For over a decade, the role of the marketing organization has undergone a continuous evolution. It has become a growth engine with the expectation to drive greater revenue for existing businesses while also identifying, sizing and pursuing new sources of growth.  

Under intense competition, businesses in Asia and across the world are faced with an urgent need to identify new growth pathways within saturated markets. Meanwhile, the pressure for financial performance, combined with the rise of digital technologies and AI, as well as the stronger capability to quantify results in demand marketing, have made the tension between long-term brand building and short-term demand generation increasingly evident. 

Today’s marketers are being asked to do more with less. Balancing long-term brand building with short-term demand generation has become a pressing issue.  

We interviewed three senior marketing experts from PepsiCo, Suntory Global Spirits, and WARC to share their insights about balancing brand and demand marketing: 

In today’s market, do brands today still need to communicate clear values or a point of view? 

Jenny: Amid fierce competition, brands need strong values more than ever to build a competitive edge. Consumers are reevaluating their consumption priorities and expect brands to align with their values. A brand’s attitude must not only stay true to its DNA but also keep pace with the times. Brands need to understand the differences between subcultures, ensure authenticity and differentiation, and express empathy and understanding toward consumers. 

Lizzie: I completely agree. Many brands today chase short-term performance but overlook the fact that short-term gains are built on long-term brand equity. Brands need to continuously reinforce and solidify their values to remain resilient in a fast-changing market. Simply put, short-term gains cannot exist without long-term brand building. 

Yan: I believe every brand needs a clear value proposition, but not every brand needs a point of view, which must be authentic. My take is: if you don’t have a genuine point of view, don’t fabricate one. We have seen numerous brands take stances on social issues but come across as insincere. If a brand truly has a set of core beliefs and knows how to bring them to life — in a way that is authentic and true to your DNA — that’s when it becomes a powerful brand strategy. 

What is your perspective on the strategy of dominating a specific sub-category for all relevant consumers, as opposed to initially focusing on a distinct group of target consumers? 

Jenny: These two approaches are complementary. On one hand, identifying and capturing a key group of consumers helps brands expand market share and build associations. On the other hand, focusing on sub-categories enhances brands’ competitiveness in specific sectors. However, brands need to establish multiple category entry points (CEPs), including emotional and occasional associations. By broadening these entry points, brands can more easily become the top choice in consumers’ minds. 

Yan: I think it’s important to align your strategy with the brand’s resources and market realities. In highly competitive environments where hundreds of brands vie for limited opportunities, it may be more reasonable for niche brands with limited resources to focus on winning with specific channels or consumer groups, rather than attempting to boil the ocean. Another factor to consider is whether your brand has the potential to gain unprompted advocacy — i.e., whether your customers already promote your brand on your behalf. This is often more effective in capturing niche audiences than large-scale advertising. 

Lizzie: I believe the increasingly niche sub-categories are the efforts of brands seeking growth when they have little choice in a saturated market. Truly sustainable growth requires balancing both types of strategies — starting with specific audiences and addressing their needs that are more universal before expanding to a wider audience, creating traction across different audience groups. This strategy combines focus with scalability. 

During an economic slowdown, when consumers are more cautious in their spending, how should brands adjust their marketing strategies? 

Yan: The answer to that question depends on what you’ve been doing in the past. If your sales have been mostly fueled by brand equity, you’ll be fine – think Hermès reporting surging growth quarter after quarter.  Cautious consumption is about searching for better value, which is not always equivalent to a lower price. The famous “lipstick effect” as well as the latest reports on China’s shopper behavior across various product groups, suggest that consumers want to reward or treat themselves even more when the future is no longer as certain as it used to be. 

Lizzie: Absolutely. The market is oversupplied and consumers are more rational, But rationality doesn’t mean they only care about functionality. If a brand only offers functional benefits, there are too many generic, white-labeled alternatives, making it impossible for brands to charge a premium. Therefore, brands increasingly need to solidify their core assets, build emotional connections with consumers, and create a competitive “moat” around the brand. For example, while there exist many cheaper alternatives to Uniqlo, its brand philosophy of “LifeWear” resonates deeply with consumers, who still choose to buy its products. 

