1/13/2016 5:46:29 PM
Battle of the brands: EE, Moto and O2 fight for their lives
When two major companies merge one of the biggest topics of debate is brand, whose is more powerful and should one be axed or both be used.
This year there will be a number of big decisions taken on brand as those in power decide whether to phase one brand out and push another to the fore. Changes are expected across the industry from Motorola to EE and Nokia to O2 as brand looks set to be a major theme:
History counts for nothing
When it comes to making a call on what whether a brand lives or dies it’s those with the money that always have the final say. It doesn’t matter that a business owns a brand that went from nothing and became a household name, if an owner doesn’t feel it’s theirs it gets the boot. In mobile we have seen brands with apparent popularity completely vanish at the new owner’s behest. You only have to look at the likes of One2One and Orange to see how quickly a successful name can be forgotten. It’s the battle O2 may face with its new owners Hutch, activity in other countries has shown that Hutch tends to like using its Three brand no matter what.
Value is very hard to calculate
Putting a price on a brand is a thankless task, it’s almost impossible to calculate how valuable the Apple brand is or what weight the BlackBerry name still carries. Certainly in the manufacturer space the lifecycle and licensing possibilities that come from a popular name last a lot longer. Nokia is a good example of this, because long after their decline from the world of consumer tech third parties are still queuing up to slap the Nokia name on a new range of devices. So it appears names that consumers physically interact with acquire greater worth.
Quad play and multi brand won’t mix
This week there have been rumours suggesting that BT will be keeping the EE brand rather than switching to BT Mobile. Whilst that might well be the case in the short term, it seems unlikely that in a market where the goal is to sell four services to the consumer the brand would be diluted in this manner. For those in the industry it seems obvious that BT and EE are connected. However for the general public this is not as clear cut, muddied all the more so by the major advertising campaign from BT Mobile that appeared before Christmas. It seems fair to suggest that in the long run in order for quad play to resonate with the consumer there will be a singular identity.