This month’s
Retrowurst is less about brands and markets and more about those that earn their living through understanding what brands are, how they work and helping helping them to grow. In March 2007, I examined Germany’s brand consultancy agencies - and came to the conclusion that the choice was more limited than in the English-speaking world.
Eighteen years is a long time in the world of brands and marketing. 2007 was pre- Byron Sharp’s How Brands Grow (2010) and Les Binet and Peter Field’s The long and the short of it (2013). I also note that the only business-orientated social media network mentioned was Xing. LinkedIn was launched in 2003, but in 2007, it would only have attracted English speakers working internationally.
----------
My Extrawurst this month is inspired by my recent work with a UK-based International Brand Consultancy which left me wondering why this particular market is so under-developed in Germany.
My last month seems to have been one workshop after another and, interestingly, it has given me an opportunity to muse on the German way of doing things and on the UK (or perhaps I should say International) way. This led me to wondering why the market in Germany for Brand and Innovation Consultancy is so underdeveloped, so I have had a quick look into who is there, what they do and a few reasons for why, in my opinion, they are not doing it better.
The first point is that there is no lack of companies and individuals in Germany who set themselves up as some sort of Brand Consultant. I suppose that I belong to this motley bunch as well! If one starts with doing a Google search, on something like Markenberatung (Brand Consultancy), there are pages and pages of links. In addition, there are whole networking websites such as www.marketing-boerse.de or www.xing.com where you can seek out and contact companies and experts in whatever field of marketing or branding you fancy.
Most of the companies that come top of the list in the Google search are what I would call “old-school brand management consultants”. Typical of these is www.brandmeyer-markenberatung.de (which you can look at in English) which is full of process and promise to pinpoint precisely what profit each element of your marketing mix will bring. The idea of “brand core analysis- or whatever else they may be called (Sic.)” is heavily pooh-poohed as being fanciful, flakey and having no connection with commercial reality.
In a similar vein, but dry and intellectual rather than aggressive and dismissive is www.taikn.de . This is a website that I don’t think you can read in English but be thankful. A little better are www.esch-brand.com “The Brand Consultants” who appear to be a husband-and-wife combo with more academic qualifications than you could shake a stick at. They offer all the usual fare of Mission, Visions, Positionings and Architecture and make big of their academic connections to the Justus Liebig University in Giessen. However, despite their intellectual posturing, the site is loaded with marketing clichés of the “Win-Win” or “Whole is more than the sum of its parts” type.
Another category of Brand Consultancies is P.R, advertising, market research or media agencies who obviously want to add a bit of added value and substance to their offering and thus add a bit of Brand Consultancy to their menu. For example, www.k-mb.de, Kamps Markenberatung or www.brandaide.de .
The Planning or Strategy part of an advertising or communications agency may also set themselves up as an independent Brand Consultancy, taking on their own clients as well as those of the main agency. A good example is Publicis-Sasserath www.markenfreunde.de who offer consultancy to clients outside the Publicis stable via their own tools and methods, such as the MarkenWesen. The question here, though, must always be: how independent are they really? There are other Brand Consultancy Agencies, who appear to be independent but on closer inspection, they are part of one of the giant communications networks. One example is www.economia.de , which offers trend-watching, innovation and new product development in addition to brand consultancy but appears to be part of BBDO. Another is www.21twentyone.com who promise to “make your brand an everyday hero” but who seem to be something to do with Carat.
The final category is Brand Consultancies who position themselves more on the innovation and creativity side of the spectrum but who are independent of major communications networks. These seem to be rather few and far between, but I have managed to find a couple of examples. First up is Dr Krüger & Equity, www.equity.de who formed as the first Strategic Planning Agency in Germany in 1995. They position themselves as “Creativity based on Information”. Another example is Diffferent, www.diffferent.de who also offer a combination of creative spirit and analytical expertise. Diffferent take on strategy for brands and communication, innovation and product and brand development.
