Importance of brand in times of crisis

A survey carried out by the intellectual property firm Marks & Clerk has shown that 84% of executives believe that a strong brand is more important in times of crisis in the economic boom.

Similarly, 86% said they would be more willing now, as things are, to come out and defend their products and services over its competitors. A fifth said they spent far more time to safeguard the brand.

Almost all (97%) stated that use your brand is a key part of its business strategy to address the recession, particularly using it as a way to focus their marketing efforts on their core products or services.

In this context, more than three-quarters of respondents said they were going to be more aggressive in protecting their brands, with 80% suggesting they were now more for the work before defending their existing products and services.

This is on paper, since the study warns that companies are still acting in a very "embryonic" to protect their brands. Thus, four out of five executives warned that they were too busy to "spend" more time to safeguard your brand.
branding

Only when there are problems

"One of the most important contributions that can offer a brand to a company's long-term resistance," Pan says Withers, Marks & Clerk, in a statement. "In any case, companies have to take responsibility. All too often care only about protecting your brand when your business is threatened by competitors, "he says.

In this regard, eight out of ten executives surveyed said the "realities" would result, inevitably, a cut of the budget directly linked to the brand. Almost half were spending less than one percent of its budget to protect or monitor their brand.

Insecurity in the labor market and the fear of spending is causing changes between consumer trends. Luxury brands and trademarks green are those that are suffering most in favor of others that are cheaper or that simply offer a better value for money.

Only 14% of the executives who responded to the questionnaire thought that would get the luxury brands to thrive in the current economic climate. Similarly, they asserted that the marks relating to the environment or social responsibility would suffer more.

In contrast, over 90% said the quality-price brands emerge victorious from the crisis. 80% said that confidence was becoming increasingly important to consumers

Opportunities and dangers

This research shows that these changes in consumer behavior may be long distance, changing the long-term market. 80% of respondents said that this relative expansion of the "players" of the market creates a real opportunity for new brands, which can retain its market share after the recession.

Although some respondents showed their doubts about the new cheap brands, which have become one of the most successful competition resulting from the recession, 79% admitted that this trend will prosper.

In this line, 81% expected to be launched to the market cheaper versions of existing brands. This despite the fact that 73% said that this could devalue its brand in the long term and that 44% believed that it is a real danger to the mark.

"Companies will have to carefully position their brands and to demonstrate the value and quality they represent," says Withers.