Summary on Byron Sharp’s Laws of Brand Growth with Examples
Byron Sharp’s How Brands Grow has become a cornerstone of modern marketing, offering invaluable insights into the dynamics of brand success. The 11 laws he outlines provide a comprehensive framework for understanding how brands grow and how marketers can effectively drive growth. Let’s delve deeper into these laws, exploring their implications and real-world examples.
Double Jeopardy Laws: The Bigger They Are, the Harder They Fall (and Rise)
Double Jeopardy Law: Smaller brands have fewer buyers and less loyal buyers.
- Example: A small, regional grocery store chain might have a limited customer base compared to a national supermarket chain like Walmart. This can make it more challenging to attract and retain customers.
Retention Double Jeopardy: Larger brands have lower defection rates.
- Example: Coca-Cola, being a global brand, has a massive customer base and tends to have lower customer defection rates compared to smaller, regional soft drink brands.
- Pareto Law: The 80/20 Rule in Action
- The Pareto Law, or the 80/20 rule, states that a small percentage of customers contribute a disproportionate amount to sales.
- Example: A luxury car brand like Mercedes-Benz might find that 20% of its customers account for 80% of its sales, highlighting the importance of catering to and retaining high-value customers.
Read the full article in Medium.