Getting back to my differing experiences with the International and the German workshops, I suppose I can sum it up by saying that the International camp centres more around a way of thinking where a number of avenues are pursued in parallel, where we have to move out of comfort zones and where we must have faith that things will fall into place. The German experience was far more about following a linear, deductive process (“when we have got the answer to this, we can move on to the question for that”) with far more of a feeling of (false?) security that everything would be approached “step by step”. Maybe it is my UK training and upbringing, but I found the UK/International approach preferable in that it seems to lead to a number of possibilities rather than a definitive solution to one problem.
While it is easy to dismiss the German way of doing Workshops as rigid and German Brand Consultancies as being inferior to ours, it did get me thinking about the why and wherefore and what we can do about it, especially if we are working with clients who are from a predominantly German culture. I think it is true to say that Germans are very reliant on structures and definitions and dislike ambiguity. This does not make their way of thinking inferior to ours, only different. After all, they have some pretty strong brands, too! I was reminded of a recent personal battle I have had here with the Finanzamt (or Tax Office) about my status. While I have argued that I am a professional freelancer, they want me registered as a “trade”. While I initially was more concerned about the tax implications, it became a matter of professional pride about what I do. My mistake was to call myself a Werbeberater (Advertising Consultant) instead of an Unternehmungsberater (Management Consultant). Now, these were the only two job descriptions in the Finanzamt’sapproved list (compiled in 1974, I have found out) that came anywhere near to Strategic Planner. Once I tried to argue that I was a Management Consultant with specialization in Brands and Marketing and not someone who advises the local nail studio on how the layout of their flyer should be, the Finanzamt demanded that I produced evidence that I had appropriate qualifications, that is, a Business Studies degree. To cut a long story short, I only achieved my desired status after much argumentation from my husband, who happens to be a German lawyer!
This little story sort of illustrates the problem about the fixed circle of ideas: in Germany, you can only set yourself up as a Brand Consultant if you have the relevant qualification. Although I do not have a German degree in Business Studies, I know plenty of people who have and the sort of stuff you learn there is not the stuff of creative innovation. And if you have studied something else, maybe rather more “academic”, there is a sense of “selling out” if you go into commerce. There is a distinct feeling of distaste in mixing the academic and the commercial. If you should go into qualitative research after studying Psychology, for example, you only do this on the grounds that everything is taken very earnestly and seriously. You will stress your qualifications on your business card and website and write lots of learned books about the state of the German psyche: “pop psychology” will have no place in your offer.
I think that there are two main points to this Extrawurst: firstly, that there is a real need for good Brand Innovation Consultancies here and secondly, that maybe we should have a good think about how we can really make use of people’s creative and thinking skills in a way that doesn’t alarm them too much when we’re working with predominantly German clients.
----------
There are a lot more players in the Brand Consultancy market in Germany these days. I guess that, as Account Planning in German ad agencies reached its critical mass a lot later than in the UK, it took a while for the idea and principles of Brand Strategy to take root. I came to Germany in 1996 to develop a fledgling Planning Department at Saatchi & Saatchi. At that time, people looked to marketing people in organisations such as P&G as the brand experts, rather than anyone within an ad agency.
Many of the agencies I mentioned in 2007, particularly those that were offshoots of a communications agency network have bitten the dust. But most of the “pure” brand consultancies are still going strong. And although these have relished the rise of performance marketing with theit own Customer Journey models and growth flywheels, I’m pleased to see more acceptance of “fluffier” ideas about the nature of brands, too. In other words, that creating and growing brands is as much art as science.
There’s a lot more choice on the market, from one-(wo)man bands to sizeable agencies, from the academic and learned to the design-thinky and innovative. And it’s good to see plenty of
formal and informal networks of brand strategists as well the sharing of useful stuff on
LinkedIn and beyond.
Will the brand consultancies all have been gobbled up by AI by the end of the decade? I’m inclined to think not. In the end, you can have all the synthetic respondents and data you want, thousands of AI-generated concepts, research summaries at the touch of a button - but none of this will replace human insight.