Jenny: I’d like to add that even during a consumption downturn, brands shouldn’t rely solely on price cuts and discounts as a tactic, as this harms long-term brand loyalty. Consumers nowadays are reevaluating the balance between price, quality and service. The key question becomes: is your product truly worth its price? If the answer is yes, consumers will still find it valuable even during a downturn. 

What are the key challenges in integrating brand building and demand generation? What are the experiences of your organization?  

Yan: The key challenge is — and has always been — reaching the right balance in building physical and mental availability. At Suntory Global Spirits, we start by leaning on growth truths that are deeply integrated into our three-year and annual planning. Those truths provide directional guidelines on the split between demand creation and demand conversion, specific to brand life stage and nuances of the specific market. We deploy a cross-functional approach for course correction and continuous improvement, providing a forum to address topics beyond mere performance management, such as consumer feedback on innovation, challenges in specific channels, and the impact of marketing activities.  

Jenny: I think the biggest challenge is balancing short-term and long-term strategies. Treating brand building and demand generation as opposites limits overall marketing effectiveness. From company culture to budget allocation and creative processes, we need to “do both,” fundamentally shifting away from an either-or mindset. 

Lizzie: Integration of brand and demand is a very difficult challenge. It requires brands to create more comprehensive evaluation criteria — not just focusing on sales data but also tracking brand health. In terms of talents, besides specialists, we need more generalists. Marketing leaders also need more space for regular assessments and reflection. 

What role does consumer insight play in the marketing organization? 

Yan: Insight is a starting point for the work of marketers. Synthesizing insights into briefs or recommendations has become increasingly difficult as the number of sources has proliferated. It’s amazing how AI makes this process both easier and more complex at the same time. In a world of data abundance, qualified insights teams, strategists, as well as senior marketers who can foster high-quality judgment within the organization, are more important than ever. 

Lizzie: The insights department is a core capability of any organization, driving the shift from a manufacturer-centric view to a consumer-centric one. In a complex market, we need to cut through the noise, identify key insights and synthesize them to create tangible growth opportunities for the organization. Data alone doesn’t speak; its true value comes from human interpretation. Staying curious and adopting an outside-in perspective is essential to truly understanding consumer needs. 

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Prophet’s research demonstrated that pitting brand against demand marketing limits  impact. Organizations that adopt an integrated approach are more likely to drive outstanding business results. We identified six key actions: 

• Ensuring brand and demand teams share strategy and focus on business outcomes 
• United by a passion for delivering against customer needs 
• Integration is not about compromise, but about being great at both, and combining creativity and logic to get there 
• The best organizations know it won’t be easy – they expect to fail sometimes but enjoy the ride 
• Thinking long and short-term at the same time with measurement systems that track both 
• Marketers are inside of, and part of, organization ecosystems working closely with CEOs, CFOs, CTOs and sales 

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Investing in both innovation and organizational resilience are two essential elements of success for companies to compete in today’s rapidly changing world. Through interviews with 14 senior executives and surveying 300+ innovation experts across the globe, Prophet’s latest research explores how successful organizations use innovation to drive business resilience.  

Four Learnings for Companies in China to Build Innovative Organizations 

Our findings reveal that innovative companies are more likely to be resilient. Particularly, 60% of respondents in China agree that innovation and resilience are connected, more so than their counterparts in Singapore (48%), the U.S. (47%) and the UK (47%). However, there exists a strong tension between the two characteristics – while Chinese companies on average deploy more innovation tactics compared to companies globally, they also face more pronounced barriers. In this article, we share our key findings and explore implications for Chinese businesses seeking to drive sustainable growth through innovation. 

1. Prioritize Cross-Functional Alignment 

Incubation programs and pod-like team structures have long proven to be effective innovation tactics and are widely adopted by companies in China. According to our research, 35% of Chinese respondents report that their companies have a formal innovation incubation program compared to 21% of respondents globally. Additionally, 27% of Chinese respondents report their companies use pod-like team structures vs. just 18% of respondents globally. However, such team structures risk becoming siloed. A lack of cross-functional alignment remains a significant barrier to innovation and growth, with 44% of Chinese respondents citing it as a challenge compared to only 32% globally. 

