10 Principles Of Branding

From the May 2004 National Association of Credit Union Service Organizations’ Annual Conference in Las Vegas.

By Bill Merrick

If you build a powerful brand, you’ll have a powerful marketing message, according to Jerry Jamison, founder of the Jamison Advertising Group, San Diego. "If not, the money you spend on advertising will be wasted."

Consider Evian water. "People pay for this even though they can get the same product for free," he says. "It costs 20% more than beer. But branding makes people feel like they’re part of a community."

Jamison cites the 10 "pre-eminent" principles of branding:

1. Confusion. The more a brand fragments, the less consumers are interested in it. Crest, for example, used to have one kind of toothpaste and was the market leader. Now it offers 50 products and is the No. 2 toothpaste provider. "Americans don’t have tolerance for confusion," Jamison says.

2. Contraction. A brand becomes a strategy when you narrow its focus. Consider Starbucks, which built a coffee empire. Offering more products won’t necessarily build your business.

3. Icon. A brand should strive to own a word or concept in consumers’ minds. Quick information cuts through the clutter.

4. Image. A brand combines a look and a message to consumers. Successful examples include Nike and Apple Computers.

5. Leadership. People are drawn to frontrunners, uniqueness, and authenticity. Among the top 25 brands in 1923, 20 remain in the top 25 today. "The best way to generate publicity is to be first," Jamison says.

6. Specialization. People equate "specialist" with superiority.

7. Publicity. A brand is born by word of mouth. People make choices based on trust, especially when it comes to financial institutions.

8. Advertising. Once born, a brand needs advertising to say healthy. At some point, its newness wears off. Effective advertising depends on repetition and reach.

9. Commitment. Once a brand is established, stick with it regardless of trends. A new brand can take years to become successful.

10. Consistency. Branding success is measured in decades, not months or years.

Spectacular Branding Flops Jerry Jamison, founder of Jamison Advertising Group in San Diego cites several product launches that failed because they didn’t mesh with the company’s brand: Coors—drinking water; Vaseline—suntan lotion; Kleenex—diapers; Fruit of the Loom—laundry detergent; Heinz—cleaning solution; and Harley-Davidson—wine coolers.