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Copyright © Oxford Management Publishing 2010




“There is no Spoon”: Towards a Framework for the
Classification of Virtual Brands and Management of Brand
Precession

Laurent Muzellec, Theo Lynn

Abstract

This paper considers the case of two fictional brands (‘Duff Beer’ and ‘Bertie Bott’s Every
Flavor Beans’) and one computer-synthesized brand (‘Aimee Weber’) and the attachment of
these brands to physical products in the real and virtual worlds. The authors contend these
cases are not merely manifestations of the "reverse product placement" process but are
representative of a wider phenomenon, labelled “brand precession”. The three cases
illustrate three orders of brand precession. In the first two orders, the virtual brands foment
an aura in the fictional world, which will be leveraged through “tangibilisation” or
“productisation” in the real world. In the third order of brand precession (Aimee Weber),
commercial translation of the computer synthesised brand is not necessarily dependent on a
physical existence in the real world. The authors contend that should such brands be
capable of legal protection, the implications for marketing practitioners and researchers may
be profound. The paper provides an embryonic classification and framework for the
management and the articulation of virtual brands.

Keywords: Reverse product placement, Brand management, Brand precession, Virtual
worlds, Fictional brands, Virtual brands, Second life

1. Introduction

Post-modernism allegedly pervades marketing theory and practice much as it does everyday
life in contemporary society. Post-modernism refutes practical conventions and overall
contrasts the modernist idea that there is one single reality. As Brown explains, “Post-
modernity is a depthless world of simulation, where images bear no discernable relationship
to external reality and where artifice of, in the words of the post-modern rock group U2, is
‘even better than the real thing’” (Brown 1995).

Post-modernism manifests in many ways including "reverse product placement". Reverse
product placement is when virtual artefacts from the fictional brand are recreated in the
physical world and attached to a real product. For example, the originally fictional ‘Duff Beer’
(the favourite beer of Homer in the cartoon ‘The Simpsons’) was for a period available in
conventional outlets (http://en.wikipedia.org/wiki/Duff_Beer). Similarly, the ‘Bubba Gump
Shrimp Company’ (http://www.bubbagump.com) is a “real” restaurant chain directly inspired
by the fictional company in ‘Forrest Gump’.


Published: January 2010 in Management Online REview , www.morexpertise.com     ISSN 1996-3300                   1
These are more than mere brand licensing as the products are physical recreations of
products that initially existed in the virtual world of the animated television series or film. One
of the latest manifestations of post-modernism in the contemporary era is what we term
"brand precession". Unlike reverse product placement and merchandising, brand precession
differs as the brand, like Baudrillard's map (1988), may be developed without origin or
reality; it may initially exist only in virtual worlds (in-world) and may be incapable of ever
existing in the real, physical world but however be commercially translated in-world. If such
brands could acquire legal protection, we contend that this phenomenon would be
significantly different than the traditional brand-building process and as such has substantial
implications for both marketing practitioners and researchers. This paper provides an
embryonic classification and framework for the management and the articulation of “brand
precession” in the practice of brand management.

2. The Brand in the Post-modern Era: The Advent of the Virtual and Abstract.

Traditional definitions of the brand such as the one provided by the American Marketing
Association1 confines brand marketing to the managerial practice of building, managing and
measuring the equity of a product or services identified by the brand (Aaker 1991; Kapferer
1995; Keller 1998). In fact, traditional perspectives see the brand as a selling device
managed by the marketing team who use it as a means of differentiation for the firm’s
offering (Kotler and Keller 2006). In other words, the brand is real, it is a trademark attached
to a physical product that is being marketed to “passive” consumers. Alternative definitions
have integrated the consumers’ views of the brand and the brand concept has evolved into
something more abstract to become “nothing more than the sum of all the mental
connections people have around it” (Brown, 1992). More recently, Lury (2004) argues that
brands are a crossing point for knowledge focus “simultaneously virtual and actual, abstract
and concrete, a means of relativity and a medium of relationality” (Lury, 2004, p12).

Lury's definition suggests branding is a bi-polar construct (at the crossroad between the
concrete and the abstract, the virtual and the real). This phenomenon is manifested in
reverse product placement, or "the commercial translation of fictional brands or products…
into the real world" (Edery 2006). But what of brands or products that have commercial value
but are not “tangibilized” or “productized” in the real physical world and remain purely virtual?
We contend that this phenomenon represents an extension of the post-modernist brand
paradigm, which we call “brand precession”. Brand precession can be described as the
process of fomenting a brand aura entirely in the abstract and the virtual but capturing the
imagination and emotional attachment of real consumers. Here the virtual brand precedes
the real and is not necessarily dependent on a physical existence to generate commercial
value.

