If traditional brands “focus on positioning their brands in the minds of their customers,” then “digital brands focus on positioning their brands in the lives of their customers.” That’s according to a new article in the HBR summarizing the results of a massive brand study.
As it turns out, digital disruptors attracting massive market share “engage customers more as users than as buyers, shifting their investments from pre-purchase promotion and sales to post-purchase renewal and advocacy.” Given the nature of what digital brands offer, the distinction makes good sense.
So what can traditional, established brands learn from digital brands, especially in the face of heightened expectations around customer experience? Think less like a purchase brand (creating demand to buy a product), and more like a usage brand (creating demand for the use of a product).
It's a powerful case for new thinking, and for change. Any one paying attention to the arrival of the CX wave -- and the accelerating convergence between marketing and CX (and in some cases, even HR), owes Siegel+Gale, SAP, and Shift Thinking a big thanks for their research.
Speaking of change, later this week I plan to post lessons learned from the recent AMA and CXPA forum I attended in Washington, D.C. The room was full of marketers, corporate communicators, and even graphic designers curious as to what CX really means, and why it is causing so much disruption in their sectors. They heard from both AMA and CXPA panelists who shared emerging answers to a fascinating question: What will marketing look like in 2023? Hint: Think CX and AI.
https://hbr.org/2018/02/the-most-successful-brands-focus-on-users-not-buyers