Product details

Ericsson, the Swedish telecommunication products and systems company, is embarking on a first-ever global advertising campaign for its brand of mobile phones. The idea for consumer brand building, new to an otherwise technology oriented industrial company, has come about as a result of developments in the worldwide market for cellular phones: fast growth, entry of new consumer segments, declining product differentiation, and the growing pressure on prices and margins. The expensive campaign, aiming to 'cement a relationship with (the) consumers, capturing a share of his mind... his imagination... his emotions,' is notable for a total absence of product-related communication between people around the world. The case raises the following issues: (1) how to build a strong brand for a product that is increasingly difficult to differentiate along technology or features?; (2) can 'pure' brand values stand on their own merits without any reference to products?; (3) brand strategy: what criteria for evaluating advertising execution?; (4) brand strategy: what linkages, if any, to tactical product ads for maximum synergy?; and (5) corporate brand: how viable an option for a multi-product category company? This case was previously numbered 598-064-1.