This document provides an introduction to the concept of brand equilibrium. It describes brand equilibrium as a condition where all competing brands use the same objectives, tools, and operational methods, resulting in no perceived differences between brands. This dulls any competitive advantages. As an example, it notes that within the mobile network sector, any temporary advantages are typically replicated by competitors within 3-12 months. The document recommends that brands break equilibrium by committing to a unique strategy, products, and ambitions rather than trying to directly match competitors. This allows advantages to be developed by doing things differently.

1. Introduction to Brand Equilibrium
An insight into a common threat for brands within highly
competitive, yet well established, sectors
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2. What is Equilibrium?
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- A condition in which all acting influences are
cancelled out by others.

3. Equilibrium: An insight story for brands
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4. Equilibrium: An insight story for brands
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5. Equilibrium: An insight story for brands
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6. The Brand Equilibrium Insight
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When all the brand competitors use the
same objectives, tools and operation
methods, the result is equilibrium.

7. Equilibrium: An insight story for brands
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Brand Positioning
Customer Service
Products
Retail
Environment
Brand Equilibrium: When consumers can’t perceive
or articulate a significant difference between
competing brands

8. Marketing : ‘Mature markets see rapidly replicated competitive actions, dulling difference or advantage’
Equilibrium demonstrated within the mobile network sector
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Network Data
Speed
Network
Coverage
TariffsHandsets
Customer
Rewards
Hypothesis: Within 3-12 months, any temporary advantage is cancelled out by competitors replicating benefits
Core Operational Functions: ‘Hard to develop, but possible to replicate’
Customer
Service
EEVodafone 3O2
Core competitors become stratified into a Corporate Oligarchy: ‘Gaining market share becomes rare’
80%+ of a market becomes controlled by the big 3-5 brands; e.g. banking, multi-channel TV, broadband, energy and mobile
Similar Brand
Positioning
Homogenous
Objectives
Traffic Light Failure
Green KPI’s = no
change
Levers produce
little change
Trap of Gravity
Repeat same
again
Hypothesis: Within 3-12 months, any temporary advantage is cancelled out by competitors replicating benefits
Standard
KPI’s match

9. The solution
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Brand Positioning
Customer Service
Products
Retail
Environment
The solution is committing to a different path.
Defining a different ambition
for your brand and using
original insight, a unique
strategy, innovative
products and by not
trying to match your
Competitors or appeal
to every consumer.
Having a brand conviction
for a different, distinctive
and sustainably better way.

10. Breaking Brand Equilibrium
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Advantage starts when a brand does things differently.

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Blog: http://www.brandtao.co.uk
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