Will the Volkswagen brand ever recover?

I just turned to my father and said "Dad, I'm writing a blog post on VW and whether the brand can recover, what do you think?". My Dad is a loyal VW fan and has driven their cars for years and replied "I hope so, because it's a great brand". The company have created a hugely loyal customer base and have fastly become one of the biggest and most successful car brands in the world holding the largest market share in Europe. We are talking one of the biggest brands in the world here. I myself have a SEAT, one of the VW group brands and have always felt proud in the fact I am driving one of the most reliable, best quality car brands in the world (especially in comparison to my old Renault!).

A few days ago, the world was shocked to hear, a brand they had regarded as ethical, high quality and strong- had been involved in cheating diesel emissions test. I think the fact that the brand was previously seen as producing such reliable products, shocked and outraged the public more. Their stock price has tumbled and they have had to recall millions of vehicles, costing them extensively.

However, aside from the cost implications, the brand reputation has suffered immensely and will potentially continue to suffer now Audi's cars have been announced as part of the scandal. The question is, will they ever recover from this scandal?

People bought the cars in question based on the promise they had low emissions and in lying about this, VW have not only broken their customers trust, but the law! It is not a typical crisis in the fact this was a deliberate defiance, not an accident as we saw in the BP oil spill or a lack of due diligence within standardisation checks such as the Tesco horse meat scandal- no, this was knowingly and deliberately done by certain VW employees.

Volkswagen's CEO has resigned despite claiming to know nothing of the cheat, the company have also pledged over 6 billion euros in restoring consumer's trust and correcting any wrongdoing. They have also pulled any new marketing campaigns- yet this is a small step in restoring not only brand equity, but stop the company from going under as a whole.

It will be an interesting watch to see how and if the brand recover and what steps they take in a case which is not a typical crisis management.

Gamechangers and Rockstar games' resentment towards the BBC

The BBC docu-drama 'Gamechangers' has been receiving countless negative reviews and has created substantial PR around the Rockstar Games brand and the infamous video game 'Grand Theft Auto'. The film is "based on true events" surrounding the story of Devin Moore who killed three police officers, who some believe was due to him continually playing the violent video game.

It's well-worth a watch despite the reviews, I was intrigued to learn about the brand and the story as a whole, especially as it is partly-factual. Grand Theft Auto (GTA) is the best-selling entertainment product ever made and has caused controversy in the past for its violent and graphic nature. The creators- Rockstar Games are a British company who have received multiple awards for their gaming creativity and continue to sell millions of copies upon every release- despite the heightened press coverage surrounding the violent nature of the games. Their is a huge debate within the media as to whether violent video games lead their players to conduct violent acts and this is a key topic explored in the docu-drama.

Rockstar Games filed a lawsuit against the BBC as they felt the film did not show the brand nor the events that took place in a true light. Of course, Rockstar games would be against a film which a) painted them in a negative light and b) a piece of PR which they had no sort of say or control over.

The company reacted strongly to the film once it had ended, publishing this tweet:

@BBC Was Basil Brush busy? What exactly is this random, made up bollocks?

— Rockstar Games (@RockstarGames) September 15, 2015

At first, you would have thought this might be a potential PR crisis for the brand, but in fact, judging by twitter, TV reviews, blog posts and news articles- consumers seem to be siding with Rockstar Games over the BBC:

The gaming industry as a whole is very protective over its makers and they gain a lot of respect by their fans. GTA is also one of Britain's most successful exports and therefore people are very protective over it, especially those who enjoy playing it. Ultimately, if anything, this has painted the BBC in a negative light.

It is interesting to see how something which may be a potential crisis for a brand, can actually leave their customers feeling closer and more positively towards it. Docu-dramas/ documentaries about brands and companies do not usually provide this result- as is the case with Blackfish, the documentary on Sea World which has lead to their profits downfalling ever since. Consumers' morals are so important within marketing and can often erase any sort of positive associations one has with a brand, Sea World was once so loved and had really strong, positive brand associations surrounding family, love, protection and care for animals and what Blackfish has done is detrimental to all of the above. 

However, GTA lovers seem to disagree with what has been presented to them in terms of a moral argument. Perhaps their needs to be further evidence or, sadly, another disaster which can be linked to playing the games, until consumers will react negatively towards them. 

