Golden Rules of Brand Building 2
"Especially in the retail field, most successful companies implement a successful five-step strategy in narrowing down their target: 1. Narrow your target. Limit your customer base. 2. Stock up to the maximum. A large store has 3,000 types of toys, a typical Toys'R Us has 10,000 types of toys. 3. Buy cheap. 4. Sell cheap. 5. Dominate the category."
02. Contraction Rule
The stronger a brand is, it is directly proportional to narrowing its target.
Think Starbucks. While building his brand, he started by selling just one thing: Coffee. If you are a coffee lover, you know that Starbucks is the only place where you can find all kinds of coffee, hot and cold. This is also a sharing of culture. We know that when we go to Starbucks, we can meet such people who are familiar with coffee culture and prone to other subcultures related to it. Let's give an example from Europe. While Belgium is famous for its many delicacies, it is also known for its great fries. When you want to eat french fries there, you buy your product from any fries on the street instead of going to any restaurant. This means in consumer perception: Since this place only makes potatoes, it focuses on a single job, a single quality. It's the best thing they do and they sell it. At this point, the fact that the brand has a sector it focuses on naturally gives it the title of expert in this category. Let's look at the lowest segment, micro SMEs that may have no knowledge of branding. Think of a 10 square meter place that only sells toast. Do not doubt that you will encounter a serious queue in front of it and this place will be known as "Toaster X"! Its name, corporate stance and vision are debatable, but this does not change the fact that it has gone through an organic branding process and achieved this.
When we turn our heads to the digital side, we encounter the reality of Intel. This company, which produces only microchips, has 80% of the world market. When you look at the different product and service segments of the industry, you can see that the most successful brands in that category only do a certain job and narrow their targets.
If you try to sell everything, you'll become a marketer or a supermarket rather than a brand.