The most powerful brands are forged from different fires. Some point towards a visionary founder who crafted products to meet the needs of the times they live in. LL Bean and Eddie Bauer are examples. Others are born of aformulaic processadvocated by Philip Kotler and other pillars of marketing — everything from Apple to Uber falls into this category.
The brands that evoke thehighest quotient of emotion from their followers, that speak directly to the heart, are born from legend. TheIronmanbrand is an undeniable example of one that draws people together and creates as close to a cult-like community as any brand could hope to do.
The Ironman brand was born out of a friendly argument. US Navy Commander John Collins and his wife Judy were debating with friends over “who” were the best athletes, meaning swimmers, cyclists, or runners. Not being able to reach a suitable conclusion, a small group agreed to string together three iconic individual events in each discipline to create a crazy mega-event in Hawaii they called an “Ironman”. Collins summed up thecreationwith this bit of motivation to the original cast of participants: “Swim 2.4 miles, Bike 112 miles, Run 26.2 miles, brag for the rest of your life”.
A true indicator of successful brand expansion is seen when impressions are associated with all sorts of products, extending well beyond the original idea. It’s easy to find the Ironman brand on everything from Timex watches to coffee cups, creating appeal to consumers regardless of whether they would even consider training for the underlying event that inspires the logo.
Regardless of the power of any brand and the passion of its followers, there are three key missteps that can erode brand value faster than you can say “sinkhole”:
- React poorly in times of crisis
- Exhibit tone-deaf leadership
- Choose to enforce rules rather than collaborate with your community
Ironman is a premium brand when defined by the demographics of its most ardent followers. The price of entry, equipment, travel, and ancillary expenses tally up to a tab that makes each race a commitment in financial terms in addition to the training required. Over time, the World Triathlon Corporation (WTC), the owners of the brand, could not resist the temptation to accelerate the monetization of its devoted core customer group.
Ironman traded hands in at least two significant transactions over 5 years. Dalian Wanda Group, a diversified global conglomerate based in China, acquired the World Triathlon Corporation 2015, and sold it in 2020 to Advance Publications, an American media company. The series of acquisitions seemed to accelerate the positioning of the business ahead of its customers. Race entry fees became more expensive and refund restrictions were fortified. Even before the pandemic, the brand was paying the price.
The brand was severely tested during the pandemic in 2020. Large race events were among the first to be eliminated due to public health concerns and athletes immediately scrambled to understand how their substantial entry fees would be handled. The response from WTC was disappointing and triggered the first of the three brand-destroying trip-wires:React poorly in times of crisis.
Questions from athletes abounded. Would refunds be available, would entry fees be deferred to a future event, what relief would the brand provide to its vibrant tribe of supporters? The responses from Ironman were judged to fall short, leading to aclass-action lawsuitfiled by athletes frustrated over the lack of clarity and options.
Evidence ofTone-deaf leadershipcame from WTC CEO Andrew Messick. Thepinnacle failwas embodied in a video that was created as an update to the community of people interested in the brand, but effectively carried little substance over the course of about 4 minutes. The video went viral among the triathlon community for all the wrong reasons. I listened to the video multiple times and could not take away anything of substance that would be described as customer-facing or “putting the customer first” in recognition of the community that was listening in.
When faced with a crisis, there are fundamental choices to be considered when responding to your customers. One is to adopt an emphasis on“Enforcement of rules”, relying on existing policies to advise customers that “we’d like to accommodate you, but we just can’t….we have these rules”.
The alternative is to collaborate with the community of customers who support the brand, who advocate for the brand, and who sometimes literally wear the brand. We can’t think of many (any?) other brands that inspire their mostardent followersto tattoo the brand on their bodies, but that is exactly what happens in this community.
In the midst of its current challenges, WTC went so far as to ask James Lawrence, a/k/a the Iron Cowboy to cease and desist in referring to his current pursuit of completing 100 "iron distance" triathlons in 100 days as "Ironmans". On May 3, James responded via posts on Facebook and Instagram, saying "Hey @ironmantri - I don’t want anything to do with you." There's nothing quite like alienating an influencer and ambassador of your brand in the name of protecting the fine print.
The calamity that was 2020 presented challenges to business in an unprecedented magnitude. Ironman exists in one of the most vulnerable parts of the economy where public health is concerned. But choices always exist, and what transpired with Ironman is an incredibly instructive story of how even globally recognized brands cannot risk putting their own interests ahead of the customers they serve and expect to come away clean.
The Ironman story will have another chapter and change will surely come. We hope to see the brand rebound, but for now, the name will become associated with just how fragile even an emotionally powerful brand can become in short order when it violates not one, but all three of these brand eroding factors.
As an enthusiast with a deep understanding of brand dynamics and marketing strategies, I've witnessed the evolution of numerous iconic brands and studied the intricacies of successful and, at times, challenging brand management. Now, let's delve into the concepts and themes explored in the article about the Ironman brand.
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Brand Origins and Emotional Connection:
- The article highlights that powerful brands can emerge from various sources, including visionary founders, formulaic marketing processes, and those born from legend. In the case of Ironman, it originated from a friendly argument and the desire to create a mega-event that combined swimming, cycling, and running. This origin story adds a unique and emotional layer to the brand, creating a connection with its audience.
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Brand Extension and Monetization:
- Successful brand expansion involves associating the brand with a variety of products, extending beyond the original concept. Ironman is cited as an example of this, with its logo appearing on products ranging from Timex watches to coffee cups. The ability to appeal to consumers beyond the core activity (triathlons, in this case) is a key aspect of brand strength.
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Brand Ownership and Changes:
- The article mentions that Ironman underwent ownership changes through significant transactions over a five-year period. Dalian Wanda Group and Advance Publications are noted as the companies involved. This highlights the business aspect of brand management and how changes in ownership can impact brand strategy and relationships with consumers.
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Brand Positioning and Customer Commitment:
- Ironman is positioned as a premium brand, requiring a substantial commitment in terms of both financial investment and training. This positioning defines its target demographic as dedicated individuals willing to make significant sacrifices to participate in Ironman races.
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Brand Crisis Management:
- The article identifies three key missteps that can erode brand value, one of which is reacting poorly in times of crisis. The COVID-19 pandemic in 2020 served as a significant challenge for Ironman, with large race events being canceled. The response from the World Triathlon Corporation (WTC), the brand's owner, is criticized for its lack of clarity and options, leading to a class-action lawsuit.
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Tone-Deaf Leadership:
- Tone-deaf leadership is another misstep mentioned in the article. The CEO of WTC, Andrew Messick, is specifically called out for a video update that lacked substance and failed to address the concerns of the community effectively. This incident contributed to a negative perception of the brand's leadership.
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Rule Enforcement vs. Community Collaboration:
- The article discusses the fundamental choices a brand has when facing a crisis, specifically the choice between enforcing rules strictly or collaborating with the community. Ironman is criticized for choosing the former, leading to dissatisfaction among its dedicated community, which is known for its strong advocacy and brand loyalty.
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Influencer Alienation:
- The article mentions an incident where Ironman asked an influencer, James Lawrence (the Iron Cowboy), to stop referring to his triathlons as "Ironmans." This decision is criticized as alienating a key figure in the brand's community, showcasing the potential pitfalls of prioritizing legalities over community relationships.
In conclusion, the Ironman brand story serves as a cautionary tale about the delicate balance brands must maintain between financial interests, crisis management, and community collaboration to preserve their emotional power and long-term viability.
