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Glasshouse Partnership - Transparency And Branding

The presentation describes a move from brand opacity (obscuring knowledge, to build brand premiums) through translucency (offering sneak peeks to support brand story telling), to fully-fledged transparency (a free and open information exchange with stakeholders).

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Glasshouse Partnership - Transparency And Branding

  1. 1. : The past, present and future of transparency. “Infodemocracy, and what it means for your brand”
  2. 2. Remember The Good Old Days? What is it? Who made it? What’s it made from? What does it taste like? $5 Where does it come from? How can I get one more cheaply? Who would drink a beer like this? 2 © Copyright Glasshouse Partnership
  3. 3. 1950s-70s. The Opacity System…Focused on features and benefits. A great model for an industrial economy. •  Opaque customers – marketing is based on inspired guesswork •  Opaque products – any colour you like, as long as it’s what we have in stock •  Opaque organisations – a golden age for conglomerates and aspiring monopolists •  Opaque markets – persuasion ethos. Consumers trapped by choice, location, transportation and social class 3 © Copyright Glasshouse Partnership
  4. 4. Brand value = Opacity Premium (n) Branding: the art of making money by concealing knowledge from targeted customers 4 © Copyright Glasshouse Partnership
  5. 5. Opacity heroes… 5 © Copyright Glasshouse Partnership
  6. 6. So why on earth would you change all that…? Opacity: •  Enhances economic premiums •  Protects competitive advantage •  Develops deep emotional bonds and repeat purchase •  Obscures dubious sourcing, pricing and employment practices 6 © Copyright Glasshouse Partnership
  7. 7. So why change…? STOP PRESS… Retailers Because Opacity: start to •  is anti-customer destroy opaque •  locks you into a single static proposition brands by copying •  blindsides you to alternative value models SUPERFICIAL FEATURES… Opaque Brands concentrate and multiply risk 7 © Copyright Glasshouse Partnership
  8. 8. 8 © Copyright Glasshouse Partnership
  9. 9. (n) Branding: the art of making money by selectively sharing knowledge with self-selecting customers 9 © Copyright Glasshouse Partnership
  10. 10. 10 © Copyright Glasshouse Partnership
  11. 11. So why on earth would you change all that…? 11 © Copyright Glasshouse Partnership
  12. 12. So why change…? STOP PRESS… •  is grounded in stories - not stakeholder Consumer needs or organisational purpose advocates destroy •  is still anti-customer – just selling translucent brand bigger dreams advantage by •  still locks you into static propositions – telling MORE only with higher cost of change TRANSPARENT •  still blinds you to alternative models – STORIES… only reinforcing self-delusion…. Translucent brands defuse and diffuse short-term risk at the expense of long-term risk 12 © Copyright Glasshouse Partnership
  13. 13. “What does the future hold ?”! 13 © Copyright Glasshouse Partnership
  14. 14. But isn’t transparency a really bad thing…? Jetbluehostage.com Flickr.com/photos/filthywalmart Greenpeace.org/apple Exposeexxon.com Complane.typepad.com Ikeasuckz.blogspot.com 14 © Copyright Glasshouse Partnership
  15. 15. Only if you fight it… You can always engage, answer criticism, respond, adapt, collaborate… Open your doors, invite stakeholders in and start to learn… 15 © Copyright Glasshouse Partnership
  16. 16. MARTINI DIALOGUE PUBLIC PASSIONS Individual Social Identity Identity THE BROADCAST SELF SOCIAL NETWORKS 16 © Copyright Glasshouse Partnership
  18. 18. COMPETING VALUE-WEBS CORPORATE CITIZENSHIP Internalise Externalise externalities internalities ACCOUNTABLE PROCESS-CHAINS INSTITUTIONAL LISTENING 18 © Copyright Glasshouse Partnership
  19. 19. LEAN PRODUCTION CONSUMER INFOSTREAMS Individual Collective efficiency effectiveness PERFECT INFORMATION CROWD CLOUT 19 © Copyright Glasshouse Partnership
  20. 20. Intention Aggregation Potential for Intention Economics Social Marketing Potential for Social Marketisation 20 © Copyright Glasshouse Partnership
