Game Changers Leveraging innovation to

revolutionize the category

Presented to P&G by

Introduction

For some brands, product innovation

goes well beyond functional

improvements or simple extensions

of the existing portfolio.

Introduction

�ese brands take advantage of the

opportunities presented by innovations to

re-define how their category is perceived

by consumers.

�ey quite literally

change the game…

�e greatest advertisement in history

Apple Mac

�e game

Before Macintosh, computer

manufacturers spoke the jargon of

‘techies’ or businesspeople, the two

groups they still thought of as

their target audience.

Apple Mac

�e innovation

Simple interface

Nice design

Apple Mac

How the game was changed Not simply a new computer, but a new way to think about computers

�e greatest advertisement in history

Apple Mac

How the game was changed:

Discovered/Created the lifestyle

tech-user, more interested in

personality and style than hard

features or computing power

Apple Mac

Apple Mac

How the game was changed:

�e “i” nomenclature is both

ownable and representative of this

focus on the customer and his life/

needs.

iLife

ipod

iDVD

iphone

iphoto

Wii

�e game

Videogames have always been the

bogeyman of non-gamers (ie.

Adults) as promoting violence,

causing anti-social behavior, and

contributing to obesity.

Wii �e innovation

Motion detection

Wii

How the game was changed:

Video games become a social activity

and a fitness tool suitable for whole

families (and even seniors)

Wii

Wii

Orbit

�e game

Another bogeyman, this time of

dentists and schoolteachers around

the world, gum had always been

seen as childish, bad for your

teeth, and a bad habit in general.

Orbit

�e innovation

Sugarfree gum

Orbit

�e innovation

Wrigley’s did not invent sugarfree

gum, but their Orbit brand best

exemplifies how to capitalize on a

game-changing innovation…

Orbit How the game was changed

By introducing a constant stream of high-tech

innovations, formats, and packaging solutions,

Orbit becomes an essential component of oral

hygiene for an adult audience.

Orbit

Orbit How the game was changed

Functional, almost medical design cues

and nomenclature. Borrowing heavily

from the language of toothpastes.

American dental association

endorsement

“just enough” high-tech

Nike

�e Game

Sporting fashion brands (including

market leader Adidas) focused on

performance and features

Nike �e innovation

External-sponge sole

A re-think of what performance really means

Nike How the game has changed

Functional innovations have never been more

than RTB for Nike’s real innovation, which was

in communication (and manufacture).

Like Macintosh, Nike pioneered the sneaker as

lifestyle marker for a target demographic of

winners which Nike itself defined.

Nike How the game has changed

Products and product lines created based

on lifestyles rather than performance

Unique designs come to the forefront as

personalization becomes a major trend.

Colgate Total

�e game

�e toothpaste category was becoming more and more

specialized and confusing for consumers

Colgate Total �e innovation

An all-in-one toothpaste targeting the ‘big 3’; cavities, tarter, and gingivitis

Colgate Total

How the game was changed

It hasn’t. Except that Colgate now markets 2 lines of

accessories/dental hygiene products. Regular Colgate

and the more premium Colgate Total.

Simply Smooth

�e Game

35-40 million Americans have had

to reduce or eliminate coffee from

their diets because of acidity and

stomach issues

Simply Smooth �e innovation

Low-acid instant coffee

Simply Smooth

How the game has changed

Stomach-friendly coffee

Color palette gives it the appearance of a

dietary supplement (ie. No dark, rich tones

usually associated with coffee) or tea

brand (associated with healthy digestion)

Gillette

�e Game

A highly competitive category, disposable razors,

nevertheless, were low involvement and driven purely

on functional benefits or price.

Gillette

�e innovation

More blades! (among other things)

Gillette How the game has changed

�e introduction of the shaving system with

more blades, the lubraderm strip, non-slip

handle and ergonomic design implied a highly

effective, high-tech shaving apparatus.

Gillette How the game has changed

�e brand borrows heavily from many

high-tech boy toys…

Jet fighters and sexy women in

communication

Cool, powerful sounding names

Sophisticated-sounding branded

ingredients (lubraderm strip)

Color coding and design cues

Re-launching updates every few years…

Gillette

How the game has changed

All combine to make Gillette shaving

systems look like the coolest thing

any 10yr old boy could possibly find

under his Christmas tree

Gillette A formula which has been followed closely by the competition…

…making them play Gillette’s game rather than their own!

How not to change the game

�e potentially game changing Lite Beer

from Miller was launched with nothing

more than a light sounding name –

which was quickly copied by every single

competitor. (Bud Light, Coors Light,

Michelob Light)

To consumers, Light beer now just

means watered down beer.

Who should be game-changing?

Game changing is a tool for new brands to

enter the market or for follower brands to

shake up the market.

It is not generally in the best interest of

market leaders to change the game!

For them, innovation should be co-opted

into the existing game!

Wal-mart

�e Game

Department stores have long

been using economy of scale to

put forward a value proposition.

Wal-mart

�e innovation:

Global economy of scale

Wal-mart How the game was changed

By incorporating E.O.S on such a global level, the retail landscape of America was completely re-shaped

Wal-mart

How the game was changed

Unable to compete in Wal-mart’s game, competitors must re-think

and re-define what value means for their businesses

Wal-mart How the game was changed

Now that it is market leader, Wal-mart’s many innovations are

not introduced as game-changers, but as innovations which

strengthen its positioning as the lowest cost alternative.

Preventing other brands from under-cutting

Wal-mart with their own innovations

But don’t worry market leaders… History has shown that many start-ups and

upstarts will try to change the game through

new innovations.

When they fail (which most do) it is the

market leaders that benefit!

(Bud Light surpassed Miller Light in 1992)

Conclusion

Remember

Understanding the audience

Using ownable nomenclature and design

Borrowing from other relevant categories

Changing the game means building a new language (visual

and written) that competitors cannot simply adopt (ie. Lite

beer or diet cola). �ey must completely re-frame their own

brand to stay relevant!

�ank you!

“�e true meaning of life is to plant trees under whose shade you do not expect to sit.”

Nelson Henderson

�ank you!

Douglas Kaufman Head of Brand Strategies

d.kaufman@cocoon-agency.com +420.224.815.985

www.cocoon-agency.com