The other day while lying in bed, a thought occurred to me: Do large monopolies like Amazon still need marketing? It seems everyone uses Amazon already. However, marketing remains crucial even for giants like Amazon and LVMH. Not only is it needed, heavy marketing investment is necessary.

Brand Reinforcement: Ongoing marketing maintains customers’ emotional connection, vital for loyalty and trust. Despite the word-of-mouth effect, if a brand lacks visibility beyond its stores, its image may fade in the consumer’s mind. We process hundreds to thousands of information pieces weekly – new data can displace old brand knowledge. Without reminders, people may forget a brand’s market position, differentiation, and then trust and loyalty decline.

Strategic Approach: A brand should maintain an omni-channel presence with compelling storytelling to remind the public of its relevance. Communicate the brand’s legacy and showcase the value it brings to customers.

Competition: A Chinese saying goes: “逆水行舟，不进则退” (If you do not forge ahead, you fall behind). Many players, including new entrants, covet market share in a brand’s space – so marketing is crucial to stay ahead. Online and offline, numerous brands sell identical products, making selection tough. People often choose what they know best. Ubiquitous brands, like those seen on social media and billboards, seem like market leaders and become preferred.

Marketing Tactics: Define and market its unique selling propositions (USPs). Amazon’s rapid delivery options, more specifically same-day delivery, often make it my first stop for online shopping. Comparative advertising spotlighting advantages over competitors can attract interest and conversions.

Innovation and New Products: Signature products or services build brand identity. However, new needs arise requiring new or improved offerings. Brands that neglect innovation choose disappearance. Once mobile leader Nokia missed the smartphone revolution, failing to recognize shifting consumer preferences, causing mobile market downfall.

Innovation Strategy: Conduct research to uncover unmet consumer needs, utilizing surveys, focus groups, and data analysis. Anticipating market trends and emerging technologies is key. For instance, Dior Couture explored innovative marketing strategies with my study program, including the integration of NFTs, illustrating the value of technological adaptability. An open mind to technology never hurts, even if NFTs are currently less popular!

Customer Retention: Retaining customers is more cost-effective than acquiring new ones. Existing customers likely repurchase, try new offerings, and remain loyal. Loyal customers not only repurchase but also advocate for the brand. Even when dissatisfied, advocates blame external factors due to the halo effect. I delve deeper into this topic in my post about Cult Loyalty.

Brand Loyalty: Prioritize customer satisfaction with exceptional service and engagement. Personal recognition and conversation, both online and offline, can foster a sense of belonging. Brands that listen and act on customer feedback can significantly enhance customer satisfaction.

Changing Perceptions: Marketing is indispensable for altering public perception or repositioning a brand. Burberry’s rebranding, under Daniel Lee, paid homage to its British heritage, reintroducing the 122-year-old Equestrian Knight logo in white and royal blue across campaigns after removing it in 2018.

In summary, effective marketing remains crucial for all brands, regardless of their size. It is essential for maintaining brand relevance, fostering innovation, and adapting to market changes. The ongoing success of giants such as Amazon and LVMH underscores this truth. As the commercial landscape evolves, so must marketing strategies to ensure sustained engagement and growth. Ultimately, marketing is not just a necessity but a dynamic tool for continual brand evolution in a rapidly changing world.