Slide presentation from the Seltzer Design Breakfast Forum #1 (9.08) on branding in a down economy. Talk was given by Rochelle Seltzer, Annie Smidt, and Shelley Hall.

1. b r a n d v a l u e
is your brand strong enough to weather the down economy?
number one in Seltzer's new Design Intelligence Breakfast Forums series

2. r o c h e l l e s e lt z e r
s e lt z e r
how to supercharge your brand

3. a brand is:
»» A person’s perception of a product, service,
experience or organization.
»» The promise made to the client
3

4. brands with tribes
of brand loyalists
4

5. brands help people
make connections
»» They build trust when the brand personality
attributes are authentic and the brand is
consistent.
5

6. getting started:
»» Define a clear vision and mission
»» Nail your positioning —based on a
specific focus
6

7. Your position must
differentiate + be desitinctive!
1» Who are you?
2» What do you do?
3» Why does it matter?
7

8. it’s time to execute!
»» Use strong visual design and an authentic
“voice” to attract your prospects.
8

9. breakthrough design…
»» differentiates and connects with
target audiences
9

10. design contributes to brands
that are leaders…
»» and more profitable than their competitors.
10

11. Be sure your materials are:
»» Distinctive
»» Relevant
»» Memorable
»» Extendable
»» and have Depth
11

12. why now?
»» The “Attention Economy” throws too many
choices at us. Brands that communicate value
help us make choices.
12

13. DO:
»» Stay true to strong positioning
»» Be innovative, creative and consistent
»» Train for strong verbal branding
»» Be visible in your market
»» Become a thought leader
»» Use these times as an opportunity
»» Stay focused, positive and enthusiastic
13

14. Spend your marketing
budget wisely!
»» Use electronic media to reach audiences
regularly
»» Use print creatively
»» Be sure your website is great
»» Promote your site
»» Develop a strong tagline
14

15. print using limited colors
and economical papers
15

16. use online printers
16

17. print campaign components
together
17

18. use interesting papers
and formats
18

19. create a compelling website
19

20. create a compelling website
20

21. taglines
21

22. taglines
22

23. taglines
23

24. taglines
24

25. taglines
25

26. taglines
Jewish jwa.
org
Women’s where history
Archive lives and grows
Jewish jwa.org
Women’s where history jwa. jwa. jwa. jwa.
org org org org
Archive lives and grows
26

27. taglines
27

28. what’s in your omelet?
reputation
articles website
print
speaking
collateral
PR and books
visual
advertising
verbal identity
tagline
branding
physical name
deliverables
offering
positioning
28

29. stronger by the dozen
29

30. annie smidt
s e lt z e r
your brand’s short- and long-term roi

31. I like to look good, but…
is it worth it?
31

32. target: product design
32

33. target: communications design
33

34. target: prioritizing brand
uniquely: Target uniquely: Engaged uniquely: Value Driven
As a responsible steward of the environment, we have We continue to delight guests with unbeatable
Though we operate about 1,600 a solid record of making environmentally friendly decisions. values on a variety of offerings, which include:
To fulfill our commitment, we engage in activities as simple limited-edition collections in apparel, accessories
stores from coast to coast, our as carrying organic produce and reusing garment hangers, and home, seasonal assortments that capture
guests understand there is only one and as visionary as utilizing renewable energy resources — the latest fashion and trends, food and basic
all because it’s the right thing to do for our communities commodities, and exceptional values in our
Target. Our Expect More. Pay Less. and our business. front-of-store treasure trove, See.Spot.Save.
brand promise means that we bring
outstanding quality and great design
together at an incredible price;
we combine innovative marketing
with clean, bright stores and friendly
team members, creating a delightful
experience for our guests every time
they walk through our doors. Add
it all up and no matter how many
stores we open, Target will remain
one of a kind.
uniquely: Fun
The Target culture can be explained in three simple words:
Fast, Fun and Friendly. Our team members bring those words
to life in our stores by delighting our guests with great service
and helping them find the products they want and need,
whether it’s vitamins or the latest video game.
uniquely: Styled
uniquely: Innovative We are committed to a shopping experience that constantly
Our GiftCards continue to lead the industry in creativity, evolves to fit the ever-changing wants and needs of our
convenience and popularity. We offer a broad, seasonally guests — even our shopping carts and baskets are designed
fresh assortment of distinctive GiftCard designs — with our guests in mind. We remain true to the fundamentals
including an innovative card made of PHA, a 100 percent that make us uniquely Target: clean, wide store aisles, fully
biodegradable and compostable material — to help stocked shelves, friendly team members and distinctive store
reinforce our brand and fuel incremental sales and profit. exteriors thoughtfully designed to fit the local landscape.
1 3 4 5
uniquely: Branded
Guests expect great things from Target — a responsibility
we take seriously. Our brand’s strength shows in our iconic
Bullseye, which today is recognized by 96 percent of
Americans. But it’s about more than the Bullseye alone. We’re
constantly finding new and exciting ways to delight our guests
— in our stores, online, through our advertising campaigns
and our extensive community involvement.
source: Target Corporation 2007 Annual Report
34

