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Cover Story.
Hilmy Cader was the Chairman of the Panel of Judges at the 1999 SLIM Awards.
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Interview with Hilmy Cader "BRAND MARKETING IS UNDER ATTACK!" Hilmy Cader knows brands like the back of his hand. As chairman of the awards committee at last year’s SLIM awards, and as a marketing consultant to many multinational corporations, he knows exactly why brand marketing is coming under increasing scrutiny. LMD asked Mr. Cader for his thoughts on the forces that shape modern branding and how marketers can be more accountable.Q: HOW HAS THE ROLE OF BRAND BUILDING CHANGED? A: THE PURPOSE OF BRAND BUILDING - AS THE ROUTE TO LONG TERM SECURE BRAND PROFITABILITY - STILL REMAINS UNCHANGED. THIS NEEDS TO BE PURSUED. HOWEVER, TODAY THERE IS GREATER PRESSURE TO ACHIEVE SHORT TERM RESULTS. THE STOCK MARKET AND THEIR PURSUIT OF SHORT TERM TRADING GAINS, HAS PRECIPITATED A VICIOUS EFFECT. CEO'S KEEP PLAYING FOR THE NEXT QUARTERS STOCK PRICE. LINKED TO THIS, IS THE INCREASING JOB TURNOVER OF MARKETERS. WHICH MEANS, THEY LOOK FOR SHORT TERM IMPACT
Q: HOW SHOULD MARKETERS RESPOND TO INCREASING PRESSURE FOR SHORT TERM RESULTS? A: 1. RECOGNISE THAT THIS PRESSURE IS HERE TO STAY. IT WILL AMPLIFY IN THE FUTURE. 2. SPEND TIME AND RESOURCES WORKING ON BOTH SHORT TERM AND LONG TERM INITIATIVES AT THE SAME TIME. INVEST IN THE FUTURE. 3. IN THE INEVITABLE SITUATION OF HAVING TO USE SHORT TERM ACTIVITIES, ATTEMPT TO INTEGRATE SOME FORM OF BRAND EQUITY AS PART OF THE SHORT TERM PROPOSITION. 4. REALISTIC EXPECTATIONS. FOCUS, FOCUS, FOCUS ON YOUR KEY CAPABILITIES, RATHER THAN PURSUING ALL SEGMENTS!
Q: WHAT MUST THE 'BRAND GUARDIANS' BE FOCUSED ON? A: TODAY, THE BRAND GUARDIAN (RATHER BRAND-CENTRIC MANAGERS) ARE MORE FOCUSSED ON SHORT TERM RESULTS, FANCY A&P CAMPAIGNS, WITH NO SENSE OF MARKETING ACCOUNTABILITY. INFACT, THE WHOLE OF THE MARKETING PROFESSION IS UNDER ATTACK (IN SURVEY AFTER SURVEY WORLDWIDE) FOR THE LACK OF MARKETING ACCOUNTABILITY. BRAND MANAGERS SHOULD BE HELD ACCOUNTABLE FOR THE EQUITY VALUE OF THE BRAND, NOT JUST ANNUAL SALES. WHICH MEANS, BRAND EQUITY NEEDS TO BE MEASURED. IN ADDITION TO THE TRADITIONAL BRAND MANAGEMENT ROLE, IT APPEARS THAT WE NEED A HIGHER OR INDEPENDENT AUTHORITY IN THE ORGANISATION TO PLAY THE ROLE OF BRAND EQUITY MANAGER. SIMILAR TO THE ROLE OF QUALITY CONTROL MANAGER.
Q: SHOULD AD AGENCIES BE EQUALLY ACCOUNTABLE? WHY A: Absolutely. But it takes two hands to clap! If and when brand managers (and the rest of the marketing hierarchy) are held accountable for their brand investments and the resultant brand equity, they will in turn demand greater accountability from their Marcom service providers. And it will continue to have a vicious, but positive impact in all aspects of business. Good market research is fundamental for this process. It also calls for a cultural change, rather a cultural revolution in some cases! Q: IS THE ADVERTISING AGENCY READY FOR THIS CHALLENGE ? A: Traditional Ad Agencies (offering traditional mass media solutions) are certainly not. Neither is it fair to expect them to do so, given how they are managed by clients.Greater marketing accountability will call for integrated marketing communication solutions - based on consumer life style and buying habits. Some agencies are making the change and these agencies will have a head start. The message is simple: Do Lunch or Be Lunch Q: WHAT ARE THE BEST EXAMPLES OF BRANDS THAT HAVE STOOD THE TEST OF TIME? A: A quick look at the Inter-Brand's top global brands will show that brands like McDonalds, Coca-Cola, Disney, Kodak, Sony and Gillette have stood the test of time. Even in Cyberspace, these brands have a better chance of success than the cyber-born brands. There is no alternative to trust built up over the years (provided the brand values are still relevant to the current consumer) In the Sri Lankan context: Anchor Milk, arguably the biggest brand in the country, has continued to gain market share in a category where promo-addiction is the norm. Dilmah is doing a great job building a global brand, in category that is fiercely competitive. While most of the Sri Lankan brands of tea are busy cutting prices and selling generic versions in the global market, the Dilmah brand is growing stronger. Hilmy Cader is Marketing heads Marketing Technologies International, headqartered in Baahrain. Reach him at hilprote@batelco.com.bh |
