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"Corporate
Branding: How The Best Build And Nuture Brands"
Companies spend millions building a corporate
branding identity. It's no wonder, then, that
once they've established a brand their next obsession
is protecting it.
A branding is the reputation and image of a company,
says Bernd Schmitt, a Columbia Business School
professor and head of the Center on Global Brand
Leadership. It's conveyed via names, logos, ads,
packaging and word-of-mouth.
Corporate branding used to focus on logo and name,
But in the mid-1990s, it took on a broader meaning.
'It's the promise and how you communicate it,
Schmitt said.
Protecting a corporate branding image isn't defensive.
It's defining a promise, keeping it and making
sure your message connects with consumers. Sniffing
out threats has a role.
For Coca-Cola and Visa, the product is the promise.
For others, like Cardinal Health, a brand is a
vow of quality service.
Brand As Promise
Dublin, Ohio-based Cardinal Health is a top provider
of products and services for the health care industry.
The gowns and products it delivers have many names.
Cardinal's corporate branding image and value
are as a problem solver, says Public Affairs Vice
President Geoffrey Fenton, who oversees its branding
efforts.
At the most basic level, corporate branding depends
on infrastructure. Visa is "everywhere you want
to be." You can slide your card anywhere.
But there are also intangibles. GM's Saturn promises
a no-haggle car purchase.
"FedEx
could be branded on its infrastructure, saying
it has more trucks than any other delivery company,
but it didn't," Fenton said. "Its corporate branding
image is reliability and peace of mind."
Something To Agree On
Ultimately your corporate branding image must
be a mission your target market accepts. Ron Cappello,
president of New York-based consultancy Enterprise
IG, says credibility is key to success, especially
in a relationship.
"When Microsoft said it would team
up with NBC, people bought it," said Cappello,
who's consulted with Cardinal, Merck and others.
Both are leaders in media and technology. But
if, say, Ford had teamed up with NBC, that would
have been a stretch.
Once you've nailed down your mission
and message, think about protection. The threats
are many.
Image Police
Some companies assign workers to patrol brand
image. Others hire outside help. AT&T uses several
companies to track its corporate branding image.
Its PR officials review daily reports.
Coke's brand patrol force of six
trademark lawyers does the job. And the company
is quick to respond to unlicensed use of its name.
"We
always start out with a letter,' said Caroline
Katz, one Coke attorney. 'It will either be a
cease-and-desist letter or just a letter to let
them know we've noticed what they are doing and
that we'd appreciate it if they talked to us."
Coca-Cola employees report incidents to the "Coca-Cola
Cares Hotline" when they notice problems.
Experts say the worst threats to a company's corporate
branding image come from within. Brands suffer
when there is a major disconnect between what's
promised and what's delivered.
"That's
a self-inflicted wound," Cappello said.
Airlines are a case in point.
"They
can't control the weather, and they can't control
the skies," Cappello said. "So the promise of
on-time rings hollow."
Cappello says the airlines should focus on empathy
with travelers.
"How
the airlines handle communications can really
impact their brand," he said. "Are they being
truthful? Are they calling people up and saying
they're canceling flights?"
The most easily identified attack is imitation
of your brand. If someone steals your look, you
can sue.
But there are more subtle external threats. You
see it in the phone wars. One company claims to
have better rates than another. True or not, your
job is to fight back - and fast. "A lie becomes
the truth in 24 hours unless it's rebutted," Cappello
said, quoting Mark Twain.
Columbia's Schmitt says you have two choices in
responding.
You can copy the attacker with an ad that shows
why your rates are better. Or you can be indirect
- and focus on your unique product or service.
Role Of Employees
One powerful tool for both communicating your
promise and protecting your corporate branding
image is employees.
"You
give them incentives and reward them with the
brand objective in mind," Schmitt said. He cites
rewards tied to customer satisfaction ratings,
for instance.
You also want employees to know their input and
support count. That means companies must practice
what they preach.
"This
whole idea about a firewall, that you can protect
a brand by projecting a certain image outside
and no one knows what's going on inside, doesn't
work anymore," Schmitt said. "If you are known
to be secretive and manipulative and sleazy, don't
be surprised if there's lots of bad stuff about
you on the Web."
A company must also have corporate branding guidelines
for workers.
Annual Training
Intel's yearly meetings for new and seasoned employees
include "classes to become familiar with the brand,"
said Pam Pollace, vice president of corporate
marketing.
Cardinal tells its 43,000 employees of "standards
to make sure you are speaking, acting, behaving,
representing yourself in a way that is consistent
with the company's corporate branding image,"
Fenton said. The rules also govern use of logos
and graphics. The Cardinal Bird has size and color
specs.
Experts also say corporate branding protection
should focus less on defense.
"Protecting
is seen as something very reactive," Schmitt said.
"The best long-term protection is to do well and
have a great product."
By Adelia Cellini Linecker
Excerpted from Investor's Business Daily
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