Where does brand value come from?

Introduction: This article is a detailed answer to the title. "Where does brand value come from?" The author explains it with ten key points. By giving examples, the author gives readers a clear and realistic way of explaining ideas and some new suggestions for marketers.

1. Even the most prestigious or mysterious brands are nothing but empty shells if they are separated from the support of products. This is also the reason why so-called Internet celebrity brands and supernova brands such as Perfect Diary and Huaxizi have been gradually abandoned by consumers after investing billions of dollars in communication and promotion and brand detonation costs. The so-called "big brand replacement" strategy has not been successful. To become a brand that gains consumer loyalty and repeat purchases , it is necessary to use high-quality products to build their brand kingdom . In today's era, this is beyond doubt. In addition to marketing, Yuanqi Forest's ability to achieve phased success has a lot to do with its good product quality.

2. Consumers who have grown up surrounded by Xiaohongshu, Douyin, Zhihu, WeChat, Weibo, and Alibaba have long been tired of empty propaganda, conceited swagger, and excessive marketing. Consumers have suffered too much deception and thrown away too many junk products. At the same time, they also understand the consequences of unconscious consumption (Douyin and video live streaming have pushed unconscious consumption to the extreme). More and more consumers are actively looking for truly high-quality products, and no longer blindly follow the crowd. Consumers are beginning to avoid vulgar things (such as Ms. Zhang Lan, the former founder of South Beauty, who is a representative of vulgar live broadcasts and recommended products) and look for products that can stand the test of time, or products that are truly worth our money.

3. The reason why good brands can adapt to the new society and new environment has nothing to do with the environmental protection concept of the product. The reason why good brands are popular is that their product quality exceeds that of other competitors. They strictly abide by quality standards and leave similar products far behind. Therefore, they can be extraordinary. As early as five years ago, the so-called emerging brands were useless and badmouthed P&G and Unilever, but a few years later, these big brands are still the ones that really dominate the market.

4. For brands that can win consumer loyalty and repeat purchases, products are the essence of the brand. Products are not only amazingly practical, but also the key to a brand's ability to create legendary stories. To achieve this, brands usually follow the following three ways. The first way is to build the brand into a "holy grail." Brands create "convincing stories" rather than "convincing reasons": stories can romanticize consumption, ease the tension in the consumption process, and make products more attractive. In addition, these brands also draw inspiration from higher fields, pursue art and craftsmanship, and ultimately transform product transactions into ritualistic behaviors. For example, a brand we once served is called "Xino", which is the number one brand of high-end thermos cups in China. The brand's product quality is first-class, but it lacks a "legendary brand story" that can romanticize purchases to empower its brand.

What we have been communicating with its founder is to make such high-quality products a top brand through the creation of "legendary brand stories" and systematic brand management. The second way is to increase brand recognition. Many top brands have their own unique designs to increase recognition, so that customers can know their products even if they don't see the brand logo. In the increasingly fierce market competition, a brand can only become a one-in-a-million product if it accurately conveys its own characteristics. In addition, brands that gain high consumer loyalty must ensure the perfection of their products and keep their products in the center of the spotlight, because "heroes need the spotlight." It may not stay at the top of the best-selling list for a long time, but it will definitely occupy the sales market for a long time and maintain its freshness and popularity. Brand idols also need to evolve: they need to appear in the market again and again and become a necessity for the public. The third way is to set a goal. This requires brands to do a good job of product positioning and continuously strengthen the product's heritage. But the premise is that a sufficiently stable brand product must be created first, otherwise everything is empty talk.

5. Products are the core of the brand: Nianzhi has served more than 60 leading brands in different segments in the past, and we have observed hundreds of top brands around the world. We firmly believe that only by adhering to the concept of product-centricity can we truly create great brands. In the process of creating a brand, the founder is very important. The founders of great brands are all great product masters. It is not just relying on "concepts" to fool consumers. (The founder of Zhong Xuegao is a typical founder who fools consumers and regards concepts as productivity) Many founders who do not take products seriously ignore that the higher the brand positioning, the greater the expectations of consumers. Therefore, brands with high positioning must pursue the ultimate and work hard on product features, manufacturing processes, and appearance design. In the traditional and modern brand world, those top brands face people who are willing to pay higher than average prices to buy goods, and the pursuit of the ultimate is what they expect. Apple's success just illustrates this point.

