Even if you make Stratocaster guitars, you still need to innovate
Even if you have never played guitar, you probably recognize the brand name Fender. If not, you certainly have heard some of the most famous musicians in the world playing the Stratocaster guitar made by Fender. Buddy Holly played his "Strat" on the Ed Sullivan show, and the Red Hot Chilli Peppers used a Strat in their 2014 Super Bowl show. So, if you are Fender and own an iconic brand like Stratocaster, played by the world's most famous musicians, why do you need to worry about innovation, technology and building a community?
Why this is important: Many successful brands grow complacent by success. Even if the most successful brand marketer does nothing wrong, they lost ground when they slept last night … today you have to run faster and smarter just to keep up.
Fender's great legacy is not just about great guitars
For almost 70 years, Fender has set the gold standard for guitars. The legends of rock and roll like Jimi Hendrix, George Harrison and Bruce Springsteen created their unique sounds and identities by relying on Fender. In turn, Fender's brand identity grew with the rock legends. When the Fender Stratocaster guitar became the preferred choice of the big names in the industry, it de facto became the symbolic brand of guitar for rock and roll.
I'm not a musician, but I do know some good ones. And, they would offer glowing testimonials that Fender does make great guitars. But, Fender is not just about guitars. NRF recently published a great piece titled Keep On Rockin', which describes how the Fender brand has transcended their products, even the great iconic Stratocaster. Richard McDonald has assumed the newly created position of EVP for the Fender Brand. When interviewed about his role, McDonald talks about transcending the instruments to be more about the passion and the music. He said: "The big thing for me is putting the customer in the top dead center".
Brand and SKU proliferation can be a slippery slope of no return
Resting on your laurels is a recipe to get passed by aggressive competition. Or worse, get caught up in a pricing war to build volume. Subsequently, many brands face the perils of SKU proliferation and complexity. Fender is not without its miscues in these areas.
In the NRF article Rockin' It, McDonald describes the genesis of his job position focused on brand identity. Fender grew to more brands than just Stratocaster for professional musicians. And, there came a point where Fender heard things from customers that should be red flags for any company, including the following:
- Product lines were difficult to understand
- Products were hard to research
- Consumers couldn't find Fender products in store that they saw online
- Fender products were just sitting in a mix of other guitars merchandised by price
- There was no easy way for consumers to get a "hands on" Fender experience
Critical crossroads: product and social relevance, plus technology
In his interview with NRF, McDonald framed today's brand marketing challenge the best when he said: "We're at a huge crossroads of technological relevance, product relevance and social relevance".
While Fender still caters to professional musicians like U2, these pros don't need much help selecting a guitar! So, in order to grow sales and customer base without competing solely on price, Fender needs to reach the beginner, as well as growing intermediate musicians. McDonald says: "Our feeling is that the Fender brand is extraordinary and needs to be represented in a virtuous way". Ok … that's great brand speak, how do you do that?
7 Ways Fender is Rockin their brand through community and technology
Like another well-known brand, Nike, Fender fully understands that brand management is not passive. Today's brand managers cannot afford to be "caretakers". Fender has in fact become a case study for proactive brand building focused on consumers and community who have a passion for music. But at the same time, Fender understands the importance of integrating technology in order to recruit the Millennial and Gen Zs to become Fender brand fans in a community based relationship.
Everybody is inspired by music, and aspires to be somebody. Fender continues the power of endorsements – “People see Fender on stage and they want that.” But, the artists that appeal to young fans are not the same as the rock and roll artists. The community of artist endorsements must be much broader and more diverse.
1. Everybody is inspired by music, and aspires to be somebody. Fender continues the power of endorsements – “People see Fender on stage and they want that.” But, the artists that appeal to young fans are not the same as the rock and roll artists. The community of artist endorsements must be much broader and more diverse.
2. Continued engagement online. In the words of McDonald: “We started out on stage and now we’re out in the audience [appealing to newer] musicians.” Brand relationships must start early, and be fostered through today’s social media.
3. Website “artists section”. Fender understands that omni-channel is the new normal. People research online any time and everywhere. Fender’s website has a special section with exclusive products inspired by artists. So, there are not just Stratocaster guitars, but the special Stevie Ray Vaughan Stratocaster.
4. Appealing to new musicians beyond Rock. Today’s music tastes are much more eclectic. While some baby boomers want to learn to play the Beatles, teenagers want to play heavy metal. Fender showcases a range of guitars that “can do that”. Rather than just lower price points … it’s about guitars that enable you to realize your passion!
5. Personalization – Your personal Fender designed by you. At the American Fender Design Experience website, guitarists can custom-design their own guitar from scratch. A lot like designing your very own Nike shoes, but a tad bit more expensive. The key is each guitar is built to order … no one else will have your Fender!
6. Personalizing online – Fender University. Fender is using web technology to stay very connected to customers and add on-going value. Customers can download custom amplifier software, tune guitars and even hone their playing skills at Fender University.
7. There’s a USB port on that guitar! Instead of recording studios, today’s youth are recording digitally in their bedroom. By putting a USB drive on many guitars, customers can record directly to their tablets. More importantly, they can then connect with friends on social media to share their Fender creations.
Fender is a classic case study in brand development for today's rapidly changing markets. Fender understands that it's NOT about selling a guitar today. It is all about developing a passion for music that creates a lifelong relationship with consumers at all levels.
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Sources:
- NRF: Keep on Rockin', Craig Guillot; August 4, 2014
- Guitar Pick Image: Daniel St. Pierre; Freedigitalphotos.net
- Guitar Player Image: Dino De Luca; Freedigitalphotos.net
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