Most companies are experiencing that their B-t-C and/or their B-t-B markets changing fundamentally: as the consumers are changing their habits, the media and technology converge and new niche brands and no-label discount products are taking over marketplaces at worrying speeds.
Brands wishing to be, or continue to be, major players in this transformed marketplace must understand and react to these changes. Five major phenomena are calling for an entirely new approach to marketing, if not to the business of a corporation as a whole.
5 Simultaneous phenomena inducing change …
- the omnipresence of information technology
- the supremacy of the brand
- the media convergence, causing target groups to be increasingly impossible to reach through classical mass media
- the ubiquity of communications and entertainment
- and not least, the impact of the new generation are entering the marketplace, the demanding Generation Y! (the Millenials)
These phenomena provide the new outlines of and brand management: Emotional Branding. Communication based on creating branded experiences for consumers and managing the collective fascination and social coherence of the brand.
Tribes down the The ‘Long Tail’
In his 2004 article “The Long Tail,” Wired editor Chris Anderson applied an old economic concept to a new phenomenon: the substantial revenues generated when online retailers sell a greater number of niche products to a smaller number of consumers. The concept worked best as a two-variable chart: the number of products sold plotted against the number of products offered. And the simplicity of this chart—no software required—helped Anderson’s “long-tail” theory circulate via napkin, whiteboard, and other informal means to a vast number of people in the business community.
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