In January we delivered our “Brand Bailout” stimulus presentation to the local Young Presidents Organization. One of our key assertions was that now, during depressed economic circumstances, is precisely the time to invest in and nurture your brand. Consider that one valuation of Coca-Cola’s business comprises 60% attributable just to the brand value.

As one Coca-Cola executive is quoted as saying:

“If Coca-Cola were to lose all of its production-related assets in a disaster, the company would [survive]. By contrast, if all consumers were to have 
a sudden lapse of memory and forget everything related to Coca-Cola the company would go out of business.”

I was recently asked if the first instinct of businesses to cut marketing and brand budgets was wise. Our opinion we now know accords with that of Walmart and their results as articulated in this February 17 New York Times article are illustrative. (more…)