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To be trusted is a greater compliment than being loved. more profitable, too! | warc.com

To Be Trusted Is a Greater Compliment Than Being Loved. More Profitable, Too! | warc.com > The Warc Blog
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Brand Keys, Inc
What’s the first thing that a consumer thinks of when they hear the phrase “product recall?” “Danger?” “Peril?” “Injury?” “Doesn’t Cousin Jerry handle class action lawsuits?” Whatever particular Marketing
thought ran through your mind, it likely wasn’t good, Warc Conferences
Thomas Carlyle would have said, ‘the thought is the Bloggers
parent of the deed.” Brand Keys would say, “Uh oh, this is definitely going to affect customer loyalty, sales, and profitability.” We’d say that because our metrics are leading-indicators of consumer behavior and Anupama Wagh-Koppar
always play out in the marketplace. Currently our 2011 Customer Loyalty Engagement Index is in field and we’ll know for sure how J&J brands will rank Carlos Grande
in the OTC Allergy and Pain Relief categories in a couple of weeks. But we can tell you now it’s not likely they’re moving up from where they found Tylenol (and many of their other brands) was a brand consumers loved. It headed up our loyalty and engagement lists in January 2010. But recalls of Tylenol allergy, cold, sinus. 8-hour, arthritis pain, extra strength, PM, Other Blogs We Like
children’s, infants, meltaways, Rolaids, Rolaids softchews extra strength,Adult Benadryl, Children’s Benadryl, Sudafed, Sinutab, Motrin Jr., IB, children’s, infant’s, Children’s Zyrtec, and Zyrtec itchy eye-drops set off a rankings avalanche that we hadn’t seen since BP tried to single-handedly kill Brand Tarot
the Gulf of Mexico. No, it’s pretty much a sure bet that these recalls guarantee that J&J brands, at the bottom of the end-of-year 2010 lists, won’t Follow us on
be moving up in the standings when we post the 2011 rankings.
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Marketing to Women Online
Last year, ‘Brand Trust’ made a really high contribution to category engagement, loyalty, and profitability. Much, much more than ‘Product The Keyhole: Peeking at 21st Century
Efficacy,’ which is seen to be ‘table stakes’ these days. And, as we’ve often The Origin of Brands Blog
pointed out, consumers with aches and pains, coughs and colds, watery eyes, and wonky stomachs aren’t sitting around suffering waiting for J&J to get their act together and for drugstores to re-stock shelves with J&J Under the Radar
products. No, they’re buying something else. And, because most well-known products (in most categories) have turnedfrom “brands” into “category placeholders,” i.e., products of which consumersare aware, but don’t really stand for anything in their minds beyond categoryefficacy, drugstores are taking advantage of the situation to highlight generic, http://www.warc.com/Blogs/To_Be_Trusted_Is_a_Greater_Compliment_Than_Being_Loved._More_Profitable,_Too!.blog?ID=1295 To Be Trusted Is a Greater Compliment Than Being Loved. More Profitable, Too! | warc.com usually drugstore-branded alternatives that turn out to be seen to be just aseffective as any “branded” product. But cheaper with the added-advantagethat it’s not part of a massive national recall and an FDA probe.
Experts have suggested that the diversity and scale of the J&J recalls areeither due to a systematic failure in manufacturing quality control or the resultof cost- cutting—unlike the Tylenol poisonings, which was not the brand’s faultand to which the brand reacted swiftly, keeping consumer trust. And while itmay take a lot of money to ensure quality products, trying to buy back brandtrust is a near-impossible and awfully expensive proposition. There are 0 comments on this blog
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Source: http://brandkeys.co.uk/PDF/012011WARC-TrustvsLove.pdf

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