marketing

Coke is timeless. Pepsi is timely.

Coke is timeless. Pepsi is timely.

Branding Insights
One of a series by John Paulo Cardoso, Spyder Works Chief Creative Officer

As a designer and branding junkie, I have always been fascinated by the marketing machinations of Coca-Cola and Pepsi Cola. As two of the savviest and most successful marketing companies in the world, you might imagine that the two companies would have evolved a similar, shadow approach to branding. But, the way I see it, they come at it from totally opposite directions. Coca-Cola, whose logo probably would have looked the same on Noah’s Ark, has steadfastly traded on its timeless, iconic connection to consumers, while Pepsi seems to juggle the look of its red, white and blue logo like a waverunner. It seems to me that Coke’s branding follows its consumers while Pepsi tries to anticipate them.

Which approach is right for your company?

If your corporate culture is about leadership and maintaining an enduring relationship with your customers, the Coca-Cola model will focus you on consistency, connection and continuous improvement. If you have an aggressive hunter/disruptor culture, the Pepsi model of continuous re-invention will keep your people and your customers on their toes. It will encourage constant re-assessment and promote maverick thinking. My mantra to clients is to be true to who you are and reflect it in your branding and re-branding. If your culture is about continuous improvement, you’ll grow by enhancing and nurturing. If it’s about continuous re-invention, your corporate destiny is finding the next big thing.

Despite the Recent Headlines: Offer Still Outranks Price

Despite the Recent Headlines: Offer Still Outranks Price

Branding Insights

One of a series by John Paulo Cardoso, Spyder Works Chief Creative Officer & Founder

The big box retailers are singing the Amazon blues on a daily basis. They say that they can’t compete with Amazon’s model and the lower prices for commodities that it offers. While price is always important, I believe that the real issue is that their stores and brands just aren’t offering anything unique to engage customers.

Unless, of course, you are the retailer Loblaws. Currently, their President’s Choice (PC) brand is third on the Ipsos Reid list of Most Influential Brands in Canada…that’s 33 spots ahead of Loblaw’s itself.

The PC phenomenon speaks to the consumer’s relationship with a brand and its promise, versus that of a commodity. It also demonstrates that the power of the brand and branding can greatly outweigh the distribution channel and price.

It also explains why Loblaws calls PC the brand “worth switching supermarkets for”.

“Kraft Singles” out its Snack Division

“Kraft Singles” out its Snack Division

Branding Insights
One of a series by John Paulo Cardoso, Spyder Works Chief Creative Officer & Founder

There are no red flags with Kraft’s new name change. On Aug. 4, 2011, Kraft Foods Inc. (NYSE:KFT) announced plans to divide and create two independent public companies: a high-growth global snacks business and a high-margin North American grocery business. And now on March 21, 2012 they announced its plans for its snack food corporate name as Mondelez International, Inc.

As their press release describes it, “‘Mondelez’ (pronounced mohn-dah-LEEZ’) is a newly coined word that evokes the idea of “delicious world.” “Monde” derives from the Latin word for “world,” and “delez” is a fanciful expression of “delicious.” In addition, “International” captures the global nature of the business.”

What this demonstrates is that the company truly understands the strength of its brands and how they have built a relationship with customers. And now they are using this knowledge to manage the branding of its new independent company to leverage the platform “make today delicious.” The move to invent a new word and taking the time to let everyone know the phonetic spelling is the right thing to do for a multinational conglomerate rather than trying to leverage one of its current brand names. As the Chairman and CEO Irene Rosenfeld has said regarding the new global snacks company, “we wanted to find a new name that could serve as an umbrella for our iconic brands, reinforce the truly global nature of this business and build on our higher purpose – to ‘make today delicious.’ Mondelez perfectly captures the idea of a ‘delicious world’ and will serve as a solid foundation for the strong relationships.” Kraft Foods Inc. brands know how to build relationships with its customers and now it’s applying it to the market and investors.