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Tendensdagen 2010
How to turn great ideas into profit generating brands




Stockholm, 14 October 2010
by Rudolf Rodenburg

rudolf.rodenburg@designbridge.com
Contents


About Design Bridge

Innovation
•What do I need it for
•Two types of innovation
•Examples of ideas that happened
•Getting started

Checklist

The connection to the brand

Summary




                                   2
9
Great ideas are simply not enough,
you need to make them happen

                                     13
14
15
16
17
18
$$$
How to turn great ideas into profit
       generating brands
               $$$



                                      19
What is innovation

                   Finding new products
                      or services that
Thinking about     consumers did not yet                   Creative
 something in        know they needed                     thinking -
a different way                                        thinking outside
                                                           the box



                                        A bridge
                                     between present
                                        and future




                        Need is                               Striving
  Finding new          subjective.                              to be
solutions to an                                               the first
existing problem
                       It is about
                          want.


                                                                          20
What is innovation



  Light weight
                                                              Doing things
                                                               differently
                                Surprising



                                             Something that                   Improved
                                               amazes                         employee
                                                                             engagement
             Something that
            does what I need,
            but had not been
               looking for.




                                                                                          21
What is innovation



“I had asked people what they wanted,
If
they would have said: A faster horse.

”
Henry Ford




                                        22
23
Innovation – what do I need it for?


Think in terms of benefits, rational and emotional:

•   Staying ‘one step ahead’
    of my competitors

•   Be the category leader and
    disrupt / drive the market

•   Different usage occasion (new for your brand)

•   Raise brand awareness
    in existing & new markets




                                                      24
Innovation – what do I need it for?


Think in terms of benefits, rational and emotional:

•   Improved user experience

•   Emotional repositioning

•   Increase of market share & profitability

•   New target group




                                                      25
Sustainability:
             A catalyst for
         breakthrough innovation
           rather than a barrier.


“Pioneering brands will be ahead of their customers and show
them how to make sustainable choices, in ways the consumer
cannot yet articulate, doesn’t yet know or doesn’t understand.”
                                        Brand green:10 features for success’ Forum for the Future

                                                                                       © Design Bridge   26
Two types of innovation


What type of innovation do you need?

Incremental innovation
• 90% of our clients. Quick win.
• Turning existing assets into new revenue streams.
• Low risk, known investment, substantial short-term rewards


Disruptive innovation
• Needs commitment
• Creating new assets for long-term growth.
• Higher risk, needs high investment for short, medium and
  long-term rewards




                                                               27
Innovation audit


What kind of innovation support do you need?

•   Commercial model and vision - what do you want innovation
    to do for you

•   Innovation culture: management, champions, budget, process

•   Existing assets - capability, technology, process, acquisitions

•   Brand landscapes: Global / local, channels, portfolio, competition




      Incremental                               Disruptive

                                                                         28
Examples of innovative brands




                                29
Ideas that have happened - incremental




                                         30
a new mood




Category breaking thinking:
moving away from
country of origin (rational) towards
moment of use (emotional)
a perfect setting




Old perception of cider in general:
bad image, for young people to
get drunk.
New perception: grown up,
enjoyment, a new way of drinking
cider. 80% market share in
Denmark
Kapiti
Ice cream by design
Fonterra      Challenge                                                 Solution
New Zealand   In a market saturated by super-premium ice creams,        ‘Ice cream by design’ epitomised this modern brand
Ice cream     Kapiti needed to standout from the crowd. Having          that designed rather than prepared its ice creams.
              developed bespoke flavours for top restaurants, its aim   Bespoke fabric designs were tailored for each flavour
              was to lead                                               to create                                               33
              and define a new approach to the ice cream category.      © collection of ‘must-have’ fashion packs.
                                                                        a Design Bridge
A new kind of message in a bottle


Heineken WOBO (world bottle)
Following a visit by Alfred Heineken to
the Caribbean, he saw two problems:

•   beaches littered with bottles
•   a lack of affordable building materials.