3. The Three Orders of Brand Precession

We have identified at least three orders of brand precession.

The first order of brand precession relates to brands which initially exist in the virtual but are
applied to products that actually exist or can exist in the real, physical world. An example of
a first-order brand is 'Duff Beer' from the animated television series, ‘The Simpsons'. ‘Duff
Beer’ is available now to more than the fictional characters that exist in the fictional world of
Springfield. While such brands exist initially in the virtual, they are capable of existing in the
1
  The AMA definition of a brand is “name, term, sign, symbol, or design, or a combination of them,
intended to identify the goods or services of one seller or group of sellers and to differentiate them
from those of competitors” (AMA, 1960)




Published: January 2010 in Management Online REview , www.morexpertise.com   ISSN 1996-3300              2
real world and therefore are capable of commercial translation into the real world beyond
mere licensing; ‘Duff Beer’, initially a simulation of beer is now a real beer with its own real
taste. Warner Brothers, the owners of ‘The Simpsons’, do not have interests in the brewing
industry and merchandising opportunities for an alcoholic beverage associated with an
animated television series watched by millions of children may be perceived as unethical. As
such, Warner Brothers chose not to act on the potential of ‘Duff Beer’ as a brand in the
alcoholic beverage market and as such, did not register ‘Duff Beer’ as a trademark for such
activity. However, an entrepreneur in Mexico, Rodrigo Contreras, successfully registered the
trademark in Mexico. Subsequently, the brewery, Haacht, in Belgium produced and
successfully marketed a real beer with a real taste and while it does not feature any
reference to ‘The Simpsons’, the packaging (Figure 1) is similar enough that when combined
with the brand name, attracts those consumers with emotional connections to ‘The
Simpsons’.

Figure 1. ‘Duff Beer’ as Packaged and Produced by Haacht Brewery




The second order of brand precession relates to brands and products, which initially exist in
the virtual, and whose brand attributes are derived from virtual product characteristics that
cannot, at least currently, exist entirely in the real physical world. An example of a second
order brand is ‘Bertie Bott’s Every Flavor Beans’ (Figure 2). ‘Bertie Bott’s Every Flavor
Beans’ is a confectionary product first introduced as a fictional brand in the ‘Harry Potter’
books. These fictional jelly beans migrated from the virtual world of the ‘Harry Potter; books
to the real world with the production of real ‘Bertie Bott’s Every Flavor Beans’ candy,
manufactured by Cap Candy, a division of Hasbro. In the second order, the brand and
product attributes cannot translate entirely in the real world. While a confectionary can exist
and be packaged similar to the beans that exist in the book and associated films, the
magical properties of the virtual products cannot.

Figure 2. ‘Bertie Bott’s Every Flavor Beans’ Manufactured by Hasbro.




In the preceding two cases, the virtual products bear some relationship to reality but while
the brands and products exist in the virtual world of entertainment media, they do not


Published: January 2010 in Management Online REview , www.morexpertise.com   ISSN 1996-3300   3
generate economic value in-world. When Homer buys a ‘Duff Beer’, the money Moe receives
in payment does not have real world currency. Here, brands only truly generate economic
value when they are manifested and exploited in the real world through licensing fees or
sales of real products to which those brands are attached. One should not discount their
external value, depending on the success of the vehicle in which they appear, this method of
branding may be a much faster, cost-efficient and more effective method of marketing for a
new product than to develop a brand from first principles. As such, it should be an option for
consideration by marketers and owners of new products (Hosea 2007). Furthermore, in each
of the cases, above, the development of the real products is post-hoc - the decision to
commercialise is not pre-meditated.

The third order of brand precession differs from the previous two orders because the brands
exist only in the virtual with no relationship to reality at all. Their existence including
commercial translation is independent of the real world. An example of this third order of
brand precession are the virtual brands of ‘Aimee Weber’ and ‘*preen*’. Aimee Weber is the
Second Life identity of Alyssa LaRoche (Figure 3). LaRoche founded a line of avatar
fashions known as ‘*preen*’ anchored by her in-world avatar persona “…as an outrageously
brash, flirty, vaguely tipsy ballerina with blue butterfly wings” (Au, 2008).

