New Brand Leadership Managing at the Intersection of Globalization, Localization and Personalization

A Breakthrough Framework for Building Winning Global Brands

• Make your brand globally consistent, locally relevant, and personally differentiated
• Define your brand vision…then successfully plan, execute, and measure
• Reflects decades of brand leadership experience at Mars, Nissan, IHG, YUM! Brands, and other global leaders

Globalization, localization, and personalization are transforming the pathways to brand leadership. Unprecedented opportunities exist in today’s volatile environment, but only for marketers who can organize and execute in radically new ways. In New Brand Leadership, two world-renowned brand marketers show how to leverage those opportunities by building brands that are globally consistent, locally relevant, and personally differentiated.

Arcature’s Larry Light and Joan Kiddon provide the first complete, integrated, and flexible model for marketing effectively and efficiently in fast-changing global markets. Drawing on 45+ years of experience on all sides of the table—client, agency, and consultant—they help you overcome difficult obstacles ranging from organizational structure to “mindset.”

Weaving together issues ranging from interpersonal relationships to Big Data, they offer solutions that fully reflect the trends, forces, and perceptions you face as a global marketer. From vision to metrics, you’ll learn what to change—and, more important, you’ll learn how to change it.

Global Marketing Today: New Contexts, New Paradoxes, New Customers
Older and younger… more individual and inclusive… more mobile, less trusting

The Collaborative Three-Box Model for Global Brand Marketing
How to organize, what to do—and what to stop doing

Refreshing the Enterprise to Sustain Stronger Global Brands
Gaining alignment for action and measuring your Progress

Frameworks and Freedom, Coherence and Creativity
Pulling it all together, both regionally and worldwide

Larry Light and Joan Kiddon deliver a complete, proven blueprint for organizing and executing on global brand marketing. They introduce Arcature’s proven Collaborative Three-Box Model, guiding you step-by-step through creating brand vision, defining brand framework, bringing your brand to life, and measuring your performance. They share powerful techniques for maximizing value by integrating and balancing globalization, localization, and personalization.

You’ll find high-value recommendations on culture, structure, metrics, and managing the organizational tensions inherent to global marketing: centralized vs. regional, global vs. local, and brand leadership vs. brand management.

Light and Kiddon have spent their careers building thriving global brands in one industry after another. The lessons they’ve learned are indispensable. This book distills those lessons, organizes them, and helps you put them to work.

Introduction   1
PART I:  THE CHANGING CONTEXT FOR GLOBAL BRAND MARKETING   5
Chapter 1  Overview: A New Approach to Global Marketing   7
Raising the Issues   7
The Globalization of Marketing   8
Localism   9
Personalization   10
Game-Changers   10
Changed Perception of Value   13
Trustworthy Brand Value   13
Build Trust   14
The Collaborative Three-Box Model   14
Creating the Metrics   16
Plan to Win   16
Gaining Alignment: Overcoming the Negatives   17
What Can I Do Differently? 17
Aligning for Action   18
Brand Journalism   18
Making The Collaborative Three-Box Model a Reality  
Endnotes   19
Chapter 2  Globalization, Localization, Personalization   21
We Are Already Affected by the Three Forces   21
The Collision of Three Forces   22
Globalization   22
Localization   23
Personalization   25
Personalization and Privacy   25
Implications for Organizational Structure   26
Organized Leadership   27
How We Define Leadership   27
Cross-Functional Teams (CFTs) 28
Alignment   29
Global, Local, and Personal Implications for Brand Management   29
The Role of the Three Forces   31
Endnotes   32
Chapter 3  Game-Changing Trends   35
Future-Proofing Your Brands   35
Game-Changing Trends as Problems   36
1. The Demographic Conundrum   36
2. The Challenges of Rising Personalization   41
3. The Paradox of the Age of I   43
4. The Puzzling Changes in the Definition of Family   46
5. The Quandary of the Decline of Trust   48
Trends and the Forces of Globalization, Localization, and Personalization   50
Opportunities   51
1. Opportunity: Demography   51
2. Opportunity: Personalization   52
3. Opportunity: The Age of I   52
4. Opportunity: Families   54
5. Opportunity: Trust   54
Endnotes   55
Chapter 4  New Definition of Brand Value: Trustworthy Brand Value   59
What Is Value? 59
Value Is Customer Defined   60
Price Segmentation   62
Quality   64
The Evolution of Value   64
Social Benefits   66
Trust as a Multiplier   67
One-Think Shopping   68
Need for Simplicity   68
Deal Loyalty versus Real Loyalty   69
Endnotes   70
Chapter 5  Build Brand Trust   73
Trust in a World of Distrust and Mistrust   73
Definitions of Trust   75
Two Kinds of Trust   76
Brand Trust   77
Organizational Trust   79
Trust and the Value Equation   80
Trust Capital   80
Corporate Social Responsibility   81
Right Results the Right Way   83
A Strong Corporate Brand   84
Endnotes   84

