(RED): A bright future?

Love

Brief History

1987

•Music album “A very special Christmas”

•Bono and Shriver, the Special Olympics, U2, Bruce Springsteen & the E Street Band, Run-D.M.C., $11/piece

1999-

2000

•$435 million debt relief

•Shriver, cancelling the debts of extremely poor countries, lobby members, Jubilee campaign, the Congress and the Clinton Administration, Jesse Helms, John Kasich

2002

•Debts, AIDs, Trade, Africa (DATA)

•Shriver and Bono, meeting with President George Bush

2002

•The Global Fund

•fight against AIDs, tuberculosis, malaria, UN Secretary General Kofi Annan, several billion dollars from governments, 5 million from private segment in three years

2006

•(RED) launched in around October 2006

Corporate Partners

The Global Fund

American Express:

(AE Card)Red1%

Gap:(T-shirt)Red

50%

Apple:(iPod

Nano)Red$10 each

Converse:(Sneaker)Red

5-15%

George Armani:

(Sunglasses)Red

40%

Motorola:(Cell

Phone)Red$17 each

Success!• Less than $5

million from private sector

• 1% awareness

Sep, 2006

• Around $25 million from private sector

• 17% market penetration

Jan, 2007

Why was (RED) successful?

Product• Brand• Feeling

Price• Licensing Fee• Piggyback on other marketing campaigns

Position• First mover into Charitable Capitalism

Promotion• Celebrity• Corporate Brand Equity

Enhance brand equity

Need to turn a profit

How to create

sustainability?

Challenges moving forward

Who are the key parties?

Company (partners)

(RED)

Public (customers)

The Global Fund

Mission: raise money for AIDS?

2007 2008 2009 20100

500000000

1000000000

1500000000

2000000000

2500000000

3000000000

3500000000

(RED), $140,000,0

00

Global Fund,

$3,317,902,000

Money Raised

Tota

l A

mou

nt

•Of the funds contributed to The Global Fund in the last 3 years, only 1.1% was from (RED)•(RED) NEEDS TO HAVE A NEW MISSION

Creating a movement

• Continuously drive the public awareness on global needs, such as AIDS, hunger, child labor, human slavery, and other threats to humanity so as to make a constant contribution to the welfare of society.

Mission

• Dedicated to enhance the welfare of society

Brand Identity

• External:• Enhance the public awareness of people suffering

• Internal• Help companies generate more income with positive

benefits• Maintain constant revenue stream to The Global Fund• Generate a sustainable profit to maintain the (RED) brand

Objectives

Brand value is Company value Traditional Model

(RED) Model

Product Brand Licens

e

Brand Product

License

Moving forward: Building a Brand Identity

Must build a long-term

brand strategy

Must create Strategic Partnerships

Must use

brand-

equity

creating

tools

12

Use tools: Brand pyramid

Resonance

Consumer Judgments

Consumer Feelings

Brand ImageryBrand Performance

Salience

The purpose of the brand equity pyramid is to outline the basic building blocks of a what the brand should stand for in order to guide the process of building brand equity. It is the basis for determining key elements of the brand strategy – brand vision, brand positioning, and brand personality and brand measurement.

Identity

Relationship

Response

Meaning

Brand Equity Pyramid The model was developed by Kevin Keller, professor of brand strategy at Dartmouth, based on his ‘Customer Based Brand Equity Model’ (CBBE). Keller is the author of two definitive texts on brand building. The pyramid is just one of 4-5 leading representations of the components of brand equity. Other models include Y&R’s Brand Asset Valuator, Millward Brown’s BrandDynamics model, etc. While each model has its adherents, upon closer scrutiny, they are all very similar in their content and purpose. Whichever is selected, what is important is that it provide a shared basis for understanding what is meant by ‘brand equity’ and how this construct applies to your brand.

Building strategic partnerships What type of Partners?

High profile Strong marketing Fashionable Cutting-edge World citizens

1. Focus on high volume (7 touch rule)

Candy (Hersheys or Mars) Fast food (McDonalds, Burger King) Drinks (Coke, Guinness) Utility bills (Internet, Cable, TV,

Electricity, Water) Movie ticket sales (leverage celebrities

2. Use Portfolio analysis to determine premium partners Starbucks, Nike Not: Toyota, Oracle, Great Wall Wine

High involvement advertising Must distribute the results

Online calculatorVisual Reminders

Get into the public eyeDistribute results at storeTake home calendarsTake home pillsTake home key ring

Thank you

Recap:How to create sustainability?-Employ brand strategy-Create strategic partnerships