Figure 3. The Virtual Brand Aimee Weber™




LaRoche established a number of in-world stores to sell the ‘*preen*’ fashion line to other
Second Life members and promoted these products widely in-world. In August 2006, the 20
best-selling Second Life fashion designers, including LaRoche, generated a combined
US$140,466 in sales (LaVallee, 2006). It is important to note that LaRoche’s sales are
concluded in-world using Linden Dollars, the Second Life currency, which can then be used
to purchase other virtual products and services or can be exchanged for US dollars. In
November 2008, Aimee Weber became the first avatar with a registered trademark for virtual
content and services. Although LaRoche is reported to be considering opening a real world
store to sell ‘*preen*’ fashion products ‘as a novelty’, the commercial translation is not
dependent on reverse product placement. There is no requirement for a real physical
embodiment of the product or as stated in the movie the Matrix: “there is no spoon!”.

4. Towards a Praxis of Management for Fourth Order Brand Precession

The implications of a commercial brand fully disconnected from a physical reality have only
started to be accounted for within academia (Muzellec and McDonagh, 2007). As discussed,
the ‘Aimee Weber’/‘*preen*’ case differs from the cases of ‘Duff Beer’, and ‘Bertie Bott’s
Every Flavor Beans’ in a number of respects.

Firstly, the virtual brand, in this case ‘*preen*’ was developed wholly in the virtual 3-D world
‘Second Life’ for use within this world in its original and natural state. It did not depend or
refer to a real world brand or product. Its existence was independent and continued to exist
in-world when LaRoche was offline. Secondly, it was personified by an in-world identity,
Aimee Weber, which interacted with the virtual world and acted in some respects as a



Published: January 2010 in Management Online REview , www.morexpertise.com   ISSN 1996-3300   4
celebrity endorsement. Thirdly, it was attached to an in-world product that had real economic
value. There was a purchase price for the ‘*preen*’ fashions which could be converted in to a
real world currency. The brand captured both the imagination and emotional attachment of
real-world consumers. Second Life members assume a generic avatar when they first enter
Second Life. Fourth, they choose to purchase and wear ‘*preen*’ avatar clothing. Aimee
Weber, the in-world personification of the ‘*preen*’ brand was successful in achieving legal
protection under US Trademark law in November 2008. Furthermore, LaRoche may choose
to generate additional revenues from licensing or selling her designs in the real world or in a
post-modern twist place her product in the real world as a marketing strategy to generate in-
world sales.

Figure 4 outlines an embryonic framework suggesting how managers might manipulate
virtual brand meaning in-world while real consumers emotionally empathise with the virtual
brand.

Figure 4. Praxis of Brand Precession




At its core, the virtual brand personality is not only the traditional attribute of the brand but
includes, in the case of virtual worlds, the personification of an in-world avatar as the brand
proponent or in some instances the master brand. This is a significant difference to
traditional brand marketing where the constraining resource may be access to a
personification of the brand who in many instances is a celebrity. In the virtual world, the
marketing practitioner can literally create their brand personification to meet specific
audience needs.

Once the brand personality has been developed, the competitive domain must be selected,
in this case the virtual medium. At this early stage of brand precession, we have focused on
virtual brands in both fictional worlds and computer-synthesised virtual worlds such as
Second Life, Habbo Hotel, and Club Penguin. There are an increasing number of virtual
worlds of significant size catering for a wide range of target audiences – careful selection of
virtual medium is recommended. Once the virtual brand has been placed in the medium,
consumers will engage with the medium, and will begin to develop an image of the brand
which can be further refined through brand development activities. These activities should be
mutually reinforcing with the audience of virtual medium to the point that consumers wish to


Published: January 2010 in Management Online REview , www.morexpertise.com   ISSN 1996-3300    5
purchase the brand and products associated with the brand. It is at this point that the seller
or brand developer must have the means to protect and monetise the brand. The
“tangibilisation” of the brand occurs once the trademark is being registered and/or while the
brand is being monetized.

5. Discussion

The case of ‘Duff Beer’ highlights the danger of uncontrolled virtual brand creation. Warner
Brothers’ fictional brand still has potential, although somewhat impaired, but Contreras and
Haacht (until legal action was taken by Warner Bros) had a trademarked brand which was
deriving economic value for Contreras and Haacht and not Warner Brothers. This example
illustrates that while some virtual brands may have economic consequences, they are not
economically valuable in themselves unless acted upon in the real world. Considering that a
beer brand, such as Budweiser, can have a brand valuation of over US$11bn2, ‘Duff Beer’
serves as a cautionary tale to highlight the importance of identifying virtual brands as early
as possible and, where possible, of protecting those brands for future applications.

