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New Managers November 2019

MARKETING CHALLENGE: The iceberg impact in brand management


The Iceberg Impact in Brand Management

Let's be honest: there are typically two business attitudes about branding. One, those that are hyper focused on building and keeping a high quality brand, and two, those that don't see the point of all the hype. We know the first group—these are industry brand titans, such as Starbucks, FedEx, Rolex and the like. We also know the second group, which is, well, most of the rest of the businesses out there.

A common attitude among businesses in the second group is, "If I can't own first place, why does it matter that I spend time and effort on branding?" This can be a slippery slope to tread, and here's the most compelling reason why.

Your brand exists even without your paying attention to it. What is true about you that your competitors cannot claim? This can be a difficult question to answer, but absolutely essential to undertake. At its essence your brand identity is what people believe about you; it embodies the core of your reputation. And yet, this can be a very different perception than what you know to be true about you and the product/service you provide.


Back in February of 2007, the Harvard Business Review published an excellent article, Reputation and its Risks, written by Robert Eccles, Scott Newquist, and Roland Schatz, which is as true today as it was then. It points out that: ' an economy where 70% to 80% of market value comes from hardto-assess intangible assets such as brand equity, intellectual capital, and goodwill, organizations are especially vulnerable to anything that damages their reputations.'


The two, brand and reputation, are inexorably linked in the mind of the client/customer. These two perceptions can exist anywhere on a continuum of perfect alignmen......................

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This article was published in Opalesque's New Managers a top-down monthly analysis, news and research publication on the global emerging manager space.
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