Building the DNA of Global Brand
March 17, 2015
This week I have been working with Yildiz Holding, which is a Turkish market leader with wide range of chocolate and snacks, imitating the concepts of global players then delivering them cheaper. How things change. Now Yildiz is devouring global brands itself, from Belgium’s Godiva Chocolatier for $1.3bn to Britain’s United Biscuits for $3.2bn. Now with 53 plants in 10 countries, and a portfolio of billion-dollar brands like McVities and its Jaffa Cakes, Yildiz is ready to take on the world.
However success requires change. In Yildiz’s case they want to double their revenue in four years. But securing a significant return on acquisitions requires more than just operating the existing businesses. It’s all about “fusion” … mixing up the new portfolio across markets, to combine brands and products, capabilities and channels. Kraft’s acquisition of Cadbury quickly gave us Philadelphia cheese with a twist of Dairy Milk, Ritz sandwiches and KitKat ice creams … Fun products, but the real money is in simplifying the complex product ranges through the lens of a small number of more powerful consumer-centric brands, then taking them as innovative ranges in new and relevant ways to the world’s fast growth markets.
Another example of this shift in power, and power of fusion comes from India … Tata Group have done a fabulous job in reenergizing the Jaguar and Range Rover brands, encouraging new concepts and editions to reach out to new audiences, from the female-friendly Evoque, to the streets of Shanghai. Whilst Tata has stayed loyal to the origins of the brand, giving new life to British carmakers, it has added the vision, networks and drive to win in new markets such as Brazil, China and India. Tata doesn’t just look west, having this month made a huge investment in Xiaomi, the Chinese tech superbrand that is outthinking Apple in emerging markets, and has created $45bn value in just 5 years.
Download my keynote “Building the DNA of Global Brands” at www.slideshare.net/geniusworks