We’ve stopped what we are doing and creating your personalized BrandZ™ report, which will appear in your inbox soon.

Innovation & Love

by Ellis Malovany

Investing in Innovation and Love[a][b][c]

Innovation and love each represents two critical components of Meaningful Difference.  Innovation itself manifests from the brand, but the perception of innovation and love are reactions from the consumer.  When innovation and love are linked brands are more likely to succeed in building value.

BrandZ measures innovation along with three key components: creativity, disruption, and leadership. Love is simpler and can be measured by asking “does the consumer love the brand”. In the mind of the South African consumer, perceiving a brand’s creativity and disruptiveness is not the same, though each contributes to the overall perception of innovation. Consumers love brands that deliver a positive experience and create consistent value while at the same time simplifying life in a rewarding way. Brands that innovate in ways that benefit consumers are more likely to inspire love.

In both the U.S. and China where innovation drives brands like Apple and Alibaba, it's not surprising that each have Top 30 brands with the most loved brands. South Africa’s Top 30 brands fall below the average global markets’ Top 30 brands in both innovation and love. Only Australians, British and Italians have less love for their Top 30 brands than South Africans, and not surprisingly, these countries also lag behind the world in innovation.

(slides 79, 82)

Innovation: Disruption & Creativity

Brands on a mission to drive innovation often focus on creativity and disruption. Creativity can be expressed in a variety of ways. One way that has become more meaningful to consumers is a brand’s ability to personalize the brand experience, tapping into both the functional and emotional needs of the consumer. Disruption delivers new, efficient paradigms that obliviate old and tired processes.

When measured against the world, South Africa’s Top 30 brands appear weak on both innovation and creativity, correlating well to a lower brand value as compared to global markets.

        

[d]

(Design: Please integrate the following slides - but first need clarification on the Disruption slides)

(Slide 65, 47)

(Slide 47)

Where is the Love?

Despite the Top 30 having a relatively good local showing on innovation and disruption, they are glaringly absent with regards to local creativity and love.  Speciality online commerce platforms including Neflorist and Yuppiechef have capitalized on the dominance of mobile internet by delivering clever campaigns to reach their customers. Top 30 brands should pay attention to their relationship with consumers in demonstrating creative edginess and work towards creating love, a core part of Meaningful Difference.

Loving a brand requires more than simply filling needs or just being seen as innovative. Brands like Amazon, Apple, and Google are loved because they impact consumers’ lives in many ways, not just in one or two areas. Brands that leverage technology to create value are destined to succeed. It has never been easier for brands to cherry-pick technologies to improve customer connectedness and brand relevance.

(Slide 55 - Note this should state top 30)

As South Africans become more digitally integrated, a process that will accelerate in an improving economy, brands that are seen and heard in environments already synonymous with innovation, disruption, and love are likely to be perceived positively.  

Winning Strategies

Enhanced Mobile Experiences

Globally speaking, the brands on the forefront of innovation find love not far behind. With South Africa’s highly integrated mobile environment, voice-driven apps and devices like Alexa/Google/Siri should grow quickly, as the economy improves. Though many South Africans are not yet there, it’s only a matter of time before “Hey[e][f] Google”, “Alexa…”, and “Hi Siri” will be heard by locals to fulfill a wide array of activities.

Something to consider -  throughout the rest of the world where digitalization has increasingly taken the form of spoken Alexa/Google communication - choices are set by a default or by paid search. Voice activated and automatic replenishment will simplify lives and meet needs; local brands that understand this have the opportunity now to preempt competitive “voices” by investing in and building a powerful love connection with their consumers.  

Love & Innovation - Top Down

Seven of the Top 30 South African most valuable brands also rank in the Top 10 in perceived leadership, and most of these brands also triangulate well with those in the top rankings for innovation and disruption. Innovative leaders recognize trends and make decisions that support creativity, spur disruption, create a heightened sense of innovation, and connect a brand to its consumers in a meaningfully different way.  Innovation, as a brand building investment, can generate immediate positive feedback, increased brand relevance, and lasting brand love - and a competitive advantage.

[a]It feels to me that this article could be more of a look at brand health in total, like they did for the UK.

I'm very uncomfortable with us focusing this heavily on LOVE and would prefer to soften that, given the way we actually sell brand equity measurement and tracking through KMB and KTNS locally.

Do we need this article at all? Given we don't have a lot of time, could we drop it? Else we need to make it more general I think.

[b]Adhil, I saw this article title in the original list of requested pieces and presumed there was an emphasis needed on this.  I don't know if it is particularly important to focus on this as there is quite a lot elsewhere on these points.  I'm ok either way.

We can strip some key elements from this piece and integrate into key takeaways.

Please advise. Thanks.

[c]Agree. Let's ditch it. We have enough elsewhere.

[d]The vertical axis should be corrected to total value instead of average

[e]I am not really sure, isnt it "Ok google"?

[f]Either works. I have both goole and alexa