Wednesday, April 22, 2009

The great brand brawl


IIPM set to beat economic slowdown

Attack advertisement is the latest muse for the corporates but the success boils down to consumer satisfaction and avoidance of the regulatory scanner


Ouch! That must have hurt. It surely does, when the opponent hits you ‘below the belt’. And the blows are getting increasingly fast and furious. The trend is invariably visible with a number of global marketers openly declaring war by taking a direct pick on their arch rivals through attack advertisements or in polite terms comparative advertisements.

This ‘Smack Down’ of brands has become an all-out battle amongst some of the world’s top brands. From the Pepsi challenge to the endless knockout rounds between Dunkin’ Donuts vs. Starbucks, McDonalds vs. Starbucks, Dominos vs. Subway, Mac Guy vs. PC Guy (Apple vs Microsoft) et al, the strategy has found a number of followers. This current marketing strategy is far from the traditional concept of promotion and marketing where companies highlight the benefits that a consumer would derive from usage of their products or services. The concept of attack advertisement rather has the players using the negative mechanism and splashes out the misgivings of their competitor’s goods and services, thus trying to convince the target audience of their relative superiority.

The Dunkin’ Donuts attack commercial against Starbucks is an apt epitome of the aforesaid statement; the former tells the consumers that more ‘hard-working’ people prefer their coffee than the high-priced ‘elitist’ coffee of the latter. “Our marketing approach evolves based on what resonates with customers and is not driven by another company’s advertising campaign. We believe what truly differentiates us from our competitors is the daily, human connection between customers and store partners,” avers unscathed Wendy Pang, Communication Manager, Starbucks Coffee, to 4Ps B&M, taking the entire fiasco as a pinch of salt. The coffee brewer has become the punching bag for Dunkin’ Donuts and McDonalds of late. It’s always easier to point out some of the failings of a competitor but clearly it’s always about establishing a point of difference. “It’s going to come more from those sectors which are being impacted by the economical downturn such as auto, electronics and parts of FMCG; nevertheless, the downturn is not the main driver of the concept but because it is persuasive, the players are using attack advertisements,” explain Stephen Byrne Director, DIFFUSION Global brand strategist and commentator.

Attack or comparative advertising does work to an extent, as it definitely draws a number of eyeballs. But then everything finally boils down to meeting the promises made and the quality of products or services delivered, leading to consumer satisfaction. “The Mac vs. PC guy has been very successful for Apple; look at the evidence from new Apple computer sales into corporate markets to see how it’s changed how people think, but more of it is due to the quality product and the after sales service deliverance,” supports Byrne.

However, the tendency to mislead consumers generally creeps into this kind of strategy. So companies should be wary of the fact that watchdogs like courts and consumer protection bodies are looking very closely at the way advertisers and brand owners use this advertising. For the punch they deliver definitely hurts, no matter which side of the belt it lands!

Ratan Lal Bhagat

For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2009

An Initiative of IIPM, Malay Chaudhuri and Arindam chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
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Thursday, April 02, 2009

YOU CAN CALL HIM THE ‘AXE’L BEHIND OBAMA!


1500-plus IIPM students placed across the country with 44 bagging international offers

ARCHITECT OF MODERN POLITICAL ADVERTISING, DAVID AXELROD IS THE MAN CREDITED FOR OBAMA’S LARGER-THAN-LIFE IMAGE BUILD-UP

“If there’s anyone out there who still doubts that America is a place where all things are possible... tonight’s your answer.” As Barack Obama spoke these words on November 4, at the Grant Park in Chicago, Illinois, he crafted a notable moment in the history of the United States of America by becoming the first Afro-American President of the world’s most powerful country. The race was not easy for this man with a Muslim middle name. But what made his amazing feat possible were some perfect modern strategies devised by Obama’s long time friend turned Chief Strategist – David Axelrod. Having designed Obama’s campaign for the US Senate Elections in 2004, Axelrod’s camera had followed Obama like a sheep ever since, capturing all his public appearances. When Obama decided to contest for the Presidency, Axelrod was the first guy he hired for his team of strategists. With all the Axelrod accumulated footage, Obama’s first campaign was devised – a five-minute Internet video. “Throughout campaigning, Axelrod focused on Barack’s bio and people liked it,” says Rahm Emanuel, an Illinois Democrat. Axelrod’s personality-led strategy sold Brand Obama as an agent of change for the American people.

On the one hand, Axelrod focussed on building Obama’s image as a devoted family man, and on the other, as a well-read, confident leader. To win over racial prejudices, Axelrod roped in Paul Simon (an enterprising retired US Senator and a respected figure) to endorse Obama. But as luck would’ve had it, Simon died before the campaign shoot. Axelrod then convinced Simon’s daughter to appear in the commercial declaring that her father and Obama were “cut from the same cloth.” Axelrod also convinced Obama not to accept public finance for campaigning to avoid giving details of expenditure to the Election Commissioner. Obama raised close to $30 million in January alone and his total donations stood at $280,011,968 as on Oct. 15, 2008. Other approaches included community involvement, mobile marketing, product promotions, et al. Axelrod made Obama immensely popular with the youth by signing him up on social networking sites like Facebook, YouTube, MySpace, et al. “This enabled Obama to connect with all demographics of voters,” adds Emanuel.

As President-elect, while Obama will take on the task of getting the economy back on track; as his Senior Advisor, Axelrod will continue to polish his image in these turbulent times. As Obama said in his winning speech, “It’s been a long time coming, but tonight… at this defining moment, change has come to America.” God knows, that country needs it and how!

Savreen Gadhoke

For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2009

An Initiative of IIPM, Malay Chaudhuri and Arindam chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
IIPM set to beat economic slowdown
IIPM Admission Detail
IIPM Programme :- SUPERIOR COURSE CONTENTS
IIPM INTERNATIONAL - NEW DELHI, GURGAON & NOIDA
IIPM - Admission Procedure
IIPM, GURGAON

IIPM : EXECUTIVE EDUCATION
Why Study Abroad When IIPM Gives You 3 global Advantages!