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CONTENTS<br />
FREE!<br />
03 Premium Position<br />
04 <strong>Brand</strong> Experience<br />
08 Category Creation<br />
16 Category Snapshot<br />
12 Cover Story 18 Breaking Category Clichés<br />
28 Social Media Strategy 40 Event Marketing<br />
27 Cool Ambient Ads<br />
32 Destination <strong>Brand</strong> Evolution<br />
36 <strong>Brand</strong>ing & Blogs<br />
38 <strong>Brand</strong> Development<br />
<strong>Brand</strong> <strong>Equity</strong> and the<br />
Global Marketing Network have<br />
teamed-up to offer you a complimentary<br />
90-day Standard Membership.<br />
Details in <strong>Page</strong> 24 & 25<br />
<strong>Brand</strong> <strong>Equity</strong> Volume 2, 2010 1<br />
20 Mobile Tipping Point?<br />
22 Change Journey<br />
24 Global Marketing Network<br />
26 Social Media ROI<br />
42 Ads: Saudi Arabia<br />
44 Customer Ecosystem<br />
46 Sustainable Marketing<br />
48 <strong>Brand</strong> Evolution<br />
www.brandequitymagazine.com
Corporate Philanthropy or Sheer Arrogance?<br />
Of late, the little world that we live in has become a victim of<br />
inconsiderate corporate brands. The timing we allude to is by itself an<br />
understatement, because nature has become a casualty of corporate<br />
greed this past two decades in particular.<br />
Time and again the impact of the unrelenting rape of nature and the<br />
accelerating destruction that follows is always downplayed. That<br />
is why we must replay and remember for years to come the fi asco<br />
perpetrated by British Petroleum in the Gulf of New Mexico. It was a<br />
disaster waiting to happen, and for unacceptable reasons.<br />
An uncompromising posture is needed in matters such as these. And<br />
zero tolerance must be exercised when corporations choose to place<br />
unacceptable cost-cutting measures, profi ts and dividends to the very<br />
few privileged shareholders above nature and entire societies itself.<br />
Do corporations ever care – or specifi cally, do the people behind<br />
these inconsiderate companies ever care about the legacy they are<br />
leaving for their children, and future generations? The evidence is not<br />
encouraging.<br />
Initiatives undertaken by large corporations to protect our world’s<br />
natural assets seems at best to be at a token level. The lack of<br />
selfl essness is unbelievable.<br />
At the very least, are they ever concerned about its impact on brand<br />
value in the long run? The evidence is to the contrary.<br />
Can environmental destruction erode brand value rapidly? Has it ever<br />
happened at dramatic levels? Never before; but BP’s experience with<br />
rapid brand value erosion will be discussed for years to come we<br />
hope.<br />
And will this episode and others issue a wake-up call to the more<br />
sensible and sensitive corporate chieftains; or members of the Board?<br />
Datuk Marimuthu Nadason<br />
Executive Publisher<br />
2 <strong>Brand</strong> <strong>Equity</strong> Volume 2, 2010<br />
Executive Publisher<br />
Datuk Marimuthu Nadason<br />
Publishing Director<br />
Dato’ Thomas Iruthayam<br />
Chief Editor<br />
CGN Raghunath<br />
(email: brandman@tm.net.my)<br />
Staff Writer<br />
Chris Krishna, R.Venkateswaran<br />
Administration<br />
Chan Kah Chi, Siti Salwani Ismail<br />
Creative Designer<br />
Hemalatha Nalarajah<br />
Contributors<br />
David Shaw<br />
Erich Joachimsthaler<br />
Kim Faulkner<br />
Tammy Tan<br />
Circulation & Marketing<br />
Tel: 03 8070 6624<br />
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Fax : 03 8070 0642<br />
Published by<br />
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<strong>Brand</strong> <strong>Equity</strong> is published by <strong>Brand</strong>edge. All rights<br />
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BRAND: SMUCKER’S<br />
CATEGORY: BREAD SPREAD<br />
Talk about reverse psychology<br />
in action! The company behind<br />
the brand relentlessly insists:<br />
“With a name like Smucker’s,<br />
it has to be good.”<br />
It’s a classic lesson for every brand<br />
builder – that one must rally behind<br />
the brand, and passionately scream its<br />
benefi ts despite having a name that will<br />
raise eyebrows. And in tow is a 110year<br />
heritage (to shout about) as well.<br />
The brand manager charged with<br />
growing Smucker’s Sugar Free Jam<br />
