Consumers are getting more and more educated and can gather information or interact with a brand from many different angles. One common feature within luxury industry is the importance of their history and values (which is summarized in the buzz word DNA) as a legitimacy driver and a point of differentiation. As a consequence, their ability to develop a momentum out of their DNA became a major source of development.
It is easy to identify the codes of communication within a defined category, but it is interesting to look at how very different brands with a genuine and authentic history have capitalized on their DNA to become a reference in their respective product category.
Let’s take 3 brands:
Ruinart is the oldest (1729) Maison de Champagne still operating and evolves in the high-end of the category. It is one of the Moet-Henessy’s brands (LVMH).
And by the way it is my favorite champagne
Jaeger-Lecoultre is one of the leading watchmaking brand, created in 1833, and having developed a unique expertise through their Manufacture. Jaeger-Lecoultre is part of the Richemont Group.
Kiehls’ operates in a complete different sector (skin and hair products). Founded 150 years ago in the USA, the brand offers high quality and premium products with an important focus on customer service. The brand is part of the portfolio of L’Oreal brands.
Communication and advertising are not All
First I have done a very simple exercise by looking superficially over the various communication materials.
The game is…Replace the blanks by one of the brand name!
________ The Quest of Excellence in heritage. A brand which through ages will put always as top priorities, the culture of excellence, values of authenticity, quality and subtleness. Our unique, extensive background represents a blend of different knowledge developed and passed on through generations. This is also a matter of passion, a passion combined to a long standing history of creation.
________ has been known for over a century as “La Grande Maison”.
It works even with other brand names
It demonstrates that communication is not everything. These brands have been able to leverage on a real momentum thanks to their “savoir faire” and a permanent focus on quality.
Source of origin
The 3 brands are anchored in a very precise geographical region which is in tune with the nature of the brand: Reims in France (Ruinart), Le Sentier in Switzerland (Jaeger-Lecoultre) and New York City in the USA (the original retail store of Kiehl’s).
Savoir Faire & Values
It is not only a matter of expertise but much more the ability to transfer and enhance the knowledge over time. Ruinart, Jaeger Lecoultre and Kiehl’s have succeeded in understanding and transferring very complex knowledge across a large variety of professions. In each company there is a set of values which are contributing to their culture.
The Founder
There is an original entrepreneur (or a partnership) who is at the foundation of the company and being part of the heritage.
Products
Even if the 3 brands operate in 3 different categories, they have been able to develop and innovate to propose very high quality products. These brands are able to provide their clients with tangible and emotional benefits.
These brands have been able over time to build a real momentum based on authentic and genuine roots.
Ruinart
...And specific, unique point(s) of differentiation
However, they are not so many which have overtaken the Tipping point. This stems from some unique and specific point(s) of differentiation.
Ruinart has been able not only to develop excellent quality product but a distinctive, very elegant and specific taste. They have a recognizable shape of bottle and packaging which are working as a Signature. The potential of this brand could go beyond where it stands today.
Source: Dailymotion
Jaeger Lecoultre
Jaeger-Lecoultre has developed some unique attributes.
They built an expertise & legitimacy in watch movements as an official supplier of prestigious brands (e.g. Patek Philippe, Vacheron Constantin…) before deciding to develop their own wrist watches.
One of the issues of this industry is to recruit, train and keep good and qualified watchmakers. They succeeded to combine a pool of excellent experts where seasoned professionals and young talented watchmakers are at the origin of significant breakthroughs.
Kiehl’s developed very high quality products based on herbal & pharmaceutical formulas and reached a very unique relationship with their consumers. They are part of the community where they have established their shops. For instance, their stores can be used by local associations to meet, discuss and they take an active part in the daily life of the community.
They have been able to develop their business without doing mass-marketing but turning their clients in very efficient and effective brand ambassadors.
There is a special Prize for whom is watching the video until the end (6′25) I think that consumers can understand a brand’s DNA when they are exposed to the products, the brand and the communication. The conversion is really efficient through a systemic approach where each initiative or interaction with your clients is perfectly aligned with the fundamentals of the brand. Thus, there is this part of alchemy which leads to an emotional connection between the brand and its consumers beyond the products. The passion and commitment of people behind these brands is definitely part of the recipe.
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5 responses so far ↓
1 Matt Green // Sep 26, 2008 at 9:20 pm
I love Ruinart..it’s such a great champagne and so different from the others!! I think the winery was founded in 1729 though..
2 admin // Sep 26, 2008 at 10:04 pm
Thanks Matt. I am pleased to meet another aficionado of Ruinart.
You are perfectly right it 1729 and not 1769. I have corrected the post.
3 Stefan Sarvas // Oct 3, 2008 at 10:56 am
Great case studies. Clearly indicating brands must be true to their heritage, their values. In the end it means consistency - DNA. On the other hand, they must keep consumer relevance, i.e. innovation is important, and be distinctive in a changing environment. Quite interesting point is consistency in sales strategy, particulalry important for high-end brands.
4 Riwal // Oct 8, 2008 at 9:19 am
Interesting stories… What actually strikes me is that the three brands/companies we’re talking about actually are pre-marketing-era entities: whilst thousands of 100%-advertising-fueled icons struggle for survival in a world where consumers have “taken the lead”, where top-down massive communication reaches its limits, where retailer brands propose “cheaper-and-just-as-good” - sucking manufacturers’ innovative blood - it looks like role models for brand management today are to be found at grand-pa’s: these powerful brands come from a time when nobody would bother “building brands”, a time when product and related customer benefits would come first, and naming second. Isn’t there something that’s gone wrong, since then?
5 admin // Oct 8, 2008 at 9:33 am
Hi Riwal,
I think that a long term sucess is based on a “savoir faire” translated in products that consumers appreciate and supported by a brand who knows how to interact genuily with its clients. Simple but effective
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