Creating a beloved brand

1. Workshop to provoke you to think differently and see how to create and unleash the power and proﬁtability of a beloved brand Creating a beloved brand

2. We make brands stronger. We make brand leaders smarter. Define the Brand Think Strategically Big Idea At Beloved Brands, we use a branding approach Vision Analysis Key Issues Strategies Execution • Advertising • In-Store • Innovation • Consumers • Category • Channels • Competitors • Brand Values, Goals • Experience Brand Plan Create Brand Plans Inspire creative execution Analyze performance Sm art Creative Ideas

3. Training Workshop Generating Brand Love Why does Brand Love Matter? We believe the more loved a brand is by your consumers, the more powerful and profitable that brand will be. • We challenge Brand Leaders to find brand love through the by creating a Big Idea to rally around, strategically focusing all their resources and instilling passion in the work to exceed the consumer’s expectations: 1. Build an organizing Big Idea that connects consumers at every touchpoint, tightening the bond, reflecting the inner Brand Soul and desired external reputation. 2. Need strategic focus in deploying the brand’s limited resources to breakthrough points, moving consumers along the brand love curve to enable your brand vision. 3. Put all your passion into the execution creates breakthrough ideas that surprise and exceed consumer expectations, becoming a favorite brand of the consumers.

4. “Never love anyone who treats you like you are ordinary.” Oscar Wilde

5. We make brands stronger • We make brand leaders smarter. Claims Product Name Package Design Slogan Service Experience Person Colour Company Name Reputation Patent Formulation Ingredients Story Trademark IncorporatedTag Line Advertisement Logo Symbol Ingredients Promise Copyrights Sku Look Name Store packaging Innovation Product Design Shelf Speed of Service Procedures What is a Brand?

6. We make brands stronger. We make brand leaders smarter. We are connected to Brands in ways we cannot easily explain, that goes far beyond the actual product. These brands are easily recognizable, yet the main product is not even shown. We have strong sensory connections to brands based on our personal experiences. Each brand has a reputation deeply embedded within us.

7. We make brands stronger. We make brand leaders smarter. Most Ferrari brand fans will never own one of the cars Ferrari sells $1.5 Billion in merchandise each year, about the same amount they make from selling cars.

8. We make brands stronger. We make brand leaders smarter. The difference between a brand and product • Solves a consumer problem • Beats down a consumer enemy • Rational connection • Emotional connection • Is consumed • Is experienced • Built into routine • Becomes life’s favorite ritual • Legally protected design • Managed & protected reputation Product Brand

9. We make brands stronger. We make brand leaders smarter. The consumer’s first interaction with a brand will be with a big idea that delivers the Brand Promise The big idea must motivate consumers think, feel and move towards the Purchase Moment Surpising Innovation builds from the big idea to keep up to trends, satisfy a broader array of needs and stay ahead of competitors Happy experiences must over-deliver the original promise of the big idea. Every happy purchase tightens the bond and spread the brand love to others. The Brand Story must use the big idea to entice consumers to think, feel and act in ways that will benefit the brand. GRAYS Guilt free pleasure gourmet cookies 2 5 1 3 4 We make brands stronger. We make brand leaders smarter. Consumer GRAYS Lemon creme Guilt free pleasure gourmet cookies GRAYS Peanut Butter Guilt free pleasure gourmet cookies GRAYS Ginger Bread Guilt free pleasure gourmet cookies GRAYS Cranberry Time Guilt free pleasure gourmet cookies The consumer’s first interaction with a brand will be with a big idea that delivers the Brand Promise Purchase Moment Innovation Experience The consumer may engage in the big idea through the telling of the Brand Story GRAYS Guilt free pleasure gourmet cookies 2 5 1 3 4 Grays Cookies were created with a bit of luck Gray’s Cookies is based on a 40-year-old family recipe that had been used for years in a local coffee shop in Stowe Vermont. Gray’s was a local favorite and even among tourists, famous for it’s Chocolate Chip and Peanut Butter flavors. No one realized it was also a healthy treat— low fat, low calories. A taste of guilt free pleasure We make brands stronger. We make brand leaders smarter. Consumer GRAYS Lemon creme Guilt free pleasure gourmet cookies GRAYS Peanut Butter Guilt free pleasure gourmet cookies GRAYS Ginger Bread Guilt free pleasure gourmet cookies GRAYS Cranberry Time Guilt free pleasure gourmet cookies The consumer’s first interaction with a brand will be with a big idea that delivers the Brand Promise Purchase Moment Innovation Experience The consumer may engage in the big idea through the telling of the Brand Story GRAYS Guilt free pleasure gourmet cookies 2 5 1 3 4 The consumer engages a brand at 5 main touch-points

10. We make brands stronger. We make brand leaders smarter. • Create a simple brand promise that separates your brand from competitors, based on being better, different or cheaper. • Use your brand story to motivate consumers to think, feel or act, while beginning to own a reputation in the mind and hearts of consumers. • The moment of truth as consumers move through the purchase cycle and use channels, messaging, processes to make the ﬁnal decision. • Fundamentally sound product, staying at the forefront of trends and using technology to deliver on your brand promise. • Turn the usage of your product into an experience that becomes a ritual and favorite part of their day. A brand must organize itself to deliver one brand experience that aligns all 5 consumer touch-points Brand Promise Brand Story Happy Experiences The big idea organizes the brand across all 5 touch points. Purchase Moment Innovation Surprise

11. We make brands stronger. We make brand leaders smarter. Big idea connects and separate brand from competitors Use your brand’s differences to move consumers Keep your brand fresh and on top of trends Move consumers through the buying system Experiences that consistently over- deliver the promise Consumer Big Idea The Brand Brand Promise Brand Story Happy Experiences Purchase Moment Innovation Surprise Positioning Advertising and Communication Product Development Selling and Retail Operations and Culture The big idea must inspire and align everyone who works behind the scenes of the brand. We put a big idea as the bridge between brand and consumer, to align everything around the 5 consumer touch-points

12. We make brands stronger. We make brand leaders smarter. There is a natural evolution from product to brand as we go from functional needs to emotional needs based on a big idea. Product Big Idea Emotional Needs Brands start as a PRODUCT solving a consumers’ rational problem. PRODUCT: Special K is a light tasting, low calorie, cereal. BIG IDEA: Special K empowers women to take Control and maintain their healthy weight Brands become a BIG IDEAS, meeting emotional needs, that consumers feel. Rational Needs Rational Needs You sell Create an Identity Execute sales and marketing Build an experience Build a reputation

13. We make brands stronger • We make brand leaders smarter. If the best brands evolve from products into big ideas, why not just start out with a Big Idea?

14. We make brands better. We make brand leaders better. The role of a brand is to create a bond with your consumers, that must lead to a power and proﬁt beyond what the product alone could achieve.

15. People always ask me, “Why does brand love matter?” Brand Love

16. The more loved your brand is by your consumers, the more powerful and profitable your brand will be. Brand Love ProfitPower

17. We make brands stronger. We make brand leaders smarter. 1 Consumers move along Brand Love Curve tightening their bond with brands 2 Consumers connect with big idea and expect consistency at every touch-points 3 The tight consumer bond creates brand power with key stakeholders 4 The brand power drives profit through price, cost, share, market size Promise Experience Purchase Moment Innovation Brand Story Consumer Premium Prices Trading Up Lower COGS Efficient Spend Stealing Share Users to use more New markets Find new uses Brand 8 ways Marketers can drive more profits Why does brand love matter? The more loved a brand is by consumers, the more powerful and profitable that brand will be. Channels Competitors New Entries Suppliers Media Influencers Employees Consumers Brand Power Big Idea Love It Indifferent Beloved Like It

18. We make brands stronger. We make brand leaders smarter. Acquaintances Love Friends Forever When we think about how our personal relationships with people evolve and strengthen… Relationships Strangers

19. We make brands stronger. We make brand leaders smarter. Indifferent Love It Like It Beloved We use the Brand Love Curve to get in the shoes of the consumer and understand how they see your brand Consumer Unknown The Brand

20. We make brands stronger. We make brand leaders smarter. Indifferent Love It Like It Beloved We use the Brand Love Curve to get in the shoes of the consumer and understand how they see your brand Consumer Unknown Satisﬁed A logical, practical choice. Begin to trust the brand. No emotional bond or feeling. Unfamiliar Never saw brand before. Must be new. I don’t know anything about brand. No Opinion Don’t really see difference. Confused or not interested. Stick to current brand. Crave It Emotional choice, lifestyle ﬁt. Great experience. One of your favorite brands. Part of a routine. Brand Lovers Self expressive, emotional Rituals, memories built into your life. Never switch.

21. We make brands stronger. We make brand leaders smarter. As the brand moves to the beloved, demand becomes desire, needs become cravings, thinking is replaced with feelings. Beloved'Brands'Survey'Tracker' ©'Beloved'Brands'Inc.''' It will do Unfamiliar Other Brand Basic Needs Easily Switch Use It Functional Enjoy It Rational Random Loyal Emotional Connected Favorite Routine Un-relenting Personal Possessive Outspoken Ritual BelovedIndifferent Like It Love It

22. We make brands stronger. We make brand leaders smarter. Brands farther along the Brand Love Curve have a loyal following, more power in the market and a better ﬁnancial performance. Indifferent Love It Like It Beloved Consumer

23. We make brands stronger. We make brand leaders smarter. The BRAND LOVE you generate transforms into BRAND POWER that you can wield in the marketplace. Brand Love Power

24. We make brands stronger. We make brand leaders smarter. Here’s how a beloved brand can generate more competitive power through Michael Porter’s model Competitive Rivalry Power of Buyers Power of Suppliers Threat of Substitutes Threat of Entrants New Brands just can’t break through the emotional bond of a beloved brand. Consumers feel more and think less. Desire and crave. They become brand fans who can’t live without the brand. Suppliers serve at mercy of the beloved brand. High volumes drive down costs & margins. Suppliers build completely around brand. Channels are powerless against beloved brand. Consumers would switch stores before brands. Stores cannot stand up to beloved brand. Substitutes cannot match emotional bond that the beloved brand has with their brand fans. They have a monopoly on feelings.

