Reputation versus brand: What this debate says about professional service firm marketing strategy

"Reputation Warfare," in the December 2010 Harvard Business Review, gives professional service marketers a chance to discuss the meaning behind the words "reputation" and "brand." Are they the same, different -- or do they overlap?

I think they overlap.  But some seasoned marketers believe you cannot separate a firm's reputation from its brand. (Take a look at Arthur Andersen, they say. Its reputation -- and brand -- were destroyed once revelations about its Enron business practices came to light.) 

Others believe a firm's brand is not the same as its reputation. They argue that "reputation," meaning the marketplace's confidence in your firm's ethics, honesty, trustworthiness, and quality services, is the core bedrock of any professional firm's ability to do business. These principles sit "below" the brand, which is about a set of attributes and characteristics which must be unique to each professional firm.

To me, these variable opinions are another indication of the increasing maturation of the professional services arena. And it may take a threat, as "Reputation Warfare" author Leslie Gaines-Ross says, in the form of "small-scale antagonists: dissatisfied customers, disgruntled employees—virtually anyone with a personal computer and an ax to grind" to force professional service firms to grow in sophistication about exactly where reputation ends and brand begins.

To see the difference, let's consider Miller Lite's classic brand promise: "tastes great, less filling." Are those promises exactly the same as honesty, ethics, and high-quality beer production processes? I say "No." 

Of course, people do want to rely on the ethics and quality production that results in "tastes great, less filling." But consumers do not instantly question the company's production processes or reputation when they distinguish "tastes great, less filling" from their other beer choices. "Tastes great, less filling" are attributes that separate it from its rivals. That's what a good brand strategy must do, even for professional service firms.

Professional service marketers, ask yourselves: are your firm's brand attributes distinct and separate enough from your firm's bedrock business principles of trustworthiness, honesty and quality? 

If not, watch out. You may be in the same boat as Arthur Andersen, whose brand couldn't stand a significant hit to its reputation. Right now, you should take a hard look at your brand strategy. Get started today to build greater uniqueness into your firm's brand attributes.

Comments

[Frans Cornelis]

Great post about a confusing debate. Much is about semantics though. We believe that behind both "brand" and "reputation" sits the concept of "perceived identity", and if one starts from there (who is perceiving? what are they perceiving? what's revelevant for my business?) one can dissect the definitions and align the measurements. But it is a dangerous subject as there are little subjects that give rise to so many possibly ungrounded gut-feel/emotions discussions with colleagues as this one...

[Suzanne Lowe]

I agree, Frans, that it is very important to ask the "who is perceiving?" question. But as you are not surprised to hear, I believe we marketers must find a way to help our organizations address these and other "dangerous" subjects.

[Rochan]

My thought about your post:
If the reputation of a firm is spoilt, I think that whatever the quality of the brand is (good or not so good) the firm will live bad times.
If a firm has a good reputation but could do better with its brand, probably the performance of the firm will be less that it could be.

Because consulting is a relationship business, reputation seems more critical than brand (and could we talk about brand in the consulting business?) But, in the same time, a better brand could help increase performance.

Reputation impact life or death of the firm.
Brand (if it has sense for consulting firm) impact performance.

So with firms of equal reputation, they should work harder on their brand.

[TidyForum marketplace]

Mmmm.. Agree with you.