Why Do Brands Fail

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WHY DO BRANDS FAIL ??? They came They sold They Failed

Transcript of Why Do Brands Fail

Page 1: Why Do Brands Fail

WHY DO BRANDS FAIL ???

They came They soldThey Failed

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ON THE LIGHTER SIDE OF FEW FAILURES

Some of the errors to see why the best marketing companies across the world committed them.

Scandinavian vacuum manufacturer Electrolux used the following in an American ad campaign:

“Nothing sucks like an Electrolux.”

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The name Coca-Cola in China was first rendered as Ke-kou-ke-la. Unfortunately, the Coke

company did not discover until after thousands of signs had been printed that the phrase

means “bite the wax tadpole” or “female horse stuffed with

wax” depending on the dialect.

Coke then found a close phonetic equivalent, kokou-ko-le, which can be loosely translated as “happiness in the mouth.”

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In Taiwan, the translation of the Pepsi slogan

“Come alive with the Pepsi Generation”

Came out as “Pepsi will bring your ancestors

back from the dead.”

In Chinese, the Kentucky Fried Chicken slogan “finger-lickin’good” came out as

“eat your fingers off.”

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Colgate introduced a toothpaste in France called Cue, the name of a notorious porno mag.

Ford had a similar problem in Brazil when the Pinto flopped. The company found out that

Pinto was Brazilian slang . Ford substituted Corcel, which means horse.

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When General Motors introduced the Chevy Nova in South America, it was apparently

unaware that “no va” means “it won’t go.” After the company figured out why it wasn’t

selling any cars, it renamed the car in its Spanish markets to the Caribe.

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Revlon tried to launch a perfume in Brazil that smelt of Camellia flowers. It overlooked the fact that in Brazil , Camellia flowers are funeral flowers. Predictably the brand failed.

When Kothari Foods in India decide to launch the Block Buster American brand, Tang from

General Foods, USA, it ran into rough weather because the breakfast habits of Indian people are diverse.

INABILITY TO READ CULTURAL CUES

PROPERLY

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Between borders McDonald’s have varied its menu to accommodate the tastes and cultural sensibilities of residents in countries around the world.

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LAUNCH OF THE PRODUCT AT THE

WRONG TIME: Timing is one of the critical

elements in the launch of a new product.

Various culture recognize time differently.

The economic & political conditions within the country can also effect the product adversely.

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Israeli Government launched a tourist campaign in the Netherlands claiming that Tel Aviv & Jerusalem were only a “stone’s throw away”

But when the tension of the Hamas in Jerusalem & the Gaza strip was at its peak , TV beamed pictures of stone throwing incidents every day.

Predictably the campaign bombed.

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Reebok also launched its high priced shoes in the face of a growing recessionary period in the Indian economy.

The launch of the international liquor

brands of Seagram & W D Gilbey coincided with prohibition being imposed on liquor in some of the

high potential states like Andhra Pradesh & Haryana , giving them a run for their money.

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COMMUNICATION PROBLEMS

This is one of the nagging problems that face international marketers.

One of the United Airlines campaign used the slogan “ We know the Orient “ .

In the ads, the names of the far eastern countries were printed beneath their coins. However the slogan was not very convincing because the names & the coins did not match.

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Nike faced this problem in several countries when its slogan, “Just do it”, was found to represent a sexual innuendo in several countries.

McDonnell Douglas tried to enter the Indian market but botched up its

chances totally when it distributed a brochure that contained picture of Indians who were all represented turbaned. The company had used old National Geographic pictures & had

overlooked the fact the men were actually Pakistanis and not Indians.

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IGNORING RACIAL, NATIONAL & RELIGIOUS

SENTIMENTS The ignoring of racial & religious sentiments can also backfire

badly for companies.

Muslims in Dacca, Bangladesh went on a rampage, ransacking shoe stores because they mistook the Thom Mcan logo on some sandals as the Arabic character for “Allah”. They thought that the western company was denigrating the religion.

When Pepsodent was launched in SE Asian countries, it’s teeth whitening property was positioned as “ Wonder where the yellow went”. It was taken as a racial slur.

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“BRAND IS A PRODUCT” FIXATION When brands are treated merely

as products, this means its “Brand is a Product” Fixation.

Imagine if McDonalds’ only offered burgers and no entertainment, what would be the difference between them and a local burger stand? Under the shadow of its famous McDonald’s logo, it has created food as a product. They deliver convenience, entertainment and reliable taste to their customers.

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THE “MYOPIA SYNDROME”

Every firm’s core purpose is to earn maximum profits, but you can’t sell what you can’t tell. When brands goals are short-term,

Without building a long-term sustainable relationship, your brand is liable to fall.

Example: Enron In an attempt to achieve further

growth, Enron pursued a diversification strategy. The company owned and operated a variety of assets .But it was unethical practices and wrong show of balance sheet which led the company down.

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PRODUCT BREAKS “BRAND PROMISE”

Some brands fail because they don’t live up to their customers expectations anymore.

All-famous Coke, which tried to introduce the “New Coke”, in a different flavour.

Although they made no drastic changes to the packaging or the Coke logo, their product taste was disliked by customers. Coke’s product failed to deliver what its brand promised…Great Taste.

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· “HOCUS POCUS, YOU LOSE FOCUS”

Can you imagine Harley Davidson making perfumes?

The Harley Davidson brand badly failed because it lost focus of its core business…making motorcycles.

consumers could not accept the The Harley Davidson perfumes.

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Colgate launched the food product called Colgate Kitchen Entrées

The idea was that consumers would eat their Colgate meal, and then brush their teeth with Colgate toothpaste.

The trouble was that for most people the name Colgate does not exactly get their taste buds tingling.

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`China Central Television reported Thursday that a McDonald's store in Beijing sold chicken long after it was cooked despite the company promising to throw the products away after a short time limit (usually 30 minutes).

The store involved in the scandal has been closed for investigation to date

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