Industry Insights

How can local low-cost brands use digital to achieve global impact

Posted by Sam Zalcman on Aug 1, 2014 6:00:00 AM

Competing on price alone leads to product commoditization and does not allow the building of a brand. Successful branding is always based on what I call a “Power Offer”, composed of a strong core product and of additional value elements, the “+++”. In a competitive environment, as in the airline industry, even low cost brands need to have the strong core product and the “+++”, and this is certainly the case of Southwest Airlines or Virgin Atlantic. 

When starting on the branding route, one has to place the initial efforts on the development of a strong core product and some “+++” to obtain a perceived competitive advantage in a targeted consumer segment. This has to be built progressively at a local, regional and national level before having global ambitions. Global expansion on a weak national brand is the sure avenue to dispersion and failure. The exception to this rule is the direct acquisition of a strong global brand and this can certainly accelerate global expansion while reducing its risks.

A digital strategy can certainly build an existing brand’s image, but only if the brand already has strong qualities. Indeed, a strong brand with a deficient digital strategy is more likely to perform better than a deficient brand with a strong digital strategy. The priority should thus be first to build a strong brand, and then to develop it further through a digital strategy. And, as I mentioned earlier, a successful digital strategy should be dynamic, developed with the help of specialized experts, and supported by an internal digital culture.

More Insights

Workplace Learning: How L&D Teams Can Better Handle the Current Crisis

Many of today’s situation make “business as usual” not an...

Learn More

Boosting Engagement by Bringing Experiential Learning Journeys Online

Online, remote, virtual or e-learning, means something...

Learn More

Obvious Solutions in Retaining Top Talent

Today’s dense job market presents a unique problem for...

Learn More

How Digital Changes the Face of Pharmaceutical Product Launches

The pharmaceutical industry is an interesting and innovative...

Learn More

Experiential Learning in Biopharma

The biopharmaceutical industry is at a critical turning point.

Learn More

Experiential Learning & The Modern Learner

Markets are changing. Learning is evolving. Technologies have...

Learn More

Leave a Comment