Mercedes and their Smart Cars, or the B-list.

A while back, we had an in-class discussion about whether Mercedes Benz was tarnishing its brand image by releasing a lower end model. My group member , Alice, whom I recently found out drives the same car as me (great taste!), seems to share the same opinion as I do, on the Benz matter as well. To quote her post,

“It’s the fact that Mercedes is now everywhere on the road that really turns me off.”

Couldn’t agree more. With the amount of Mercedes’ out on the streets now, it feels like they’re beginning to decline in their product life cycle. They’re starting to spit out anything they can (there’s now 14 different classes), and it’s getting repetitive. I mean, it’s not like they’re selling model after model of SLR McLarens. I’ve only seen 2 SLR’s over the past few years, and I see about 2 B-classes every 10 minutes driving in Vancouver and Richmond. I don’t find it prestigious nor perceive it to have a high value when I see it everywhere, every time. Nothing new.

Mercedes prides itself on luxury, and new technology. Neither of which I see any more. Unless I look at this:

but it’s not a Benz.  It’s the Hyundai Genesis, base cost of $40,000, is just $10,000 more than the B-class. The highest end of Hyundai vs. the Lowest end of Mercedes, A sports car vs. an “all around car”.

It’s just a matter of time that Hyundai will increase it’s perceived value, as long as it sticks true to its brand name and image – “Affordable New Cars”.

Like we’ve learned from the beginning, “your brand comes from the promises you keep”.

Mercedes may have then proceeded with “promises are meant to be broken”. Bold. Very bold, but not that smart. So much for Smart Cars..

The World’s Top Brand Goes to …

And the winner is…

http://www.usageorge.com/Wallpapers/Commercial/Coca-Cola-Polar-Bear.html

None other than our polar bear loving friends, Coca Cola.

When I think of my experiences with Coca Cola, I think back of the House of Happiness that they had at Livecity for the 2010 Olympics. What I found the most intriguing was their promotion of “Healthy Living”. When we think Coke, we often think pop, soda, sugar, carbs, and almost everything unhealthy into one delicious can (typical of any junk food). Never have we ever thought of it as a healthy choice to be drinking Coca Cola.

As the world’s number one global brand, Coca Cola prides themselves on “Growth, leadership, and sustainability”. They recognized that society in general has gotten more health concious over the last few decades, and recognized in their SWOT analysis that an opportunity had presented itself. What a better way to promote their stride for a “healthy lifestyle” than to team up with the Olympics – the showcase of the world’s top athletes who are bound to live healthy lives. As well, Coca Cola recognized that they had recognized another weakness, in that their brand was not known for it’s sustainability either. The House of Happiness was filled with events and games that demonstrated these core values. What a better way to remind and educate their consumers than to put them through fun tasks that demonstrated what the brand really stood for.

Even the top brand of the world needs to constantly perform an immediate analysis and use tools like the SWOT analysis to clarify and re-establish brand clarity to both consumers, and the company itself. In doing so, companies remind themselves what their brands stand for, and most importantly, remind consumers why their brand has competitive advantages over leading competitors.

Here’s a snapshot of the runner ups:

http://www.interbrand.com/en/best-global-brands/best-global-brands-2008/best-global-brands-2010.aspx