Smaller difference and different reasons for buying

One of TomorrowToday’s best associates is Markus Kramer. Until recently, Markus was Global Head of Branding at Aston Martin and before that worked for other luxury brands, including Harley Davidson. He is a true world expert on luxury brands, and the lessons all industries can learn from how luxury brands operate. You can see Markus’ profile here.

One of the sessions Markus delivers is on these lessons from luxury branding. It’s a powerful insight into how any brand can use some of these techniques. In his daily blog today, Seth Godin wrote eloquently on why this is becoming more and more important in a world where differentiation is becoming harder and harder.

All good and thought provoking stuff. If you’d like Markus to come and speak to your team about this, please contact us for more information.

Small differences, looming large

As we get more technologically advanced, more civilized and more refined, differences get smaller.

The Nikon SLR was in a different universe than the Instamatic. Just about anyone could instantly see the differences between pictures taken with these cameras. Taking pictures for online use with the Sony RX1 and the 80% less Canon pocket camera–not so much.

The rough peasant wine available on your table at a local restaurant was a totally different experience than a vintage Burgundy. Thirty years after that vacation, it’s pretty tough (in a blind tasting) to tell the difference between a bottle that costs ten dollars at the local store and one that costs $200…

The speed difference between a Mac IIfx and a Commodore 64 was no contest. One was for professionals, one was a game for kids. Today, there’s no dramatic functional difference for most users between the speed of the cheap Android tablet and the Mac Pro.

But of course, for those that care, the difference matters more than ever. For those that care, the premium available to be paid for a better camera, wine or computer is actually far greater than it ever was before.

As the differences get smaller, the purely functional reasons for premium goods fade away, and instead they are purchased for the reason we’ve always purchased luxury goods: because of how they make us feel, not because of what they actually do. The fur coat is not warmer than the down jacket, it’s merely harder to acquire.

Source: Seth Godin

See Markus’ speaker page at: Markus Kramer.

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