  21. 21. In summary: the twin forces of transparency… The Marketisation of everything The New “Social Market” The Socialisation of everyone 21 © Copyright Glasshouse Partnership
  22. 22. (n) Branding: the art of making money by improving decisionflow for any stakeholder 22 © Copyright Glasshouse Partnership
  23. 23. The rules of the new social market: “Information Symmetry” 1.  Products: Whatever must be known can be known 2.  Markets: Whatever can be known, must be made known… Infodemocracy 23 © Copyright Glasshouse Partnership
  24. 24. The rules of the new social market: “Social Symmetry” 1.  People: Whoever must be known, can be made known 2.  Organisations: How you know matters more than who you know Sociodemocracy 24 © Copyright Glasshouse Partnership
  25. 25. Prediction: This Social Market will play host to two long wars: Power: Who will be in charge of brands? The war for primacy between demand-side intentions and supply-side resources Control: Who will get most value from individuals’ assets? The war for control of social information 25 © Copyright Glasshouse Partnership
  26. 26. Who will win the wars? 2 predictions: The Brand War 2020 ‘superbrands’ will be the best interpreters of demand-side signals, not the best spinners of supply messages… The Identity war 2020 ‘superpeople’ will be empowered to actively manage personal and social ROI from their actions and intentions. 26 © Copyright Glasshouse Partnership
  27. 27. The Democratisation of brands The New The Marketisation “Social The Socialisation of everything Market” of everyone The Liberation of the individual 27 © Copyright Glasshouse Partnership
  28. 28. Scepticism Listen Learn Integrity Wider Deeper Assurance History Future Collaboration 28 © Copyright Glasshouse Partnership
  29. 29. 10 Don’ts for your Corporate Marketing 1.  rganisational Scepticism: Don’t drink the koolaid. Be O sceptical of your own organisation. The rest of the world will be. 2. Keep listening: Don’t assume that what you say is what get’s heard. Understand the implications of your brand. 3. Keep learning: Don’t assume that your brand standards are good enough. Align expectations, promises and performance – constantly. 29 © Copyright Glasshouse Partnership
  30. 30. 4. Brand Integrity: Don’t imagine you can actually manage reputation. Focus on managing your conduct. 5. Go deeper: Don’t stop with brand audits and endorsements. Strive for brand assurance. 6. Go wider: Don’t stop at pleasing customers. Understand all your stakeholders’ needs and understand your value propositions to them. 30 © Copyright Glasshouse Partnership
  31. 31. 7. Brand Assurance: Don’t promise. Deliver, and prove you’ve delivered. 8. Think future: Don’t just protect license to operate. Build your ‘license to innovate’ by engaging with critical permission-brokers. 9. Think history: Don’t copy. Use your own history. Empower your hidden assets: product backstory, human expertise, supply-chain processes and corporate purpose. 31 © Copyright Glasshouse Partnership
  32. 32. 10. Stakeholder Collaboration: Don’t compete on the resources you own; compete on the resources you can connect. 32 © Copyright Glasshouse Partnership
  33. 33. Speaker biography Tim Kitchin, Partner Stakeholder Strategist Tim Kitchin is a broad-based brand communications expert with extensive experience of CSR, environmental and policy-making arenas. His passion is to help organisations develop deeper, wider and more profitable stakeholder relationships. Tim is a founding partner of Glasshouse Partnership and an associate senior adviser to ethical thinktank AccountAbility, He is also member of brand think-tank, the ‘Medinge Group’, responsible for the annual ‘Brands with a Conscience’ awards, was a member of the international advisory panel for the UN Environment Programme’s ‘Talk the Walk’ initiative and special editor of the journal of brand management for its first issue on CSR. He was a co-author of ‘managing corporate reputations’ and ‘Beyond Branding’ (both Kogan Page). Tim leads Glasshouse’s brand integrity practice. Contact: timk@glasshousepartnership.com 33 © Copyright Glasshouse Partnership