The WOBO became his vision to solve
both the recycling and housing challenges
that he had witnessed on the islands.




                                               34
Leveraging brands through strategic alliances


Issues
•   Ambi Pur: creating inspiration
•   National Georgraphic: fight decrease of
    market penetration

Benefits
•   National Geographic brings fragrances
    from pure and natural locations to Ambi
    Pur, giving them an endless source of
    natural inspiration

•   Ambi Pur brings National Geographic
    into households that would previously
    not connect with the brand.




                                                35
Ambi-Pur & National Geographic




<
                                 36
Innovation – to start




                        37
Innovation – getting started


You’ll need to have in place:

•   Good strategy

•   Good brand

•   Good design

•   Good marketing




                                38
Innovation – getting started


                                                         Creative Culture
                                                         A creative partner to create
                                                         great ideas and help you
Vision / Brand                        Highly             manage them to success
Understand the business,              creative
where are you heading.
What role does your brand
play in that and how does
                            Commercially     Technical
it connect with your
                               aware           savvy
consumers.



                                                 Capabilities
                                                 Use technical design knowledge as
                                                 an opportunity for creativity rather
                                                 than barrier to it.

                                                                                        39
Checklist




            40
Check List - barriers


Who stops great ideas from going to market?

People who say this:
•   Innovation is not about research & processes, it is about people
•   Innovation is not about people, it is about research & process

They need to work together

•   Consumers can’t tell you what they want in the future

But they can tell you’re their problems

•   A good idea has to follow from an insight

Well, sometimes a good idea is just waiting for the insight




                                                                       41
Check List - barriers


Who stops great ideas from going to market?

People who say this:

•   It can’t be done

•   It’s got to be a long and difficult way, it can’t be easy

•   Forget about the consumer for a while. Blue sky thinking

•   It is all about timing.

•   New things should be self explanatory




                                                                42
Check List - team


What skills do you need in a development team

All aspect from your organisation:
•Research
•Marketing
•Logistics
•Production
•Trade
etc

It is about:
•Utilising skills
•Finding solutions for barriers
•Getting alternative opinions



                                                43
Check List – expect the unexpected


Whatever it is you set out to do, it might not be where the answer is.




                                                                         44
Check List – Triple validation


Consumer
Do they see the benefit of our innovation?
How will we create the emotional connection?
Is anyone going to buy what we’ve come up with?

Technical
Can we produce it and what is the investment needed?
Surprise: often less investment is needed than you would think.
Speak with third party suppliers.
Or: you may already have the expertise inhouse.

Commercial
Does it benefit our brand?
Can we make a profit?



                                                                  45
Checklist – Future proof


Branding
Does it feed your existing brand?
Will you need to create a new brand?
How can your brand grow in future segments. Already think of that
today.

Intellectual property
Can you own the idea or can it easily be copied?
Is it a protectable shape?
For example: The coke bottle, innovation around the cap of bottle, the
way of opening the pack.




                                                                         46
larger than life




A good example of
ownable intellectual
property.
Can’t be copied. There is
only one Mr. Lee.


                     before
Check List – The Consumer


What is the big brand idea that your consumer will experience from all
touchpoints?

Will the consumer understand the benefit?

Does the consumer want the benefit? Is there an emotional
connection?




                                                                         48
The connection to the brand




                              49
Feed, not Bleed


FEEDING:
Make sure that any innovation contributes toward the brand vision
An innovation should enhance and reinforce the brand perception.

BLEEDING:
Confuses the consumer
Pulling the brand into territory that the consumer does not see as part
of the brandworld

If the idea is good but it is a form of bleeding, consider creating a new
brand or a strong sub brand with a clear and different positioning from
the main brand.




                                                                            50
Feed, not Bleed


The brand gives the judgement criteria for a go or no-go.

If you feel your brand does not have these judgement criteria, speak
with me.



Good idea, but not on-brand?

