Tuesday 19 August 2014

SodaStream and Apple’s iPhone 6: The brand-product relationship


Lately I’ve been thinking a lot about the relationship between brands and their products, and what it means for both.

  • How much does product development lead the building of brands?
  • How much does a brand’s essence and values lead product development?
  • Or, does the power of these influencers change depending on where a brand or product is in its development cycle?

Taking a look at two very different products, SodaStream and Apple’s iPhone, gives us interesting food for thought.

SodaStream

Just last week, I was having a fascinating conversation about SodaStream, which has enjoyed a fantastic recent international revival, including the brand enlisting the endorsement of Hollywood A-lister Scarlett Johansson. 




This is a story of a brand re-born, and its re-birth has been driven, it seems to me, by a strong vision for the brand, great design, some great strategic partnerships and a clarity of values. It seems to be very much a case of a brand’s essence and values leading product development.

I have happy memories of SodaStream, going as far back as 1978, when as a boy, our friendly neighbours would treat me to SodaStream drinks. Even back then, the product had a fun element, yet it offered the carbonated drinks that it was OK to consume, as far as my parents were concerned. I still remember the advertising tagline of the time, “Get busy with the fizzy”, which characterized the fun that the product sought to encapsulate.

At the time, the product itself didn’t quite match the advertising, because it looked considerably more prosaic and a lot less fun. Predominantly white, cream or beige, it was identifiably a domestic product that belonged in the kitchen, beside the fridge, the dishwasher and the washing machine. It’s function led its marketing. Just take a look at a typical advert.



After a while, SodaStream seemed to disappear, but has now been revived in a far livelier form with a more energetic and robust product and brand proposition. Now, the reality matches the proposition, and I believe it has very much been influenced by what the brand stands for, and what it means to consumers. Plus, it is more sensitive to the nuances of consumer demand and lifestyle.

What’s immediately noticeable is the design. SodaStream’s range looks cool. Consequently, it has become a much more desirable item. The design is the primary innovation in an essentially simple product, but it is instrumental in making the brand contemporary and aspirational. SodaStream’s partnerships with Samsung, Breville and Kitchen Aid strengthens its “hardware” portfolio and boosts the product’s positioning as an aspirational item. No longer is a SodaStream machine simply functional, like the ones I enjoyed in the late 1970s. These partnerships ensure that like Nespresso or Alessi products, SodaStream has become a “must-have” gadget. It has adopted the philosophy of Apple, which has made functional devices (computer and communication hardware) beautiful, and is doing the same in its market sector.

Secondly, SodaStream has forged some important brand relationships. There are those mentioned above, but also partnerships with Kraft, Sunny D, Ocean Spray, Campbell’s and SkinnyGirl strengthens the product’s “software” portfolio – the flavours that are on offer to consumers. SodaStream has been strategic by covering varying bases, from typical soft drink flavours like Kraft’s Kool Aid, through the more “adult” mixer flavours such as Campbell’s V8 beverages, to the health drinks market with EBOOST energy drinks and the premium market of the epicurean Cooking Light brand. It’s a much richer, more varied and more versatile offering than previously, which meets the demand and requirements of varied consumer groups. In short, there’s now something for all the family, which makes SodaStream a stronger proposition as a household purchase.

Third, SodaStream now stands for something. What leaps out at you from its corporate website is the company’s values, and what it wants the product to stand for. Briefly, these are environmental consciousness, encouraging consumers to use a product that produces far less waste than the endless mountains of empty bottles and cans generated by its “big drinks” competitors. Also personal empowerment and health, giving consumers more choice and options that are better for you. At a time when a critical spotlight is being shone on sugar content in soft drinks and snack foods, this is an important point of difference. For example, SodaStream proudly talks about the fact that its cola contains 2/3 less sugar than store bought cola.  In many respects, SodaStream has positioned itself as a cool challenger brand to the behemoths of “big drinks”, like PepsiCo and Coca-Cola.

This makes it more than a product. SodaStream has re-established itself as a lifestyle brand, and as such, it now means more to consumers and says something positive about their choice to buy and use the product. A purchase of SodaStream is now arguably more than a purchase of a domestic carbonated drinks machine. It’s also purchasing a statement about you as a consumer, your tastes, aspirations and beliefs.

iPhone 6

Talk is intensifying about the imminent launch of Apple’s iPhone 6, which could take place as soon as early next month (September 2014).



The main rumours about the iPhone’s new variant seem to be that it will run iOS 8, a fresh update of Apple’s operating system, it will come in larger sizes (4.7 and 5.5 inches) and it will have sapphire, scratch-proof glass.

What’s interesting here is that these changes are incremental: evolutionary as opposed to revolutionary. Arguably it’s a world away from the launch of the early iPhones, which were game changers and market makers. They revolutionised the smartphone market, changed the way consumers used their mobile devices and seemed to offer something entirely new.

Since then, the iPhone has been joined by a host of competitors, both in terms of hardware, such as Samsung’s Galaxy S5, LG’s G3, Sony’s Xperia Z2 and HTC’s One M8, and in terms of software, namely Android. These products have closed the gap between Apple and its competitors, and in terms of some considerations, such as size, have stolen the march from Apple.

The wiggle room for product development seems to be diminishing, but Apple has thrived on two essential brand essences: innovation and design, and it needs to maintain its leadership position to remain a distinctive force. The success of the next iteration of iPhone may well depend on these two factors. From the perspective of innovation, iPhone 6 must work faster and more efficiently than its rivals, and from the design perspective, it must outstrip competitors in the way it looks, feels and operates.

When it comes to Apple and the iPhone, therefore, the brand essence and product development seem to be symbiotic, both by necessity and design. What’s always been important for Apple, as I have previously mentioned here, is that it differentiates its products by making them both beautiful and functional at the highest level. It’s a constant challenge, and it remains to be seen how it meets this challenge with the iPhone 6. I guess that time, and sales, will tell.

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