While the method of product placement has arguably been around since the birth of film
(Newell et al. 2006), reverse product placement is a relatively new concept. The
convergence of the physical and virtual worlds through gaming devices and software such
as Sony PlayStation Home requires the marketing community to consider whether brand
development in these virtual worlds is merely a matter of reverse product placement or
something else entirely. Unlike Second Life, Sony PlayStation Home supports the sale of
clothing for player avatars and furniture for virtual homes from an online Sony store. We
contend that brand precession represents a new marketing phenomenon and therefore
requires new approaches. As with reverse product placement, we posit that it is necessary
that consumers feel a connection to the virtual brand in order for the brand to succeed. This
can be achieved in the personification of the brand through an avatar persona that exists in
and engages with the virtual world. One major concern would be the life of the virtual brand,
and whether or not it will have enduring qualities of a real one once the novelty has worn off.

References

Aaker, D. A. (1991). Managing Brand Equity - Capitalizing on the Value of a Brand
Name. New York, Free Press.

Au, W.J., (2008) The Making of Second Life, New York, HarperCollins.

Baudrillard, J. (1988) “Simulacra and Simulations” in Selected Writings, ed. Mark
Poster, Stanford, Stanford University Press: pp.166-184.

Brown, G. (1992), People, Brands and Advertising, New York: Millward Brown International

Brown, S. (1995). Post-modern Marketing. London, Routledge.

Edery, David. (2006). Reverse Product Placement in Virtual Worlds. Harvard Business
Review 84(12): 24.

Firat, A. F., Dholakia, N., Venkatesh, A.,. (1995). "Marketing in a Post-modern World."
European Journal of Marketing, 29(1), 40-56.



2
    Source: http://www.interbrand.com/best_global_brands.aspx as accessed on 17/01/2009



Published: January 2010 in Management Online REview , www.morexpertise.com   ISSN 1996-3300   6
Hosea, M. (2007). Fantasy brands on a reality check. Brand Strategy. 212: 24-29.

Kapferer, J.-N. (1995). Strategic Brand Management: New Approaches to Creating and
Evaluating Brand Equity. London, Kogan Page.

Keller, K. L. (1998). Strategic Brand Management. Upper Saddle River, N.J. Prentice Hall.

Kotler, P. and K. L. Keller (2006). Marketing Management Upper Saddle River, NJ,
Pearson, Prentice Hall.

LaVallee, A. (2006) Now, Virtual Fashion - Second Life Designers Make Real Money
Creating Clothes For Simulation Game's Players, Wall Street Journal,
http://www.americanapparel.net/presscenter/articles/20060922wsj.html

Lury, C. (2004). Brands: the Logos of the Cultural Economy, Routledge,

Muzellec, L. McDonagh, P, « Ceci n’est pas une Brand! » : Post-Modernism and Brand
Management, the case of Red Apple Cigarettes , 36th European Marketing
Academy (EMAC) Conference, 22-MAY-07 - 25-MAY-07, Reykyavik (ISL)

Newell et al. (2006) The Hidden History of Product Placement. Journal of Broadcasting &
Electronic Media, 50 (4): 575-594.




LAURENT MUZELLEC
Dublin City University Business School
e-mail: lmuzellec@gmail.com

Dr. Laurent Muzellec is a lecturer in Marketing at Dublin City University Business School and
a brand consultant to a number of small to medium sized companies. His main research
interests pertain to the field of strategic brand management. He has published in leading
marketing journals including the European Journal of Marketing and Industrial Marketing
Management. His most recent research focus is on the managerial applications and the
theoretical     implications   of   brands     in   virtual  and    fictional  worlds   (see:
http://defictionalised.wordpress.com in collaboration with Theo Lynn).


THEO LYNN
Dublin City University
e-mail : theo.lynn@dcu.ie

Dr. Theo Lynn is the Director of the Learning, Innovation and Knowledge Research Centre at
Dublin City University. He teaches strategic thinking at postgraduate level at DCU Business
School. His research interests include corporate governance and the impact of Internet
technologies on strategic processes. A specialist in educational technologies, Dr. Lynn has
established and sold a number of companies including Enki Information Systems,
Educational Multimedia Group and most recently, Global Grid for Learning (part of Atomic
Assets). He advises a number of domestic and international companies.




