Choose … Better Product or Better Brand?

As I was surfing the web I stumbled upon an article talking about branding. What it said was very true about branding;

“If you just build a better product, eventually some other company is going to build a better product than yours, and your stock will fall like Motorola’s did. If you build a better brand, it doesn’t matter whether somebody else builds a better product or not. A better brand has the perception of being a “better product.”

Talk about branding and perception. It’s actually unfortunate that better branding overrules better product though eventually if the product is significantly better and enough buzz is created, it can move over the better brand and create a brand of it’s own.

You know … in college, Professors usually have this question … “Why should companies build brand if they are already on top of their market?”. Well, ladies and gents above quote is your answer.

Not only is branding good for separating your self from the herd (competition), but it’s also a somewhat of a padding that keeps better products than yours on the down low, giving you the time and ability to improve what you currently have.

Those companies that rely completely on their “brand” even when a better product is created in their category will ultimately see defeat as today’s consumer is aware of the better choices.

5 Comment(s)

  1. Excellent post Igor. Sometimes I wonder about companies that spend thousands or millions of dollars doing nothing but branding (Target comes to mind). Its true, that you wont’ always be the best or have the best product out there, which is when branding can really keep the ball moving forward.

    If you build [the brand] they will come! ???

    :)

    Stoney deGeyter | Feb 27, 2007 | Reply

  2. Stoney, I think these days the question is …

    “If you build it, will they come back the second time?”

    Igor Mordkovich | Feb 27, 2007 | Reply

  3. Igor, thanks for the nice tip. I have also grown to realise that “marketing is everything” – that sometimes even though you may have spent triple the investment in the R&D and created a product 100 times better than your competitors, but if your marketing and branding is dead, then so will your sales.

    That’s the reality of this world, I guess. ๐Ÿ˜‰

    Kian Ann | Mar 5, 2007 | Reply

  4. Kian … I think that if there would be a study on most successful companies (small and big), it will show that the leaders / owners of these companies are great marketers first and then maybe good in finance, management, etc.

    Marketing is ideas and direction. Without marketing there will be nothing to count (finance) and no one to lead (management).

    Kian … I’ve always wanted to go to Singapore. When is the best time … (weather wise)?

    Igor Mordkovich | Mar 5, 2007 | Reply

  5. Hey Igor!

    Singapore is sunny and wet all year round! May – August are hotter and November – January are the wetter months… but we do have rainy days in mid year and hot days at the end of year too… so anytime is the same actually ๐Ÿ˜›

    Do let me know if you are coming, we can meet up, I’ll be your part time tour guide ;P

    Kian Ann | Mar 6, 2007 | Reply

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