One example of how cross-functional alignment can impact innovation comes from the fast-growing beverage brand Chi Forest. As a startup, the company found tremendous success through operational agility, running pod-like teams with product managers in each team leading individual innovation initiatives. However, as Chi Forest grew, organizational inefficiencies emerged due to a lack of streamlined workflows and cross-functional collaboration, causing an overlap of roles and processes. Chi Forest has embarked on an organization-wide transformation agenda to reimagine its operation and business model.  

Takeaway: It is important to implement innovation incubation programs and pod-like team structures, while also emphasizing cross-functional alignment. 

2. Develop Balanced Innovation Incentive Structures 

Incentives are a crucial part of driving innovation, but overly focusing on short-term financial outcomes can hinder success. Our findings show that 56% of Chinese respondents report their companies to have special incentive structures for new business opportunities compared to 30% globally. Yet this has also led to an innovation barrier, where 54% of Chinese respondents say their companies have too much emphasis on short-term financial results compared to 35% globally. 

To empower long-term growth for the company, innovation success should be measured against various objectives beyond financial ROI. For example, Xiaomi has a series of incentive programs to encourage innovation, including an Annual Technology Award that rewards $1 million to an internal engineering project every year, evaluating technology and engineering excellence as well as business impact. The 2022 winner, Xiaomi’s CyberDog team, impressed CEO Lei Jun because the project successfully integrated many of the group’s R&D results and presented new technologies that could be soon applied to other core products. This is a good example of how incentives can be used effectively to drive impactful innovation.  

On the other hand, companies like Pop Mart are facing growing pains. Although the company offers generous incentives, it measures innovation success solely on the creation of new product lines and their short-term sales volumes. As a result, the toy maker is left with a bloated portfolio and hasn’t been able to elevate its brand equity despite years of exponential growth. 

Takeaway: To avoid pitfalls, organizations must develop incentive structures to recognize results, while avoiding overly focusing on short-term financial outcomes. 

3. Guide Rapid Innovation Cycles with Long-Term Vision 

Rapid prototyping and iteration is a common innovation tactic, but past innovation failures and a lack of long-term planning processes can discourage innovation. Our findings show that 31% of respondents in China say their companies use rapid prototyping and iteration compared to just 19% of respondents globally. However, failed past attempts at innovation have limited commitment to future innovation for 40% of Chinese companies compared to 28% globally. Additionally, 40% of Chinese respondents say their companies lack a long-term planning process compared to 38% globally. 

Shiseido’s approach to innovation is a great example of how companies can balance a strong brand vision and rapid innovation cycles. “Shiseido’s ability to have lasting success is in large part due to our dedication to creating the best quality products to meet consumer needs. This dedication to ‘craftsmanship’ is why we don’t blindly follow market trends but rather think critically about how we can further refine our products,” said Carol Zhou, SVP of China Business Innovations & Investments at Shiseido, in an interview with Prophet, “Although we may not always be at the forefront of trends, we have found the right pace to create a timeless brand.”  

Takeaway: Organizations should lead innovations with a clear vision and long-term planning, while enabling rapid prototyping and iteration based on a clear strategic roadmap, to create products that meet both long-term and short-term goals. 

4. Focus on Customer Insights as a Foundation of Innovation 

Creating differentiating innovations and finding emergent subcategories are effective ways to separate yourself from competitors, but paying too much attention to competitors and too little attention to customer needs is a surprisingly common mishap, according to our research. Chinese companies tend to focus heavily on competitor activity, with 40% doing so compared to 29% globally. This is often at the expense of paying attention to the needs of their customers, with 52% of Chinese respondents reporting that a major barrier to innovation for their companies is paying too little attention to customer needs, compared to 37% globally.  

Companies must develop an organizational-wide mindset of diving into customer insights, data analysis, and user testing to identify what customers truly need and want. By doing so, they can create innovative products and services that truly differentiate them from their competitors, making them stand out in the market. Nike has been successful in this regard, with a strong focus on the athlete and understanding their needs driving their innovations. As Mark Parker, CEO of Nike, explains, “Our success has been based on our commitment to innovation and great design, which really in our case starts with our commitment to the athlete – and really understanding the athlete and the insights we get from that relationship. So, we translate those insights into real innovation.” In China, Nike actively deploys a localized digital ecosystem to engage with its customers and understand their needs. In turn, the rich data gathered from these digital platforms continuously fuels its innovation and growth. 

