Butz's Rant: What Do Successful Companies Have in Common?

Here's what this is all about: If you look at successful companies—beyond just their product innovations, distribution channels, and financial resources—you'll notice that they all have a creative name, a unique logo design, and aesthetically original and surprising communication, as well as a unique product and packaging design.

My theory: Unsuccessful companies did not seek out the best solution for this crucial aspect. They settled for an inexpensive in-house solution. A company should bring in specialists for a relaunch. This isn’t the easiest or cheapest route, but it accounts for 60 percent of the success.

A few examples, such as FedEx, show that a company’s look and name can have a decisive and positive impact on its image. In the 1980s, FedEx—then still operating under the name Federal Express—produced some of the wittiest TV commercials, which won multiple awards at Cannes. In 1994, the logo underwent a redesign (see image: Did you notice the arrow between the E and the X?). Today, the company has annual revenue of $36 billion and 280,000 employees.

The most interesting example for my theory is Apple Computer. From the very beginning, we saw it as «the new world» in contrast to IBM and Microsoft. The apple—a symbol of Isaac Newton’s proof of gravity—was the origin. Steve Jobs steered Apple toward a simple, monochromatic logo. He brought these technically revolutionary devices to market in streamlined plastic and aluminum casings, turning them into «must-have» designer items. In my opinion, the design language—with its playful and expressive icons—is also an emotional reason to be an Apple fan. Forty years after its founding, Apple generates over 100 billion dollars in revenue, a quarter of which is profit. Nespresso is also a good example of my 60-percent theory. A stylishly designed product, a clever logo, and entertaining communication.

Now I’ll get to my gripe: In my 40 years as an advertiser, I’ve often—and with increasing frequency—seen that advertising managers knew exactly what a promotional ad for a department store, a direct mail piece for a publisher’s products, or the packaging design for a piece of candy should look like. It certainly shouldn’t be clean and minimalist, but rather tacky, overloaded with stickers, featuring a contest, and—if possible—including an instant prize. No one has ever been able to prove to me that this type of advertising is the path to success. Admittedly, I can’t prove conclusively that the opposite approach leads to success either. But FedEx, Apple, and Nespresso have proven it.

Unfortunately, my "Pick of the Week" coincides with my editorial deadline. I'm dreaming of the FCB advancing to the quarterfinals.

Theophil Butz, once a star advertiser (Ringier), now an inspiration, and now also a complainer. «It’s not an easy role, but it’s a necessary one that I take on here every 14 days.» Please send relevant information to [email protected].