On Brand. Sony Brand Communication Strategy Zone Advertising Management Support

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Transcript of On Brand. Sony Brand Communication Strategy Zone Advertising Management Support

Good morning ladies and gentlemen,
My name is Maki Kumagai, Manager of Corporate AD at Sony Corporation.
I am very glad to be here to join you in discussing Sony brand. I would like to extend my gratitude to Ms. Harada for giving me this opportunity.
I would also like to congratulate you on your achieving the best consolidated half year operation profit and net income in 10 years. I was pleased to learn that Nissan Revival Plan has been very successful.
I have read in the recent article of Nikkei Newspaper that Mr. Gohn and Nissan people have started to take bold actions to strengthen centripetal power of Nissan Brand.
I have also heard that at the center of the so called NRP is an aggressive world-wide product launch plan with 22 all-new vehicles being introduced over three years. Two of the vehicles have been already introduced in Japan - the Bluebird Sylphy sedan and the Nissan X-Trail sport-utility vehicle.
I have already been exposed to your powerful advertising that promotes Nissan X-Trail Category Brand.
I would imagine that you are thrilled to strive for the challenge of launching and selling the series of new cars under Nissan brand and some different category brands in coming years to come.
Sony Brand Communication Strategy
Zone Advertising Management Support
Before starting my presentation, let me briefly explain about my assignment at Corporate AD, Sony Corporation.
The role of our small group of people is the corporate function of advertising.
One of our mission is Sony Brand Communication Strategy. It is to develop effective corporate advertising strategies and communication plans that enhance Sony brand to continue shining in the coming network centric era.
Second mission is Area Marketing Management Support.
- We help them to elevate Sony’s advertising quality in different markets by unifying the direction and message, while leveraging their local initiative in execution.
- We help them realize the most effective and efficient adverting structure in each region which enables Sony advertising to continue supporting business and enhancing brand.
The most valuable asset to this company is not its buildings, land, or even its employee. Our most valuable asset is the four letters “SONY”.
Norio Ohga
at this year’s Entrance Day as well as at many other occasions
Talking about Sony Brand, the importance of Sony brand is inevitably imprinted on to every Sony employees mind on the first day at Sony. Mr. Norio Ohga Sony’s ex-chairman, and who currently chairs the board members meeting made it a rule to say, “The most valuable asset to this company is not its buildings, land, or even its employee. Our most valuable asset is the four letters “SONY””
Norio Ohga always says “High respect and expectation given to Sony have been built upon proliferation of superb new products and new businesses and constant earning of profit. In order to keep Sony brand shining, each employee must continue striving for further enhancing Sony brand by making Sony a Dream-Making company for all Sony stakeholders. “
He also says “ Selling products is a hardship for a company that does not have brand image. Because they have to fight against the competition only with the product power. A company with favorable brand image is advantageous in the competition because customers are already in favor of it.
We must not risk on our brand by betraying customers expectation.”
Network Brands Create Value
-Increases efficiency of communications spending
-Facilitates cross-selling/up-selling
Increases Sales and Share
-Leads to greater loyalty -- makes an emotional connection
Higher Avg. Selling Prices
=
=
I would like to put Mr. Ohga’s words in a equation.
In the above the line activities, a Strong brand
supports to establishing competitive differentiation, sustaining competitive advantage,
engendering trust ---endorsing the product.
Leading to greater loyalty ---makes an emotional connection.
Which leads to increase sales and share while maintaining higher average selling prices. The numerator gets larger.
In the below the line activities, a Strong brand
helps to increase efficiency of communications spending.
To facilitate cross-selling/up-selling
to reduce costs of new product introduction. The denominator gets smaller.
The answer to the equation may result to an increased Market Capitalization, for a strong brand.
Corporate Brand
Brands which encompass, endorse and organize multiple products/services
Today, I was asked by Harada-san to talk about how we look at Sony brand as well as Product Category Brands such as Walkman, Handycam, Vaio and so forth.
Corporate Brand
Unchanging Brand Essence
Continue to Create Something New
I think that there are two important elements that is essential for a brand to continue shining brilliantly.
First, the essence of the brand or the brand personality has been and will be consistent.
Second is that the brand is always representing creation of something new.
I believe Sony has been so up until now, and it is us who work for Sony now to continue doing so in order to have the Sony brand shining in the coming network centric era.
