There is more to a brand than heritage

I recently read the latest Superbrands survey in the UK with the same reservation as I had the previous year — while it undoubtedly highlights the importance of brand value as a tangible asset that can be quantified on a balance-sheet, it does overlook the emotional attachment and loyalty consumers have with brands today.

Case in point; the BBC, British Airways and BP (which all feature inside the top 20) are undoubtedly strong brands that have heritage. But they have had a questionable year or two during which public sentiment has declined thanks to a series of negative news announcements, whether it’s a scandal, a strike or a spill.

Of course there is a difference between a company’s reputation and its brand value, but today consumers are less concerned with heritage and history, upon which brand value is created. Instead they demand brands that can respond, adapt and even improve their lives on a daily basis.

So while the above brands may retain a level of brand equity, which is still important, their actions have not engendered any trust or loyalty over the last 12 months. For example, if Superbrands were to assume all brands began the year as equals — then I’m sure the top 20 would look very different.

Heritage

And this is where the Middle East comes in to support my argument. You will rarely find local brands featuring prominently in a global “top brands” survey because they have no heritage upon which brand value is amassed or measured.

However, ask a consumer to compare Emirates, Etihad and Qatar Airways with BA, American Airlines or United and I am confident they will class the regional carriers as operations more in tune with passenger needs and more determined to offer a brand experience.

Herein lies the problem with brand value as it has been traditionally defined — yes, it’s positive that it can be measured (accurately for companies listed on a stock exchange) but a “high-value brand” is not necessarily a successful brand in today’s social environment.

Successful brands are those that continually adapt to changes in the marketplace. They behave more like a living, breathing person rather than a structured organisation.

Emirates, for example, is an evolving brand whose outward actions are aligned with an inward culture. Of course they sponsor everything under the sun which helps build brand awareness, but it is a company consistently innovating.

Brand value

Everything from its cabins, to the lounge, to the check-in process is continually evolving and improving. And little things like Polaroid photos taken for young children and being the first operator to facilitate mobile phone usage adds to the experience and ultimately generates a brand value appreciated by passengers.

At the same time, quantifying brand value does need to consider the financial and corporate governance of a company, no matter how pioneering a brand is. This requires an element of openness — and perhaps this is where Middle Eastern brands do fall.

As most are not listed, there is no legal reason why they should reveal financial results. But a successful brand is one that is honest, even about mistakes. That’s why a company which reports poor performance will always engender greater trust amongst consumers.

And it’s trust that creates an emotional connection and emotional connections which builds brand value... the kind of brand value that consumers recognise, rather than the brand value quantified in a survey!

The writer is the managing creative director at James Branding.