25. The tighter the bond the brand creates with their consumers, the more powerful that brand will be with all stakeholders Consumers switch stores before they switch brands Willing to cut costs to be part of the beloved brand. Cannot duplicate emotional connection of the beloved brand Struggle to break bond and momentum the beloved brand has Proud, fully engaged, motivated, outspoken fans. Strong culture. Outspoken brand fans carry inﬂuence over the purchase All media (paid, earned, search, social, home) favor the beloved brands Channels Competitors New EntriesSuppliers Media Inﬂuencers Employees Outspoken fans who think less and feel more Consumers Brand Power

26. We make brands stronger. We make brand leaders smarter. The economics and accounting of how beloved brands turn power into stronger growth and profit Price& Quan+ty& Supply& Demand' Increased' Demand' $400$ $250$ 10M$ 15M$ Driving demand gives your brand the ability to drive the price up, and higher quantities gives better economies of scale. Profitability = Margin x Quantity Prices ShareCosts Market SizeMargins Volume Premium Pricing Trading Up Lower cost of goods Efficient Program Spending Stealing Competitive Users Get loyal users to use more Enter new markets Find new uses

27. The 8 ways that Brands can use their power to drive more profit 1 Premium Pricing 2 Trading Up 3 Lower cost of goods 4 Efﬁcient Program Spending 5 Stealing Competitive Users 6 Get loyal users to use more 7 Enter new markets 8 Find new uses Higher Prices Higher Share Lower Costs Bigger Market Higher Margins Higher Volume

28. We make brands stronger. We make brand leaders smarter. Beloved brands use brand LOVE and POWER to drive PROFITS with increased prices, lower costs, share gains and entering new markets Price Costs Share Market Size Premium Price • Perceived quality allows you to command price pricing Trading up/down • Take loyalists up to a better premium-priced version of brand Lower cost of goods • Economies of scale and use your power over suppliers. Efﬁcient marketing • Higher volume helps spend ratios, use the media power. Stealing Share • Use brand momentum to gain tipping point. Higher usage • Get loyal users to use more, building routines/rituals. Enter new markets • Take brand idea to new products, getting loyalists to follow. Find new uses • Increase the ways that your brand can ﬁt into the consumers life. Higher Margins % Higher Volumes

29. The more loved a brand is by consumers, the more powerful and profitable that brand will be Brand Love ProfitPower

30. We make brands stronger. We make brand leaders smarter. Passion matters. Use passion in your execution to become a favorite brand of your consumers. “I love it” is the highest bar for great work. Dare to be different. Brands need to stand out as being better, different or cheaper. Or else, they will not around for very long. Everything is about the consumer. Build everything that you do around your brand’s Big Idea. Big idea is what consumers connect with first, then helping build a bond as each touchpoint delivers that big idea Break through focus. Put your limited resources to key breakthrough points that help tighten the bond with consumers, giving your brand more power and profits. 1 2 3 Promise Experience Purchase Moment Innovation Story Consumer BrandBig Idea 45 Process Graphic What consumers want What your competitor does best What your brand does best Winning Zone Risky Zone Dumb Zone Dumb Zone You need to know them as well as you know your brand. Know the consumer insights, enemies and needs. Talk with consumers about what they get and how it makes them feel. 5 Vital elements needed to build a beloved brand

31. We make brands stronger. We make brand leaders smarter. "Businesses come and go but beloved brands make lasting impressions and remain in your heart. We give humans permission to be and do the best they can. Virgin builds companies around the world that get into your heart. We earn lasting loyalty and love that you don’t normally see” Richard Branson

32. Creating Brand Love 1 Dare to be different Show Passion daily Everything has to start with the consumer Build around a big idea Breakthrough Focus 2 3 4 5

33. 1 Consumer Centricity: Everything has to start with the consumer Who is the most motivated to buy what you do? Everything starts and ends with the Consumer in mind. Listen to your consumers, build rich consumer insights by getting in their shoes to understand their mindset and speaking in their voice as you work to represent them to your brand. Instead of just asking which consumers you want, ask which consumers want you so you can focus on those who matter the most to your brand.

34. We make brands stronger. We make brand leaders smarter. • Instead of figuring out who you want, focus on who wants you!!! • Pick the target that is most motivated by what you do. Target Everyone Not Not A good target not only decides who is in your target but who is not in your target. Not Not Everything starts with a focused customer target

35. We make brands stronger. We make brand leaders smarter. Difference between ‘selling’ and ‘marketing’ target Selling Target: Reactively sell to those who engage and show interest in your brand, regardless if they fit your ideal target. Do not spend your limited resources as you have seen no signs that they’ll respond enough to provide an efficient pay back. Marketing Target: Focus your limited resources on those consumers most motivated by what your brand offers, those most likely respond to your brand story and product offering, which then turns into the fastest, highest return on investment and effort. Program Target: Specific campaign target that you hope to move to think, feel or do with your specific marketing program. Spreading your limited resources (financial, people, time) across an entire population is cost prohibitive. While targeting everyone “just in case” might safe at first, it is riskier because you never see the full impact of your effort to know if it worked. Target Consumer

36. Consumer Insights are little secrets hidden beneath the surface, that explain the underlying behaviors, motivations, pain points and emotions of your consumers. Consumer insights are a competitive advantage that enable brands to connect on a deeper emotional level, showing your consumer that “WE GET YOU” so they stop and listen to your brand’s promise, story, innovation and experiences that you create along the pathway to becoming a beloved brand.

37. While   PRODUCTS   may solve small problems   we didn’t even know we had… …BRANDS must heroically beat down the enemies that torment us every day.

38. We make brands stronger. We make brand leaders smarter. The mining for consumer insights What we see (observations) What we read (Facts/Data) What we hear (Consumer Voice) What we sense (Emotional Zones) How it impacts them (Life moments) Look to find data breaks or trends happening in the market, always challenging and drawing conclusions, using insight as an explanation point. Observe consumer reactions through Focus groups, product tests, ad testing, market research studies or even direct consumer engagements, fueling consumer insight observations Listen to the Voice of the Consumer (VOC) that shows up with comments on social media, brand reviews, market research, listening for their word choices. Need to understand the emotional zone that your brand matches up to the consumer needs and look for interpretations of their emotional insights. Map out the consumer’s life and how your consumer’s underlying behaviors, motivations, pain points and emotions, drawing conclusions on how their life impacts their path to purchase.

39. We make brands stronger. We make brand leaders smarter. What we see (observations) What we read (Facts/Data) What we hear (Consumer Voice) What we sense (Emotional Zones) How it impacts them (Life moments) Consumers will attempt to quit smoking on their own 7.2 times, before reaching for a quit smoking aid. Smokers become agitated, when talking about smoking. You can see how frustrated they are with their failed attempts. “I feel guilty that I can’t quit. I know it’s expensive. But when I do, I’m really not myself. I get so irritable that I give up” Each time I quit, I’m miserable. I take it out on those around me, my friends, my wife. I think they’d almost rather I smoke than have to deal with me. Consumers lack the confidence to quit, and they feel out of control when they make an attempt to quit. Insight Statement (Connection Point) “I know I should quit. I’ve tried to quit so many times, it’s ridiculous. I’m not myself, I’m grouchy, irritable and feel out of control. Quitting Smoking Sucks.” Consumer Enemy (Pain Point) “I fear quitting smoking will bring out the monster in me, tuning me into the worst version of my personality.” The mining for consumer insights

40. You will know you have the right CONSUMER INSIGHT, when consumers stop and say “I thought I was the only one who felt like that.”

41. We make brands stronger. We make brand leaders smarter. At Beloved Brands, we promise to make your brand stronger and your brand leaders smarter. We believe big ideas, focus and passion matter, because the more loved a brand is by consumers, the more powerful and profitable that brand will be. We will challenge you to think different, because the thinking that got here may not get you to the next level. Our Credo Consumer Insights should be highlighted in everything you do The best brand communications has consumer insights central to the brand story, helping establishes a unique own- able positioning that moves consumer to see, think, feel, act or scream. With consumer enemies and nights brands can develop an INNOVATION PLAN that uses a stage-gate process to drive new ideas, concepts, testing, launches through the system. Using consumer insights to build brand experience by Influencing the CULTURE by creating a BRAND CREDO helping to frame the purpose, values and sets up the service behaviors. Turning consumer insights into shopper insights allows the brand to Influence the PURCHASE MOMENT with channels, merchandising and e-commerce

42. We make brands stronger. We make brand leaders smarter. We summarize our great work into a Consumer Target Profile that can be used in everything we do Target Consumer Target Name Pro-Active Preventers Target Description • Suburban working women, 35-40, who are willing to do whatever it takes to stay healthy. They run, workout and eat right. For many, Food can be a bit of a stress-reliever and escape. Their needs • Great tasting food, satisfy craving, healthy choices, maintain weight. Their enemy • Guilt, failure, out of control diet, temptation. Insights that tell their story • “I have tremendous will-power. I work out 3x a week, watch what I eat to maintain my figure. But we all have weaknesses and cookies are mine. I just wish they were less bad for you” • “I read labels of everything I eat. I stick to 1500 calories per day, and will find my own ways to achieve that balance.” What do they think now? • I have only recently heard of Gray’s Cookies. I’ve tried them a few times and did like them. I wouldn’t say I use them all the time. How are they buying? • Most have been influenced by friends who have tried. Those who are buying, still do so less frequently than their normal favorite cookies. The household has yet to adopt the product. The mom uses it when she’s trying to diet. We want them to think/feel/do • See: Get noticed so consumers are aware of Gray’s, see it on shelf, see actual product. • Think: Gray’s might be a healthy alternative to my favorite cookies. • Do: Try Grays to see if they like the great taste. • Feel: Feel more in control with Gray’s as part of their routine, feeling less guilt. • Scream: Tell their friends they are using, and the success they are having.