Brand Vision
“What We Say”
I would like to further discuss how I understand the concept of Sony Brand.
I used this chart when we were discussing Sony’s brand positioning a few years ago.
We started from the top right quadrant of “Where did we come from in the past?”, our brand essence or the Core.
Then we moved counter-clockwise to the top left quadrant of “What we do?” on the current Business Platform.
Next we moved to the right bottom of What We Will Be in the future, or Brand Vision.
Lastly we brought together and all the elements of three quadrants and we filled in the brand positioning or What We Say or a brand message to public.
Brand Vision
“What We Say”
Sony employees after spending a few years with Sony start to feel that they are inheriting Sony founders’ DNA.
Uniqueness, Originality, Creativity, Innovation, Dream, Curiosity…these are part of the glossary of Sony people’s favorite.
Dream is a mother of invention is a word by Masaru Ibuka one of the two founders of Sony. Thomas Edison’s famous words “ Necessity is mother of invention” is the original.
You may now understand where did the difference between GE
and Sony come from.
We do not copy. We do things that no one else has done.
Masaru Ibuka
Brand Vision
Nobuyuki Idei
Our ability to survive in the 21st century and continue to shine depends on our ability to regain that venture spirit of Sony’s founding days. Nobuyuki Idei said.
When Nobuyuki Idei became president of Sony, he took a strong leadership of drastic change. He called it “regeneration”. In order to clarify the direction of the regeneration, he himself coined a work Digital Dream Kids.
Digital Dream Kids
Digital Dream Kids are ourselves
In this Digital Era, we are a group of people mesmerized by new digital technologies, and continues dream and remain curious just as we were when we were kids!
The Digital Dream Kids define the future direction Sony’s business growth and new product development.
Digital Dream Kids were ourselves
In this Digital Era, we are a group of people mesmerized by new digital technologies, and continues dream and remain curious just as we were when we were kids!
Digital Dream Kids
Digital Dreams Kids are our Customers
In this Digital Era, we continue creating products that satisfy the dreams of our customers worldwide, who are captivated by the potential of digital technology.
Digital Dream Kids
Digital Dreams Kids are our Customers
In this Digital Era, we continue creating products that satisfy the dreams of our customers worldwide, who are captivated by the potential of digital technology.
Since then Analog to Digital Shift of Sony products started. One year later Sony launched Vaio personal computer incorporating AV and IT convergence concept.
Brand Vision
“What We Say”
Recently, We consider ourselves to be digital dream kids on the Net.
In the coming broadband network era, Digital dream kids on the Net hope to provide people new source of personal enjoyment, or personal empowerment using not only digital and network technology but also integrating with applications/services and contents aggregation and so forth.
Brand Philosophy Shared Among All of Sony
IT(Electronics)
AV(Electronics)
Pictures
Music
Games
Global : Enhance a Common Platform
Sony has become a broad brand platform which encompasses a wide range of business that it is involved in.
In the digital and network era, all contents, music, movies, games and so forth will share a common digital platform to develop new types of products, contents and services more directly and interactively to the customers. All aspects of Sony will form one to one relationship with customers.
Customers will have relationship with Sony experience of Joy.
However there is no other brand which encompasses such a wide range of categories such as electronics, entertainment contents, services and finance businesses.
.
“What We Say”
Lastly we brought together all the elements of three quadrants and we filled in the brand positioning or What We Say or a brand message to public.
What would be the brand message that would incapsulate Sony’s brand personality, and our brand vision?
unconventional
inspired
confident
fresh
fantastic
unexpected
ingenious
original
expressive
fertile
divergent
unusual
iconoclastic
prodigious
unconstrained
audacious
non-conformist
unorthodox
prolific
The first step to redefine ourselves was to list up all the keywords which may describe Sony.
Sony is a company devoted to the celebration of life.
We create things for every kind of imagination.
Products that stimulate the senses and refresh the spirit.
Ideas that always surprise, and never disappoint.
Innovations that are easy to love, and effortless to use.
Things that are not essential, but hard to live without.
We are not here to be logical. Or predictable. We’re here to pursue infinite possibilities.
We allow the brightest minds to interact freely, so the unexpected can emerge.
We invite new thinking, so even more fantastic ideas can evolve.
Creativity is our essence. We take chances. We exceed expectations.
