Marketing, Branding and Management : A personal and global perspective

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Marketing, Branding and Management A personal
and global perspective

• A presentation by
• Michael Boyden
• Managing Director
• TASC Taiwan Asia Strategy Consulting
• National Sun Yat-Sen University
• 2 March 2006

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By way of introduction the man

• Michael Boyden
• is a British national who has lived and worked
  in Taiwan for 17 years. His
• career background includes management and
  executive experience in the
• hotel and hospitality industry, contract
  services, management consulting and
• business information. Since 1996 he has been the
  Associate Taiwan for the
• Economist Groups peer group forum business,
  currently titled Corporate
• Network.
• He is married to Katy Ho Ching-Hui, who is
  Taiwanese, and they live in the
• Tien Mou district of Taipei city with their young
  daughter Victoria. He is also a
• proud grandfather to the two young sons, Daniel
  and Harry, of his son Ben.
• After living and working in Africa, the Middle
  East, South-East Asia and Hong Kong,
• Michael is happy to call Taiwan home.

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By way of introduction the company

• TASC Taiwan Asia Strategy Consulting
• is a locally-registered company established in
  early 1997 and serves as the
• corporate platform for 3 discrete businesses -
• A network of peer group forums for executives of
  multinational companies
• Local forum is Taiwan Business
  Leaders Forum
• Mission provide senior executives of MNCs with
  accurate, timely and comprehensive business
  information and informed expert opinion.

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IWNC Team and Leadership development
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IWNC I Will Not Complain!
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Branding who needs it?

• Before the mid-19th century, nobody much did.
• The idea of branding emerged in the middle of
  the 19th century, when
• technology combined with literacy and rising
  standards of living to create the
• first mass markets. The thinking that lay behind
  branding was very simple,
• but highly original it was to take a household
  product, a commodity, no
• different fundamentally from any other product
  made by another
• manufacturer, and endow it with special
  characteristics through the
• imaginative use of name, packaging and
  advertising.
• Wally Olins, corporate identity and product
  design guru
• And here he might have addedand enhanced
  value

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What does a brand do?

• If it is to be successful, a brand has to have a
  life of its own quite
• separate from that of the company Wally
  Olins, Corporate Identity
• It gives the product a distinct IDENTITY
• It serves as a guarantee of QUALITY and
  RELIABILITY
• It developes a strong PERSONALITY in the mind of
  the consumer
• It helps to REDUCE COMPLEXITY in buying decisions
• It provides REASSURANCE
• It boosts the buyers SELF-ESTEEM

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Giving the product an IDENTITY

• It used to be thought that soap is just, well,
  soap. Until the question
• WHY DOES A WOMAN LOOK OLD SOONER THAN A MAN?
• asked by William Hesketh Lever (the founder of
  the Lever in Unilever) in the late 1880s to
  promote his Sunlight Soap.
• It embraced all the qualities of a good brand
• A name summing up the qualities of the product
• Bold, clear, well-focused packaging
• Consistent quality,
• Imaginative , highly visible promotion

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A more modern example of brand as IDENTITY

• Refreshes the parts other beers cannot reach
• HEINEKEN is very successfully identified as a
  special beer
• and its makers have stayed focused there is
  only the one.

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Anyone here wearing Dockers? A story about FOCUS
in branding

• HEINEKEN has stayed focused on just ONE branded
  product. What
• happens if you lose that focus?
• LEVI STRAUSS found out the hard wayby extending
  the name Levis from
• jeans (very successful) to casual wear and shoes
  thus confusing the
• consumer as to what Levis meant. After a lot
  of loss they dropped the
• extensions and created the separate brand
  Dockers for baby boomers who
• no longer looked so good in jeans.
• And now they are Americas best-selling mens
  pants

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The brand offering QUALITY AND RELIABILITY

• GIANT bikes are not top of the market but offer a
  good deal
• They provide a safe ride for diverse categories
  of user
• from children and shoppers to mountain bikers and
  racers

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and further on that question of RELIABILITY

• TOYOTA cars are justifiably famous for
  reliabilityas youll see

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The brand developing a PERSONALITY

• DAHON bikes are cleverly designed,
  well-engineered
• and slightly wacky
• They appeal to people as not only useful but
  also individualistic
• and FUN

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Making life easier reducing COMPLEXITY

• ASUS became known as maker of good motherboards
  so its
• other products, like laptops and cell phones must
  be OK too
• right? So no need to do all those hard
  comparisons!
• One of the few local examples of successful brand
  creation