35. target: growth Operations
Financial Highlights – Continuing
Total Revenues (millions)
2007 Growth %: 6.5%
Earnings Before Inte
Expense and Incom
(EBIT) (millions)
Five-year CAGR: 11.1%
2007 Growth %: 4.0%
Five-year CAGR: 13.4%
$63,367
$2,849
$5,272
$2,787
$59,490
$5,069
$3.21
$52,620
$2,408
$4,323
$46,839
$2.71
$42,025
$3,601
$1,885
$2.07
$3,159
$1,619
$1.76
22%
7%
71%
Total Revenues (millions) Earnings Before Interest Earnings from Continuing
2007 Capital Expenditures Diluted EPS
Expense and Income Taxes Operations (millions)
($4.4 billion)
2007 Growth %: 6.5% 2007 Growth %: 3.9%
(EBIT) (millions) 2007 Growth %: 2.2% Five-year CAGR: 17.1%
Five-year CAGR: 11.1% • New Stores
2007 Growth %: 4.0% • Remodels & 15.7%
Five-year CAGR:Expansions
Five-year CAGR: 13.4% • Information Technology,
Distribution & Other
$2,849
$2,787
$3.33
$3.21
$2,408
$2.71
$1,885
$2.07
$1,619
source: Target Corporation 2007 Annual Report
$1.76
35 22%
34%

36. target: profits vs. walmart
Walmart Target Walmart Target Target Walmart
source: Saj Karsan blogging at Barel Karsan Value Investors
barelkarsan.com/2008/08/walmart-vs-target.html
36

37. service and b2b companies
that brand strongly
37

38. sullivan shuman freedberg
logo before + after
before
after
38

39. sullivan shuman freedberg
rebranded materials
39

40. design council
»» Helping businesses become more successful,
public services more efficient and designers
more effective
»» We believe design can help people to do
what they do, better. We demonstrate that
design can play a vital role in strengthening
our economy and improving our society.
source: http://www.designcouncil.org.uk/
40

41. design index + emerging index
»» 1993-2004
March 1995 - March 2000 March 2000 - March 2003 2003 - December 2004
source: http://www.designcouncil.org.uk/
41

42. design index companies
3i Group Emap Rolls-Royce Group
AEA Technology EMI Group Royal Bank Of Scotland Group
Allied Domecq Gallaher Group Sainsbury (J)
AstraZeneca GKN Scottish & Newcastle
BAA GlaxoSmithKline Scottish & Southern Energy
BAE Systems GUS Shell Transport & Trading Co
Barclays Hilton Group Smith & Nephew
Barr (A.G.) HSBC Holdings Smith (WH) Group
Body Shop International Imperial Chemical Industries SSL International
Boots Group Invensys Tesco
BP Manchester United Tomkins
British Airways Marks & Spencer Group Ultra Electronics Holdings
British Sky Broadcasting Group Matalan Unilever
BT Group MFI Furniture Group Vodafone Group
Cadbury Schweppes Morrison (Wm) Supermarkets Wetherspoon (J D)
Cambridge Antibody Technology Oxford Instruments Whitbread
Group Pearson Woolworths Group
Centrica Psion WPP Group
Diageo Reckitt Benckiser
Easyjet Rentokil Initial
Egg Reuters Group
Eidos RM
source: http://www.designcouncil.org.uk/
42