Takeaway: Prioritize a human-centered approach that focuses on customer needs to create truly meaningful innovations. 

Building Innovative Organizations 

Indeed, innovation is not a department, but a collective achievement of an organization, as one innovation leader has told us. Companies should lead with a vision, encourage risk-taking, experimentation, and collaboration across all levels of the organization. This will help to create an environment where innovation can thrive and become ingrained in the company’s DNA. 

What can your company do today to turbocharge innovation? 

1. Emphasize the importance of always-on consumer insights and deploy the right team and structure as enablement. 
2. Ensure a holistic view of the market demand landscape, covering both consumers and competition and strategize growth moves and innovation efforts. 
3. Build a multi-year roadmap with different chapters and cross-functional teams and land the detailed action plan in a short-term/ one-year plan. 
4. Clarify how innovation initiatives drive business purpose, develop employee value propositions and define incentives accordingly. 
5. Transform how your innovation team works within your organization to instill agility and collaboration. 

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Summary

In Asia, effective collaboration is paramount to unite a diverse set of countries and strive towards a common goal.  

Our latest global research report, “Catalysts: The Collaborative Advantage,” unveiled that companies in Asia value collaboration more than other regions, but lag in execution. How can the region work to close the gap? 

In this webinar replay, leaders from Prophet’s Organization and Culture practice and the APAC team share insights from our latest global study, introducing clear pathways for leaders to prioritize and accelerate the efforts to build their collaborative muscle. 

Learn how effective cross-organizational collaboration can help your business unlock transformational growth through a holistic, human-centered approach.  

Key Takeaways

• How Prophet’s Collaboration Flywheel helps deliver better, more impactful outcomes faster over time through a 3-phase approach.
• Characteristics unique to the APAC region, and why effective collaboration is paramount to unite a diverse set of countries and strive towards a common goal. 
• Actionable tactics and case studies to unlock collaboration in today’s ever-evolving organizations with remote, hybrid and face-to-face workplaces and the future opportunities for improvement.   

Download the presentation PDF.

In many Asian markets, financial services companies used to grow alongside the macro economy and compete heavily on products. But things are changing. Product innovation within established incumbents is becoming more difficult under a slowing economy and tighter regulations. Fintech companies are disrupting legacy brands – with offers across saving, credit, insurance and more. The new generation of consumers is increasingly looking for more than short-term returns. These macro shifts indicate that in the future of financial services, reimagining the customer experience and offering benefits beyond transactions will be critical in driving sustainable, ownable growth.  

Study¹ shows that nearly 70% of Asian financial services companies understand the importance of “customer-centricity,” and are investing heavily to improve digitally enabled customer experiences (CX). Yet surprisingly, only 20% of customers consider FS companies providers of truly “customer-centric” experiences². This gap is not a favorable truth but indicates a great opportunity for a company to take action and lead the future. We have identified nine key levers across three development stages that will enable financial institutions to transform their retail experiences for the future.

Fix the Basics: Become a Financial Services Company that Meets Customer Needs 

1. From “Experience” to “Branded Experience” 

Speed and convenience have become critical for customers in the modern digital world. But focusing efforts solely on “ease” also tends to create very similar sets of experiences and/or functions. So how can a company cut through the clutter?   

The answer is simple: brand. A solid brand strategy clearly defines what promise a company makes to its customers and how it uniquely delivers on the promise. Next, this will be translated into a brand identity system that closely aligns with the strategy and guides the development of truly ownable experiences.  

For many financial services companies, brand has not been considered and managed as a strategic asset. Therefore, before aspiring to create any signature experiences, companies need to build a solid foundation first by carefully looking into their brand strategy and identity to define their own experience principles. 