43. We make brands stronger. We make brand leaders smarter. The ways of the modern consumer have changed, impacting what it takes for brands to win. In today’s Marketing world, Brand Love is the new currency. The best brands build their growth with a base of loyal brand fans. The consumers in today’s world now see 7,000 brand messages per day, far too many for their brains to handle. They filter out the irrelevant advertising and gravitate only to those brands that capture their minds and their hearts. Consumers are constantly distracted—working, walking, talking, texting, driving, searching and clicking—rarely doing one thing at a time. Consumers are tired of being burned by faulty brand promises. Their instinct is to doubt first, test second, and at any point they are willing to cast aside those brands that do not live up to their original promise. They stay loyal to brands that speak directly with them and those that offer the most amazing experiences that exceed their expectations. Consumers take control of the buying process, literally at their finger tips. They feel empowered knowing that they matter more than they ever have before. Right in the moment, they openly voice their pleasure and displeasure to their friends, empowered knowing the influence they bring. Consumers may explore rationally, but engage emotionally with brands they believe in.

44. 2 To be successful, Brands have to be better, different, cheaper or else they will not around for very long Dare to be different

45. We make brands stronger. We make brand leaders smarter. Define a focused consumer target profile with insights, enemies and buying patterns. Use our Benefits Ladder to move from features to rational and emotional benefits We will help you define your brand, with a simple, unique, motivating and own-able Brand Positioning Statement. 2 5 1 Use our benefit cheat sheets to understand the Functional and Emotional benefits you can own. 3Benefits Ladder 4 Determine your winning zone, where your brand is better, different or cheaper. Winning positioning statement that is unique, own- able motivating to consumers Brand Positioning Building a winning brand positioning statement To (Target) • Healthy proactive preventers who want to do more for their health, working moms, who are 35-40 years old. Gray’s is the (Category) • Tasty healthy cookie option That is the (Benefit) • Guilt free cookie that tastes so good that you can stay in control of your health That’s because (Support Points) • In blind taste tests, Gray’s matched the leaders on taste, but only 100 calories and 3g of net carbs. • In a 12-week study, consumers using Gray’s once a night as a desert were able to lose 5-10 pounds. 1 2 3 4 Consumer Target Product features Functional benefits Emotional benefits Works betterFunctional Benefits Simplify Life Make Smarter Make Healthier Saves money Helps family Sensory Appeal Stay Connected Experience Seek knowledgeFunctional Benefits Stay in control Feel myself Feel comfortable Feel optimistic Feel free Get noticed Feel liked

46. We make brands stronger. We make brand leaders smarter. What consumers want The ideal space for your brand to PLAY matches up what consumers want with what your brand does best What your brand does best The first step is to match up what your consumers want with what your brand does best After defining your target market, you should begin by matching up your target market’s need states against your brand assets. Match Up the consumer wants to your brand assets

47. We make brands stronger. We make brand leaders smarter. What consumers want What your competitor does best What your brand does best Winning Zone: your brand’s clear difference matters to consumers The ideal space for your brand to WIN is where ONLY your brand can match up to what the consumer wants

48. We make brands stronger. We make brand leaders smarter. What consumers want What your competitor does best What your brand does best Losing Zone: When competitor meets consumers needs better than you Risky Zone: Win with speed, emotion or innovation Dumb Zone: Competitive battle where consumer does not care Winning Zone: Your brand’s clear difference matters to consumers To be successful, brands have to be better, different, cheaper… or else they will not be around for very long.

49. We make brands stronger. We make brand leaders smarter. What consumers want What your competitor does best What your brand does best How can marketers impact a winning positioning Amplify your strength: Make what you do seem bigger than it really is, to make it more important or more interesting. Diminish competitors: Make what they do seem less important, interesting or turn it into a weakness. Focus on the winning zone where you are better than your competitor. Extrapolate the importance or interest of your main benefit, to ensure it is unique, own-able and motivating to consumers, while diminishing what your competitor does best. Brand Positioning

50. We make brands stronger. We make brand leaders smarter. What consumers want What your competitor does best What your brand does best Strategy is to dominate the win and the tie Make what you do best seem more important and more interesting to consumers Brand dominance comes when you even shut competitors out where there is a tie. Win on power, innovation, speed or emotional connection. Usually the tie is where the most ambiguous brand fights happen. A power player can use their dominance to invest in R&D, media, consumer insights or assessing weaknesses in order to win the tie. Power Player

51. We make brands stronger. We make brand leaders smarter. Set your brand up as the best solution, while moving your competitor outside of what consumers want Turn your competitor’s strength into a weakness, pushing them outside of what consumers want, while creating a new consumer problem for which your brand becomes the solution What consumers want What your competitor does best What your brand does best Amplify what your brand does best to drive involvement and importance Reposition the Power Player competitor turning their strength into a weakness, outside what consumers want Challenger Brands

52. We make brands stronger. We make brand leaders smarter. Brands that are so different, they are alone As you draw consumers to the new space, you pull consumers away from current competitors, leaving them unattached to consumers needs. Island Brands What consumers want What competitor B does best What your brand does best What competitor A does best Push competitors away so they feel out of touch with consumer needs. Very different game changing response to satisfy changing consumer needs

53. We make brands stronger. We make brand leaders smarter. Rebel “Craft” Brands: Better to be loved by a few What consumers want What your competitor does best What your brand does best Avoid competing directly with the market leaders. Small Niche Own a small niche far enough away from the competitors. Rebel Brands

54. We make brands stronger. We make brand leaders smarter. Lost in the middle without a point of difference or connectivity with consumers What consumers want What your competitor does best What your brand does best Cluttered Brands are lost brands, with no defined point of difference, nothing to own, nothing that connects. Cluttered Brands

55. We make brands stronger. We make brand leaders smarter. Target and insights What do consumers want? Product features What does your product do? Functional benefits What do consumers get? Emotional benefits How does that make them feel? Consumers Define target, need states, enemies and insights. Functional In the consumer’s voice, answer, “So, what do I get?” Consumer Benefits Ladder Features Product-focused strengths, claims, differences or unique offerings. Emotional Look at rational benefit, asking, “So how does that make me feel?” 1 2 3 4

56. The four elements of a Brand Positioning Statement To (Target) • Who is in the consumer target? What slice of the population is the most motivated to buy what you do? Your brand is the (Category) • Where do you play? What is the frame of reference that helps to define the space in the marketplace that you compete in? That is the (Benefit) • Where do you win? What is the promise you will make to the consumer target, thinking about the main benefit (rational/emotional) you are promising to deliver? That’s because (Support Points) • Why should they believe us? What support points help to back up the main benefit? 1 2 4 3

57. We make brands stronger. We make brand leaders smarter. Building a winning brand positioning statement To (Target) • Healthy proactive preventers who want to do more for their health, working moms, who are 35-40 years old. Gray’s is the (Category) Tasty healthy cookie option That is the (Beneﬁt) • Guilt free cookie that tastes so good that you can stay in control of your health That’s because (Support Points) • In blind taste tests, Gray’s matched the leaders on taste, but only 100 calories and 3g of net carbs. • In a 12-week study, consumers using Gray’s once a night as a desert were able to lose 5-10 pounds. 1 2 3 4

58. 3 Use your brand’s Big Idea to drive Brand Love The Big Idea connects consumers at every touchpoint forming a tight bond, while reflecting the inner soul of your brand and desired external reputation.

59. What is your brand’s shout from the mountain? What is your brand’s Big Idea

60. We make brands stronger. We make brand leaders smarter. Brand Soul A brand ﬁnds equilibrium when the brand soul, big Idea and reputation are all the same. Big Idea The soul is why you get up in the morning to do what you do. We use the Big Idea to express the soul to the marketplace. The result of a consistent expression and management by everyone who touches the brand, is to create a brand reputation that ends up being a perfect match for the soul.

61. We make brands stronger. We make brand leaders smarter. Brand’s Big Idea We will help create a Big Idea that will transform your internal brand soul into a winning external brand reputation. The Big Idea helps simplify the brand message as an outward expression of the inner Brand Soul We make brands stro We make brand leaders sm Promise Brand Story Innovation Purchase Moment Experience Big Idea Brand Positioning Advertising and Communication Product Development Selling and Retail Operations and Culture Consumer The Brand Big Idea Drive consistency using the brand’s Big Idea to show up the same way at all 5 consumer touch-points Consumers have 7 seconds to connect with a brand’s Big Idea A brand ﬁnds its equilibrium when the Big Idea impacts a brand reputation to perfectly match up to the Brand Soul Soul Reputation= Based on their personal experiences, consumers form a reputation they spread to others. 1 2 3 4 5 =Big Idea Brand Soul Consumer

62. We make brands stronger. We make brand leaders smarter. What creates the bond between the consumer and the brand? Consumer The Brand

63. We make brands stronger. We make brand leaders smarter. Consumers ﬁrst connect with the brand’s BIG IDEA, which should be an outer reﬂection of the BRAND SOUL Big Idea BIG IDEAS that help simplify brand messages that makes it easily understood and remembered. The idea must be unique, own-able and motivating. It must gain a quick entry, be layered easily and have longevity over the life of the brand. Consumer The Brand

64. We make brands stronger. We make brand leaders smarter. 7 second brand 60 second brand 30 minute brand Lifetime brand Decision Point Experience Point Entry Point Testing Point A BIG IDEA for your brand ensures consistency in the consumers mind as they notice, test, decide and experience the brand. Consumer