Published: January 2010 in Management Online REview , www.morexpertise.com   ISSN 1996-3300   7

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virtual and fictional brands and branding

  • 1. Copyright © Oxford Management Publishing 2010 “There is no Spoon”: Towards a Framework for the Classification of Virtual Brands and Management of Brand Precession Laurent Muzellec, Theo Lynn Abstract This paper considers the case of two fictional brands (‘Duff Beer’ and ‘Bertie Bott’s Every Flavor Beans’) and one computer-synthesized brand (‘Aimee Weber’) and the attachment of these brands to physical products in the real and virtual worlds. The authors contend these cases are not merely manifestations of the "reverse product placement" process but are representative of a wider phenomenon, labelled “brand precession”. The three cases illustrate three orders of brand precession. In the first two orders, the virtual brands foment an aura in the fictional world, which will be leveraged through “tangibilisation” or “productisation” in the real world. In the third order of brand precession (Aimee Weber), commercial translation of the computer synthesised brand is not necessarily dependent on a physical existence in the real world. The authors contend that should such brands be capable of legal protection, the implications for marketing practitioners and researchers may be profound. The paper provides an embryonic classification and framework for the management and the articulation of virtual brands. Keywords: Reverse product placement, Brand management, Brand precession, Virtual worlds, Fictional brands, Virtual brands, Second life 1. Introduction Post-modernism allegedly pervades marketing theory and practice much as it does everyday life in contemporary society. Post-modernism refutes practical conventions and overall contrasts the modernist idea that there is one single reality. As Brown explains, “Post- modernity is a depthless world of simulation, where images bear no discernable relationship to external reality and where artifice of, in the words of the post-modern rock group U2, is ‘even better than the real thing’” (Brown 1995). Post-modernism manifests in many ways including "reverse product placement". Reverse product placement is when virtual artefacts from the fictional brand are recreated in the physical world and attached to a real product. For example, the originally fictional ‘Duff Beer’ (the favourite beer of Homer in the cartoon ‘The Simpsons’) was for a period available in conventional outlets (http://en.wikipedia.org/wiki/Duff_Beer). Similarly, the ‘Bubba Gump Shrimp Company’ (http://www.bubbagump.com) is a “real” restaurant chain directly inspired by the fictional company in ‘Forrest Gump’. Published: January 2010 in Management Online REview , www.morexpertise.com ISSN 1996-3300 1
  • 2. These are more than mere brand licensing as the products are physical recreations of products that initially existed in the virtual world of the animated television series or film. One of the latest manifestations of post-modernism in the contemporary era is what we term "brand precession". Unlike reverse product placement and merchandising, brand precession differs as the brand, like Baudrillard's map (1988), may be developed without origin or reality; it may initially exist only in virtual worlds (in-world) and may be incapable of ever existing in the real, physical world but however be commercially translated in-world. If such brands could acquire legal protection, we contend that this phenomenon would be significantly different than the traditional brand-building process and as such has substantial implications for both marketing practitioners and researchers. This paper provides an embryonic classification and framework for the management and the articulation of “brand precession” in the practice of brand management. 2. The Brand in the Post-modern Era: The Advent of the Virtual and Abstract. Traditional definitions of the brand such as the one provided by the American Marketing Association1 confines brand marketing to the managerial practice of building, managing and measuring the equity of a product or services identified by the brand (Aaker 1991; Kapferer 1995; Keller 1998). In fact, traditional perspectives see the brand as a selling device managed by the marketing team who use it as a means of differentiation for the firm’s offering (Kotler and Keller 2006). In other words, the brand is real, it is a trademark attached to a physical product that is being marketed to “passive” consumers. Alternative definitions have integrated the consumers’ views of the brand and the brand concept has evolved into something more abstract to become “nothing more than the sum of all the mental connections people have around it” (Brown, 1992). More recently, Lury (2004) argues that brands are a crossing point for knowledge focus “simultaneously virtual and actual, abstract and concrete, a means of relativity and a medium of relationality” (Lury, 2004, p12). Lury's definition suggests branding is a bi-polar construct (at the crossroad between the concrete and the abstract, the virtual and the real). This phenomenon is manifested in reverse product placement, or "the commercial translation of fictional brands or products… into the real world" (Edery 2006). But what of brands or products that have commercial value but are not “tangibilized” or “productized” in the real physical world and remain purely virtual? We contend that this phenomenon represents an extension of the post-modernist brand paradigm, which we call “brand precession”. Brand precession can be described as the process of fomenting a brand aura entirely in the abstract and the virtual but capturing the imagination and emotional attachment of real consumers. Here the virtual brand precedes the real and is not necessarily dependent on a physical existence to generate commercial value. 