The Canon Brand

Media magazine asked me to comment on the state of the Canon brand globally for an article it’s putting together. Here’s what I came up with:

Financially, Canon is a solid performer. In the last five years, Canon stock has steadily risen. Unlike some competitors, Canon has always favored building its own brand internationally rather than increasing sales through OEM partnerships. These efforts have paid off. In terms of brand value, Canon has maintained a mid-30s ranking in Interbrand’s Best 100 Global Brands league table for the last few years. It ranks 36 this year with a value of $10.5 billion (US), up 6% over 2006.

In short, Canon is grade-A on paper. However, it falls short in brand image, particularly one that clearly defines its vision, strikes an emotional chord with consumers and exerts industry leadership through revolutionary products.

The Canon brand obviously stands for quality. However, the brand vision, the big idea driving the brand, is not apparent. Canon’s kyosei corporate philosophy is internally focused. The company’s brand statement, which is key to communicating brand vision to consumers, also varies from region to region. The current situation will not build serious brand loyalty.

To get people to truly live the brand like Apple and Sony have done, you need to push their emotional buttons. 75% of Canon’s business, which includes printers, copiers and other optical devices, isn’t perceived as being cool or sexy. Therefore, appealing to emotions in these domains is almost impossible. The other 25%, cameras, is of course exciting now and very consumer focused. Cameras have made it into the hands, pockets and packs of the masses, which are great places to build emotional connections. Canon’s success here will contribute to building the brand overall. Whether it is enough, though, remains to be seen.

Canon needs to break new ground. The brand must show greater industry leadership through silver bullet products—ones that either shake up a category or create a totally new one. This is no easy task in today’s hyper-competitive market. However, through innovative technology, design and applications, they may have a chance.

We know from its vast portfolio of products that Canon has the technology. It is clear from the success of brands like EOS and PowerShot (Ixy in Japan) that Canon has the know-how. However, does Canon have what it takes to move the brand to the next level—to really make it possible?

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