It’s not uncommon to have ambitions bigger than one’s conventional resources. This goes for many of us but also for a great majority of brands. Having not achieved the height of category leader and not being content with being a niche player, challenger brands change category dynamics by defying conventions, oftentimes changing customer and consumer behavior along the way. 50k shared our perspective in The Drum on what it means to buck trends and surpass all expectations. Enjoy the full article below.
A challenger brand mindset wins consumers—and changes the world
Like all great brands, challengers succeed by mastering the balance between delivering on their customers’ functional needs and providing the emotional benefits that only they can provide. What we can learn from challengers, however, is how a bold vision coupled with a commitment to embrace a unique and authentic difference can help any brand rise to the top. Netflix, Warby Parker, RXBAR, Everlane and Slack are just a few great examples.
Challenger brands come in many shapes and sizes, representing some of the most exciting and well-loved household names around. Some are contrarians or provocateurs; others are crusaders, driven by their passion. They innovate, reinvent and disrupt; and they do it, surprisingly, by being great listeners committed to meeting the needs of their customers. While what drives them varies, what defines them—for the most part—is remarkably the same.
Whether you’re out to unseat competitors or maintain a lead, here’s how a challenger mindset can help you achieve your goals.
Have a clear vision
Challenger brands in any category are most successful when they are propelled by a clear vision, embracing an organizing principle to live out their mission and deliver on an unmet customer need. Navigating a crowded landscape takes discipline and distinct positioning. Once identified, a North Star must guide every marketing, product and service experience, setting the brand apart from competitors and the current customer mindset.
In 2002, MINI Cooper launched in the U.S. with a tall order in hand. The goal was to challenge the prevailing car culture centered on size, power and excess. Creating desire for a new mindset altogether, MINI felt empowered to launch with a platform that was at direct odds with the well-traveled course of the category. Recognizing that, MINI led with the rally cry Let’s Motor to invite a whole new generation of drivers into its membership and to celebrate the conscious and conscientious act and experience of driving again.
Maximize your competitive advantage
Challenger brands ask and then answer what they do better than everyone else. They understand that the greater their difference, the greater their impact—whether through better service, unique features, quantifiable performance improvement, availability for an audience not currently served, better bundling of products and services, improved ease of use, more efficient delivery or distribution, more compelling customer experiences or even unbeatable prices.
Perhaps there is no better example of a brand, of sorts, that is challenging convention and creating a movement than the emergence of blockchain technology and its wide-ranging applications. One of many practical examples putting this revolutionary technology to good use is a consortium of energy and financial institutions including Royal Dutch Shell and Citigroup, who plan to start trading commodities on a new blockchain platform called Komgo. Add to that uses like copyright protection, real estate title transfer, digital voting and supply chain logistics, and you have a potentially disruptive mode of transacting the likes of which the world has never seen.
Identify opportunities where only you can win
Challenger brands are often well-positioned. Typically, they have the freedom to take more chances than category leaders and to leave the worry of pleasing the majority behind. By turning what many may perceive as the weakness of the underdog or comeback kid, challengers know how to capitalize on the strengths of their unique position to upend the status quo.
Above all, focus on what makes you distinctively different and irreplaceable in the market. Challenger brands excel at identifying and then solving unmet customer needs and then turning that into a platform for stealing market share from competitors. Challengers win not by positioning themselves as the best option, but rather as the only option.
As attitudes toward conspicuous consumption have changed, Shinola saw an opportunity to tap into a consumer market that craved a new style of luxury, focusing on designing products fit for a generation’s eclectic and inclusive lifestyles. In turn, the brand has helped spur growth in the category, even contributing to a creative and industrial renaissance in Detroit. The brand work and complementary campaigns helped reclaim Detroit’s pioneering past following the recession by celebrating its people, products and resiliency as a city. By rethinking and reintroducing time-honored traditions of craft, heritage, and in a sense, timelessness itself, Shinola was able to energize a space with a unique, newfound vitality and an authentic point of pride and differentiation.
Although challengers aren’t necessarily aiming for the top spot, they are characterized by an unbridled energy to grow their businesses by providing the market with a product, service or experience that no one else does—and in a way that no one else can.