There is almost nothing in marketingland that gets the latte froth frothing more than the annual debate many have over the Superbrands list.
[The 2009/2010 list is here - PDF]
This yearly release of the top 500 consumer brands in the UK is put together in conjunction with The Centre for Brand Analysis and has a mildly controversial methodology.
TCBA researchers compile a list of the UK's leading brands from sources such as diverse as sector reports to blogs.
The 1,400 shortlisted brands are then put forward to an Expert Council, which ranks each on a scale of one to ten.
The next stage sees around 40% of the worst ranked companies in the 1,400 removed from the shortlist, leaving the remaining 900 for 2,100 members of the public to determine the position of the final 500 brands.
Sounds simple, huh?
Simple - but controversial.
First of all, Superbrands has had a problem for a number of years in that some believe inclusion in the Superbrands book (companies pay to be featured) is a determining factor over selection in the overall list.
Chief executive Stephen Cheliotis is probably fed up with continually having to deny any link. "There is absolutely no connection or influence between the Superbands book and the list," he told us earlier today.
End of story?
Well, TUI Travel PLC seems to think not, and has once again come out against the Superbrands concept.
"Thomson and First Choice are two of the best known travel brands in the UK, and are focused on offering the best holidays in the market place, in terms of value and differentiated product.
"As per previous years, we don't see any value in becoming a member of the Superbrand programme, which charges for membership once a brand is short listed for its 'Superbrand 500' list.
"We would rather spend the money on customer insight and making our holidays even better for customers."
Forgetting the ongoing and (intriguing for us, surprising for others) public spat between TUI and Superbrands, listing the 500 strongest brands in the UK is essentially a pain for marketers elsewhere not featured - not least because it probably passes across the desk of the CEO who wants to know why.
Now some might argue TUI's ire is a result of its arch rival Thomas Cook's continued high position in the list (26 in 2009/2010, a jump of 45 positions on the previous year).
If this is the case, some might say that TUI does have a point.
It would seem odd to some that two high profile brands in Thomson and First Choice fail to appear anywhere in the top 500 - although Cheliotis confirms that they did feature in the list put before the public.
The other travel brands include: Kuoni (348), British Airways (5), Virgin Atlantic (11), Eurostar (52), National Express (78), Cunard (41), P&O Ferries (176), Royal Caribbean International (271), Hilton (27), Marriott (110), Sheraton Hotels & Resorts (186), Champneys (306), Radisson Hotels & Resorts (313), Sandals (336), Four Seasons Hotels & Resorts (402) and Holiday Inn (460).
Spot the problem?
The 2009/2010 list includes just 17 travel and hospitality brands. Yes, you read that correctly - just 3.5% of the 500 companies listed are travel-related.
For such an inspirational lifestyle product, this is a poor showing for something which providers would hope would leave a lasting impact with consumers.
Cheliotis is brutally honest with his assessment of the industry: "As a sector it [travel] does appallingly badly."
So, the question is this: why does travel perform so weakly when it comes to lists such as Superbrands?
Is it because the products have become throwaway items, where loyalty counts for increasingly little?
And why, therefore, do companies such as BA and Thomas Cook continue to do well?
I would like to guess that travel brands do not so well on superbrands list for 3 main reasons.
1. Online travel today is almost unbranded. You buy a room online from booking.com but you are actually on somebody's else page. Studies show that a traveler investigates at least 3 sites before he/she makes a booking. So there is less loyalty as well.
2. The end users understands that the tour operators like TUI are vehicles to destinations, the brands are probably the places themselves, Mallorca, Ibiza, Cyprus, Turkey, Greece are brands anyway.
3. BA and Thomas Cook are almost institutions, BA is the "national UK good airline for the British people" and Thomas Cook is being around since the 19th century so I am sure the word Thomas Cook does not only mean a Tour Operator.
This whole Superbrand thing is a joke and not even worth worrying about. The whole process is soured by the fact that you have to pay to be included.
On the issue of loyalty ..... the majority of travel companies don't have loyalty as they do nothing to earn it! Loyalty is driven by service and a product that is differentiated. Most mainstream travel companies are obsessed with price and volume. They seem to be happier buying new customers rather than try and keep the ones they have already got.
phew.. feel better now for that rant!
Matt:
It is worth clarifying here - as Cheliotis does in the post - that brands DO NOT pay to be included in the list. They pay to be included in the book, which is produced seperately.
thanks for clarifying Kevin but I got that bit! I hate the use of CAPITAL LETTERS to make a point :)
Whether it's a list or a book it makes people cynical. It's like awards in the travel industry, the cynics think that the awards just go to the companies who spend the most on advertising ...
Matt:
As chair of the judges for the Travolution Awards, which will sit in a few weeks time, i can assure you that our own particular programme is completely watertight.
I expect nothing less from a man like yourself with such integrity. Let the judging begin!
Pity that brand related issues have to raise general assessment of the sector. and I'm happy to read Chelotis comments conclusion, since generally Brands rankings tend to be too often associated with aesthetic/advertising issues which predominate over real power of brands as drivers of industries and net contributors to wealth in economies.
To have more that 17 brands in the ranking would have been a real surprise and probably a real cause for confusion and alarm.
Well positioned brands embody the performance that companies have in strategy, service and product innovation, research and insights, talent management, marketing leadership and design. Goes on to say that the travel sector has one of the lowest rankings in terms of investment in all the above mentioned areas.
That's probably why you have your BA and Thomas Cook's ranked but in general, being known is not a measure of brand excellence.