At the same time, we must also realize that consumers are constantly evolving. They want to buy fewer products, but with higher quality and wider uses. They want to hear less empty words and gain more sincerity. This is why consumers are keen to understand the brand background, brand story and product details, and will not be disturbed by the superficial image of lifestyle. Based on this, more and more brands have turned advertising into "history lessons". For example, LV has shifted the focus of publicity from star-led to travel records in recent years. Authenticity is a solid foundation, but this alone cannot create a top brand. We should also focus on the overall marketing plan, from production to packaging, from display to sales, and make sure to do it to perfection. All factors are based on shaping the brand product, presenting it as an extraordinary product, the ultimate product, and a model of the same category. Only by injecting true love into the product and chasing it like a star can we really make the supporters shine and create the myth of the brand.

6. Make the top brands into the "holy grail" like the Hercules Cup: Dumas, the former director of the Hermès brand, said in an interview: "We are the only company that does not set up a marketing department, because our first goal is the product." And this is exactly why Hermès is popular: "There is no excessive marketing, only understatement, simplicity, truth, nobility, and extremely demanding craftsmanship." Today, many companies have begun to ignore this important principle, and fewer and fewer brands have achieved this. They ignore that it is far from enough to rely solely on products to attract consumers. However, this is indeed the impression that top brands should give people. Their marketing must show "disdain for marketing" in order to use consumers' own desires to promote them by word of mouth. They must make their products into "holy grails" so that consumers can receive some kind of enlightenment. They must show enough love for their products to arouse consumers' worship.

7. From believing in the truth to believing in stories: There is a way, and it may be the most important way, which is to apply the concept of storytelling to the brand and product categories. Brands should tell the ingredients, craftsmanship, sources or manufacturing processes of products, which is what we often say is believing in the truth. Now we should change this approach to believing in stories. Lei Jun once told the "artistic journey of a piece of steel plate" at the launch conference of Xiaomi 4 mobile phone, which is storytelling. We should add some unique and romantic elements to the products and make them into charming stories, so that we can better bypass people's rational filtering system and go directly into their hearts.

8. The marketing model of storytelling can leave a deeper impression, be more unique, and last longer. Its effect is reflected in two aspects: first, it injects emotions into the product and makes you fall in love with it; second, it injects their packaged ideas into our rational thinking. Stories can elevate products above the level of ordinary commodities, make consumers remember them, and spread them by word of mouth, and make other factors, such as price, become less important.

9. Let the brand originate from art and crafts: Brands such as Emma Ren, Chanel, Dior and Montblanc are usually considered to have extremely high requirements for production technology. Therefore, when Montblanc built an exquisite and luxurious visualization factory in Le Locle, people were not surprised. Chanel bought the handmade workshop when it was on the verge of bankruptcy, which is also reasonable. Smith & Rob, a high-end eyewear brand, said in its publicity: They have established a professional yak breeding factory in Tibet, China, so that yak horns can be used as raw materials for eyeglass frames. This practice is also a common operation. Whether in terms of scope or price level, the marketing industry's love for art and crafts has exceeded people's imagination.

10. Create a unique sense of ritual: In order to avoid clichés and monotony, every brand story and every "holy grail" needs to create a sense of ritual to bring consumers a sacred experience. The sense of ritual can elevate a simple behavior to a special experience and create an atmosphere of worship. Top brands have brought this ancient truth into the 21st century, constantly updating and using it to create a high-quality modern experience. Many newly created Internet celebrity brands in China have also realized the mystery. For example, DR Diamond's registration ID card only gave diamonds to a girl in order to create this sense of ritual. However, it was later "falsified" and could "erase the record". This operation destroyed the sense of ritual, which was not worth the loss, and also lost the lasting trust of consumers.

Author: Liu Yichun

Source: WeChat public account "Liu Yichun's Commercial Brand Innovation"