How important is branding to the management of your company?
Branding is very important to the management of MERKUR PRIVATBANK. For us, branding is linked to our vision. Specifically, our brand helps us to achieve our vision. Our vision is to become the largest and most profitable owner-managed bank in Germany by 2030. In principle, we have set ourselves a growth target. This is an internal vision. All of our employees are aware of this goal, and we regularly reinforce this message.
How does the brand specifically help you manage your company and make decisions?
For us, the brand is above our vision. The growth mandate mentioned above from the vision helps us to realize our brand. The claim and brand essence that we communicate to our MERKUR PRIVATBANK customers is: Unique entrepreneurial banking. The brand essence provides a framework that we and every employee can use for guidance. This is also linked to the creation of a mindset that is used for decision-making. I can illustrate this with an example. We have also set ourselves the growth mandate in asset management. The brand serves to differentiate our products. We have offerings that are at the top of the service pyramid and products that offer excellent standard performance. A "full version" and a "stripped-down version," so to speak. Ideally, however, our customers feel that they are receiving top performance in every case. According to my mindset, top performance is a natural add-on for us.
In your opinion, what are some mistakes in brand management that should be avoided?
It would be a mistake to define the brand at some point and then leave it fixed, come what may. A brand must be alive. A brand is not a hard fact. A living brand continues to evolve, becoming increasingly focused and therefore increasingly better. We have noticed this ourselves at MERKUR PRIVATBANK: the brand development process has guided our decisions. This helped us to focus on specific areas. This focus on the brand core has given us momentum for growth: despite the current difficult economic environment for many other banks, we achieved our best ever results in 2021 and hired 80 new employees. I am certain that the brand plays a role in this positive development.
What advice would you give other companies regarding brand management?
My clear recommendation is to build a brand. It seems to me that many other companies are not doing this at all. I also recommend communicating the brand values clearly internally. Values must first be lived internally by all employees, including, of course, the management team. The myth must be created internally and then communicated externally.
Which company do you admire for its brand management?
There are several. Off the top of my head, I would say BMW, Porsche, or Adidas. BMW's brand message is "Sheer Driving Pleasure." That is the great internal myth. There is enthusiasm for the product. When I talk to BMW employees, their enthusiasm and loyalty to the brand is striking. Another great example is the HIPP company. As an owner-managed company, HIPP is comparable to us, MERKUR PRIVATBANK. At HIPP, the owners also stand for the corporate values, for the brand essence. I do the same. When there are such guardians and credible representatives of the values, it increases the credibility of the brand.
