Introduction
In a recent episode of The Places We’ll Go Show, marketing luminary Professor David Aaker shared his insights on the role of social purpose in driving brand success, particularly highlighting Unilever’s Hellmann’s brand. Aaker, often referred to as the father of modern branding, discussed his career, key lessons in branding, and his views on the importance of social purpose for brands.
The Journey of a Branding Legend
Professor David Aaker’s interest in branding was sparked during his undergraduate studies at MIT, where a course in advertising captivated him. This fascination laid the foundation for a remarkable career in branding and marketing. Aaker is widely recognised for his contributions to the field, including the development of the brand vision model and his extensive writing on brand equity.
Key Lessons in Branding
Aaker emphasised the importance of building long-term assets over focusing on short-term financial gains. He noted that companies often fall into the trap of prioritising immediate results at the expense of sustainable growth. “I came to believe that companies were too focused on short-term financials and they weren’t building assets,” Aaker explained. “That was really the key to long-term strategy.”
The Evolution of Brand Equity
Aaker’s conceptualisation of brand equity has evolved over time. Initially focused on brand awareness, Aaker now emphasises brand relevance, which includes visibility and credibility. He also highlighted the significance of brand loyalty, which he believes should be integrated into the concept of brand equity. “Loyalty just struck me as being something that really you had to include in brand equity,” Aaker stated. “It involves everybody in the company, from product developers to those managing the service experience.”
The Role of Social Purpose
One of the most compelling parts of the discussion was Aaker’s take on the role of social purpose in branding. He expressed concern over Unilever’s potential retreat from its leadership position in purpose-driven branding. Aaker defended Hellmann’s campaign against food waste, which garnered six billion views, as a prime example of how social purpose can energise a brand and drive its success. “Think of the energy, image lift, momentum, and involvement they achieved,” Aaker noted. “They immeasurably changed food waste.”
Unilever’s Approach
Aaker praised Paul Polman, former CEO of Unilever, for encouraging brands to consider adopting a social purpose. “Polman never said every brand had to have a purpose, but if they could find one that works and helps them, they should do it,” Aaker explained. This approach has led to successful campaigns like Dove’s Real Beauty, which Aaker described as “the most impressive programme” in the last two decades, significantly boosting the brand’s sales and reputation.
Competing in a New Era
Aaker also addressed the challenges faced by emerging brands in a market dominated by giants like Amazon. He outlined strategies for competing effectively, such as showing passion and credibility in a specific area, simplifying choices for consumers, and cultivating a unique personality. “There are things you can do that will look at the Amazon liabilities or handicaps and turn them into advantages,” Aaker advised.
The Power of Stories
The discussion also touched on the importance of signature stories in branding. Aaker stressed that stories can cut through the information overload and media clutter, engaging consumers in a way that traditional advertising often fails to achieve. “Stories get through because if you have a really interesting story, people will share it,” Aaker explained. “It’s just a story, why would you counter-argue a story?”
Differentiation vs. Distinctiveness
An age-old debate in marketing is the effectiveness of brand differentiation versus brand distinctiveness. Aaker clarified that both are essential but in different contexts. Differentiation focuses on creating a unique value proposition, while distinctiveness involves building memorable brand assets. “You don’t win by having my brand preferred over your brand; you win because my brand is the only brand that does what you want to have done,” Aaker concluded.
Conclusion
Professor David Aaker’s contributions to the field of branding are unparalleled. His emphasis on the importance of building long-term assets, the evolving nature of brand equity, and the power of social purpose and storytelling offer valuable lessons for marketers. As brands navigate the complexities of the modern marketplace, Aaker’s insights provide a guiding light for achieving sustainable success.
You can watch the full episode here: https://www.youtube.com/watch?v=7YvQO8A88vo&t=1s