2. From “Product Distribution” to “Omni-Channel Experience” 

Internet companies and FinTech pioneers have disrupted and transformed the retail side of financial services (e.g. Ant Finance and Ascend Money). Many companies now rely heavily on these platforms to broaden their reach to retail customers. But platforms can be restricting, and the company could face constraints in building distinct experiences and owning customer relationships.  

As a solution, some leading companies have started to invest in their own digital ecosystem. For example, Fidelity created SmartRetire, a one-stop retirement solution platform. By building their own digital experience, companies can not only design and own the customer experience, but also collect data to enable targeted, more relevant engagements, that in turn can improve the customer journey in the long term.   

If creating owned ecosystem is not feasible in the short term, companies should at least build a holistic plan across touchpoints and identify opportunities to maximize owned experience and relationships. 

3. From “Experience as External Resources” to ‘Experience as Internal Center of Excellence” 

Many financial service providers leverage third-party vendors to deliver service and experience at lower costs. However, service quality could be at risk under this outsourcing model and differentiation could be harder to sustain if the vendor relationship is not exclusive.  

Companies should prioritize experiences that are most desirable to customers, viable to businesses and feasible to execute, building an internal “center” that breaks the silos, connect the dots and assures quality. A strong center of excellence enables great experience from within, bringing higher efficiency and sustainable competitive advantage in the long term.  

Excite with Experiences: Become a Financial Services Company that is Loved by Customers 

4. From ”Fill the Pits” to ”Elevate the Peaks” 

There could be a huge perception gap on “excellent customer experience.” Research³ shows that 80% of financial services companies believe they deliver excellent customer experiences, while only 8% of customers agree. One of the reasons behind this is that most companies focus only on fixing the pits upon functional pain points, but not on creating any peaks that delight and excite customers in memorable moments. 

Customer lifetime could be quite long in financial services. To become a company that customers choose, trust and love, companies must build a holistic view of the customer lifetime journey, by identifying and prioritizing moments that matter and creating signature experiences that customers truly desire.  

5. From ”Transactional Moment” to “Real Life Relationship”  

Many financial services companies are facing infrequent interactions and transactional relationships with customers. Research⁴ shows that 60% of Asian customers have had zero engagement with their financial service provider in the past 18 months.  

To go beyond the transactional moments, companies should look to expand their role and presence in other areas of customers’ everyday lives through partnerships and co-branded experiences. For example, Neo Bank MOX in Hong Kong partners with merchants favored by its customers and provides exclusive cash back. Another example is insurance company Beam, which partnered with a smart toothbrush brand and launched an oral health solution, offering premium incentives based on customers’ usage and behavioral data. 

Companies should take a broader view of the customer journey, identify opportunities to meet people where they are in life and enable their lifestyle beyond financial needs. With expanded partnership and engagement, companies could also build an enriched understanding of customers on top of transactional data and enable future products and service innovations. 

6. From “Data Enabled Personalization” to “Human Enabled Personalization” 

Research⁵ shows that 80% of financial service customers desire more personalized experiences. In Asia, customers are 1.5 times more willing than customers in Europe to share personal data in exchange for personalized experiences. Yet it takes time to build data and analytics capabilities that enable meaningful personalization at digital touchpoints. Customers in Asia also still desire a certain level of in-person engagement – even in younger customers, research⁶ shows more than half believe financial services are not human enough.  

So, while building data capabilities, companies should invest in empowering their front employees (e.g. RMs, agents) to deliver better, more relevant experiences with smarter tools and insights (e.g., need analysis, claim tracking). These tools should be designed not only to enable higher quality engagement but also to capture customer insights/data into the centralized database – to maintain customer understanding and relationships at risk of potential people turnover.  

Lead the Future: Go Beyond the Frame of Reference as a Traditional Player 

7. From “Proactiveness” to “Intelligence”  

Customers are increasingly sophisticated and their expectations will rapidly evolve. Being “proactive” will become a table-stake part of the experience and companies could aim to lead by creating “intelligent” experiences that are three steps ahead with AI technology. In 2021, HSBC HK saw 10 times higher engagement between relationship managers and customers when it leveraged AI to offer 22 thousand different sets of wealth management solution advice to individual retail customers⁷. 

