REPORTS

Premium Brand Development to Break Through Commoditization

Commoditization and Uniqueness

Commoditization refers to products and services that have become so common that it has become difficult to differentiate quality. Because quality differentiation is difficult, the only criterion for consumers is price, and as manufacturers compete to bring cheaper products to the market, the price of products in that category will fall. It is rare not to see commoditized products and services in modern life, including not only beverages, food, and alcohol such as tea, instant noodles, and beer, but also daily necessities, home appliances, passenger cars, and even services in the financial industry and hotel industry. This is the natural result of the repetition of mass production and mass consumption that occurred during the period of postwar reconstruction and rapid economic growth, when many companies refined their technological capabilities and production capacities, and the people gained economic power.

In each of these commoditized markets, companies are making further efforts every day to differentiate themselves from the competition. Pilot Corporation has rethought the value of ballpoint pens as indelible and erasable, and developed the “Frixion Ballpoint Pen” with erasable ink technology. Coca-Cola Japan, in response to growing environmental awareness, developed a nature-friendly PET bottle that can be crushed by hand, resulting in the hit product “Irohasu. Apple’s various products, including the “iPhone,” clearly distinguish themselves from other companies’ smartphones and PCs with their intuitive operability and innovative design. In addition to significant functionality, these brands have succeeded in establishing a unique presence that is unrivaled by the competition by presenting consumers with a brand image of what kind of lifestyle can be realized through unique naming, logos, designs, etc.
The development of new technologies and the discovery of previously unforeseen perspectives will continue to bring forth attractive products and services, but it is also important to consider how to establish brand uniqueness.

Commodity market that stands in the way

Company A, a manufacturer and distributor of processed foods that are eaten daily on Japanese tables, approached Braavis to develop a premium brand. Company A’s processed foods had been used in Japanese cuisine for a long time, so there were many competitors, and the market had become commoditized. Furthermore, the prices of raw materials had skyrocketed, and the market as a whole was in a difficult situation. In this situation, Company A asked us to create an attractive new product brand that consumers would choose even at a high price, and brand development began.

DNA that the new brand would inherit

Company A, which possesses superior food manufacturing technology, has been producing hygienic, delicious, and easy-to-use food products in accordance with its corporate philosophy since its establishment, and is a leading company in the industry that has created products that have become the standard in the market. In developing the new brand, the goal was to make the brand itself popular among consumers, while at the same time enhancing the brand power of Company A, which owns the brand. Therefore, in order to create an affinity between the new brand and the corporate brand, it was necessary to find an attractive added value that would be worth the high price, while leveraging Company A’s DNA of superior technical capabilities and corporate philosophy, based on consumer needs.

Brand Development Based on Consumer Insight

The project started with market research to clarify the differentiation from the competition and to find a direction for success. In parallel with the understanding of competing products in terms of price, capacity, shape, etc., internal interviews were conducted with management, technical development, manufacturing, and sales personnel. Potential key factors for new product development were identified, and insights from sei-katsu-sha were elicited through original sei-katsu-sha surveys to gather the hints necessary for the development of new products that would become the cornerstone of the brand. Product development was based on the various information gathered, and product strategies were formulated through a combination of 2-day workshops with multiple departments at Company A (marketing, sales, R&D, etc.). We developed and proposed a rich variety of product ideas that are not yet available in the world.

In order to create a more attractive brand, we also developed the brand name, logo, and package design even before the brand direction and product ideas were finalized. By proceeding with the various tasks while the elements were still in the process of being finalized, we were able to incorporate the promising ideas that emerged from each task into the concepts and product ideas during the development process, allowing us to be flexible and brush up on our ideas.

In the end, the ideas developed and proposed by Bravis ranged from brand concepts, brand slogans, brand naming, brand logos, product ideas, product catch copy, and package designs. From these ideas, a premium processed food brand was born that was appropriate for Company A’s corporate philosophy and satisfied the needs of consumers.

Total Branding Implementation

To develop a unified world view after the brand was born, we provided consistent support in commercial production and sales tool development to achieve total branding. The brand has been delivered to major convenience stores and featured in the media, and has been well received because of its reliable taste and new features not found in conventional soy food products.