Everyone is susceptible to brands

interview Bart Bronnenberg en Ronald de Jong

“Everyone is susceptible to brands”

One drives a Volvo and is considered a leading academic. The other rides a Harley-Davidson and won his spurs high up at Philips. Under the flag of TiSEM, marketing titans Bart Bronnenberg and Ronald de Jong bring together their unique insights and experiences.

Text: Sebastiaan van de Water Image: Bram Belloni

Together, they have one goal: to ensure that students recognize the difference between outdated paradigms, new laws, temporary trends, and eternal truths in the wilderness of the marketing world.

Ronald and Bart, you are both marketing experts, does that make you immune to the power of marketing and branding?

RdJ: “Certainly not. The fact that I ride a Harley when it’s objectively not the best bike says it all.” BB: “Brands offer a ready-made story you can easily step into. I like to play guitar. Preferably a Fender. That preference is also partly irrational. That brand was founded by Leo Fender himself, the inventor of the electric guitar.” RdJ: “Anyone who claims to be impervious to the perception of a brand is not being honest with themselves. When it comes to cars, I drive a BMW. Why? Probably because my uncle used to be passionate about BMWs. The best car manufacturer in the world. That feeling will stay with you for the rest of your life.” BB: “American research has shown that brand preferences are partly hereditary. It’s no coincidence that I always drive a Volvo, just like my father. There are studies that show that if someone moves from Twente to Brabant, there is a good chance that, decades later, their children will drink beer by Twente brand Grolsch more often than the average Brabander.” RdJ: “You can rationalize all these preferences, but that’s nonsense. Usually it’s about emotion. And that not only plays a role with consumers – although many academics think so – but also with business-to-business transactions.”

You give lectures to students together. Aren’t you in constant danger of clashing because of your different backgrounds?

RdJ: “No. We rectify each other’s deficiencies. I cannot rival Bart’s deep academic knowledge. But at the same time: in theory, there is no difference between theory and practice, but in practice there is.” BB: “I have been lecturing for 25 years, but the course we are now teaching together – Pricing and Monetization – stands out. It’s very attractive to students and lecturers when, after a tense theoretical explanation, someone like Ronald stands up to tell them: and this is how you can apply it all in practice.” RdJ: “There is little more practical than a well-developed theory. But students also need to understand the limitations of frameworks and models. Sometimes perfectly rational decisions in the market turn out to be disastrous.”

Have you experienced marketing disasters like that at Philips?

RdJ: “Sure. A few years ago, Philips launched a medical-grade smartwatch. It could measure all kinds of vital functions. The idea was that specialists in the hospital would prescribe this smartwatch to patients. After thorough market research, it was decided to sell the product via Amazon as well, for a relatively low price. All models predicted this to be very sensible, because it would allow you to reach a larger market segment. That turned out to be a huge mistake. In one fell swoop, the product lost its credibility and high-quality image, especially in medical circles. It was a flop. Purely for marketing

“Our environment has never been so commercially loud”

Bart Bronnenberg

reasons, because the watch itself worked extremely well.”

Is smart marketing more important than ever?

BB: “Without a doubt. Today’s information overload is immense. In the lecture hall, we talk to students about the marketing messages they experience on a daily basis. It’s about three to ten thousand a day.”

That many?

BB: “Think about it. Logos on parked cars. Logos on clothing. Shop signs. Brand names in the supermarket. Online ads. Our environment has never been so commercially loud.”

How can you, as a company, still effectively get your message across?

BB: “The heyday of sending messages blindly into the ether is over. The more focused your communication, the better. Some companies don’t advertise at all anymore. Arizo

na Iced Tea, for example. They are only strategically present at festivals. As a result, they reach their target group very effectively despite competition from Coca-Cola and Nestlé.” RdJ: “In terms of content, I foresee a change. Traditionally, marketers try to associate their products with young, beautiful, successful, energetic people who always have fun. It is becoming increasingly clear that this message clashes with how people really experience their lives. I expect that, in the future, companies will be more successful with a message aimed at acceptance and recognition of everyone’s authenticity. That also fits in well with IT technology that actually makes tailor-made services and products possible.”

Isn’t it a bad thing that marketers are constantly trying to influence people’s feelings and behavior?

BB: “That’s the view of some critics: marketing manipulates people, and because of the marketing costs, prices go up as well. Doubly

“The old model, which only revolves around profit and shareholders, is in decline”

bad. But, in my opinion, the advantages of marketing completely outweigh the disadvantages.”

What advantages?

BB: “Marketing makes our lives a lot easier. When you go shopping, you may find twenty product categories on your list, each of which is made up of forty different products. If you have to compare them all rationally, it will take an extreme amount of time and energy. The fact that we can put our favorite brand in our basket and then go home quickly and happily is very valuable.”

Can you sell people an empty box with the right marketing?

BB: “Maybe once. But using clever tricks is not smart in the long run. You have to create repeat customers. You can only do that if you add value to their lives. You have to make sure that your interests and those of customers are aligned.” RdJ: “And not just the interest of customers. Consumers and, therefore, companies are becoming increasingly aware of their responsibility towards the entire planet. The old model, which only revolves around profit and pampering shareholders, is in decline. That’s why I am now developing a course for TiSEM that focuses on responsible leadership. Sticking green logos on your products is all well and good, but after a while consumers will see through them. You have to ensure that you integrate your vision for a healthy planet and society into your business operations. But how do you do that? And just as important: how can you develop a sustainable competitive advantage? For students, that kind of insight will be worth its weight in gold.”