I’M blogging from my son’s hospital room. He was admitted this morning; his baby body unable to cope with the huge volume of phlegm in his throat and lungs. As I went through the motions of admission, one question kept going through my mind: does brand matter?
Conventional wisdom dictates that frugal living and money smarts have to do with beating marketers at their own game. Companies spend millions to build a brand. They hire professionals and pay them seven-digit salaries.
These professionals crack their brains to create a story that would make consumers part with their money.
Spas don’t sell massage services or the use of sauna and jacuzzi. They sell the story of wellness and balanced lifestyle. Expensive boutiques don’t sell great clothes. They sell the story of status and prestige. Observe how shoppers in Glorietta who lug around well designed paper bags (with a
maid in tow) walk with an invisible air of affluence.
Everybody is lonely, Seth Godin said. People buy things to exhume that loneliness. People use shopping like a drug, the way obesity is fueled by emotional eating. The next time you go splurging irresponsibly, ask yourself if you are plugging a loneliness hole that can actually be solved differently — with a less expensive outcome.
Having said that, I believe there are times when brand matters — and these are the times when products don’t even have to be marketed.
Take HMOs and medical insurance companies. At Capitol Medical Center, early today, I saw a list of HMOs that had been suspended because of habitual failure to pay the hospitals. Surprisingly, some brands are big names. These include Philippine Axa Life, Total Care, Pro Health, Apollo
Risk, Ayala Aeon Risk, Health Net, Optimum and Orange Aetna. Be careful what brand you choose.
Banks. I’ve seen too many bank owners bleed their banks with dosri loans. I only bank with institutions that have strong independent corporate directors and whose management are responsible and professionals.
Insurance companies. You don’t want to outlive your insurance company.
Investment houses. You don’t want anyone running away with your money,
no matter how high the yields that some nobody is offering you.
Medicine. I was able to interview generic drug makers early last year for a
study and these insiders admit that there is something in original drugs that they cannot replicate.
Schools. It’s a really painful thing that our public schools are slipping down
tremendously. At the college level though, a UP education is still something to be proud of.
I’m sure the list can grow longer, so jump in and share your brand angst.
February 6th, 2008 at 8:06 pm
I’ve been in manufacturing for 10 years. About 60% of what we pay for goes into middlemen, advertising costs, etc.
The whole PR industry is aimed at training us to be consumers.
Observe how advertising targets the children so they become addicted to food that is harmful to their health.
I won’t allow my children to watch T.V.
There are very good products out there not advertised. There are consumers out there “who won’t get fooled again.”
June 20th, 2007 at 9:15 pm
I hope we understand it that what Jeff referred to as “brand” when it comes to financial services are those companies that has had the reputation of quality– like stability & reliability.
June 20th, 2007 at 9:02 pm
Ingat nga lang tayo sa mga sales promo kasi yan ang nakakasira ng budget. Dapat yung bibilin mo ay yung mga nakatakda talagang bilhin o mga pangangailangan (needs) at naghihintay ka lang ng mas magandang pagkakataon (sale) para mabili ang mga ito na mas mura.
Pero kapag alam mong impulsive buyer ka, mas makakainam na iwasan ang mga shopping mall at mga sale.
June 20th, 2007 at 8:57 pm
I must admit - I tend to be brand conscious at times. But more than the brand name, I’m quite particular with the product quality, durability, promptness of service, etc.
I am not the type of person who flaunts the brand of the product I’m using. I hate buying/using (paticularly clothes, shoes and bags) things labeled with the brand name in big bold letters even if it’s “orig.”
I am also not very much of a risk taker. I only patronize products that are already tried and tested and recomended by trusted people.
June 20th, 2007 at 5:20 pm
i agree with coolbert. brands deliver quality. how do i save? i wait for bargains. i’m from cebu and the malls here (all of them) have scheduled, seasonal sale blitz…twice a year. i wait. then i splurge, at the mall’s opening hours of the sale’s opening day.:-)