65. We make brands stronger. We make brand leaders smarter. Modern consumer world sets up case for a Big Idea After decades of being burned by false promises, modern consumers are naturally cynical and constantly doubting brands. They test the brand by asking detailed questions. 7 second brand 60 second brand In today’s crowded branded marketplace, the modern consumers see 7,000 brand messages a day. The fastest thing our brains do is reject brand messages. Modern consumers like to take control over their buying process as they move from consideration to search and ﬁnally to a purchase moment. 30 minute brand Lifetime brand As the modern consumer experiences the brand, they either accept or reject the promise. Consumers are more loyal to brands they share a common purpose and shared values. Brands need to move with consumers through to the purchase moment Brands need to create experiences that match the brand story Brands need an entry point to gain permission to the consumer’s brain. Brands need a solid story that closes off any doubts consumers may have Can you describe your brand to CONSUMERS in 7 seconds, 60 seconds, 30 minutes and over the lifetime of the brand, always telling the same story? 1 2 34 Consumer

66. We make brands stronger. We make brand leaders smarter. Complex brand organization affirms case for Big Idea The people of an organization deliver the brand story, innovation, purchase moment and experience Together, they create a bond with consumers. Everyone needs a common understanding and talking points of the brand. 7 second brand60 second brand The organizational support behind brands can be complex. Various departments have differing motivations and misaligned goals. Organizations need to break down silos to ensure various groups move in the same direction, each with unique solutions that line up with other groups 30 minute brand Lifetime brand It is the culture of the organization who deliver the experience the brand. People are the face of the brand, and will be the source of creating loyalty with consumers Brands need a plan that gets everyone on the same page with strategics, tactics and project plans. The culture under the brand is quickly becoming the new product that consumers connect with. Brands need an internal beacon to rally the motivations of their employees Brands need to lay out the detail so everyone can know the impact they have Can you describe your brand to YOUR TEAM in 7 seconds, 60 seconds, 30 minutes and over the lifetime of the brand, always telling the same story? 1 2 3 4 The Brand

67. We make brands stronger. We make brand leaders smarter. Nike’s Big Idea Nike pushes your athletic boundaries beyond what you thought was possible Amazing slogan. But not a big idea. Big Idea focuses entire organization, from what type of shoes you make, who you hire, how you design stores to the “Just Do It” slogan. A slogan never drives your brand strategy. The brand strategy drives your slogan.

68. We make brands stronger. We make brand leaders smarter. Apple makes technology so simple that everyone can be part of the future. Can you explain your brand in 7 seconds? Special K inspires and empowers women to take control and maintain their healthy body. Starbucks provides a personal moment of escape from a hectic life, between work and home. Rolex stands for performance and prestige. Assembled with scrupulous attention to detail to meet the most exacting standards. BIG IDEAS that help simplify brand messages that makes it easily understood and remembered. The idea must be unique, own-able and motivating. It must gain a quick entry, be layered easily and have longevity over the life of the brand. 7 second brand

69. We make brands stronger. We make brand leaders smarter. SIMPLICITY Once you have found your 7 second brand, can you narrow it even further to the 1-second brand? EMPOWER MOMENTS PRESTIGE 1 second brand

70. We make brands stronger. We make brand leaders smarter. Products & Services Consumer Reputation Brand Role Internal Beacon Big Idea Brand Character The Big Idea blue print model to help come up with your brand’s Big Idea Internal ViewExternal View The Bridge

71. We make brands stronger. We make brand leaders smarter. Big Idea Blueprint Focused point of difference that your brand can win on, because it meets consumer needs, while separating your brand from competitors. Products & ServicesConsumer Reputation Desired outward reputation of the brand, that attracts, excites, engages and motivates consumers to think, feel and purchase. Brand Role Internal rallying cry that reflects your purpose, values, motivations helping to inspire, challenge and guide the culture, including everyone’s focus and daily behaviors. Internal Beacon The link between consumer and brand, reflecting the way we service, support and enable our consumers to ensure they make the most of our brand offering. Big Idea has to accurately express the brand’s soul, so it is simply understood, engaging, own-able and moves consumers to purchase. Set of emotional characteristics, and personality traits that help consumers connect passionately and identify with the brand on a deeper self-reflective level. Brand Character Internal ViewExternal View The Bridge

72. We make brands stronger. We make brand leaders smarter. Delicious, low carb, low calorie cookies that help controls hunger and replace their favorite cookie. Products & ServicesConsumer Reputation The fresh face in the cookie aisle, known equally for health as it is the great taste. And I won’t feel guilty eating them. Brand Role Healthy doesn’t have to taste bad. We need to make healthy, low carb cookies that never settles on taste. Internal Beacon Gray’s is the helping hand that allows people to control their cravings and maintain their weight. GRAYS are the best tasting yet guilt free pleasure so you can stay in control of your health. Optimistic, feel good, and motivated, helping to stay in control, and knowledgeable about the choices I make. Brand Character Inspire yourself to come up with a Big Idea that summarizes everything Using the 5 areas to inspire you, try to write a summary Big Idea

73. We make brands stronger. We make brand leaders smarter. The consumer’s first interaction with a brand will be with a big idea that delivers the Brand Promise The big idea must motivate consumers think, feel and move towards the Purchase Moment Surpising Innovation builds from the big idea to keep up to trends, satisfy a broader array of needs and stay ahead of competitors Happy experiences must over-deliver the original promise of the big idea. Every happy purchase tightens the bond and spread the brand love to others. The Brand Story must use the big idea to entice consumers to think, feel and act in ways that will benefit the brand. GRAYS Guilt free pleasure gourmet cookies 2 5 1 3 4 We make brands stronger. We make brand leaders smarter. Consumer GRAYS Lemon creme Guilt free pleasure gourmet cookies GRAYS Peanut Butter Guilt free pleasure gourmet cookies GRAYS Ginger Bread Guilt free pleasure gourmet cookies GRAYS Cranberry Time Guilt free pleasure gourmet cookies The consumer’s first interaction with a brand will be with a big idea that delivers the Brand Promise Purchase Moment Innovation Experience The consumer may engage in the big idea through the telling of the Brand Story GRAYS Guilt free pleasure gourmet cookies 2 5 1 3 4 Grays Cookies were created with a bit of luck Gray’s Cookies is based on a 40-year-old family recipe that had been used for years in a local coffee shop in Stowe Vermont. Gray’s was a local favorite and even among tourists, famous for it’s Chocolate Chip and Peanut Butter flavors. No one realized it was also a healthy treat— low fat, low calories. A taste of guilt free pleasure We make brands stronger. We make brand leaders smarter. Consumer GRAYS Lemon creme Guilt free pleasure gourmet cookies GRAYS Peanut Butter Guilt free pleasure gourmet cookies GRAYS Ginger Bread Guilt free pleasure gourmet cookies GRAYS Cranberry Time Guilt free pleasure gourmet cookies The consumer’s first interaction with a brand will be with a big idea that delivers the Brand Promise Purchase Moment Innovation Experience The consumer may engage in the big idea through the telling of the Brand Story GRAYS Guilt free pleasure gourmet cookies 2 5 1 3 4 The consumer engages a brand at 5 main touch-points

74. We make brands stronger. We make brand leaders smarter. • Create a simple brand promise that separates your brand from competitors, based on being better, different or cheaper. • Use your brand story to motivate consumers to think, feel or act, while beginning to own a reputation in the mind and hearts of consumers. • The moment of truth as consumers move through the purchase cycle and use channels, messaging, processes to make the ﬁnal decision. • Fundamentally sound product, staying at the forefront of trends and using technology to deliver on your brand promise. • Turn the usage of your product into an experience that becomes a ritual and favorite part of their day. Align all 5 consumer touch-points under the brand’s Big Idea Brand Promise Brand Story Happy Experiences The big idea organizes the brand across all 5 touch points. Purchase Moment Innovation Surprise

75. We make brands stronger. We make brand leaders smarter. Big idea connects and separate brand from competitors Use your brand’s differences to move consumers Keep your brand fresh and on top of trends Move consumers through the buying system Experiences that consistently over- deliver the promise Consumer Big Idea The Brand Brand Promise Brand Story Happy Experiences Purchase Moment Innovation Surprise Positioning Advertising and Communication Product Development Selling and Retail Operations and Culture The big idea must inspire and align everyone who works behind the scenes of the brand. The big idea is the bridge between brand and consumer, aligning everything around the 5 consumer touch-points

76. We make brands stronger. We make brand leaders smarter. Take control of your weight by replacing your favorite snack with Grays. Real life stories that show women living “All the pleasure. None of the guilt.” We never sacriﬁce on taste so you won’t have to sacriﬁce your cookie. Interrupt purchase routine to set up Grays as the better alternative. Celebrate weight loss results to empower you to stay in control. Consumer Grays are the best tasting yet guilt free pleasure Brand Brand Promise Brand Story Happy Experiences Purchase Moment Innovation Surprise Positioning Advertising and Communication Product Development Selling and Retail Operations and Culture The big idea is the bridge between brand and consumer, aligning everything around the 5 consumer touch-points

77. Big Idea Sub Brand Campaign Sub Brand Campaign Sub Brand Campaign J F M A M J J A S O N D TV TV TV Facebook Event Event Sampling Digital Twitter In Store Displays PR PR Facebook FacebookWeather Twitter YouTube Master Brand Anthemic Campaign The Big Idea should guide the Creative Idea that can set up the advertising for the master- brand ads as well as sub brands or promotional ads… …the Big Idea should guide the Media Plan with a balance of how to execute the master brand advertising with sub brands, and promotional ads. Creative Idea Big Idea should organize a consistent delivery of the marketing execution, driving the creative execution and media plan Creative Execution Media Plan

78. We make brands stronger. We make brand leaders smarter. Social Media Home PageEarned Media SearchPaid Media Purchase MediaExperiential Make brand newsworthy to help decisions. Enlist lovers as advocates to influence others. Tell brand story in own-able, breakthrough, moving way. Help consumers make smarter decisions. Knowledge, influence to close the sale or sell brand. Bring brand to life to replicate ideal brand experience Manage consumer through entire purchase cycle. Big Idea Align all marketing execution under the Big Idea Consumer The Brand

79. Consumer Big Idea Experience Delivery Problem Solvers Customer Service Top-to-top servicing Sales Team Back room team ShippingR&D Brand Communication Everyone who works behind the scenes of the brand should be inspired by the Big Idea. They should know their role is in delivering that idea to consumers and customers. Customer The Brand Big Idea organizes the culture and internal messaging to ensure everyone meets the needs of both consumers and customers

80. We make brands stronger. We make brand leaders smarter. Customer Big Idea External story of the brand which creates a position in the mind/heart Internal story of the brand which creates the customer experience Logo/Packaging Sales Materials Communications Values/Culture Innovation Service The external and internal story are of equal importance to the experience you create.

