zyra kate

Member
Hugely successful brands don't do any kind of advertising, still they manage to build their unique brand identity. How did they do that, when other businesses spend huge money just for advertising.

This question has been bothering me for sometime now. Please add your valuable answers and comments to understand this.
 

djbaxter

Administrator
I don't know of any "hugely successful brands" that don't do any sort of advertising.

Can you elaborate?
 

djbaxter

Administrator
They certainly do. At least in Canada and I assume the US.

Google AdWords.

Social media.

Television. (Probably radio too.)

Newspapers.

Weekly flyers delivered to your mail box by the post office.

I'm sure there are more but those are the ones that come to mind immediately.
 
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djbaxter

Administrator
I just checked that article in your link.

Costco also advertises widely in Canada.

So does Lululemon.

I don't know how accurate that article is in the US but it's not at all accurate for the companies listed that also operate in Canada.

Also, HuffPost admit in the article that they are only talking about big money paid ads - even that doesn't apply in Canada - and at least some of those companies do advertise on social media. Those are still advertisements, however, HuffPost wants to spin it to fit their clickbait headline.

That's why HuffPost has a poor reputation as a "news" source.
 

zyra kate

Member
I just checked that article in your link.

Costco also advertises widely in Canada.

So does Lululemon.

I don't know how accurate that article is in the US but it's not at all accurate for the companies listed that also operate in Canada.

Also, HuffPost admit in the article that they are only talking about big money paid ads - even that doesn't apply in Canada - and at least some of those companies do advertise on social media. Those are still advertisements, however, HuffPost wants to spin it to fit their clickbait headline.

That's why HuffPost has a poor reputation as a "news" source.

Thank you so much for the interpretation & helping me understand this. But, I'm still not completely clarified. When it comes to old brands, when there was no digital involved, I'm sure there were small ads on radio/television, but their PR was the major player, is that so?
 

djbaxter

Administrator
How did they acquire that PR in the first place?

Rolls Royce doesn't need to do much advertising now, that's probably true. But new Rolls Royce dealers do. And what do you think Rolls Royce did to get to the point where their reputation is what it is today?

If Rolls Royce didn't exist, and I launched it as a startup. producing the cars they produce today, would I not need to market it and promote it and advertise it just like every other company in the world? The reality is that they don't have much competition in their niche. And they only make and sell one product.

Not many companies can make that claim.
 

pedrocampos

Member
Totally agree. The difference today is that advertising has become precise and specific. You can target your audience very effectively, today via online. Gone are the days that I would think about investing on billboard advertising because today it just doesn't make sense. The goal is, again, to target your audience, not to advertise for a large audience.
 

djbaxter

Administrator
Totally agree. The difference today is that advertising has become precise and specific. You can target your audience very effectively, today via online. Gone are the days that I would think about investing on billboard advertising because today it just doesn't make sense. The goal is, again, to target your audience, not to advertise for a large audience.

There are probably still some benefits for billboard advertising for some purposes but I suspect they are a disappearing breed.

I recently started using a product called Harry's Quality Men's Shaving Products (which by the way are very nice - disclaimer: I am not an affiliate, just a customer). I saw their ads on Facebook. Then I saw that someone (a sister-in-law) I know had liked their page. Then someone else I know liked the page. I decided on that basis to give them a try and now I'm a repeat customer. I've never seen ads for their products anywhere else, although I cannot claim that such ads don't exist.

As @pedrocampos says,

The goal is... to target your audience, not to advertise for a large audience.
 

zyra kate

Member
There are probably still some benefits for billboard advertising for some purposes but I suspect they are a disappearing breed.

I recently started using a product called Harry's Quality Men's Shaving Products (which by the way are very nice - disclaimer: I am not an affiliate, just a customer). I saw their ads on Facebook. Then I saw that someone (a sister-in-law) I know had liked their page. Then someone else I know liked the page. I decided on that basis to give them a try and now I'm a repeat customer. I've never seen ads for their products anywhere else, although I cannot claim that such ads don't exist.

As @pedrocampos says,

Due to this precise lead generation across digital media, Even some SME's who can't afford to advertise on mass media, can gain recognition with their good products & services.

Nowadays, people are more interested on a product if the others recommend it/like it, Just like @djbaxter had stated. Similarly, the reviews & comments on E-commerce sites are highly significant.
 

pedrocampos

Member
Today more than ever, clients are getting smarter in their choices, so more than targeting your audience is how do you can provide value to them, building a relationship, that`s the key to sales.
 