The Sony Experience in Tokyo

I recently got back from a trip to Asia, including a week in Tokyo. Whilst I was there I saw a crazy amount of fascinating things, but one thing that really caught my eye was the way that Japanese people absolutely love brands. I believe over there they have even more emotional connection to brands than we do- however for completely different reasons. For example, they love designer clothes such as Gucci, Prada etc. but not to show status or wealth such as the Western world, but to indicate quality investment and good money management. I also noticed that despite an influence from the Western world- particularly the U.S., Japanese people love Japanese heritage and culture.

One particular brand which is celebrated and appreciated in Japan, one of, if not the most famous brand to come out of Japan- SONY. I was lucky enough to have the chance to visit the SONY experience centre in Ginza, Tokyo- the technology area of the city where the latest innovations are showcased. The SONY building is technically a 'showroom', but it was so different from any showroom I've ever visited before.

SONY have actually been able to create a free, fun and interesting tourist attraction which hundreds of people flock to see and experience. As everything was in Japanese (of course), I had no idea what I was about to experience before I stepped through the doors!

The whole centre was a showcase of the latest SONY products and effectively was a shop, but with a high focus on experience, understanding and a 'try before you buy' attitude. On the bottom floor was a huge aquarium, which I believe acts as a 'hook' to get customers through the door, but each fish tank was filled with beautiful fish and lined with dozens of SONY cameras which could be demoed whilst you tried to take photos of the sea of colours you could see before you.

Me and my cousin Mya in the SONY building aquarium, in a whale shark's jaw!

Camera demos within the SONY aquarium

Then as you went up the various floors within the centre, each floor was dedicated to a 'sense' or in other words a SONY product range, phones, tablets, laptops, speakers, TVs etc.

One of my masterpieces taken with a SONY camera

Each floor was totally interactive and didn't focus on salesy messages or price promotions, just purely letting the products speak for themselves and letting customers experience the SONY brand wholeheartedly- even the lifts were the height of technology (although being absolutely rammed full of Japanese tourists)

A floral display with ultra HD lenses to use

The centre also featured a customer service/ advice centre and lots of staff on hand to help. My favourite floor was the top floor which brought most of the products together to create an absolutely beautiful film, shot on a small island off the coast of Japan, featuring their beautiful marine life and mainly- the whale shark. This not only was shown on their enormous SONY TV, but had music blasting from their speakers, was shot on their underwater camera and used various filming equipment that was all available to buy. This really demonstrated how powerful the products were and what they were capable of. Throughout the film, the camera equipment used in each section popped up at the bottom.

For gadget lovers, the SONY centre is an absolute must, but even for little old-me, it was still worth a visit (not only because my marketing geek sensor was at an all time high) but also just to learn more about the brand, their commitment to innovation in technology and it was fun! There is even a SONY museum, restaurants and souvenir shops- they have really gone out to make this more than just a 'department' store.

Why is this such a great example of a fantastic retail experience?

Of course, this is an extreme example and it would be impossible to turn every retail store in to the phenomenon of the SONY building, but there are lots retailers can learn from SONY.

1. People like to see, hear, touch, smell, taste things

Interaction with products and brands creates an emotional attachment between a person and a brand, by effectively 'playing' with products, we imagine owning them and can remember them much more at points of purchase than seeing a TV advert or a review in a magazine. 

2. A prestigious brand means people will actually want to learn more about you

We all know the SONY brand, the SONY centre is not there to create brand awareness or as a status symbol in the Ginza district. It doesn't need to be, people will actually go to the area just to visit the centre. We've been brought up with SONY products, they are universally considered as valued possessions, back to the walkman and the more recent Xperia products. They create awe-inspiring products which make customers inquisitive about the technology behind them a.k.a. an opportunity for a sales experience. Create a prestigious brand and you can experiment with what you do to explain it.

3. Create loyal customers and you can start to create 'fandom's'

To SONY building was an absolutely technology geek haven- for SONY fans there is nothing better! The fact they have a brand following is any marketers dream! Brand ambassadors are worth much more to any brand than lots of marketing activities!

4. Bring your brand to life

Ultimately, a brand should have a personality and by experiencing this first hand through the SONY building, customers can understand this concept much more clearly.