81. We make brands stronger. We make brand leaders smarter. Brand Story Brand Positioning Strategic Plan Retail Selling Organization Culture Driving Profits Vision& Purpose& Goals& Key& Issues& Strategies& Tac7cs& Calendar& Budget& Target& Insights& Consumer& Enemy& Features& Ra7onal& Beneﬁts& Emo7onal& Beneﬁts& Statement& Winning& Concept& Social& Media& Digital& Look&and& Feel& Communica7ons& Strategy& Brief& Crea7ve& Idea& Paid& Media& Earned& Media& Trends& Direct& Interac7on& Voice&of& Consumer& Consumer& Experience& Consumer& Insights& Behaviors& Talent& Hiring& Training& Values& Revenue& CAGR& P&L&Mgmt.& COGS& ROI& Priori7es& Investment& Forecasts& Share& Data& NPD& Produc7on& PorOolio& Mgmt.&& R&D& Plan& Brainstorm& NPD& Investment& Launch& Plan& Customer& Priori7za7on& Key&Accounts& Distribu7on& In&store&& Message& In&store& Experience& Buyer& Rela7ons& Budget& Home&& Media& Consumer Focus Program& Tracking& Pricing&&& Promo7on& Customer& Analy7cs& Program& Budgets& Org&& Structure& Leadership& Mo7va7on& Brand&Story& NPD& Research& Product Innovation Diagnos7c& Tracking& Our&& Consumers& Service& Systems& Service& Values& Media&& Customer& Innova7on& Claims& The! Big Idea! Big Idea should drive every part of your organization Big Idea

82. We make brands stronger. We make brand leaders smarter. Indifferent Love It Like It Where your brand sits on the Brand Love Curve should influence your innovation strategy Consumer Focus on the product innovation, with a big idea that can explain and organize each consumer touch point. Go after leading trend influencers in that market, who already see problem and will be the most motivated by what your brand has to offer. Early wins among early brand lovers will help fuel momentum. It will intrigue early adopters to follow. Use the innovation to separate yourself from competitors, to extrapolate the problems, gaps or frustrations consumers see in mass brands. This sets up your brand as the only solution. Increase investment in brand communication and the purchase moment to tighten the bond with an early group of brand lovers who can be used to influence the broader consumer base. Use innovation to create experiences and become part of the consumer’s life. Layer in emotion and explore peripheral products around the routine to turn repeat usage in life rituals. Invest to stay ahead of any challenger brands. At this stage, you can use your connection with a loyal base of brand lovers to enter new categories to extend the brand's big idea across a bigger portfolio of products. Extend brand beyond core product. Use innovation to surprise and delight the most base of brand lovers. Attack potential gaps in the current offering with product improvements. Continue to perfect the entire portfolio to gain an equal strength across most product lines. You want to be able to use your brand lovers to have them satisfy all their needs through your brand. Beloved

83. We make brands stronger. We make brand leaders smarter. Brands evolve from an innovative rebel to a mass power player Rebel Brand Power Player Island Brand Challenger Brand Focused on trend influencers, who are frustrated by status quo. The brand must own a small niche far enough away from competitors. High risk marketing to break through clutter. Layer in early adopters to a whole new space, which pushes away current mass competitors, leaving them unattached to meeting the consumer’s needs. Focus on driving passion, to be loved by a few, rather than tolerated by many. With momentum, early mass consumers follow. You focus on turning the leader’s strength into a weakness, pushing them outside of what consumers want,while setting up your brand as the solution Become loved by many, the choice of the mass consumers, even at risk of early brand lovers moving on. Crucial to live up to original brand promise and brand soul, while playing to a larger audience. Trend Influencers Early Adopters Early Mass Mass Audience Types of Consumers

84. We make brands stronger. We make brand leaders smarter. Breakthrough brands must be so different to create desire among a core audience, you risk alienating a bigger audience At the rebel stage, you must take a high risk, high reward chance on who you will be. At this early stage, the brand should not worry about the mass audience, because most times, they will naturally resist ‘brands that are very different’ as they do not yet see the problem. Playing it safe will be your own destruction. Later on, the mass consumers will follow ‘trend leaders’ who not only identify new solutions, but will eventually use their influence to create new problems in the mass audience. Please never use the word "alienate" when determining your target market. You should naturally alienate those who are not yet ready. Not only does a great brand say who it is for, it should equally say who it is not for. Not only does a great brand say who it is for, it should equally say who it is not for. Love HateZone of mediocrity This is good This is goodThis will meet certain failure

85. We make brands stronger. We make brand leaders smarter. Breakthrough brands must be so different to create desire among a core audience, you risk alienating a bigger audience At the breakthrough stages, a great brand should target a tight audience who have potential to fall in love with the brand. It should not worry about the mass audience, because they resist ‘different’ at first, but follow ‘trend leaders’ later on. Not only does a great brand say who it is for, it should equally say who it is not for. Love HateZone of mediocrity This is good This is goodThis will meet certain failure “If people don’t either love or hate your work, you haven’t done anything.” Tinker Hatfield Designer, Air Jordan

86. We make brands stronger. We make brand leaders smarter. Continuous generation of ideas to build a war-chest of potential solutions to meet consumer needs. Assess opportunities using criteria: breakthrough, own- able, strategic ﬁt, consumer motivation, potential size. Plan your Product Innovation Identify New Opportunities Build Innovation Pipeline Go-to-market launch Plan 2 3 Build out potential concept to test breakthrough, own- ability and sales potential. Build robust innovation schedule with volumetrics, investment, sourcing and production timeline. Stage-gate decisions to approve execution plans and milestones from production to launch. 4 5 6 Backend plan includes ﬁnal naming, logos, packaging, production and channel plan. Build marketing support; advertising, presentations, in-store support. Hand over to launch team, including marketing, sales, operations. 7 8 9 Observations and Identifying trends and new consumer need states 1 Winning ideas go to market Move best ideas to testing Marketing Execution

87. 4 Focused strategic thinking Focusing your limited resources to strategic breakthrough points, moving consumers along the brand love curve towards your vision.

88. Strategic thinkers see the right questions before they look for answers. Intuitive thinkers see answers before they even know the right question. Brand Leaders need to be both, being able to change the speed of their brains for the right situation and moment. Move your brain slowly on strategy and quickly with execution.

89. We make brands stronger. We make brand leaders smarter. The 8 elements of smart strategic thinking Break through point where you see a shift in momentum towards your vision. Proof to everyone this strategy will work. Aspirational stretch goal for future, linked to a well- defined goal purpose. It should scare you a little, but excite you a lot. Turn the early win into tipping point where you achieve more in return than you put in. Shift in positional power that allows you to achieve your vision. Seize opportunity quickly before others react or it is closes. 1 3 4 5 6 7 8 Visionary Early Win Speed An opening in the market, based on a potential change in the market (consumer needs, technology change, new channels) Leverage Gateway Align your limited resources to a distinct point you can break through getting you on a path to your vision. Opportunity Strategic Thinking Questions2 Must ask the right questions that frame the issues in the way of achieving the desired vision

90. What is the current business situation your brand faces? How tightly connected is your Consumer to your brand? What is the core strength your brand can win on? How important is the decision and how involved are consumers? Product Story Experience Price Power Player Challenger Island Brand Rebel Brand High Profile Indulgence Commodity Essential Indifferent Like It Love it Beloved Keep It Going Fix It Re-Align Start Up What is your current competitive position? 3 1 5 4 2 5 questions to challenge your 360-degree strategic thinking For each question, force yourself to pick one option only We make brands stronger. We make brand leaders smarter.

91. We make brands stronger. We make brand leaders smarter. Marketers always face limited resources… Target Market Brand Positioning Strategic Options New Product Ideas Execution Activities Financial Time People Partnerships …as they deploy against an unlimited list of choices We need to make decisions to limit the choices to match the limited resources we can deploy against those choices.

92. We make brands stronger. We make brand leaders smarter. When Marketers come to a decision point that requires focus, they try to justify a way to do both. Strategic thinkers never DIVIDE and conquer out of fear. They force themselves to make choices to FOCUS and conquer. Don’t tell yourself that you are good at making decisions if you come to a decision point and you always choose BOTH. The best brand leaders force themselves to focus by using the word “or” more than they use the word “and”

93. We make brands stronger. We make brand leaders smarter. When you focus, 5 amazing things happen to your brand: 1. Better return on investment (ROI) 2. Better return on effort (ROE) 3. Stronger reputation with a key target audience 4. More competitive, owning a winning position 5. More investment behind brand

94. We make brands stronger. We make brand leaders smarter. • In 2003, Starbucks creates their own recording company, winning 8 Grammy’s 2 years later. In 06, they launched their own movie, started partnership with William Morris to scout for music, books, films. Opens “entertainment” office in LA. • By 2008, Starbucks cuts 18k jobs, closes 977 stores, sales down 7%. Stock price falls to $7.83, down from $39.63 in 2008. The brand was in a complete free fall. People wondered “Is it the next Benetton?” • How did Starbucks refocus? They rebuilt everything back around the coffee routine. They closed their stores for an entire day to re-train every barista. They created snacks and pastries to gain more share of requirements around coffee, launched sandwiches to stretch the coffee routine to lunch and created new versions of coffee to deepen love affair with the most loyal users. Is this a good strategy or bad? Starbucks loses focus only to regain it. Case Study

