In the current global economic recession, the list of U.S. retailers who are closing many stores and even, in some cases, closing their doors forever is astonishing and continues to grow. Of course, it goes without saying that by far the most tragic result of this situation is that hundreds of thousands of hard-working people have lost their livelihood. But there’s another lamentable dimension to these events that may be easily forgotten. That is, the death of many of these brands. Now, you might think, “So what. After all, they’re only brands, not people or the communities where they live and work.” And you might say, perhaps rightfully so, that “If they were truly strong, solid brands, then wouldn’t the companies that create and leverage them survive and thrive in spite of a downturn in the market, no matter how monumental it may be.” Not a bad argument when you think about a company like GE who was nimble enough and forward-thinking enough to re-invent itself a few dozen times over the course of its unbeatable 113-year history.

But the truth is that even good companies with solid brands falter and die away and I think there is an element of sadness and loss in that fact. Because brands do not just create themselves. They are conceived, built and fostered by a whole lot of very smart and successful people. These savvy staffers defined them, protected them vigilently and invented great sales and marketing programs to grow their value. Circuit City and Linens & Things, to name a few, were once among the leaders in their markets and are now no more. Others, like Sharper Image, are repositioning their brand away from brick and mortar to direct-to-retail.

Thinking about what separates the GEs of the world from rest is important. Understanding how to reinvent an organization and its offerings to shift with the changing times is one of the most significant things a company can focus on. Options include growing from a large U.S. company to an even larger multinational conglomerate like GE did, selling to the highest bidder, shifting the business model or remaining small and nimble. 

No matter what strategy is pursued, for better or worse, a brand goes along wherever the business strategy takes it. And if a firm ends up in a corporate graveyard and the only way to buy their logo is to bid on a gently used golf shirt on eBay then, so be it. You’ll find some great brands there, created by some very interesting people trying to make a buck marketing a company and a product line they truly believed in. I know because it happened to me. I worked for RCA when they were gobbled up (yes, by GE) and, to this day, I relish anything with a Nipper logo on it. Fond farewell to all of these great American brands. You’re in very good company.

Posted in: Branding