If you have a great idea but it would be a form of bleeding, consider
creating a new brand or a strong sub brand with a clear and different
positioning from the main brand.




                                                                        51
Example of good feeding




                          52
Pernod Ricard:

“Beefeater 24 is the biggest successful innovation in our portfolio”




                                                                       53
Beefeater
Made in London
Chivas Brothers   Challenge                                                          Solution
Global            Beefeater had been neglected for several years and, as a           Beefeater now exudes the spirit of ‘Authentic London’.
Gin               result, had lost its premium positioning in many global markets.   In Spain, the second biggest gin market in the world,
                  The brand’s image needed to reflect its rich provenance as the     sales increased 14% in the first nine months and, in
                  only London Gin still actually produced in London.                 the developing market of Russia, sales shot up by 37%!

                                                                                     © Design Bridge                                          54
Beefeater 24
Daring London Glamour
Chivas Brothers   Challenge                                                          Solution
Global            With a new super premium blend, Chivas Bros hoped to               The big brand idea, “Daring London Glamour”, captures the
Gin               cement Beefeater’s place as the worlds leading gin brand.          duality of London’s glamour and danger. Our name, 24,
                  Having helped establish Beefeater Dry as the everyday long         pays homage to the city’s 24 hr culture and the 24 hr
                  drink, we needed to create a compelling story for the new offer.   distillation. In all, an authentic, yet forward looking brand.
                                                                                                                                                      55
                                                                                     © Design Bridge
In summary




             56
Take Aways


Feed not Bleed
Make sure that any innovation contributes toward the long term brand vision.
“Just because you can make a fast buck...doesn’t mean you should”

Triple validation: consumer + technical + commercial
•   Can we create demand, will they want it?
•   Can we deliver?
•   Can we make money?

Innovation is not only about the silver bullet. It is much closer than you
think it is.




                                                                               57
Follow Up


Sveriges Marknadsförbund & Design Bridge

Full day workshop in Q1-2011

Contents:
• Innovation in practice – bring your own challenges to the table
• Find out how innovation relates to your brand
• Groups of 3-4 to work out your innovation opportunities


Please register your interest with:
Jan.Fager@svemarknad.se




                                                                    58
59
Thank you




Intellectual property
Please note that the contents of this document are for demonstration,
comparison & review and may not be reproduced in any way.

Confidentiality
The contents of this proposal are strictly confidential between Design Bridge
and the company to whom the proposal is addressed, and may not be shared
with any other party without Design Bridge’s permission.

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Tendensdagen 2010 Rudolf Rodenburg Design Bridge

