Some Consumer choose the product if have a good brand. Because they are sure that the poduct with a good trademark have a good quality. I have a note from my teacher (Mr. Budi) told about it. So I want to post, before the note lost from me.
Why do almost 95 % of product fail to bocome brand/trademark, eventhough hundreds of billion dollars is spent every year for promotion, advertisement or for Public Relation. Even in 2002 int he USA around 1.4 trillion of dollars for marketing activity nly. In 203, companies in the USA on average spend around 750 billion of dollars for marketing research activities imagine, with so many efforts, attention and skills which concerned with brand, why are there so many fail products? Why do loyalty to brand fade away so fast like phenomenon of consumer’s disatisfaction which is increasing on period of time recently?
Unfortunately branding manager very sldom talks in finance language, they prefer, talk in jargous brand language, like reativity, impact, image, impression, positioning, buzz, but actually without rofitability, in the end there will be no alive brand, no matter how strong is the influence and image for this product even profitability is more important than market segment. Richard Miniter (2002) on his book, “The Myth of Market Share” said in a research toward than 2000 companies.
Further wreden said thath accountability become next important, imperatif, because without that, it will happen inefficiency and in terms of responsibility becoming not clear. But accountability need to be related to measurement is profitability. Correlating account with profitability will pust third business, imperatif namely, sustainabilities, this imperative become critical because it is estimated that around 80-98 percent. Percentage of product fail to become a brand sustainability is also important because more than two third purchasing activity conducted by consumer have the character of just important.
