The power of brands
Column: The tension between lofty promises and mundane profit motives raises the question: Do companies keep their brand promises?
Column The tension between noble promises and profane profit interests raises the question: do companies keep their brand promises? Steve Jobs has celebrated it again these days: Brands change the world. If he is right, we will have to adopt a new understanding of making and receiving calls, of communicating with each other and organizing ourselves. He has already achieved something similar with the computer for you and me, which you can take with you wherever you go. Rather sporadically, penetrating critics simultaneously pointed out with a raised index finger that this modern hero may have violated widespread notions of morality and custom. If they were right, Steve Jobs would have to get used to the fact that his individual freedom of movement could be drastically restricted in the future. The critics of Apple's remuneration policy for company managers were lost in the hustle and bustle of the media hype surrounding the iPhone. Corporate governance may have sounded good, but brand glamour was obviously better, and we see this tense juxtaposition or opposition of noble brand promises and profane organizational or individualistic profit interests everywhere. Rather regionally, when those once responsible for one of the icons in the history of the travel industry in Switzerland are now on trial. With geopolitical dimensions, when the owners of the icons of the free global Internet are pilloried for trampling on human rights in China and sacrificing their desire for expansion. So is the brand promise just smoke and mirrors after all, because the profit motive is ultimately the guiding principle? This understandable verdict would overlook the social dimensions of brands.
We all know this by now: Brands make a decisive contribution to a company's success. They differentiate us from the competition. They provide orientation for consumers. They create identification within and outside the company. They are valuable because they make a significant contribution to increasing the value of the company by ensuring recognizability, distinctiveness and loyalty among customers. But their significance goes beyond this company-related perspective. The impact of brands unfolds far beyond the dimensions of marketing. Brands influence people's everyday lives. They are increasingly role models for people's attitudes and behavior. They often tell us what we think is right and wrong, good and bad, healthy or unhealthy. And they often tell us how we eat, inform ourselves, communicate, how we spend our free time and where we place our charity. Brands shape us.
Brands are elementary components of geographical identity. They not only benefit from their regional origin through the distinctive "made in . . .". Conversely, they shape the image of entire regions and even nations. Premium brands in vehicle construction are global icons for our northern neighbor. For many people, Switzerland is symbolized by its exclusive watch brands. Brands become regional identification anchors.
Brands give innovation the power to prevail against the competition. It was the aforementioned brand that really helped mobile digital music to break through. Brands thus help to define social progress. In summary, brands have an impact on shaping and changing society. Societies since the middle of the 20th century are hardly conceivable without brands. This makes brands powerful in the truest sense of the word. This immediately raises the question of whether owners, developers and managers of powerful brands are always aware of this responsibility.
Jürgen Häusler is CEO of the Interbrand, Zintzmeier and Lux Group in
Zurich and honorary professor at the University of Leibzig.
We all know this by now: Brands make a decisive contribution to a company's success. They differentiate us from the competition. They provide orientation for consumers. They create identification within and outside the company. They are valuable because they make a significant contribution to increasing the value of the company by ensuring recognizability, distinctiveness and loyalty among customers. But their significance goes beyond this company-related perspective. The impact of brands unfolds far beyond the dimensions of marketing. Brands influence people's everyday lives. They are increasingly role models for people's attitudes and behavior. They often tell us what we think is right and wrong, good and bad, healthy or unhealthy. And they often tell us how we eat, inform ourselves, communicate, how we spend our free time and where we place our charity. Brands shape us.
Brands are elementary components of geographical identity. They not only benefit from their regional origin through the distinctive "made in . . .". Conversely, they shape the image of entire regions and even nations. Premium brands in vehicle construction are global icons for our northern neighbor. For many people, Switzerland is symbolized by its exclusive watch brands. Brands become regional identification anchors.
Brands give innovation the power to prevail against the competition. It was the aforementioned brand that really helped mobile digital music to break through. Brands thus help to define social progress. In summary, brands have an impact on shaping and changing society. Societies since the middle of the 20th century are hardly conceivable without brands. This makes brands powerful in the truest sense of the word. This immediately raises the question of whether owners, developers and managers of powerful brands are always aware of this responsibility.
Jürgen Häusler is CEO of the Interbrand, Zintzmeier and Lux Group in
Zurich and honorary professor at the University of Leibzig.
