Benjamin Bidlack is Brand Strategy Director at RiechesBaird

Part 1: How building your brand helps you enter (or bulldoze your way into) new products, categories and geographies.

Why invest your brand? Especially a B2B brand? Because it pays off. Handsomely. Let’s look at Google, a brand worth $32 Billion in 2009 according to BusinessWeek. (Yes, that just the brand, not the hard assets. More on brand valuation in an upcoming Brand Valuation blog piece.) Google started off in 1998 as a search engine, competing with a slew of other search providers: Yahoo, Magellan, InfoSeek, AltaVista and a slew of other now irrelevant search brands. Yahoo is the only remaining search competitor worth mentioning, with 14% share of search as of 2/20/2010. That’s 14% compared to Google’s 78%. As a result, I believe, Yahoo decided to turn its brand and business ship toward “personalizing the internet experience” and away from pure search (watch for an upcoming blog on that soon).

Google’s stated mission from the outset was “to organize the world’s information and make it universally accessible and useful” and it has certainly succeeded. In pursuing that objective, the company held two beliefs they bet their life on: 1) “The user is in charge.” And 2.) “If users come, so will revenue.”

Both of those beliefs served to be right. Google quickly monetized their leadership in the space by starting AdWords, their flagship advertising product and main source of revenue ($23.7 Billion in 2009). And then used the power of their brand and reach to enter (or bulldoze into) new categories.

1.  Online productivity software, including email and documents (where Yahoo was the clear leader at the time, and still is: 3.8% share vs. 0.8%)
2.  Desktop apps (GoogleWave)
3.  The Chrome browser
4.  Picasa photo editing and organization
5.  GoogleTalk instant messaging
6.  SketchUp 3D modeling
7.  The incredible and comprehensive GoogleEarth
8.  And most recently, mobile phones and operating systems: Google Phone and Android.

I would suggest that these entries would have only a tenth of their current buzz and value if they were coming from an unknown brand, even if that unknown company were better qualified in the category.

So how can Google’s story help you with your business? The first thing it says is to set an inspiring and badly needed vision/mission for your business, however large or small it may be. Make sure people really want what you’re offering them. Then, become better at delivering it than your competitors, because they will try to copy you.

Then, build your brand:

Create a compelling promise that asserts your leadership

Design it beautifully verbally and visually

Work diligently to deliver on your promise. Emphasis on the word “work”. Brands don’t become great because of beautiful design or catchy phrasing. They become great because companies DELIVER great product and service experiences that live up to their brand promise: their cause, you might say.

If you let people down on your promise, you’ll be worse off.

Once you’ve delivered great experiences, you will have earned the right to branch into other categories and geographies. You’ll be afforded product and/or service trial (and even forgiveness if you stumble) where before, you wouldn’t even be considered.

Does this happen overnight? No. Does great branding replace great business strategy and value delivery? No. But it does take great companies to new heights. And gives them a huge club to walk around with.

What do YOU think?

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Tags: Android, Ben Bidlack, Benjamin Bidlack, Bidlack, brand architecture, brand architecture technology, brand extension, brand extensions in technology, brand strategy, Chrome, Chrome branding, Google brand, Google Phone, GoogleEarth brand, GoogleTalk branding. GoogleTalk, GoogleWave, GoogleWave branding, Pacasa branding, Picasa, SketchUp, SketchUp 3D, technology branding, technology brands, techology brand strategy

This entry was posted on Monday, March 8th, 2010 at 7:22 pm and is filed under THE WHEELHOUSE. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.