MIKAEL STENBORG
I was born in Sweden but now I live on an island between Sweden and the Finnish mainland. The island is called Åland and belongs to Finland but is entirely Swedish-speaking. Åland is geographically and culturally close to both Finland and Sweden. You can say that Åland has taken the best from Sweden and Finland and thus formed its little island nation.
Åland is known for its beautiful archipelago. It offers incredibly good opportunities for sailing, and boating in general. Instead of swimming in a pool, you take your small boat and go out to one of the 6,700 islands that belong to Åland and dive in from the rocks. The archipelago both inspires and offers great subjects for those who like photography, like me for example. Professionally, I have filmed more than photographed, but I thought it was just as fun with still images. The important thing is to be able to frame what I see and find interesting.
my thoughts onBRANDS AND BRANDING
Let's get back to basics
Tired of all the buzzwords surrounding the marketing world? Me too. It's time to cut through the noise and get back to the basics. I've learned that marketing should be simple, straightforward, and focused on the obvious.
With the rise of AI and chatbots, it seems like the marketing game is changing every single day. But here's the thing: despite all these changes, the fundamentals of effective communication remain the same.
Good marketing is based on natural needs - be trustworthy, be helpful, talk like a friend to your audience but don't try to be friends with everyone.
Instead of chasing after the latest shiny thing, I believe in understanding your audience, speaking their language, and solving their problems. No complicated AI systems can replace good old-fashioned human connection.
So, don't overthink it – let's get back to basics and do marketing that delivers sustainable results.
We love stories
Our 12-year-old Weber grill is definitely in its final season. But it has done a good job and struggled in our tough climate both summer and winter. This last time it may be in a wheelchair because the legs are no longer carrying.
Storytelling
Humans are a storytelling species. Throughout history, people have gathered around the campfire to share tales of triumphs, challenges, opportunities, and emotions.
Stories are a powerful way to convey messages that resonate on an emotional level. A well-told story not only clarifies a point but also deepens understanding, providing valuable insights that help shape future decisions.
This is why storytelling is such an essential tool in marketing communication.
Take Weber, the iconic grill manufacturer, as an example: George A. Stephen, the inventor of the Weber Kettle, developed a passion for outdoor cooking during his time in the Army. In the early 1950s, Weber Brothers manufactured metal buoys for the Coast Guard. Frustrated with the limitations of traditional open-flame grilling, George had a breakthrough idea. He cut one of the Weber buoys in half, added three legs to the bottom, a handle to the top, and a cooking grate inside—and the Weber Grill as we know it was born.
Or consider Apple and Steve Jobs’ journey from the ground up. Many of the world’s most successful brands have built their strength on the power of their stories. As Simon Sinek famously said, “People don’t buy what you do; they buy *why* you do it.”
Storytelling can also capture the present. Every company has a narrative that can help build loyalty and connection with customers.
So, dig deep into your company’s history and present-day story, and use it to fuel your marketing. Reflect on what inspired your product or service. What values, challenges, or moments shaped what you offer? That’s where your story begins.
Your brand should be like a good friend
Customers want to buy from someone they know and trust. This means that your brand should be like a good mate; In other words, personal, reliable, pleasant, helpful, and also get in touch from time to time. If the brand succeeds in this, it is guaranteed to be stronger, which leads to you either selling more or being able to charge better.
No matter what media or channels you use, you'll have more effective communication if you follow these brilliant tips:
1. Find and tell stories that excitingly describe your business and use them in your marketing. Tell us about setbacks and successes, difficulties and victories. What were your thoughts when the company was started and what did you want to achieve? Man is a narrative species. How your brand is perceived is the sum of the stories of the brand. Therefore, it is more important who the brand is than what it is. It's the story, not the specification, that gives the brand a soul and meaning.
2. Brands that are rooted in a strong culture are chosen by people who want to share that culture. Target an audience you share interests with, your like-minded people, your tribe. If you work in tourism and like sport fishing, you can concentrate on the target group of anglers. You speak more or less the same language, have the same tastes in many areas and make roughly the same demands on life. This makes it easier to design the product and communication so that it clicks with the target group.
3. Think of each customer as an ambassador for your business. You've probably heard that before, but it doesn't hurt to be reminded of it.
Long-term brand advertising for growth and better margins
Consumer advertising has not progressed as much as one might think given the digital opportunities available today. Some of the world's leading marketing researchers, Les Binet and Peter Field, argue that marketing departments are too focused on short-term goals.
In consumer advertising, there has been an increase in sales activation advertising, which aims to get people to buy the brand immediately (such as discounts, sales, buy-one-get-one offers, etc.), at the expense of brand advertising, which aims to make people have a better opinion of the brand.
More emphasis should be placed on long-term brand advertising
This is not ideal because if we want to achieve growth and better margins, more emphasis should be placed on long-term brand advertising. According to Binet and Field, the optimal balance for companies is 60% brand advertising and 40% sales activation advertising. Online companies that sell through the internet already have an efficient sales channel, so they can go even further: reduce sales activation advertising to 25% and increase brand advertising to 75% of the total advertising budget.
There needs to be a constant replenishment of the customer base to prevent it from shrinking. So why isn't this being done? The problem is that the digital revolution relies on short-term metrics. Instead of striving for long-term growth and improved margins through brand advertising, big data leads marketers into short sales cycles and sales activation advertising, often targeted at existing customers. In other words, they dig deeper into the wallets of existing customers. And this happens in a customer base that is at risk of shrinking each year. Customers change interests, switch favorite brands, lifestyles, and preferences, move, age, and pass away. There needs to be a constant replenishment of the customer base to prevent it from shrinking. Therefore, it is necessary to target actions toward the entire market, not just current customers and followers. The broader you aim, the better.
Loyalty programs reduce margins
Combining sales activation advertising with loyalty programs does not make things better. Firstly, loyalty programs target already loyal customers who no longer need to be nurtured. Secondly, loyalty programs often lead to reduced margins because they usually consist of discounts and similar offers. Customers learn that they will receive special offers regularly. When you lower the price of a product, it becomes harder to sell it at a higher price later.
Be aware of the negative spiral
Certainly, sales activation advertising and loyalty programs can have their merits as part of the mix. Just be aware of the negative spiral that can be created. Loyalty programs solely target existing customers and take resources and money away from brand-building activities for future customers. As mentioned before, do not neglect brand work. After all, the brand is everything.