Wall Street Journal declares "Branding" is more important than ever

In a recent WSJ article entitled, "The Wrap: consumers do spend on innovative goods" the newspaper declares that consumer spending is not dead in this recession, rather it is becoming more selective as money is tight and waste cannot continue in this new paradigm.

I was surprised by this revelation, as it is not really anything new. Consumers have always made selections of goods based on what fulfills their needs, desires and emotions.

What seems to have changed is that consumer products' companies are waking up to the fact that just creating tons of "me-too" products that do not provide meaningful reasons for being in consumers' minds no longer works. These companies got lazy finding the robust economy would absorb many useless products and services that did not provide any differentiation from what was already available.

Differentiation and uniqueness along with tapping into consumers' emotional needs has always been key to successful products and services. Many of us call this "Branding": creating a core reason for being for any product. Too many companies cut back on R and D in the last recession and failed to bring to market anything very interesting and innovative to consumers. Sony Electronics is a prime example of this. A company once known for innovation, it became almost an afterthought in the past decade.

A few companies have always understood the need for meaningful differentiation. Apple tops the list in my mind and in many ways they have replaced Sony as the master electronics innovator. Actually, left them in the dust like the endless line of useless jets airlines no longer use that sit in the desert somewhere in the US west.

Contrary to the WSJ piece, we are not entering a new era of marketing. Rather, we are experiencing a re-awakening of marketers brains to the fact that "old school" marketing is still important...more than important...mandatory for success in the world of consumer products. I am relieved to hear this news. Faux branding is dead. Real branding is about to take its rightful place at the top of the marketing world again. Consumers rejoice.

Watching out for you everyday.

Eli