3. The Three Orders of Brand Precession We have identified at least three orders of brand precession. The first order of brand precession relates to brands which initially exist in the virtual but are applied to products that actually exist or can exist in the real, physical world. An example of a first-order brand is 'Duff Beer' from the animated television series, ‘The Simpsons'. ‘Duff Beer’ is available now to more than the fictional characters that exist in the fictional world of Springfield. While such brands exist initially in the virtual, they are capable of existing in the 1 The AMA definition of a brand is “name, term, sign, symbol, or design, or a combination of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors” (AMA, 1960) Published: January 2010 in Management Online REview , www.morexpertise.com ISSN 1996-3300 2
  • 3. real world and therefore are capable of commercial translation into the real world beyond mere licensing; ‘Duff Beer’, initially a simulation of beer is now a real beer with its own real taste. Warner Brothers, the owners of ‘The Simpsons’, do not have interests in the brewing industry and merchandising opportunities for an alcoholic beverage associated with an animated television series watched by millions of children may be perceived as unethical. As such, Warner Brothers chose not to act on the potential of ‘Duff Beer’ as a brand in the alcoholic beverage market and as such, did not register ‘Duff Beer’ as a trademark for such activity. However, an entrepreneur in Mexico, Rodrigo Contreras, successfully registered the trademark in Mexico. Subsequently, the brewery, Haacht, in Belgium produced and successfully marketed a real beer with a real taste and while it does not feature any reference to ‘The Simpsons’, the packaging (Figure 1) is similar enough that when combined with the brand name, attracts those consumers with emotional connections to ‘The Simpsons’. Figure 1. ‘Duff Beer’ as Packaged and Produced by Haacht Brewery The second order of brand precession relates to brands and products, which initially exist in the virtual, and whose brand attributes are derived from virtual product characteristics that cannot, at least currently, exist entirely in the real physical world. An example of a second order brand is ‘Bertie Bott’s Every Flavor Beans’ (Figure 2). ‘Bertie Bott’s Every Flavor Beans’ is a confectionary product first introduced as a fictional brand in the ‘Harry Potter’ books. These fictional jelly beans migrated from the virtual world of the ‘Harry Potter; books to the real world with the production of real ‘Bertie Bott’s Every Flavor Beans’ candy, manufactured by Cap Candy, a division of Hasbro. In the second order, the brand and product attributes cannot translate entirely in the real world. While a confectionary can exist and be packaged similar to the beans that exist in the book and associated films, the magical properties of the virtual products cannot. Figure 2. ‘Bertie Bott’s Every Flavor Beans’ Manufactured by Hasbro. In the preceding two cases, the virtual products bear some relationship to reality but while the brands and products exist in the virtual world of entertainment media, they do not Published: January 2010 in Management Online REview , www.morexpertise.com ISSN 1996-3300 3
  • 4. generate economic value in-world. When Homer buys a ‘Duff Beer’, the money Moe receives in payment does not have real world currency. Here, brands only truly generate economic value when they are manifested and exploited in the real world through licensing fees or sales of real products to which those brands are attached. One should not discount their external value, depending on the success of the vehicle in which they appear, this method of branding may be a much faster, cost-efficient and more effective method of marketing for a new product than to develop a brand from first principles. As such, it should be an option for consideration by marketers and owners of new products (Hosea 2007). Furthermore, in each of the cases, above, the development of the real products is post-hoc - the decision to commercialise is not pre-meditated. The third order of brand precession differs from the previous two orders because the brands exist only in the virtual with no relationship to reality at all. Their existence including commercial translation is independent of the real world. An example of this third order of brand precession are the virtual