95. We make brands stronger. We make brand leaders smarter. Starbucks and the 8 elements of smart strategic thinking 1 3 4 5 6 7 8 Visionary Early Win Speed Leverage Gateway Opportunity Questions2 How do we build smartly around the coffee experience to drive significant growth of same store sales? New products improved perception that they were innovative, successfully connecting with most loyal Starbucks fans, giving them higher same store sales Become a cherished quick service food brand that is a favorite moment of the day. Be the dominant coffee brand Able to turn the morning coffee routine into a breakfast/lunch routine, allowing Starbucks to focus on becoming a broad- based meeting place. No longer seen as just for morning coffee, but rather an escape at any point in the day. Double-digit growth for 5 straight years following the turnaround. Starbucks closed every store for a day to refocus on coffee, then built out broader portfolio around coffee. With under-utilized retail locations, relatively unused past 11am, the broader portfolio helps gain lunch/ dinner sales giving them a higher share of requirements. Focus everything around the coffee ritual, look to shift coffee routine to lunch. Broaden portfolio around coffee–deserts, snacks, sandwiches. Case Study

96. We make brands stronger. We make brand leaders smarter. • Vision: Cherished meeting place for all your quick service food needs • Goals: Increase same store sales, greater share of requirements from Starbucks loyalists • Key Issue: 1) How do we build smartly beyond the coffee experience? 2) How do we drive significant growth of same store sales? • Strategy: 1) Re-build the coffee experience by training all the Starbucks baristas to emphasize how our people make the difference to get current brand lovers to use Starbucks more often. 2) Enhance the Starbucks experience at lunch with innovative sandwiches and snacks, to re-enforce the quality difference at Starbucks to enter the new lunch time market. • Tactic: Re-train all baristas. Focus staff on creating experiences. Launch exotic refreshing coffee choices, light lunch menu, increase desert offerings. What would Starbucks Brand Plan look like Strategic Lesson: Building everything around the experience helped separate Starbucks from the pack. Case Study

97. We make brands stronger. We make brand leaders smarter. Indifferent Love It Like It Beloved Unknown Where your brand sits on on the Brand Love Curve should guide your brand’s next strategic move Get noticed so consumers see the brand in a crowd Establish brand positioning in the consumer’s mind Magical experiences that inspire brand lovers to inﬂuence their friends Tighten bond with your most loyal brand lovers Build a trusted following with each happy purchase

98. We make brands stronger. We make brand leaders smarter. Stand out so consumers see brand in the crowd Establish brand positioning in the consumer’s mind Build a trusted following with each happy purchase Tighten bond with your most loyal brand lovers Magical experiences inspire brand fans to influence others 1. Set up: production, promise, advertising, selling, experience. 2. Launch event: Build hype and desire to gain attention 3. Core message: Amplify brand’s big idea and consumer benefit to target. 4. Find early lovers: Build early trial among those already motivated by what you do 5. Mind Shift: drive new position or re- enforce current 6. Mind Share: gain more attention than competitors 7. New News: launch innovation to enter consumers mind 8. Turnaround: focus energy on gaps, leaks. Use fix to change minds. 9. Drive Penetration: convince new consumers to try 10. Drive Usage: get happy consumers to use more/differently 11. Build routine: get happy consumers to build a routine around brand 12. Cross Sell: get happy consumers to use brand’s other products/services. 13. Turn experience in memories: link brand with life moments. 14. Maintain Love: re-enforce brand equities. 15. Deeper love: consolidation or broader usage 16. New Reasons to Love: target most loyal user. 17. Create magic: surprise and delight deep brand lovers. 18. Leverage Power: drive growth and profit from brand’s source of power. 19. Attack yourself: Close leaks and improve before competitor attacks. 20. Use loyalists to drive awareness and influence others How the stages of the Brand Love Curve sets up 20 possible consumer strategies for your brand plan Unknown Indifferent Love ItLike It Beloved

99. Analyzing where your brand sits on the Brand Love Curve Indifferent Like It BelovedLove It No opinion, low interest, low importance. Do not care and have doubt. Have never bought. Have a basic idea what brand stands for, but have no connection. See it as ordinary, not different. See brand as better, High satisfaction, loyalty and frequency. Willing to recommend to their friends. Outspoken fans who believes everything about the brand (product, experience, service) is better. Skinny brand funnel, market share squeeze, low unaided awareness. Low growth and shrinking margins. Low conversion to sales, high percent bought on deal, low loyalty, strong private label share. Programs have low ROI Robust brand funnel, healthy tracking scores, market share gains, high share of requirements. Can enter new categories. Dominant share, net promoter scores, usage frequency and recommendations. High growth and profits. Voice of the consumer Market Indicators Awareness Consider Purchase Repeat Loyal We make brands stronger. We make brand leaders smarter.

100. We make brands stronger. We make brand leaders smarter. Measuring brand love using brand funnels • Brand funnels becomes thicker as the brand becomes more loved. It’s not just about driving particular numbers but about moving them from one stage to the next. • To drive TRIAL you need to gain CONSIDERATION first (the brain) and then you need to move the consumer towards purchase and through the experience. To drive LOYALTY (the heart) you need to create experiences that deliver the promise and use tools to create an emotional bond with the consumer. • AWARENESS is never enough, anyone can get that. But consideration is the point you start to see that your brand idea starts to connect and move the consumer. Awareness Familiar Consider Purchase Repeat Loyal

101. We make brands stronger. We make brand leaders smarter. ‘Leaky Bucket’ helps match the brand experience up to the brand funnel to discover brand problems to address Unaware Noticed Interested Bought Satisfied Repeater Fan Outspoken I have never heard of the brand before. I have heard of brand but do not know much about it I’m impressed and will consider buying in the future. I recently bought the brand. Seems cool. Hope I made the right decision. I like it so far, will likely buy it again. I have had good luck with brand and will keep buying it. I’m a big fan of the brand. I own multiple products and love them all. I love the brand and I’m always telling my friends about it. Your brand is not the one for me. I’ll stick to my current brand. I have heard of the brand but I was uncertain, so I went for my more trusted brand. I bought your brand but I wasn’t satisfied so I won’t buy it again. I was a big fan, but the brand hasn't kept up with technology so I switched my brand. Indifferent Like It Love It Beloved Consumer views Reasons for rejection Establish brand in the consumers mind through high awareness programs. Focus on specific benefits— both rational and emotional. Improve product quality and service innovation to get back lost customers. Focus on improving product technology and build a VIP program for long term users. Plan for closing the leak

102. 5 Using passionate execution to create a beloved brand. PASSION in execution creates breakthrough ideas that surprise and exceed consumer expectations, becoming a favorite brand of the consumers.

103. Creative Execution must amplify your brand story and brand positioning into the marketplace, to help connect with your consumers so they will see, think, act or feel differently about your brand than before they saw the message.

104. Media is a business investment that showcases the creative execution of your brand story, to build a bond your brand with consumers at the most impactful and efﬁcient place, where they are most willing to engage in your brand story. It only pays back if it puts your brand on a pathway to becoming more powerful and proﬁtable.

105. We make brands stronger. We make brand leaders smarter. We make brands stronger. We make brand leaders smarter. Promise Brand Story Innovation Purchase Moment Experience Big Idea Brand Positioning Advertising and Communication Product Development Selling and Retail Operations and Culture Consumer The Brand Innovation drives ideas, concepts, testing, launches through system.Build culture to support consumer experience creating a brand credo with purpose, values, service behaviors. 2 4 3 1 CREATIVE(BRIEF(( 1.""Why(Are(We(Adver3sing( Drive&trial&of&the&new&Grays&Cookies&as&“The&Healthy&Choice&to&Snacking”&brand&posi>oning.&&& 2.#What’s(the(Consumer(Problem(We(are(Addressing( I’m&always&watching&what&I&eat.&&And&then&BAM,&I&see&a&cookie&and&I’m&done.&&As&much&as&I&look&aHer& myself,&I&s>ll&like&to&sneak&a&cookie&now&and&then.&&" 3.((Who(are(you(talking(to?( “Proac>ve&Preventers”.&Suburban&working&women,&35L40,&&who&are&willing&to&do&whatever&it&takes&to& stay&healthy.&&They&run,&workout&and&eat&right.&For&many,&Food&can&be&a&bit&of&a&stressLreliever&and& escape&even&for&people&who&watch&what&they&eat.&&&&" 4.((Consumer(Insights( L&“I&have&tremendous&willLpower.&&I&work&out&3x&a&week,&watch&what&I&eat&and&maintain&my&figure.&&But& we&all&have&weaknesses&and&cookies&are&mine.&&I&just&wish&they&were&less&bad&for&you”& L&&“I&read&labels&of&everything&I&eat.&&I&s>ck&to&1500&calories&per&day,&and&will&find&my&own&ways&to& achieve&that&balance.&&&If&I&eat&a&400&calorie&cookie,&it&may&mean&giving&something&up.”& 5.(What(does(our(consumer(think(now?( I’ve&never&heard&of&Grays&Cookies.&&But&I’d&likely&need&to&try&it&and&see&if&I&like&it.&&If&it&really&does&taste& that&good,&it’s&something&I&might&consider&as&a&snack.&&& 6.((What(do(you(want(your(consumer(to(think/feel/do?((Desired(Response)( We&want&them&to&try&Grays&and&see&if&they&like&the&great&taste.&&" 7.((What(should(we(tell(them?((S3mulus:((benefit)( With&Grays&Cookies&you&can&s>ll&have&a&great&tas>ng&cookie&without&the&guilt,&so&you&can&stay&in& control&of&your&health.&& 8.((Why(should(they(believe(us?( In&blind&taste&tests,&Grays&Cookies&matched&the&market&leaders&on&taste,&but&only&has&100&calories&and& 2g&of&fat.&&In&a&12&week&study,&consumers&using&Grays&once&a&night&as&a&desert&were&able&to&lose&5lbs.&&& 9.((Brand(Posi3oning(Statement( For&“Proac>ve&Preventers”,&Women&30L45,&Grays&Cookies&are&the&best&tas>ng&yet&guiltLfree&pleasure# so&you&can&stay&in&control&of&your&healthy&lifestyle.&&That’s&because&Grays&combines&the&great&taste&in&a& low&fat&and&calorie&sensible&cookie.&In&blind&taste&tests,&Grays&Cookies&matched&the&market&leaders&on& taste,&but&only&has&100&calories&and&2g&of&fat.&&In&a&12&week&study,&consumers&using&Grays&once&a&night& as&a&desert&were&able&to&lose&5lbs.&&& 10.((Tone(and(Manner( Successful,&Mo>vated,&Reliable,&In&Control,&Natural.& 11.((Media(Op3ons( Main&crea>ve&will&be&in&specialty&health&magazines,&event&OOH&signage&and&inLstore.&&Want&to&carry& the&idea&into&digital,&social&media&and&a&microsite.&&& 12.((Mandatories( The&line:&“best&tas>ng&yet&guiltLfree&pleasure”&is&on&the&packaging.&25%&of&Print&must&carry&the&Whole& Foods&logo&as&part&of&our&lis>ng&agreement&and&include&the&Legal&disclaimer&on&the&taste&test&and&the& 12&week&study.&&& Brief focuses creative & media decisions on positioning & strategy 5 Influence purchase moment through channels, e-commerce, selling and merchandising At Beloved Brands, we promise to make your brand stronger and your brand leaders smarter. We believe big ideas, focus and passion matter, because the more loved a brand is by consumers, the more powerful and profitable that brand will be. We will challenge you to think different, because the thinking that got here may not get you to the next level. Our Credo Align execution to focus on moving consumers through stages of the buying system Consumers connect with Big Idea through 5 supporting touch-points Consider Satisfied Buy Search Fan Loyal Repeat Aware 6 The role of any marketing execution is to tighten the bond with your consumers to drive brand growth Marketing Execution