43. emerging index companies
Associated British Ports Chemring Group Johnson Matthey Renishaw
Holdings Chrysalis Group Kelda Group Restaurant Group
Abacus Group Carphone Warehouse Group Kingfisher Stagecoach Group
Aggregate Industries Corus Group Liberty International Sage Group
Aegis Group Cable & Wireless Lloyds TSB Group Signet Group
Alliance & Leicester Dairy Crest Group Lastminute.com Shanks Group
Amec Domnick Hunter Group Laing (John) Smiths Group
Arena Leisure De La Rue LogicaCMG Somerfield
Arriva Diploma London Stock Exchange Severn Trent
Autonomy Corporation Elementis McAlpine (Alfred) Tate & Lyle
Aviva First Choice Holidays Marconi Corporation Trafficmaster
Avis Europe FKI Misys Trinity Mirror
Babcock International Group Geest Mothercare Trifast
Bradford & Bingley Greene King National Grid Transco TTP Communications
Barratt Developments GWR Group Next Taylor Woodrow
BG Group HBOS mmO2 United Utilities
BTG Halma Paragon Group of Viridian Group
Biocompatibles International Hornby Companies Wilmington Group
Berkeley Group Holdings InterContinental Hotels Pace Micro Technology Wilson Bowden
British Land Co. Group Pilkington Warner Estate Holdings
Bloomsbury Publishing Imagination Technologies Prudential Wolverhampton & Dudley
BOC Group Group Patientline Xansa
BPB Imperial Tobacco Group RAC
British Vita International Power Rexam
Bovis Homes Group Intec Telecom Systems Royal & Sun Alliance
Capital Radio ITV Insurance Group
source: http://www.designcouncil.org.uk/
43

44. a quick definition
»» FTSE 100 = Index of the 100 most highly-
capitalised companies listed on the London
Stock Exchange.
»» FTSE All Share Index = Index containing the
700 largest companies on the London Stock
Exchange.
44

45. the intervening 12 months to December 2004, and their performance over the longer period
assessed by the original study. 3500
3000
1.2 General overview
findings
The companies have significantly outperformed the FTSE-100 and FTSE-All Share indices
2500
over a ten-year period:
2000
Chart 1: Ten-year performance 1995-2004 1500
4000
1000
3500
500
1994 1995 1996 1997 1
3000
Design Index
2500 Emerging Index
FTSE 100
FTSE All Share
2000
1500
1000
06
500
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004
Design Index
Emerging Index
FTSE 100
source: http://www.designcouncil.org.uk/
FTSE All Share
45

46. performance relative This table summarises the performance over all the key periods:
to FTSE indices Table 1: Performance relative to FTSE indices
Indices No of Full period Bull market Bear market Recovery
companies 28 Dec 27 Mar 31 Mar 2000 period
1994 to 29 1995 to 31 to 31 Mar 31 Mar 2003
Dec 2004 Mar 2000 2003 to 29 Dec
2004
Absolute Performance
FTSE 100 100 +57.0% +108.4% -41.7% +26.2%
FTSE 700+ +58.5% +102.2% -41.3% +32.1%
All-Share
Design 61 +262.6% +231.0% -24.7% +43.0%
Index
Emerging 97 +305.6% +235.1% -29.7% +74.3%
Index
Relative to FTSE 100
Design 61 +205.5% +122.6% +17.0% +16.8%
Index
Emerging 97 +248.6% +126.6% +12.0% +48.1%
Index
Relative to FTSE All-Share
Design 61 +204.1% +128.9% +16.7% +10.9%
Index
Emerging 97 +247.2% +132.9% +11.7% +42.1%
Index
source: http://www.designcouncil.org.uk/
46

47. some inspiration/aspiration
»» Brands that stay strong and survive no
matter what the weather are those that stay
consistent. Your brand has meaning and
strength only if it owns something in the mind.
– laura ries
ries & ries
47

48. shelley hall
c at a ly t i c m a n a g e m e n t
your brand is a promise made to your clients

49. map your customer interactions
Organizational Dimension Moment of Truth
Practice Areas Sales
Departments Customer Service
Positions Service or Product Delivery
Client Support
49

50. conduct a brand audit
»» Sales
»»Internal
»»External
»» Service / Product Delivery
»» Customer Service / Support
»» Operations
»» New Hire Orientation
50

51. stages of brand support
awareness knowledgable believer enthusiast
»» Where would your organization and its
employees rank on brand support?
51

52. are you keeping your brand
promise?
»» Train and Retrain
»»Employees
»»Business Partners
»»Contractors
»»Referrers
»»Vendors
»» Can they sell and support Your Brand?
»» Is their Brand Message consistent?
52

53. Re-engineer to Support
Your Brand
»» Business Processes
»» Identify Barriers for Employees
»» Create system for monitoring brand support
internally
»» Create system to monitor client perceptions of
brand and share throughout your organization
53

54. cmo council
»» As market pressures increase and margins
erode, the commitment to operational
excellence frequently lags, often under-
mining the quality and consistency of the
customer experience and the level of brand
advocacy and affinity
– cmo council
report on customer affinity 2008
54

55. some inspiration
»» Accept and embrace that your “Brand” is your
first sales call!
55