April 30, 2020
What is the most embarrassing thing you could have done in a Louis Vuitton store?
Probably asking for a discount.
Most customers wouldn’t even consider seeking a discount in a Louis Vuitton store at the first place.
After all, Louis Vuitton is the world’s most valuable luxury brand.
The Art of Brand Building
Phillip Kotler who was considered as the ‘Father of modern marketing’ once said, “The art of marketing is largely the art of brand building. When something is not a brand, it will be probably be viewed as a commodity.”
If consumers don’t see the value in a brand, it becomes a commodity.
The Beginning of Samsung
A great example would be Samsung where they primarily started out as a low-tier manufacturing brand with cheap consumer perception.
Founded in 1938, Samsung started to see their sales fall due to increased competition in the beginning of 1990’s. Back then, Sony was the golden benchmark of quality.
CEO of Samsung at that time felt that Samsung could produce products that were as good as Sony’s, but because of its poor brand perception, their products would sit at the back of the stores.
He believed that continuing to compete on price would eventually be their downfall.
To reposition its brand globally, Samsung initiated an aggressive branding and advertising strategy to re-invent itself though innovative technology, heavy emphasis on modern world-class design and most importantly the overhaul of the Samsung experience.
Samsung’s first global campaign in 1997, Challenge the Limits, was aimed to position Samsung as a major corporation beyond technology, delivering elevated experiences to their consumers. They sponsored global events such as the Olympics, winter games and extreme sports.
In 2019 alone, Samsung invested 9.7 billion U.S. dollars in advertising activities and was the fourth-largest advertiser worldwide. Through a series of similar global campaigns over the years, Samsung managed to re-invent itself through the eyes of its consumers.
What’s your favorite rebranding story? Share with us your thoughts and opinions below.