Introduction
What is Country Branding? It is about using strategic marketing to establish a country's image, based on its exports, tourism, foreign direct investment, culture and heritage, and governance, in particular. State branding implies that countries, "behave, in many ways, just like brands… They are perceived in certain ways by large groups of people, both at home and abroad; they are associated with certain qualities and characteristics". (Anholt S. 2003)
 Country branding is an important concept in today's globalized world. Globalization means that countries compete with one another for the attention, respect and confidence of investors, tourists, consumers, donors, immigrants, the media, and the governments of other nations. Therefore, a powerful and positive nation brand, provides competitive advantage. It is essential for countries to understand how they are seen by the public around the world, their achievements and failures, assets and liabilities, people and products, as they are reflected in the nation's brand image.
In the context of a corporate product, brand image refers to the schematic memory of a brand. It contains the target market's interpretation of the product's attributes, benefits, users, and manufacturer/marketer characteristics. It is what we think of and feel, when we hear or see a brand name. In a nation's perspective, when we express a preference for French holidays, German cars or Italian opera, when we instinctively trust the policies of the Swedish government, comment on the ambition of the Japanese, the bluntness of the Americans or the courtesy of the British, when we avoid investing in Russia, favor Turkey's entry into Europe or admire the heritage of China and India, we are responding to brand images in exactly the same way as when we're shopping for clothing or food.
Country as a brand
The fundamental assumption in country branding is that country names amount to brands and as a result project images, and help us evaluate products and services of countries and help make purchasing decisions. Thus, a powerful country brand translates into a positive perception of the country, increased exports, inward tourism and foreign investment.
As Anholt (2002) has pointed out, country brands still stand for a limited number of qualities (power, wealth, sophistication), so there is still plenty of space for countries to brand themselves with qualities such as creativity, music, philosophy, trust, innocence, wisdom, challenge, safety and so on.
Country image vs. country identity
A country image is the mental picture of a country, the sum of beliefs and impressions people hold a country. Every nation has an image which can vary across time and countries to a greater or lesser extent, and this image colours both consumer perceptions of a country's products and services, and investor perceptions of the country as a place in which to do business.
As Nebenzal (2001) indicates, the image of a country is influenced by the perception of its people, culture, level of economic development, quality of its products, products in which it has a comparative advantage, etc. The image of a lesser known country may be highly influenced by the country category in which it is classified: a developing African country, a developing Asian country, a developing Latin American country, an industrialized country.
Our image of countries and places are formed since early childhood, from education, the media, travel, product purchases, but most of them are in fact stereotypes and clichés that do not conform to the contemporary reality of the country. By definition, clichés have a grain of truth in them, and since they are so familiar, we feel comfortable with them.
Country image is not a static phenomenon, but country images are long-lasting and difficult to change. That is why in order to improve a country's image; it may be easier to create new positive associations rather than try to refute old ones. (Kotler and Gertner, 2002)
Country identity is what a country believes it is. A strong country brand should be rooted in reality and connect with people, both within and outside the country. Ultimately, it should strive to strike a balance between its image and its identity.
Competition among nations for boosting exports, attracting tourism, investment, and skilled labour, and global positioning, has reached unprecedented levels, From A Taste of Nova Scotia and I Y NY to Deutschland Europa, Cool Brittania, Czech Made, and Crafted With Pride in U.S.A., the idea of place marketing is now accepted and practised worldwide, at all levels and sectors.
2. Branding SLT : A Case in Point
The recent attempt to brand Sri Lanka Tourism (SLT) is illustrative of the kind of approach one needs to adopt in branding Sri Lanka. The important question of course is whether the key facet(s) of the Sri Lankan Tourism brand have currency across other sectors, which could then form the basis of the nation's brand ethos.
The development of the nation brand or a sector brand, as in the case of SLT, must be based on the pivotal strategic fit between (external) market opportunities and (internal) resource capabilities. The opportunity-capability match is the basis for any robust brand strategy.
Based on a deep-going analysis of the opportunities that exist in the external environment/markets and the natural resource base of the country, the Brand Positioning Statement (BPS) for SLT reads : Asia's diverse, authentic compact island". "Asia" and "Island" spell the psychological frame of reference or mental category in which SLT is located. "Diversity, authenticity and compactness" are the triple factors that will make SLT stand out from the others, in the "Asia's islands" category.
3. Extending SLT's Proposition
The question that is raised here is whether the attribute of "authenticity", can be appropriately and effectively extended to other dimensions of the nation's brand, such as exports, and culture and heritage, in particular. Authenticity, among others ought to connote in this context, "unspoilt", "original", "unique", "rustic", "traditional" "exotic", "innocence", and "old world charm but relevant to the world of today".
Would Sri Lanka's export of Sapphire (as opposed to artificial stones), Cinnamon (as opposed to Cassia); Tea (as opposed to blended CTC's) and others, have the essential quality of that which is authentic? If it does, then why is authenticity an effective proposition?
As Naisbitt recognized many years ago, the mega trend of authenticity is unfolding across the globe. The rich and wealthy increasingly value that which is natural and authentic. Indeed, there appears to be a premium placed on the "real thing".
This also entails the increasing value attached to eco-tourism, and the demand for natural/herbal products. Interestingly, the market for value-driven commerce from organic food and eco-tourism to earth-friendly appliances and alternative medicine, had reached US Dollars 230 billion by 2008, according to the New York Times, and is likely to grow by double digits, year on year.
Culture-tourism is another growth-area, which attracts those who value that which is rooted and indigenous. The typical Sri Lankan smile and friendliness, it must be recognized, is a part of the larger "authentic" offering.
What is more, our Culture and Heritage can certainly stand the test of authenticity. The places and the practices that are Sri Lankan, in essence have authenticity as their very well-spring.
4. Way Forward
We need to develop sector-specific branding strategies, as in the case of SLT. Thereafter, we need to extract the core, the essence of the sector brands (for example, it may well be "authenticity", as one essential attribute), and develop the nation brand, Brand Sri Lanka, under whose umbrella, the sector brands can strategically co-exist.
In this nation and sector branding strategy-development, the brand architecture, is vital. For instance, we need to get the naming strategy in place. What is the relative place for "Ceylon" and Sri Lanka".? Is one, the product name, and the other, the source name? or is "Ceylon" out of place?
A clear branding strategy and effective execution is the way forward. It is not a mere cost we have to incur, but an investment that cannot be done away with, if we are indeed, serious about our nation's economic future.
5. References:
Anholt S., Brand New Justice: The Upside of Global Branding, Butterworth Heinemann, 2003.
Anholt S., Foreword to The Journal of Brand Management, Vol.9. No.4-5, April 2002, pp.229.
Jaffe E. D. and Nebenzahl I. D., National Image and Competitive Advantage, Copenhaguen Business School Press, 2001.
Kotler P. and Gertner D., Country as a brand, product and beyond: A place marketing and brand management perspective, the Journal of Brand Management, Vol.9, No.4-5, April 2002, pp. 251. |
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