A classic example for the concept that success is built on trust can be witnessed in the success and growth of the company ‘Wacker’ dealing in light equipments, compact equipments and other service in the construction industry originating from the United States present allover the world. The company has adopted the wordings “Success is built on Truss; the world over” as its image for all its advertisements and campaigns. Being fairly successful the company has identified two factors responsible for their growth. They are: ? Constant and open communication with the customers as a trust building exercise and
? Arriving at a right balance between traditional values and the entrepreneurial spirit. The company has also made the customer satisfaction as its organizational philosophy and has adopted the following values as the core of all its customer relationships and these values form the basis for running its day to day activities: ? Reliability ? Trustworthiness ? Quality and ? Responsiveness It is with the intention to promote and live up to these values and ensure the customers are getting the best possible service the company has given a larger degree of autonomy to the customer service employees.
This way the company is able to ensure the trust of all its customers and become a successful company in the industry in which the company is operating. 2. 5. 1. ECONOMIC SUCCESS AND ADMIRATION OF COMPANIES: A success oriented policy development and the continued focus on the customer satisfaction and the market changes should determine the actions of the company to enhance its economic success in terms of the growth in its profitability and wealth creation. Similarly in order to sustain the economic success the company should be able to work continuously on product development and refining the cost structures of its various products.
Shaping of the company’s market identity in terms of using the potential synergies of any possible mergers would also enhance the chances of the economic success of the company. Economic success is an absolute pre-requisite in pursuit of any company’s image building exercises. Through the publication of the financial and non-financial reports in advertising media the firms would be able to provide to the information of the existing and the prospective customers the economic success of the company and thereby the company would be able to gain the popularity which is at the base of getting the admiration of the customers.
This is the only way in which the firms shall be able to sustain their market positions and the respective markets shares against the competitors. Unless the companies gain an admiration among the customers it would be difficult for them to expand their operations. 2. 6 BRAND IMAGE AND SUCCESS OF A COMPANY: To combat the international competition today’s business organizations whether small or large make serious attempts in the form of strategic measures to build a brand for their firms. The reason for such brand building is that while the product of a company can be imitated its brand can not be imitated.
“The proliferation of competitors, short-term objectives, and opportunities to place investment dollars elsewhere also make it difficult to invest in building brands. ” Added to this is the organizations’ internal issues concerning innovations, and changes in strategies according to the changed market conditions pose further difficulties in brand building exercises. The process of brand building is further complicated by the fragmentation of the markets and the complexity involved in the creation of brand strategies and relationships.
The process of brand building can be completed over a long period of three to five years by introducing complimentary programmes. It must be remembered that the brand building can not be achieved by simply advertising but by encouraging everyone in the organization to work towards the achievement of the brand building objective. “There are a number of approaches to building a brand. The one that Harley-Davidson used back in the early 1980s was simple. It was easy to understand, and thus communicable to the various targets.
Simply, three basic questions were asked, analysed, defined, redrafted and then put to work. But the work took five years to do. Each year a different programme was launched to build the foundation for the brand. It took dedication and a focus of limited resources to execute the various strategies in the different functions of the company. Each department had to take its turn, develop its plans and execute a defined strategy. But first, the three strategic questions: Who are we? Who are our customers?
What do they expect from us? The quality of upfront thinking, will directly affect the quality of the output” . From the case of Harley-Davidson it is clear that a proper brand building exercise would go a long way to make the company successful. 2. 7 MAJOR FACTORS IN SUCCESS BRAND BUILDING: The process of developing, implementing and maintaining a brand is a full-time job and a crucial one for the success of any business. Successful branding implies more than just choosing a name of for the company or service.
By creating a brand the company creates an emotional tie with its customers. ‘One must be prepared literally to live the brand in order to create a reputation and preserve it over the period. Such reputation can be considered as the life blood of the brand. “The process doesn’t occur over night and may require the sacrifice of short-term profits to cultivate. In the long-term, however, the highest market share and profitability accrue to brands that consistently deliver core benefits with which customers emotionally connect. ”
There are several factors that are involved in building a successful brand for a company. Some of the factors are: ? Quality: It is important that the customers know that a particular company’s brand will deliver consistently deliver appropriate quality of the product and services and when the customers are really convinced about this they will respond to the positive reputation. ? Positioning: Positioning refers to the customer perception about a product and the relative niche the brand occupies in the minds of the consumers rather than in the market.
A perfect combination of the company’s name, the image it carries with the customers, the standards of service, the guarantees the company offers on their products, the kind of packaging and the methods of delivery all decide the positioning of a company’s products. ? Repositioning: Repositioning occurs whenever there is a change in the presentation of a company’s brand in relation to changes in customers’ preferences. Example may be found in the repositioning of an entertainer in the roles he or she plays as he or she grows older.
? Communications: As an aspect of marketing, brand communication refers to the tailoring of all aspects of the company’s promotional mix toward creating and sustaining customer perceptions. This includes creating awareness, developing personality, and constantly reinforcing these images. ? First Mover Advantage: With the advantage of being a first mover the fist successful brand is able to create an impression in the minds of the target customers before the competitors could present their brands to claim a share in the market.
Gillet razors and Coco Cola are some of the brands that could define the market being the first movers in their respective fields. ? Long – term Perspective: This is one of the aspects that the owner of a brand should be clear about as the brand building exercise will take a longer time to result in tangible advantages to the company. However the company can be sure of its stronger position in the market once it endures the time involved. ? Internal Marketing: It is vitally important that each person involved in the business must clearly understand the brand’s basic values and its relative positioning in the market.
This aspect has more relevance in the service industries where it is essential that the staff should be trained to ensure the maintenance of the company’s service standards. When a company is able to build its brand successfully having taken into consideration of the above factors the company can easily be regarded as a successful one as by the brand building exercise the company would be able to get in to its fold many customers who will develop a loyalty towards the company’s brand.
In order to make the branding contribute to the success of a company it is necessary that the company understands well as to how the customers perceive the products of the company. The company should make an internal assessment of its own strengths and weaknesses in order to improve upon them. A successful branding implies the determination and improvement of the company’s competitive advantage. It also involves building a strong organizational culture within the operations of the company and also the development of a focused business strategies that transforms the following factors in to the organizational success:
? Proper usage of the strengths of the company ? An effective programme of communication ? A consistent and convincing presentation of the personality of the brand of the company and its image to the customers ? A proper understanding of the needs and preferences of the customers and their values It is always the case that the top-ranked brands strive to deliver a consistent quality of their products or services and thereby achieve the maximum customer satisfaction.
In the long run the company is sure to become a successful one and possibly an admired one also. 2. 8 CREATING A POSITIVE BRAND IMAGE LEADS TO SUCCESS: “For any business to become truly successful, it needs to create positive brand recognition for its product. ” This is applicable to various small businesses where there are a number of firms that crave for the customers attention. It is necessary that a brand is to be considered as an image so that the target customers will remember it easily.
This implies that the creation of a successful branding of a product or service calls for the creation of an image which necessarily should be positive and also relevant to the product capable of being easily remembered. For the creation of a positive image of a brand there must be an emotional association of the customers with the product. Such emotional associations can be created in two ways. The first one is a direct experience where the customers’ experience with the product or service impacts the perception of the customers.
Where there is a positive experience it implies a positive association of the customer with the product. This positive association is necessary when the company wants to get repeat customers. The second approach is an indirect approach where there is an indirect association with the product created by the words that describe the product, the name of the product and the pictures that represent the products in the media chosen for advertisement to create an emotional association. Thus the creation of a positive brand image helps the company to become a successful one.