Reflections

Louis Vuitton is one of the ultimate status brands of the world.  It has managed to combine mass production, mass marketing and yet retain a highly aspirational image.  It is the world’s leading luxury label. Now operating in 50 countries and selling through 460 stores.  The chairperson of Louis Vuitton Moët Hennessy , the French conglomerate – Bernard Arnault – is recognised as the richest man in the fashion and luxury world.  Louis Vuitton, a carpenter’s son founded the company in 1854. He made his name in creating luggage, bags and accessories associated with travelling. Back then, only the very wealthiest members of society could afford to go on holidays.  Travel became therefore a great association for a luxury brand. In many ways this is signified even today by the lifestyle of the rich and famous – which is – by definition, Jet set !  Luis Vuitton has now turned into a wide-ranging fashion brand . Under the direction of Mark Jacobs ,hip US fashion designer,  it extended to clothing, shoes, watches and jewellery.  Now, Nicolas Ghesquière and Virgil Abloh are leading the creative and design agenda and are ranked as some of the most influential people in the world.  Celebrity endorsement has been a necessary part of Louis Vuitton’s DNA.  Empress Eugenie of France, European royalty followed by the Hollywood hip set – including but not limited to – Audrey Hepburn , Jennifer Lopez , Penelope Cruz, Angelina Jolie, Alicia Vikander, Thandie Newton, Jennifer Connelly, Michelle Williams, Sophie Turner and Chloe Grace Moretz etc.   The real secret is the end -to -end ownership of the process from design to distribution.  That kind of control allows it to give a universally similar experience and ensure that its logo becomes a social signifier in every corner of the world. The LV monogram canvas has become a coat of arms for big money wanting to buy respectability.  It is difficult to deconstruct LV but the fact is that it is the brand  that does the magic. The rest is canvas toile with plastic coating and a bit of leather trim!  #branding #fashion #travel #design #marketing #premium  #experience #branding #logo #buy #marketing #advertising #design #brand #premium

Rolex has split second accuracy. It’s purpose is to tell time.  But, the brand itself is timeless !  Hans Wilsdorf was a Bavarian who set up shop in London in 1908. He obtained a timing certificate from a Swiss Observatory for a wrist watch which was registered between 1905-1914 Till then , gentleman carried pocket watches but as thousands of gentlemen fought in the trench warfare of WW I, accurate wristwatches were deemed easier to use than pocket watches.  Hans Wilsdorf was a master of innovation and savvy promotion 1931 – perpetual winding mechanism  1945 – first watch with a date window Later innovations such as the first watch for divers , the first dual time zone watch and ongoing heavy promotion with celebrity, sponsorship and ‘ luxury aura’ advertising meant that the Rolex Oyster got judged the watch of the century. Rolex is always seen as an investment. In longevity, desirability, timeless identity, associations with lifestyle and prestige it has few competitors.  Every watch tells time. Wearing a Rolex makes a statement about who you are. Right from the beginning Rolex had an eye on the entire world as the market. The very name Rolex was used because it was easy to pronounce in any European language.  Rolex the brand with a crown !  #premium   #branding

We know it as the Hawaii Chappal. It is the simplest footwear imaginable – a piece of plastic, roughly the outline of your foot, with a crude strap holding the sole to your toes. Yet, the brand Havaianas has taken the humble flip-flop to new heights.   Selling about 200 million pairs every year, it is a domestic and international phenomenon. It was in 1962, the Brazilian major – Alpargatas – launched a new product, called Havaianas, made of rubber and enthused by the Japanese wooden sandals, Zori.  Like the Indian 'Chappal' they were made only in one blue-and-white design and worn out of home ,only by the poor. The company maintains that the first variation happened by accident in 1969, when one batch turned out green and became a surprise hit. This happenstance became a secret of their success: they took a simple design and started experimenting. It never looked back. Today, across the country, there are whole shops dedicated to them. Rows and rows, in all colours and styles. There are strappy ones, shiny ones, ones in the colour of your favourite football team, ones with huge platform wedges, bejewelled yet always 'elemental and no –fuss.' #design #brand #branding #culture #fashion #society

Havaianas -the brand has taken the humble flipflop global but it is of interest that the simple slipper is also now synonymous with Brazil.  Many carry a little Brazilian flag on their strap. Havaianas is symbolic of Brazil's fun, vibrant and spontaneous way of life and it is a strong, relatable identity. They are sold all over the world, from the UK to Australia. From the pavement stalls to Saks Fifth Avenue. A purely functional, unpretentious, working-class footwear brand has become the definitional “cool. Havaianas leveraged storytelling to create an emotional link between the consumers, the brand and the Brazilian 'spirit'.  This Brazilian spirit was a proxy for vibrant colours, joy, fun, positivism, simplicity and sense of humour – universal emotions that are loved about Brazil and positive Latin characteristics, such as sensuality without vulgarity, youth without exclusion and joviality without slapstick frivolity… India needs many such lifestyle associations and branded statements to be made. #marketing #design #brand #experience #advertising #society #insights #fashion #psychology  #changingtheworld #brandhistory

The inexorable rise of Artificial Intelligence is something to celebrate.  Instead, it is being greeted with a narrative of despair and panic. It is being portrayed as a culminating, apocalyptic battle between merely mortal humans and beeping speaking robots!  Actually , from medicine to management, learning to discovery , the world is going to get better.  AI will allow people to create faster, invent newer things, imagine and experience new senses and write a new page in human history.  To break all chains except blockchain 🙂  It is inaugurating a new era of lifelong up-skilling and re-skilling. Self education will now become -even more – a vital capability. A career will not be phase -2 of a 3 stage life.  Likewise, education will not necessarily be in the first phase.  The impact of AI will touch energy, science and technology, governance, culture, medicine, business, transportation, security and the environment. The world will now realise that an identity is nothing but defined by its relationships.  Therefore , even your digital identity could merit a passport! #digitalinnovation #AI #newtechnology #society #change #AnythingButOrdinary  #culture #technologies.

