When I glance at balance sheets, there is a thought that often crosses my mind. Why don’t balance sheets have a provision for the net worth of the total brand equity of the organisation? This intangible asset, brand equity, will stand for the strength of all the brands that the company has been able to develop, be it a product or service.
A brand stands for commitment to quality, a testimonial to customer awareness and a fostering of loyalty towards the product. Now let me explain why the whole business of building brands should catch the attention of some of our best technology companies.
It is the company with the strongest brands which will be able to weather the current economic slowdown. Brands stay with you through thick and thin. The immense goodwill that you have been able to generate by providing top-notch services to your client or by manufacturing a world-class product will not erode away.
In fact, if I may extend my argument, I feel that Brand India took a big hit due to this Satyam fiasco. It is going to take some time for Indian IT companies to remove that negative sentiment which is bound to exist towards them. Brands need to be constantly invested in, and much care must be taken to ensure that their core values do not get eroded.
Despite the immense strides that Indian IT has taken, I will stick my neck out and say that we do not really own brands that generate instant international recall. That’s where the US of A has been successful—in developing some really strong technology brands. Sure, these companies have had a head start, but to cut through the clutter, the time has come for Indian brands to strike.
To stay ahead of competition, and to stay relevant in the marketplace, you cannot stay without powerful brands in your corporate arsenal.
After all, the game is about perception and recall. For example, you wouldn’t remember the name of the second man on the moon, would you?
On a different note, the year 2008 has been a good one for The CTO Forum. We have had some great interactive sessions—like The CTO Forum held at Macau—with the Indian CIO community over the past year. The New Year promises even more action from our end. Just watch this space for more.
Have a great New Year