Deep learning and hyper-personalization are among the top strategic priorities for CX leaders in 2022⁸. Leading financial service companies should not only identify close-in use cases, such as product innovations or credit risk assessment but also stretch-out use cases that help the company go further into customers’ lives. 

8. From ”Valued Customers” to “Empowered Customers” 

Being “customer-centric” has been the center of gravity when creating experiences, but it still treats customers as “buyers,” in the position of receiving. As we move into the future, this relationship will be disrupted, and we will see customers as active stakeholders in deciding what type of experiences are created for them.  

Creating better experiences requires data, but customers are increasingly conscious of their privacy and the power of data ownership. Research⁹ shows that although Asian customers are more willing to share data in exchange for better service, 90% of them are concerned about data privacy and 84% of them desire more control over how their information is used.  

Leading companies should see this more as an opportunity than a challenge. Financial service brands should look at customers as empowered individuals, transform data collection into a “value exchange”, enhance data transparency with a sense of “co-ownership” and develop solutions and experiences through customer “co-creation.” 

9. From ”Boundaries” to ”Boundless” 

In the future world of Web 3.0, traditional boundaries will be blurred – online versus offline, virtual versus physical, consumers versus owners, etc. This boundless space will change how financial service companies organize and deliver value to customers throughout the lifecycle.  

The entire model of “financial services” might change in the context of this – the role of a company could transform from a “service provider” or a “transaction middleman”, to an ecosystem or a community that enables peer-to-peer connections and better decisions among employees, partners, and customers.   

The fast disruptions of fintech will never stop. Financial service companies should be open and embrace the changes to experiment with new ways of delivering value in the future, starting from small use cases.  

Data source:  

1. Harvard business review, Taking the Financial Services Customer Experience to the Next Level
2. Salesforce, Trends in the financial service industry
3. Bain, How to achieve true customer-led growth and close the delivery gap
4. Genesys, The era of 4.0 experience in Asia financial service industry
5. Mckinsey, Future of Asia financial services
6. Capgemini, The customer engagement imperative for financial services
7. South China news portal, HSBC leverages smart analytics to develop new tools that enhance the personalized customer experience
8. Genesys, the state of customer experience in financial services
9. Warc, APAC consumers increasingly concerned about data privacy

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It’s hard to have a conversation about technology these days without hearing the terms blockchain, Web 3.0, NFT, decentralization or Metaverse. These concepts are undoubtedly the building blocks of the next generation of the Internet – but as a marketing or innovation expert, what exactly should you be considering?  

Below, we provide our thoughts on how this next frontier will redefine the relationship between brands and consumers – and how brands can position themselves to win. Brands must be clear on their “why” (strategic objectives) as well as their “what” (experience value proposition and activation strategy). 

What is the Metaverse and Web 3.0? 

First a simple explanation of what the Metaverse and Web 3.0 are. Web 2.0 is built on contribution, interactivity, collaboration and social media. However, whoever controls the data on their “centralized server” has access to a lot of information.  

This imbalance is what Web 3.0 is trying to solve. Web 3.0 is a space where people operate on decentralized platforms. This means moving away from the big tech giants and intermediaries and shifting towards democratized, collective governance. The users create the content! 

We are at the beginning of the Metaverse. There are still a lot of limitations including visual, user experience, commercial infrastructure and sustainability considerations. However, brands are already out there on the Sandbox, Decentraland, or other platforms, exploring unique value propositions to offer to users and their consumers.  

Is Your Company Leveraging the Metaverse to Elevate Your Brand? 

In the Metaverse, consumer brands will continue to enable commerce, interactions and experiences for people. Brands must think about how they will engage with customers in this new world. What will their needs be? What will touchpoints–including marketing and sales channels–look like? What are the limitations, or rather, the possibilities of what a brand can stand for in the Metaverse? How should marketing campaigns be launched to attract the target audience?  

We found that brands that have invested in the Metaverse follow five key trends, which reflect a wide breadth of opportunities for marketers: 

1. Broadcast: increase brand awareness through large live events
2. Engage: drive consumer engagement by creating communities and immersive experiences, especially younger demographics
3. Advocate: engage loyal customers with exclusive offerings 
4. Inform: create gamified, interactive education on their products and services
5. Sale: launch virtual offerings and explore new business models  

The Metaverse offers a novel and uninhibited space for brands to test and learn. Because of this, brands are eagerly diving in, testing the waters and making a splash with bold moves. However, the Metaverse is far from merely a new touchpoint/channel/platform for marketing activation. Eventually, it will redefine the entire world brands operate in.  