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The problem of COMPLEXITY

• We tend to think of boredom as arising from a
  lack of stimuli a sort of
• information underload.
• But more and more commonly, boredom is arising
  from excessive stimulation
• or information overload.
• Information, like energy,tends to degrade into
  entropy into just noise,
• redundancy and banality. To put it another way,
  the fast horse of information
• outruns the slow horse of meaning.
• Jack Trout, The New Positioning

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The brand providing REASSURANCE

• Branding has never totally eliminated the older
  patterns whereby
• companies promoted their products in their own
  nameas well as
• through brands. Wally Olins, Corporate
  Identity
• NESTLE has for generations been a company name
  and a brand synonymous
• with food products that are wholesome and above
  all safe
• Mothers down the years have trusted Nestle
  foods for their children

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We all grew up on Nestle (1)

• Sometimes we got it from the source!

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We all grew up on Nestle (2)

• Both ordinary children and
  toffs!

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The brand as a source of SELF-ESTEEM

• LOUIS VUITTON a brand thats a name very
  successfully
• appeals to peoples desire to look and feel
  special through
• what they own.
• LVs Taiwan sales are the 3rd largest in Asia and
  95 come
• from local people.

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Question what does this brand mean to you?

• Iconic Taiwanese brand, originated by a folk
  hero. Stands for what?

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Brands and globalisation

• It is BRANDS that have enabled MNCs to grow and
  achieve truly global status.
• It is BRANDS that transcend national and cultural
  borders
• Think McDonalds
• I dont think theres a country out there we
  havent gotten enquiries from. I
• have a parade of ambassadors and trade
  representatives in here regularly to
• tell us about their country and why McDonalds
  would be good for them
• Jim Cantalupo, former CEO of McDonalds

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and why they matter to cross-straits tension

• No two countries that both had McDonalds had
  fought a war against each
• other since each got its McDonaldsI offer the
• GOLDEN ARCHES THEORY OF CONFLICT PREVENTION
• which stipulates that when a country reaches the
  level of development where
• it has a middle class big enough to support a
  McDonalds network, it becomes
• a McDonalds country. And people in McDonalds
  countries dont want to fight
• wars anymore, they want to wait in line for
  burgers.
• Thomas L. Friedman, The Lexus and the Olive
  Tree.

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Taiwan matters to MNCs

• Amid all the excitement about China, remember
  that
• There are over 600 MNCs represented in Taiwan.
  Why?
• 4th largest economy in Asia, worlds 15, 3rd
  highest forex reserves
• One of 2 biggest economies in the crucial
  non-Japan North Asia region
• Was the first Asian base for many MNCs
• Offers a world-class operating environment
• Sophisticated export capability backed by large
  domestic market
• Has an excellent country risk profile
• And its consumers LOVE international brands!

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The best-known Taiwanese brand?

• Can you identify which it is?
• Distinct IDENTITY
• Guaranteed QUALITY and RELIABILITY
• Distinct and strong PERSONALITY
• Can REDUCE COMPLEXITY in buying and OPERATING
  decisions
• Provides REASSURANCE through KNOW-HOW
• but can sometimes be short of SELF-ESTEEM
• ITS YOU!

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Globalising yourself

• It is always interesting to live and work in
  another culture
• I have seen the sun come up over the Great Wall
  of China and go down over
• the Saudi Arabian desertlistened to the
  nighttime sound of hippos roaring in
• an African river and the early morning call of
  the faithful to prayer at the
• mosques in Baghdad and Bahrainwalked the city
  canyons of Hong Kong.
• Done business with Kuwaitis, Lebanese, Saudis,
  Bahrainissparred in
• commerce with Chinese in Singapore, Hong Kong,
  Taiwan and Chinaand
• with a mixture of other nationalities everywhere.
• But I remain who I am, an Englishman. Ive
  learned a lot, taken some hits and
• experienced highs and lowsand would not have
  missed any of it.
• Go out into the world! Its YOUR world.

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A part of my world

• and forever part of my life. It can be part of
  your world too.

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Another part of my world south-east Asia

• and possibly yours too. All you have to do is
  go.

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References

• Recommended reading on brands, marketing and
  globalisation
• The Lexus and the Olive Tree Understanding
  Globalisation
• Thomas L. Friedman
• Positioning the battle for your mind
• Al Ries and Jack Trout
• The New Positioning the latest on the worlds
  1 business strategy
• Jack Trout with Steve Rivkin
• The Borderless World Power and Strategy in the
  Global Marketplace
• Kenichi Omae