brands of ‘Aimee Weber’ and ‘*preen*’. Aimee Weber is the Second Life identity of Alyssa LaRoche (Figure 3). LaRoche founded a line of avatar fashions known as ‘*preen*’ anchored by her in-world avatar persona “…as an outrageously brash, flirty, vaguely tipsy ballerina with blue butterfly wings” (Au, 2008). Figure 3. The Virtual Brand Aimee Weber™ LaRoche established a number of in-world stores to sell the ‘*preen*’ fashion line to other Second Life members and promoted these products widely in-world. In August 2006, the 20 best-selling Second Life fashion designers, including LaRoche, generated a combined US$140,466 in sales (LaVallee, 2006). It is important to note that LaRoche’s sales are concluded in-world using Linden Dollars, the Second Life currency, which can then be used to purchase other virtual products and services or can be exchanged for US dollars. In November 2008, Aimee Weber became the first avatar with a registered trademark for virtual content and services. Although LaRoche is reported to be considering opening a real world store to sell ‘*preen*’ fashion products ‘as a novelty’, the commercial translation is not dependent on reverse product placement. There is no requirement for a real physical embodiment of the product or as stated in the movie the Matrix: “there is no spoon!”. 4. Towards a Praxis of Management for Fourth Order Brand Precession The implications of a commercial brand fully disconnected from a physical reality have only started to be accounted for within academia (Muzellec and McDonagh, 2007). As discussed, the ‘Aimee Weber’/‘*preen*’ case differs from the cases of ‘Duff Beer’, and ‘Bertie Bott’s Every Flavor Beans’ in a number of respects. Firstly, the virtual brand, in this case ‘*preen*’ was developed wholly in the virtual 3-D world ‘Second Life’ for use within this world in its original and natural state. It did not depend or refer to a real world brand or product. Its existence was independent and continued to exist in-world when LaRoche was offline. Secondly, it was personified by an in-world identity, Aimee Weber, which interacted with the virtual world and acted in some respects as a Published: January 2010 in Management Online REview , www.morexpertise.com ISSN 1996-3300 4
  • 5. celebrity endorsement. Thirdly, it was attached to an in-world product that had real economic value. There was a purchase price for the ‘*preen*’ fashions which could be converted in to a real world currency. The brand captured both the imagination and emotional attachment of real-world consumers. Second Life members assume a generic avatar when they first enter Second Life. Fourth, they choose to purchase and wear ‘*preen*’ avatar clothing. Aimee Weber, the in-world personification of the ‘*preen*’ brand was successful in achieving legal protection under US Trademark law in November 2008. Furthermore, LaRoche may choose to generate additional revenues from licensing or selling her designs in the real world or in a post-modern twist place her product in the real world as a marketing strategy to generate in- world sales. Figure 4 outlines an embryonic framework suggesting how managers might manipulate virtual brand meaning in-world while real consumers emotionally empathise with the virtual brand. Figure 4. Praxis of Brand Precession At its core, the virtual brand personality is not only the traditional attribute of the brand but includes, in the case of virtual worlds, the personification of an in-world avatar as the brand proponent or in some instances the master brand. This is a significant difference to traditional brand marketing where the constraining resource may be access to a personification of the brand who in many instances is a celebrity. In the virtual world, the marketing practitioner can literally create their brand personification to meet specific audience needs. Once the brand personality has been developed, the competitive domain must be selected, in this case the virtual medium. At this early stage of brand precession, we have focused on virtual brands in both fictional worlds and computer-synthesised virtual worlds such as Second Life, Habbo Hotel, and Club Penguin. There are an increasing number of virtual worlds of significant size catering for a wide range of target audiences – careful selection of virtual medium is recommended. Once the virtual brand has been placed in the medium, consumers will engage with the medium, and will begin to develop an image of the brand which can be further refined through brand development activities. These activities should be mutually reinforcing with the audience of virtual medium to the point that consumers wish to Published: January 2010 in Management Online REview , www.morexpertise.com ISSN 1996-3300 5