  • 1. Tendensdagen 2010 How to turn great ideas into profit generating brands Stockholm, 14 October 2010 by Rudolf Rodenburg rudolf.rodenburg@designbridge.com
  • 2. Contents About Design Bridge Innovation •What do I need it for •Two types of innovation •Examples of ideas that happened •Getting started Checklist The connection to the brand Summary 2
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  • 13. Great ideas are simply not enough, you need to make them happen 13
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  • 19. $$$ How to turn great ideas into profit generating brands $$$ 19
  • 20. What is innovation Finding new products or services that Thinking about consumers did not yet Creative something in know they needed thinking - a different way thinking outside the box A bridge between present and future Need is Striving Finding new subjective. to be solutions to an the first existing problem It is about want. 20
  • 21. What is innovation Light weight Doing things differently Surprising Something that Improved amazes employee engagement Something that does what I need, but had not been looking for. 21
  • 22. What is innovation “I had asked people what they wanted, If they would have said: A faster horse. ” Henry Ford 22
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  • 24. Innovation – what do I need it for? Think in terms of benefits, rational and emotional: • Staying ‘one step ahead’ of my competitors • Be the category leader and disrupt / drive the market • Different usage occasion (new for your brand) • Raise brand awareness in existing & new markets 24
  • 25. Innovation – what do I need it for? Think in terms of benefits, rational and emotional: • Improved user experience • Emotional repositioning • Increase of market share & profitability • New target group 25
  • 26. Sustainability: A catalyst for breakthrough innovation rather than a barrier. “Pioneering brands will be ahead of their customers and show them how to make sustainable choices, in ways the consumer cannot yet articulate, doesn’t yet know or doesn’t understand.” Brand green:10 features for success’ Forum for the Future © Design Bridge 26
  • 27. Two types of innovation What type of innovation do you need? Incremental innovation • 90% of our clients. Quick win. • Turning existing assets into new revenue streams. • Low risk, known investment, substantial short-term rewards Disruptive innovation • Needs commitment • Creating new assets for long-term growth. • Higher risk, needs high investment for short, medium and long-term rewards 27
  • 28. Innovation audit What kind of innovation support do you need? • Commercial model and vision - what do you want innovation to do for you • Innovation culture: management, champions, budget, process • Existing assets - capability, technology, process, acquisitions • Brand landscapes: Global / local, channels, portfolio, competition Incremental Disruptive 28
  • 30. Ideas that have happened - incremental 30
  • 31. a new mood Category breaking thinking: moving away from country of origin (rational) towards moment of use (emotional)
  • 32. a perfect setting Old perception of cider in general: bad image, for young people to get drunk. New perception: grown up, enjoyment, a new way of drinking cider. 80% market share in Denmark
  • 33. Kapiti Ice cream by design Fonterra Challenge Solution New Zealand In a market saturated by super-premium ice creams, ‘Ice cream by design’ epitomised this modern brand Ice cream Kapiti needed to standout from the crowd. Having that designed rather than prepared its ice creams. developed bespoke flavours for top restaurants, its aim Bespoke fabric designs were tailored for each flavour was to lead to create 33 and define a new approach to the ice cream category. © collection of ‘must-have’ fashion packs. a Design Bridge
  • 34. A new kind of message in a bottle Heineken WOBO (world bottle) Following a visit by Alfred Heineken to the Caribbean, he saw two problems: • beaches littered with bottles • a lack of affordable building materials. The WOBO became his vision to solve both the recycling and housing challenges that he had witnessed on the islands. 34
  • 35. Leveraging brands through strategic alliances Issues • Ambi Pur: creating inspiration • National Georgraphic: fight decrease of market penetration Benefits • National Geographic brings fragrances from pure and natural locations to Ambi Pur, giving them an endless source of natural inspiration • Ambi Pur brings National Geographic into households that would previously not connect with the brand. 35
  • 36. Ambi-Pur & National Geographic < 36
  • 37. Innovation – to start 37
  • 38. Innovation – getting started You’ll need to have in place: • Good strategy • Good brand • Good design • Good marketing 38
  • 39. Innovation – getting started Creative Culture A creative partner to create great ideas and help you Vision / Brand Highly manage them to success Understand the business, creative where are you heading. What role does your brand play in that and how does Commercially Technical it connect with your aware savvy consumers. Capabilities Use technical design knowledge as an opportunity for creativity rather than barrier to it. 39
  • 40. Checklist 40
