cult branding

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Cult Branding



Defining CULT

• A religion or religious sect generally considered to be extremist, with its followers often living in an unconventional manner under the guidance of an authoritarian, charismatic leader.

• Obsessive, especially faddish, devotion to or veneration for a person, principle, or thing.

• An exclusive group of persons sharing an esoteric, usually artistic or intellectual interest.

Dictionary.com


CULTS - A social analysis

• Cult Organisations - Jehovah’s Witness, The Moonies, Maharishi Mahesh Yogi, Scientologists

• These cults have fine-tuned marketing to hook into the nuances of human nature

• Cults have a closed boundary.You’re either in or out.This creates passionate solidarity.

• It’s actually not that easy getting into a cult. There is a definite process to joining.

• Cults have strong central ideology and leadership.This fosters alignment and clarity.

• Cults are a parallel social universe with their own rituals, relationship structures and experiences. This binds individuals to the cause.

“How Cults Seduce” by Alex Wipperfurth & John Grant


CULT Brands

• Cult brands are spheres of influence• Primarily, they wield an influence over consumers’

purchasing decision.– They get repeatedly chosen over competition– They bring higher prices than competition– Week after week, month after month, year after year

• Cult brand consumers not only use the product, but evangelize to the world about it.

• Cult brands exhibit a high degree of consumer loyalty

• Cult brands have a locked-in cadre of consumers who will come back with more business - a core group of happy, repeat purchasers

“The Power of Cult Branding” by Matthew W Ragas & Bolivar J Bueno


Case Studies

Global Cult Brands


Harley Davidson

• Harley-Davidson stirs passion in its riders, its dealers and its employees, and translates that passion into profit.

• More than half of new Harley sales are to old consumers trading up

• 886, 000 strong HOGs community• HOG = Harley Owners Group• HOGs organise rides, training courses, charity fund-

raisers, social events• Riders Edge - A 3 day driver’s training course

organised by dealers for new motorcycle riders • Harley's appeal straddles class boundaries, stirring the

hearts of Hells Angels and corporate titans alike.


Apple Computers

• Locked into profitable niches – the multimedia community

• Changed the relationship between human & computer - high emphasis on aesthetics & design– 40% of new orders come from first time PC buyers– Tag line - “Imagine”

• Use cult media - Apple T-shirts / mugs - to refresh company allegiance– T-shirt size field on job application

• Thousands of users show up at computer stores and other public places all the time, for free, to evangelize about Apple’s products and their love of the brand.


Starbucks

• The cult of coffee...• The third place in a consumer’s daily existence - a

familiar & welcoming refuge from work or home where they can relax in a safe public setting and enjoy a sense of community

• A retail experience that revolves around high-quality coffee, personalized knowledgeable service, and sociability.

• Consumers in a dozen countries associate the Starbucks brand with:– coffee

– accessible elegance

– community

– individual expression

– control


The Body Shop

• Famous for creating a niche market sector for naturally inspired skin and hair care products

• The Body Shop sells a product every 0.4 seconds with over 77 million transactions through stores worldwide, with customers sampling a range of over 600 products and more than 400 accessories

• Mission - To courageously ensure that our business is ecologically sustainable: meeting the needs of the present without compromising the future.


Summary

• Cult Brands are identified by consumer passion & excitement around the brand

• They are self consciously different from rivals• In addition to product / service quality, cult brands fulfil

the high level needs of esteem, social interaction and self actualisation found at the top of Maslow’s pyramid

• They form deep & lasting emotional bonds with consumers

• Cult brands project an aura / group identity • They beget evangelists - consumers are owners - go all

out to promote the brand


Why do cult brands thrive?

• Fragmented society - break down & distance in relationships

• Relationships between brands & consumers have become more complex– High consumer knowledge– Greater choice– The death of passive consumption - consumers want their

brands to become a form of self-expression – Basic human need for security, belonging and social

interaction• Consumers look toward brands to fulfil these needs


Cult Branding Activities

• Clearly differentiate the brand from other service providers

• Create a strong, central ideology that gives the brand much larger meaning– attracts target consumers as they sense a kinship– makes fans out of fickle consumers

• Build on a mass of loyal consumers – who frequently consume the brand’s services– who are unsusceptible to bids by potential rivals– willing to pay a premium to access the brand

• Create a community of evangelists who actively reach out to new consumers / break the barriers of acquisition– reducing customer acquisition costs substantially


In Summary

• A Cult Branding strategy is expected to fulfill a major set of brand objectives

• However it entails a seismic shift in thinking & operating

• The challenges for brands – to abandon mass for niche– to evolve a focused targeting strategy - Building the brand

one consumer at a time– delivering on ‘over’ promises – sharing power with consumers


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