How resilient brands grow in volatile times
- SCMP Advertising+ partners with Ipsos to launch its 2025 brands study and build the case for investing in brand marketing in volatile times.
South China Morning Post (SCMP) Advertising+ and its insights partner, Ipsos Hong Kong, launched its third annual brand study at The St. Regis Hong Kong on June 25, in front of an influential audience of more than 200 marketing and key business figures. A number of leading marketers and creative leaders spoke at the event, sharing their insights on the role of brand in driving growth, resilience and loyalty. Additionally, CEOs and senior leaders from over 20 agencies participated in a pre-briefing to discuss the research findings.
Trust fuels resilience and growth
Akhil Gupta, director, market strategy & understanding, Ipsos Hong Kong, and Paul Phillips, marketing director, SCMP, shared recent research which showed that up to 41 per cent of affluent people have already cut back on non-essentials or plan to do so.
What was fascinating was that the research revealed consumers were up to six times more likely to continue spending on brands they trust, despite cutting back on non-essential spending. They are also willing to tolerate a seven per cent price increase from brands they trust before reconsidering their purchases.
Brands that consumers have faith in are resilient even in the toughest of times. The key drivers of this trust are product and service quality and a robust brand identity. The key to building that identity in a way that resonates with consumers is storytelling.
Delivering ROI
Exploring the theme of resilience, a fireside chat titled “160 years of shaping the Hong Kong story” featuring Kevin Huang, chief operating officer of the SCMP, and Cheuk Shum, head of marketing, Hong Kong, HSBC.
“People are more likely to remember you were there for them in the hard times. This is why the ROI (return on investment) in marketing in tough times is usually better,” Shum said. “When consumers are hesitant to spend, they tend to fall back on brands they trust.”
“We’ve been in Hong Kong for 160 years, so the city is part of our DNA. The history of the bank is tied to the history of Hong Kong. We have a role to play in society, and people understand that.”
Building trust
Building trust is about crafting compelling stories that spark meaningful discussions with the target audience.
“We tell our customers’ stories,” says Shum. “For example, in a recent exhibition, we featured the account of our first ever customer from 160 years ago. The family still banks with us, and that’s a story many people in Hong Kong can relate to.”
“As part of our 160th anniversary, we’ve worked with local artists in every district of Hong Kong to paint stories in murals that reflect on our brand. This is a media environment where corporate brands would not normally go.”
Storytelling that resonates
Building on these themes a panel titled “How Century-Young Brands Grow”, with Florian Jungbauer, head of brand and digital marketing channels at The Hong Kong Jockey Club, and Rola Lin, marketing director of Moët Hennessy Diageo, Hong Kong & Macau.
“In the past, communications were often focused on the factual data supporting our charitable efforts,” said Jungbauer. “But for Gen Z and younger audiences today, that is not enough. They have a limited understanding of our history and impact, so we have to demonstrate through emotive and authentic storytelling how The Hong Kong Jockey Club is a force for good in the community. Holistically integrating racing and entertainment will pivot the club’s global sports entertainment image.”
Lin had a similar view: “There is a shift back to the localisation of global brands. For example, people all over the world love our Hennessy cognac, but they enjoy it and engage with it in different ways, and we need to reflect these local differences in our marketing.”
“Right now, we’re doing a wonderful collaboration with Draftland Hong Kong, highlighting local ingredients in cocktails.”
Evolution of brands
It is critically important for brands to listen to the communities they serve and keep their messaging relevant to changing audiences and changing times. Listening was a key theme for multi-disciplinary creative Victoria Tang-Owen, who sat down with Lee Williamson, executive director, Specialist Publications, SCMP.
“You need to listen to your audience and pivot to what you hear”, Tang-Owen said. “Brands can come to a point when they’re not moving. That’s when you need to change. Building brands is not a sprint, it’s a marathon, and consistency is the key”.
Williamson summed up: “You are not trying to say 100 different things, you are trying to say one thing in 100 different ways. It takes stories that people can connect to, delivered in ways that are relevant to their lives and desires. Resilient brands understand this.”
