Brands must skirt pitfalls on the global road

As the world becomes smaller each day due to globalisation, the information superhighway and popularity of social network sites, brands can go global overnight. However, analysts say this is not the right way to do it and there are a lot of things that brands need to do and look out for before going global. Dwelling on the issue of what truly defines a global brand, Michael Hughes, Executive Director, Strategy, The Brand Union, Middle East, told Emirates Business : "Even though this is something that is highly debatable, most branding experts agree that for a brand to be classed as global it must have a reasonable level of awareness across the world. To be successful, the brand needs to be relevant and desirable to consumers across multiple markets. "In many cases, brands often use their provenance to build a solid reputation and then transfer this equity into new markets. Often this means adapting the brand in some way to ensure it is relevant and desirable in each market. In the quest to become global, the challenge is to ensure that the brand is not stretched too far from its original promise and doesn't try to become everything to everyone and hence nothing to anyone." According to analysts, brands cannot go global overnight and a lot of time and effort is required for this purpose. To establish fitness for global expansion a brand must consider the market opportunity gap and opportunity. Brands entering different markets must ensure that an opportunity exists to be able to compete in that market. The questions that need to be asked are: is the category overtraded or is there a desire for something new? Does the brand need to educate the consumers or change buying habits and how much investment is required to do this? High performance Brands must also consider performance because to compete on a global level they must make sure that their performance is high so that they can live up to consumer expectations. Brands must attain global standards as there is only one chance to set the standard in a new market and companies need to aim high and be able to deliver. A company should also invest in research so that it understands the market and the consumers. It should never assume anything about the local market as there are cultural and lifestyle differences that need to be considered. Companies need to understand the market drivers, opportunities and trends and even after entering the market, must keep up with those trends. They must be prepared to flex the brand to take advantage of opportunities while staying consistent with their values and promise. The brand also needs to appeal to a wide-ranging market. It must have the ability to leverage its local appeal to a wider group without disregarding its core. Brands must also have a clearly defined position, a clear brand message and promise that it lives up to and ideally should be able to stand out from the crowd in terms of personality and design. Importantly, brands must keep up with the changing demands of consumers. Even brands with strong heritage and authentic values must be prepared to evolve to ensure they retain their appeal. Also, sustainability is important these days as consumers are more concerned about the environment and how their actions can make a difference. This is a must for future success in most major markets. However, it is not just about changing the identity or colour palette to green. Sustainable development means meeting the needs of the present without compromising the ability of future generations to meet their own needs and this requires a balanced consideration of economic, social and environmental factors. Companies must also ensure that they are able to handle and control their brand globally. They must be committed to achieving success and their aim should not be just to enter the markets. And last but not the least, brands need time to succeed in new markets and short-term thinking can inhibit the ability of a brand to build long-term sustainable trust and appeal. Companies need to consider that it takes time to build a brand internationally and brands need to be realistic in their endeavour to achieve loyalty and success. Global potential Talking about which brands in the UAE have the potential to go global, Olivier Auroy, General Manager, Landor Associates, said: "In the UAE, most of the big brands related to hospitality and travel businesses have the potential to go global because, naturally, they have to go abroad and are exposed. Jumeirah and Emirates are already global in a way. They have made acquisitions around the world. For example, Jumeirah acquired Essex House and Carlton Tower and then added their own branding to it. "In the same way, Emirates has entered and made itself known in the international markets due to its aggressive sponsorship policy of major sports events, teams, stadiums etc. These two brands have the potential to go global because they truly represent what the UAE is all about: boldness, innov