We help dreamers dream.
Sony Brand Concept
The next step was to confirm what Sony stands for. We put into a Sony Brand Concept Statement
Based on the brand concept we created a brand message to be communicated to all the stakeholders in the world.
This brand message captures the essence of the brand personality that is to help dreamers dream in every aspects of our business and stretch realm of possibilities and evoke open fresh thinking.
Brand Concept Video
( min.)
I would like to show you a short video which capusulates the essence of our brand personality and brand vision.
Brand Strategy Networking
Europe
USA
Japan
Gulf
Asia
Latin
Global
Sony’s basic policy for marketing is Global Localization . Corporate Philosophy and technology and strategies should be kept common all around the world, while marketing and production execution should basically be of local initiative in order to be able to cater to the needs of the market faster and better.
The same approach is taken for advertising.
Three Layers of Branding
Establishing Value Added Marketing
Branding Marketing Enhancing Brand Value Share Marketing Earn Category No.1 Share
Branding Worldwide
(Product Oriented Ad)
I would like to introduce to you Sony’s basic ad strategy, value creation marketing through three layers of advertising strategy.
Needless to say, Sony’s advertising has a crucial role in supporting the on going business as well as actively developing new businesses, and as a result, strengthe the Sony Brand value.
The three layers are Share Marketing, Branding Marketing and Brand Personality.
Share Marketing is aimed at increasing market shares in different product categories. The mission is to compete and win over competitors. It is important to build up the No.1 Category Brand each product categories, such as Wega for television, Vaio for personal computer and so forth. Differenciation is a vital element.
Branding marketing in the middle is geared at promoting selected strategic products using a strategic ad fund. Its goal is to create new market as well as to communicate Sony’s dream to the future. It results in evoking high expectation in people’ mind towards the potential of Sony .
These bottom two layers are product oriented ad which should reflect the top brand personality.
Regional HQ and Local sales companies are responsible for planning and execution of the bottom two layers. Regional HQ are responsible for promoting the three layers of Strategic ad to be practiced in the countries within the region
Product Category Brand
Our Product Identity shapes our Corporate identity.
Since its foundation, Sony has enhanced its brand image by creative products and developing new technologies.
Sony products symbolize Sony and its corporate philosophy, and in doing so, they form the core of the Sony image.
In building this image, advertising plays an important role by conveying accurate information about Sony products and helping consumers understand Sony as a corporate brand.
Selection and Focus
No.1 Brand Creation that seizes Category Leadership
Concentrate Product Value on areas that best display Sony’s originality
Sony Advertising Strategy
These are two key points that Sony Ad Managesr have in his or her mind when making ads.
No.1 Brand Creation that seizes Category Leadership
Concentrate Product Value on areas that best display Sony’s originality
ex.)
Music Network=“Connect to Music”
Brand Loyalty Created by the Power of the Leading Brands
Trinitron
Sony Brand Power
New Business Creation
Sony has been accumulating effort to create No.1 Brand that seizes Category Leadership
The power of such leading brands continued to enhance Sony Brand Power
In 1968, Sony introduced the first Trinitron Televison.
Shadowmask Televisions had been already dominant in the market by then.
In the late 60s and in the 70s, Sony focused its marketing resources on building Trinitron brand as a name synonymous to Superb Picture Quality all over the world.
As a result, Sony has been clearly differentiated itself from other brands by its outstandingly superb picture quality since then.
Trinitron did not only add a big new revenue source to Sony but added great value to the Sony brand. Such value attributes as High Quality, Authenticity and Innovation were enormously strengthened in particular.
Trinitron
1968
I will show you two of the early Trinitron TV commercials aired in the late 60s and early 70th in Japan .
Octopus babies
In this TV Commercial featuring Octopus babies, A baby octopus says “ You can see my 8 little arms only with a Trinitron television.”
Song of a Tree
In this TV CM , the narrator says, “ Only Triniton faithfully reflects emotionally touching images on a picture screen.
Brand Loyalty Created by the Power of the Leading Brands
Trinitron
Walkman
Sony Brand Power
New Business Creation
About ten years after the introduction of Walkman, in 1979 Sony introduced the Sony Walkman.
Again, Walkman added not only a new sales revenue to Sony but also added value to Sony brand by strengthening Sony’s important value attributes, such as “Compact and Light”, “Superb Sound Quality”.
