The world we live in is full of
products with incredibly recognizable brands. Brand is something that we can all instinctually understand
and relate and well-known brands are synonymous with all sorts of
positive feelings and activities in our lives. Branding has become more important in the handset space
too. Despite the innumerable technical variations between the products,
the lack of practical differences between smartphones that consumers can
understand creates a situation where the perception of the brand is of utmost
important. Right before the iPhone was announced, BlackBerry phones were the
most popular mobile devices on the market. They truly dominated in the
"cool" factor, with every celebrity owning one. But now this brand is
one of the surprising brands that could actually
be on the verge of dying. Last year, in 2013 BlackBerry’s brand value took a huge slide off the top 100 list for global brands. BlackBerry is at risk at
becoming a victim of the commoditization of smartphones, where branding and
perception dominate the marketplace. Two new phones appeared: iPhones and
Droids, a popular line of phones that helped popularize Google's Android
operating system. These revolutionary touchscreen smartphones turned the
Blackberry into a stale and antiquated device. BlackBerry thought that their
phone with a keyboard would still attract more professional and
business-oriented people, but they were mistaken. Most people, regardless of
whether they used their phone for business or pleasure, switched over to the
iPhone or the Android-operated smartphones and BlackBerry seriously lost its
momentum. In January 2013, BlackBerry released its latest device -- a
touchscreen smartphone. Even with popular integrated apps, the product failed to take off. Their sales have crumbled, and
in September 2013, the company pre-announced second quarter earnings, reporting
that they'd missed estimates by nearly 50 percent. They also announced they
were cutting 4,500 workers and getting out of the consumer business, sparking
up rumors that they would merge or sell the company. The biggest issue for
BlackBerry is not the tech specs, smartphone design, the apps, or the operating
system. They have that under control. What really sells
smartphones, which are very personal consumer commodities, is perception of the
brand and effective marketing to consumers. BlackBerry’s brand is damaged because of their inability to
properly communicate with consumers. The issue is their lack of effective
marketing to repair the negative perception of their brand. With young teens
and adults dictating the market trends, asking any young person
about BlackBerry and you’re bound to find evidence of their negative
perception. One of the challenges BlackBerry faces with building its brand
is that it needs to move away from its older image, which is as a more
enterprise and professional focused brand. One of the biggest challenges that BlackBerry facing is
building a brand that resonates with consumers and enterprises at a time when
both Apple and Samsung have already won the hearts and wallets of users. Their
marketing should not be business-as-usual marketing; should be damage-control
and rebuilding-the-brand kind of marketing.
The
following steps can save the Blackberry Brand:
Improving the ‘Sausage’ (the core
product):
Ø
Introduce touchscreens for all phones
Ø
Move to Android or Windows Mobile operating
systems – allows more apps to be downloaded
Ø
Ditch the keyboard – makes the device more
portable/allows larger screen depending on the phone design.
‘Sizzle’ (branding and advertising):
Ø Replace teenagers with business people, as personifiers
of the brad
Ø Use opinion leaders as the target market segment,
create opinion leaders, use opinion leaders in marketing communications
Ø
For using word-of-mouth
communications can bring out a new brand name with Premium price
Potential acquisition could give BlackBerry a
chance to give its brand a much-needed makeover, out of the public eye. If they don't reshape their business models, we just
might have to say goodbye to these big brand names sometime soon.
References
BlackBerry's Biggest Problem Is Not Its Phone.(2013,October 27).Retrieved from
http://n4bb.com/blackberrys-biggest-problem-phones/
Blatchford, J., R. (2012, April 6). Research in Motion – How Branding Can Save BlackBerry.
Jacques, R. (2014, January 22). 9 Iconic Brands That Could Soon Be Dead.The Huffing Post.
Retrieved September 26, 2014 from http://www.huffingtonpost.com/2014/01/22/failing-brands- 2014_n_4604534.html
Tode, C. (2013, March 26). BlackBerry's biggest challenge is building a brand that respnates.
Retrieved September 26, 2014 from http://www.mobilemarketer.com/cms/news/manufacturers/15033.html
Blatchford, J., R. (2012, April 6). Research in Motion – How Branding Can Save BlackBerry.
Manifested Marketing. Retrieved from September 26,2014 from.http://manifestedmarketing.com/2012/04/06/research-in-motion-how-branding-can-save-blackberry/
Gallagher, C. (2013, October 11). Brand Marketing Challenges & How to Overcome Them.
Retrieved September 26, 2014 from http://www.3dissue.com/brand-marketing/
Gallagher, C. (2013, October 11). Brand Marketing Challenges & How to Overcome Them.
Retrieved September 26, 2014 from http://www.3dissue.com/brand-marketing/
Jacques, R. (2014, January 22). 9 Iconic Brands That Could Soon Be Dead.The Huffing Post.
Retrieved September 26, 2014 from http://www.huffingtonpost.com/2014/01/22/failing-brands- 2014_n_4604534.html
Tode, C. (2013, March 26). BlackBerry's biggest challenge is building a brand that respnates.
Retrieved September 26, 2014 from http://www.mobilemarketer.com/cms/news/manufacturers/15033.html