The board simply issued a simple brief: Audi should delight customers as a Brand. That's a clear call for more emotion. Through a host of changes in the Corporate Image guidelines, changes in sponsoring programmes and in marketing, the brand transformed itself to the more solid, cool and somewhat understated brand it is today. The excitement was clearly achieved via the R8 and the victories at the 24 Hours of LeMans. In the product marketing, even the faster and more agressive models, such as the RS series, come with descriptions that are not referring to its extreme speed and acceleration capabilities. Instead the focus its on the design details that set the RS5 apart from the standard A5 model.
The interesting aspect of the branding repositioning exercise is not that the fact that every now and then a Brand has to go through such an exercise. These days, a shit-storm in the internet can create more damage in a few days than a branding department can handle and correct in a few months.
"Vorsprung durch Identity"
What makes Audi an interesting case is the fact that their branding is fairly monolithic. The often called 'Marushka' dolls design principle leads to cars that look alike between series. You need a trained eye to spot the difference between an A4 and an A6, specifically from the back. Audi only does one type of design for a series of cars that sell extremely well, specifically in Asia. The brand has become extremely recognizable but also more one-dimensional and it has also gained substantial global presence.
The associated brand identity works well because with brand promise, 'Vorsprung durch Technik'. The advantage is reflected in the design and in the specifications of the actual cars.
Audi has what I would call substantial Brand Mass. Whether you like it or not, as soon as you get in touch with any Audi product or touchpoint you will meet the same 'Audiness' everywhere. Its comparable to an oil tanker. Once pointed in a certain direction it is hard to change its course and even harder to reverse.
Brand Mass in itself is not bad. Its come with efficiencies that consumer product giants like Nestlé and P&G can only dream of. Yet it also comes with a certain risk. If consumers keep seeing Audi as an arrogant brand for drivers of the single-male-macho kind it could loose its appeal as a whole to a group of consumers that suddenly associate the monolithic brand experience as one big affront.
In other words, increased Brand Mass means increased Brand Risk, specifically in the reputational area.
Is there a way to mitigate this risk? The obvious answer would be, yes through diversification, i.e. the creation of Sub Brands. Toyota and Nissan have done this through the creation of the Infinity and Lexus luxury brands. Although it requires the creation of new Brands it does help spreading reputational risk, specifically if the sub-brand are still subtly but firmly attached to the 'Master' Brand. The Best in Class example here is BMW with their superbly integrated MINI and Rolls Royce Brands.
Audi seems to have taken one step in that direction by acquiring Lamborghini and recently Ducati. But for now this connection is hardly ever highlighted. Its mostly the Automotive Media that refer to this connection.
Audi remains though a class-act when it comes to the total integration of Corporate, Brand and Product Strategy with a superbly consistent Design and Experience based on the Brand's values.
For further reading:
Audi's Corporate Strategy
A very good Audi SWOT by marketingteacher.com