Marketers need to maintain a long-term perspective as they consider brand building in the Metaverse:   

1. Bolstered and Enriched Brand Promise and Equities 

Entering the Metaverse does not mean starting over. A strong brand in the physical world can focus on bolstering its image in the Metaverse by reinforcing its message, amplifying its reach and innovating new ways to delight customers.  

Because the Metaverse also offers a fundamentally different way for consumers to experience the world, brands should seize the opportunity, which offers them the ability to explore how their existing equities can be reimagined in a new space and in a holistic and multidimensional way. Entering the Metaverse can unleashes new possibilities for both themselves and their customers.   

For instance, Nike created the virtual world, Nikeland, on Roblox’s online gaming platform. Nikeland is complete with customizable avatars, Nike headquarters buildings, mini-games and apparel. It builds on the brand’s mission to create immersive and engaging communities that offer a personalized experience for every user.  

Louis Vuitton, one of the most storied brands in the fashion industry, has embraced digital transformation in the Web 2.0 world with a successful omnichannel approach. In the Metaverse, LV has continued to stay at the front of the pack by launching the mobile game “Louis: The Game” to commemorate the 200^th birthday of its founder. In the game, players can explore six different Metaverse worlds while learning about LV’s history, earning virtual branded memorabilia and even collecting in-game only NFTs. The game allows the brand to honor its deep heritage and timeless legacy in an entirely new way that enriches the customer experience and deepens their connection to the brand. 

2. Multi-Sensorial and Immersive Branded Experience 

Regardless of which approach you choose to take, the Metaverse has meaningful implications on how a brand comes to life visually. Nike extends its signature curve of the Swoosh into the Nikeland with a bright and dynamic color palette. LV applies its iconic emblem to the character and landscape designs of “Louis: The Game.” These robust visual assets have made their Metaverse experiences stand out among the others.  

However, in the Metaverse, establishing a brand using logos, typography and color palettes alone is not enough. Current brand identities and visual systems are largely made for two-dimensional usage, but the Metaverse requires us to expand our thinking and create brands that are conversational, multidimensional and multi-sensorial. Brands need to create meaningful interactions to immerse the users and reward their visit. 

How does a brand express itself through aspects such as dimension, motion, sound, touch and conversation? How can a brand build towards a holistic identity that is not just an eye-catching way to create buzz, but rather a lasting way to reinforce what it stands for and position itself for long-term growth? These are the important questions brands must consider while entering the Metaverse. 

Think About Your Metaverse Strategy Today 

Whether you’re a skeptic or an evangelist, there is no doubt that the Metaverse will create an unprecedented shift in how consumers and brands interact. As Web 3.0 technologies continue to develop and companies race to build our future virtual world, brands must think about how they will show up and how they will engage their customers in the marketplace of tomorrow. Traditional and digitally native brands alike have an opportunity to redefine themselves in the hearts and minds – and screens – of their consumers.  

As a wrap up, these are the questions brands must be able to answer: 

1. Your target audience: Who is hanging out there? 
2. Your business outcome: What are your strategic objectives? 
3. Your experience value proposition: What do you do there? 
4. Your campaign strategy: How to activate and engage your audience?
5. Your costs: What costs do you need to have in mind?  

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Technological advancement has long been a driving force moving society forward. From underlying network advancements to ongoing software and hardware innovations, many of today’s biggest companies have achieved success by being at the forefront of technology.

But when considering what matters to consumers, what does it really take to become a technology leader in this modern era?

In this year’s Prophet Brand Relevance Index^®, we once again saw technology’s rising impact in building brands that are relentlessly relevant in consumers’ lives. Major tech companies like Apple, Spotify, Bose and Android have continued to dominate the top five and fast-rising tech brands also captured people’s heads and hearts in an unprecedented way.