in Malaysia explains its premium<br />
positioning; “Its sugar free,” he insists.<br />
“Within the category, Smucker’s clearly<br />
stands out because it has perfected the<br />
PREMIUM POSITION<br />
art of making high quality preserves<br />
that not only are delicious but also<br />
healthy.”<br />
And it’s targeted at health conscious<br />
people living in market centres; as<br />
well as mothers harbouring the desire<br />
to provide a solid breakfast for their<br />
children.<br />
Smucker’s retails at RM8.90 in<br />
Malaysia. This signals that affordability<br />
plays a key role in growing the brand.<br />
Trade marketing is concentrated mainly<br />
in the modern trade.<br />
There is a trade-off here. And it’s a<br />
battle often fought – price against<br />
health benefi ts. Consumers have<br />
<strong>Brand</strong> <strong>Equity</strong> Volume 2, 2010 3<br />
two options to grapple with – opt for<br />
a breakfast that is quick and less<br />
nutritious or make a quick healthy meal<br />
with Smucker’s.<br />
Shelf off-take is in part reliant on aisle<br />
traffi c. And retail bays are crammed<br />
with many competing brands. It’s a<br />
crowded category, given the variety<br />
that every brand offers.<br />
And how is brand growth delivered?<br />
Publicity, samplings at High Traffi c<br />
Outlets, and presentations at Non<br />
Governmental Organization’s events<br />
that proliferate a healthy lifestyle. In<br />
addition, the fruity variants do their bit<br />
to elicit shopper interest - by default<br />
that is!
Sean Koh<br />
[ BRAND EXPERIENCE ]<br />
Shifting<br />
Thresholds,<br />
Absolutely<br />
Engaging<br />
By Raghunath<br />
Rewind to Q4, 2009. The Year of the<br />
Tiger looms; and murmurs about a<br />
lackluster 2010 are spreading. The<br />
byword shared is “caution”. But what’s<br />
that got to do with any brand? Just<br />
this…fl irting with rooted beliefs the<br />
wrong way will weaken brand affi nity.<br />
But what if once every 12 years, your<br />
brand has a close encounter with the<br />
Tiger year? The reunion can be a<br />
double-edged sword; depending on<br />
how you fl irt that is.<br />
The Tiger year and Tiger Beer -- we<br />
asked marketing manager Sean Koh<br />
about his take on the encounter, “Not<br />
everyone can claim the opportunity to<br />
make their brand more interesting and<br />
impactful in a year that is considered<br />
not as normal.”<br />
Optimism is what every brand could<br />
deliver. Explains Koh, “Our single<br />
minded purpose was to spread hope;<br />
we wanted people to embrace the Year<br />
of the Tiger. So we went on a mission<br />
to fi nd out about all the good things that<br />
happened in many of the past Tiger<br />
years.”<br />
And out popped this – many Tiger<br />
years gave hope; they were a tipping<br />
point, changing forever the way people<br />
lived; and for better. Sample this – the<br />
economy recovered in 1998 (the last<br />
Year of the Tiger), and that was after<br />
a previous year of serious lows. The<br />
Year of the Tiger also delivered the fi rst<br />
4 <strong>Brand</strong> <strong>Equity</strong> Volume 2, 2010<br />
TV, including Khaki’s with side-pockets.<br />
Add to the list the remote control, the<br />
fi rst visit by a US President to the<br />
People’s Republic of China, the fi rst<br />
world cup and yes – the ubiquitous<br />
“blue pill” was invented in the Year of<br />
the Tiger!<br />
“2010 is a year of winning for us and<br />
for our customers; to be embraced<br />
with pride and passion. We launched<br />
a series of countdown ads between<br />
November and February to drive the<br />
message home. More interestingly,<br />
we revealed all of the Tiger year<br />
inventions, happenings and other<br />
related breaking news through<br />
our social media platforms to build<br />
excitement,” says Koh.<br />
Tiger Beer claims a heritage that goes<br />
back to the year 1932. Originating from<br />
Singapore and owned by Asia Pacifi c<br />
Breweries, the beverage in Malaysia<br />
is bottled under license by Guinness<br />
Anchor Berhad, a leader in a duopoly<br />
market.<br />
And its core attributes? “Tiger is<br />
progressive, modern, bold and edgy. It<br />
is a new school brand that celebrates<br />
the winners in life. We would like to<br />
believe that Tiger is a bit more fun, at<br />
times witty, prefers to take things a bit<br />
