Make the Most of a Polarizing Brand Harvard Business Review Article By Xueming Luo, Michael Wiles, and Sascha Raithel Harvard Business Review Article Analysis 1
1. Make the Most of a Polarizing Brand Harvard Business Review
Article By Xueming Luo, Michael Wiles, and Sascha Raithel Harvard
Business Review Article Analysis 1
2. Introduction Harvard Business Review Article Analysis 2
3. Harvard Business Review Article Analysis 3 Love-em or
hate-em ? Polarizing Brands are here to stay! Sometimes using that
characteristic can help boost sales and shape public perception.
Owning up to Miracle Whips polarizing nature amongst users helped
boost sales by 14% and increase social media postings by 631%
4. Knowing Statistics +ve & -ve Important Harvard Business
Review Article Analysis 4
5. Harvard Business Review Article Analysis 5
6. Harvard Business Review Article Analysis 6
7. Statistics are They help us segment the market into various
parts as per our needs. They help us identify the target audience
who we need to convince They also help us know our fervent
suporters and naysayers Important for rigorous analysis and
effective marketing Harvard Business Review Article Analysis 7
8. Till They Become our Enemies! Must tread carefully. Mean
scores can be deceptive sometimes especially while analyzing
polarizing brands. Harvard Business Review Article Analysis 8
9. The Good, Bad & Ugly Stock Market study suggests that
highly polarizing brands tend to perform more poorly than others,
but they also tend to be less riskyto exhibit relatively little
variation in stock price. Harvard Business Review Article Analysis
9
10. Tools of Use: Brand Dispersion Statistics like Brand
Dispersion help measure polarization Higher percentages of brand
lovers and haters, the greater the polarization. Harvard Business
Review Article Analysis 10
11. Tools of Use: Standard Deviation Another way is to
calculate the standard deviation of consumers overall ratings.
Higher standard deviations indicate greater polarization. More
precise and can be especially useful when brands are rated on
3-point or 5-point scales. Mostly similar results given by both
methods. Harvard Business Review Article Analysis 11
12. McDonalds vs. Intel (Polarization Survey) Harvard Business
Review Article Analysis 12 Highly Polarizing Brand 33% consumers
love it 29% consumers hate it Low Polarizing Brand 33% consumers
love it 3% consumers hate it
13. Capitalizing on Polarization Placate the haters Poke the
haters Amplify a polarizing attribute Harvard B usiness Review
Article Analysis 13
14. 1. Placate The Haters Change the haters mind by addressing
points of concern Creates a larger pool of customers & reduces
negative word of mouth Harvard Business Review Article Analysis
14
15. A Case in Point: Betty Crocker, General Mills Harvard
Business Review Article Analysis 15 Problem In late 2000s, the
brand, synonymous for baking mixes, was suffering due to rising
concern about obesity and criticism of food marketing techniques In
2008, 4.5% of customers were Betty Crocker Haters A Subsidiary
Of
16. A Case in Point: Betty Crocker, General Mills Harvard
Business Review Article Analysis 16 Solution & Results April
2009, started a blog, MyBlogSpark, to defuse complaints and address
concerns Became first major brand to develop gluten free mix and
partnered up with Celiac Disease Foundations to start
liveglutenfree.com %age of haters dropped to 2.8 percent in 2011
from 4.5% in 2008 A Subsidiary Of
17. 2. Poke The Haters Succeed by intentionally antagonizing
the detractors Ardent supporters mount defense on buzz created
& help sway neutral customers. Harvard Business Review Article
Analysis 17
18. A Case in Point: Ryanair Harvard Business Review Article
Analysis 18 Status Quo & Policy Ryanair, a low cost European
Airline has always sought to cut budgets and provide services at
lowest possible cost Keep needling critics of its no-frills service
by making new proposals to trim amenities, eg: $70 to print
boarding pass!
19. A Case in Point: Ryanair Harvard Business Review Article
Analysis 19 Results Observed Difficult to discern sometimes between
genuine proposals and ones offered in jest, eg: fat tax and leaving
just one toilet in the plane Making witty proposals, even if not
fully implemented, within limits can cement reputation of company
to go to great lengths
20. 3. Amplify A Polarizing Attribute Sometimes a single factor
is the cause of hate amongst detractors Creating a different
product to amplify differentiation, can help bolster loyalty
amongst (and revenue from) diehard fans Harvard Business Review
Article Analysis 20
21. A Case in Point: Marmite Harvard Business Review Article
Analysis 21 Status Quo & Policy Marmite, is a distinctively
salty British condiment True to its polarizing nature since 1902,
its tagline is Love it or Hate it In 2010, a new extra strength
product, Marmite XO, was created to amplify the point of
polarization Results Observed 30 devoted fans were brought to a
sample tasting, accompanied with Marmite-flavored cocktails A
Facebook group set up after the tasting, in promotion of the new
product generated over 54,000 visits to the companys website
Marmite XO sold off the shelves as soon as it came!
22. Creating Polarization Drive a wedge in the market Launch a
provocative ad Harvard Business Review Article Analysis 22
23. 1. Drive A Wedge In The Market Sometimes being all things
to all people can backfire heavily Therefore consumer segmentation
is created, which increases polarization and boosts revenue Harvard
Business Review Article Analysis 23
24. A Case in Point: Magners vs Strongbow Cider Harvard
Business Review Article Analysis 24 Initial Step Taken By Magner
Starting marketing cider, usually served without ice, as a
refreshing iced summer beverage to target the young crowd Sales
soared amongst young upscale professionals, who previously didnt
consume cider, a drink usually consumed by the working class warm
Counter Step Taken By Strongbow Strongbow observed and capitalized
on the newly segmented market, between the traditional working
class and the youth Sales for Magner declined in the colder months,
as Strongbow invested more heavily in the core warm cider market
Strongbow sales rose by 29% in 2009, beating overall cide sales by
6%, as its acceptance amongst working class increased
25. 2. Launch A Provocative Ad (Sample On Next Slide) Marketers
try to increase visibility by running ads all but designed to turn
off a certain share of viewers Harvard Business Review Article
Analysis 25
26. Harvard Business Review Article Analysis 26
27. A Case in Point: Progressive Insurance Harvard Business
Review Article Analysis 27 Policy Brought In Effect & Results
Observed Launched Ads in 2008 featuring super peppy Flo, in
contrast to animals sported in rival ads Big Personality Flo
polarized viewers, with some adoring her and others finding her
annoying Despite ad being highly disliked, the campaign and
negative reaction increased brand awareness & sales.
28. Harvard Business Review Article Analysis 28
29. Takeaways & Words Of Wisdom New troves of data becoming
more available each day. Brand managers must use tools at their
disposal to analyze Brand Dispersion & Standard Deviation of
their brands appeal amongst users Once Popular and Non-Polarizing
Brands can nowadays become quickly polarizing Must use power of
social media effectively, and when the need be we must Capitalize
on the Polarization There may also come times when it may be
strategically wise to Create Polarization & we must seize the
opportunity Harvard Business Review Article Analysis 29
30. Harvard Business Review Article Analysis 30
31. Credits & References Flickr.com Images.google.com
Youtube.com Make the most of a polarizing brand, HBR article by
Xueming Luo, Michael Wiles, and Sascha Raithel Harvard Business
Review Article Analysis 31
32. Created by Dhananjay Goel, IIT Delhi, During an Internship
by Prof. Sameer Mathur, IIM Lucknow. www.IIMInternship.com Harvard
Business Review Article Analysis 32 PROF. SAMEER MATHUR IIM LUCKNOW
DHANANJAY GOEL IIT DELHI