PART II:  THE COLLABORATIVE THREE-BOX MODEL   87
Chapter 6  The Evolution of Global Marketing and The New Collaborative Three-Box Model   89
Organizational Implications   89
The One-Box Model: Global Standardization   90
The Two-Box Model: “Think Globally. Act Locally.” 92
The Matrix   94
Management and Manager   96
Leadership and Leader   97
Putting the Right People in the Right Places   98
Results Are Local   98
Responsibility: Global or Local   99
Sharing   99
The Collaborative Three-Box Model   100
The Kinship Economy   102
Guided Decentralization   102
Is It Federalism? 103
Endnotes   104
Chapter 7  The Collaborative Three-Box Model: Box 1—Create the Brand Vision   105
Begin with the Corporate Strategies and Ambition   105
Cross-Functional Teams (CFTs) 106
Box 1: Defining the Brand North Star   106
The Four Steps of Box 1   107
1. Situation Analysis   108
2. Trends   111
3. Market Segmentation   113
4. SMART Objectives   115
Making Box 1 Work   116
1. Make It Everyone’s Job to Take Responsibility   116
2. Make Sure That Your CFT and Your Enterprise
Become a Learning Organization   117
3. Stay Positive When the Killer Questions Are Raised About Your Synthesized Trends   117
4. Ensure That the Situation Analysis Will Be Updated Each Year   118
5. Market Segmentation Is a Market Fundamental   118
Lessons Learned: Box 1   118
Lesson One: Avoid the Wholesale Importing of Concepts with No Adaptation   118
Lesson Two: Avoid Analysis Paralysis   119
Lesson Three: Use Occasion-Based Needs Segmentation as a Brand-Building Tool   120
Endnotes   121
Chapter 8  The Collaborative Three-Box Model: Box 2—Define the Global Brand Plan to Win   123
1. Brand Pyramid   125
How to Create a Brand Pyramid   127
2. Brand Promise   128
3. Brand Lotus Blossom   130
Not a Slogan   130
The Guiding Principles   130
Lotus Blossom   131
4. Brand Framework   133
Freedom within the Framework   133
5. Brand Book   136
6. Global Brand Plan to Win   136
Making Box 2 Work   138
Lessons Learned: Box 2   140
Endnotes   143
Chapter 9 The Collaborative Three-Box Model: Box 3—Bring the Brand to Life   145
Not a Hand-Off   146
Decision Rights   146
1. Local Brand Ambition and SMART Objectives   147
2. Local Total Brand Experience   148
3. Local Problems and Solutions   152
4. Local Brand Plan to Win   153
Brand Journalism   154
A Little Background   154
Making Box 3 Work   157
1. Trust Regional Brand Leadership to Localize and Personalize Well   157
2. Let the Regions Take Accountability for Delivering the Local Brand Experience   158
3. Support the Brand Journey at All Its Stages   158
Lessons Learned: Box 3   158
Lesson One: Manage the Hand-Off Mentality   158
Lesson Two: Meet the SMART Objectives   159
Endnotes   160

PART III:  REFRESHING THE ENTERPRISE   163
Chapter 10  Building a Brand Business Scorecard   165
Bigger   166
Familiarity   166
Penetration   166
Better   167
Brand Reputation   167
Overall Satisfaction   168
Stronger   168
Brand Preference Ladder   168
Trustworthy Brand Value   170
Trust   171
Brand Power   171
Additional Considerations   173
Five Action Ps   173
Say Goodbye to Norm   173
Endnotes   174
Chapter 11  How Does It All Come Together in an Effective Plan to Win? 175
Build Real Loyalty, Not Deal Loyalty   175
Consider Both the Long Term and the Short Term   176
Make the Brand Plan to Win a Force for Alignment   177
Measure Performance   179
Evaluate the Five Actions Ps   179
Endnotes   181
Chapter 12  Breaking the Bad Habits That Inhibit Brand Building   183
Complacency   184
Change for the Sake of Change   184
Financial Engineering as a Growth Strategy   185
Cost-Managing the Way to Profitable Growth   185
Focusing on Customers You Do Not Have at the Expense of Customers You Do Have   186
Failing to Keep the Brand Relevant   186
Price Segmentation Instead of Market Segmentation   187
Thinking the Lowest Price Is the Same as the Best Value   187
Failing to Instill a Quality Mind-Set   187
Silo Mentality   188
Focusing on the Short-Term Rather Than Creating a Short-Term/Long-Term Strategy   188
Not Sharing Across Functions, Geographies, and Brands   189
Believing the Regions Are Not as Sophisticated as the Center    189
Believing That Brand Management Is All About Marketing Communication   189
Allowing Data to Decide   190
Endnotes   191
Chapter 13  Guiding Principles   193
1. Define the Common Ambition   194
2. Clarify Roles and Responsibilities   195
3. Realize That Brand Leadership Is Global; Brand Management Is Regional/Local   195
4. Build Trustworthy Brand Value   196
5. Establish Cross-Functional Teams   196
6. Acknowledge That Great Ideas Do Not Care Where They Come From   197
7. Share the Knowledge   197
8. Implement Brand Journalism   198
9. Build Trust Capital   200
10. Institute a Brand Business Scorecard   201
11. Allow Freedom within the Framework   202
Endnotes   202
Conclusion: Moving Forward   205
Endnotes   209
Index   211

A complete blueprint for successful global brand marketing, drawing on 50+ years of in-the-trenches experience at the highest levels of global enterprise.