Gucci, a high-end company that was established in 1921, saw tremendous popularity in the 1960s because to their exclusivity and well-liked products like "Gucci purses with bamboo handles."

But, by the 1990s, Gucci had lost its exclusivity and premium image by attempting to be everywhere at once and had licensed its brand to over 22,000 goods, including toilet paper.

Source: Vogue & Harper’s Bazaar

Domenico De Sole, the company's new CEO, and Tom Ford, its creative director, took difficult decisions to remove non-core goods, cease all licensing business, and focused primarily on core items sold only at Gucci stores, which ultimately saved Gucci.

Several well-known businesses, like Apple, IBM, Starbucks, and Levi Strauss, had crises as a result of a similar lack of concentration. In the fast-paced work climate of today, it might be difficult to stay focused, but losing it can be disastrous.

Practices

To make sure a brand doesn't get off track, here are somethings to be done.

  • Know and keep all aware of what its core values, mission, and vision are. This should be shared with everyone in the organization, from the top executives to the people who work on the front lines.
  • Regular evaluations and assessments of the brand's performance and market positioning should also be done to find any areas where the brand may be losing focus. This can be done by asking customers for feedback and keeping an eye on market trends and competitors.
  • It's important to set clear brand standards and guidelines to make sure that the messaging, visuals, and customer experience are all the same across all touchpoints. This includes everything from product design and packaging to advertising and social media.
  • Lastly, brands should stay flexible and open to change while staying true to their mission and core values. This means keeping an eye on the brand's identity and purpose while being open to changes in the market and how people act.

Examples

  • Nike. The company has a clear brand identity centered around its slogan "Just Do It" and a focus on athletic performance and innovation. Nike consistently invests in research and development to create new products that meet the needs of athletes, and they also collaborate with top athletes to design and promote their products. Additionally, Nike has successfully leveraged social media and influencer marketing to engage with its audience and build brand loyalty. Despite facing controversies and challenges over the years, Nike has remained committed to its core values and has continued to thrive as a leading sportswear brand.
Source: Nike
  • Disney has a clear and consistent brand image and has been able to successfully expand their brand into various forms of entertainment, including movies, theme parks, merchandise, and streaming services. Despite their expansion, they have remained true to their core values of family-friendly entertainment and have consistently delivered high-quality content that appeals to audiences of all ages. They have also been able to adapt to changing technologies and consumer preferences, such as the shift towards streaming services, while still maintaining their brand identity. Overall, Disney's focus on their core values and consistent delivery of quality entertainment has been a key factor in their ongoing success.
Source: Entrepreneur
  • Novartis stays focused and effective through strategic partnerships with healthcare and research organizations. Novartis works with the Michael J. Fox Foundation and the University of California San Francisco to develop Parkinson's and hypertension treatments. In addition to research and development, Novartis has created strong partnerships with healthcare professionals and patients through focused marketing and education. "Heart of Type 2" educates patients about diabetes and heart disease.
Source: Novartis
Source: Brands Vietnam