Based on qualitative interviews, surveys and digital focus groups with companies in the retail, hospitality and experience sectors, our experience shows that companies with strong brands and well-established customer relationships have fared better during the corona pandemic. Not only have they been able to weather the challenges of the corona pandemic, they have also developed ways to innovatively turn challenges into opportunities. Below are three examples of companies that had already built strong brands and customer relationships before the pandemic broke out. The examples show how, with high levels of trust among their target audiences, they have been able to act to develop new services and goods in response to ever-changing conditions. However, we will first start by showing how companies worked even before, and in the early stages of, the pandemic and the conditions that followed from strong brands, good relationships and high trust. We then show how these conditions enabled innovation and rapid service and product development.
The importance of credibility before and during the pandemic
For example, it was not necessary for the local brewery to send samples of its drinks for restaurants to include in their ranges. The restaurants were already aware of the brewery's high level of delivery reliability and product quality. The brewery was thus able to sell its drink untested. Another example concerns the local farm shop that conducted digital tastings of dairy products. Thanks to high credibility and strong customer relationships, these tastings could be launched without extensive marketing. A third example is that of the café and excursion destination with a commercial element, which managed to sell dinners without announcing either the price or what would be consumed. In all three examples, customers felt sufficiently confident in the quality and reliability of the businesses to consume goods and services without full knowledge. This had a major impact on businesses when the pandemic took off.
Strong brands as a source of innovation
These fundamental strengths have in turn created space for innovation and new thinking by allowing the idea generation, verification, development and launch of new products and services to take place in a simultaneous and exploratory business development process. For example, the brewery was able to develop entirely new products in the form of beer ice cream and new soft drinks while orchestrating a collaboration with the local hockey team, Coop and local entrepreneurs. The farm shop had the potential to develop new concepts consisting of barbecue bags, pizza kits and charcuterie trays. These attracted zoom-weary and isolated locals. For example, the retail destination developed a brand new café concept with outdoor activities, focusing on conversation and so-called corona-safe interaction between people.
Reflection questions: on the importance of the brand
How strong do you think your brand is?
On what basis do you assess the strength?
What can you do to further strengthen your brand?
What opportunities would result from your brand and credibility becoming stronger and higher?
Which of these possibilities do you think is within reach?