edgier and push the boundaries; if only<br />
to win,” says Koh.<br />
“Bring a mainstream brand we target<br />
everyone aged 21 to 35. These adults
have a progressive kind of mindset<br />
and are from urban and sub-urban<br />
areas. They choose a brand they can<br />
connect with, believe in the spirit of<br />
camaraderie and want to have a good<br />
time,” adds Koh.<br />
With younger adults accounting for<br />
over 50% of Malaysia’s population,<br />
Tiger may be sitting pretty in terms of<br />
opportunity; or so it seems.<br />
Category growth is driven by non-<br />
Muslim consumers! Declining birth<br />
rates, smaller families, and emigration<br />
among the lot has inhibited growth.<br />
The increasing excise duty isn’t helping<br />
either.<br />
And as the economy<br />
expands, so will the<br />
options for consumers.<br />
Beer brands have to<br />
contend with competition<br />
from other categories<br />
– such as other exotic<br />
alcoholic beverages,<br />
or even coffee. And<br />
the beer market is<br />
crammed with popular<br />
brands from GAB and<br />
Carlsberg Malaysia,<br />
imported brands<br />
as well as lower<br />
priced generic<br />
alternatives.<br />
“We are very<br />
well aware of the<br />
opportunities and<br />
challenges. Our<br />
objectives are<br />
specifi c; maintain<br />
Tiger’s share of<br />
throat, nurture<br />
consumers once<br />
they move into<br />
the legal drinking<br />
age and erode the<br />
share of competing<br />
brands,” says Koh.<br />
That said, the<br />
marketing of Tiger<br />
has moved along. The traditional<br />
approach most often taken to maintain<br />
interest and increase consumption<br />
– advertising, POS materials, other<br />
printed collaterals and promoters –<br />
may not be a thing of the past but they<br />
are inadequate given changing media<br />
habits.<br />
“Our brand must not only be visible but<br />
also seen as a thought leader,” quips<br />
Koh. “We have to rise above the clutter,<br />
stand out, be more visible and elicit<br />
consumer interest at all times.”<br />
That said and backed by research,<br />
GAB moved to launch several key<br />
initiatives to stir interest in the brand.<br />
“Research revealed that younger<br />
consumers liked to associate<br />
themselves with brands that are<br />
seen as cool, trendy and made them<br />
stand out. We organized a ‘Stand out<br />
with Tiger Beer’ campaign with the<br />
introduction of three designer bottles<br />
based on artistic and music themes.<br />
The campaign targeted our loyal<br />
consumers and fence-sitters,” says<br />
Koh.<br />
“We got in touch with our community<br />
of over 20,000 Tiger fans in facebook<br />
and notifi ed them of activities as they<br />
were rolled out in phases. A photo<br />
submission contest went viral, created<br />
more buzz and had fans share their<br />
views.”<br />
“We also promoted the designs through<br />
bloggers and then organized a blogger<br />
party, a fi rst by an alcohol brand. We<br />
secured online endorsements from<br />
popular bloggers and eventually<br />
thousands of pictures and videos of the<br />
party found their way to Twitter, Flickr<br />
and YouTube.”<br />
<strong>Brand</strong> <strong>Equity</strong> Volume 2, 2010 5<br />
The results? “The consumer’s r’s<br />
perception of Tiger as ‘a beer for good<br />
times and fun’ increased by 14 per<br />
cent; an additional 12% described<br />
Tiger as one their friends approved<br />
of; category growth went up by 2%;<br />
and consumption among the intended<br />
target increased by 6%. We also won<br />
a bronze for this campaign at the Asian<br />
Marketing Effectiveness Awards 2010,”<br />
says Koh.<br />
And investment into one of Malaysia’s<br />
favorite passions has consumers<br />
calling it a football beer brand. The<br />
initiative dubbed TigerFC is fronted by<br />
Tigerfc.com.my.<br />
Explains Koh, “This is a community<br />
program that brings together like<br />
minded football lovers. We pioneered<br />
this initiative and the Tiger fan club
6 <strong>Brand</strong> <strong>Equity</strong> Volume 2, 2010<br />
has over 120,000 members. We host<br />
a calendar of regular football viewing<br />
events at the consumer’s favorite<br />
hangouts. This viewing party rides<br />
on the fact that Malaysian drinkers<br />
like to socialize. Obviously members<br />
will have their privileges and receive<br />
