Marty Neumayer Talks About Branding
The cut down from a live stream interview with branding master Marty Neumayer and in this video, he explains how the effectiveness of branding can be measured stay tuned to hear what his formula is on how to measure it how do you measure the effectiveness of branding in terms of ROI traditionally people say you can’t measure it because it’s too soft it’s too amorphous but you can measure it in terms of engagement with customers and you can measure that from year to year and it’s cheap and it’s almost free to do any company wants to do it my book The Brand Flip has a really good formula for that and it’s called the brand ladder and it measures how people regard your companies so how your reputation is doing so Chris what’s at the bottom of the ladder?
The bottom of the ladder is satisfaction right so our customers satisfied with the company and what they put out well that’s a pretty low bar these days right, yes satisfied means yeah they did what they do and you know I you know maybe I buy it again and then from there you go up to what the next step up is a delight.
So delight is when you’re going wow I didn’t know it’d be this good this is really cool and I’m going to tell my friends all right so you can measure that and the next one is engagement so an engagement you’re like there’s a customer going I love this company and I really feel like I belong with this brand with this I love this product let’s say Apple. I really an Apple person I really just buy everything they come out with because I know it’s going to be good I just even if I’ve never even thought of that before that category you know here comes an.
Apple Watch I didn’t even know I wanted to watch I’m going to get it right so that’s an engaged customer then from there you have three things that are engagement I want to point out to them automatic repurchase is how you can tell you abused with that question they launched a new thing I’m bought in the emotional attachment you’ve talked about this in many of your books about how when Steve Jobs passed away there was like vigils and people were like crying and just eulogies and all kinds of stuff there was an emotional attachment. You don’t feel that way about a lot of companies and the sense of belonging like I am an apple tribe guy and I know my PC friends I’m a Christian tribe guy, right I like that.
So what you’re doing though is you’re going beyond that you’re at the top level, yes here we are the top of the brand ladder is empowerment so that’s whereas someone who’s joined the brand which is what you do with brands you don’t buy them you join them. It’s saying, I don’t know what I would do without Chris Do helping me understand all this stuff I mean I wouldn’t be making as much money it wouldn’t be as happy.
I’m totally bought and my life wouldn’t be as good if you took that brand away from me so that’s at the very top um and the and your customers are going to be at all these different levels but you want to see how many have moved up to the top so that’s a way to measure the overall success of the brand to recap branding effectiveness can be measured through customer engagement and his formula for this was the brand ladder the four levels where satisfaction is a customer satisfied with the company and what they put out delight it’s so good that they tell people engagement they feel love for the company in a sense of belonging and empowerment.
Resource: The Futur