106. Find the magic in the execution of a brand All of our work is done through other people. Our greatness as a Brand Leader has to come from the experts we engage, so they will be inspired to reach for their own greatness and apply it on our brand. Brand Management has been built on a hub-and- spoke system, with a team of experts surrounding the generalist Brand Leader. When I see Brand Managers of today doing stuff, I feel sorry for them. They are lost. Brand Leaders are not designed to be experts in marketing communications, experts in product innovation and experts in selling the product. You are trained to be a generalist, knowing enough to make decisions, but not enough to actually do the work. Find strength being the least knowledgeable person in every room you enter.

107. We make brands stronger. We make brand leaders smarter. How clients can get better Marketing Execution Brand leaders always want options, so they write a big wide brief with many “strategic” options. But really, you want “creative” options, not strategic options. You should write a very tight brief, based on the strategy you decided on, before you even wrote the brief. Slow down and let your strategic thinking prevail. Give more freedom on execution Control the brand strategy Brand leaders try to control the outcome of the creative process so they write a long list of mandatories in the brief, they try to steer the type of advertising they want to see, or don’t want to see. You should allow the creative process to unfold, as you always hold the power of decision. Go faster with your instincts to not over-think great ideas.

108. We make brands stronger. We make brand leaders smarter. Creative Marketing Execution people are “in the box” problem solvers, not blue sky thinkers. The strategy is the box. The idea of a creative brief is to “create the right box” • Creative people are motivated by the challenge of the problem, more than the execution of a simple solution. Give them a problem. • The role of the brief is to create the right box, enough room to move, but enough direction that defines the problem. The smaller the brief, the bigger the idea. THE BOX

109. We make brands stronger. We make brand leaders smarter. 7 questions of a Brand Communications Strategy Who is in the consumer target? (Who is the most motivated to buy what you do?) What are we are selling? (What is your main benefit (rational/emotional)?) Why should they believe us? (Support points to back up what you say) What’s the long range feeling the brand evokes? (What is the Big Idea and Soul for the brand?) What do we want the advertising to do? (Strategic Choices) What do want people to think, feel or do? (Desired Response) Where will you deliver the message? (Media Plan) 1 2 3 4 5 6 7 Positioning Brand Plan

110. We make brands stronger. We make brand leaders smarter. Creative Brief 1. What is the objective? 2. What’s the consumer problem we are addressing? 3. Who are you talking to? 4. Consumer Insights 5. What does our consumer think now? 6. What do you want your consumer to think/feel/do? 7. What should we tell them? 8. Why should they believe us? 9. Brand Positioning Statement 10.Tone and Manner 11.Media Options 12.Mandatories How the 7 questions of the Marketing Execution Strategy sets up the Creative Brief Who is in the consumer target? (Who is the most motivated to buy?) What are we are selling? (What is your main benefit?) Why should they believe us? (Support points to back up what you say) What’s the long range feeling the brand evokes? (What is the Big Idea/Soul for the brand?) What do we want the advertising to do for the brand? (Strategic Choices) What do want people to think, feel or do? (Desired Response) Where will you deliver the message? (Media Plan) 1 6 2 3 4 5 7 1 1 1 5 5 2 1 4 4 4 31 2 7 3 5 6 6 4 6

111. We make brands stronger. We make brand leaders smarter. Get Consumers to THINK differently about your brand Build a trusted following with each happy purchase Get Current Loyal users to connect emotionally and LOVE you more Create outspoken loyal fans to whisper to their friends on your behalf Head Heart Soul Stand out so consumers NOTICE the brand in a crowd market place Eyes Where your brand sits on the Brand Love Curve should focus your team’s marketing execution focus Think Do InfluenceSee Feel Unknown Indifferent Love ItLike It Beloved Happy Feet

112. We make brands stronger. We make brand leaders smarter. Consider Aware Fan Loyal Repeat Satisfied Buy Search Awareness Ads Invest in mass media to establish position in consumer’s mind PR/Content/SEO Use information to teach those seeking to learn more pre decisions Retail/Home Page Close the deal by separating your brand from the competitors at the last minute during purchase moment. Post Purchase Help Create experience to re-enforce promise, after sales help for new users to get the most from the brand. Love those who love you most Surprise & delight rewards to drive ritual among your most loyal users Use emotions to build frequency Using reasons for usage to turn into routine. Leverage emotional bond Drive repeat Turn trial into an experience, reward happy customers, emotionally re-enforce reasons purchase makes sense Outspoken Army Create club, leverage loyalists to influence friends, especially through social media Use media choices to move consumers to see, think, do, feel or influence as they move through the brand funnel Consumer Unknown Indifferent Love It Like It Beloved

113. 3 1 CREATIVE(BRIEF(( 1.""Why(Are(We(Adver3sing( Drive&trial&of&the&new&Grays&Cookies&as&“The&Healthy&Choice&to&Snacking”&brand&posi>oning.&&& 2.#What’s(the(Consumer(Problem(We(are(Addressing( I’m&always&watching&what&I&eat.&&And&then&BAM,&I&see&a&cookie&and&I’m&done.&&As&much&as&I&look&aHer& myself,&I&s>ll&like&to&sneak&a&cookie&now&and&then.&&" 3.((Who(are(you(talking(to?( “Proac>ve&Preventers”.&Suburban&working&women,&35L40,&&who&are&willing&to&do&whatever&it&takes&to& stay&healthy.&&They&run,&workout&and&eat&right.&For&many,&Food&can&be&a&bit&of&a&stressLreliever&and& escape&even&for&people&who&watch&what&they&eat.&&&&" 4.((Consumer(Insights( L&“I&have&tremendous&willLpower.&&I&work&out&3x&a&week,&watch&what&I&eat&and&maintain&my&figure.&&But& we&all&have&weaknesses&and&cookies&are&mine.&&I&just&wish&they&were&less&bad&for&you”& L&&“I&read&labels&of&everything&I&eat.&&I&s>ck&to&1500&calories&per&day,&and&will&find&my&own&ways&to& achieve&that&balance.&&&If&I&eat&a&400&calorie&cookie,&it&may&mean&giving&something&up.”& 5.(What(does(our(consumer(think(now?( I’ve&never&heard&of&Grays&Cookies.&&But&I’d&likely&need&to&try&it&and&see&if&I&like&it.&&If&it&really&does&taste& that&good,&it’s&something&I&might&consider&as&a&snack.&&& 6.((What(do(you(want(your(consumer(to(think/feel/do?((Desired(Response)( We&want&them&to&try&Grays&and&see&if&they&like&the&great&taste.&&" 7.((What(should(we(tell(them?((S3mulus:((benefit)( With&Grays&Cookies&you&can&s>ll&have&a&great&tas>ng&cookie&without&the&guilt,&so&you&can&stay&in& control&of&your&health.&& 8.((Why(should(they(believe(us?( In&blind&taste&tests,&Grays&Cookies&matched&the&market&leaders&on&taste,&but&only&has&100&calories&and& 2g&of&fat.&&In&a&12&week&study,&consumers&using&Grays&once&a&night&as&a&desert&were&able&to&lose&5lbs.&&& 9.((Brand(Posi3oning(Statement( For&“Proac>ve&Preventers”,&Women&30L45,&Grays&Cookies&are&the&best&tas>ng&yet&guiltLfree&pleasure# so&you&can&stay&in&control&of&your&healthy&lifestyle.&&That’s&because&Grays&combines&the&great&taste&in&a& low&fat&and&calorie&sensible&cookie.&In&blind&taste&tests,&Grays&Cookies&matched&the&market&leaders&on& taste,&but&only&has&100&calories&and&2g&of&fat.&&In&a&12&week&study,&consumers&using&Grays&once&a&night& as&a&desert&were&able&to&lose&5lbs.&&& 10.((Tone(and(Manner( Successful,&Mo>vated,&Reliable,&In&Control,&Natural.& 11.((Media(Op3ons( Main&crea>ve&will&be&in&specialty&health&magazines,&event&OOH&signage&and&inLstore.&&Want&to&carry& the&idea&into&digital,&social&media&and&a&microsite.&&& 12.((Mandatories( The&line:&“best&tas>ng&yet&guiltLfree&pleasure”&is&on&the&packaging.&25%&of&Print&must&carry&the&Whole& Foods&logo&as&part&of&our&lis>ng&agreement&and&include&the&Legal&disclaimer&on&the&taste&test&and&the& 12&week&study.&&& Use our checklist to reach for your gut instincts that might be hidden away. Do not over-think. We will teach you how to make smart decisions throughout the creative process Creative Brief creates the box the ad must play in. Focused objective, tight target, one benefit, one desired response. Process Graphic Feedback memo challenges and tightens focus, gives direction, without giving specific solutions. Create new box with problem for agency to solve. Keep team aligned and inspired throughout complex process. Easy to group-think out of a great idea or wiggle away from original strategic intentions. Ad Ideas 2 5 The Creative Brief 4 Vision Positioning Big Idea Strategy Brief Script Ad In creative meeting, stay positive and big picture. Use instincts to make decisions. Represent your consumer. Gut Instincts Check List Do you love it? Fits brand strategy Motivates consumers Creative idea Attention Branding Communication Stickiness 2 1 4 3 6 5 7 8