  • 6. purchase the brand and products associated with the brand. It is at this point that the seller or brand developer must have the means to protect and monetise the brand. The “tangibilisation” of the brand occurs once the trademark is being registered and/or while the brand is being monetized. 5. Discussion The case of ‘Duff Beer’ highlights the danger of uncontrolled virtual brand creation. Warner Brothers’ fictional brand still has potential, although somewhat impaired, but Contreras and Haacht (until legal action was taken by Warner Bros) had a trademarked brand which was deriving economic value for Contreras and Haacht and not Warner Brothers. This example illustrates that while some virtual brands may have economic consequences, they are not economically valuable in themselves unless acted upon in the real world. Considering that a beer brand, such as Budweiser, can have a brand valuation of over US$11bn2, ‘Duff Beer’ serves as a cautionary tale to highlight the importance of identifying virtual brands as early as possible and, where possible, of protecting those brands for future applications. While the method of product placement has arguably been around since the birth of film (Newell et al. 2006), reverse product placement is a relatively new concept. The convergence of the physical and virtual worlds through gaming devices and software such as Sony PlayStation Home requires the marketing community to consider whether brand development in these virtual worlds is merely a matter of reverse product placement or something else entirely. Unlike Second Life, Sony PlayStation Home supports the sale of clothing for player avatars and furniture for virtual homes from an online Sony store. We contend that brand precession represents a new marketing phenomenon and therefore requires new approaches. As with reverse product placement, we posit that it is necessary that consumers feel a connection to the virtual brand in order for the brand to succeed. This can be achieved in the personification of the brand through an avatar persona that exists in and engages with the virtual world. One major concern would be the life of the virtual brand, and whether or not it will have enduring qualities of a real one once the novelty has worn off. References Aaker, D. A. (1991). Managing Brand Equity - Capitalizing on the Value of a Brand Name. New York, Free Press. Au, W.J., (2008) The Making of Second Life, New York, HarperCollins. Baudrillard, J. (1988) “Simulacra and Simulations” in Selected Writings, ed. Mark Poster, Stanford, Stanford University Press: pp.166-184. Brown, G. (1992), People, Brands and Advertising, New York: Millward Brown International Brown, S. (1995). Post-modern Marketing. London, Routledge. Edery, David. (2006). Reverse Product Placement in Virtual Worlds. Harvard Business Review 84(12): 24. Firat, A. F., Dholakia, N., Venkatesh, A.,. (1995). "Marketing in a Post-modern World." European Journal of Marketing, 29(1), 40-56. 2 Source: http://www.interbrand.com/best_global_brands.aspx as accessed on 17/01/2009 Published: January 2010 in Management Online REview , www.morexpertise.com ISSN 1996-3300 6
  • 7. Hosea, M. (2007). Fantasy brands on a reality check. Brand Strategy. 212: 24-29. Kapferer, J.-N. (1995). Strategic Brand Management: New Approaches to Creating and Evaluating Brand Equity. London, Kogan Page. Keller, K. L. (1998). Strategic Brand Management. Upper Saddle River, N.J. Prentice Hall. Kotler, P. and K. L. Keller (2006). Marketing Management Upper Saddle River, NJ, Pearson, Prentice Hall. LaVallee, A. (2006) Now, Virtual Fashion - Second Life Designers Make Real Money Creating Clothes For Simulation Game's Players, Wall Street Journal, http://www.americanapparel.net/presscenter/articles/20060922wsj.html Lury, C. (2004). Brands: the Logos of the Cultural Economy, Routledge, Muzellec, L. McDonagh, P, « Ceci n’est pas une Brand! » : Post-Modernism and Brand Management, the case of Red Apple Cigarettes , 36th European Marketing Academy (EMAC) Conference, 22-MAY-07 - 25-MAY-07, Reykyavik (ISL) Newell et al. (2006) The Hidden History of Product Placement. Journal of Broadcasting & Electronic Media, 50 (4): 575-594. LAURENT MUZELLEC Dublin City University Business School e-mail: lmuzellec@gmail.com Dr. Laurent Muzellec is a lecturer in Marketing at Dublin City University Business School and a brand consultant to a number of small to medium sized companies. His main research interests pertain to the field of strategic brand management. He has published in leading marketing journals including the European Journal of Marketing and Industrial Marketing Management. His most recent research focus is on the managerial applications and the theoretical implications of brands in virtual and fictional worlds (see: http://defictionalised.wordpress.com in collaboration with Theo Lynn). THEO LYNN Dublin City University e-mail : theo.lynn@dcu.ie Dr. Theo Lynn is the Director of the Learning, Innovation and Knowledge Research Centre at Dublin City University. He teaches strategic thinking at postgraduate level at DCU Business School. His research interests include corporate governance and the impact of Internet technologies on strategic processes. A specialist in educational technologies, Dr. Lynn has established and sold a number of companies including Enki Information Systems, Educational Multimedia Group and most recently, Global Grid for Learning (part of Atomic Assets). He advises a number of domestic and international companies. Published: January 2010 in Management Online REview , www.morexpertise.com ISSN 1996-3300 7