updates though facebook, direct<br />
mailers and email as well. Tiger<br />
beer is also the offi cial broadcast<br />
sponsor for Barclays, ESPN and<br />
Star Sports.”<br />
But the unrelenting push for<br />
cutting through clutter had Tiger<br />
tinkering with off-key ideas; one<br />
of which called on Alliance Bank.<br />
The partnership now positions<br />
Tiger as the only beer brand<br />
in Asia that offers a pre-paid<br />
card to the TigerFC community.<br />
“The differentiator is that it<br />
encourages responsible usage<br />
because it has to be topped-up<br />
before shopping,” explains Koh.<br />
Elsewhere, and nearing 15<br />
years, Tiger beer has helped<br />
Chinese schools raise close<br />
to RM190 million. Explains<br />
Koh, “This CSR campaign uses<br />
music to raise funds. We bring in<br />
popular local or international artists and<br />
the schools rally community support to make<br />
the concerts a success. More than 400 schools<br />
nationwide have benefi tted since we<br />
started the initiative.”<br />
Every campaign or activation for<br />
Tiger beer bears a common thread;<br />
its single minded proposition –<br />
“Passion for Winning”.<br />
Tiger beer has over 40 medals<br />
to showcase to date. Recently<br />
and once more, Tiger won<br />
the Gold in the World Beer<br />
Cup competition dubbed the<br />
“Olympic of Beers”. And the<br />
Tiger brewed in Malaysia<br />
is the only one to win the<br />
Tiger Quality Award for 2<br />
consecutive years.<br />
“This proves that Malaysians<br />
drink the best Tiger beer in the<br />
world,” says a cheerful Koh.
JUSTHOW<br />
NEWISTHENEW<br />
PUBLICIS?<br />
Slapping ‘NEW’ on a clapped-out old wreck doesn’t make it new. Far from it.<br />
So what’s so new about ‘New’ Publicis?<br />
To fi nd out just how much has changed, e-mail Dean Bramham at dean.bramham@publicis.com.my<br />
Come on over. Kick a few tyres.<br />
<strong>Brand</strong> <strong>Equity</strong> Volume 2, 2010 7<br />
PUBLICIS
By R. Venkateswaran<br />
It’s common knowledge that the e health<br />
and wellness market in Malaysia ia is a<br />
minefi eld. It is highly fragmented, ed, and<br />
the fi ght for share of mind and heart<br />
kicks-off fundamentally between n 2<br />
distinct channels – direct and through hrough<br />
the trade.<br />
And the past ten years has borne ne<br />
witness to a shift of sorts – from m<br />
health to wellness. Consumers<br />
are dramatically warming up to<br />
platforms such as nutraceuticals ls and<br />
cosmeceuticals – the deft combination bination<br />
of nutrition and cosmetics with<br />
pharmaceuticals, alluding to the e idea a<br />
that products have undergone rigorous rigorou o s<br />
testing and therefore delivers quality uality to<br />
consumers.<br />
And peddled in both channels are<br />
a myriad of products - herbal and<br />
[ CATEGORY CREATION ]<br />
Beauty Nurtured from the<br />
Inside-Out<br />
Cerebos Malaysia Creates eates a Blue<br />
Ocean in a Highly Fragmented agmented Market<br />
Beautiful Eyes Search Finalists & Koh Joo Siang<br />
traditional, slimming products, products ts ts, ,<br />
sports nutrition, vitamins and dietary<br />
supplements. su supp pp p le leme me m nt nts. s. s Of f late, la late te te, , prebiotics pr preb eb ebio ioti ti t cs and nd<br />
probiotics bi ti are claiming l i i the th limelight li li ht as<br />
well.<br />
8 <strong>Brand</strong> <strong>Equity</strong> Volume 2, 2010<br />
An aarr<br />
array rray ay a of overwhelming options<br />
can only mean one thing – confusion;<br />
unless a brand offers a clear value<br />
proposition – that it is different different, unique<br />
and like no other. And one that can<br />
elicit consumer interest.<br />
Operating within this growing market<br />
is Cerebos Malaysia, a company best<br />
known for its range of “BRAND’S<br />
Essence of Chicken”; a heritage brand<br />
that comes with 175 years of quality<br />
and credibility.<br />
But the company has since moved<br />
on to claim its own space in the<br />
fragmented health and supplements<br />
market; and with considerable success.<br />
“We created our own category and own<br />
it entirely,” says the company’s general<br />
manager, Koh Joo Siang.<br />
The central plank of this initiative is<br />
held by the premise that beauty has<br />
to radiate from the inside out, and the<br />
resulting external beauty delivers