  • 41. Check List - barriers Who stops great ideas from going to market? People who say this: • Innovation is not about research & processes, it is about people • Innovation is not about people, it is about research & process They need to work together • Consumers can’t tell you what they want in the future But they can tell you’re their problems • A good idea has to follow from an insight Well, sometimes a good idea is just waiting for the insight 41
  • 42. Check List - barriers Who stops great ideas from going to market? People who say this: • It can’t be done • It’s got to be a long and difficult way, it can’t be easy • Forget about the consumer for a while. Blue sky thinking • It is all about timing. • New things should be self explanatory 42
  • 43. Check List - team What skills do you need in a development team All aspect from your organisation: •Research •Marketing •Logistics •Production •Trade etc It is about: •Utilising skills •Finding solutions for barriers •Getting alternative opinions 43
  • 44. Check List – expect the unexpected Whatever it is you set out to do, it might not be where the answer is. 44
  • 45. Check List – Triple validation Consumer Do they see the benefit of our innovation? How will we create the emotional connection? Is anyone going to buy what we’ve come up with? Technical Can we produce it and what is the investment needed? Surprise: often less investment is needed than you would think. Speak with third party suppliers. Or: you may already have the expertise inhouse. Commercial Does it benefit our brand? Can we make a profit? 45
  • 46. Checklist – Future proof Branding Does it feed your existing brand? Will you need to create a new brand? How can your brand grow in future segments. Already think of that today. Intellectual property Can you own the idea or can it easily be copied? Is it a protectable shape? For example: The coke bottle, innovation around the cap of bottle, the way of opening the pack. 46
  • 47. larger than life A good example of ownable intellectual property. Can’t be copied. There is only one Mr. Lee. before
  • 48. Check List – The Consumer What is the big brand idea that your consumer will experience from all touchpoints? Will the consumer understand the benefit? Does the consumer want the benefit? Is there an emotional connection? 48
  • 49. The connection to the brand 49
  • 50. Feed, not Bleed FEEDING: Make sure that any innovation contributes toward the brand vision An innovation should enhance and reinforce the brand perception. BLEEDING: Confuses the consumer Pulling the brand into territory that the consumer does not see as part of the brandworld If the idea is good but it is a form of bleeding, consider creating a new brand or a strong sub brand with a clear and different positioning from the main brand. 50
  • 51. Feed, not Bleed The brand gives the judgement criteria for a go or no-go. If you feel your brand does not have these judgement criteria, speak with me. Good idea, but not on-brand? If you have a great idea but it would be a form of bleeding, consider creating a new brand or a strong sub brand with a clear and different positioning from the main brand. 51
  • 52. Example of good feeding 52
  • 53. Pernod Ricard: “Beefeater 24 is the biggest successful innovation in our portfolio” 53
  • 54. Beefeater Made in London Chivas Brothers Challenge Solution Global Beefeater had been neglected for several years and, as a Beefeater now exudes the spirit of ‘Authentic London’. Gin result, had lost its premium positioning in many global markets. In Spain, the second biggest gin market in the world, The brand’s image needed to reflect its rich provenance as the sales increased 14% in the first nine months and, in only London Gin still actually produced in London. the developing market of Russia, sales shot up by 37%! © Design Bridge 54
  • 55. Beefeater 24 Daring London Glamour Chivas Brothers Challenge Solution Global With a new super premium blend, Chivas Bros hoped to The big brand idea, “Daring London Glamour”, captures the Gin cement Beefeater’s place as the worlds leading gin brand. duality of London’s glamour and danger. Our name, 24, Having helped establish Beefeater Dry as the everyday long pays homage to the city’s 24 hr culture and the 24 hr drink, we needed to create a compelling story for the new offer. distillation. In all, an authentic, yet forward looking brand. 55 © Design Bridge
  • 57. Take Aways Feed not Bleed Make sure that any innovation contributes toward the long term brand vision. “Just because you can make a fast buck...doesn’t mean you should” Triple validation: consumer + technical + commercial • Can we create demand, will they want it? • Can we deliver? • Can we make money? Innovation is not only about the silver bullet. It is much closer than you think it is. 57
  • 58. Follow Up Sveriges Marknadsförbund & Design Bridge Full day workshop in Q1-2011 Contents: • Innovation in practice – bring your own challenges to the table • Find out how innovation relates to your brand • Groups of 3-4 to work out your innovation opportunities Please register your interest with: Jan.Fager@svemarknad.se 58
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  • 60. Thank you Intellectual property Please note that the contents of this document are for demonstration, comparison & review and may not be reproduced in any way. Confidentiality The contents of this proposal are strictly confidential between Design Bridge and the company to whom the proposal is addressed, and may not be shared with any other party without Design Bridge’s permission.