposite of its major competitor.
Summary:
Coke is red, and Pepsi is Blue. Hertz is yellow, and
Avis is Red. Color consistency over the long term can
help a brand burn its way into the mind.
18.
The Law of Borders: There are no barriers to global
branding. A brand should know no borders.
Summary:
The perfect solution to growth in a competitive market
is not line extensions, but building a global brand. A
brand should have a consistent message globally, but
must take into account the perceptions of its country of
origin.
19.
The Law of Consistency: A brand is not built overnight.
Summary:
Success is measured in decades, not years.
This is the law which is violated most
frequently. Once a brand occupies a position in the
mind, the manufacturer often thinks of reasons to
change. Markets may change, but brands
20.
The Law of Change: Brands can be changed, but only
infrequently and only very carefully.
Summary:
Nothing is absolute and there are exceptions to every
rule. There are three situations where changing your
brand is feasible: When your brand is weak or
non-existent in the mind, when you want to move your
brand down the food chain to a lower price and
perception point, or when your brand is in a slow-moving
field and the change is going to take place over an
extended period of time. Remember, changing your brand
is a long and difficult process.
Change at your own risk!
21.
The Law of Mortality: No brand will live forever.
Euthanasia is often thebest solution.
Summary:
While the laws of branding are immutable, brands
themselves are not. They are born, grow up, mature, and
eventually will die. Yet companies that are willing to
spend millions to save a dying brand, won’t spend
pennies to launch a new one.
Opportunities
for new brands and threats to old ones are constantly
being created by the invention of new categories. The
rise of personal computers created opportunities for
Compaq, Dell and Gateway, but put pressure on Digital,
Data General and Wang.
22.
The Law of Singularity: The most important aspect of a
brand is its single-mindedness.
Summary:
What is a brand? A singular idea or concept that you own inside the
mind of the prospect. It’s as simple or as difficult
as that.
How does this book affect my career / overall life?
-
The
book truly explained some of the reasoning behind
"what is a brand."
-
The
book explained why some people are willing to pay
$200 for a pair of Diesel jeans vs. $50 for a pair
of Levis.
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It
opened my eyes to how attuned businesses have become
to social behavior.
Does
this book affect my company?
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Companies
with brands stick in the minds of consumers.
As a result, such companies are likely to experience
higher top line growth and have a higher chance of
surviving in the long-term.
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What
does your company represent in the eyes of your
customer? Does your company have a
brand? A brand is more than a name......it is
a singular identity in the mind of the
consumer.
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Many
companies take brands for granted. As new
management teams come on board they oftentimes inadvertently
mess with the success formula because they don't
understand what the brand represents in the mind of their
customers. Too many managers want to make
their individual mark on a company and can
inadvertently stray from the focus/image of the
brand.
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Branding
is a LONG-TERM PROPOSITION, NOT A
SHORT-TERM DECISION. Brands tend to take lots
of $$$ to develop and it normally takes years to
bang the image/attribute into your customer's
head.
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Advertising
alone isn't branding. Branding encompasses
everything about your company. If you
advertise being "fastest on time
deliveries" you better back it up with results,
otherwise you are flushing money down the drain.
What
did I learn from reading it?
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This
book, in general, was chocked full of excellent
insights on consumer behavior and marketing know
how. In addition, the book was very easy to
read and caused me to see business from a different
perspective.
If
you found this review helpful BUY THE BOOK!
Sincerely,
Dan Ross
P.S. As always, if you
have any comments / feedback you can reach me at dan@betterbizbooks.com
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About the Authors:
Al Ries is a well
known marketing strategist. He is the coauthor of
such international bestsellers as The 22 Immutable
Laws of Branding and Positioning: The Battle for
Your Mind and the author of Focus: The Future of
Your Company Depends on It. His daughter Laura
Ries is a graduate of Northwestern University and
a partner in their marketing strategy firm, Ries
& Ries in Roswell, Georgia. She is the
coauthor of The 22 Immutable Laws of Branding.
Together they speak and consult with major
companies around the globe.
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