While the fundamental principles that define a leading brand stay true, our findings emphasize that the way in which these principles are delivered needs to evolve in order for brands to stay at the technology forefront.

1. Ruthlessly Pragmatic: From Economics and Efficiency to Consistency and Dependability

For many, pre-pandemic living demanded efficiency, productivity and outcomes – and technologies enable that. Tech leaders compete on superior specs, technical ability and cost-effectiveness, especially in Asia. But, one of the likely lasting trends resulting from the pandemic is a shift towards a slower, simpler life. With consumers looking for quality over speed, superior performance is now increasingly defined by a dependable, reliable and consistent experience.

Dyson believes in the value of engineering perfection in daily chores, as opposed to “get it done quickly.” Its strong emphasis on prototyping and refinement to achieve the art of precision is evident across product categories. Consumers trust Dyson for how consistently dependable their products are – no matter if it’s a vacuum or a hairdryer. They can rely on Dyson to accomplish their tasks, without dreading any mishaps when using.

The shift: As we emerge from the pandemic the definition of pragmatism is no longer surface-level results. Brands must use technology in a way that delivers long-term, dependable performance.

2. Pervasively Innovative: From Bigger and Better to Designing with Care

Great technological leaps have been made in the past few decades. Tech brands have focused their innovation story on “bigger, thinner, faster, stronger” to claim leadership. But with a renewed focus on what really matters in life, consumers are more interested in how technology can enable and empower – rather than disrupt – their lives. Innovation is less about “best in the world”, and more about human-centered design that delivers incremental but consequential progress.

Samsung has always been a leader in the TV category. It used to focus on innovations such as OLED and its curve feature but its latest flagship, The Serif, presents a shift – it isn’t the most innovative choice when it comes to the specs (size, thinness, etc.) but it is able to chime into the ambiance of users’ life and become an integral part of their lifestyle.

“Many of today’s biggest companies have achieved success by being at the forefront of technology.”

Peloton also rises fast in the post-pandemic era. It focuses less on hardware advancement but on content creation, offering curated and fresh home exercising experiences that give the brand a unique edge as a user-centric innovator.

The shift: As technology is increasingly democratized, technology leadership can no longer be defined by groundbreaking patents as the only tickets to entry. Instead, innovation can be achieved by zeroing in on customer pain points and leveraging technology in meaningful ways to solve them.

3. Customer Obsessed: From Connected Devices to a Connected World

IoT and smart living aim to create a more seamless life but not all ecosystems today have consumers at their center – some were developed to expand portfolios and create switch barriers. As consumers mature and the future of Web 3.0 fundamentally changes how people connect, the role of technology also needs to move from connecting devices for an easier life to enabling human feelings and interactions, with people’s inner selves, their surroundings and the world at large.

As DJI expands its portfolio, its marriage with Hasselblad wasn’t only about building an ecosystem but also about helping creators experience it differently. Fusing Hasselblad technology onto the consumer drones allows creators to capture extraordinary color and granularity, heighten their senses and strengthen their connection with the world.

The shift: Technology is no longer an end in itself; true customer obsession means using technology as a means to enable and empower meaningful human connections.

4. Distinctively Inspired: From What I Like to What I Believe

The “early adopters” are critical for technology companies and therefore many brands focused on building “newness, imagination or adventure” to mirror their attitudes. But true advocates for a technology leader are people that follow the brand through generations of innovations and upgrades. More than ever, consumers are demanding brands that align with their core beliefs and values and connect them with like-minded individuals.

Where brands normally compete against each other on technicality and performance to win the hearts of consumers, Tesla leads with a core belief to accelerate a sustainable future. It has inspired a like-minded group to follow the brand since its inception. Their unwavering advocacy has become a major driver of Tesla’s exponential growth around the world.

Grab, Southeast Asia’s dominant player, originally in transportation and delivery services, has the mission of driving the region forward by creating economic empowerment for everyone. This belief guides the brand whenever it expands its business horizons. For example, its latest financial products include micro-loans and microinsurance to serve historically underbanked populations.

The shift: Technology is progressive and pervasive. Brands need to go beyond mirroring attitudes and personality expression and must instead lead with core beliefs and shared values that move people and society forward.

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