Building a Brand You Love: The Tangible and the Intangible Assets
Our paths crossed unexpectedly at the Bangalore Airport the other day. There, I bumped into Ravi Shankar, an IIM-B alumnus and former brand manager for a top FMCG multinational. Now, he steers the ship as CEO of a leading French FMCG company headquartered in Mumbai.
Thankfully, both our flights were delayed – his by an hour and a half, mine by two. This fortuitous delay granted us some quality time at the airport’s Starbucks. As we settled in, I couldn’t help but comment on the brand’s iconic mascot, the Starbucks Siren Mermaid.
He immediately corrected me. “Call it the brand muse”, he said
“What’s that – a brand muse?” my curious and ignorant mind asked him. After all, he had the IIM-B background and so much to learn from him about branding.
“Traditionally,” Ravi Shankar explained, “muses were depicted as beautiful women inspiring men, harkening back to Greek mythology where Zeus’s daughters were associated with specific arts and sciences. However, this concept of a female muse solely inspiring men might not resonate today. But a brand muse, like the Starbucks Siren, can be incredibly inspirational and inviting, creating a sense of relaxed connection for customers. That’s the power of a strong brand asset like the Starbucks Siren Mermaid.”
“Wow,” I screamed, and the entire restaurant was looking at me puzzled – “क्या हो गया इसको? पागल हो गया क्या?” That was my excitement on learning something new. I profusely thanked Ravi Shankar for this new phrase in branding and we continued further.
“Can you tell me something more about brand assets Ravi?”
“Sure Vivek. There are two types of brand assets: tangible and intangible. Remember the Torrent Research Center (TRC) you always boasted of? That’s a tangible brand asset. So, also its manufacturing plants at various locations, its corporate office on Ashram Road. On the other hand, its brand names, and its corporate brand logo which so prominently stands out on Ashram Road are intangible assets. The logo is a part of Brand Torrent, which is an identifying symbol of Torrent Group of Companies. This logo distinguishes Torrent from other companies.”
“Oh wow! Ravi,” I murmured this time, making sure only he heard.
“Not just that Vivek. The intellect of those working at the TRC, the people in the F&D, the Brand Team (yahoo, I was about to shout once again, the brand team too, but did not want to break his chain of thoughts) are all part of the intangible assets of Torrent. So also, its patents.”
“Vivek, do you know how much is Brand Coca-Cola worth? In 2022, Brand Coca-Cola was valued at 97.9 billion U.S. dollars! That’s the power of a Brand, the worth of a brand asset. Intangible assets created by the people of an organization. They do not appear on the balance sheet and have no recorded book value. It may never be understood by a finance person.”
“Exactly, Ravi,” I smiled. “That’s why I believe a head of finance solely focused on numbers might struggle as CEO without a shift in mindset. Otherwise, they risk becoming an obstacle in the brand-building process.”
He winked. “Spot on,” he replied. “It’s the same with many small-time pharma company owners who can’t see the long game. They mistake investing in brand building for just another expense. They crave immediate returns – more sales, or ‘investing in a doctor and trading for prescriptions,’ as they say. By the way, I remember your blog and that ‘Kolaveri-di Vision’ piece – brilliant!”
“You know a lot of the pharma industry,” I responded, anything more on pharmaceutical brand assets?”
Ravi’s laughter boomed heartily. “Exactly! Medical reps and their area managers are the hidden gems of brand building. They create awareness at the ground level, acting as the true brand ambassadors. Your pharma brand managers should never lose sight of this crucial fact – a strong pharma brand can’t be built without the unwavering support of the medical reps and field sales managers.” I was delighted, I was once a medical rep, and even today at heart, I am still medical rep.
His words resonated deeply. After all, I was once a medical rep myself, and even today, that spirit of dedication to the field burns bright within me.
“Sure,” Ravi continued, “the brand assets in pharma might not always align perfectly with the theories of brand management gurus like David Aaker or Jean-Noel Kapferer. But in markets like Bangladesh and India, that’s the reality.”
Ravi’s observation, despite his outsider perspective in pharma, struck a chord with me. It highlighted a fascinating disconnect between theory and real-world application, particularly in these markets.
Medical representatives serve as the frontline for pharmaceutical brands, acting as the initial point of contact with doctors. They are responsible for conveying the brand’s message and implementing your strategies. In today’s fast-paced environment, they often have a limited window, sometimes less than 15 seconds, to make a positive impression. Therefore, the way a medical rep communicates is critical. They play an essential role in building brand awareness and brand equity.
“Yes, the classical brand assets like the brand name, the colors, the fonts, the typography the images, do matter. These primary brand assets must go hand-in-hand in building a solid pharma brand.”
I was dying to ask him one question but didn’t as I do not disrupt his thoughts. I dared to ask him now. “Excuse my curiosity Ravi, how come you have such a deep knowledge of the pharma industry?”
Ravi smiled, “Do you forget Vivek that my Dad was a medical rep in Parke-Davis for 36 years.” He looked at the display board. “I am afraid I have to leave Vivek. My flight will be departing soon. I am so happy we met.”
That hour with Ravi was a goldmine of brand insights. He shed light on various brand assets, from the captivating concept of the brand muse to the tangible and intangible elements that build a strong brand. His observation about the challenges posed by some “lala” owners in pharma brand building resonated deeply. But the most valuable takeaway for me was the undeniable truth – the medical representative is the heart and soul of a pharmaceutical brand.