At its core, this is already how transformative corporate brand work gets done. The most successful brand transformations aren’t solo CMO projects; they’re upstream CEO-CMO partnerships. The CEO brings the business strategy, ambition, risk tolerance, and commensurate authority over innovation resources. The CMO brings customer intelligence,... See more

3. Different Approaches, Different Advantages

If Sharp’s theories were truly universal as he posits, every company would pursue the Diageo approach to brand strategy. They don’t, because different relationships between what brands stand for and the innovation they undertake reveal distinctly different advantages to exploit.

Diageo brands stand for... See more

In other words, brand can be thought of as the capstone atop McGrath's framework—an unnamed source of stability, coherence, and discipline. The virtuous cycle, or flywheel effect, this addition creates is why it’s the capstone. Brand brings coherence to innovation; innovation brings essential new vitality to the brand.

McGrath’s theory of transient competitive advantage begins with a fundamentally different assumption of reality from Sharp's: In dynamic markets, sustainable advantages have been replaced by temporary ones. Success requires managing a portfolio of advantages across different lifecycle stages—emerging through experimentation, strengthening through... See more