A ‘small but huge’  thing is floating high above our heads !  A Nano satellite is 10 cm x 10 cm x13.5 cm This ‘ CubeSat ‘ is a most commercially impactful invention Why?  Because this nano satellite, the size of a small shoebox , is made from fairly standard ‘in existence ‘ components, is incredibly cheaper to send to space than conventional satellites (500 million to $1billion). In comparison , a nanosat can be made and launched ~ $100K  Planet labs – founded 2010 ( in Silicon Valley !)  – has already sent about 200 such satellites to space.  They are used extensively for image and data mapping.  Billions of images about everything and anything – traffic, green cover, new construction, crops, river flow, ships at sea and a million other things are available at any time on any given day.  This is commercial gold.  If I know every hour how many cars are on the road Delhi to Bombay I can plan fuel, beer, toll logistics, bus seats , hotel room demand and countless other things , both anticipated as well as unanticipated.  Imagine everything of commercial interest is being seen by thousands of eyes from up beyond the sky. And there is computing power to make sense of it.  Imagine that !!  #newtechnology #society #anythingbutordinary #digitaltransformation #thewiredworld

Marketers across industries are trying to increase customer loyalty, marketing efficiency, and brand authenticity by building communities around their brands.   Susan Fournier & Lara Lee in an article in the HBR in 2009 identified 3 different forms of brand community affiliation namely -pool ,web and hub.  They define pool as a collective wherein members have a strong association with an activity but a loose connection with another.  A web consist of a network of strong one-to-one connections whereas a hub is a standalone form of community where the collective has a strong devotion to the central idea or a charismatic leader but a much looser connection to one another.  The ethnographer Arnold Van Gennep , anthropologist Victor Turner & psychologist Carl Jung developed and defined a concept called liminality.  ‘Limen ‘ – doorway or threshold – in Latin.  When groups make a transition they establish a ritual symbolism to mark this.  This is the liminal stage after which the transformation occurs , older norms break down and new ones get made.  In a world where everything is becoming commoditised there is naturally a lot of unoriginality.  Tribalism / ritualism associated with a brand community helps us define who we are to ourselves.   #marketing #community #brand #new

Loyalty is a favourable outcome not a market imperfection. It is a sensible buyer strategy developed by consumers in order to balance risk and reward a brand based on positive experiences. The fact that consumers have a limited bouquet of TV channels in a category is notable. When there are no switching costs and where generic content is the same across , why would people restrict their repertoire and show loyalty?  Similarly in the case of automobiles , even at the most expensive end of the spectrum , there are very high levels of repeat purchases. Considering that there are typically 30+ brands to choose from and given that purchases are spaced apart by a number of years where several platform and model changes have occurred , it is again surprising that despite changing buyers life circumstances and needs the odds that someone chooses the same brand again is high.  Clearly there is a behavioural preference and loyalty at play. Buyers restrict their purchases to a small repertoire of brands. People pick from a small sample set and that’s why favourites reign supreme again and again.  It is ironical that even for buyers considering only a single brand, the process is termed a high involvement purchase ! #brand #marketing

We live in the middle of an information age ,transforming every facet of life.  It is useful to look at the past to get some guidance for the future.  In the 19th century, the industrial revolution also led to mass upheaval.  The profound changes led to a permanent remoulding of society.  The population of United Kingdom was exploding, doubling  between 1815- 1870. Work was revolutionised by mechanical automation.  Mass importation of machinery into mainstream manufacturing and agriculture threatened the livelihood of millions.  Militant and direct action was seen as a reaction. “Swing” rioters opposed agricultural machinery whereas “Luddites” burned down their own mills . The most important part to note here is that these groups were not against technology, machinery, automation – per se.  They were opposing the loss of their livelihood because they had no means by which to find compensatory, upgraded, unskilled jobs necessitated by the Industrial revolution. It is an important historical fact to remind ourselves of. We must not let there be a future world of geeks , bankers , corporate bureaucracy and the vast majority of ‘rest’ .  It doesn’t bode well.  #society #newtechnology #thewiredworld #digital #anythingbutordinary

Advertising in the maturing phase of digital media –  Many wild predictions were made in the early 1990s with the advent of the internet. Experts claimed that internet advertising will be tailored ,  of higher quality and Impact assessment would happen.  Along came gloomy forecasts about TV advertising and with DVRs experts felt that the ad industry is finished because people will simply skip ads. 88% of TV ads were unwatched by DVR owners!  Facebook, with its vast database of customers, majority of whom had contributed their details willingly, was sitting on a gold mine. But a lot of the expert’ opinions turned out to be wrong . The dominant ad formats haven’t radically changed. Targeting has become easier but hasn’t delivered on its promise. Click-Through Rates (CTRs) for most ads are at around 0.1 percent. Facebook CTRs remained bottom of pack for long.  The high quality of advertising has not translated into higher prices for most publishers. Further, advertising prices (CPMs) are falling every year.  So, why hasn’t the supposed ad skipping not destroyed TV revenue? Maybe the logic of getting more eyeballs for more revenue is false! Ad skipping scare behind, question remains – Why ads work at all, and how they do? #business #advertising #facebook #media #digital