Yo! If you have ever watched the TV series Breaking Bad, you will be familiar with this slightly ambiguous word. It can mean anything you want, it just depends on how you say it.
So yo! We all know this corona will destroy livelihoods, organisations and nations. (Everyone except big tech, for more on that scroll down). Especially if you were borderline.
From a country standpoint, you could be Zambia, which has just defaulted on its external debt obligations. Even BC (Before Covid), our African sister state already had annual debt repayments amounting to 8 per cent of its GDP.
The latest list of Covid-19 casualties among companies include American clothing retailer J. Crew , whom we used to tailor clothes for in Nakuru ; Hertz, who needs cars anymore? Though it is still surprising how it only took a few months to down them, kwani they didn’t have savings? In other mysterious business downfalls – GNC – a store that sells vitamins (sounds like a winner during a pandemic) has managed to fail, with plans to close more than a third of its 3,000 stores.
Yo. Yet amongst the doom and gloom there are companies that should be failing that haven’t. Like Apple.
Surely, there should be no market for over-priced, status symbols during these austere times? Yet the lines to the temple of its brand fans, the Apple Store, are as long as ever.
And it’s not an accident. According to Interbrand, Apple was the no. 1 ranked brand in the world in 2020, with its brand value calculated at a whopping $323 billion.
What’s brand value, you ask? Well essentially, it’s what you think of Apple and, its products, how it meets your expectations versus what it promises, its customer service, apps, etc. The algorithm that computes the numeric value includes customer loyalty, financial performance and future profitability.
Basically, Apple ticks the box on every single consumer touch-point better than any other marque in the world.
Perhaps mirroring a Covid afflicted world, Amazon made it to no. 2, with a 60 per cent year-on-year increase in brand worth, reflecting the greater perceived utility of this brand in a world where online shopping has become a significant channel.
Another brand on that top 10 list is Samsung and yo, who knew anyone could survive the exploding phone saga of 2016? Remember when airline check in desks had signs asking if you had a Samsung phone?
But the brand bounced back cushioned by its decades-long cumulative investment in offering consumers an inspired and futuristic world. As per Forbes, six of the top 10 most valuable brands are technology based.
So what does that tell you? Technology companies, by virtue of the internet, have in theory billions of potential global consumers. They can scale rapidly; and they also have the ability to offer a more consistent brand experience through the use of their web-based platforms.
When we finally wade through the aftermath of the Covid Tsunami, we will find the debris of many weak brands, organisations and countries.
To be clear though, brand-building is a peace-time activity and a healthy brand value basically acts as a buffer in times of crisis.
So if you haven’t already, start putting aside something in the piggy bank of your brand equity. This will provide a strong balance-sheet of intangible assets to weather any disruptions. Its what smart companies do.