114. We make brands stronger. We make brand leaders smarter. Smart but not different Solid strategy, but no creativity. Will do OK, but won’t break through clutter to make a difference. Smart and different Uniqueness helps break through. Solid strategy motivates consumers to take action Not smart and not different Brand is lost and floundering. Conservative creative against a weak strategy. Different but not smart While creative, it misses the strategy, wrong target, message, desired response or activities. Smart Not Smart The same Different Strategic Creativity Brand Leaders tense up when the creative gets “too different” yet they should be scared when it seems “too familiar”

115. We make brands stronger. We make brand leaders smarter. Concern Strong on motivation but won’t get noticed. Strong Highly motivating. Solid breakthrough Very strong Strong breakthrough. Motivates action. Weak OK motivation but weak on attention Moderate Solid on both attention and motivation. Strong Strong breakthrough Solid motivation. Very Weak Poor results across the board Weak OK breakthrough but weak motivation Concern Strong break through, weak motivation Advertising must break through clutter and motivate consumers Motivateconsumerstobuy Gain attention and consideration HighLow High Need a motivating brand message What you say matters, as it must communicate and stick with consumers. Need a branded breakthrough How you say it matters, as it must grab attention, yet keep the brand part of it

116. Stickiness Build a consistent experience over time to drive a consistent reputation in the minds and hearts of the consumer. Communication Tap into the insights of the consumer helps tell the brand’s life story. Keep your story easy to understand, not just about what you say, but how you say it. Branding Tell the story of the relationship between the consumer and the brand will link best. Even more powerful are ads that are from the consumers view of the brand. It’s not how much branding there is, but how close the brand fits to the climax of the ad. Attention Get noticed in a crowded media world where consumers see 7000 ads per day. If your brand doesn’t draw attention naturally, then you’ll have to force it into the limelight. A B C S MOVEABLE MESSAGING (what you say) BRANDED BREAKTHROUGH (how you say it)

117. We make brands stronger. We make brand leaders smarter. Idea garners breakthrough ATTENTION Idea COMMUNICATES main message Idea puts spotlight on BRAND Idea is memorable and STICKS over time Big IdeaA B C S The Creative Idea must express the Big Idea through the ABC’S Creative Idea How the Creative Idea draws the attention, tells brand story, communicates benefit and sticks.

118. We make brands stronger. We make brand leaders smarter. Marketing decisions need both slow strategic thinking and fast instinctual thinking Think slowly with strategy. Think fast with instincts.

119. New school Marketing uses loyal brand fans to influence their network Instead of a mass market approach that YELLS at every potential consumer, the most beloved brands now WHISPER to their most loyal brand fans, knowing they will help to drive awareness with influence to all their friends. Aware Loyal Purchase Purchase Old School Marketing New School Marketing Loyal Aware

120. We make brands stronger. We make brand leaders smarter. Managing the creative process is like designing your kitchen. If you hired a designer to re-do your kitchen, you need to leverage their expertise, be open to new ideas, but make sure you can live in it.

121. We make brands stronger. We make brand leaders smarter. Make consumers want what you make Make what consumers want

122. We make brands stronger. We make brand leaders smarter. “I love it” is the best bar for making great work. If you don’t love what you do, how do you expect your consumer to love your brand. LOVE WHAT YOU DO! KNOW WHY YOU DO IT! Your greatest passion will come from knowing why you do what you do. Your purpose should consume, energize, fuel and push you. Brand Love sits where passion meets purpose

123. We make brands stronger. We make brand leaders smarter. Execute with passion If you don’t love the work, how do you expect your consumer to love your brand?

124. Case Study How Apple uses the Big Idea to organize every part of their brand

125. We make brands stronger. We make brand leaders smarter. • In 1996, the Apple brand was bordering on bankruptcy. They were basically just another computer company, without any real point of difference. Years of overlooked opportunities, flip-flop strategies, and a mind-boggling disregard for market realities caught up with Apple, Windows 95 has seriously eroded the Mac's technology edge. Apple was rapidly becoming a minor player in the computer business with shrinking market shares, price cuts and declining profits. • This was the year before even contemplating the return of Steve Jobs, really showcasing how badly Apple was run through the 1990s. They were making bad decisions with inconsistent strategies and most importantly, there was no big idea for what Apple stood for. • After Steve Jobs came into Apple in 1997, everything he did was built around the big idea of "making technology so simple that everyone can be part of the future." He took a consumer first approach in a market that was all about the gadgets, bits and bytes. Apple looked like it would not survive Apple builds everything around their Big IdeaCase Study

126. We make brands stronger. We make brand leaders smarter. Products & Services Consumer Reputation Brand Role Internal Beacon Influencer Reputation Apple uses surprising technology that changes the world. We make every product stylish, simple, easy to use. Essential to stay at the fore-front of technology. At Apple, we are a consumer driven company that starts with the consumer experience and then works back to the technology, to eliminate consumer frustrations. Apple makes technology so simple that everyone can be part of the future. Apple is an inspiring and enabling coach that teaches you easy ways to unlock modern technology so you can avoid any intimidation or frustration At Apple, we think like consumers. We make it so easy to use modern electronics, so that you will feel smarter and at the leading edge of technology Product reviewers are long time Apple fans, who see the idea of simplicity, style and design as key separators. Brand Soul Apple’s Big Idea Blueprint

127. We make brands stronger. We make brand leaders smarter. We think like consumers, and make everything easy to use. Technology should not be frustrating. We make it easy to do more/get more. Surprising leap- frog technology built around simplicity Allow consumers to try, touch,feel the products without pressure. Start with consumer experience and works back to the technology. Consumer Brand Brand Promise Brand Story Happy Experiences Purchase Moment Innovation Surprise Positioning Advertising and Communication Product Development Selling and Retail Operations and Culture Apple used the big idea of “simplicity” as the bridge between brand and consumer, to align everything around the 5 consumer touch-points We make technology so simple that everyone can be part of the future

128. Apple’s advertising expresses “simplicity” We make brands stronger. We make brand leaders smarter.

129. All in one for work & creativity at work or family at home. The original brand. Do everything anywhere. Creative, functional, with durable, portable. Ubiquitous connectivity to your world. Mail, phone, music, photos. iTunes, Apple music, Beats The fun of music, movies, books Explore the world of entertainment, social and connectivity. “Simplicity” aligns all the Apple product innovation We make brands stronger. We make brand leaders smarter. Home/Ofﬁce Portable SocialEntertainmentMobile

130. Straight out of the box. No set up needed. Apple allows everyone (from kids to seniors) to experience computers. Apple’s big idea of “simplicity” starts with the expected consumer experience and works back to the technology Integration helps products work together and work the same. Fully integrated Apple Care Support. We make brands stronger. We make brand leaders smarter.

131. Genius Bar where you can get one-on-one tech support Training Courses for any Apple products. Take any Apple product on a test drive or play around. Accessories to personalize Apple products and experience. Apple’s store layout delivers “simplicity” at every stage towards the purchase moment We make brands stronger. We make brand leaders smarter.

132. We make brands stronger. We make brand leaders smarter. 8 elements of smart strategic thinking 1 3 4 5 6 7 8 Visionary Early Win Speed Leverage Gateway Opportunity Questions2 How do we strengthen and leverage our bond with our most loyal Apple users? With each new product, they used,high profile launch hype to generate excitement, transforming early adopters into vocal Apple activists to spread the word. Apple wants everyone to be part of technology in the future. Apple created a consumer bond around the Big Idea of “making technology simple” leveraging tight connection with their brand fans to enter new categories. Apple is now the most beloved consumer driven brand, with premium prices, stronger market share, sales and profits. Fast follower on technology, making easy to use, with consumer-friendly laptops, phones, tablets. Capitalize on the consumer frustration with technology, that was preventing the mass consumers from experiencing everything technology can offer. Build everything around simplicity and design. A consumer first mentality to technology, transform leading technology into “consumer accessible” technology. Case Study

133. We make brands stronger. We make brand leaders smarter. Purpose Strategy Rough draft worksheet of the brand strategy Vision Values Goals Key Issues Tactics Apple wants everyone to be part of technology in the future. At Apple, we have to remind ourselves to think differently. We will make a dent in the universe as we change the status quo of our consumers. • Consumer first • Simplicity and ease of use • Stylish designs for living • Continue 10% sales growth, double market share in Asia, launch 5 new technology enhancements per year 1. How do we battle Samsung/Google in smart phones? 2. How do expand beyond our saturated North American market? 3. What technology platform will the next round of surprising innovation come from? 4. How do we strengthen and leverage our bond with our most loyal Apple users? • Fast to market to stay ahead • Create and build a community • Increase size options • Improve tech experience • Win on design • Launch watch to catch up to competitors Regain leadership in smart phone technology Higher service to tighten Apple community Build community around cloud technology Geographic focus into China • Specific Chinese products • Brand building program • New retail space • Build e-commerce China program • Integrate retail purchasing. • Explore automated cars. • Explore acquisition into social media programs • Take more services online, face to face. • Increase Apple U courses • Increase retail footprint. Case Study

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