Jerrand

Member
I don't know of any "hugely successful brands" that don't do any sort of advertising.

Can you elaborate?

I agree with Baxter, it's very hard for a brand to become successful without effective advertising. Minus the conventional methods of advertising, a brand is left with infomal methods such as word of mouth, peer to peer etc. And those have very significant limitations with respect to reaching a wider audience or market penetration
 

pedrocampos

Member
Definitely, there are a lot of business out there that are struggling due to the lack of progress when it comes to gaining exposure. Targeted and online marketing is so crucial, today, only those who understand that, can see their business grow or at least not falling back.
 
Hugely successful brands don't do any kind of advertising, still they manage to build their unique brand identity. How did they do that, when other businesses spend huge money just for advertising.

This question has been bothering me for sometime now. Please add your valuable answers and comments to understand this.
It's a very difficult question to answer exactly. Actually, your question is not very clear I am confused little bit what you actually talking about!! There are so many successful brands who do advertising to promote their brand in so many channels and get more referrals or new clients easily. Once they set their online presence then they do not use further advertising.
 

zyra kate

Member
It's a very difficult question to answer exactly. Actually, your question is not very clear I am confused little bit what you actually talking about!! There are so many successful brands who do advertising to promote their brand in so many channels and get more referrals or new clients easily. Once they set their online presence then they do not use further advertising.

When you look at a most company's finance allotments for ad spend, it's incredibly high, sometimes that's their biggest spend. What if companies without this kind of capital do for ads? I know digital marketing has broken that barrier.

I'll get the point with this example- If there is an ad on television, some people are curious what it's about & watch it, but mostly we change the channel when there are ads. The ratio of people actually enquiring about that product or buying the product is quite low or hard to determine.
Nowadays, there are too many ads everywhere, people often get irritated by those, from radio to mobile apps, this is leading to the loss in credibility of ads.
How can an organisation get ahead without ads ? I feel PR is the key.
It's often said that PR has been a mere supporting function for advertisement, but it's otherwise. For eg- If newspaper journalists, radio jockeys, common people or experts/critics talk about the product, even a word of mouth by the customers/clients can work wonders. Also, as mentioned above, referrals is a great PR - If a relative or a friend is using the product & recommends it to you, won't we all definitely try it out?
 
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Allrise

Member
I believe the tone of that article is more in the direction of these brands have built to a point that they could get away with (at least for a while) not doing any sort of advertising and continue to be successful. However, in order to continue to grow and be relevant, ALL businesses need to advertise to one degree or another. The referenced business all hit their cult status by being very diligent and widespread in their advertising efforts.
 

DakotaJ19

Member
Digital marketing & SEO is key for businesses today. There are a lot of companies out there that can help you develop a plan for your business as well as many things that you can do yourself to get the ball rolling. Like several others said above, it's about creating a personal connection and spreading word of mouth. We see so many ads on a daily basis that unless something causes it to stand out we will likely just cruise on by.
 

mentrabi

Member
These brands already did the hard work of becoming a house hold name years ago so yeah they can get away with less.

The best way to market :

Your ad budget should be about 20-30% of your total budget.

You should spend it all everyday every week every month and have a measurement strategy to understand where it's profitable to keep spending.

Additionally your marketing strategy should have a built in goal of building trust with your customer base. In most cases direct advertising will not net a positive ROI. If it did that would be akin to printing money and everyone would be doing it.

Having a good solution, understanding your audience and marketing strategy, spending wisely and delighting your customers more than the competition and you can begin to create the next level marketing your seeking :
Word of mouth
 

djbaxter

Administrator
The best way to market :

Your ad budget should be about 20-30% of your total budget.

You should spend it all everyday every week every month and have a measurement strategy to understand where it's profitable to keep spending.

That's just not realistic for many businesses, even those entirely online but especially for small brick and mortar businesses. It's also not necessary for many businesses to spend that much on advertising if you optimize properly for local search and mobile search, and if you involve your business in local events where you can be publicly seen (free advertising).

Having a good solution, understanding your audience and marketing strategy, spending wisely and delighting your customers more than the competition and you can begin to create the next level marketing your seeking :

Word of mouth

Again, a big part of the target for many small businesses. More free advertising. :)
 
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