And in addition it added an entirely new and important value attribute to Sony “Life Style Creation”
Walkman
1979
TPS-L2
This is the very first Walkman TV Commercial. The narration says “Sony’s new Hifi Stereo that walks” “A Hifi Stereo Set has stepped out from your room” This First TV commercial clearly positions Walkman a portable means that enables people to enjoy music anywhere anytime.
Monkey
This TV commercial features a monkey wearing a Walkman headphone and listening to the music with meditative and fulfilled look.
The message is that Walkman bring you a joy of music and a joy of life.
Brand Loyalty Created by the Power of the Leading Brands
Trinitron
Walkman
Handycam
Sony Brand Power
New Business Creation
In 198X, Sony introduced an epoch making model, so called passport-size Handycam, CCD-TR55. Handycam, portable and compact video camera recorder was so light and small so that it could be operated only using one hand. Despite of its size and weight, it was packed with loads of features. That the reason why this famous Actress is boastfully chuckling.
Handycam
Passport Size
In 198X, Sony introduced an epoch making model, so called passport-size Handycam, CCD-TR55. Handycam, portable and compact video camera recorder was so light and small so that it could be operated only using one hand. Despite of its size and weight, it was packed with loads of features. That the reason why this famous Actress is boastfully chuckling.
Evolution of Product Brand,
Example: Handycam
.In addition to its compactness, Sony Handycam has been constantly communicating “New LifeStyle Creation” for Families. In addition to the core identity, Handycam has always been adding values to it.
Entrance Ceremony, TRV-95K
In this TVCM of 199X , a father at his son’s entrance ceremony at Elementary School says, “ I will shoot you as long as possible, because today is a special day for you”. At end of the day, the father tiresomely complains “ Please tell me why I must shoot so long as 12 hours” Here the new added value was long-hour durability of battery.
5 years later, in 1999, the Handycam had been shifted from Analog to Digital, which made all the family members enjoy new ways to have fun using Handycam, and far better picture quality
Entrance Ceremony, Digital Handycam
The boy says “Let us make and send a Digital Mail” The narrator says “ Now the picture quality should be Mega-Pixel.” The father says “This is how you do it from now on”
Fishing, Digital Handycam
The boy says “Lets make a Digital Diary”. Mother edits the video using Vaio computer and makes their original Home page incorporating the picture they shot at fishing using Digital Handycam
Establishing a leading brand, and create a new business arena
Trinitron
Walkman
Handycam
Brand Loyalty Created by the Power of the Leading Brands
Sony has been continuously creating new brands, growing establishing leading brands and creating a new business arena.
Establish No.1 Category, and enhance brands of computers and TVs that will become the center of Home Network and Personal Network.
Trinitron
Walkman
Handycam
WEGA
1998
VAIO
1999
In 1996, Sony introduced VAIO Computer. The PC Market had already been dominated by Microsoft Windows 95 based traditional PC brands with least differentiation.
From its introduction, VAIO’s strategic approach was to completely differentiate Sony from others. Advertising has always focused on personal enjoyment while all the other brands were putting focus on personal productivity and or efficiency.
VAIO
This is one of the earliest VAIO TVCM.
The narrator says: Recording Flyfishing Fun onto a CD-R using Vaio’s original software. Create, Keep and Communicate your personal enjoyment, Vaio is for it.
Not so many people might not have actually used VAIO in such creative way. In fact the sales of VAIO notebook type was surpassing that of VAIO Desk Top PCs. However Sony thought it is important to more focus on the creative PC in advertising in order to effectively establish VAIO brand identity.
We would like to introduce personal computers that have a Sony-like entertainment quality.
Nobuyuki Idei
He spoke this just after his inauguration
Sony will provide users with new ways of designing their lifestyles through the introduction of VAIO. Our hope is to create new market by offering such lifestyle solutions.
Kunitake Ando
Sony will provide users with new ways of designing their lifestyles through the introduction of VAIO. Our hope is to create new market by offering such lifestyle solutions.
Kunitake Ando
Converging AV and IT
In order to clearly differenciate Sony from others in a way no other brand can do, and in order to empower people with new lifestyle proposition, We decided to combine least VAIO with Digital Handycam that enjoy overwhelmingly high share and high brand recognition.
Let us take…