Tuesday, February 9, 2010

Blog Entry 2 - consumer-created brands

The recession has caused people to cut back on their consumption in many respects. People are being much more cautious of excessive spending and are questioning their trust in many brands. People are going back to the basics for many products. Some question spending more on a product when you can save money on a similar brand?
In this ad AllState is drawing parallels to the great depression. Americans went 'back to the basics' and solidified their true values and focused on what we needed rather than what we wanted.
http://www.youtube.com/watch?v=6HNKqffU3Cc

Truth and design can go hand in hand for a brand. In the example of NikeID, by putting the design into the hands of the consumer, it shows the consumer that the Nike brand is focused on the individual. Design is the first thing that consumers encounter with brands. If the design is aligned with the brand, then brand truth will occur.

In terms of branding, producing happiness is one step in the direction of creating and producing brand loyalty. Brand loyalty takes time and multiple interactions to create. If happiness is created with every one of these interactions through touchpoints, then brand loyalty can be produced. If there are negative interactions with the brand then this loyalty will come into question. In this recession many have lost loyalty in banks and investment firms because of the harsh negative interactions with their money. This may not be the brands fault at all, but the brand of each bank and investment firm takes a hit because of it.

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