Questions & Answers on online branding
1. How important is the digital world for brands?
The digital world is extremely important to all brands, both established and new. There are countless examples of young up-starts overturning more established brands by purely utilising the power of the digital world. Because of this, the digital world is an area that brands can no longer afford to ignore, rather, they must ensure is a key part of their brand strategy.
As customers are becoming increasingly technologically savvy, their expectation of the digital brand experiences grows. If these expectations are not met, then it will have a substantial negative impact on the brand value. To this end, all brands must ensure that they capitalise on the digital opportunities and offerings available. The scope and expectations are huge as too are the benefits if successful.
The digital world has become a vital territory which companies must explore and brands must conquer if they wish to survive let alone succeed in these challenging economic times.
2. Advantages of the digital world?
The biggest advantage of the digital world and more specifically the online marketplace is the ability to measure the success of campaigns in a variety of key areas.
Not only can the financial benefits of a specific campaign, advert or even article be recorded but the increase in brand awareness and brand experience can also be easily recorded and monitored. This enables companies to quickly calculate their return on investment, tweak campaigns to maximise their effect and ensure it’s providing a positive experience for their customers.
The digital world also provides a fast and effective method to communicate with its target audience at cheaper costs than traditional mediums. Traditional mediums have for too long restricted companies to shouting to a crowd of people and hoping their message is heard and understood. Not only does digital technology provide a means to send instant tailored messages directly to customers & potential customers and measure the impact, but it also provides a means to start a conversation with their customers. This instils a sense of involvement in the brand which increases brand loyalty and pride as customers feel in control.
Ultimately all organizations should have a digital strategy as it provides an effective way to communicate with customers. At The Brand Union we encourage our clients to embrace and explore digital developments and utilize them as a means to engage their customers in conversation.
3. Are there any drawbacks?
There are no direct drawbacks from embracing the digital world however neglecting it can be damaging to the brand experience. Alternatively it can be damaging if the digital experience does not live up to expectations and frustrates the user more than it assists them.
A negative experience can be caused by a variety of different issues but they are mainly caused by neglect, poor planning or bad implementation of a digital campaign. Due to the pervasiveness of the digital world combined with the ease and speed of communication a negative experience can easily spread and spin out-of-control.
In addition, careless blanket online advertising has led to brands being advertised along side unsuitable content with a negative impact on the brand image.
4. How does a brand distinguish itself in the digital world which is so cluttered up?
As is the case with any successful brand, increasing brand awareness requires creating and implementing a detailed and thorough brand strategy. Building on this, the key to a successful digital brand strategy is ensuring that it is incorporated as part of a holistic campaign and not treated as a separate entity in its own special bubble. By utilising both traditional and digital mediums a brand can increase its awareness far greater than either medium would achieve alone.
It is important to meet your customer’s expectations and provide a positive brand experience which not only adds value encouraging them to return but which they will also communicate across their social network. Research has shown that people will trust recommendations received from friends and family twice as much as any other direct communication.
5. Examples of successful branding in the digital world?
The real success stories are companies who do not treat the digital world as a separate entity but as part of a holistic brand strategy. Online and offline strategies that tie in seamlessly with each other have a far greater impact on brand awareness then segregated and disconnected campaigns. Large multinational corporations, like Apple and Adidas are definitely leading the way in this area. However Hollywood is also very successfully utilizing the internet to launch new movies and TV series by cleverly tying the programs into online campaigns.
Adidas are a great example of a brand increasing its brand awareness by utilizing a variety of digital techniques. During the last world cup Adidas utilised brand tracking technology to monitor discussions on their brand and its current campaigns and products lines. This online tracking highlighted online discussions regarding an issue with one of their products which was caused by customers not following included instructions. Based on the information obtained, Adidas altered their production and packaging process to resolve any issues or confusion. They also undertook an online campaign to alter current owners to a simple solution to the issue all the while continuing to monitor discussions to ensure success and measure the value.
Middle Eastern companies who have embraced the digital world and reaped the benefits are companies like Emirates Airlines and Jumeirah hotels. Their openness to digital opportunities has been driven by their need to appeal to broader markets many of which have higher expectations then local audiences historically have. However this is now rapidly changing and local companies in the region are finding themselves racing to catch-up.
6. Examples of failure?
There are many examples of failures in the digital world which have damaged brands. What’s surprising is that these failures are not limited to small or inexperienced companies but can be afflict by some of the worlds largest and most successful brands. Below are a couple of recent examples which show how sometimes the simplest problems and misunderstandings can lead to huge issues.
Amazon is one of the largest online retailers who have mastered the digital world to not only market their company but also to service their customers. However recently they updated their cataloguing system which resulted in a large number of books loosing their high ranking and being mislabelled. This caused a massive outrage and accusations of censorship. Within hours many social networking sites where ablaze with fury at Amazon for their actions. Due to a small mistake which was later rectified Amazon not only lost a vast amount of potential revenue but also their user’s trust which had taken years to accrue. The digital world is a very fickle place which without foresight and planning can seriously damage a brand.
Skittles recently re-launched its website with great fan fare and turned its homepage into a twitter profile page allowing all it’s loyal customers to post messages of encouragement and adoration for the candy. Unfortunately, within hours of the site going live people where posting inappropriate messages which would then appear on the skittles site. Skittles giving its branding over to the public, and its homepage to its audience, is a gutsy gesture indeed. However they had not thought through the implications of their actions and had misjudged the power of the medium.
7. What does a brand need to look out for when their brand world is being created for the digital world?
When creating a Brand World for a digital environment it is important to bare in mind several key points.
The digital world is unlike any other environment you and your brand may have encountered. The speed and ease of communication means that successful brands can succeed just as easily as they can fail and that the smallest issue can be amplified and blown out of proportion. Plan your strategy and ensure your actions are thought through and not knee jerk responses otherwise you could end up doing more damage than good.
It is important to appreciate that the digital world is interactive and customers expect their communications within this environment to go both ways because of this. There is no-point trying to communicate with customers through this medium if you are not willing to take the time to listen. Don’t be afraid to empower your customers as this will increase brand loyalty, but in doing so you must be ready to listen.
As previously mentioned, the digital environment is not detached or segregated from the outside world. The most successful digital branding exercises are always undertaken in conjunction with offline traditional branding exercises.
Success in the digital realm has the potential to propel a brand forward very quickly as it suddenly becomes visible to an entirely new market. If the brand is not prepared, it can quickly become saturated or over exposed. If a brand is not ready or open to the changed and impact the digital world has, then success can quickly turn to disappointment sizzling away, never to be resurrected.
Ultimately planning and strategy are the best ways to ensure a brand will succeed in the digital world. However, this must be undertaken as part of the bigger picture and a holistic approach, otherwise opportunities will be missed.
8. How do brands stand out and ensure that they provide the consumers with a good brand experience that lives up to the brand even in a digital world?
Companies and their brands must continually strive to grow their digital representation. Constantly challenging their digital agencies to push the boundaries and explore new opportunities will ensure brands stand out and customer expectations are met. This in turn will improve brand awareness as customers share their positive experiences.
It is important to appreciate the ability and willingness for customers to use the digital world to communicate with a brand and about a brand to friends and family. Listening to customer’s direct comments as well as the general online discussions is vital to a brand. This will ensure that it maintains customer’s interest and expectations and also ensures the customer feels like an integral part of the process and hence increasing their loyalty. This in turn, will increase the brands virility which increases the chances of its success.
Essentially customers are looking for a positive experience and added value. If the brand ensures that these are retained within the digital environment, then they will succeed.
