Joan Kiddon, Author at Branding Strategy Insider

Whirlpool, the global appliance behemoth, recently reported less-than-healthy results. To summarize Whirlpool’s performance, The Wall Street Journal titled its brief recap “Whirlpool Heading for Full-Year Loss as Costs Mount and Sales Fall.”  Whirlpool’s sagging performance has resulted in a cost-cutting, price-raising strategy.

Relying on deal after deal to attract customers is death-wish marketing. The more often a brand announces, “This is a great deal,” the more customers come to believe that the deal price is the real price. The regular price begins to look inflated. The brand’s perceived value declines. What appears to be a short-term sales success can become a long-term problem for revenue quality and profitability.

Mattel, the owner of Barbie, Hot Wheels, Fisher-Price, American Girl, UNO, Thomas & Friends, MEGA, Polly Pocket, Masters of the Universe, Monster High and Matchbox, may be up for sale. Or, some of Mattel’s individual brands may be sold off. There is a difference between selling a brand and understanding what makes that brand valuable.