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Are brands more or less powerful in the e-commerce era? I bet most people would say that they're less powerful because we have more choice. I think that's the wrong answer. Distribution is less important because is much more easily accessible.
Today, there is no 8 ft shelf-space. There is infinite shelf-space. If you want some sort of obscure item, you can get it and can easily. In the days of stores, that wasn't possible, unless perhaps you lived in a market like New York city and then, you would have to travel.
So back to original question: are brands more or less powerful in the e-commerce era? It's 1980. You want to buy some Tide because it's your favorite brand. You call your local store "Hey, do you have Tide?" "Uhh...what's that?" "Laundry detergent." "Oh, I think we have that."
Tide is pretty much everywhere, so it's pretty likely that the store's got it, but if you're going after a more obscure brand, say "Tom's" Deoderant - you may not drie over to that store to pick up some because you're not confident as to whether they stock it.
As a result, you'll be less likely, ultimately to buy the brand of your choice. The store won't have it, you won't feel like calling more stores, or it just won't be close enough to you. But in the internet era, you are pretty much guaranteed to get the brand you want.
So that's one reason why brands are more powerful today. A search for a brand, is much more likely to result in a purchase because of universal availability for even the most obscure brands. There's another reason. You're at the store now: "Hey, where's the tide?" "Aisle 3."pic.twitter.com/uflvcQpmxG
So now, you have a dilemma; should you get tide or should you get something else that does the same thing? You'll probably grab Tide, but who knows? Maybe this time you'll try to save some money and get the store brand. Let's compare this situation to Amazon.pic.twitter.com/qZbJ6LoOSM
Should i get Tide? Or maybe...Tide? Or...well it seems to be that Tide is really the only laundry detergent on earth. The results keep going like this.pic.twitter.com/bAUYVTzGTA
Tide's got this locked up. And were another brand to spend the money necessary to get some of those sponsored slots, they'd have to pay a pretty penny, given that their conversion rate would be much lower.
So, anyways, that's why I think brands are more powerful, especially obscure ones that couldn't make it onto the shelves in the pre-internet era, today than ever. Proctor Gamble is losing its grip on your wallet, but that's a distribution, not a brand issue, to my mind.
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