There are more brands than ever. But they’re taking a beating – or, even worse, being ignored. Who’s to blame? A new breed of hyperinformed superconsumers.
And yet there’s something strange going on in branding land. Even as companies have spent enormous amounts of time and energy introducing new brands and defending established ones, Americans have become less loyal. Another remarkable study found that just 4 percent of consumers would be willing to stick with a brand if its competitors offered better value for the same price. Consumers are continually looking for a better deal, opening the door for companies to introduce a raft of new products.
Marketers may consider the explosion of new brands to be evidence of branding’s importance, but in fact the opposite is true. It would be a waste of money to launch a clever logo into a world of durable brands and loyal customers. But because consumers are more promiscuous and fickle than ever, established brands are vulnerable, and new ones have a real chance of succeeding – for at least a little while. The obsession with brands, paradoxically, demonstrates their weakness. (via Wired Magazin