Enjoy the market

What are we talking about while we mention the words “Brand” and “Loyalty”?

So, the first one [Brand] has been originally developed as labels of ownership (such as the name, design, a logo, a symbol). Today it is not just a representation of the owner firm, but it is to be considered one of the most important part of the product on the market, and as it, the highest part of the firm’s business that can increase / decrease the Company’s Profits.
It represent the driver success in competitive and financial makets, became in the latest ten years one of the most expensive part of the company itself. (eg. Coca-Cola brand value: 11 bilion dollars).

Loyalty? Loyalty in itself means the faithfulness and totally devotion to something or someone. In the Marketing and Economic field, it is the relationship existing between the customers and the brand owner firm and grant and enforce the purchasing actions.

But what is the “trait-d’union” that exist between these two fundamental “components” of the Marketing strategy?

As “Brand Loyalty” (theorized in the latest 20 years) we mean an increased commitment to repurchase the product (represented by the Brand) that can be demonstrated by repeated buying of a product or service thanks to a Marketing Action.

It’s to be clear that a Marketing Strategy oriented on the “Brand Loyalty” model look far forward from the simple repurchasing. The repetitive action means in the customer two chances:

1) He as no viable alternatives

2) there is no further solution to it’s need

3) you are/have exactly what he desires.

In the third case, the Marketing strategy must be oriented to the conservation of the customer thourgh direct contact with him, contracts, special offers ….

In the other two cases, it’a a challenge. The marketer has to be strictly in touch with the customer providing him the best solution to became at a first moment the “second supplier”, then have the chance to become the first one. When you will be the first, the challenge wont be finished, you will have to turn at the third point of “mantaining strategy”.

It’s not a reality so far from the first apporach markets, you have to think about at Apple & Microsoft, Coca-Cola & Pepsi, Nokia & Motorola …. but there are so many more.

Each of them represent a “niche” in a great big market, but they are the preferred for each of their customer:

- have you ever seen a faithful user of Apple purchase a Microsoft product? And the opposite? few times…

- have you ever seen a Coca-Cola drinker “enjoying” a Pepsi ? mmm…..

Exactly what I have explained. It’s pretty difficult for anyone of us to change their preferred product, the reason is that we like it, that if we have to change there will be some difficulties (inside / outside business walls ) and overall that, in a certain sense, they represent us.

 

 

Harry Grant Dart’s vision of Brand’s presence in America from the beginning of XX century.