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

Corporate Training Trends for 2020 & Beyond

Welcome. No year has ever been as difficult for those involved...

Learn More

Using Business Simulation Games for Leadership Training & Development: How it works

In the modern era of training, organizations have had to...

Learn More

Are Business Simulations Right for You?

Experiential learning is all the buzz, and a prime example of...

Learn More

Biopharma Trends for 2020 and Beyond

Let’s start by saying that nobody could have predicted just...

Learn More

How to Create Engaging Learning Experiences Online: Key Learnings from Our Webinar

If you were unable to attend our webinar in May on How to...

Learn More

4 Biotech Success Stories to Inspire Your Team

The Biotech world is booming. Scientists around the world are...

Learn More